Last checked at 
27 Aug 2015 10:50
New Century AIM VCT2 plc
For the six months to 30th June 2015
Chairman’s Statement
In the six months to 30th June 2015, the net asset value of your fund increased to 62p. This was an improvement of 5.1% over the period. The FTSE AIM Allshare index advanced by 7.63%.
We are pleased to report an increase in the value of your fund, and although we have not matched the gains made on the index in the period we remain hopeful of further progress.
The period has had many factors for investors to consider such as a General election, the Greek crisis, a correction in the Chinese Market and the ongoing unrest in the Middle East. At varying times, each of these has caused volatility in the UK equity markets, but overall the equity markets have largely dismissed them in the period as evidenced by the Indexes gain.
We believe the long term outlook for UK smaller companies is better now than it has been for five years which bodes well for your fund. The General election result of a Conservative majority we feel is positive and will be pro business. Our enthusiasm is slightly tempered though by the introduction of the living wage which may cause additional cost pressures for some companies and the likely increase in interest rates.
We have made 9 Qualifying investments and 5 non-qualifying during the period. The Qualifying holdings that we have purchased in the period are, Premier Technical Services Group, Angle, Bilby, Venn Life Sciences, Hunters Property, Satellite Solutions Worldwide Group, TEK Capital, Falanx and Imaginatik.
We top sliced or exited 4 qualifying holdings and 8 non-qualifying.
We continue to see a regular deal flow of new and secondary issues and are encouraged that the Market has not been swamped by a frenzy of fund raisings which would give rise to investor fatigue. Instead we are seeing better quality issues, but we are still selective and cautious in our approach.
Since the half year-end, we have paid a dividend of 1.5p per share as we know that dividends are important to our shareholders.
The net asset value as reported on the 3rd August 2015 shows that a further increase of 2.3p to 64.3p. When we add the dividend paid back this gives us a gain of 3.8p or 6.12% to 31st July whereas the FTSE All Share index has fallen 0.6% over the same period.
We remain hopeful of being able to report further progress at the time of the preliminary results.
Geoff Gamble
26 August 2015
New Century AIM VCT2 plc
For the six months to 30th June 2015
Unaudited Balance Sheet
| Interim Accounts | Final Accounts | Interim Accounts | ||||||||||||||||
| as at 30 June 2015 | as at 31 December 2014* | as at 30 June 2014 | ||||||||||||||||
| £'000 | £'000 | £'000 | £'000 | £'000 | £'000 | |||||||||||||
| Fixed Assets | ||||||||||||||||||
| Investments | 2,966 | 3,022 | 2,991 | |||||||||||||||
| Current Assets | ||||||||||||||||||
| Sundry debtors | - | - | - | |||||||||||||||
| Uninvested cash | 217 | 217 | 24 | 24 | 413 | 413 | ||||||||||||
| Current Liabilities | ||||||||||||||||||
| Creditors: amounts due | ||||||||||||||||||
| within one year | (8) | (17) | (8) | |||||||||||||||
| 3,175 | 3,029 | 3,396 | ||||||||||||||||
| Capital and Reserves | ||||||||||||||||||
| Share capital | 512 | 512 | 569 | |||||||||||||||
| Share premium | 57 | 57 | 57 | |||||||||||||||
| Capital redemption reserve | 120 | 120 | 63 | |||||||||||||||
| Capital reserve - realised | (900) | (800) | (968) | |||||||||||||||
