26 Aug 2011 11:26
To: Stock Exchange | For immediate release: |
26 August 2011 |
F&C Private Equity Zeros plc
Unaudited results for the half year to 30 June 2011
Chairman's Statement
The Company is a wholly owned subsidiary of F&C Private Equity Trust plc ('F&C PET') and was established solely for the purpose of issuing and redeeming Zero Dividend Preference Shares ('ZDP Shares'). 30,000,000 ZDP Shares were issued on 14 December 2009 at 100 pence per share and will redeem on 15 December 2014 at a price of 152.14 pence per ZDP Share, giving a redemption yield of 8.75 per cent per annum. The proceeds of the ZDP Shares issue were lent to F&C PET for use in future investment opportunities.
As at 30 June 2011 the net asset value per Ordinary Share was 107.84 pence and the net asset value per ZDP Share was 110.84 pence.
As at 30 June 2011 the ZDP Share price was 128.00 pence, representing a premium of 15.5 per cent over the net asset value per share.
Mark Tennant
Chairman
F&C Private Equity Zeros plc
Statement of Comprehensive Income
Six months ended 30 June 2011 | Period ended 30 June 2010 | Period ended 31 December 2010 | |||
(unaudited) | (unaudited) | (audited) | |||
£'000 | £'000 | £'000 | |||
Revenue | |||||
Income | 1,478 | 1,474 | 2,909 | ||
Total income | 1,478 | 1,474 | 2,909 | ||
Expenditure | |||||
Expenses | - | - | - | ||
Total expenditure | - | - | - | ||
Profit before finance costs and taxation | 1,478 | 1,474 | 2,909 | ||
Finance costs | 1,477 | (1,472) |
(2,906) | ||
Profit before taxation | 1 | 2 | 3 | ||
Taxation | - | - | - | ||
Total comprehensive income | 1 | 2 | 3 | ||
Earnings per Ordinary Share | 2.00p | 4.75p | 5.84p | ||
F&C Private Equity Zeros plc
Balance Sheet
As at 30 June 2011 | As at 30 June 2010 | As at 31 December 2010 | ||||
(unaudited) | (unaudited) | (audited) | ||||
£'000 | £'000 | £'000 | £'000 | £'000 | £'000 | |
Non current assets | ||||||
Investments | 50 | 50 | 50 | |||
50 | 50 | 50 | ||||
Current assets | ||||||
Loans and other receivables | 33,252 | 30,341 | 31,775 | |||
Cash at bank | 3 | 1 | 2 | |||
Net current assets | 33,255 | 30,342 | 31,777 | |||
Total assets less current liabilities | 33,305 | 30,392 | 31,827 | |||
Creditors: amounts falling due after one year | ||||||
Zero dividend preference shares | (33,251) | (30,340) | (31,774) | |||
Net assets | 54 | 52 | 53 | |||
Equity | ||||||
Ordinary share capital | 50 | 50 | 50 | |||
Revenue reserve | 4 | 2 | 3 | |||
Shareholders' funds | 54 | 52 | 53 | |||
Net asset value per Ordinary Share | 107.84p | 104.75p | 105.84p | |||
Net asset value per ZDP Share | 110.84p | 101.13p | 105.91p | |||
F&C Private Equity Zeros plc
Statement of Changes in Equity
For the six months ended 30 June 2011 (unaudited) | |||
Share Capital | Revenue Reserve | Total | |
£'000 |
£'000 | £'000 | |
Net assets at start of period | 50 |
3 | 53 |
Profit for the period | - |
1 | 1 |
Net assets at 30 June 2011 | 50 |
4 | 54 |
For the period ended 30 June 2010 (unaudited) | |||
Share Capital | Revenue Reserve | Total | |
£'000 |
£'000 | £'000 | |
Net assets at start of period | - |
- | - |
Share capital proceeds | 50 |
- | 50 |
Profit for the period | - |
2 | 2 |
Net assets at 30 June 2010 | 50 |
2 | 52 |
For the period ended 31 December 2010 (audited) | |||
Share Capital | Revenue Reserve | Total | |
£'000 |
£'000 | £'000 | |
Net assets at start of period | - |
- | - |
Share capital proceeds | 50 |
- | 50 |
Profit for the period | - |
3 | 3 |
Net assets at 31 December 2010 | 50 |
3 | 53 |
F&C Private Equity Zeros plc
Cash Flow Statement
Six months ended 30 June 2011 | Period ended 30 June 2010 | Period ended 31 December 2010 | |
(unaudited) | (unaudited) | (audited) | |
£'000 | £'000 | £'000 | |
Cash flows from operating activities | |||
Profit before taxation | 1 | 2 | 3 |
Increase in other receivables | - | (1) | (1) |
Net cash inflow from operating activities | 1 | 1 | 2 |
Cash flows from investing activities | |||
Purchase of investments | - | (50) | (50) |
Net cash outflow from investing activities | - | (50) | (50) |
Cash flows from financing activities | |||
Proceeds from issue of share capital | - | 50 | 50 |
Proceeds from issue of ZDPs | - | 30,000 | 30,000 |
Loan to parent company | - | (30,000) | (30,000) |
Net cash inflow from financing activities | - | 50 | 50 |
Increase in cash and cash equivalents | 1 | 1 | 2 |
Cash and cash equivalents at beginning of period | 2 | - | - |
Cash and cash equivalents at end of period | 3 | 1 | 2 |
Principal Risks and Uncertainties
The Directors believe that the principal risks and uncertainties faced by the Company include final capital entitlement; liquid market for ZDP shares macroeconomic and investment risks; and government policy and regulation risk. These risks, and the way in which they are managed, are described in more detail under the heading Principal Risks and Uncertainties and Risk Management within the Business Review in the Company's Annual Report for the period ended 31 December 2010. The Company's principal risks and uncertainties have not changed materially since the date of that report and are not expected to change materially for the remaining six months of the Company's financial year.
