Litigation funders have had a bad rap of late. Burford Capital, backed by beleaguered investor Neil Woodford, became a cause célèbre last month when activist investor Muddy Waters published a damning report on it.
Although the attack by Muddy Waters founder Carson Block focused on Burford and its accounting, other litigation funders came under the spotlight. Manolete Partners is among a small clutch of listed companies that rushed to distance themselves from Burford.
Manolete, which is backed by UK venture capitalist Jon Moulton, listed shares at 175p last December, raising £16m. Unlike its rivals, Manolete, launched in 2009, focuses on insolvency litigation.
If a company goes bust, Manolete finances the work of the insolvency practitioner and its lawyers to claw back money for creditors.
It
