TIDMTP7V

RNS Number : 3889U

TP70 2010 VCT PLC

15 October 2014

TP70 2010 VCT plc

Interim Results

The directors of TP70 2010 VCT plc are pleased to announce its Interim results for the six months to 31 August 2014.

For further information please contact Triple Point Investment Management LLP on 020 7201 8989. The Interim report will be available in full at www.triplepoint.co.uk

Financial Summary

 
                                       Unaudited        Audited         Unaudited 
                                  6 months ended     Year ended    6 months ended 
                                                    28 February 
                                  31 August 2014           2014    31 August 2013 
                                         GBP'000        GBP'000           GBP'000 
 
  Net assets                               7,582          7,563             7,417 
  Profit before tax                           19           (38)             (184) 
                                ----------------  -------------  ---------------- 
 
  Movement in net asset value 
   per share (p) 
  Opening net asset value per 
   share                                  86.47p         86.91p            86.91p 
  Earnings per share                       0.22p        (0.44p)           (2.10p) 
  Closing net asset value per 
   share                                  86.69p         86.47p            84.81p 
                                ----------------  -------------  ---------------- 
 
 

TP70 2010 VCT plc ("the Company") is a Venture Capital Trust ("VCT"). The Investment Manager is Triple Point Investment Management LLP ("TPIM"). The Company was launched in October 2009 and raised GBP8.3 million (net of expenses) through an offer for subscription which closed on 31 May 2010.

Chairman's Statement

I am writing to you to present the Unaudited Interim Financial Report for TP70 2010 VCT plc ("the Company") for the 6 months ended 31 August 2014.

Investment Portfolio

The Company's funds are 100% invested in a portfolio of both VCT qualifying and non-qualifying unquoted investments.

The Company's portfolio of qualifying investments accounts for 78% of its net assets, thus maintaining its VCT qualifying status by satisfying the test of being at least 70% invested in VCT qualifying investments. These investments were selected for their ability to yield high quality, predictable cash flows.

The sector composition of the portfolio has remained stable for the period of this report, and the Investment Manager's report on pages 3 to 4 gives an update on the investments.

Net Asset Value

During the period the Company made a profit of GBP19,000 or 0.22p per share. This resulted from an uplift in the valuation of the Company's exposure to GAM Trading. As at 31 August 2014 the NAV per share stood at 86.69p, a 1.88p per share increase from 31 August 2013.

Risks

The Board believes that the principal risks facing the Company are:

-- investment risk associated with exposure to GAM;

-- investment risk associated with VCT qualifying investments;

-- risk of failure to maintain approval as a VCT; and

-- risk of inability to realise investments in order to return funds to investors after the five year holding period.

The Board believes these risks are manageable and, with the Investment Manager, continues to work to minimise both the likelihood and potential impact of these risks, within the scope of the Company's established investment strategy.

Outlook

In June next year, all of the Company's shareholders will have held their shares for the five years required in order to secure the upfront income tax relief. In line with the VCT's investment strategy, both your Board and Triple Point are planning to return funds to shareholders as soon as practical after this. We will provide you with an update on the Company's realisation proposals in our next report to you with the audited Financial Statements, which we expect to publish next May.

If you have any queries or comments, please do not hesitate to telephone Triple Point Investment Management LLP on 020 7201 8989.

Charles Metcalfe

Chairman

15 October 2014

Investment Manager's Review

The Company continues to maintain a stable portfolio of qualifying investments, which as at 31 August 2014, represented 78% of net assets, ensuring that the Company continues to satisfy the requirement to be 70% invested in qualifying investments.

The overall portfolio comprises investments in 14 small, unquoted companies which operate in two sectors: cinema digitisation and renewable electricity generation from solar PV, anaerobic digestion and landfill gas.

Each of these investments meets Triple Point's investment criteria, with projected revenues generated by good quality customers and the potential for steady returns. Investments in both sectors have been made with the benefit of rigorous selection criteria, including extensive due diligence and expert technical assessment and are subject to continuous stringent review.

