Insight into Northern Venture Trust's Investment Performance
Understanding Northern Venture Trust's Financial Position
Northern Venture Trust PLC is a prominent Venture Capital Trust (VCT) established in 1995. The firm aims to deliver sustained, tax-free financial returns to its investors by focusing on dividend yields and capital growth. This is primarily achieved through an impressive portfolio of investments, which largely consists of unquoted venture capital assets. To maintain its VCT status, the company adheres strictly to the requirements set forth by HM Revenue & Customs regarding its investment activities.
Net Asset Value Overview
As of the latest reports, the unaudited net asset value (NAV) per share stands at 61.7 pence, which shows an increase from 59.9 pence the previous quarter. This figure excludes the interim dividend of 1.6 pence per share, which was distributed to eligible shareholders recently. The formulation of NAV per share involves assessing quoted investments at their bid prices and unquoted investments at their fair values as determined by the directors. This meticulous evaluation helps ensure that the company provides an accurate representation of its financial standing to its stakeholders.
Recent Investment Activities
In the last quarter of 2024, Northern Venture Trust made significant strides in expanding its portfolio. Three new venture capital investments were completed, reflecting the trust's commitment to identifying innovative and promising businesses across various sectors.
Details of New Investments
The newly acquired investments are as follows:
- Semble Technology: An enterprise AI innovator focused on automated surgical tray validation, secured an investment of £1.951 million.
- Scalpel AI: This company offers cutting-edge practice management software tailored for healthcare professionals, and received £0.976 million.
- Napo: A pet insurance provider emphasizing preventative care and enhancing customer experiences, was allocated £1.933 million.
Moreover, the firm also injected £2.456 million into five existing portfolio companies, demonstrating a robust strategy for enhancing the potential growth of its investments.
Realisation of Investments
In terms of asset realisations, two investments were successfully executed within the same timeframe. The following table highlights the transactions:
- Grip-UK (trading as The Climbing Hangar): Achieved sale proceeds of £2.775 million, though initially invested at £3.884 million, with a carrying value of £2.821 million.
- musicMagpie plc: This investment yielded sale proceeds of £0.403 million, against an original cost of £0.238 million, with a carrying value of £0.244 million.
Shares and Market Movements
As of 31 December 2024, there are approximately 198 million ordinary shares in circulation. Additionally, 979,366 shares were purchased for cancellation at a rate of 56.91 pence each, which could potentially enhance the remaining shareholders' value by reducing the total outstanding shares.
Company Contact Information
For detailed inquiries, individuals can reach out to:
James Sly / Sarah Williams, Mercia Asset Management PLC – 0330 223 1430. For more insights, please visit the firm’s website at www.mercia.co.uk/vcts.
Frequently Asked Questions
What is the recent net asset value of Northern Venture Trust?
The unaudited net asset value per share as of 31 December 2024 is 61.7 pence, up from 59.9 pence.
What types of companies does Northern Venture Trust invest in?
Northern Venture Trust predominantly invests in unquoted venture capital holdings across various sectors, focusing on innovative and high-growth potential businesses.
How has the company performed in recent realizations?
In the latest quarter, the company successfully realised two investments, including Grip-UK and musicMagpie plc, generating substantial sale proceeds.
What new investments have been made recently?
During the last quarter, Northern Venture Trust invested in Semble Technology, Scalpel AI, and Napo, totaling over £4 million.
How can investors get in touch with Northern Venture Trust?
Investors can contact James Sly or Sarah Williams at Mercia Asset Management PLC via phone at 0330 223 1430 for more information.
About The Author
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