Maven Income
and Growth VCT 4 PLC
Final results
for the year ended 31 December 2023
The Directors report the Company's financial
results for the year ended 31 December 2023.
Highlights
• NAV total return at the
year end of 152.81p per share (2022: 155.90p)
• NAV at the year end of
61.71p per share (2022: 68.30p)
• Final dividend of 1.75p per
share proposed for payment in May 2024
• £7.58 million deployed in
new and follow-on investments
• Offer for Subscription
closed in May 2023, raising a total of £6.83 million
• New Offer for Subscription
launched in October 2023
Strategic
Report
Chairman's
Statement
On behalf of your Board, I am pleased to
present the results for the 12 months to 31 December 2023. This has
been a challenging year for the UK economy and, notwithstanding the
modest reduction in NAV total return, your Board is encouraged by
the further strategic progress that has been achieved. Across the
private company portfolio, most of the earlier stage growth
companies have continued to gain commercial traction and achieve
defined milestones, which has resulted in uplifts to the value of
specific portfolio holdings. The impact of this positive progress
has, however, been offset by the more general rebasing of
valuations across public and private markets. It is encouraging to
report that there has been further expansion of the portfolio, with
the addition of eight new private companies that operate across a
range of dynamic and emerging markets, adding further breadth and
sector diversity. Your Board recognises the importance of making
regular Shareholder distributions and is pleased to propose a final
dividend of 1.75p per share for payment in May 2024, which brings
the annual yield to 5.12%.
The financial year was another period of
economic instability for global markets with domestic growth
constrained by persistently high inflation and rising interest
rates. Against this backdrop, your Board is pleased to report on
the generally resilient performance that was achieved. For several
years, your Company has been following an investment strategy
focused on constructing a large, diverse portfolio of ambitious and
emerging companies with high growth potential. During the year,
many of these businesses have continued to deliver meaningful
revenue growth and achieve commercial objectives. As the portfolio
evolves, it is evident that there are a number of high performing
companies that have the capability of achieving superior returns at
exit. Given the sustained progress, the valuations of specific
holdings have been uplifted, although the impact of the movement
has been moderated by the market wide reduction in valuation
multiples. This dynamic has impacted the valuations of certain
larger holdings in the private company portfolio where, despite
most of the businesses continuing to trade to plan, multiples have
been adjusted to reflect the general rebasing. This approach is
consistent with industry best practice and the requirement to
ensure that private company valuations reflect market movements, as
well as a company specific progress. There are also a small number
of companies that have encountered challenges, largely due to the
conditions in the wider economy and where the business plan has not
been achieved. In these cases, valuations have been reduced. It is
worthwhile noting that your Company also retains a number of
holdings in more mature companies, completed prior to the VCT rules
change in 2015. Whilst the size of this later stage portfolio will
naturally decrease over time as realisations are completed, it
continues to broaden exposure across the portfolio.
This has been another difficult year for AIM,
as uncertain market conditions have resulted in restricted
liquidity both on the demand and supply side. AIM has also
experienced its quietest year for initial public offering (IPOs) in
over 20 years as companies with cash resources have opted to delay
listing until markets stabilise and valuations improve. As a
result, investors have continued to exercise caution towards
earlier stage listed growth companies, which has resulted in
reduced trading volumes and increased share price volatility.
Consequently, new AIM investment activity by your Company has
remained at low levels. Although your Company's AIM portfolio
represents a relatively small proportion of net assets, your Board
continues to believe that a balanced portfolio of private equity
and AIM quoted holdings represents the optimal strategy for
delivering consistent returns over the longer term. While markets
remain unpredictable, it is likely that there will be limited new
AIM investments until there is demonstrable evidence of a sustained
recovery in this market and an improvement in the quality of
companies seeking investment on the junior market.
The Manager has continued to see good demand
for growth capital from ambitious and entrepreneurial companies
across the UK. During the year, a total of £7.58 million was
deployed, with eight new private companies added to the portfolio
and follow-on funding provided to support the growth and
development of 18 existing private company holdings, alongside
three small AIM transactions. This level of investment activity
highlights the benefits of the Manager's regional model, which
enables Maven's investment team to develop strong relationships
within their local corporate finance communities ensuring access to
the widest pool of emerging companies. The ability to provide
follow-on funding is a central component of the investment strategy
as it enables your Company to progressively support growth or to
fund a specific strategic initiative, such as targeted
international expansion, which should ultimately help that business
achieve scale and maximise value. With good levels of liquidity,
your Company is well positioned to continue to progress this
strategy.
