TIDMRSB
RNS Number : 4196A
Rensburg AIM VCT Plc
08 October 2009
?
RENSBURG AIM VCT PLC
Half-Yearly Financial Report for the six months ended 31 August 2009
Rensburg Aim VCT plc ("the Company"), the venture capital trust specialising in
investing in companies trading on the AIM market of the London Stock Exchange
("AIM"), today announces its Half-Yearly Financial Report for the six months
ended 31 August 2009.
+--------------------------------------------------+----------------------+----------------------+----------------+
| FINANCIAL HIGHLIGHTS | 6 months | 6 months | 12 months |
| | ended | ended | ended |
| | 31 August | 31 August | 28 |
| | 2009 | 2008 | February |
| | | | 2009 |
| | | | |
+--------------------------------------------------+----------------------+----------------------+----------------+
| Net assets | GBP19,931,000 | GBP23,561,000 | GBP16,717,000 |
+--------------------------------------------------+----------------------+----------------------+----------------+
| Net asset value per share | 48.89p | 57.79p | 41.00p |
+--------------------------------------------------+----------------------+----------------------+----------------+
| Profit/(loss) on ordinary activities after tax | GBP3,929,000 | (GBP2,813,000) | (GBP9,395,000) |
| as per Income Statement | | | |
+--------------------------------------------------+----------------------+----------------------+----------------+
| Earnings/(loss) per share as per Income | 9.64p | (6.84p) | (22.95p) |
| Statement | | | |
+--------------------------------------------------+----------------------+----------------------+----------------+
| Dividends paid during the period | 2.00p | 3.00p | 4.00p |
+--------------------------------------------------+----------------------+----------------------+----------------+
| Total dividends paid since inception | 31.00p | 28.00p | 29.00p |
+--------------------------------------------------+----------------------+----------------------+----------------+
| Total dividends declared since inception | 32.25p | 29.00p | 31.00p |
+--------------------------------------------------+----------------------+----------------------+----------------+
Commenting on the results, William M. Cran, Chairman, said:
"The Net Asset Value as at 31 August 2009 was 48.89 pence per share, an increase
of 24.1% over the past six months, allowing for the final dividend of 2.00 pence
per share that was paid during the period.
As a result of the improved performance and realisation of several investments,
we intend to increase our ordinary interim dividend by 25% to 1.25 pence per
share which will be payable to shareholders on the register at 4 December 2009
on 18 December 2009.
Based on the interim dividend of 1.25 pence per share, last year's final
dividend of 2.00 pence per share and the 31 August 2009 share price, the annual
yield is 11.0% which is free of UK income tax.
This has been a much more rewarding period for the Company, with a solid
increase in NAV and dividend, than the corresponding period last year.
Your Board believes that with a well balanced portfolio of AIM stocks, fixed
interest and blue-chip investments, the Company should perform satisfactorily in
the second half."
For further information contact:
+------------------------+------------------------+------------------------+
| Barry Anysz | Rensburg Aim VCT plc | 0113 245 4488 |
+------------------------+------------------------+------------------------+
| André Winter | Rensburg Sheppards | 0151 227 2030 |
| | Investment Management | |
| | Limited | |
+------------------------+------------------------+------------------------+
Interim Management Report
Introduction
In the Report & Financial Statements published on 19 May 2009, I commented that
'Market conditions appear to have stabilised recently' and that the Net Asset
Value ("NAV") of the Company had increased 12.8% in the 2 months to 30 April
2009. I also commented that 'Although there will be further setbacks, I hope
stock markets will now resume an upward track'. I am pleased to report that to
date the upward trend, established in spring 2009, has been maintained into this
autumn.
During the six months to 31 August 2009, the FTSE 100 Index and the FTSE
All-Share Index increased by 28.2% and 30.6% respectively, whereas the FTSE AIM
All-Share Index increased by 52.4% although neither of these indices are perfect
benchmarks for our own performance as so few of the size and type of company in
which we can invest are represented in either index.
Net Asset Value
The Net Asset Value as at 31 August 2009 was 48.89 pence per share, an increase
of 24.1% over the past six months, allowing for the final dividend of 2.00 pence
per share that was paid during the period.
