Kings Arms Yard VCT PLC Interim Management Statement
Introduction I am pleased to present Kings Arms Yard VCT PLC's interim management statement for the period from 1 July 2016 to 9 November 2016.
Performance and dividends The Company's unaudited net asset value (NAV) as at 30 September 2016 was £52.06 million or 20.94 pence per share (excluding treasury shares), an increase of 1.28 pence per share (6.5 per cent.) since 30 June 2016.
After accounting for the dividend paid of 0.50 pence per share on 31 October 2016 to shareholders on the register as at 7 October 2016, the NAV is 20.44 pence per share.
Share issues During the period from 1 July 2016 to 9 November 2016, the Company issued the following new Ordinary shares under the dividend reinvestment scheme:
| Date | Number of shares issued | Issue price per share | Net proceeds £'000 |
| 31 October 2016 | 649,493 | 19.16 pence | 123 |
Share buy-backs During the period from 1 July 2016 to 9 November2016, the Company purchased 1,187,000 shares for £215,000 at an average price of 18.13 pence per share. All of the shares are to be held in treasury.
It remains the Board's policy to buy back shares in the market, subject to the overall constraint that such purchases are in the Company's interest, including the maintenance of sufficient resources for investment in existing and new portfolio companies and the continued payment of dividends to shareholders. As mentioned in the Interim management report of the latest Half-yearly Financial Report, the Company intends to limit the sum available for share buy-backs for the six month period ending 31 December 2016 to £750,000 unless a material exit occurs.
It is the Board's intention for such buy-backs to be at around a 5 per cent. discount to net asset value, so far as market conditions and liquidity permit.
Portfolio The following investments have been made during the period from 1 July 2016 to 9 November 2016:
| New investments | £000's | Activity |
| Secured By Design Limited | 260 | Research and consulting for the global automotive sector |
| Convertr Limited | 284 | Digital lead generation software |
| Oviva AG | 91 | Medical nutritional therapy |
| Total new investments | 635 |
| Further investments | £000's | Activity |
| Active Lives Care Limited | 490 | Owner and operator of a care home for the elderly in Oxford |
| Ryefield Court Care Limited | 486 | Owner and operator of a care home for the elderly in Hillingdon |
| Abcodia Limited | 121 | Validation and discovery of serum biomarkers |
| Elateral Group Limited | 100 | Provider of digital marketing software |
| Proveca Limited | 56 | Reformulation of pediatric medicines |
| Shinfield Lodge Care Limited | 10 | Owner and operator of a care home for the elderly in Shinfield, Berkshire |
| Total further investments | 1,263 |
Disposals The following disposals were made during the period from 1 July 2016 to 9 November 2016:
| Portfolio company | £000's | |
| Oxford Immunotec Global PLC | 1,055 | Partial disposal of investment (October 2016) |
| Hilson Moran Holdings Limited | 60 | Loan stock and redemption premium repayment |
| Total proceeds | 1,115 |
Top ten holdings as at 30 September 2016:
| Investment | Carrying value £000's | % of net asset value | Activity |
| Elateral Group Limited | 5,801 | 11.1 | Provider of digital marketing software |
| Active Lives Care Limited | 5,396 | 10.4 | Owner and operator of a care home for the elderly in Oxford |
| Ryefield Court Care Limited | 3,902 | 7.5 | Owner and operator of a care home for the elderly in Hillingdon |
| Chonais River Hydro Limited | 2,839 | 5.5 | Hydropower project in Scotland |
| Oxford Immunotec Global PLC | 2,773* | 5.3 | A global, commercial-stage diagnostic company in the field of immunology |
| Proveca Limited | 2,206 | 4.2 | Reformulation of pediatric medicines |
| Sift Limited | 1,627 | 3.1 | Web based provision of online business and community management solutions |
| The Street by Street Solar Programme Limited | 1,544 | 3.0 | Builds, owns and operates photovoltaic systems on domestic properties in the UK |
| Alto Prodotto Wind Limited | 1,539 | 3.0 | Owns and operates community scale wind energy projects on brownfield sites in the UK |
| Perpetuum Limited | 1,421 | 2.7 | Provider of vibration harvester powered wireless sensing systems for the rail and industrial sectors |
*Prior to the sale of shares totalling £1,055,000 as noted in Disposals above.
A full breakdown of the Company's portfolio can be found on the Fund's webpage on the Manager's website at www.albion-ventures.co.uk/funds/KAY , by following the 'Portfolio of Investments' link under the 'Funds reports' section.
Material events and transactions There have been no further significant events or transactions that the Board is aware of which would have a material impact on the financial position of the Company between 1 July 2016 and 9 November 2016.
Further information The Company continues to offer a dividend reinvestment scheme to existing shareholders. Details of this Scheme can be found at www.albion-ventures.co.uk/funds/KAY .
Further information regarding historic and current financial performance and other useful shareholder information can be found on the Fund's webpage on the Manager's website under www.albion-ventures.co.uk/funds/KAY .
Robin Field, Chairman 9 November 2016
For further information please contact: Patrick Reeve, Albion Ventures LLP - Tel: 020 7601 1850
