CALCULUS VCT PLC
(formerly Investec Structured Products Calculus VCT Plc)
Half Yearly Report
for the six months ended 31 August
2015
INVESTMENT OBJECTIVE
The Company’s principal objectives for investors are to:
- invest in a portfolio of Venture Capital Investments and
Structured Products that will provide investment returns that are
sufficient to allow the Company to maximise annual dividends and
pay an interim return either by way of a special dividend or cash
offer for shares on or before an interim return date;
- generate sufficient returns from a portfolio of Venture Capital
Investments that will provide attractive long-term returns within a
tax efficient vehicle beyond an interim return date;
- review the appropriate level of dividends annually to take
account of investment returns achieved and future prospects;
and
- maintain VCT status to enable qualifying investors to retain
their income tax relief of up to 30 per cent. on the initial
investment and receive tax-free dividends and capital growth.
FINANCIAL REVIEW
Ordinary Share Fund
|
6
Months to
31 August
2015 |
6 Months
to
31 August
2014 |
12
Months to
28 February
2015 |
|
|
|
|
Total return |
|
|
|
Total return |
(£192,000) |
£Nil |
(£73,000) |
Total return per ordinary share |
(4.1)p |
0.0p |
(1.5)p |
|
|
|
|
Revenue |
|
|
|
Net loss after tax |
(£32,000) |
(£20,000) |
(£57,000) |
Revenue return per ordinary
share |
(0.7)p |
(0.4)p |
(1.2)p |
|
As at
31 August
2015 |
As at
31 August
2014 |
As at
28 February
2015 |
|
|
|
|
Assets (investments valued at bid
market prices) |
|
|
|
Net assets |
£2,711,000 |
£4,263,000 |
£3,148,000 |
Net asset value (“NAV”) per ordinary
share |
57.2p |
90.0p |
66.4p |
|
|
|
|
Mid-market quotation |
|
|
|
Ordinary shares |
54.5p |
85.5p |
85.5p |
(Discount)/premium to NAV |
(4.7)% |
(5.0)% |
28.8% |
C Share Fund
|
6
Months to
31 August
2015 |
6 Months
to
31 August
2014 |
12
Months to
28 February
2015 |
|
|
|
|
Total return |
|
|
|
Total return |
(£85,000) |
£10,000 |
£61,000 |
Total return per C share |
(4.4)p |
0.5p |
3.1p |
|
|
|
|
Revenue |
|
|
|
Net loss after tax |
(£13,000) |
(£13,000) |
(£23,000) |
Revenue return per C share |
(0.7)p |
(0.7)p |
(1.2)p |
|
As
at
31 August
2015 |
As
at
31 August
2014 |
As
at
28 February
2015 |
|
|
|
|
Assets (investments valued at bid
market prices) |
|
|
|
Net assets |
£1,569,000 |
£1,688,000 |
£1,739,000 |
NAV per C share |
81.2p |
87.4p |
90.1p |
|
|
|
|
Mid-market quotation |
|
|
|
C shares |
90.0p |
90.0p |
90.0p |
Premium/(discount) to NAV |
10.8% |
3.0% |
(0.1)% |
INTERIM MANAGEMENT REPORT
Performance Summary
The value of the qualifying portfolios for the ordinary shares
and the C shares fell over the period, reflecting a challenging
period for smaller companies’ valuations and extreme volatility in
financial markets. The net asset value per ordinary share
fell in the period to 31 August 2015
to 57.2 pence compared to
66.4 pence as at 28 February 2015. In part, this was the result of
paying a dividend of 5.25 pence per
ordinary share in July 2015. This dividend payment took
cumulative dividends paid on the ordinary shares since inception to
48.25 pence, bringing the total
return per ordinary share to 105.45
pence. The net asset value per C share was 81.2 pence as at 31 August
2015 compared to 90.1 pence as
at 28 February 2015. Again, this was,
in part, due to the payment of a dividend of 4.5 pence per C share in July 2015. This dividend payment took cumulative
dividends paid on the C shares since inception to 18 pence, bringing the total return per C share
to 99.2 pence.
Notwithstanding the recent fall in NAV, as the portfolio
continues to develop and mature, it should lead to further value
creation and provide opportunities for profitable realisations.
Special Interim Dividend on Ordinary
Shares
Within the Company's original subscription documents dated
3 March 2010, it was stated that the
Company's aim with regard to the ordinary shares was to produce a
return for investors of at least 70
pence per ordinary share by way of dividends or cash tender
offers by 14 December 2015.
The Directors are pleased that the Company is going to be in a
position to meet the targeted interim return on the ordinary Shares
and have today declared a special interim dividend of 21.8 pence per ordinary share, which will be paid
on 11 December 2015 to shareholders
on the register on 20 November 2015.
This dividend will bring the total dividends paid to 70.05 pence per ordinary share.
Venture Capital Investments
Portfolio developments
Calculus Capital Limited manages the Company’s portfolio of
Qualifying Investments. In general, we prefer to take stakes of
sufficient size to enable us to play a more influential role in
helping the companies develop. Investments may be by way of loan
stock and/or preference shares as well as equity. This provides
income for the Company which helps us to pay regular dividends and
provides a measure of risk mitigation.
The Ordinary Share Fund and the C Share Fund are managed
separately although they both have the same investment remit and,
therefore, both have similar portfolios. As at 31 August 2015, the Company had eleven Qualifying
Investments and ten Qualifying Investments on behalf of the
Ordinary Share Fund and the C Share Fund, respectively.
In the six months to 31 August
2015, the Company sold its holding in Venn Life Sciences plc
(“Venn”) on behalf of the Ordinary Share portfolio raising £80,000.
Hembuild Group Limited (“Hembuild”) repaid half its loans and
Hampshire Cosmetics Limited (“Hampshire”) repaid its loans in full
from the Ordinary Share portfolio. These two transactions raised
£275,000 and the proceeds were used to pay the dividend in
July 2015.
Human Race Group Limited (“Human Race”) (Ordinary and C Share
Funds)
Human Race operates over 60 mass participation sports events in the
UK. The company’s events include triathlon, cycling, running,
duathlon, aquathlon and open water swimming for over 90,000
participants of all abilities and ages, making it the largest such
operator in the UK. Two new flagship events have been successfully
launched in 2015: the London Winter Run, the largest inaugural 10k
run ever in the UK with 14,000 entries, and the Tour de
Yorkshire, a 3 day pro ride in
partnership with ASO (organisers of the Tour de France).
Benito’s Hat (trading name for Pico’s Limited) (C Share
Fund)
Benito’s Hat is a Mexican-themed, fast casual restaurant chain
offering tailor-made burritos, tacos, salads and a range of
specials. Benito’s Hat provides an authentic experience and
high-quality food, at an affordable price point. The company ended
its financial year on 31 July 2015,
with like-for-like sites beating both budget and prior year sales.
The company opened three sites during the year including at
Selfridges on Oxford Street.
Metropolitan Safe Custody Limited (“Metropolitan”) (Ordinary and
C Share Funds)
Metropolitan runs two safe custody sites, one in Knightsbridge, the
other in St. John’s Wood. These profitable, stable businesses serve
several thousand customers providing access to the vaults seven
days a week. The company has experienced strong year-on-year
growth. Metropolitan upgraded systems and added capacity
during the financial year just ended.
Horizon Discovery Group plc (“Horizon”) (C Share Fund)
Horizon is one of the leading life sciences companies in
Europe supplying research tools
and services that power genomics research and the development of
personalised medicines. Horizon had a strong first half with
revenues for the six months to 30 June
2015 of £8.6million (same period in 2014: £4.1million). The
primary drivers were increased organic growth in the product
division and increased organic and inorganic growth in the service
division.
Hampshire (Ordinary and C Share
Funds)
Hampshire manufactures fragrances,
body treatments, skincare products and shampoos for third party
customers including Bodyshop, Philip
Kingsley and Penhaligon. Our investment was made to back a
new management turning around this established manufacturer. This
has been successfully achieved and the company is now seeking to
further grow and diversify its revenue base, including the
continuing integration of Mr Pets (an on-line retailer of
veterinary and ancillary pet products).
Scancell Holdings plc (“Scancell”) (C Share Fund)
Scancell is developing novel therapeutic vaccines for treating
cancer and infectious disease. The company recently announced that
it had completed patient recruitment for its SCIB1 ImmunoBody®
Phase 1/2 clinical trial in patients with Stage III/IV melanoma.
Whilst the primary objective of the study is to assess safety and
tolerability, the trials indicate highly encouraging survival times
and melanoma-specific immune responses in patients. As with
previously reported data, SCIB1 continues to be a safe and well
tolerated treatment with no withdrawals from the study due to
drug-related adverse events.
Venn (C Share Fund)
Venn provides clinical trial management services to pharmaceutical,
biotechnology and medical device clients, offering clients a full
service, multi-centred capability in Phase II-IV trials across a
range of principal disease areas. 2015 revenues are forecast
to exceed €8 million, double the previous year, and the company is
expected to reach break-even profitability by the year end.