Results
The profit on ordinary activities after tax for the six months to 31 August 2009
was GBP3,929,000 (31 August 2008: loss of GBP2,813,000). The profit was 9.64
pence per share compared with a loss in the six months to 31 August 2008 of 6.84
pence per share.
Qualifying Investments
The Company made two partial realisations during the period, resulting in total
proceeds of GBP763,000 and a net gain of GBP350,000 over historic cost. No
qualifying investments were made during the period as the Board felt that none
of the potential investee companies matched our selection criteria and we have
achieved our minimum VCT qualifying status.
Since the start of the second half of the year we have been successful in
realising shares in several investments, either in full or in part. The
companies concerned are Connaught, Fountains, Claimar Care and Advanced Computer
Software. We have also recently received an offer, which we have conditionally
accepted, for our entire investment in Essentially Group.
The qualifying portfolio, which cost GBP16.4 million, was valued at GBP10.6
million at 31 August 2009 and represents 53.1% of the net assets of the Company.
Non-qualifying Investments
During the six months to 31 August 2009, GBP975,000 of quoted equities were
acquired and GBP702,000 of quoted equities were sold, realising a profit over
historic cost of GBP18,000. The Company also realised GBP120,000 from the sale
of unit trust investments, resulting in a gain over historic cost of GBP22,000.
Further realisations included GBP30,000 from the sale of fixed interest
securities, incurring a GBP13,000 loss over historic cost.
The non-qualifying portfolio, which cost GBP9.4 million, was valued at GBP8.7
million at 31 August 2009 and represents 43.7% of the net assets of the Company.
Investments in Rensburg Fund Management Unit Trusts, which are included in the
non-qualifying portfolio, represent 11.5% of the net assets of the Company.
Net current assets make up 3.2% of the total net assets of the Company at 31
August 2009 and include GBP358,000 of cash.
Interim Dividend
As a result of the improved performance and realisation of several investments
mentioned above, we intend to increase our ordinary interim dividend by 25% to
1.25 pence per share (2008: ordinary interim dividend 1.0 pence per share) which
will be payable to shareholders on the register at 4 December 2009 on 18
December 2009. Including the current proposed ordinary interim dividend, the
Company will have distributed a total of 32.25 pence per share since it was
established.
VAT
As stated in the Annual Report, VAT is no longer charged on management fees
payable by the Company to the Managers. Additionally, the Company is able to
recover some of the VAT paid in previous years, and a GBP381,000 credit was
recognised in the 2009 Income Statement. I am pleased to confirm that, since the
start of the second half, the Company has received a small proportion of that
credit, together with interest. We hope the balance of the amount due, together
with interest, will be paid soon, but the exact timing of this receipt is
impossible to determine. As previously stated, we intend to distribute the total
repayment from H.M. Revenue and Customs to shareholders by way of a dividend in
due course.
VCT Status
The Board continues to be mindful of maintaining the Company's VCT qualifying
status. H.M. Revenue and Customs has confirmed that the Company has full
approval and the Company continues to meet the relevant conditions to maintain
full approval. The net funds raised in any one accounting period are disregarded
in assessing whether the Company has satisfied the requirement that at least 70%
of its total investments are qualifying investments until the first accounting
period that ends three years after the raising of the additional funds. In the
case of Rensburg Aim VCT, all funds have now reached this point and your Board,
therefore, expects that the Company should maintain its VCT qualifying status in
the future.
Share buy-backs
During the six months to 31 August 2009, the Company did not repurchase any
ordinary shares. At 31 August 2009, the middle share price was 29.50 pence per
share, representing a discount of 39.7% to NAV. We currently believe that,
despite improving market conditions, it will be preferable to progressively
improve dividend payments, rather than buy-back shares from the market. Based on
the interim dividend of 1.25 pence per share, last year's final dividend of
2.00 pence per share and the 31 August 2009 share price, the annual yield is
11.0% which is free of UK income tax. We hope this relatively high yield will
help stimulate the secondary market in the Company's shares.
