Amicus Therapeutics, Inc. (FOLD): Redmile Group Trims Position and Books Some Profits from Long-Term Investment

Jeremy Green‘s Redmile Group has also reduced its stake in Amicus Therapeutics, Inc. (NASDAQ:FOLD), after yesterday, William Leland Edwards’ Palo Alto Investors reported the sale of nearly a half of its stake in the company. However, Redmile only slightly reduced its exposure to the company, reporting ownership of around 7.36 million shares, versus 8.50 million held as of the end of June.

Amicus Therapeutics, Inc. (NASDAQ:FOLD) has been in the equity portfolio of Redmile Group since the end of 2012, with the stock of the company surging by over 140% since then. Overall, Redmile Group has a concentrated equity portfolio which is almost completely focused on the healthcare sector.  Among other investors in Amicus is the aforementioned Palo Alto Networks, which owns 1.95 million shares following the latest disposal of shares. The largest shareholder, among those that we track, is Perceptive Advisors, led by Joseph Edelman, which owns some 12.34 million shares as of the end of June, after boosting its stake by around 1,100% during the second quarter. Moreover, Ken Greenberg and David Kim‘s Ghost Tree Capital added Amicus Therapeutics, Inc. (NASDAQ:FOLD) to its equity portfolio during the same period and owns 600,000 shares as of the end of June.

With being at the development stage of its products, Amicus has not been having any revenues so far, although the company managed to improve its net loss due to reduction of its expenses. For the second quarter, the company posted a net loss of $0.22, from $0.31 a year ago. The company is currently conducting Phase 3 studies for its product for Fabry disease. The results from the second study under the Phase 3 trial showed positive results, as Amicus Therapeutics, Inc. (NASDAQ:FOLD) announced in August. On the back of these results, the stock of the company surged during the third quarter of the year.

Overall, Mr. Green has placed many profitable bets on companies from the healthcare sector. Redmile’s largest position is represented by Actavis plc (NYSE:ACT), which gained over 77% over the last 52 weeks. With the fund gaining significant profits over its long-term investments, Redmile fund is definitely a good source of insights from the healthcare sector.

Disclosure: none