MicroEnergy Generation Services Limited (“MicroEnergy”)
(Ordinary Share Fund)
Following the acquisition of an additional 15 turbines in April,
MicroEnergy now owns and operates a fleet of 168 small onshore wind
turbines (<5kW) installed on farm land in East Anglia and Yorkshire. Revenues from the fleet of turbines
come from two sources, both of which are inflation protected, being
directly linked to RPI. Firstly, there is the Government backed
feed-in tariff (FIT) paid by the electricity suppliers for every
kilowatt of electricity generated for twenty years. Secondly, there
is an export tariff for any surplus electricity not used by the
site owner that is exported to the grid. In the year to the end of
March 2015, the fleet generated c. 1
MWh of electricity (c. 80 per cent. of forecast annual energy
production). The predicted annual sales to March 2016 is c. £300k.
Tollan Energy Limited (“Tollan”) (Ordinary Share Fund)
Tollan owns a portfolio of roof top solar installations in
Northern Ireland which benefits
from Northern Ireland Renewable Obligation Certificates (NIROCs).
Under the current NIROC regime, solar installations of less than
50kW per site receive 4 NIROCs per megawatt of electricity
generated (roughly 17pence per kWh),
indexed for 20 years. In addition, the company benefits from
the export tariff for any surplus electricity not used by the
homeowner that is exported to the grid (equating to roughly
2.4pence per kWh produced). The
portfolio is now fully installed and comprises 334 systems
(1.55MW), producing at an average efficiency of 83 per cent. from
installation to 31 March 2015. For
the quarter to the end of June 2015,
the fleet generated over 0.5 MWh or 99 per cent. of the seasonally
adjusted forecast.
Quai Administration Services Limited (“Quai”) (C Share Fund)
Quai provides platform technology combined with back office
administration services for the high-volume personal savings
industry. The company’s proprietary technology platform
provides automated trading and administration, straight through
processing, on-line web access and multi-currency portfolio
management services. Quai’s platform allows it to administer
many thousands of individual savings plans at a fraction of the
cost incurred by established insurance companies and wealth
managers, making it the ideal outsourcing partner. Quai now has six
corporate clients, compared to just one at the time of
investment. These clients include on-line investment services
provider Willis Owen, who has
partnered with Quai to power its new investment platform. The
new platform allows access to a range of products including ISAs
and SIPPs; and provides access to a wide selection of asset
classes, including funds and shares, ETFs and bonds.
Money Dashboard (trading name for The One Place Capital Limited)
(C Share Fund)
Money Dashboard empowers consumers to take control of their
finances. By using Money Dashboard, consumers are able to
view all of their current accounts, savings accounts and credit
cards in one secure place, providing the true view of their
finances. Since Calculus Capital’s first investment (2013), the
company has continued to develop its consumer service with new
desktop and mobile features.
AnTech Limited (“AnTech”) (Ordinary Share Fund)
AnTech is a specialist engineering company providing products and
services to the upstream oil and gas industry. The company’s
Products Division offers specialist products across a range of
applications including coiled lubing, completion equipment,
wireline and drilling. It continues to grow and operate
profitably, despite the oil price fall. Antech’s Services Division
has a new generation of directional coiled tubing drilling tools
for effective intervention in existing wells to enhance production
yield and extend well life. This is attractive in a low oil
price environment.
Terrain Energy Limited (“Terrain”) (Ordinary and C Share
Funds)
Terrain currently has interests in nine petroleum licences:
Keddington, Kirklington, Dukes Wood and Burton on the Wolds in the
East Midlands, Larne and an
offshore licence to the north of Larne in Northern Ireland, Brockham in Surrey and Egmating and Starnberger See in
Germany. Terrain has taken
advantage of attractive prices in the current market and will
shortly complete transactions to acquire interests in two new
licences and increase its interest in one existing licence. The
company is currently producing from wells at Keddington and
Brockham. New wells at Larne and one of its new licences as well as
sidetracks at Keddington and Brockham are due to be drilled in H1
2016.
Brigantes Energy Limited (“Brigantes”) (Ordinary Share Fund)
Brigantes and Corfe (details of which follows) were initially
intended to be one investment but were split for reasons of
structural efficiency. Both companies were originally established
to hold certain oil and gas exploration assets spun out from
InfraStrata Plc. Brigantes’ major interest is the Larne licence in
Northern Ireland which is
estimated to have un-risked prospective resources of 450 million
barrels of oil. All permissions and approvals are in place for the
licence partners to drill the Woodburn Forest-1 exploration well,
which is the first well to be drilled on the license.
Corfe Energy Limited (“Corfe”) (Ordinary Share Fund)
Corfe’s license interests are predominantly in the Dorset area. Initial interpretation of the
reprocessed 3D data over the P1918 licence adjacent to Wytch Farm
shows a prospect with P50 prospective resources of some 34 million
barrels of oil. A preliminary interpretation of Corfe
licenses PEDL237 and PL090 also indicates a number of interesting
opportunities.
Dryden Human Capital Group (“Dryden”) (Ordinary Share Fund)
Dryden specialises in the actuarial, insurance and compliance
recruitment sector across UK, Europe and the Far East. The company has made
significant progress in the implementation of new systems and
working processes and after a difficult trading period, is showing
evidence of improved performance.
Hembuild (Ordinary Share Fund)
Award winning Hembuild is a leading provider of fast-track,
sustainable building systems. Signature buildings include the
science museum’s large item archive, Marks and Spencers’
Cheshire Oaks superstore, the
largest outside Marble Arch, and a corporate archive for
GlaxoSmithKline. Its modular construction panels, made from hemp
based materials, provide one of the lowest carbon footprint
solutions available. Although Hembuild’s systems have a very low
carbon footprint, are thermally efficient and cost effective, the
company’s products have struggled to achieve wide market
acceptance.
Developments since the period end
In September 2015, the Company
sold its holding in Horizon from the C share portfolio. The sale
raised over £90,000 in proceeds for the C Share Fund, representing
a 1.8 times return on cost.
Other than disclosed above, there have not been any significant
developments in the venture capital portfolio since the period
end.
Structured Products Portfolio
A significant proportion of the portfolio of Structured Products
have now reached full term and there has been little change over
the past six months in the portfolio.
Despite the recent volatility in the market, the FTSE 100
continues to support valuations in the Structured Products
portfolio. The index has fallen from its level of 6,247.94 as at
28 August 2015 to 6,061.61 as at
30 September 2015, however it
continues to sit comfortably above all of the product’s strike
levels. Swap rates have decreased over the past month while market
volatility spiked in early September. Values of the Structured
Product portfolio look strong, with the highest strike value at
5,262.85 in the Ordinary Share Fund and 5,246.99 in the C Share
Fund.
No new investments were made in Structured Products during the
period.