As Shareholders will be aware, your Board is
committed to supporting your Company's future growth, and in
October 2023, was pleased to announce the launch of a new Offer for
Subscription alongside Offers by the other Maven managed VCTs. Your
Company had an initial target raise of £5 million, with the ability
to utilise an over-allotment facility of up to a further £2.5
million and, as at 3 April 2024, being the latest practicable date
prior to the publication, £5.61 million had been raised. The Offers
closed to new applications on 5 April 2024 for the 2023/24 tax year
and will close on 26 April 2024 for the 2024/25 tax year, unless
fully subscribed at an earlier date. Further information about the
Offers, as well as the Securities Note and Application Form, can be
found at:
mavencp.com/vctoffer. With respect to the current Offer and
future fund raisings, the Board and the Manager welcomed the
announcement by the UK Government in November 2023 that tax relief
for the VCT and EIS schemes will continue until 2035. The news that
the "sunset clause" will be extended provides greater clarity for
VCT Shareholders and, importantly, reassures entrepreneurial
smaller UK companies that access to VCT growth capital will
continue to be available.
The Investment Manager's Review contains
further details of the key developments across the portfolio and
can be found in the Annual Report. The principal Key Performance
Indicators (KPIs) are outlined in the Business Report, and a
summary of the Alternative Performance Measures (APMs) is included
in the Financial Highlights, with definitions of key terms
contained in the Glossary, available in the Annual
Report.
Treasury
Management
During the year, significant focus has been
placed on refining your Company's treasury management strategy,
where the objective remains to optimise the income generated from
cash held prior to investment in VCT qualifying companies, whilst
meeting the requirements of the Nature of Income condition. This is
a mandatory part of the VCT legislation, which stipulates that not
less than 70% of a VCT's income must be derived from shares or
securities. In order to meet this condition, the Board had
previously approved the construction of a diversified portfolio of
permitted, non-qualifying holdings in carefully selected investment
trusts with strong fundamentals and attractive income
characteristics, with the remaining cash held on deposit across
four Tier 1 UK banks. Given the rise in interest rates during the
year, the Board and the Manager have revised this approach and
adjusted the composition of this portfolio, whilst ensuring that
your Company maintains appropriate levels of cash for new
investment. In this regard, the Board has approved a revised
strategy focused on constructing a portfolio of leading money
market funds and investment trusts that will allow your Company to
maximise the income receivable on monies held prior to deployment
in VCT qualifying investments, whilst also ensuring compliance with
the Nature of Income condition. The investments within this
portfolio have been selected following a whole of market review by
the Manager and were approved by the Company's VCT adviser, and
further details can be found in the Investments table in the Annual
Report. This strategy provides your Company with a significant new
stream of income, with a blended annualised yield of 3.3% currently
being achieved from the portfolio of treasury management holdings
and cash. Shareholders should, however, note that this portfolio
will vary in size depending on the rate of new VCT qualifying
investment, investee company realisations and overall liquidity
levels.
Dividend
Policy
Decisions on distributions take into
consideration a number of factors, including the realisation of
capital gains, the adequacy of distributable reserves, the
availability of surplus revenue and the VCT qualifying level, all
of which are kept under close and regular review. The Board and the
Manager recognise the importance of tax free distributions to
Shareholders and, subject to the considerations outlined above,
will seek, as a guide, to pay an annual dividend that represents 5%
of the NAV per share at the immediately preceding year
end.
The Directors would like to remind Shareholders
that, as the portfolio continues to expand and the proportion of
holdings in companies with high growth potential increases, the
timing of distributions will be more closely linked to realisation
activity, whilst also reflecting the Company's requirement to
maintain its VCT qualifying level.
