Kingdon Capital Raises Stakes in XOMA Corp (XOMA) and Heron Therapeutics Inc (HRTX)

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In two new filings with the U.S. Securities and Exchange Commission today, Kingdon Capital, led by Mark Kingdon, disclosed that it upped its passive stakes in both XOMA Corp (NASDAQ:XOMA) and Heron Therapeutics Inc (NASDAQ:HRTX). Kingdon Capital reported holding 10.82 million shares of XOMA Corp (NASDAQ:XOMA), up from 7.57 million shares the fund held as of the end of the first quarter. The stake is equal to 9.19% of the company’s common stock. The fund was bullish on XOMA Corp (NASDAQ:XOMA) during the first quarter, boosting its ownership in the company by 24%, and that is clearly continuing into the second quarter. Meanwhile, Kingdon Capital also boosted its stake in Heron Therapeutics Inc (NASDAQ:HRTX), to 2.83 million shares from the 615,851 shares it held as of March 31. The stake is equivalent to 9.56% of the company’s common stock.

Mark Kingdon - Kingdon Capital


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Kingdon Capital was founded by Mr. Mark Kingdon in 1983. The fund employs fundamental and technical analysis, and a top-down approach to select economies and industries for investment. From its inception through 2011, Kingdon Capital Management had an annualized return of 16.6%. In its latest 13F, the fund disclosed a public equity portfolio valued at $2.36 billion. The fund’s top holdings, in terms of value, are represented by Horizon Pharma PLC (NASDAQ:HZNP), Tyson Foods Inc. (NYSE:TSN), and Visteon Corp (NYSE:VC).

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XOMA Corp (NASDAQ:XOMA) is a late-stage biotechnology company engaged in the discovery and development of therapeutic antibodies. The company has a market cap of $425.31 million. For the first three months of 2015, XOMA Corp (NASDAQ:XOMA) booked a net loss of $21.7 million, versus a loss of $24.7 million in the same period last year. Total revenues for the quarter were $2.7 million, down from $3.4 million in the same quarter of 2014. In a partnership with French pharmaceutical research company Servier, XOMA Corp (NASDAQ:XOMA) is developing gevokizumab, the company’s lead drug to treat patients with a wide variety of inflammatory and other diseases. On May 28, XOMA Corp (NASDAQ:XOMA) announced that the gevokizumab phase 3 EYEGUARD-B study reached its target exacerbation event. The primary endpoint result is expected in approximately seven weeks, according to the company. Other shareholders with heavy positions in XOMA Corp (NASDAQ:XOMA) include Baker Bros. Advisors, led by Julian Baker and Felix Baker, holding 14.71 million shares as of the end of March, and D E Shaw, founded by David E. Shaw, which held 1.95 million shares as of March 31.

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