| Capital reserve - unrealised | 2,394 | 2,145 | 2,273 | |||||||||||||||
| Revenue reserve | 992 | 995 | 1,402 | |||||||||||||||
| 3,175 | 3,029 | 3,396 | ||||||||||||||||
| Asset Value per share | 62p | 59p | 59p | |||||||||||||||
| *Audited accounts | ||||||||||||||||||
New Century AIM VCT2 plc
For the six months to 30th June 2015
Unaudited Statement of Comprehensive Income
(incorporating the revenue account)
| 6 month period ended 30 June 2015 | Year to 31 December 2014* | 6 month period ended 30 June 2014 | |||||||||||||||||||
| Revenue | Capital | Total | Revenue | Capital | Total | Revenue | Capital | Total | |||||||||||||
| £'000 | £'000 | £'000 | £'000 | £'000 | £'000 | £'000 | £'000 | £'000 | |||||||||||||
| Gains on investments | |||||||||||||||||||||
| Realised | - | 31 | 31 | - | 208 | 208 | - | 117 | 117 | ||||||||||||
| Unrealised | - | 130 | 130 | - | 119 | 119 | - | 158 | 158 | ||||||||||||
| Income | 14 | - | 14 | 36 | - | 36 | 10 | - | 10 | ||||||||||||
| Investment management fees | (4) | (12) | (16) | (8) | (25) | (33) | (4) | (13) | (17) | ||||||||||||
| Other expenses | (13) | - | (13) | (41) | - | (41) | (12) | - | (12) | ||||||||||||
| Return on ordinary activities | (3) | 149 | 146 | (13) | 302 | 289 | (6) | 262 | 256 | ||||||||||||
| Tax on ordinary activities | - | - | - | - | - | - | - | - | - | ||||||||||||
| Return on ordinary activities | |||||||||||||||||||||
| after taxation | (3) | 149 | 146 | (13) | 302 | 289 | (6) | 262 | 256 | ||||||||||||
| Return per ordinary share in pence | (0.06) | 2.92 | 2.86 | (0.22) | 5.34 | 5.12 | (0.11) | 4.61 | 4.50 | ||||||||||||
| *Audited Accounts | |||||||||||||||||||||
| All revenue and capital items in the above statement derive from continuing operations. | |||||||||||||||||||||
| The company has only one class of business and derives its income from investments in shares and securities, and | |||||||||||||||||||||
| from bank and money market funds. | |||||||||||||||||||||
| The weighted average number of shares in issue during the period was 5,118,836 | |||||||||||||||||||||
New Century AIM VCT2 plc
For the six months to 30th June 2015
Unaudited Consolidated Statement of Changes in Equity
| Share Premium account£’000 | Capital Redemption Reserve £’000 | Capital realised £’000 | Capital unrealised £’000 | Revenue reserve£’000 | |||||||
| As at 1 January 2015 | 57 | 120 | (800) | 2,145 | 995 | ||||||
| Realised gains on disposals | - | - | 31 | - | - | ||||||
| Unrealised gains | - | - | - | 130 | - | ||||||
| Transfer of unrealised loss to realised on disposal of investment | - | - | (119) | 119 | - | ||||||
| Net revenue before tax | - | - | - | - | (3) | ||||||
| Investment management fee | - | - | (12) | - | - | ||||||
| ________ | _________ | ________ | ________ | ________ | |||||||
| At 30 June 2015 | 57 | 120 | (900) | 2,394 | 992 | ||||||
| As at 1 January 2014 | 57 | 63 | (1,032) | 2,075 | 1,408 | ||||||
| Realised gains on disposals | - | - | 117 | - | - | ||||||
| Unrealised gains | - | - | - | 158 | - | ||||||
| Transfer of unrealised loss to realised on disposal of investment | - | - | (40) | 40 | - | ||||||
| Net revenue before tax | - | - | - | - | (6) | ||||||
| Investment management fee | - | - | (13) | - | - | ||||||
| ________ | _________ | ________ | ________ | ________ | |||||||
| At 30 June 2014 | 57 | 63 | (968) | 2,273 | 1,402 |
New Century AIM VCT2 plc
