Accessing US capital: Australian biotech companies still hold appeal for US investors
Davies Collison Cave in conjunction with AusBiotech recently hosted a luncheon for CEO’s. The guest speaker, Stephen Nash, Managing Director and Head of Merriman Curhan Ford’s OTCQX Advisory Group. In heading the firm’s OTCQX efforts, Nash has played an instrumental part in the evolution and development of the OTCQX market in the United States. Before joining Merriman, Nash was an associate in Piper Jaffray’s Consumer Mergers and Acquisitions Group where he was responsible for strategic analysis and various aspects of M&A transaction execution. Prior to Piper, Nash was an analyst in Citigroup’s global corporate and investment bank. While at Citigroup, he provided risk analysis and recommendations for strategic capital commitments that were necessary to carry out investment banking and corporate financing initiatives of the firm’s multinational clients.
Despite the unprecedented market volatility, demand for overseas investment opportunities continues in the US: ADR trading volumes are at record highs reaching US$4.4 trillion over the past year, cashed up investors are on the lookout for good buying opportunities and biotech is one sector that is regarded as being potentially undervalued.
Nash spoke about the opportunities for Australian biotech companies in the US market. He provided insights into the US market and current investor sentiment and highlighted what US investors are looking for at the moment and how Australian companies should be positioning themselves. Nash confirmed that while investors have started to seek out buying opportunities, it is a crowded market and Australian companies will need to be smart in their approach. He also discussed the latest developments in the ADR and OTCQX markets and how these can be leveraged to achieve greater visibility amongst US institutional investors.