The Structured Products will achieve their target return subject
to the Final Index Level of the FTSE 100 being higher than the
Initial Index Level. The capital is at risk on a one-for-one basis
(“CAR”) if the FTSE 100 Index falls more than 50 per cent. at any
time during the investment term and fails to fully recover at
maturity such that the Final Index Level is below the Initial Index
Level. As at 31 August 2015, the
following investments had been made in Structured Products:
Ordinary Share Fund Structured
Products Portfolio as at 31 August
2015
Issuer |
Strike Date |
FTSE
100 Initial Index Level |
Notional Investment |
Purchase Price |
Price
as at
31 August 2015 |
Maturity Date |
Return/Capital
at Risk (“CAR”) |
Investec Bank plc |
14/05/2010 |
5,262.85 |
£500,000 |
£0.98 |
£1.840032 |
19/11/2015 |
185% if FTSE 100
higher*; CAR if FTSE 100 falls more than 50% |
Matured/Sold
Issuer |
Strike Date |
FTSE
100 Initial Index Level at Maturity |
Notional Investment |
Purchase Price |
Price at Maturity/
Sale |
Maturity Date/
Date Sold |
Return/Capital
at Risk (“CAR”) |
HSBC Bank plc |
01/07/2010 |
4,805.75 |
£500,000 |
£1.00 |
Returned £1.2510 |
06/07/2012 |
125.1% if FTSE 100
higher*; CAR if FTSE 100 falls more than 50% |
The Royal Bank of Scotland
plc |
18/03/2011 |
5,718.13 |
£50,000 |
£1.00 |
Returned £1.1050 |
19/03/2012 |
Autocallable 10.5%
p.a.; CAR if FTSE 100 falls more than 50% |
Nomura Bank
International** |
28/05/2010 |
5,188.43 |
£350,000 |
£0.98 |
Sold at £1.2625 |
30/03/2012 |
137% if FTSE 100
higher*; CAR if FTSE 100 falls more than 50% |
Morgan Stanley
International |
10/06/2010 |
5,132.50 |
£500,000 |
£1.00 |
Sold at £1.3224 |
31/10/2012 |
134% if FTSE 100
higher*; CAR if FTSE 100 falls more than 50% |
Abbey National Treasury
Services |
03/08/2011 |
5,584.51 |
£50,000 |
£1.00 |
Sold at £1.1900 |
21/06/2013 |
126% if FTSE 100
higher*; CAR if FTSE 100 falls more than 50% |
The Royal Bank of Scotland
plc |
05/05/2010 |
5,341.93 |
£275,000 |
£0.96 |
Sold at £1.6057 |
06/11/2014 |
162.5% if FTSE 100
higher*; CAR if FTSE 100 falls more than 50% |
Abbey National Treasury
Services |
25/05/2010 |
4,940.68 |
£350,000 |
£0.99 |
Sold at £1.7920 |
06/11/2014 |
185% if FTSE 100
higher*; CAR if FTSE 100 falls more than 50% |
The total current valuation of the amount invested in Structured
Products in the Ordinary Share Fund as at 31
August 2015 was £920,016
C Share Fund Structured Products Portfolio as at 31 August 2015
Issuer |
Strike Date |
FTSE
100 Initial Index Level |
Notional Investment |
Purchase Price |
Price at 31 August 2015 |
Maturity Date |
Return/Capital at Risk (“CAR”) |
Investec Bank
plc |
05/08/2011 |
5,246.99 |
£328,000 |
£1.00 |
£1.588735 |
10/03/2017 |
182% if
FTSE 100 higher*; CAR if FTSE 100 falls more than 50% |
Matured/Sold
Issuer |
Strike Date |
FTSE
100 Initial Index Level at Maturity |
Notional Investment |
Purchase Price |
Price at Maturity |
Maturity Date |
Return/Capital at Risk (“CAR”) |
The Royal Bank of
Scotland plc |
18/03/2011 |
5,718.13 |
£200,000 |
£1.00 |
Returned
£1.1050 |
19/03/2012 |
Autocallable 10.5% p.a.; CAR if FTSE 100* falls more than 50% |
Nomura Bank
International** |
28/05/2010 |
5,188.43 |
£350,000 |
£1.26 |
Returned
£1.3700 |
20/02/2013 |
137% if
FTSE 100 higher*; CAR if FTSE 100 falls more than 50% |
Abbey National
Treasury Services |
03/08/2011 |
5,584.51 |
£200,000 |
£1.00 |
Returned
£1.2600 |
05/02/2014 |
126% if
FTSE 100 higher*; CAR if FTSE 100 falls more than 50% |
The total current valuation of the amount invested in Structured
Products in the C Share Fund as at 31 August
2015 was £521,105.
* The Final Index Level is calculated using ‘averaging’, meaning
that the average of the closing levels of the FTSE 100 is taken on
each Business Day over the last 2-6 months of the Structured
Product plan term (the length of the averaging period differs for
each plan). The use of averaging to calculate the return can reduce
adverse effects of a falling market or sudden market falls shortly
before maturity. Equally, it can reduce the benefits of an
increasing market or sudden market rises shortly before
maturity.
** The Nomura Structured Product was sold prior to maturity with
a return on initial investment of 28.8 per cent. This was sold to
the C Share Fund
Calculus Capital
Limited
Investec Structured Products
23 October
2015 23
October 2015
INVESTMENT PORTFOLIO AS AT 31
AUGUST 2015
- ORDINARY SHARE FUND
% of Net Assets |
|
|
|
Structured Products |
34% |
Unquoted - loan stock |
15% |
Quoted and unquoted - ordinary and
preference shares |
45% |
Unquoted - liquidity funds |
- |
Net current assets |
6% |
|
|
|
100% |
Sector - % of Portfolio |
|
|
|
Structured Products |
36% |
Quoted and unquoted - Qualifying
Investments |
64% |
Unquoted - other non-Qualifying
Investments |
- |
|
|
|
100% |
Company |
Nature
of
Business |
Book
Cost
£’000 |
Valuation
£’000 |
% of
Net
Assets |
%
of
Portfolio |
|
|
|
|
|
|
Structured Products |
|
|
|
|
|
Investec Bank plc |
Banking |
490 |
920 |
34% |
36% |
|
|
|
|
|
|
Total Structured Products |
|
490 |
920 |
34% |
36% |
|
|
|
|
|
|
Qualifying Investments |
|
|
|
|
|
AnTech Limited |
Oil services |
270 |
323 |
12% |
13% |
Human Race Group Limited |
Leisure |
300 |
300 |
11% |
12% |
Terrain Energy Limited |
Onshore oil and gas production |
100 |
173 |
6% |
7% |
Tollan Energy Limited |
Energy |
150 |
164 |
6% |
6% |
Metropolitan Safe Custody
Limited |
Safe depository services |
90 |
155 |
6% |
6% |
Hampshire Cosmetics Limited |
Cosmetics |
100 |
153 |
6% |
6% |
MicroEnergy Generation Services
Limited |
Energy |
150 |
147 |
5% |
6% |
Brigantes Energy Limited |
Oil and gas exploration and
production |
127 |
108 |
4% |
4% |
Hembuild Group Limited |
Construction |
182 |
63 |
2% |
2% |
Corfe Energy Limited |
Oil and gas exploration and
production |
76 |
45 |
2% |
2% |
Dryden Human Capital Group
Limited |
Human resources |
100 |
7 |
- |
- |
Heritage House Limited |
Publishing and media services |
125 |
- |
- |
- |
Secure Electrans Limited |
E-commerce security |
112 |
- |
- |
- |
|
|
|
|
|
|
Total Qualifying Investments |
|
1,882 |
1,638 |
60% |
64% |
|
|
|
|
|
|
Other non-Qualifying
Investments |
|
|
|
|
|
Aberdeen Sterling Liquidity
Fund |
Liquidity fund |
1 |
1 |
- |
- |
|
|
|
|
|
|
Total Other non-Qualifying
Investments |
|
1 |
1 |
- |
- |
|
|
|
|
|
|
Total Investments |
|
2,373 |
2,559 |
94% |
100% |
|
|
|
|
|
|
Net Current Assets less Creditors
due after one year |
|
|
152 |
6% |
|
|
|
|
|
|
|
Net Assets |
|
|
2,711 |
100% |
|
INVESTMENT PORTFOLIO AS AT 31
AUGUST 2015
- C SHARE FUND
% of Net Assets |
|
|
|
Structured Products |
33% |
Unquoted - loan stock |
13% |
Quoted and unquoted - ordinary and
preference shares |
55% |
Unquoted - liquidity funds |
- |
Net current assets |
(1)% |
|
|
|
100% |
Sector - % of Portfolio |
|
|
|
Structured Products |
33% |
Quoted and unquoted – Qualifying
Investments |
67% |
Unquoted – other non-Qualifying
Investments |
- |
|
|
|
100% |
Company |
Nature of
Business |
Book Cost
£’000 |
Valuation
£’000 |
% of Net
Assets |
% of
Portfolio |
|
|
|
|
|
|
Structured Products |
|
|
|
|
|
Investec Bank plc |
Banking |
328 |
521 |
33% |
33% |
|
|
|
|
|
|
Total Structured Products |
|
328 |
521 |
33% |
33% |
|
|
|
|
|
|
Qualifying Investments |
|
|
|
|
|
Hampshire Cosmetics Limited |
Cosmetics |
150 |
162 |
10% |
10% |
Human Race Group Limited |
Leisure |
150 |
150 |
10% |
10% |
Quai Administration Services
Limited |
Technology |
150 |
150 |
10% |
10% |
The One Place Capital Limited |
Personal finance |
127 |
127 |
8% |
8% |
Scancell Holdings plc |
Biotech |
100 |
119 |
8% |
8% |
Horizon Discovery Group plc |
Biotechnology |
50 |
83 |
5% |
5% |
Terrain Energy Limited |
Onshore oil and gas production |
50 |
81 |
5% |
5% |
Metropolitan Safe Custody
Limited |
Safe depository services |
40 |
69 |
4% |
4% |
Pico’s Limited |
Leisure |
50 |
64 |
4% |
4% |
Venn Life Sciences Plc |
Clinical research |
80 |
56 |
4% |
3% |
Heritage House Limited |
Publishing and media services |
63 |
- |
- |
- |
Secure Electrans Limited |
E-commerce security |
75 |
- |
- |
- |
|
|
|
|
|
|
Total Qualifying Investments |
|
1,085 |
1,061 |
68% |
67% |
|
|
|
|
|
|
Other non-Qualifying
Investments |
|
|
|
|
|
Aberdeen Sterling Liquidity
Fund |
Liquidity fund |
1 |
1 |
- |
- |
Fidelity Liquidity Fund |
Liquidity fund |
- |
- |
- |
- |
|
|
|
|
|
|
Total Other non-Qualifying
Investments |
|
1 |
1 |
- |
- |
|
|
|
|
|
|
Total Investments |
|
1,414 |
1,583 |
101% |
100% |
|
|
|
|
|
|
Net Current Assets less creditors
due after one year |
|
|
(14) |
(1)% |
|
|
|
|
|
|
|
Net Assets |
|
|
1,569 |
100% |
|
PRINCIPAL RISKS
The principal risks facing the Company are substantially
unchanged since the date of the Annual Report and Accounts for the
year ended 28 February 2015 and
continue to be as set out on pages 23 and 24 of that report.
