Albion. Dev Vct Regulatory News (AADV)

30 Aug 2007 12:25

Close Brothers Dev VCT PLC30 August 2007 Close Brothers Development VCT PLC Interim Results for the six months to 30 June 2007 Close Brothers Development VCT PLC today announces its interim results for thesix months ended 30 June 2007. This announcement was approved by the Board ofDirectors on 30 August 2007. Financial highlights Ordinary Shares C Shares Shareholder value per share since launch: Pence per Pence per share(ii) share(ii) Dividends paid during the year to 31 December 1999(i) 1.00 - Dividends paid during the year to 31 December 2000 3.65 - Dividends paid during the year to 31 December 2001 3.20 - Dividends paid during the year to 31 December 2002 4.20 - Dividends paid during the year to 31 December 2003(iii) & (iv) 4.50 0.75 Dividends paid during the year to 31 December 2004 4.00 2.00 Dividends paid during the year to 31 December 2005 5.20 5.90 Dividends paid during the year to 31 December 2006 3.00 4.50 Dividends paid during the six months to 30 June 2007(v) 1.50 1.61 30.25 14.76Net asset value as at 30 June 2007 101.49 108.75 Total cumulative return at 30 June 2007 131.74 123.51 In addition to the dividends paid above, the Board has declared a seconddividend of 3.5 pence(comprising 1 pence revenue and 2.5 pence capital profits)per Ordinary share to be paid on 5 October 2007 to shareholders on the registeron 7 September 2007. Notes (i) Assumes subscription for Ordinary shares by the first closing on 26 January 1999. (ii) Excludes tax benefits upon subscription. (iii)Assuming subscription of C shares by the first closing on 31 December 2002. (iv) Those subscribing for C shares after 30 June 2003 were not entitled to the interim dividend. (v) On 31 March 2007, the C shares were converted into Ordinary shares in the ratio of 1.0715 Ordinary shares for each C share. The dividends paid since 31 March 2007 and the net asset value of each C share shown above, is based on the conversion factor of 1.0715 of Ordinary shares. CHAIRMAN'S STATEMENT Investment progress I am pleased to report that the six months to 30th June 2007 has been asuccessful period for Close Brothers Development VCT. Net asset value perOrdinary share has risen from 94.6 pence at 31st December 2006 to 101.5 pence, arise of 7 pence. This increase was generated principally by the sale of twoinvestments. The first was the sale of Careforce in which the VCT had an 18%shareholding, following the offer for the company by Mears Group PLC. The VCTfirst backed Careforce in 2000 at a very early stage in its development andrealised 2.4 times its investment of £3.1 million. In addition, just after thehalf year, your Company sold its investment in the Bold Pub Company Limitedrealising a profit of just over £800,000. In both cases, the VCT also received astrong running yield in its investment. As a result of the realised capital profits arising from these sales, and inline with the company's strategy providing a strong and predictable tax freeincome stream to shareholders, your Board now intends to increase the annualdividend to 5 pence per share. Subject to the continued availability of realisedcapital profits, your Board would hope to increase this level over time. Thefirst dividend of 1.5 pence paid on 13 May 2007 of this year will therefore befollowed by a second dividend of 3.5 pence (comprising of 1 pence revenue and2.5 pence realised capital profits) to be paid on 5th October 2007. Investment activity has been strong over the period with just over £1.2 millioninvested in six existing investee companies and £1.8 million invested in eightnew investee companies. Overall, the investment portfolio is performing toexpectations. Board changes Following the sad death of Frank Malcolm earlier in the year and the retirementof Roderick Davidson due at the end of this year, there are two new Boardappointments. The first is Geoffrey Vero, who joined the Board on 2 July 2007and will be taking over as Chairman following Roderick's retirement. Geoffreyhas spent much of his career in venture and development capital, principally atCauseway Capital and ABN Amro Private Equity. The second appointment is Dr AndyPhillipps who was the co-founder and chief executive of Active Hotels which wassuccessfully sold to Priceline.com in 2004. Andy will be joining the Board on30th September 2007. Results and dividends As at 30th June 2007 the net asset value of the company's Ordinary shares was101.5 pence (31st December 2006 94.6 pence