Sector Analysis

The unquoted qualifying investment portfolio can be analysed as follows:

 
                                                       Electricity Generation 
                                    Cinema         Solar     Anaerobic     Landfill    Total Qualifying 
  Industry Sector                 Digitisation       PV       Digestion       Gas         Investments 
-----------------------------  ---------------                                       ------------------ 
                                       GBP'000    GBP'000       GBP'000     GBP'000             GBP'000 
                               ---------------             ------------              ------------------ 
  Investments at 28 February 
   2014                                  1,079      3,508           725         650               5,962 
                               ---------------  ---------  ------------  ----------  ------------------ 
  Investments at 31 August 
   2014                                  1,079      3,508           725         650               5,962 
                               ---------------  ---------  ------------  ----------  ------------------ 
  Qualifying Investments 
   %                                    18.10%     58.84%        12.16%      10.90%             100.00% 
-----------------------------  ---------------  ---------  ------------  ----------  ------------------ 
 

VCT Sector Portfolio

Cinema Digitisation

TP70 2010's cinema digitisation portfolio continues to perform as intended, with the companies benefitting from regular and reliable revenues from their operations in the UK, Italy and Ireland. The majority of these revenues come from the six major investment grade Hollywood Studios under the globally recognised Virtual Print Fee model, through which film studios pay fees to book films on digital projection equipment in recognition of the cost benefits it brings them. These include a reduction in shipping costs and a reduction in piracy from tighter controls on distribution. For the cinemas some of the advantages include flexible scheduling and the ability to show alternative content such as opera and sport.

Solar PV

The portfolio includes investments in 10 businesses in the solar PV sector which generate renewable electricity from residential solar PV panels. Over the last six months these businesses have continued to deliver results in line with expectations, generating revenues for the Company. All of these businesses derive their income from the receipt of index-linked Feed-in Tariffs (FiTs). Our portfolio monitoring team continues to work closely with these companies to ensure the smooth running of their operations.

Anaerobic Digestion

In April 2012 the Company invested in a renewable energy business, Katharos Organic Ltd. The business operates a 1 MW on-farm anaerobic digestion plant, which generates green electricity attracting both Feed-in Tariffs and power export revenues. FITs provide for a long term RPI-linked revenue stream, consistent with the objectives of the Company. A good 2014 season maize harvest is anticipated which will enable the plants to continue to operate in line with expectations.

Landfill Gas

The portfolio also includes holdings in two small businesses: Craigahulliar Energy Ltd and Aeris Power Ltd; each generates renewable electricity from landfill gas at sites owned respectively by local councils and a large waste management company in Northern Ireland. Both businesses generate electricity for export to the National Grid, earning long term, reliable cash flows through the sale of electricity to a utility company and potentially to the site owners, and through the sale of the Renewable Obligation Certificates.

GAM Review

GAM reported as follows for the period under review:

Over the six months to 31 August 2014, GAM Trading 1.25XL increased in value by 2.01%, the HFRX Global Hedge Fund Index increased by 0.56% and the FTSE All Share increased by 1.41%.

By the end of the six month period of this report, GAM reports that the portfolio within the trading strategy continued to gain traction after a difficult start to the year, posting a second consecutive month of positive returns in August.

In summary over the past few months systematic approaches have generated gains, specialised approaches in commodities and emerging markets also performed well, but diversified discretionary counterparts have experienced some losses.

By asset class, the largest source of returns came from currencies as a result of the decline in the euro and Japanese yen, which benefited both discretionary and systematic approaches. This was followed closely by equities. Commodities performance was more mixed but overall positive. The combination of increased risk aversion as a result of geopolitical events and the reiteration by central banks of easy monetary policy translated into a resumption of the upward trend in fixed income markets. The fixed income exposure provided the greatest dispersion of returns, where systematic approaches were generally long and discretionary managers were short.

Looking ahead for the rest of the year, the expectation of increased market liquidity together with more stable returns should result in increased risk levels for managers.

