RNS Number:3434T
Close Brothers Venture Cap Tst PLC
16 December 2003
16 December 2003
CLOSE BROTHERS VENTURE CAPITAL TRUST PLC
Interim results for the six months ended 30 September 2003
Close Brothers Venture Capital Trust PLC ("the Company"), managed by Close
Venture Management, today announces interim results for the six months ended 30
September 2003.
Financial Highlights:
Ordinary Shares "C" Shares
pence per share pence per share
Gross dividend for the year to 31 March 1997 5.00 -
Gross dividend for the year to 31 March 1998 6.00 5.00
Gross first and second interim dividends and
net final dividend for the year to
31 March 1999 7.75 6.25
Net dividend for the year to 31 March 2000 8.55 4.50
Net dividend for the year to 31 March 2001 7.50 7.50
Net dividend for the year to 31 March 2002 7.50 7.50
Net dividend for the year to 31 March 2003 8.00 8.00
Net dividend for the six months to
30 September 2003 3.00 3.00
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Total dividends 53.30 41.75
Net asset value per share at 30 September 2003 107.87 107.87
------- -------
Total 161.17 149.62
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Note 1: following the cessation of tax credits on 5 April 1999, dividends paid
by VCTs no longer benefit from tax free tax credits for qualifying UK
shareholders.
Note 2: the above table does not take into account the income tax relief of 20%
nor the capital gains tax deferral relief of 40% upon subscription for shares in
the Company.
For further information, please contact:
Patrick Reeve/ Ole Bettum Justin Griffiths/ John West
Close Venture Management Tavistock Communications
Tel: 020 7422 7830 Tel: 020 7920 3150
www.closeventures.co.uk
Notes to Editors:
1) Close Brothers Venture Capital Trust PLC is managed by Close Venture
Management.
2) Close Venture Management is a subsidiary of Close Brothers Investment
Limited and is regulated by the FSA.
3) The financial information set out in the announcement does not
constitute the Company's statutory accounts for the six months ended 30
September 2003 or 2002. The financial information for the year ended 31 March
2003 is derived from the statutory accounts delivered to the Registrar of
Companies. The auditors reported on those accounts; their report was
unqualified and did not contain a statement under s237 (2) or (3) of the
Companies Act 1985.
Chairman's Statement
Introduction
Having disposed of three significant investments in the year to 31 March 2003,
during the six months to 30 September 2003 the company has concentrated on
investment opportunities in both existing and new investee companies. Additional
investments of #600,000 in Premier VCT (Mailbox) Limited and #500,000 in Odyssey
Glory Mill Limited were made during the six months, whilst initial new
investments of #68,000 in Prospective Developments VCT Limited and #15,000 in
Applecroft Care Home Limited were completed.
The following investments have been completed since the half year. A further
investment of #985,000 in Applecroft Care Home Limited has been made following
the half year; with a commitment to invest a further #1 million within the next
year this company has contracted to acquire and operate a care home in Dover.
Additionally, #1 million of a #2.3 million commitment has been invested in
Barleycroft Care Home Limited, which will build and operate a care home in
Romford. A further #1 million, meanwhile, has been invested in Kew Green VCT
(Stansted) Limited, which is developing an Express by Holiday Inn hotel at
Stansted airport. In the leisure sector an investment of up to #850,000 has been
committed in City Centres Breweries Limited, which owns and operates a brewery
and pub in central Bristol and is intending to build up a chain of pubs in the
South West of England.
It is the Company's policy to obtain professional third party valuations for the
properties underlying its investments at the year end. In the absence of any
disposals during the interim period, therefore, there has been no change in the
valuation of the portfolio other than in their net current assets, though
overall our investment portfolio is performing well across all sectors. I am
pleased to say, that in line with the Company's progressive dividend policy, we
have been able to increase the interim dividend from 2.8 pence to 3.0 pence per
ordinary share, an increase of 7%, part of which was funded from the Company's
reserve of realised capital profits. This means the total dividends payable on
the ordinary shares since launch have amounted to 53.3 pence and for the 'C'
Shares total dividends amount to 41.75 pence per share.
Results and Dividend
As at 30 September 2003 the net asset value of the Company was #38.68 million or
107.8 pence per share, which compares with a net asset value at 31 March 2003 of
#39.07 million or 108.9 pence per share. Net income before taxation was #1.4
million (2002: #1.6 million), enabling the board to declare a net interim
dividend of 3.0 pence per share, including 0.2 pence out of realised capital
reserves, for the six months to 30 September 2003 (2002: 2.8 pence per share).
The interim dividend will be paid on 28 January 2004 to shareholders registered
on 30 December 2003.