For the six months to 30th June 2015
Unaudited Cash Flow Statement
| 6 month period ended 30 June 2015 | Year to 31 December 2014* | 6 month period ended 30 June 2014 | |||||||||
| £'000 | £'000 | £'000 | £'000 | £'000 | £'000 | ||||||
| Operating activity: Net cash outflow | (38) | (74) | (38) | ||||||||
| Returns on investments | |||||||||||
| Interest received | - | 1 | - | ||||||||
| Investment income | 14 | 14 | 35 | 36 | 10 | 10 | |||||
| Taxation | - | - | - | ||||||||
| Dividend paid | - | (71) | - | ||||||||
| Financial investment | |||||||||||
| Sale of investments | 762 | 734 | 416 | ||||||||
| Purchase of investments | (545) | 217 | (401) | 333 | (104) | 312 | |||||
| Net cash inflow before financing | 193 | 224 | 284 | ||||||||
| Share repurchase | - | (329) | - | ||||||||
| 193 | (105) | 284 | |||||||||
| Increase / (decrease) in uninvested cash with broker | 193 | (105) | 284 | ||||||||
| *Audited Accounts | |||||||||||
New Century AIM VCT2 plc
For the six months to 30th June 2015
Investment Portfolio
| Security | Cost | Valuation | % | % | ||||||
| 30 June 2015 | Cost | Valuation | ||||||||
| Qualifying Investments | 2,810,964 | 2,491,979 | 78.61 | 78.29 | ||||||
| Non-qualifying Investments | 547,707 | 473,903 | 15.31 | 14.89 | ||||||
| Uninvested funds | 217,361 | 217,361 | 6.08 | 6.82 | ||||||
| 3,576,032 | 3,183,243 | 100.00 | 100.00 | |||||||
| Qualifying Investments | ||||||||||
| AIM Quoted | ||||||||||
| Marechale Capital plc | 151,503 | 36,000 | 4.24 | 1.13 | ||||||
| HML Holdings plc | 244,214 | 306,000 | 6.82 | 9.61 | ||||||
| Sport Media Group plc | 125,624 | 0 | 3.51 | 0.00 | ||||||
| Kurawood plc | 150,750 | 0 | 4.21 | 0.00 | ||||||
| TP Group plc | 160,061 | 31,786 | 4.48 | 1.00 | ||||||
| Tristel plc | 82,547 | 198,000 | 2.31 | 6.22 | ||||||
| Cyan Holdngs plc | 204,218 | 29,556 | 5.71 | 0.93 | ||||||
| M.Winkworth plc | 56,280 | 120,400 | 1.57 | 3.78 | ||||||
| APC Technology Group | 33,670 | 340 | 0.94 | 0.01 | ||||||
| Angel Biotech Holdings | 57,780 | 0 | 1.62 | 0.00 | ||||||
| Music Festivals plc | 45,731 | 0 | 1.28 | 0.00 | ||||||
| Inspired Energy plc | 50,462 | 165,375 | 1.41 | 5.20 | ||||||
| Microsaic Systems plc | 66,874 | 69,960 | 1.87 | 2.20 | ||||||
| Venn Life Sciences Holdings plc | 125,628 | 81,250 | 3.51 | 2.55 | ||||||
| DP Poland plc | 25,631 | 28,900 | 0.72 | 0.91 | ||||||
| Modern Water plc | 50,256 | 12,750 | 1.41 | 0.40 | ||||||
| Quixant plc | 9,247 | 31,000 | 0.26 | 0.97 | ||||||
| Blur Group | 6,785 | 1,935 | 0.19 | 0.06 | ||||||
| Keywords Studios plc | 25,162 | 33,781 | 0.70 | 1.06 | ||||||
| Sanderson Group | 15,204 | 17,875 | 0.43 | 0.56 | ||||||
| Cloudbuy plc | 41,896 | 23,633 | 1.17 | 0.74 | ||||||
| PHSC plc | 50,256 | 56,000 | 1.41 | 1.76 | ||||||
| EU Supply plc | 19,422 | 8,123 | 0.54 | 0.26 | ||||||
| Plastics Capital plc | 33,168 | 31,680 | 0.93 | 1.00 | ||||||
| Daily Internet plc | 30,153 | 30,000 | 0.84 | 0.94 | ||||||
| Litebulb Group | 51,008 | 52,200 | 1.43 | 1.64 | ||||||
| Eclectic Bar Group | 35,379 | 13,200 | 0.99 | 0.41 | ||||||
| Kalibrate Technologies plc | 27,975 | 35,231 | 0.78 | 1.11 | ||||||
| Syqic plc | 26,546 | 17,039 | 0.74 | 0.54 | ||||||
| Outsourcery plc | 28,143 | 5,500 | 0.79 | 0.17 | ||||||
| Martinco plc | 50,253 | 66,500 | 1.41 | 2.09 | ||||||
| Solid State plc | 35,248 | 115,203 | 0.99 | 3.62 | ||||||
| Audioboom Group | 22,615 | 90,000 | 0.63 | 2.83 | ||||||