Risks and uncertainties
In accordance with DTR 4.2.7R of the Disclosure and Transparency Rules, the
directors have considered the principal risks and uncertainties for the
remaining six months of the year.
The directors believe that the principal risk faced by the Company is the loss
of its approval as a venture capital trust arising from a breach of the
requirements of section 274 of the Income Tax Act 2007. This would mean that
shareholders might have to repay the income tax relief they obtained on their
investment in the Company and that the Company would lose its exemption from tax
on any capital gains. The Manager reports to the Board at each meeting on the
Company's compliance with the qualifying tests and the Board is advised on VCT
issues by PricewaterhouseCoopers LLP.
Other significant risks include a serious or prolonged fall in the stock market
which would adversely affect the Company's performance, value, distributable
reserves and the liquidity of underlying investments; consistent
underperformance by the Manager; and the Company's shares failing to achieve a
rating which reflects performance. The Board seeks to mitigate these risks by
monitoring the Manager's performance at each board meeting and discussing
appropriate action where considered necessary.
Capital Reduction
At the Company's Annual General Meeting shareholders approved the cancellation
of the Company's share premium account ("the Capital Reduction"). The Capital
Reduction was subsequently approved by the High Court on 19 August 2009. As a
result, the non distributable share premium account of GBP7,035,000 has been
cancelled, thereby creating a distributable Special Reserve which may be used in
the future to satisfy any dividends declared or to purchase the Company's own
shares for cancellation. The net assets of the Company have not altered as a
consequence of the Capital Reduction nor has it resulted in any distribution to
shareholders.
Outlook
This has been a much more rewarding period for the Company, with a solid
increase in NAV and dividend, than the corresponding period last year. Since the
commencement of the second half of the year the upward trend has been maintained
with realisations and corporate activity increasing, although initial public
offering and secondary issue investment opportunities remain scarce. The second
half of the year will, however, be affected by the growing realisation that,
whilst Armageddon has been averted, the global economy and the UK, in
particular, has been left with a legacy of a huge debt burden, necessitating cut
backs in most public sector activities which will inevitably feedback into
reduced turnover and earnings for many companies. Despite this, your Board
believes that with a well balanced portfolio of AIM stocks, fixed interest and
blue-chip investments, the Company should perform satisfactorily in the second
half.
Shareholder Communications
Our website at www.rensburgaimvct.co.uk provides shareholders with information
on the Company, including the latest announced NAV and share price.
William M. Cran
Chairman
8 October 2009
Responsibility statement of the directors in respect of the half-yearly
financial report
We confirm that to the best of our knowledge:
The condensed set of financial statements has been prepared in accordance with
the "Statement: Half-Yearly Financial Reports" issued by the UK Accounting
Standards Board and the half-yearly financial report includes a fair review of
the information required by:
+-----+--------------------------------------------------------------------------------+
| (a) | 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 |
| | |
+-----+--------------------------------------------------------------------------------+
| (b) | 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 entity during that period; and any changes in the related |
| | party transactions described in the last annual report that could do so. |
+-----+--------------------------------------------------------------------------------+
William M. Cran (Non-executive chairman)
Barry A. Anysz (Non-executive director)
Richard G. Battersby (Non-executive director)
Peter C. Smart (Non-executive director)
8 October 2009
Income Statement
for the six months ended 31 August 2009
+------------------------------------------------------+-----------+----------+-----------+
| | 6 months | 6 months | 12 months |
| | ended | ended | ended |
| | 31 August | 31 | 28 |
| | 2009 | August | February |
| | GBP000 | 2008 | 2009 |
| | | GBP000 | GBP000 |
| | | | |
+------------------------------------------------------+-----------+----------+-----------+
| Income | 254 | 425 | 716 |
+------------------------------------------------------+-----------+----------+-----------+
| Unrealised gains/(losses) on fair value investments | 3,648 | (2,704) | (9,466) |
+------------------------------------------------------+-----------+----------+-----------+
