(Alliance News) - Both Baronsmead Venture Trust PLC and Baronsmead Second Venture Trust PLC on Thursday reported a rise in annual assets.
The venture capital trusts saw assets rise but NAV per share slip on a rise in issued shares.
Baronsmead's NAV per share ended September at 71.35 pence, down from 75.05p the year before. But net assets grew to GBP164.8 million from GBP151.1 million.
The trust's issued share capital rose to 231.0 million from 201.3 million.
Baronsmead declared a final dividend of 3.5p per share. This is in addition to the 3.0p interim dividend, and means that the total dividends for the year are 6.5p.
The trust noted this is a 9.1% yield based on its opening NAV of 71.6p and is above the target policy of 7%.
"Despite the unprecedented challenges faced by the portfolio during the financial year to September 30 I am pleased to be able to report a valuation increase in NAV of 3.9% before the payment of dividends," Chair Peter Lawrence said.
He continued: "After the significant reduction in values of the public company portfolios as reported in the six months to March 2020, I am delighted to report a material bounce back in the share prices of the directly-held AIM stocks in the second half of the year. The unquoted portfolio also performed positively in the second half of the financial year, partially recovering some of the decline in value immediately post the outbreak of the pandemic. Although the consumer facing businesses, such as restaurants, travel and childcare, in the public and unquoted portfolios still face substantial headwinds, these assets represent a relatively small part of the overall value. Gresham House, the investment manager, is well-resourced to continue supporting the portfolio companies through the ongoing uncertainty."
Baronsmead Second saw its NAV per share slip to 73.74p from 77.05p at the same point the year before, as its shares rose to 247.3 million from 227.6 million.
Net assets rose to GBP182.3 million from GBP175.4 million.
Baronsmead Second also declared a final dividend of 3.5p, giving a total dividend of 6.0p, again topping its 7% yield target by hitting 8.8%.
By Paul McGowan; paulmcgowan@alliancenews.com
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Baronsmead Vt (BVT)
Baronsmead 2vt (BMD)