Outlook

We continue to work closely with the management teams of all the portfolio businesses to ensure that that they continue to meet the investment strategy for the VCT and shareholders' objectives.

In June next year all shareholders will have held their shares for the five years required in order to secure the upfront Income Tax relief associated with their investment in the VCT. Consequently, looking ahead to this date, we will be working with the portfolio of companies in order to realise the VCT's investments so that funds can be returned to shareholders as soon as is practical after this date.

The Company intends to dispose of its exposure to the GAM Strategy in two tranches over the next six months.

If you have any questions, please do not hesitate to call us on 020 7201 8989.

Claire Ainsworth

Managing Partner

for Triple Point Investment Management LLP

15 October 2014

Investment Portfolio

 
                                               Unaudited                                  Audited 
                                             31 August 2014                           28 February 2014 
                               ----------------------------------------  ---------------------------------------- 
 
                                           Cost             Valuation                Cost             Valuation 
                                 GBP'000         %    GBP'000         %    GBP'000         %    GBP'000         % 
  Unquoted Investments 
  Qualifying Holdings              5,665     75.31      5,962     78.15      5,665     74.97      5,962     78.36 
  Non Qualifying Holdings              -         -          -         -          -         -          -         - 
  GAM Exposure 
  GAM Trading II GBP 1.25XL          608      8.09        617      8.09        608      8.04        605      7.95 
  Derivative                       1,230     16.36      1,034     13.55      1,230     16.27        988     12.98 
  Financial Assets at 
   fair value through profit 
   or loss                         7,503     99.76      7,613     99.79      7,503     99.28      7,555     99.29 
  Cash and cash equivalents           16      0.24         16      0.21         55      0.72         55      0.71 
                                   7,519    100.00      7,629    100.00      7,558    100.00      7,610    100.00 
                               =========  ========  =========  ========  =========  ========  =========  ======== 
 
  Unquoted Qualifying 
   Holdings 
  Cinema Digitisation 
  DLN Digital Ltd                  1,000     13.30      1,079     14.14      1,000     13.23      1,079     14.18 
  Electricity Generation 
  Solar 
  AH Power Ltd                       400      5.32        401      5.26        400      5.29        401      5.27 
  Arraze Ltd                         500      6.65        542      7.10        500      6.62        542      7.12 
  Bandspace Ltd                      500      6.65        564      7.39        500      6.62        564      7.41 
  Bridge Power Ltd                   250      3.32        269      3.53        250      3.31        269      3.53 
  Core Generation Ltd                250      3.32        270      3.54        250      3.31        270      3.55 
  Druman Green Ltd                   250      3.32        267      3.50        250      3.31        267      3.51 
  Fellman Solar Ltd                  250      3.32        266      3.49        250      3.31        266      3.50 
  Haul Power Ltd                     250      3.32        265      3.47        250      3.31        265      3.48 
  Helioflair Ltd                     400      5.32        398      5.22        400      5.29        398      5.23 
  Trym Power Ltd                     250      3.32        266      3.49        250      3.31        266      3.50 
  Anaerobic Digestion                            -                               -                    - 
  Katharos Organic Ltd               725      9.64        725      9.50        725      9.59        725      9.53 
  Landfill Gas                                   -                               -                    - 
  Aeris Power Ltd                    400      5.32        400      5.24        400      5.29        400      5.26 
  Craigahulliar Energy 
   Ltd                               240      3.19        250      3.28        240      3.18        250      3.29 
                                   5,665     75.31      5,962     78.15      5,665     74.97      5,962     78.36 
                               =========  ========  =========  ========  =========  ========  =========  ======== 
 

Directors' Responsibility Statement

The Directors have elected to prepare the Interim Financial Report for the Company in accordance with International Financial Reporting Standards ("IFRS").

