British Smaller Cos VCT Assets Grow As Continues To Make Investments

(Alliance News) - British Smaller Cos VCT PLC on Tuesday said its net asset value grew by 5.1% in the third quarter of its current financial year.

The stock was untraded in London on Tuesday, last closing at 68.00 pence a share.

The investment company reported NAV per share as at December 31 of 76.1p, up from 72.4p at the end of September 2019.

The trust said it has made three new and two follow-on investments totalling GBP6.8 million in the quarter, and also generated loan and equity proceeds of GBP6.8 million.

In December 2019, British Smaller Cos VCT purchased back 858,179 shares at a price of 69.28p each. These shares were placed in treasury.

The number of shares in issue at the end of 2019 was 139.2 million. In addition, as at December 31, the company said it held 10.3 million shares in treasury.

Overall, British Smaller Cos VCT said it saw "strong" value growth in the three months to the end of 2019, reflecting the underlying trading performances of the investment portfolio.

The trust said it intends to pay a special dividend of 2.0p a share for the year to the end of March, taking the total dividend for the year to 6.0p.

Looking ahead, the company said new investments since the end of the quarter total GBP13.3 million, with follow-on investments of GBP1.3 million. British Smaller Cos VCT noted that it has some opportunities currently under review, along with a number of opportunities to realise the value of some of the more mature investments.

"While some political uncertainty has been removed following the general election result, the changes to the terms of the UK's ongoing trading relationship with the EU and the rest of the world are still to be agreed. The businesses in the portfolio continue to prepare for the impact of these as appropriate preparing either mitigation plans or developing strategies to take advantage of emerging opportunities," the company said in its statement Tuesday.

By Evelina Grecenko; evelinagrecenko@alliancenews.com

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