| Realised gains/(losses) on disposal of fair value | 347 | (104) | (320) |
| investments | | | |
+------------------------------------------------------+-----------+----------+-----------+
| Impairment of loans and receivables | - | - | (195) |
+------------------------------------------------------+-----------+----------+-----------+
| Unrealised fair value losses on loans and | - | (113) | - |
| receivables | | | |
+------------------------------------------------------+-----------+----------+-----------+
| Recoverable VAT | - | - | 381 |
+------------------------------------------------------+-----------+----------+-----------+
| Investment management fee | (227) | (235) | (347) |
+------------------------------------------------------+-----------+----------+-----------+
| Other expenses | (93) | (82) | (164) |
+------------------------------------------------------+-----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+-----------+----------+-----------+
| Profit/(loss) on ordinary activities before tax | 3,929 | (2,813) | (9,395) |
| | | | |
+------------------------------------------------------+-----------+----------+-----------+
| Taxation | - | - | - |
+------------------------------------------------------+-----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+-----------+----------+-----------+
| Profit/(loss) on ordinary activities after tax | 3,929 | (2,813) | (9,395) |
+------------------------------------------------------+-----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+-----------+----------+-----------+
| Earnings/(loss) per ordinary share | 9.64p | (6.84p) | (22.95p) |
+------------------------------------------------------+-----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+-----------+----------+-----------+
Statement of Total Recognised Gains and Losses
for the six months ended 31 August 2009
+------------------------------------------------------+----------+----------+-----------+
| | 6 months | 6 months | 12 months |
| | ended | ended | ended |
| | 31 | 31 | 28 |
| | August | August | February |
| | 2009 | 2008 | 2009 |
| | GBP000 | GBP000 | GBP000 |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Profit/(loss) on ordinary activities after tax | 3,929 | (2,813) | (9,395) |
+------------------------------------------------------+----------+----------+-----------+
| Unrealised gain on revaluation of available-for-sale | 100 | 44 | 189 |
| investments | | | |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Total recognised gains/(losses) during the period | 4,029 | (2,769) | (9,206) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Total recognised gains/(losses) per ordinary share | 9.88p | (6.73p) | (22.49p) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
Reconciliation of Movements in Shareholders' Funds
for the six months ended 31 August 2009
+------------------------------------------------------+----------+----------+-----------+
| | 6 months | 6 months | 12 months |
| | ended | ended | ended |
| | 31 | 31 | 28 |
| | August | August | February |
| | 2009 | 2008 | 2009 |
| | GBP000 | GBP000 | GBP000 |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Opening shareholders' funds | 16,717 | 27,916 | 27,916 |
+------------------------------------------------------+----------+----------+-----------+
| Profit/(loss) on ordinary activities after tax | 3,929 | (2,813) | (9,395) |
+------------------------------------------------------+----------+----------+-----------+
| Dividends paid | (815) | (1,228) | (1,635) |
+------------------------------------------------------+----------+----------+-----------+
| Unrealised gain on revaluation of available-for-sale | 100 | 44 | 189 |
| investments | | | |
+------------------------------------------------------+----------+----------+-----------+
| Purchase of own shares | - | (358) | (358) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Closing shareholders' funds | 19,931 | 23,561 | 16,717 |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
Balance Sheet
as at 31 August 2009
+------------------------------------------------------+----------+----------+-----------+
| | 31 | 31 | 28 |
| | August | August | February |
| | 2009 | 2008 | 2009 |
| | GBP000 | GBP000 | GBP000 |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Investments | | | |
+------------------------------------------------------+----------+----------+-----------+
| Fair value through profit and loss account | 17,779 | 22,165 | 14,424 |
+------------------------------------------------------+----------+----------+-----------+
| Available-for-sale | 1,515 | 1,271 | 1,415 |
+------------------------------------------------------+----------+----------+-----------+
| Loans and receivables | - | 82 | - |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| | 19,294 | 23,518 | 15,839 |
+------------------------------------------------------+----------+----------+-----------+