In preparing the Interim Financial Report for the 6 month period to 31 August 2014, the Directors confirm that to the best of their knowledge:

a) the Interim Financial Report has been prepared in accordance with International Accounting Standard IAS34, "Interim Financial Reporting" issued by the International Accounting Standards Board;

b) the Interim Financial Report includes a fair review of important events during the period and their effect on the Financial Statements and a description of principal risks and uncertainties for the remainder of the accounting period;

c) the Interim Financial Report gives a true and fair view in accordance with IFRS of the assets, liabilities, financial position and of the results of the Company for the period and complies with IFRS and the Companies Act 2006;

d) the Interim Financial Report includes a fair review of related party transactions and changes therein. There are no related party transactions; and

e) the Directors believe that the Company has sufficient financial resources to manage its business risks in the current uncertain economic outlook.

The Directors have reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

This Interim Financial Report has not been audited or reviewed by the auditors.

Charles Metcalfe

Chairman

15 October 2014

Comprehensive Income

 
                                                  Unaudited                          Audited                        Unaudited 
                                             6 months ended                       Year ended                   6 months ended 
                                             31 August 2014                 28 February 2014                   31 August 2013 
                            -------------------------------  -------------------------------  ------------------------------- 
                      Note    Revenue    Capital      Total    Revenue    Capital      Total    Revenue    Capital      Total 
                              GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000 
  Income 
  Investment 
   income              4           99          -         99        186          -        186         93          -         93 
  Loss arising on 
   the disposal of 
   investments 
   during the 
   period                           -          -          -          -       (12)       (12)          -        (5)        (5) 
  Gain/(loss) 
   arising on the 
   revaluation 
   of investments 
   at the period 
   end                              -         58         58          -         58         58          -      (139)      (139) 
  Investment 
   return                          99         58        157        186         46        232         93      (144)       (51) 
                            ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
 
  Expenses 
  Investment 
   management fees     5           67         22         89        125         42        167         60         20         80 
  Financial and 
   regulatory 
   costs                           10          -         10         24          -         24         14          -         14 
  General 
   administration                   2          -          2          9          -          9          3          -          3 
  Legal and 
   professional 
   fees                            17          -         17         30          -         30         16          -         16 
  Directors' 
   remuneration        6           20          -         20         40          -         40         20          -         20 
  Operating 
   expenses                       116         22        138        228         42        270        113         20        133 
                            ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
  (Loss)/profit 
   before taxation               (17)         36         19       (42)          4       (38)       (20)      (164)      (184) 
  Taxation             7            -          -          -          -          -          -          -          -          - 
  (Loss)/profit 
   after taxation                (17)         36         19       (42)          4       (38)       (20)      (164)      (184) 
                            ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
  Profit and total 
   comprehensive 
   (loss)/profit 
   for the period                (17)         36         19       (42)          4       (38)       (20)      (164)      (184) 
                            ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
  Basic & diluted 
   (loss)/earnings 
   per 
   share               8      (0.19p)      0.41p      0.22p    (0.48p)      0.04p    (0.44p)    (0.22p)    (1.88p)    (2.10p) 
                            ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
 
 

The total column of this statement represents the Company's Statement of Comprehensive Income, prepared in accordance with International Financial Reporting Standards ("IFRS"). The supplementary revenue and capital columns are prepared in accordance with the Association of Investment Companies Statement of Recommended Practice (AIC SORP).

All revenue and capital items in the above statement derive from continuing operations. This Statement of Comprehensive Income includes all recognised gains and losses. The accompanying notes are an integral part of this statement.