Risks faced by the Company include, but are not limited to, loss
of approval as a venture capital trust and other regulatory
breaches, risks of making Venture Capital Investments, risks
attaching to investment in Structured Products,
liquidity/marketability risk, changes in legislation/taxation,
engagement of third party advisers, C shares versus ordinary
shares, market price risk and credit risk.
DIRECTORS’ RESPONSIBILITY
STATEMENT
The Directors confirm that to the best of their knowledge:
- the condensed set of financial statements has been prepared in
accordance with the Statement on Half Yearly Financial Reports
issued by the UK Accounting Standards Board and gives a true and
fair view of the assets, liabilities and financial position of the
Company; and
- this Half Yearly Financial Report includes a fair review of the
information required by:
- DTR 4.2.7R of the Disclosure and Transparency Rules, being an
indication of important events that have occurred during the first
six months of the financial year and their impact on the condensed
set of financial statements; and a description of the principal
risks and uncertainties for the remaining six months of the year;
and
- DTR 4.2.8R of the Disclosure and Transparency Rules, being
related party transactions that have taken place in the first six
months of the current financial year and that have materially
affected the financial position or performance of the Company
during that period; and any changes in the related party
transactions described in the last Annual Report that could do
so.
This Half Yearly Financial Report was approved by the Board of
Directors on 23 October 2015 and the
above responsibility statement was signed on its behalf by Michael
O’Higgins, Chairman.
CONDENSED INCOME STATEMENT
FOR THE PERIOD FROM 1 MARCH 2015
TO 31 AUGUST 2015
(UNAUDITED)
|
|
6 Months Ended
31 August 2015 |
6 Months Ended
31 August 2014 |
12 Months Ended
28 February 2015* |
|
Note |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
Ordinary Share Fund |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment holding
(losses)/gains |
|
- |
(107) |
(107) |
- |
34 |
34 |
- |
(443) |
(443) |
(Loss)/gain on disposal of
investments |
|
- |
(41) |
(41) |
- |
3 |
3 |
- |
459 |
459 |
Income |
|
33 |
- |
33 |
40 |
- |
40 |
64 |
- |
64 |
Investment management fee |
|
(4) |
(12) |
(16) |
(6) |
(17) |
(23) |
(10) |
(32) |
(42) |
Other operating expenses |
|
(61) |
- |
(61) |
(54) |
- |
(54) |
(111) |
- |
(111) |
(Loss)/profit on ordinary activities
before taxation |
|
(32) |
(160) |
(192) |
(20) |
20 |
- |
(57) |
(16) |
(73) |
Taxation
on ordinary activities |
3 |
- |
- |
- |
- |
- |
- |
- |
- |
- |
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit for the period |
|
(32) |
(160) |
(192) |
(20) |
20 |
- |
(57) |
(16) |
(73) |
Basic and
diluted earnings per
ordinary share |
2 |
(0.7)p |
(3.4)p |
(4.1)p |
(0.4)p |
0.4p |
0.0p |
(1.2)p |
(0.3)p |
(1.5)p |
|
|
6 Months Ended
31 August 2015 |
6 Months Ended
31 August 2014 |
12 Months Ended
28 February 2015* |
|
Note |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
|
|
|
|
|
|
|
|
|
|
|
C Share Fund |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment holding
(losses)/gains |
|
- |
(65) |
(65) |
- |
30 |
30 |
- |
98 |
98 |
Loss on disposal of investments |
|
- |
- |
- |
- |
- |
- |
- |
(1) |
(1) |
Income |
|
11 |
- |
11 |
11 |
- |
11 |
25 |
- |
25 |
Investment management fee |
|
(2) |
(7) |
(9) |
(2) |
(7) |
(9) |
(4) |
(13) |
(17) |
Other operating expenses |
|
(23) |
- |
(23) |
(22) |
- |
(22) |
(44) |
- |
(44) |
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit on ordinary
activities before taxation |
|
(14) |
(72) |
(86) |
(13) |
23 |
10 |
(23) |
84 |
61 |
|
|
|
|
|
|
|
|
|
|
|
Taxation on ordinary
activities |
3 |
- |
- |
- |
- |
- |
- |
- |
- |
- |
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit for the period |
|
(14) |
(72) |
(86) |
(13) |
23 |
10 |
(23) |
84 |
61 |
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted earnings per C share |
2 |
(0.7)p |
(3.7)p |
(4.4)p |
(0.7)p |
1.2p |
0.5p |
(1.2)p |
4.3p |
3.1p |
* These figures are audited.
The total columns of these statements represent the Total
Comprehensive Income Statement of the Ordinary Share Fund and the C
Share Fund.
The supplementary revenue return and capital return columns are
both prepared in accordance with the Association of Investment
Companies (“AIC”) Statement of Recommended Practice (“SORP”).
The notes form an integral part of these Accounts.
|
|
6 Months Ended
31 August 2015 |
6 Months Ended
31 August 2014 |
12 Months Ended
28 February 2015* |
|
Note |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
Revenue
Return
£’000 |
Capital
Return
£’000 |
Total
£’000 |
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment holding
(losses)/gains |
|
- |
(172) |
(172) |
- |
64 |
64 |
- |
(345) |
(345) |
(Loss)/gain on disposal of
investments |
|
- |
(41) |
(41) |
- |
3 |
3 |
- |
458 |
458 |
Income |
|
44 |
- |
44 |
51 |
- |
51 |
89 |
- |
89 |
Investment management fee |
|
(6) |
(19) |
(25) |
(8) |
(24) |
(32) |
(14) |
(45) |
(59) |
Other operating expenses |
|
(84) |
- |
(84) |
(76) |
- |
(76) |
(155) |
- |
(155) |
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit on ordinary
activities before taxation |
|
(46) |
(232) |
(278) |
(33) |
43 |
10 |
(80) |
68 |
(12) |
|
|
|
|
|
|
|
|
|
|
|
Taxation on ordinary activities |
3 |
- |
- |
- |
- |
- |
- |
- |
- |
- |
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit for the period |
|
(46) |
(232) |
(278) |
(33) |
43 |
10 |
(80) |
68 |
(12) |
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted earnings per ordinary share |
2 |
(0.7)p |
(3.4)p |
(4.1)p |
(0.4)p |
0.4p |
0.0p |
(1.2)p |
(0.3)p |
(1.5)p |
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted earnings per C share |
2 |
(0.7)p |
(3.7)p |
(4.4)p |
(0.7)p |
1.2p |
0.5p |
(1.2)p |
4.3p |
3.1p |
|
|
|
|
|
|
|
|
|
|
|
|
* These figures are audited.
The total column of this statement represents the Company’s
Total Comprehensive Income Statement.
The supplementary revenue return and capital return columns are
both prepared in accordance with the AIC’s SORP.
No operations were acquired or discontinued during the
period.
All items in the above statements derive from continuing
operations.
There were no recognised gains or losses other than those
passing through the Income Statement.
The notes form an integral part of these Accounts.
CONDENSED STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD FROM 1 MARCH 2015
TO 31 AUGUST 2015
(UNAUDITED)
|
Non-distributable reserves |
Distributable reserves |
|
|
Share
Capital
£’000 |
Capital
Reserve
Realised
£’000 |
Special
Reserve
£’000 |
Capital
Reserve
Unrealised
£’000 |
Revenue
Reserve
£’000 |
Total
£’000 |
|
|
|
|
|
|
|
Ordinary Share
Fund |
|
|
|
|
|
|
|
|
|
|
|
|
|
For the 6 month
period to 31 August 2015 |
|
|
|
|
|
|
1 March 2015 |
47 |
700 |
2,438 |
293 |
(330) |
3,148 |
Investment holding
losses |
- |
- |
- |
(107) |
- |
(107) |
Loss on disposal of
investments |
- |
(41) |
- |
- |
- |
(41) |
Management fee
allocated to capital |
- |
(12) |
- |
- |
- |
(12) |
Change in accrual in
IFA Commission |
- |
- |
4 |
- |
- |
4 |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(32) |
(32) |
Dividend paid (note
9) |
- |
- |
(249) |
- |
- |
(249) |
|
|
|
|
|
|
|
31 August
2015 |
47 |
647 |
2,193 |
186 |
(362) |
2,711 |
|
|
|
|
|
|
|
For the 6 month
period to 31 August 2014 |
|
|
|
|
|
|
1 March 2014 |
47 |
273 |
3,729 |
736 |
(273) |
4,512 |
Investment holding
gains |
- |
- |
- |
34 |
- |
34 |
Gain on disposal of
investments |
- |
3 |
- |
- |
- |
3 |
Management fee
allocated to capital |
- |
(17) |
- |
- |
- |
(17) |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(20) |
(20) |
Dividend paid |
- |
- |
(249) |
- |
- |
(249) |
|
|
|
|
|
|
|
31 August
2014 |
47 |
259 |
3,480 |
770 |
(293) |
4,263 |
|
|
|
|
|
|
|
For the 12 months
ended 28 February 2015* |
|
|
|
|
|
|
1 March 2014 |
47 |
273 |
3,729 |
736 |
(273) |
4,512 |
Investment holding
losses |
- |
- |
- |
(443) |
- |
(443) |
Gain on disposal of
investments |
- |
459 |
- |
- |
- |
459 |
Management fee
allocated to capital |
- |
(32) |
- |
- |
- |
(32) |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(57) |
(57) |
Dividend paid |
- |
- |
(1,291) |
- |
- |
(1,291) |
|
|
|
|
|
|
|
28 February
2015 |
47 |
700 |
2,438 |
293 |
(330) |
3,148 |
* These figures are audited.
