Laxey Partners, the hedge fund group with a fearsome reputation as a corporate raider, has taken a loss on its stake in Shaftesbury, the property company that specialises in London’s West End.

Laxey, which was Shaftesbury’s largest shareholder, yesterday confirmed the sale of its 25.7m shares and 17.2m nil paid rights at a price of £2.82 per share and 107p per nil paid, realising just over £92m.

The shares, which amounted to almost a fifth of the company, were held through the Aim-listed Terra Catalyst fund, which is run by Laxey, and other funds under its management.

Shares in Shaftesbury slid on confirmation of the placing yesterday morning, but recovered to close the day down 10.7p at £2.98.

Financial Times