Proposed Final
Dividend
In keeping with the wider market, this has been
a quiet year for exits. The Directors are, however, pleased to
propose that a final dividend of 1.75p per Ordinary Share, in
respect of the year ended 31 December 2023, be paid on 24 May 2024
to Shareholders who are on the register at 19 April 2024. This will
bring the annual dividend to 3.50p per Ordinary Share, representing
a yield of 5.12% based on the NAV at the immediately preceding year
end. Since the Company's launch, and after receipt of the proposed
final dividend, a total of 92.85p per Ordinary Share will have been
paid in tax free distributions.
Dividend
Investment Scheme (DIS)
Your Company operates a DIS, through which
Shareholders can, at any time, elect to have their dividend
payments utilised to subscribe for new Ordinary Shares issued under
the standing authority requested from Shareholders at Annual
General Meetings. Ordinary Shares issued under the DIS should
qualify for VCT tax relief applicable for the
tax year in which they are allotted, subject to
an individual Shareholder's particular circumstances.
Shareholders can elect to participate in the
DIS, in respect of future dividends, by completing a DIS mandate
form. In order for the DIS to apply to the 2023 final dividend, the
mandate form must be received by the Registrar (The City
Partnership) before 10 May 2024, this being the relevant dividend
election date. The mandate form, terms & conditions and full
details of the scheme (including tax considerations) are available
from the Company's webpage at:
mavencp.com/migvct4. Election to participate in the DIS can
also be made through the Registrar's online investor hub at:
maven-cp.cityhub.uk.com/login.
If a Shareholder is in any doubt about the
merits of participating in the DIS, or their own tax status, they
should seek advice from a suitably qualified adviser.
Fund
Raising
In May 2023, your Company closed an Offer for
Subscription, having raised £6.83 million across the 2022/23 and
2023/24 tax years. All shares in respect of that Offer have been
allotted and Shareholders will find further details regarding the
new Ordinary Shares issued in Note 12 to the Financial Statements
in the Annual Report.
On 13 October 2023, your Company launched a new
Offer for Subscription alongside Offers by the other three Maven
managed VCTs. Your Company had an initial target raise of £5
million, with the ability to utilise an over-allotment facility of
up to a further £2.5 million. The first allotment of new Ordinary
Shares took place on 17 January 2024, with further allotments for
the 2023/24 tax year completing on 8 February, 27 March and 5 April
2024. The Offer will close to new applications for the 2024/25 tax
year on 26 April 2024, unless fully subscribed ahead of this date
and, it is intended that shares will be allotted in early May
2024.
The Directors are confident that Maven's
regional office network has the capability to continue to source
attractive investment opportunities in VCT qualifying companies
across a range of sectors, and that the additional liquidity
provided by the fundraising will facilitate further expansion and
development of the portfolio in line with the investment strategy.
Furthermore, the funds raised will allow your Company to maintain
its share buy-back policy, whilst also spreading costs over a wider
asset base, with the objective of maintaining a competitive ongoing
charges ratio for the benefit of all Shareholders.
Share
Buy-backs
The Directors acknowledge the need to maintain
an orderly market in the Company's shares and have, therefore,
delegated authority to the Manager to enable the Company to buy
back its own shares in the secondary market for cancellation or to
be held in treasury, subject always to such transactions being in
the best interests of Shareholders.
It is intended that the Company will seek to
buy back shares with a view to maintaining a share price that is at
a discount of approximately 5% to the latest published NAV per
share. Any purchase of the Company's own shares will be subject to
market conditions, available liquidity and the maintenance of the
VCT qualifying status. It should, however, be noted that such
transactions cannot take place whilst the Company is in a closed
period, which is the time from the end of a reporting period until
the announcement of the relevant results, or the release of an
unaudited NAV. A closed period may also be introduced if the
Directors and Manager are in possession of price sensitive
information.
Shareholders should note that neither the
Company nor the Manager can execute a transaction in the Company's
shares. Any instruction to buy or sell shares on the secondary
market must be directed through a stockbroker. If a Shareholder
wishes to buy or sell shares on the secondary market, they, or
their broker, can contact the Company's corporate broker, Shore
Capital Stockbrokers on 020 7647 8132, to discuss a
transaction.
VCT Regulatory
Developments
During the period under review, there were no
further amendments to the rules governing VCTs, and your Company
remains fully compliant with the complex conditions and
requirements as set out by HMRC.