The notes form an integral part of these
Accounts.
|
Non-distributable reserves |
Distributable reserves |
|
|
Share
Capital
£’000 |
Capital
Reserve
Realised
£’000 |
Special
Reserve
£’000 |
Capital
Reserve
Unrealised
£’000 |
Revenue
Reserve
£’000 |
Total
£’000 |
|
|
|
|
|
|
|
C Share
Fund |
|
|
|
|
|
|
|
|
|
|
|
|
|
For the 6 month
period to 31 August 2015 |
|
|
|
|
|
|
1 March 2015 |
19 |
72 |
1,541 |
235 |
(128) |
1,739 |
Investment holding
losses |
- |
- |
- |
(65) |
- |
(65) |
Management fee
allocated to capital |
- |
(7) |
- |
- |
- |
(7) |
Change in accrual in
IFA Commission |
- |
- |
3 |
- |
- |
3 |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(14) |
(14) |
Dividend paid (note
9) |
- |
- |
(87) |
- |
- |
(87) |
|
|
|
|
|
|
|
31 August
2015 |
19 |
65 |
1,457 |
170 |
(142) |
1,569 |
|
|
|
|
|
|
|
For the 6 month
period to 31 August 2014 |
|
|
|
|
|
|
1 March 2014 |
19 |
86 |
1,628 |
137 |
(105) |
1,765 |
Investment holding
gains |
- |
- |
- |
30 |
- |
30 |
Management fee
allocated to capital |
- |
(7) |
- |
- |
- |
(7) |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(13) |
(13) |
Dividend paid |
- |
- |
(87) |
- |
- |
(87) |
|
|
|
|
|
|
|
31 August
2014 |
19 |
79 |
1,541 |
167 |
(118) |
1,688 |
|
|
|
|
|
|
|
For the 12 months
ended 28 February 2015* |
|
|
|
|
|
|
1 March 2014 |
19 |
86 |
1,628 |
137 |
(105) |
1,765 |
Investment holding
gains |
- |
- |
- |
98 |
- |
98 |
Loss on disposal of
investments |
- |
(1) |
- |
- |
- |
(1) |
Management fee
allocated to capital |
- |
(13) |
- |
- |
- |
(13) |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(23) |
(23) |
Dividend paid |
- |
- |
(87) |
- |
- |
(87) |
|
|
|
|
|
|
|
28 February
2015 |
19 |
72 |
1,541 |
235 |
(128) |
1,739 |
* These figures are audited.
The notes form an integral part of these
Accounts.
|
Non-distributable reserves |
Distributable reserves |
|
|
Share
Capital
£’000 |
Capital
Reserve
Realised
£’000 |
Special
Reserve
£’000 |
Capital
Reserve
Unrealised
£’000 |
Revenue
Reserve
£’000 |
Total
£’000 |
Total |
|
|
|
|
|
|
|
|
|
|
|
|
|
For the 6 month
period to 31 August 2015 |
|
|
|
|
|
|
1 March 2015 |
66 |
772 |
3,979 |
528 |
(458) |
4,887 |
Investment holding
losses |
- |
- |
- |
(172) |
- |
(172) |
Loss on disposal of
investments |
- |
(41) |
- |
- |
- |
(41) |
Management fee
allocated to capital |
- |
(19) |
- |
- |
- |
(19) |
Change in accrual in
IFA Commission |
- |
- |
7 |
- |
- |
7 |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(46) |
(46) |
Dividend paid (note
9) |
- |
- |
(336) |
- |
- |
(336) |
|
|
|
|
|
|
|
31 August
2015 |
66 |
712 |
3,650 |
356 |
(504) |
4,280 |
|
|
|
|
|
|
|
For the 6 month
period to 31 August 2014 |
|
|
|
|
|
|
1 March 2014 |
66 |
359 |
5,357 |
873 |
(378) |
6,277 |
Investment holding
gains |
- |
- |
- |
64 |
- |
64 |
Gain on disposal of
investments |
- |
3 |
- |
- |
- |
3 |
Management fee
allocated to capital |
- |
(24) |
- |
- |
- |
(24) |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(33) |
(33) |
Dividend paid |
- |
- |
(336) |
- |
- |
(336) |
|
|
|
|
|
|
|
31 August
2014 |
66 |
338 |
5,021 |
937 |
(411) |
5,951 |
|
|
|
|
|
|
|
For the 12 months
ended 28 February 2015* |
|
|
|
|
|
|
1 March 2014 |
66 |
359 |
5,357 |
873 |
(378) |
6,277 |
Investment holding
losses |
- |
- |
- |
(345) |
- |
(345) |
Gain on disposal of
investments |
- |
458 |
- |
- |
- |
458 |
Management fee
allocated to capital |
- |
(45) |
- |
- |
- |
(45) |
Revenue return on
ordinary activities after tax |
- |
- |
- |
- |
(80) |
(80) |
Dividend paid |
- |
- |
(1,378) |
- |
- |
1,378) |
28 February 2015 |
66 |
772 |
3,979 |
528 |
(458) |
4,887 |
* These figures are audited.
The notes form an integral part of these Accounts.
CONDENSED BALANCE SHEET
AS AT 31 AUGUST 2015
(UNAUDITED)
|
Note |
31
August 2015
£’000 |
31
August
2014
£’000 |
28
February
2015*
£’000 |
|
|
|
|
|
Ordinary Share Fund |
|
|
|
|
|
|
|
|
|
Fixed assets |
|
|
|
|
Investments |
4 |
2,559 |
4,250 |
3,061 |
|
|
|
|
|
Current assets |
|
|
|
|
Debtors |
|
91 |
99 |
62 |
Cash at bank and on deposit |
|
123 |
6 |
107 |
|
|
|
|
|
|
|
214 |
105 |
169 |
|
|
|
|
|
Creditors: amounts falling due
within one year |
|
|
|
|
Creditors |
|
(61) |
(90) |
(82) |
|
|
|
|
|
Net current assets |
|
153 |
15 |
87 |
|
|
|
|
|
Non-current liabilities |
|
|
|
|
IFA trail commission |
|
(1) |
(2) |
- |
|
|
|
|
|
Total net assets |
|
2,711 |
4,263 |
3,148 |
|
|
|
|
|
Capital and reserves |
|
|
|
|
Called-up share capital |
7 |
47 |
47 |
47 |
Special reserve |
|
2,193 |
3,480 |
2,438 |
Capital reserve – realised |
|
647 |
259 |
700 |
Capital reserve – unrealised |
|
186 |
770 |
293 |
Revenue reserve |
|
(362) |
(293) |
(330) |
|
|
|
|
|
Total shareholders’
funds |
|
2,711 |
4,263 |
3,148 |
|
|
|
|
|
Net asset value per ordinary
share - basic |
5 |
57.2p |
90.0p |
66.4p |
|
|
|
|
|
* These figures are audited.
The notes form an integral part of these Accounts.
|
Note |
31
August 2015
£’000 |
31
August 2014
£’000 |
28
February 2015*
£’000 |
|
|
|
|
|
C Share Fund |
|
|
|
|
|
|
|
|
|
Fixed assets |
|
|
|
|
Investments |
4 |
1,583 |
1,677 |
1,649 |
|
|
|
|
|
Current assets |
|
|
|
|
Debtors |
|
44 |
41 |
26 |
Cash at bank and on deposit |
|
- |
11 |
103 |
|
|
|
|
|
|
|
44 |
52 |
129 |
|
|
|
|
|
Creditors: amounts falling due
within one year |
|
|
|
|
Creditors |
|
(31) |
(37) |
(36) |
Bank overdraft |
|
(27) |
- |
- |
|
|
|
|
|
|
|
(58) |
(37) |
(36) |
|
|
|
|
|
Net current
(liabilities)/assets |
|
(14) |
15 |
93 |
|
|
|
|
|
Non-current
liabilities |
|
|
|
|
IFA trail commission |
|
- |
(4) |
(3) |
|
|
|
|
|
Total net assets |
|
1,569 |
1,688 |
1,739 |
|
|
|
|
|
Capital and reserves |
|
|
|
|
Called-up share capital |
7 |
19 |
19 |
19 |
Special reserve |
|
1,457 |
1,541 |
1,541 |
Capital reserve – realised |
|
65 |
79 |
72 |
Capital reserve – unrealised |
|
170 |
167 |
235 |
Revenue reserve |
|
(142) |
(118) |
(128) |
|
|
|
|
|
Total shareholders’
funds |
|
1,569 |
1,688 |
1,739 |
|
|
|
|
|
Net asset value per C share -
basic |
5 |
81.2p |
87.4p |
90.1p |
* These figures are audited.
