A Peter Mansell-chaired cancer research trust has cashed in its shareholding in Sydney-based Sirtex Medical, netting $20.6 million from the sale.
The Cancer Research Fund Pty Ltd, as trustee for the Cancer Research Trust, sold its 8.2 per cent interest in Sirtex in an on-market sale on Thursday, realising $4.81 for each of the 4.57 million shares held.
Mr Mansell told WA Business News the Sirtex shareholding was the only asset of note for the fund, which it had acquired from the Cancer Research Institute, a charitable research body set up by Dr Bruce Gray.
The institute had been inactive after it became entangled in complex legal fights between Dr Gray, his former employer the University of Western Australia and the company he founded, Sirtex.
The underlying legal dispute was triggered when UWA claimed it was the rightful owner of intellectual property developed by Dr Gray and currently being sold by Sirtex.
Mr Mansell said today it was inappropriate for the fund to stay in one stock.
"We want a balanced portfolio that gives us yield so we can achieve our objectives as providing research and research grants," he said.
"And $20 million locked up in Sirtex was just not going to do that, it's just that simple."
Mr Mansell said an investment subcommittee is due to submit a proposal to the board shortly on how best to invest the $20.6 million.
He added that a scientific subcommittee will also submit a proposal, due next month, as to how best to achieve the fund's objectives.