4 Jul 2008 16:15
Aberdeen Income and Growth VCT PLC ("the Company")
Interim Management Statement - Quarter ended 31 May 2008
This Interim Management Statement, for the quarter ended 31 May 2008, is provided in accordance with Rule 4.3 of the Disclosure and Transparency Rules of the UK Listing Authority and also includes relevant information in respect of the period from 1 June 2008 to the date of issue. This Statement has been prepared solely to provide additional information in order to meet the relevant requirements of the UK Listing Authority's Disclosure and Transparency Rules, and should not be relied on by Shareholders, or any other party, for any other purpose.
Financial highlights
Net Asset Value* ("NAV") of 73.2p per share at 31 May 2008 compared to 72.8p per share at 29 February 2008.
Final dividend of 2.3p per share to be paid on 25 July 2008, bringing total dividend payment for the year ended 29 February 2008 to 5.8p, equivalent to a yield of 7.7% from an equity investment to a higher-rate taxpayer who subscribed at launch and, if the initial tax relief of 20% is taken into account, the effective annual yield rises to 9.7%. On the current mid-market price of 40.5p, the equivalent yield from an equity investment to a higher-rate taxpayer would be 19.1%.
*The NAV is unaudited and reflects the closing bid price of quoted securities at 31 May 2008. Unlisted companies are normally valued on a six-monthly basis and the NAV incorporates the Directors' valuation of unlisted investments as at 29 February 2008.
Investments and Disposals
During the quarter ended 31 May 2008, investments totalling £1,008,000 were made in three unlisted and two AIM quoted companies.
During the same period, a combination of partial and complete disposals of seven AIM quoted investments generated aggregate proceeds of £257,000 against cost of £350,000 and included the sale of the holding in Citel Technologies where a loss of £165,000 was realised; however, the fall in the value of this investment had previously been recognised and there was no resulting impact on the Company's NAV. In addition, a combination of partial and complete disposals of five unlisted investments generated proceeds of £1,887,000 against cost of £1,283,000 with the gain arising from the sale of PSCA International and having previously recognised in the NAV.
There were no other material transactions during the period under review.
Recent developments
Between 31 May 2008 and the date of this statement, investments totalling £798,000 were made in three unlisted companies and one AIM quoted company.
During the same post quarter-end period, disposals of one unlisted investment and eight AIM quoted investments generated aggregate proceeds of £1,556,000 against cost of £1,832,000. These included the disposal of a number of AIM quoted holdings where there was deemed to be little chance of a recovery in value and where an aggregate realised of loss £776,000 had previously been recognised. Therefore, there was no resulting impact on the Company's NAV and certain of these holdings were exchanged for new shares in an independent close-ended investment company that has been established to acquire quoted securities from financial institutions. Also included in the post quarter end disposals, was the sale of the unlisted investment in I D Support Services Holdings which generated proceeds of £1,234,000 against cost of £746,000 and an investment of £89,000 in a new company, which is included in the figure quoted above, with the gain already having been recognised.
Other than described above and changes in the value of investments quoted on regulated markets, the Board is not aware of any material events during the period from 1 March to 31 May 2008, or in the period from 1 June 2008 to the date of this announcement, which would have had a material impact on the financial position of the Company.
Issued on behalf of the Board
Aberdeen Asset Management PLC, Secretary
4 July 2008
Maven Income 1 (MIG1)