Baronsmead 2vt Regulatory News (BMD)

24 Feb 2010 15:57

24 February 2010

Joint Announcement Baronsmead VCT 3 plc and Baronsmead VCT 4 plc ("the Companies") Joint Offer for Subscription to raise up to £16 million in aggregate by way of an issue of New Ordinary Shares ("the Joint Offer") Net Asset Values and Joint Offer Update

Net Asset Values

The Boards of the Companies announce that the net asset values of their Ordinary shares as at 19 February 2010 were as follows:

* Baronsmead VCT 3 plc - 96.75p per share

* Baronsmead VCT 4 plc - 90.12p per share

Extension to deadline for First Allotment

The Prospectus for the Joint Offer dated 18 January 2010 states that investors whose subscription forms are received by noon on Friday 26 February 2010 (the "First Allotment") will receive an additional allocation of 1 per cent of the amount of their application by way of additional shares.

Following advice received from the Receiving Agent to the Joint Offer, The City Partnership (UK) Limited, the deadline for applications to be included in the First Allotment (and thereby receive the additional allocation as noted above) has been extended from noon to 5.00 pm on Friday 26 February 2010. Accordingly, the directors of the Companies will meet on Monday 1 March 2010 to allot shares with respect to successful applications received by 5.00 pm on Friday 26 February 2010.

Offer Price per New Ordinary Share for the First Allotment

Based on the net asset values as at 19 February 2010, Offer Prices of New Ordinary Shares to be allotted as a result of subscriptions received by Friday 26 February 2010 are as follows:

* Baronsmead VCT 3 plc - 102.50p per New Ordinary Share

* Baronsmead VCT 4 plc - 95.50p per New Ordinary Share

The Offer Price at which the New Ordinary Shares will be allotted in each Company has been calculated separately on the basis of the following formula (the "Pricing Formula"):

"Latest published net asset value of an existing Ordinary Share (NAV) divided by 0.945 (to allow for issue costs of 5.5 per cent.) rounded up to the nearest 0.5p per share."

As a result, the Offer Prices have been calculated as follows:

Offer Prices of New Ordinary Shares to be Allotted on 1 March 2010 Baronsmead VCT 3 plc Baronsmead VCT 4 plc (pence per New (pence per New Ordinary Share) Ordinary Share) Latest published NAV 96.75 90.12 Latest published NAV divided by 102.38 95.37 0.945 Offer Price (Rounded up to nearest 102.50 95.50 0.5p)

Allotment Procedure

The amount of an investor's subscription will be split into two equal monetary amounts, for example an investment of £20,000 will be split so that £10,000 will be invested in each Company. The following worked example shows how the number of New Ordinary Shares that would be allotted to an investor who subscribes £20,000 in the Joint Offer in time for the First Allotment is calculated. In the example below the allotment includes the 1 per cent extra allocation, but ignores any additional New Ordinary Shares that may be allotted if an authorised financial adviser has waived some or all of the introductory commission that would otherwise be due to them and requested that this waived commission be reinvested in additional shares for the benefit of their client.

Worked Example of a subscription of £20,000 in the First Allotment

Baronsmead VCT 3 plc Baronsmead VCT 4 plc Amount allocated £10,000 £10,000 Amount including additional £10,100 £10,100 allocation Offer Price 102.50 95.50 Number of New Ordinary Shares* 9,853 10,575

*Rounded down to the nearest whole share

Expected Timetable for the First Allotment

Share and tax certificates are due to be sent to investors within ten business days of the allotment of shares; i.e. by 12 March 2010. Authorised financial advisers to whom introductory commission is payable should expect to receive payment by 12 March 2010 together with a statement showing how the commission due to them has been calculated. If investors or advisers have any questions about the allotment of New Ordinary Shares or the payment of introductory commission they should contact The City Partnership (UK) Limited on 0131 243 7210 (no investment advice can be given).

Dealings in New Ordinary Shares will commence three business days after allotment.

Future Availability of the Joint Offer

Provided the Joint Offer is not fully subscribed beforehand the subscription lists with respect to the second allotment will close at 5.00 pm on Thursday 25 March 2010.

Copies of the Prospectus and the Supplementary Prospectus are available for inspection during normal business hours at the Document Viewing Facility, The Financial Services Authority, 25 The North Colonnade, Canary Wharf, London E14 5NS and may be obtained, free of charge, by collection from:

* Baronsmead VCT 3 plc website: www.baronsmeadvcts.co.uk/vct3 * Baronsmead VCT 4 plc website: www.baronsmeadvcts.co.uk/vct4 * ISIS EP LLP, 100 Wood Street, London, EC2V 7AN, Telephone: 020 7506 5600 * Execution Noble & Company Limited, The Old Truman Brewery, 91 Brick Lane, London E1 6QL, Telephone: 020 7456 9191 * RAM Capital Partners, 74 Chancery Lane, London WC2A 1AD, Telephone: 020 3006 7530

For further information please contact:

Michael Probin, ISIS EP LLP, 0207 506 5796

Lenny Norstrand, RAM Capital Partners LLP, 0203 006 7530

Robin Smeaton, The City Partnership (UK) Limited, 0131 243 7210

Barry Lawson, Secretary to the Companies, 0207 506 5652