Balance Sheet

 
                                            Unaudited        Audited    Unaudited 
                                            31 August    28 February    31 August 
                                                 2014           2014         2013 
                                    Note      GBP'000        GBP'000      GBP'000 
 
  Non current assets 
  Financial assets at fair 
   value through profit or 
   loss                                         7,613          7,555        7,465 
                                                7,613          7,555        7,465 
                                          -----------  -------------  ----------- 
  Current assets 
  Receivables                                      63             95           90 
  Cash and cash equivalents          9             16             55           23 
                                                   79            150          113 
                                          -----------  -------------  ----------- 
  Total assets                                  7,692          7,705        7,578 
                                          -----------  -------------  ----------- 
 
  Current liabilities 
  Payables and accrued expenses                   110            142          161 
                                                  110            142          161 
                                          -----------  -------------  ----------- 
 
  Net assets                                    7,582          7,563        7,417 
                                          ===========  =============  =========== 
 
  Equity attributable to 
   equity holders 
  Share capital                      10            87             87           87 
  Special distributable 
   reserve                                      8,225          8,225        8,225 
  Capital reserve                               (405)          (441)        (609) 
  Revenue reserve                               (325)          (308)        (286) 
  Total equity                                  7,582          7,563        7,417 
                                          ===========  =============  =========== 
  Net asset value per share 
   (pence)                           11        86.69p         86.47p       84.81p 
                                          ===========  =============  =========== 
 

The accompanying notes are an integral part of this statement.

Changes in Shareholders' Equity

 
                                                         Special 
                                         Issued    Distributable    Capital    Revenue 
                                        Capital          Reserve    Reserve    Reserve      Total 
                                        GBP'000          GBP'000    GBP'000    GBP'000    GBP'000 
  6 months ended 31 August 
   2014 
  Opening balance                            87            8,225      (441)      (308)      7,563 
                                      ---------  ---------------  ---------  ---------  --------- 
  Profit/(loss) after tax                     -                -         36       (17)         19 
  Total comprehensive profit/(loss) 
   for the period                             -                -         36       (17)         19 
                                      ---------  ---------------  ---------  ---------  --------- 
  Balance at 31 August 2014                  87            8,225      (405)      (325)      7,582 
                                      =========  ===============  =========  =========  ========= 
  Capital Reserve consists 
   of: 
  Investment holding gains                                              110 
  Other realised losses                                               (515) 
                                                                      (405) 
                                                                  --------- 
                                                         Special 
                                         Issued    Distributable    Capital    Revenue 
                                        Capital          Reserve    Reserve    Reserve      Total 
                                        GBP'000          GBP'000    GBP'000    GBP'000    GBP'000 
  Year ended 28 February 
   2014 
  Opening balance                            87            8,225      (445)      (266)      7,601 
  Profit/(loss) after tax                     -                -          4       (42)       (38) 
  Total comprehensive profit/(loss) 
   for the year                               -                -          4       (42)       (38) 
                                      ---------  ---------------  ---------  ---------  --------- 
  Balance at 28 February 
   2014                                      87            8,225      (441)      (308)      7,563 
                                      =========  ===============  =========  =========  ========= 
  Capital Reserve consists 
   of: 
  Investment holding gains                                               52 
  Other realised losses                                               (493) 
                                                                      (441) 
                                                                  --------- 
                                                         Special 
                                         Issued    Distributable    Capital    Revenue 
                                        Capital          Reserve    Reserve    Reserve      Total 
                                        GBP'000          GBP'000    GBP'000    GBP'000    GBP'000 
  6 months ended 31 August 
   2013 
  Balance at 1 March 2013                    87            8,225      (445)      (266)      7,601 
  Loss after tax                              -                -      (164)       (20)      (184) 
  Total comprehensive loss 
   for the period                             -                -      (164)       (20)      (184) 
                                      ---------  ---------------  ---------  ---------  --------- 
  Balance at 31 August 2013                  87            8,225      (609)      (286)      7,417 
                                      =========  ===============  =========  =========  ========= 
  Capital Reserve consists 
   of: 
  Investment holding losses                                           (141) 
  Other realised losses                                               (468) 
                                                                      (609) 
                                                                  --------- 
 

The capital reserve represents the proportion of Investment Management fees charged against capital and realised/unrealised gains or losses on the disposal/revaluation of investments. The capital reserve is not distributable. The special distributable reserve was created on court cancellation of the share premium account. The revenue and special distributable reserve are distributable by way of dividend.

The accompanying notes are an integral part of these statements.