| Scholium Group | 40,203 | 15,600 | 1.12 | 0.49 |
| Security | Cost | Valuation | % | % | ||||||
| 30 June 2015 | Cost | Valuation | ||||||||
| Rosslyn Data Tech. plc | 23,219 | 8,750 | 0.65 | 0.27 | ||||||
| Coral Products plc | 25,104 | 25,900 | 0.70 | 0.81 | ||||||
| Software Radio Technology plc | 22,617 | 33,750 | 0.63 | 1.06 | ||||||
| ULS Technology plc | 49,751 | 61,875 | 1.39 | 1.94 | ||||||
| Gfinity plc | 50,405 | 64,900 | 1.41 | 2.04 | ||||||
| Premier Technical Services Group | 65,486 | 71,421 | 1.83 | 2.24 | ||||||
| Angle plc | 75,128 | 101,200 | 2.10 | 3.18 | ||||||
| Bilby plc | 52,465 | 77,400 | 1.47 | 2.43 | ||||||
| Venn Life Sciences Holdings | 50,253 | 51,316 | 1.41 | 1.61 | ||||||
| Hunters Property plc | 50,253 | 48,000 | 1.41 | 1.51 | ||||||
| Satellite Solutions Group | 75,379 | 75,000 | 2.10 | 2.36 | ||||||
| Tekcapital plc | 60,304 | 117,000 | 1.69 | 3.68 | ||||||
| Falanx Group | 23,923 | 11,900 | 0.67 | 0.37 | ||||||
| Imaginatik plc | 6,785 | 18,750 | 0.19 | 0.59 | ||||||
| Total qualifying investments | 2,810,964 | 2,491,979 | 78.61 | 78.29 | ||||||
| Non Qualifying Investments | ||||||||||
| AIM Quoted | ||||||||||
| Sanderson Group plc | 18,716 | 29,250 | 0.52 | 0.92 | ||||||
| Rotala plc | 35,350 | 58,625 | 0.99 | 1.84 | ||||||
| Rotala plc | 4,550 | 8,375 | 0.13 | 0.26 | ||||||
| Rotala plc | 7,982 | 13,400 | 0.22 | 0.42 | ||||||
| Tristel plc | 60 | 99 | 0.00 | 0.00 | ||||||
| China Food Co plc | 12,629 | 250 | 0.35 | 0.01 | ||||||
| China Food Co plc | 9,472 | 300 | 0.26 | 0.01 | ||||||
| China Food Co plc | 9,447 | 550 | 0.26 | 0.02 | ||||||
| Gable Holdings Inc | 6,238 | 6,500 | 0.17 | 0.20 | ||||||
| Litebulb Group | 21,897 | 32,400 | 0.61 | 1.02 | ||||||
| Sorbic International plc | 10,205 | 1,450 | 0.29 | 0.05 | ||||||
| TLA Worldwide plc | 26,975 | 45,000 | 0.76 | 1.41 | ||||||
| Driver Group plc | 8,992 | 6,800 | 0.25 | 0.21 | ||||||
| Mobile Tornado Group | 10,124 | 3,250 | 0.29 | 0.10 | ||||||
| Mar City plc | 10,053 | 4,375 | 0.28 | 0.14 | ||||||
| Minds & Machines Group Ltd | 10,254 | 7,012 | 0.29 | 0.22 | ||||||
| Audioboom Group | 1,163 | 600 | 0.03 | 0.02 | ||||||
| Nostra Terra Oil & Gas plc | 12,667 | 5,880 | 0.35 | 0.19 | ||||||
| Mountfield Group | 9,556 | 5,000 | 0.27 | 0.16 | ||||||
| Matchtech Group | 10,959 | 10,800 | 0.31 | 0.34 | ||||||
| Mithril Capital plc | 10,040 | 10,600 | 0.28 | 0.33 | ||||||
| 247,329 | 250,516 | 6.91 | 7.87 | |||||||
| Security | Cost | Valuation | % | % | ||||||
| 30 June 2015 | Cost | Valuation | ||||||||
| UK Listed | ||||||||||
| Investec plc | 169,415 | 89,638 | 4.74 | 2.82 | ||||||
| British American Tobacco plc | 22,104 | 34,150 | 0.62 | 1.08 | ||||||
| Imperial Tobacco Group plc | 23,759 | 30,670 | 0.66 | 0.96 | ||||||
| Greene King plc | 9,964 | 10,562 | 0.28 | 0.33 | ||||||
| Waterman Group plc | 9,926 | 12,600 | 0.28 | 0.40 | ||||||
| Twentyfour Select Inc | 9,852 | 9,800 | 0.28 | 0.31 | ||||||
| Intu Properties plc | 15,446 | 13,815 | 0.43 | 0.43 | ||||||
| Easyjet plc | 19,809 | 18,552 | 0.55 | 0.58 | ||||||
| 280,275 | 219,787 | 7.84 | 6.91 | |||||||
| Unlisted Investments | ||||||||||
| Merchant House 10% | 20,103 | 3,600 | 0.56 | 0.11 | ||||||
| 20,103 | 3,600 | 0.56 | 0.11 | |||||||
| Total non-qualifying investments | 547,707 | 473,903 | 15.31 | 14.89 |
New Century AIM VCT2 plc
Notes to the Accounts
| 1 | This interim financial information and the unaudited interim accounts for the six months to 30 June 2015 from |
