Introduction to Northern 2 VCT PLC
Northern 2 VCT PLC is excited to announce the publication of its latest prospectus in collaboration with Northern Venture Trust PLC and Northern 3 VCT PLC. Collectively recognized as the Northern VCTs, this initiative is aimed at offering new ordinary shares for subscription during the upcoming tax year.
Details of the Prospectus
The prospectus outlines the Offers, which aim to raise a total of £36 million, divided into £15 million for Northern 2 VCT PLC and Northern Venture Trust PLC, with Northern 3 VCT PLC seeking £6 million. These Offers will officially open to applications at 8:00 am on 14 January 2025.
Benefits for Existing Shareholders
In a gesture of appreciation for the loyalty of existing shareholders, those registered with any of the Northern VCTs by 20 September of the prior year, along with their spouses or civil partners, will benefit from a cost reduction of 0.5% on the offer costs associated with their subscription.
Application Process
Applications will be processed on a “first-come, first-served” basis, allowing early subscribers to benefit from the Offers. It's important to note that these Offers will remain open until noon on 31 March 2025, or until subscriptions are fully accepted earlier.
Investment Management and Fees
Mercia Fund Management Limited, known for its role as the investment manager and promoter of the Northern VCTs, will receive a fee corresponding to 2.5% of the gross proceeds from subscriptions received directly or through financial advisers. For subscriptions generated via execution-only platforms, the fee set is 5%, with existing Northern VCT shareholders receiving a 0.5% discount.
Transparency and Fairness in Transactions
The finance arrangement between the Company and Mercia is governed under the UK Listing Rules, identifying Mercia as a related party. To ensure fairness, the board of Northern 2 VCT PLC has sought confirmation from Howard Kennedy Corporate Services LLP, highlighting that this transaction is both fair and reasonable for shareholders. This measure aims to foster trust and confidence among current and prospective shareholders.
Accessing the Prospectus
For those interested in reviewing the terms and specifics of the Offers, the prospectus is available for download from the Northern VCTs’ website. Copies can also be requested from the Company's registered office or by reaching out directly.
Communication of Key Information
Registered shareholders will receive an investment brochure detailing the key features of the Offers. This brochure will be aligned with their preferred communication methods and ensures they are well-informed about the details of the current offerings.
Conclusion and Contact Information
As Northern 2 VCT PLC continues to foster growth and opportunities, it's committed to maintaining open lines of communication with its shareholders and interested parties. If you have any questions or require further information, please reach out to the investment management team at Mercia Fund Management Limited on 0330 223 1430.
Frequently Asked Questions
What is the main purpose of the recently published prospectus?
The prospectus outlines offers for new ordinary shares aiming to raise a total of £36 million for the 2024/25 tax year.
When do the Offers open for applications?
The Offers will open for applications at 8:00 am on 14 January 2025.
Are there any benefits for current shareholders?
Yes, existing shareholders will receive a reduction of 0.5% on offer costs if their applications are accepted.
How long will the Offers remain open?
The Offers will remain open until noon on 31 March 2025, unless fully subscribed earlier.
Who will manage the investment for the Northern VCTs?
Mercia Fund Management Limited is responsible for managing investments and promoting the Northern VCTs.