Statement of Cash Flows

 
                                                Unaudited        Audited         Unaudited 
                                           6 months ended     Year ended    6 months ended 
                                                31 August    28 February 
                                                     2014           2014    31 August 2013 
                                                  GBP'000        GBP'000           GBP'000 
  Cash flows from operating activities 
  Profit/(loss) before taxation                        19           (38)             (184) 
  Loss arising on the disposal 
   of investments during the period                     -             12                 - 
  (Gain)/loss arising on the 
   revaluation of investments 
   at the period end                                 (58)           (58)               139 
  Cash absorbed by operations                        (39)           (84)              (45) 
  Decrease/(increase) in receivables                   32           (27)              (22) 
  (Decrease)/increase in creditors                   (32)             19                38 
  Net cash flows from operating 
   activities                                        (39)           (92)              (29) 
                                         ----------------  -------------  ---------------- 
  Cash flows from investing activities 
  Disposal proceeds of financial 
   assets at fair value through 
   profit or loss                                       -             95                 - 
  Net cash flows from investing 
   activities                                           -             95                 - 
                                         ----------------  -------------  ---------------- 
  Net (decrease)/increase in 
   cash and cash equivalents                         (39)              3              (29) 
                                         ================  =============  ================ 
  Reconciliation of net cash 
   flow to movements in cash and 
   cash equivalents 
  Cash and cash equivalents at 
   1 March 2014                                        55             52                52 
  Net (decrease)/increase in 
   cash and cash equivalents                         (39)              3              (29) 
  Cash and cash equivalents at 
   31 August 2014                                      16             55                23 
                                         ================  =============  ================ 
 

The accompanying notes are an integral part of this statement.

Notes to the Unaudited Interim Financial Report

   1 .     Corporate information 

The Unaudited Interim Financial Report of the Company for the 6 months ended 31 August 2014 was authorised for issue in accordance with a resolution of the Directors on 15 October 2014.

The Company is listed on the London Stock Exchange.

TP70 2010 VCT plc is incorporated and domiciled in Great Britain. The address of TP70 2010 VCT plc's registered office, which is also its principal place of business, is 18 St. Swithin's Lane, London, EC4N 8AD.

TP70 2010 VCT plc's Unaudited Interim Financial Report is presented in Pounds Sterling (GBP) which is also the functional currency of the Company, rounded to the nearest thousand.

The financial information set out in this report does not constitute statutory accounts as defined in S434 of the Companies Act 2006.

The principal activity of the Company is investment. The Company's investment strategy is to offer combined exposure to GAM's Trading strategy and venture capital investments focused on companies with contractual revenues from financially secure counterparties.

   2 .     Basis of preparation and accounting policies 

Basis of preparation

The Unaudited Interim Financial Report of the Company for the 6 months ended 31 August 2014 has been prepared in accordance with IAS 34: 'Interim Financial Reporting'. It does not include all of the information required for full Financial Statements and should be read in conjunction with the Financial Statements for the year ended 28 February 2014.

Estimates

The preparation of the Unaudited Interim Report requires management to make judgements, estimates and assumptions that reflect the application of accounting policies and the reported amounts of assets and liabilities, income and expenditure. However, actual results may differ from these estimates.

   3.      Segmental reporting 

The Company only has one class of business, being investment activity. All revenues and assets are generated and held in the UK.

   4.           Investment income 
 
                                           Unaudited                          Audited                        Unaudited 
                                      6 months ended                       Year ended                   6 months ended 
                                      31 August 2014                 28 February 2014                   31 August 2013 
                     -------------------------------  -------------------------------  ------------------------------- 
                          Rev.       Cap.      Total       Rev.       Cap.      Total       Rev.       Cap.      Total 
                       GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000 
  Loan interest 
   receivable               99          -         99        186          -        186         93          -         93 
                            99          -         99        186          -        186         93          -         93 
                     ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
 
 
   5.      Investment management fees 

Triple Point Investment Management LLP provides investment management and administration services to the Company under an Investment Management Agreement effective 2 February 2010. The agreement provides for an administration and investment management fee of 2.25% per annum of net assets, subject to a cap of 3.50% per annum on overall running costs as a percentage of net assets. It is calculated and payable quarterly in arrear and runs for a period of 5 years and may be terminated at any time thereafter by not less than twelve months' notice given by either party. Should such notice be given, the Investment Manager would perform its duties under the Investment Management Agreement and receive its contracted fee during the notice period.

