Northern Venture Trust PLC.
Interim Management Statement
26 JULY 2013
NORTHERN VENTURE TRUST PLC
INTERIM MANAGEMENT STATEMENT
FOR THE QUARTER ENDED 30 JUNE 2013
Northern Venture Trust PLC presents its interim management statement for the three months ended 30 June 2013. This constitutes the company's second interim management statement for the financial year ending 30 September 2013, as required by the UK Listing Authority's Disclosure Rules and Transparency Rules, Rule 4.3.
The company's objective is to provide high long-term tax-free returns to investors through a combination of dividend yield and capital growth, by investing in a portfolio of investments mainly comprising unquoted venture capital holdings. The company is a venture capital trust approved by HM Revenue & Customs and is required to comply on a continuing basis with the provisions of Section 274 of the Income Tax Act 2007.
The unaudited net asset value per ordinary share as at 30 June 2013 was 93.4p (31 March 2013 96.0p). The net asset value is stated after deducting the first interim dividend of 3.0p per share in respect of the year ending 30 September 2013, which was paid to eligible shareholders on 28 June 2013.
For the purposes of calculating the net asset value per share, quoted investments are carried at bid price as at 30 June 2013 and unquoted investments are carried at fair value as at 30 June 2013 as determined by the directors.
Net assets at 30 June 2013 comprised the following:
| % of net|
|Venture capital investments:|
|Kerridge Commercial Systems||1,741||5,608||7.9|
|CGI Group Holdings||3,818||2,332||3.3|
|Weldex (International) Offshore Holdings||3,262||2,119||3.0|
|Advanced Computer Software Group*||382||1,987||2.8|
|Control Risks Group Holdings||746||1,315||1.9|
|Fifteen largest venture capital investments||24,857||34,160||48.2|
|Other venture capital investments||14,702||12,860||18.2|
|Total venture capital investments||39,559||47,020||66.4|
|Listed equity investments||4,777||5,101||7.2|
|Listed fixed-interest investments||5,741||5,341||7.5|
|Total fixed asset investments||50,077||57,462||81.1|
|Net current assets:|
|Cash and deposits||13,219||18.7|
|Debtors less creditors||164||0.2|
*Quoted on AIM
The number of ordinary shares in issue at 30 June 2013 was 75,873,232. During the three months ended 30 June 2013 424,772 new shares were allotted at an average price of 90.2p through a public offer for subscription, 287,120 new shares were issued at a price of 93.0p per share pursuant to the company's dividend investment scheme and 96,000 shares were re-purchased by the company for cancellation at a price of 83.7p per share.
During the three months ended 30 June 2013 the following significant venture capital investment transactions took place:
Name of company
|Cleveland Biotech (Holdings)||Biological products for waste treatment||1,116|
|Kirton Group||Specialist seating and furniture||1,155|
|Name of company||proceeds||cost||2013|
|IG Doors (sale to Hörmann Group)||810||51||560|
On 31 May 2013 the company announced its intention to raise up to £15 million through a joint prospectus offer with Northern 2 VCT PLC and Northern 3 VCT PLC of new ordinary shares for subscription in the 2013/14 and 2014/15 tax years. It is expected that the prospectus will be published on or around 31 July 2013.
On 24 June 2013 the company published a circular to shareholders giving notice of a general meeting to be held on 18 July 2013 to consider resolutions to facilitate the proposed prospectus offer, to amend the articles of association to extend the life of the company and to amend the company's management agreement with NVM Private Equity Limited so as to introduce a performance-related element to the investment management fee. The resolutions were all duly approved by shareholders at the general meeting.
On 24 June 2013 the company declared a second interim dividend of 9.0p per share which will be paid on 20 September 2013 to shareholders on the register on 19 July 2013. The directors expect that in the absence of unforeseen circumstances a final dividend of 3.0p will in due course be proposed, to be paid following the annual general meeting in December 2013. This will take the total dividends for the financial year ending 30 September 2013, including the first and second interim dividends, to 15.0p per ordinary share. It remains the board's objective to declare annual dividends of not less than 6.0p per ordinary share in future years.
On 10 July 2013 the company completed a new venture capital investment of £1,674,000 in Buoyant Holdings, a manufacturer of upholstered furniture.
The directors are not aware of any other events or transactions which have taken place between 31 March 2013 and the date of publication of this statement and which have had a material effect on the financial position of the company.
This statement has been prepared solely to provide additional information in order to meet the requirements of the Disclosure Rules and Transparency Rules and should not be relied on by shareholders, or any other party, for any other purpose.
Alastair Conn/Christopher Mellor, NVM Private Equity Limited - 0191 244 6000
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(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.
Source: Northern Venture Trust PLC via Thomson Reuters ONE