| Current assets | | | |
+------------------------------------------------------+----------+----------+-----------+
| Debtors | 470 | 104 | 465 |
+------------------------------------------------------+----------+----------+-----------+
| Cash at bank and in hand | 358 | 197 | 479 |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| | 828 | 301 | 944 |
+------------------------------------------------------+----------+----------+-----------+
| Creditors | | | |
+------------------------------------------------------+----------+----------+-----------+
| Amounts falling due within one year | (191) | (258) | (66) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Net current assets | 637 | 43 | 878 |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Net assets | 19,931 | 23,561 | 16,717 |
+------------------------------------------------------+----------+----------+-----------+
| | ------- | -------- | -------- |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Capital and reserves | | | |
+------------------------------------------------------+----------+----------+-----------+
| Called-up share capital | 2,039 | 2,038 | 2,039 |
+------------------------------------------------------+----------+----------+-----------+
| Share premium | - | 7,035 | 7,035 |
+------------------------------------------------------+----------+----------+-----------+
| Capital redemption reserve | 295 | 294 | 295 |
+------------------------------------------------------+----------+----------+-----------+
| Available-for-sale reserve | 646 | 402 | 546 |
+------------------------------------------------------+----------+----------+-----------+
| Other reserves | 4,332 | 4,789 | 4,651 |
+------------------------------------------------------+----------+----------+-----------+
| Profit and loss account | 5,584 | 9,003 | 2,151 |
+------------------------------------------------------+----------+----------+-----------+
| Special reserve | 7,035 | - | - |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Shareholders' funds | 19,931 | 23,561 | 16,717 |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Net asset value per share | 48.89p | 57.79p | 41.00p |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
Cash Flow Statement
for the six months ended 31 August 2009
+------------------------------------------------------+----------+----------+-----------+
| | 6 months | 6 months | 12 months |
| | ended | ended | ended |
| | 31 | 31 | 28 |
| | August | August | February |
| | 2009 | 2008 | 2009 |
| | GBP000 | GBP000 | GBP000 |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Operating activities | | | |
+------------------------------------------------------+----------+----------+-----------+
| Profit/(loss) on ordinary activities before tax | 3,929 | (2,813) | (9,395) |
+------------------------------------------------------+----------+----------+-----------+
| Increase in debtors | (5) | (9) | (370) |
+------------------------------------------------------+----------+----------+-----------+
| Increase/(decrease) in creditors | 125 | (65) | (257) |
+------------------------------------------------------+----------+----------+-----------+
| Unrealised (gains)/losses on fair value investments | (3,648) | 2,704 | 9,466 |
+------------------------------------------------------+----------+----------+-----------+
| Realised (gains)/losses on fair value investments | (347) | 104 | 320 |
+------------------------------------------------------+----------+----------+-----------+
| Impairment of loans and receivables | - | - | 195 |
+------------------------------------------------------+----------+----------+-----------+
| Unrealised fair value losses on loans and | - | 113 | - |
| receivables | | | |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Net cash inflow/(outflow) from operating activities | 54 | 34 | (41) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Capital expenditure and financial investment | | | |
+------------------------------------------------------+----------+----------+-----------+
| Purchases of available-for-sale investments | - | (2) | (1) |
+------------------------------------------------------+----------+----------+-----------+
| Purchases of fair value through profit and loss | (975) | (2,646) | (3,351) |
| investments | | | |
+------------------------------------------------------+----------+----------+-----------+
| Proceeds from the disposal of fair value through | 1,615 | 3,653 | 5,121 |
| profit and loss investments | | | |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Net cash inflow from capital expenditure and | 640 | 1,005 | 1,769 |
| financial investment | | | |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Dividends | | | |
+------------------------------------------------------+----------+----------+-----------+
| Equity dividends paid | (815) | (1,228) | (1,635) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