| which it has been extracted, are the responsibility of the directors and were approved by them on 26 August 2015, | |
| do not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006 and have | |
| not been delivered to the Registrar of Companies. | |
| 2 | The Company is an investment company as defined in Section 833 of the Companies Act 2006. The unaudited |
| interim accounts have been prepared in accordance with the Financial reporting Council’s (FRC) Financial | |
| Reporting Standard 104 Interim Financial Reporting (March 2015) and with the Statement of Recommended Practice | |
| for Investment Companies re-issued by the Association of Investment Companies in November 2014. | |
| The unaudited interim accounts have been prepared using accounting policies that the company consider will be | |
| used in the accounts for the year needing 31 December 2015, incorporating FRS 102 The Financial Reporting | |
| Standard applicable in the UK and Republic of Ireland. The company have considered the impact of the financial | |
| reporting standards and do not consider there will be any material changes to previously reported results as a result | |
| of adopting FRS 102. | |
| 3 | Listed, AIM or ISDX Markets-traded investments are stated at market value, which is based upon market bid prices |
| in an active market at the balance sheet date. These would all meet tier 1 of the fair value hierarchy. | |
| 4 | 5,118,836 Ordinary Shares of 10 pence each were in issue throughout the period under review. |
| 5 | Net Asset Value per share at 30 June 2014 was 62p (at 31 December 2014: 59p; 30 June 2014: 59p). |
| 6 | No dividend was paid in the period. |
| 7 | Subsequent to the period-end the company declared a dividend of 1.5 pence per share. There have not been any |
| other significant events since the balance sheet date. | |
| 8 | New Century AIM VCT2 plc is managed by M D Barnard & Co. Limited (‘MDB’), a company controlled by Michael |
| Barnard who is a non-executive director of the company. Under the terms of the management agreement MDB are | |
| entitled to a fee (exclusive of VAT) equal to 1% per annum of the net assets of the company. During the period the | |
| management fee was £16k (the year ended 31 December 2014: £33k, the period ended 30 June 2014 £17k). | |
| 9 | Copies of the Interim Report to Shareholders have been sent to shareholders and are available at the Company’s |
| Registered Office: Woodside Secretaries Ltd, 4th Floor, 50 Mark Lane, London EC3R 7QR. |
New Century AIM VCT plc
Directors, Investment Managers and Advisors
| Directors, Investment Manager and Advisors | |||
| Directors | Geoffrey Charles Gamble (Chairman) | ||
| Michael David Barnard | |||
| Peter William Riley | |||
| Ian Cameron-Mowat | |||
| Secretary | Woodside Secretaries Ltd | ||
| and registered office | 4th Floor, 50 Mark Lane | ||
| London EC3R 7QR | |||
| Investment Manager and Broker | MD Barnard & Co Ltd | ||
| 17-21 New Century Road | |||
| Laindon | |||
| Essex SS15 6AG | |||
| Registrars | Neville Registrars Ltd | ||
| 18 Laurel Lane | |||
| Halesowen | |||
| B63 3DA | |||
| Auditor and VCT status advisors | UHY Hacker Young LLP | ||
| Quadrant House | |||
| 4 Thomas More Square | |||
| London E1W 1YW | |||
| Bankers | Bank of Scotland | ||
| New Uberior House | |||
| 11 Earl Grey Street | |||
| Edinburgh EH3 9BN | |||
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