per share). Net income after taxationwas £584,000. The second dividend of the year of 3.5 pence will be paid on 5October 2007 to shareholders on the register on 7 September 2007. Roderick DavidsonChairman30 August 2007 INCOME STATEMENT Ordinary shares Ordinary shares C Shares Total Unaudited Unaudited Unaudited Unaudited Six Six Six Six months months months months to to to to 30 June 2007 30 June 2006 30 June 2006 30 June 2006 Revenue Capital Total Revenue Capital Total Revenue Capital Total Revenue Capital Total £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Gains/(Losses) on investments - 2,126 2,126 - (987) (987) - (422) (422) - (1,409) (1,409) Investment 1,043 1,043 371 - 371 556 - 556 927 - 927income Investment management fee (102) (306) (408) (42) (127) (169) (59) (178) (237) (101) (305) (406) Other expenses (103) - (103) (43) - (43) (60) - (60) (103) - (103) Return/(loss) on ordinary activities before tax 838 1,820 2,658 286 (1,114) (828) 437 (600) (163) 723 (1,714) (991) Tax on ordinary activities (254) 98 (156) (85) 32 (53) (133) 41 (92) (218) 73 (145) Return/(loss) attributable to equity 584 1,918 2,502 201 (1,082) (881) 304 (559) (255) 505 (1,641) (1,136)shareholders Basic and diluted return /(loss) per share (pence) 1.8 6.1 7.9 1.5 (8.3) (6.8) 1.7 (3.1) (1.4) * Comparative figures have been extracted from the accounts for the period ended 30 June 2006 and the statutory accounts for the period ended 31 December 2006. The total column of this Income Statement represents the profit and loss accountof the Company. All of the Company's activities derive from continuing operations. The Company has no recognised gains or losses other than those disclosed above.Accordingly a statement of total recognised gains or losses is not required. The Income Statement for the period to 30 June 2007 is in respect of onlyOrdinary shares since C shares were converted into Ordinary shares on 31 March2007. INCOME STATEMENT Ordinary shares C Shares Total Audited Audited Audited Year to Year to Year to 31 December 2006 31 December 2006 31 December 2006 Revenue Capital Total Revenue Capital Total Revenue Capital Total £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 (Losses)/Gains on investments - (910) (910) - (766) (766) - (1,676) (1,676) Investment income 733 - 733 1,160 - 1,160 1,893 - 1,893 Investment management fee (84) (251) (335) (126) (377) (503) (210) (628) (838) Other expenses (85) - (85) (106) - (106) (191) - (191) Return/(loss) on ordinary activities before tax 564 (1,161) (597) 928 (1,143) (215) 1,492 (2,304) (812) Tax on ordinary activities (168) 73 (95) (271) 114 (157) (439) 187 (252) Return/(loss) attributable to equity shareholders 396 (1,088) (692) 657 (1,029) (372) 1,053 (2,117) (1,064) Basic and diluted return/(loss) per share (pence) 3.0 (8.3) (5.3) 3.6 (5.7) (2.1) 6.6 (14.0) (7.4) Comparative figures have been extracted from the accounts for the period ended30 June 2006 and the statutory accounts for the period ended 31 December 2006. The total column of this Income Statement represents the profit and loss accountof the Company. All of the Company's activities derive from continuing operations. The Company has no recognised gains or losses other than those disclosed above.Accordingly a statement of total recognised gains or losses is not required. BALANCE SHEET ORDINARY SHARES Unaudited Unaudited Audited 30 June 2007 30 June 2006 31 December 2006 £'000 £'000 £'000 Fixed asset investments Qualifying investments 24,958 20,102 21,875 Non-qualifying investments 4,004 3,598 3,892 Total fixed asset investments 28,962 23,700 25,767 Current assets Debtors 63 434 409 Cash at bank 3,204 8,360 4,236 3,267 8,794 4,645 Creditors: amounts falling due (696) (1,068) (118) within one year Net current assets 2,571 7,726 4,527 Net assets 31,533 31,426 30,294 Capital and reserves Called up share capital 16,219 15,581 15,581 Share premium 3,786 3,208 3,208 Special reserve 8,645 9,894 9,889 Capital redemption reserve 1,184 1,173 1,173 Realised capital reserve 1,657 (782) (1,144) Unrealised capital reserve 766 1,918 1,652 Own treasury share reserve (1,189) - (388) Revenue reserve 465 434 323 Equity shareholders' funds 31,533 31,426 30,294 Net asset value per share (pence) 101.5 (excluding treasury shares) Comparative figures have been extracted from the accounts for the period ended30 June 2006 and the statutory accounts for the period ended 31 December 2006. The Balance Sheets as at 30 June 2006 and 31 December 2006 represents