| | | | |
+------------------------------------------------------+----------+----------+-----------+
| Financing | | | |
+------------------------------------------------------+----------+----------+-----------+
| Buy-back of ordinary shares | - | (358) | (358) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Net cash outflow from financing | - | (358) | (358) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
| Decrease in cash | (121) | (547) | (265) |
+------------------------------------------------------+----------+----------+-----------+
| | -------- | -------- | -------- |
+------------------------------------------------------+----------+----------+-----------+
Notes to the Cash Flow Statement
+---------------------------------------------------+------------+-----------+-----------+
| | 6 months | 6 months | 12 months |
| | ended | ended | ended |
| | 31 August | 31 August | 28 |
| | 2009 | 2008 | February |
| | GBP000 | GBP000 | 2009 |
| | | | GBP000 |
| | | | |
+---------------------------------------------------+------------+-----------+-----------+
| Analysis of change in net funds | | | |
+---------------------------------------------------+------------+-----------+-----------+
| Opening net cash | 479 | 744 | 744 |
+---------------------------------------------------+------------+-----------+-----------+
| Net cash outflow for the period | (121) | (547) | (265) |
+---------------------------------------------------+------------+-----------+-----------+
| | -------- | -------- | -------- |
+---------------------------------------------------+------------+-----------+-----------+
| Closing net cash | 358 | 197 | 479 |
+---------------------------------------------------+------------+-----------+-----------+
| | -------- | -------- | -------- |
+---------------------------------------------------+------------+-----------+-----------+
Notes to the Financial Statements
+-----+----------------------------------------------+------------+-----------+-----------+
| 1. | Basis of Preparation |
+-----+-----------------------------------------------------------------------------------+
| | The financial statements have been prepared on a going concern basis under the |
| | historical cost convention, modified to include the revaluation of fixed asset |
| | investments in accordance with UK Generally Accepted Accounting Practice. There |
| | have been no material changes to the accounting policies previously applied by |
| | the Company. In accordance with Section 405(2) of the Companies Act 2006, the |
| | Company is exempt from preparing consolidated financial statements. As such, the |
| | Company is not required to prepare its financial statements in accordance with |
| | International Financial Reporting Standards as adopted by the European Union. |
| | |
+-----+-----------------------------------------------------------------------------------+
| 2. | Related Party Transactions |
+-----+-----------------------------------------------------------------------------------+
| | Throughout the half-year Rensburg Sheppards Investment Management Limited |
| | ('RSIM') has provided investment management and secretarial services to the |
| | Company as described in the Annual Report and Financial Statements to 28 February |
| | 2009. Details of the amounts charged to the Income Statement in the half-year are |
| | shown in Note 3. The outstanding balance accruing to RSIM at 31 August 2009 was |
| | GBP98,000 (31 August 2008: GBP226,000). |
| | During the half-year, Walker Morris, a law firm for which Peter Smart acts as |
| | Chairman, provided legal services to the Company totalling GBP17,831 (2008: |
| | GBP6,698). GBP8,625 was outstanding at 31 August 2009 (31 August 2008: GBPNil). |
| | |
+-----+-----------------------------------------------------------------------------------+
| 3. | Investment Management Fees |
+-----+-----------------------------------------------------------------------------------+
| | 6 months | 6 months | 12 months |
| | ended | ended | ended |
| | 31 August | 31 August | 28 |
| | 2009 | 2008 | February |
| | GBP000 | GBP000 | 2009 |
| | | | GBP000 |
| | | | |
+----------------------------------------------------+------------+-----------+-----------+
| | Investment management fees | 227 | 235 | 331 |
+-----+----------------------------------------------+------------+-----------+-----------+
| | Irrecoverable value added tax | - | - | 16 |
+-----+----------------------------------------------+------------+-----------+-----------+
| | | -------- | -------- | -------- |
+-----+----------------------------------------------+------------+-----------+-----------+
| | | 227 | 235 | 347 |
+-----+----------------------------------------------+------------+-----------+-----------+
| | | -------- | -------- | -------- |
| | | | | |
+-----+----------------------------------------------+------------+-----------+-----------+