The notes form an integral part of these Accounts.
|
Note |
31
August 2015
£’000 |
31
August 2014
£’000 |
28
February 2015*
£’000 |
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
|
Fixed
assets |
|
|
|
|
Investments |
4 |
4,142 |
5,927 |
4,710 |
|
|
|
|
|
Current
assets |
|
|
|
|
Debtors |
|
135 |
140 |
88 |
Cash at bank and on
deposit |
|
123 |
17 |
210 |
|
|
|
|
|
|
|
258 |
157 |
298 |
|
|
|
|
|
Creditors: amounts falling due within one year
Creditors |
|
(92) |
(127) |
(118) |
Bank overdraft |
|
(27) |
- |
- |
|
|
|
|
|
|
|
(119) |
(127) |
(118) |
|
|
|
|
|
Net current
assets |
|
139 |
30 |
180 |
|
|
|
|
|
Non-current
liabilities |
|
|
|
|
IFA trail
commission |
|
(1) |
(6) |
(3) |
|
|
|
|
|
Total net
assets |
|
4,280 |
5,951 |
4,887 |
|
|
|
|
|
Capital and
reserves |
|
|
|
|
Called-up share
capital |
7 |
66 |
66 |
66 |
Special reserve |
|
3,650 |
5,021 |
3,979 |
Capital reserve –
realised |
|
712 |
338 |
772 |
Capital reserve –
unrealised |
|
356 |
937 |
528 |
Revenue reserve |
|
(504) |
(411) |
(458) |
|
|
|
|
|
Total shareholders’
funds |
|
4,280 |
5,951 |
4,887 |
|
|
|
|
|
Net asset value per
ordinary share – basic |
5 |
57.2p |
90.0p |
66.4p |
|
|
|
|
|
Net asset value per
C share – basic |
5 |
81.2p |
87.4p |
90.1p |
* These figures are audited.
The notes form an integral part of these Accounts.
CONDENSED STATEMENT OF CASH FLOW
FOR TO THE PERIOD FROM 1 MARCH
2015 TO 31 AUGUST 2015
(UNAUDITED)
|
Note |
6
Months
Ended
31 August
2015
£’000 |
6
Months
Ended
31 August
2014
£’000 |
12
Months
Ended
28 February
2015*
£’000 |
|
|
|
|
|
Ordinary Share Fund |
|
|
|
|
|
|
|
|
|
Operating activities |
|
|
|
|
Investment income received |
|
33 |
44 |
70 |
Investment management fees |
|
(27) |
(56) |
(79) |
Other cash payments |
|
(95) |
(74) |
(99) |
|
|
|
|
|
Cash flow from
operations |
6 |
(89) |
(86) |
(108) |
|
|
|
|
|
Cash flow from investing
activities |
|
|
|
|
Purchase of investments |
|
- |
- |
(3) |
Sale of investments |
|
354 |
363 |
1,531 |
|
|
|
|
|
Net cash flow from investing
activities |
|
354 |
363 |
1,528 |
|
|
|
|
|
Equity dividend paid |
9 |
(249) |
(249) |
(1,291) |
|
|
|
|
|
Net cash flow before
financing |
|
16 |
28 |
129 |
|
|
|
|
|
Cash flow from financing
activities |
|
|
|
|
Expenses of share issues |
|
- |
- |
- |
|
|
|
|
|
Net cash flow from financing
activities |
|
- |
- |
- |
|
|
|
|
|
Increase in cash at bank and on
deposit |
|
16 |
28 |
129 |
|
|
|
|
|
Opening cash and cash
equivalents |
|
107 |
(22) |
(22) |
Closing cash and cash
equivalents |
|
123 |
6 |
107 |
* These figures are audited.
The notes form an integral part of these Accounts.
|
Note |
6
Months
Ended
31 August
2015
£’000 |
6
Months
Ended
31 August
2014
£’000 |
12
Months
Ended
28 February
2015*
£’000 |
|
|
|
|
|
C Share
Fund |
|
|
|
|
|
|
|
|
|
Operating
activities |
|
|
|
|
Investment income
received |
|
10 |
11 |
27 |
Investment management
fees |
|
(13) |
(13) |
(22) |
Other cash
payments |
|
(40) |
(30) |
(40) |
|
|
|
|
|
Cash flow from
operations |
6 |
(43) |
(32) |
(35) |
|
|
|
|
|
Cash flow from
investing activities |
|
|
|
|
Purchase of
investments |
|
- |
- |
- |
Sale of
investments |
|
- |
- |
95 |
|
|
|
|
|
Net cash flow from
investing activities |
|
- |
- |
95 |
|
|
|
|
|
Equity dividend
paid |
9 |
(87) |
(87) |
(87) |
|
|
|
|
|
Net cash flow
before financing |
|
(130) |
(119) |
(27) |
|
|
|
|
|
Cash flow from
financing activities |
|
|
|
|
Expenses of share
issue |
|
- |
- |
- |
|
|
|
|
|
Net cash flow from
financing activities |
|
- |
- |
- |
|
|
|
|
|
Decrease in cash at
bank and on deposit |
|
(130) |
(119) |
(27) |
|
|
|
|
|
Opening cash and
cash equivalents |
|
103 |
130 |
130 |
Closing cash and
cash equivalents |
|
(27) |
11 |
103 |
* These figures are audited.
The notes form an integral part of these Accounts.
|
Note |
6
Months
Ended
31 August
2015
£’000 |
6
Months
Ended
31 August
2014
£’000 |
12
Months
Ended
28 February
2015*
£’000 |
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
|
Operating
activities |
|
|
|
|
Investment income
received |
|
43 |
55 |
97 |
Investment management
fees |
|
(40) |
(69) |
(101) |
Other cash
payments |
|
(135) |
(104) |
(139) |
|
|
|
|
|
Cash flow from
operations |
6 |
(132) |
(118) |
(143) |
|
|
|
|
|
Cash flow from
investing activities |
|
|
|
|
Purchase of
investments |
|
- |
- |
(3) |
Sale of
investments |
|
354 |
363 |
1,626 |
|
|
|
|
|
Net cash flow from
investing activities |
|
354 |
363 |
1,623 |
|
|
|
|
|
Equity dividend
paid |
9 |
(336) |
(336) |
(1,378) |
|
|
|
|
|
Net cash flow
before financing |
|
(114) |
(91) |
102 |
|
|
|
|
|
Cash flow from
financing activities |
|
|
|
|
Expenses of share
issues |
|
- |
- |
- |
|
|
|
|
|
Net cash flow from
financing activities |
|
- |
- |
- |
|
|
|
|
|
(Decrease)/increase
in cash at bank and on deposit |
|
(114) |
(91) |
102 |
|
|
|
|
|
Opening cash and
cash equivalents |
|
210 |
108 |
108 |
Closing cash and
cash equivalents |
|
96 |
17 |
210 |
* These figures are audited.
The notes form an integral part of these
Accounts.
CONDENSED NOTES TO THE ACCOUNTS
1. Nature of Financial Information
Basis of accounting
The half-yearly financial results cover the six months ended
31 August 2015. The Company applies
UK Generally Accepted Accounting Principles in its annual financial
statements, and is intending to adopt FRS 102 and the AIC’s
Statement of Recommended Practice issued in November 2014 for its financial year ending
29 February 2016. The financial
statements for the six months to 31 August
2015 have therefore been prepared in accordance with FRS 104
‘Interim Financial Reporting’. The Directors do not expect any
significant changes to the Company’s accounting policies as a
result of the adoption of FRS 102. The accounts have therefore been
prepared on the basis of the same accounting policies as set out in
the Company’s Annual Report and Financial Statements for the year
ended 28 February 2015.
The comparative figures for the financial year ended
28 February 2015 are not the
Company’s statutory accounts for that financial year, but are based
on those accounts, represented as necessary to comply with FRS
102.
In determining the analysis of total income and expenses as
between capital return and revenue return, the Directors have
followed the guidance contained in the AIC SORP, as revised in
2009, and on the assumption that the Company maintains VCT
status.
The financial information contained in this report does not
constitute full statutory accounts as defined in Section 434 of the
Companies Act 2006. The financial information for the six month
period ended 31 August 2015 and the
six month period ended 31 August 2014
has not been audited or reviewed by the Company’s Auditors pursuant
to the Auditing Practices Board guidance on such reviews.