theaggregate Balance Sheets of the Ordinary shares and C shares. The Balance Sheet as at 30 June 2007 represents Ordinary shares which include Cshares which were converted into Ordinary shares on 31 March 2007. RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS (UNAUDITED) ORDINARY SHARES Capital Un- Own Called up redemp Realised realised treasury share Share Special -tion capital capital shares Revenue capital premium reserve reserve reserve reserve reserve reserve Total £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 As at 1 January 2006 15,829 3,208 10,341 925 (548) 3,328 - 339 33,422 Net realised gains on investments in the period - - - - 1 - - - 1 Capitalised investment management - and performance fees - - - - (305) - - - (305) Tax relief on costs charged to capital - - - - 73 - - - 73 Purchase of own treasury shares - - - - - - - - - Share redemptions (248) (447) 248 - - - - (447) Movement in unrealised appreciation - - - - - (1,410) - - (1,410) Revenue return - - - - - - - 505 505 Dividends - - - - - - - (411) (411) As at 1 July 2006 15,581 3,208 9,894 1,173 (782) 1,918 - 434 31,426 Net realised gains on investments in the period - - - - - - - - - Capitalised investment management and performance fees - - - - (323) - - - (323) Tax relief on costs charged to capital - - - - 114 - - - 114 Purchase of own treasury shares - - - - - - (388) - (388) Share redemptions - - (5) - - - - - (5) Movement in unrealised appreciation - - - - - (266) - - (266) Revenue return - - - - - - - 548 548 Dividends - - - - (156) - - (658) (814) As at 31 December 2006 15,581 3,208 9,889 1,173 (1,144) 1,652 (388) 323 30,294 Net realised gains on investments in the year - - - - 3,013 - - - 3,013 Capitalised investment management and performance fees - - - - (306) - - - (306) Tax relief on costs charged to capital - - - - 98 - - - 98 Share redemptions (10) - (18) 10 - - - - (18) Movement in unrealised appreciation - - - - - (887) - - (887) C share conversion 648 578 (1,226) - - - - - - Purchase of own treasury shares - - - - - - (802) - (802) Revenue return - - - - - - - 584 584 Dividends - - - - - - - (443) (443) As at 30 June 2007 16,219 3,786 8,645 1,184 1,657 766 (1,189) 465 31,533 CASH FLOW STATEMENT ORDINARY SHARES Unaudited Unaudited Audited Six months to Six months to Year ended 30 June 2007 30 June 2006 31 December 2006 £'000 £'000 £'000 Operating activities Investment income received 753 510 1,083 Deposit income received 84 301 528 Other income received 13 3 35 Investment management fees paid (193) (443) (1,066) Other cash payments (128) (89) (555) Net cash inflow/(outflow) from 529 282 25 operating activities Taxation UK corporation tax paid - - (412) Capital expenditure and financial investment Purchase of qualifying (2,579) (2,907) (4,818) investments Purchase of non- qualifying - (68) (377) investments Disposals of qualifying 2,209 27 1 investments Disposals of non-qualifying - 4,000 4,000 investments Net cash (outflow)/inflow from (371) 1,052 (1,194) investing activities Equity dividends paid Dividends paid on ordinary shares (453) (411) (1,225) Net cash (outflow)/inflow before (295) 923 (2,806) financing Financing Cancellation of shares (18) (445) (452) Own treasury shares (720) (388) Net cash outflow from financing (738) (445) (840) (Decrease)/increase in cash in (1,032) 478 (3,646) the period Notes to the announcement 1. Details about the Investment Manager Close Brothers Development VCT PLC is managed by Close Ventures Limited which is authorised and regulated by the Financial Services Authority and is a subsidiary of Close Brothers Group plc. 2. Statutory accounts The financial information set out in this announcement does not constitute the Company's statutory accounts for the period ended 31 December 2006 or interim accounts for the period ended 30 June 2006 and 30 June 2007. The financial information for the period ended 31 December 2006 is derived from the statutory accounts delivered to the Registrar of Companies. This interim announcement has not been audited. 3. Changes in Equity There were no changes in equity other than those arising from capital transactions with owners and distributions to owners. 4. Accounting policies This financial information is prepared on the basis of the accounting policies as stated in the latest statutory accounts. Further enquiries: Patrick Reeve Close Ventures Limited (Manager)Tel. 020 7422 7830 This information is provided by RNS The company news service from the London Stock Exchange