| | The investment management fees for the period to 31 August 2009 include a |
| | GBP35,000 (31 August 2008: GBPNil) charge for a bonus accrual. The accrual |
| | relates to a potential bonus payment to RSIM should investment performance exceed |
| | defined contractual targets over a three year period commencing on 1 March 2009. |
| | At 31 August 2009 an accrual has been made for a bonus payment, based upon the |
| | actual growth in Net Asset Value ('NAV') between 1 March 2009 and 31 August 2009 |
| | less the target growth in respect of the three year bonus period. The resulting |
| | bonus payment has been apportioned on the basis of the time elapsed since 1 March |
| | 2009 as a proportion of the 3 year period relevant to the bonus. |
| | |
+-----+----------------------------------------------+------------+-----------+-----------+
+-----+--------------------------------------------------------------------------------+
| 4. | Contingent Liabilities |
+-----+--------------------------------------------------------------------------------+
| | As detailed in note 3 a potential bonus is payable to RSIM should investment |
| | performance exceed defined contractual targets. If the 31 August 2009 Net |
| | Asset Value ('NAV') were maintained until the end of the current bonus period |
| | on 29 February 2012 a payment of GBP211,000 would be made at that time. Should |
| | NAV rise further an increased payment would be made, but equally, should the |
| | NAV fall, the liability may be reduced or completely removed. |
| | |
+-----+--------------------------------------------------------------------------------+
| 5. | Earnings per Share |
+-----+--------------------------------------------------------------------------------+
| | The earnings per share of 9.64p (year ended 28 February 2009: loss of 22.95p; |
| | 6 months ended 31 August 2008: losses of 6.84p) is based on the net profits |
| | after tax of GBP3,929,000 (year ended 28 February 2009: losses of |
| | GBP9,395,000; 6 months ended 31 August 2008: loss of GBP2,813,000) and on |
| | 40,768,349 (year ended 28 February 2009: 40,942,516; 6 months ended 31 August |
| | 2008: 41,113,843) ordinary shares, being the weighted average number of shares |
| | in issue during the period. |
| | |
+-----+--------------------------------------------------------------------------------+
| 6. | Total Recognised Returns per Share |
+-----+--------------------------------------------------------------------------------+
| | Total recognised gains per share of 9.88p (year ended 28 February 2009: losses |
| | per share of 22.49p; 6 months ended 31 August 2008: losses per share of 6.73p) |
| | is based on total recognised gains for the period of GBP4,029,000 (year ended |
| | 29 February 2009: losses of GBP9,206,000; 6 months ended 31 August 2008: |
| | losses of GBP2,769,000) and on 40,768,349 (year ended 28 February 2009: |
| | 40,942,516; 6 months ended 31 August 2008: 41,113,843) ordinary shares, being |
| | the weighted average number of shares in issue during the period. |
| | |
+-----+--------------------------------------------------------------------------------+
| 7. | Net Asset Value per Share |
+-----+--------------------------------------------------------------------------------+
| | The net asset value per share at 31 August 2009 is based on net assets of |
| | GBP19,931,000 and on 40,768,349 ordinary shares, being the number of ordinary |
| | shares in issue on that date. |
| | |
+-----+--------------------------------------------------------------------------------+
| 8. | Extraction of Financial Information |
+-----+--------------------------------------------------------------------------------+
| | The information contained in the 28 February 2009 income statement, balance |
| | sheet and cash flow statement does not constitute full financial statements |
| | and has been extracted from the financial statements for the year ended 28 |
| | February 2009 which have been delivered to the Registrar of Companies. The |
| | report of the auditors on these financial statements was unqualified. The |
| | income statements, cash flow statements for the six month periods and the |
| | balance sheets as at 31 August 2009 and 31 August 2008 are unaudited. |
| | |
+-----+--------------------------------------------------------------------------------+
| 9. | Information availability |
+-----+--------------------------------------------------------------------------------+
| | This report is available on our website at www.rensburgaimvct.co.uk. |
+-----+--------------------------------------------------------------------------------+
Investment Portfolio Summary
as at 31 August 2009
+------------------------------------------+----------+-----------+----------+-------------+
| Qualifying Investments | Book | Valuation | % of | Unrealised |
| | cost* | GBP000 | total | gain/(loss) |