David Watkins
Chairman 16 December 2003
A summary of the Company's investments at 30 September 2003 is set out below:
Investee
Company
Investment at Revaluation Investment at Reserved for Revaluation
cost valuation investment since
31 March 2003
# 000's # 000's # 000's # 000's # 000's
--------------------------------------------------------------------------------------
Care Homes
----------
Applecroft
Care Home Ltd 15 - 15 1,910 -
Barleycroft
Care Home Ltd - - - 2,275 -
Broadoaks VCT
Ltd 1,865 201 2,066 - (25)
Churchcroft
VCT Ltd 1,550 528 2,078 - 12
Drummond
Court Ltd 2,500 428 2,928 - (30)
Fryers Walk
VCT Ltd 2,575 435 3,010 - (32)
Lombardy
Court
VCT Ltd 1,450 45 1,495 - (45)
Prospective
Developments
VCT Ltd 68 - 68 - -
Hotels
-------
Premier VCT
(Mailbox) Ltd 4,600 676 5,276 - 11
Kew Green VCT
(Stansted) Ltd 1,000 - 1,000 4,000 -
Residential Development
-----------------------
Chase Midland
VCT Ltd 1,600 - 1,600 - -
Country &
Metropolitan
VCT Ltd 3,000 - 3,000 - -
Prime VCT Ltd 2,200 - 2,200 - -
Youngs VCT Ltd 1,200 - 1,200 - -
Other
------
City Centres
Breweries Ltd - - - 850 -
City Screen
(Cambridge) Ltd 1,210 (15) 1,195 - 35
Odyssey Glory
Mill Ltd 4,500 893 5,393 - 35
City Screen
(Liverpool) Ltd 200 - 200 - -
--------------------------------------------------------------------------------------
Total at
30 September
2003 29,533 3,191 32,724 9,035 (39)
----------------------------------------------------------------------------------------
Total at
31 March 2003 28,350 3,230 31,580 5,100 -
---------------------------------------------------------------------------------------
Unaudited Statement of Total Return
(incorporating the profit and loss account)
for the six months to 30 September 2003
Six months to Six months to Year to
30 September 2003 30 September 2002 31 March 2003
Revenue Capital Total Revenue Capital Total Revenue Capital Total
#'000 #'000 #'000 #'000 #'000 #'000 #'000 #'000 #'000
----------------------------------------------------------------------------------------------------------
Realised gains
on investments - - - - 194 194 - 541 541
Unrealised
(losses)/gains
on investments - (39) (39) - 59 59 - 1,302 1,302
Income 1,694 - 1,694 1,935 - 1,935 3,941 - 3,941
Investment
management
fees (223) (290) (513) (302) (274) (576) (459) (605) (1,064)
Other expenses (62) (58) (120) (73) (62) (135) (135) (122) (257)
-------------------------------------------------------------------------------------
Return on
ordinary
activities
before
interest and tax 1,409 (387) 1,022 1,560 (83) 1,477 3,347 1,116 4,463
Finance charge (27) - (27) - - - (36) - (36)
-------------------------------------------------------------------------------------
Return on
ordinary
activities
before tax 1,382 (387) 995 1,560 (83) 1,477 3,311 1,116 4,427
Tax on
ordinary
activities (390) 97 (293) (521) 91 (430) (975) 191 (784)
-------------------------------------------------------------------------------------
Return
attributable
to
Shareholders 992 (290) 702 1,039 8 1,047 2,336 1,307 3,643
Dividends (1,004) (72) (1,076) (1,007) - (1,007) (2,334) (538) (2,872)
-------------------------------------------------------------------------------------
Transfer
(from)/to
reserves (12) (362) (374) 32 8 40 2 769 771
=====================================================================================
Return per
ordinary share 2.8p (0.8)p 2.0p 2.7p 0.0p 2.7p 6.3p 3.6p 9.9p
All revenue and capital items in the above statement derive from continuing
operations.
Unaudited Summary Balance Sheet
At 30 September 2003
30 September 30 September 31 March
2003 2002 2003
#'000 #'000 #'000
------------------------------------------------------------------------------
Fixed asset investments
Qualifying investments 32,724 33,947 31,580
Non-qualifying
investments - 114 -
---------------------------------------
Total fixed asset
investments 32,724 34,061 31,580
Current assets
Debtors 428 360 655
Cash at bank and in
hand 8,667 7,266 10,651
---------------------------------------
9,095 7,626 11,306
Creditors: due within
one year (2,119) (2,252) (2,811)
---------------------------------------
Net current assets 6,976 5,374 8,495
---------------------------------------
Creditors: due greater
than one year (1,000) (1,000) (1,000)
---------------------------------------
Net assets 38,700 38,435 39,075
=======================================
Represented by:
Called up share
capital 17,939 17,987 17,939
Special reserve 14,111 14,203 14,111
Capital redemption
reserve 1,914 1,865 1,914
Capital reserve
realised 1,917 1,821 2,165
unrealised 2,625 2,323 2,740
Revenue reserve 194 236 206
---------------------------------------
Total equity
shareholders' funds 38,700 38,435 39,075
=======================================
Net asset value per ordinary share 107.9p 106.8p 108.9p
This interim report was approved by the Board of Directors on 16 December 2003.
Signed on behalf of the Board of Directors by
David Watkins
Chairman
Unaudited Cash Flow Statement
for the six months to 30 September 2003
Six months to Six months to Year to
30 September 2003 30 September 31 March
#'000 2002 2003
#'000 #'000
--------------------------------------------------------------------------------
Operating activities
Investment income received 1,489 2,027 3,413
Dividend income received - - 220
Deposit interest received 170 84 272
Other income received 163 - 62
Investment management fees paid (201) (369) (1,098)
Management performance fee paid (351) (184) -
Other cash payments (108) (170) (373)
------------------------------------
Net cash inflow from operating
activities 1,162 1,388 2,496
Finance interest paid (26) - (27)
Taxation
UK corporation tax paid - (118) (822)
VAT paid (20) - (13)
VAT received 28 - -
------------------------------------
8 (118) (835)
Investing activities
Purchase of investments (1,170) (2,528) (5,790)
Disposals of investments - - 7,332
Disposals of non-qualifying
investments - 6,310 6,376
------------------------------------
Net cash (outflow)/inflow from
investing activities (1,170) 3,782 7,918
Dividends paid
Equity dividends paid on
ordinary shares (1,866) (1,915) (2,922)
------------------------------------
Net cash (outflow)/inflow before
financing (1,892) 3,137 6,630
Financing
Redemption of own shares (92) (3,121) (3,121)
Capital restructuring expenses - - (108)
Loan drawdown - 1,000 1,000
------------------------------------
(92) (2,121) (2,229)
------------------------------------
(Decrease)/increase in cash (1,984) 1,016 4,401
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This information is provided by RNS
The company news service from the London Stock Exchange
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