Statement of Directors' Responsibilities in Respect of the Half Year Report
We confirm that to the best of our knowledge:
·; The condensed set of financial statements have been prepared in accordance with IAS 34 'Interim Financial Reporting' and give a true and fair view of the assets, liabilities, financial position and profit of the Company;
·; The Chairman's Statement (constituting the Interim Management Report) includes a fair review of the information required by the Disclosure and Transparency Rules ('DTR') 4.2.7R, being an indication of important events that have occurred during the first six months of the financial year and their impact on the financial statements;
·; The Statement of Principal Risks and Uncertainties shown above is a fair review of the information required by DTR 4.2.7R;and
·; The condensed set of financial statements include a fair review of the information required by DTR 4.2.8R, being related party transactions that have taken place in the first six months of the financial year and that have materially affected the financial position or performance of the Company during the period, and any changes in the related party transactions described in the last Annual Report that could do so.
On behalf of the Board
Mark Tennant
Chairman
Notes (unaudited)
1. The unaudited half-year results have been prepared on the basis of the accounting policies set out in the statutory accounts of the Company for the period ended 31 December 2010 and in accordance with International Accounting Standard ('IAS') 34.
2. Earnings for the six months to 30 June 2011 should not be taken as a guide to the results for the year to 31 December 2011.
3. Finance costs
Six months ended 30 June 2011 | Period to 30 June 2010 | Period to 31 December 2010 | ||
£'000 | £'000 | £'000 | ||
ZDP interest costs | 1,392 | 1,397 | 2,754 | |
Amortisation of issue expenses |
85 |
75 |
152 | |
1,477 | 1,472 | 2,906 |
4. Earnings per Ordinary Share
The calculation of earnings per share is based on a profit after tax for the period of £1,000 (Period to 30 June 2010: £2,000; Period to 31 December 2010: £3,000) and a weighted average number of 50,000 (period to 30 June 2010: 50,000; period to 31 December 2010: 50,000) Ordinary Shares in issue during the period. The basic and diluted earnings per share are the same.
5. Zero Dividend Preference Shares
Number of ZDP Shares | Amount due to ZDP shareholders | |
£'000 | ||
As at 31 December 2010 | 30,000,000 | 31,774 |
ZDP Shares finance cost | - | 1,477 |
As at 30 June 2011 | 30,000,000 | 33,251 |
On 14 December 2009 the Company issued 30,000,000 ZDP Shares at 100 pence each. These shares redeem on 15 December 2014 at a price of 152.14 pence per share giving a redemption yield of 8.75 per cent per annum. The ZDP Shares do not carry any voting rights.
6. Net asset value per Share
The net asset value per Ordinary share is based on net assets of £54,000 (30 June 2010: £53,000; 31 December 2010: £52,000) and on 50,000 (30 June 2010: 50,000; 31 December 2010: 50,000) Ordinary Shares, being the number of Ordinary Shares in issue at the period end.
The net asset value per ZDP Share is based on the entitlement due of £33,251,000 (30 June 2010: £30,340,000; 31 December 2010: £31,774,000) at the period end and on 30,000,000 (30 June 2010: 30,000,000; 31 December 2010: 30,000,000) ZDP Shares, being the number of ZDP shares in issue at the period end.
7. These are not statutory accounts in terms of Section 434 of the Companies Act 2006 and have not been audited or reviewed by the Company's auditors. The information for the period ended 31 December 2010 has been extracted from the latest published financial statements which received an unqualified audit report and have been filed with the Registrar of Companies. No statutory accounts in respect of any period after 31 December 2010 have been reported on by the Company's Auditors or delivered to the Registrar of Companies. The Half-Year Report is available at the parent company's website address, www.fcpet.co.uk.
For more information, please contact:
Hamish Mair (Fund Manager) | 0131 718 1184 hamish.mair@fandc.com |
Gordon Hay Smith (Company Secretary) | 0131 718 1018 gordon.haysmith@fandc.com
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