Fundraising Initiative Overview
Octopus AIM VCT plc and Octopus AIM VCT 2 plc are thrilled to share the launch of a new prospectus. This document details a planned offer for subscription of ordinary shares within the companies, with the goal of raising up to £20 million. There’s also an option for an additional £10 million, which would significantly strengthen the companies' financial position and provide increased flexibility for future investments.
Offer Details
The offer includes ordinary shares priced at 1p each for Octopus AIM VCT plc and 0.01p each for Octopus AIM VCT 2 plc. This initiative has been approved by the Financial Conduct Authority, ensuring compliance with regulations and protection for investors.
Investment Management Structure
Octopus Investments Limited will manage the investment, serving as the Companies’ investment manager. According to the agreements established before the offer, it's important to highlight that the investment manager will receive a fee structure consisting of several parts:
- An initial charge of 3% based on the gross funds raised through the offer.
- An extra 2.5% fee for funds from investors who prefer not to use a financial intermediary (known as Direct Investors).
- An ongoing fee of 0.5% per year calculated from the last announced net asset value, multiplied by the number of New Shares allocated to Direct Investors, which will apply for up to nine years.
Board’s Fairness Assessment
The boards of Octopus AIM VCT plc and Octopus AIM VCT 2 plc have thoughtfully evaluated these terms. They believe the agreements are fair and reasonable for shareholders. Advice from Howard Kennedy Corporate Services LLP further reinforces the fairness of these arrangements.
Offer Timeline
The offer is currently open for investors and is expected to close on specific dates according to the tax year. The deadlines are set for 5 April 2025 for the 2024/2025 tax year and 22 September 2025 for the 2025/2026 tax year. However, keep in mind that the Companies have the right to close the offer early if it gets fully subscribed, enabling a faster capital raise if investor demand is high.
How to Access the Prospectus
If you're interested in further details, the prospectus will soon be available at the National Storage Mechanism. This resource ensures transparency and provides access to significant financial documents for potential investors.
Company Website
The prospectus will also be published on the Companies' website, where stakeholders can find more details and updates about the offer and the overall strategic direction of Octopus AIM VCT plc and its affiliate.
Additional Inquiries
If you have any questions or need more information regarding this fundraising initiative, please reach out to Rachel Peat at Octopus Company Secretarial Services Limited. You can contact her directly at +44 (0)80 0316 2067.
Additionally, the Legal Entity Identifier (LEI) for the Companies is 213800C5JHJUQLAFP619, which serves as a reference for corporate transactions.
Frequently Asked Questions
What is the purpose of the offer?
This offer aims to raise funds that will create investment opportunities benefiting shareholders of Octopus AIM VCT plc and Octopus AIM VCT 2 plc.
Who manages the investments from this offer?
Investments from this offer will be overseen by Octopus Investments Limited, which complies with strict regulatory standards.
When is the closing date for the offer?
The offer is set to close on 5 April 2025 for the 2024/2025 tax year and on 22 September 2025 for the 2025/2026 tax year, unless it becomes fully subscribed before those dates.
How can I access the prospectus?
The prospectus will be accessible at the National Storage Mechanism and also on the Companies' official website.
Who should I contact for more information?
For inquiries, please contact Rachel Peat at Octopus Company Secretarial Services Limited at +44 (0)80 0316 2067.