The information for the year ended 28
February 2015 has been extracted from the latest published
Annual Report and Accounts, which have been filed with the
Registrar of Companies. The report of the Auditors on those
Accounts contained no qualification or statement under Section
498(2) or (3) of the Companies Act 2006.
With effect from 22 October 2015,
the name of the Company was changed from Investec Structured
Products Calculus VCT Plc to Calculus VCT Plc.
Going concern
After making enquiries, and having reviewed the portfolio,
balance sheet and projected income and expenditure for the next
twelve months, the Directors have a reasonable expectation that the
Company has adequate resources to continue in operation for the
foreseeable future. The Directors have therefore adopted the going
concern basis in preparing these Accounts.
2. Return per Share
|
6 Months Ended
31 August 2015 |
6 Months Ended
31 August 2014 |
12 Months Ended
28 February 2015 |
|
Revenue
pence |
Capital
pence |
Total
pence |
Revenue
pence |
Capital
pence |
Total
pence |
Revenue
pence |
Capital
Pence |
Total
pence |
|
|
|
|
|
|
|
|
|
|
Return per ordinary share |
(0.7) |
(3.4) |
(4.1) |
(0.4) |
0.4 |
0.0 |
(1.2) |
(0.3) |
(1.5) |
|
|
|
|
|
|
|
|
|
|
Return per C share |
(0.7) |
(3.7) |
(4.4) |
(0.7) |
1.2 |
0.5 |
(1.2) |
4.3 |
3.1 |
Ordinary shares
Revenue return per ordinary share is based on the net revenue
loss on ordinary activities after taxation of £32,000 (31 August 2014: loss of £20,000; 28 February 2015: loss of £57,000) and on
4,738,463 ordinary shares (31 August
2014: 4,738,463; 28 February
2015: 4,738,463), being the weighted average number of
ordinary shares in issue during the period.
Capital return per ordinary share is based on the net capital
loss for the period of £160,000 (31 August
2014: gain of £20,000; 28 February
2015: loss of £16,000) and on 4,738,463 ordinary shares
(31 August 2014: 4,738,463;
28 February 2015: 4,738,463), being
the weighted average number of ordinary shares in issue during the
period.
Total return per ordinary share is based on the net loss on
ordinary activities for the period of £192,000 (31 August 2014: £nil; 28
February 2015: loss of £73,000) and on 4,738,463 ordinary
shares (31 August 2014: 4,738,463;
28 February 2015: 4,738,463), being
the weighted average number of ordinary shares in issue during the
period.
C shares
Revenue return per C share is based on the net revenue loss on
ordinary activities after taxation of £14,000 (31 August 2014: loss of £13,000; 28 February 2015: loss of £23,000) and on
1,931,095 C shares (31 August 2014:
1,931,095; 28 February 2015:
1,931,095), being the weighted average number of C shares in issue
during the period.
Capital return per C share is based on the net capital loss for
the period of £72,000 (31 August
2014: gain of £23,000; 28 February
2015: gain of £84,000) and on 1,931,095 C shares
(31 August 2014: 1,931,095;
28 February 2015: 1,931,095), being
the weighted average number of C shares in issue during the
period.
Total return per C share is based on the total loss for the
period of £86,000 (31 August 2014:
gain of £10,000; 28 February 2015:
gain of £61,000) and on 1,931,095 C shares (31 August 2014: 1,931,095; 28 February 2015: 1,931,095), being the weighted
average number of C shares in issue during the period.
3. Taxation on Ordinary Activities
The estimated effective tax rate at the year end is 0 per cent.
for both share funds. This remains unchanged from the prior
period.
4. Investments at Fair Value through
Profit or Loss
|
31
August
2015
£’000 |
31
August
2014
£’000 |
28
February
2015
£’000 |
|
|
|
|
Ordinary Share Fund |
|
|
|
|
|
|
|
Investment portfolio
summary |
|
|
|
Investments in Structured
Products |
920 |
1,946 |
909 |
Quoted/unquoted investments |
1,638 |
2,303 |
2,151 |
Other investments |
1 |
1 |
1 |
|
|
|
|
|
2,559 |
4,250 |
3,061 |
|
|
|
|
C Share Fund |
|
|
|
|
|
|
|
Investment portfolio
summary |
|
|
|
Investments in Structured
Products |
521 |
519 |
538 |
Quoted/unquoted investments |
1,061 |
1,157 |
1,110 |
Other investments |
1 |
1 |
1 |
|
|
|
|
|
1,583 |
1,677 |
1,649 |
|
|
|
|
Total |
|
|
|
|
|
|
|
Investment portfolio
summary |
|
|
|
Investments in Structured
Products |
1,441 |
2,465 |
1,447 |
Quoted/unquoted investments |
2,699 |
3,460 |
3,261 |
Other investments |
2 |
2 |
2 |
|
|
|
|
|
4,142 |
5,927 |
4,710 |
5. Net Asset Value per Share
|
31
August
2015
pence |
31
August
2014
pence |
28
February
2015
pence |
|
|
|
|
Net asset value per ordinary
share |
57.2 |
90.0 |
66.4 |
|
|
|
|
Net asset value per C share |
81.2 |
87.4 |
90.1 |
The basic net asset value per ordinary share is based on net
assets (including current period revenue) of £2,711,000
(31 August 2014: £4,263,000;
28 February 2015: £3,148,000) and on
4,738,463 ordinary shares (31 August
2014: 4,738,463; 28 February
2015: 4,738,463), being the number of ordinary shares in
issue at the period end.
The basic net asset value per C share is based on net assets of
£1,569,000 (31 August 2014:
£1,688,000; 28 February 2015:
£1,739,000) and on 1,931,095 C shares (31
August 2014: 1,931,095; 28 February
2015: 1,931,095), being the number of C shares in issue at
the period end.
6. Reconciliation of Net Profit before
Tax to Cash Flow from Operating Activities
|
31
August
2015
£’000 |
31
August
2014
£’000 |
28
February
2015
£’000 |
|
|
|
|
Ordinary Share Fund |
|
|
|
|
|
|
|
Loss on ordinary activities before
tax |
(192) |
- |
(73) |
Loss/(gain) on investments |
148 |
(37) |
(16) |
(Increase)/decrease in debtors |
(29) |
(26) |
11 |
Decrease in creditors |
(16) |
(23) |
(30) |
|
|
|
|
Cash flow from operating
activities |
(89) |
(86) |
(108) |
|
|
|
|
|
|
|
|
C Share Fund |
|
|
|
|
|
|
|
(Loss)/profit on ordinary activities
before tax |
(86) |
10 |
61 |
Loss/(gain) on investments |
65 |
(30) |
(97) |
(Increase)/decrease in debtors |
(18) |
(12) |
3 |
Decrease in creditors |
(4) |
- |
(2) |
|
|
|
|
Cash flow from operating
activities |
(43) |
(32) |
(35) |
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
(Loss)/profit on ordinary activities
before tax |
(278) |
10 |
(12) |
Loss/(gain) on investments |
213 |
(67) |
(113) |
(Increase)/decrease in debtors |
(47) |
(38) |
14 |
Decrease in creditors |
(20) |
(23) |
(32) |
|
|
|
|
Cash flow from operating
activities |
(132) |
(118) |
(143) |
7. Called-up Share Capital
|
Number |
31
August
2015
£’000 |
|
|
|
Ordinary shares of 1p each |
4,738,463 |
47 |
|
|
|
C shares of 1p each |
1,931,095 |
19 |
|
|
|
8. Fair Value Hierarchy
All investments are initially recognised and subsequently
measured at fair value. Changes in fair value are recognised in the
Income Statement.
The methods of fair value measurement are classified into a
hierarchy based on reliability of the information used to determine
the valuation.
Level
a
Fair value is measured based on quoted prices in an active
market.
Level
b
Fair value is measured based on directly observable current market
prices or indirectly being derived from market prices.