   6.      Directors' remuneration 
 
                                           Unaudited                          Audited                        Unaudited 
                                      6 months ended                       Year ended                   6 months ended 
                                      31 August 2014                 28 February 2014                   31 August 2013 
                     -------------------------------  -------------------------------  ------------------------------- 
                          Rev.       Cap.      Total       Rev.       Cap.      Total       Rev.       Cap.      Total 
                       GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000 
  Charles Metcalfe, 
   Chairman                  8          -          8         15          -         15          8          -          8 
  Simon Acland               6          -          6         13          -         13          6          -          6 
  Professor Elroy 
   Dimson                    6          -          6         12          -         12          6          -          6 
                            20          -         20         40          -         40         20          -         20 
                     ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
 
   7.      Taxation 
 
                                           Unaudited                          Audited                        Unaudited 
                                      6 months ended                       Year ended                   6 months ended 
                                      31 August 2014                 28 February 2014                   31 August 2013 
                     -------------------------------  -------------------------------  ------------------------------- 
                          Rev.       Cap.      Total       Rev.       Cap.      Total       Rev.       Cap.      Total 
                       GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000    GBP'000 
  (Loss)/profit on 
   ordinary 
   activities 
   before 
   tax                    (17)         36         19       (42)          4       (38)       (20)      (164)      (184) 
                     ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
  Corporation tax @ 
   20%                     (3)          7          4        (8)          1        (7)        (4)       (33)       (37) 
  Effect of: 
  Capital 
   gains/(losses) 
   not taxable               -       (12)       (12)          -        (9)        (9)          -         29         29 
  Unrelieved tax 
   losses 
   arising in the 
   period                    3          5          8          8          8         16          4          4          8 
  Tax charge/credit 
   for the period            -          -          -          -          -          -          -          -          - 
                     ---------  ---------  ---------  ---------  ---------  ---------  ---------  ---------  --------- 
 

Capital gains and losses are exempt from corporation tax due to the Company's status as a Venture Capital Trust.

   8.      Earnings per share 

The earnings per share is based on a profit from ordinary activities after tax of GBP19,000 and on the weighted average number of shares in issue during the period of 8,746,340.

   9.      Cash and cash equivalents 

Cash and cash equivalents comprise deposits with The Royal Bank of Scotland plc.

   10.    Share capital 
 
                            Unaudited        Audited     Unaudited 
                            31 August    28 February     31 August 
                                 2014           2014          2013 
  Ordinary Shares 
   of 1p 
 
  Authorised 
     Number of shares      60,000,000     60,000,000    60,000,000 
     Par Value GBP'000            600            600           600 
 
  Issued & Fully 
   Paid 
     Number of shares       8,746,340      8,746,340     8,746,340 
     Par Value GBP'000             87             87            87 
 
 
   11.    Net asset value per share 

The calculation of net asset value per share is based on net assets of GBP7,582,000 divided by the 8,746,340 shares in issue.

   12.    Commitments and contingencies 

The Company has no commitments or contingent liabilities.

   13.    Relationship with Investment Manager 

During the period, TPIM received GBP89,283 which has been expensed, for providing management and administrative services to the Company. At 31 August 2014 GBP92,485 was owing to TPIM.

   14.    Related party transactions 

There were no related party transactions during the period.

   15.    Post balance sheet events 

There have been no post balance sheet events since the period end.

This information is provided by RNS

The company news service from the London Stock Exchange

END

IR FELFFZBFFFBV

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