| | GBP000 | | net | GBP000 |
| | | | assets | |
| | | | (by | |
| | | | value) | |
+------------------------------------------+----------+-----------+----------+-------------+
| Ten largest qualifying investments | | | | |
+------------------------------------------+----------+-----------+----------+-------------+
| Animalcare Group plc | 500 | 793 | 3.98 | 293 |
+------------------------------------------+----------+-----------+----------+-------------+
| Advanced Computer Software plc | 407 | 784 | 3.93 | 377 |
+------------------------------------------+----------+-----------+----------+-------------+
| Epistem Holdings plc | 354 | 767 | 3.85 | 413 |
+------------------------------------------+----------+-----------+----------+-------------+
| Connaught plc | 381 | 747 | 3.75 | 366 |
+------------------------------------------+----------+-----------+----------+-------------+
| Andor Technology plc | 547 | 735 | 3.69 | 188 |
+------------------------------------------+----------+-----------+----------+-------------+
| IS Pharma plc | 558 | 633 | 3.18 | 75 |
+------------------------------------------+----------+-----------+----------+-------------+
| Primal Pictures Limited | 360 | 474 | 2.38 | 114 |
+------------------------------------------+----------+-----------+----------+-------------+
| Tikit Group plc | 578 | 472 | 2.37 | (106) |
+------------------------------------------+----------+-----------+----------+-------------+
| Essentially Group Limited | 940 | 428 | 2.14 | (512) |
+------------------------------------------+----------+-----------+----------+-------------+
| Brulines Group plc | 412 | 361 | 1.81 | (51) |
+------------------------------------------+----------+-----------+----------+-------------+
| | -------- | -------- | -------- | -------- |
+------------------------------------------+----------+-----------+----------+-------------+
| | 5,037 | 6,194 | 31.08 | 1,157 |
| | | | | |
+------------------------------------------+----------+-----------+----------+-------------+
| Other qualifying investments | 11,333 | 4,383 | 21.99 | (6,950) |
+------------------------------------------+----------+-----------+----------+-------------+
| | -------- | -------- | -------- | -------- |
+------------------------------------------+----------+-----------+----------+-------------+
| Total qualifying investments | 16,370 | 10,577 | 53.07 | (5,793) |
+------------------------------------------+----------+-----------+----------+-------------+
| | -------- | -------- | -------- | -------- |
| | | | | |
+------------------------------------------+----------+-----------+----------+-------------+
| Non-qualifying investments | | | | |
+------------------------------------------+----------+-----------+----------+-------------+
| Fixed interest securities | 1,672 | 1,245 | 6.25 | (427) |
+------------------------------------------+----------+-----------+----------+-------------+
| Unit trusts | 2,081 | 2,301 | 11.54 | 220 |
+------------------------------------------+----------+-----------+----------+-------------+
| Quoted equities | 5,617 | 5,152 | 25.85 | (465) |
+------------------------------------------+----------+-----------+----------+-------------+
| Non-qualifying AIM investments | 34 | 19 | 0.10 | (15) |
+------------------------------------------+----------+-----------+----------+-------------+
| | -------- | -------- | -------- | -------- |
+------------------------------------------+----------+-----------+----------+-------------+
| Total non-qualifying investments | 9,404 | 8,717 | 43.74 | (687) |
+------------------------------------------+----------+-----------+----------+-------------+
| | -------- | -------- | -------- | -------- |
+------------------------------------------+----------+-----------+----------+-------------+
| Total investments | 25,774 | 19,294 | 96.81 | (6,480) |
+------------------------------------------+----------+-----------+----------+-------------+
| | -------- | -------- | -------- | -------- |
+------------------------------------------+----------+-----------+----------+-------------+
| Net current assets | | 637 | 3.19 | |
+------------------------------------------+----------+-----------+----------+-------------+
| | | -------- | -------- | |
+------------------------------------------+----------+-----------+----------+-------------+
| Net assets | | 19,931 | 100.00 | |
+------------------------------------------+----------+-----------+----------+-------------+
| | | -------- | -------- | |
| | | | | |
+------------------------------------------+----------+-----------+----------+-------------+
| * Historic cost of investment less amounts written off which represent permanent |
| diminutions in value. |
+------------------------------------------+----------+-----------+----------+-------------+
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR FGMGGKNLGLZM
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