Level c
(i) Fair
value is measured using a valuation technique that is based on data
from an observable market or;
Level c (ii)
Fair value is measured using a valuation technique that is not
based on data from an observable market.
|
Level
a
£’000 |
Level
b
£’000 |
Level
c (i)
£’000 |
Level
c (ii)
£’000 |
Total
£’000 |
|
|
|
|
|
|
Ordinary Share Fund |
|
|
|
|
|
|
|
|
|
|
|
Opening book cost |
121 |
489 |
- |
2,158 |
2,768 |
Opening unrealised appreciation |
(32) |
420 |
- |
(95) |
293 |
Opening valuation |
89 |
909 |
- |
2,063 |
3,061 |
|
|
|
|
|
|
Movements in the period: |
|
|
|
|
|
Purchase at cost |
- |
- |
- |
- |
- |
Sales – proceeds |
(79) |
- |
- |
(275) |
(354) |
Sales – realised losses on
sales |
(41) |
- |
- |
- |
(41) |
Unrealised losses realised during
the period |
(32) |
- |
- |
- |
(32) |
(Decrease)/increase in unrealised
appreciation |
- |
11 |
- |
(150) |
(139) |
Closing valuation |
1 |
920 |
- |
1,638 |
2,559 |
|
|
|
|
|
|
Closing book cost |
1 |
489 |
- |
1,883 |
2,373 |
Closing unrealised appreciation |
- |
431 |
- |
(245) |
186 |
Closing valuation |
1 |
920 |
- |
1,638 |
2,559 |
|
|
|
|
|
|
|
Level
a
£’000 |
Level
b
£’000 |
Level
c (i)
£’000 |
Level
c (ii)
£’000 |
Total
£’000 |
|
|
|
|
|
|
C Share Fund |
|
|
|
|
|
|
|
|
|
|
|
Opening book cost |
231 |
328 |
- |
855 |
1,414 |
Opening unrealised appreciation |
88 |
210 |
- |
(63) |
235 |
Opening valuation |
319 |
538 |
- |
792 |
1,649 |
|
|
|
|
|
|
Movements in the period: |
|
|
|
|
|
Purchase at cost |
- |
- |
- |
- |
- |
Sales – proceeds |
- |
- |
- |
- |
- |
Sales – realised gains/(losses) on
sales |
- |
- |
- |
- |
- |
Unrealised gains/(losses) realised
during the period |
- |
- |
- |
- |
- |
(Decrease)/increase in unrealised
appreciation |
(60) |
(17) |
- |
11 |
(66) |
Closing valuation |
259 |
521 |
- |
803 |
1,583 |
|
|
|
|
|
|
Closing book cost |
231 |
328 |
- |
855 |
1,414 |
Closing unrealised appreciation |
28 |
193 |
- |
(52) |
169 |
Closing valuation |
259 |
521 |
- |
803 |
1,583 |
|
|
|
|
|
|
|
Level
a
£’000 |
Level
b
£’000 |
Level
c (i)
£’000 |
Level
c (ii)
£’000 |
Total
£’000 |
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Opening book cost |
352 |
817 |
- |
3,013 |
4,182 |
Opening unrealised appreciation |
56 |
630 |
- |
(158) |
528 |
Opening valuation |
408 |
1,447 |
- |
2,855 |
4,710 |
|
|
|
|
|
|
Movements in the period: |
|
|
|
|
|
Purchase at cost |
- |
- |
- |
- |
- |
Sales – proceeds |
(79) |
- |
- |
(275) |
(354) |
Sales – realised losses on
sales |
(41) |
- |
- |
- |
(41) |
Unrealised losses realised during
the period |
(32) |
- |
- |
- |
(32) |
Decrease in unrealised
appreciation |
(60) |
(6) |
- |
(139) |
(205) |
Closing valuation |
260 |
1,441 |
- |
2,441 |
4,142 |
|
|
|
|
|
|
Closing book cost |
232 |
817 |
- |
2,738 |
3,787 |
Closing unrealised appreciation |
28 |
624 |
- |
(297) |
355 |
Closing valuation |
260 |
1,441 |
- |
2,441 |
4,142 |
|
|
|
|
|
|
9. Dividends
For the year to 28 February 2015,
the Ordinary Share Fund declared a final dividend of 5.25p per
ordinary share on 4,738,463 shares amounting to £248,769. The
dividend was paid on 29 July 2015 to
ordinary shareholders on the register at 26
June 2015.
For the year to 28 February 2015,
the C Share Fund declared a final dividend of 4.5p per C share on
1,931,095 shares amounting to £86,899. The dividend was paid on
29 July 2015 to C shareholders on the
register at 26 June 2015.
10. Transactions with Related
Parties
John Glencross, a Director of the
Company, is considered to be a related party due to his position as
Chief Executive and a director of Calculus Capital, one of the
Company’s Investment Managers. He does not receive any remuneration
from the Company. He is a director of Terrain, a company in which
the Company has invested. Fees for the provision of Mr Glencross as
a director of these companies are paid to Calculus Capital and are
disclosed in note 11.
11. Transactions with Investment
Managers
Investec Structured Products is an Investment Manager to the
Company and is entitled to a performance incentive fee. Investec
Structured Products will receive an arrangement fee of 0.75 per
cent. of the amount invested in each Structured Product. This
arrangement fee shall be paid to Investec Structured Products by
the issuer of the relevant Structured Product. No arrangement fee
will be paid to Investec Structured Products in respect of any
decision to invest in Investec-issued Structured Products. Investec
Structured Products has agreed not to earn an annual management fee
from the Company.
As at 31 August 2015, £76,668
(31 August 2014: £84,238;
28 February 2015: £52,580) was owed
by Investec Structured Products as claw back of costs in excess of
the agreed expenses cap of 3 per cent. to the Ordinary Share Fund.
£38,000 (31 August 2014: £34,699;
28 February 2015: £23,003) was owed
to the C Share Fund.
Calculus Capital receives an annual fee from Terrain, Human
Race, Metropolitan, Hampshire,
Money Dashboard and Quai for the provision of a director, as well
as an annual monitoring fee which also covers the provision of
certain administrative support services. In the period ended
31 August 2015, the amount paid to
Calculus Capital which was attributable to the investment made by
the Company was £398 (31 August 2014: £533; 28 February 2015: £983) from Terrain; £1,784
(31 August 2014: £1,870; 28 February 2015: £3,530) from Human Race; £778
(31 August 2014: £1,302; 28 February 2015: £2,483) from Metropolitan;
£1,514 (31 August 2014: £1,561; 28
February 2015: £3,009) from Hampshire; £458 (31
August 2014: £nil; 28 February
2015: £1,215) from Money Dashboard; and £705 (31 August 2014: £677; 28
February 2015: £1,596) from Quai (all excluding VAT).
Calculus Capital receives an annual fee from Dryden, Corfe,
Brigantes and Benito’s Hat for the provision of a director. In the
period ended 31 August 2015, the
amount paid to Calculus Capital which was attributable to the
investment made by the Company was £14 (31
August 2014: £202; 28 February
2015: £285) from Dryden; £191 (31
August 2014: £375; 28 February
2015: £751) from Brigantes; £112 (31
August 2014: £222; 28 February
2015: £449) from Corfe, and £152 (31
August 2014: £149; 28 February
2015: £397) from Benito’s Hat (all excluding VAT).
Calculus Capital also receives an annual monitoring fee from
Tollan, MicroEnergy, Hembuild and AnTech which covers the provision
of certain administrative support services. In the period ended
31 August 2015, the amount payable to
Calculus Capital which was attributable to the investment made by
the Company was £620 (31 August 2014:
£1,218; 28 February 2015: £328) from
Tollan; £671 (31 August 2014: £630;
28 February 2015: £1,189) from
MicroEnergy; £979 (31 August 2014:
£1,069; 28 February 2015: £3,612)
from Hembuild; and £828 (31 August
2014: £1,029; 28 February
2015: £1,932) from AnTech (all excluding VAT).
COMPANY INFORMATION
Directors |
Fund Administrator and Company
Secretary |
Michael O’Higgins
(Chairman)
Kate Cornish-Bowden
John Glencross
Steven Meeks |
Capita Sinclair
Henderson Limited
(Trading as Capita Asset Services)
Beaufort House
51 New North Road
Exeter EX4 4EP
|
Registered Office |
Auditors |
Beaufort House
51 New North Road
Exeter EX4 4EP
Telephone: 01392 477 500
|
Grant Thornton UK
LLP
30 Finsbury Square
London EC2P 2YU |
Company Number |
Sponsor and Broker |
07142153 |
Nplus1 Singer Advisory
LLP
One Hanover Street
London W1S 1YZ
|
Structured Products Investment
Manager |
Registrars |
Investec Structured
Products
2 Gresham Street
London EC2V 7QP
Telephone: 020 7597 4000
Website: www.investecstructuredproducts.com
|
Capita
Asset Services
The Registry
34 Beckenham Road
Beckenham
Kent BR3 4TU
Telephone: 0871 644 0300
(Calls cost 10p per minute plus network extras. Lines are open
Monday to Friday 9.00 am to 5.30 pm). |
Venture Capital Investments
Manager |
Calculus Capital
Limited
104 Park Street
London W1K 6NF
Telephone: 020 7493 4940
Website: www.calculuscapital.com |
Printed copies of the Calculus VCT plc Half Yearly Report for
the six months ended 31 August 2015 have not been posted to
shareholders. However a copy can be found on the following
websites: www.calculuscapital.com and
www.investecstructuredproducts.com.
For further information, please contact:
Investment Manager to the Structured Products
Portfolio
Investec Structured Products
Gary Dale
Telephone: 020 7597 4065
Investment Manager to the Venture Capital Portfolio
Calculus Capital Limited
Susan McDonald
Telephone: 020 7493 4940
Neither the contents of the Company’s website nor the contents
of any website accessible from hyperlinks on this announcement (or
any other website) are incorporated into, or form part of, this
announcement.
END