Shareholders may recall that under the VCT
scheme approved by the European Commission in 2015, a "sunset
clause" was introduced, which stated that income tax relief would
no longer be available on subscriptions for new shares in VCTs made
on or after 6 April 2025, unless the legislation was renewed by an
HM Treasury Order. In the Autumn Statement 2022, the Chancellor
announced that the "sunset clause" would be extended, and during
the year there was a significant amount of debate regarding the
mechanism required to achieve this. The Board and the Manager were
reassured by the announcement in the Autumn Statement 2023 that the
"sunset clause" would be extended until April 2035, with relevant
legislation to be announced in due course.
Valuation
Methodology
Consistent with industry best practice, the
Board and the Manager continue to apply the International Private
Equity and Venture Capital Valuation (IPEV) Guidelines as the
central methodology for all private company valuations. The IPEV
Guidelines are the prevailing framework for fair value assessment
in the private equity and venture capital industry. The most recent
update (December 2022) incorporates the special guidance issued
post COVID and following the invasion of Ukraine, which expands on
the concept of and impact on valuations of distressed markets, as
well as looking at how environmental, social and governance (ESG)
factors impact valuations. The Directors and the Manager continue
to follow industry guidelines and adhere to the IPEV Guidelines in
all private company valuations. In accordance with normal market
practice, investments quoted on AIM, or another recognised stock
exchange, are valued at their closing bid price at the period end.
Further details on your Company's approach to valuing portfolio
companies can be found in Note 1(e) to the Financial
Statements.
The Consumer
Duty
In July 2023, the FCA's new Consumer Duty came
into effect. This is an enhancement to the existing concept of
"treating customers fairly" and requires firms that are subject to
the new rules to ensure that they are acting to deliver good
outcomes for retail consumers, and that their strategies,
governance, leadership and policies all reflect this. Although the
Consumer Duty does not apply directly to your Company, the Manager,
as an FCA authorised firm, is within its scope. During the year,
the Manager has been providing the Directors with regular updates
on the work that has been undertaken to ensure that good outcomes
are being delivered for Shareholders, and will continue to report
to the Board on Consumer Duty related activities and ongoing
obligations.
Environmental,
Social and Governance (ESG) Considerations
The Board acknowledges the importance of ESG
principles and considers that portfolio companies with ESG aims
integrated into their business models are likely to benefit both
society and Shareholders. Whilst your Company does not have any
specific ESG targets, and Maven does not manage any funds with
defined ESG criteria, the Board and the Manager believe that a
proactive approach to ESG is a driver to value creation, and can
help the long term growth and sustainability of these
businesses.
During the year, the Manager has made
encouraging progress in this evolving area and has introduced an
ESG and Responsible Investment Policy, which is a best practice
approach that is being applied across all portfolio companies. The
Manager has also developed a robust framework for assessing and
promoting ESG aims by actively engaging with portfolio companies,
taking into consideration material issues at the investment stage
and, thereafter, monitoring progress throughout the period of
investment.
In May 2021, the Manager became a signatory to
the internationally recognised Principles for Responsible
Investment (PRI), demonstrating its commitment to include ESG as an
integral part of its investment decision making and ownership, with
the first report submitted in September 2023. Additionally, in the
past year, the Manager has actively participated in various
initiatives dedicated to enhancing diversity and is also a
signatory to the Investing in Women Code, which seeks to improve
and increase opportunities for female entrepreneurs.
The ESG regulatory landscape is continually
evolving, and the Manager provides the Board with regular updates
on the latest developments. A key regulation, which is prominent
within the asset management sector, is the Task Force on
Climate-related Financial Disclosures (TCFD). Although neither the
Company nor the Manager are currently required to disclose
climate-related financial information in line with the TCFD, they
recognise the significance and importance of the TCFD
recommendations in providing a foundation to improve investors'
ability to appropriately assess climate-related risks and
opportunities. Reporting in line with TCFD is, therefore, an
objective of the Manager as part of its approach to ESG. The
Manager also reviews and actively engages with new ESG regulations
to understand any new responsibilities, and will continue to update
the Board on any requirements that are material to your
Company.
Annual General
Meeting (AGM)
The 2024 AGM will be held on 9 May 2024 in
Maven's London office, which is located at 6th Floor, Saddlers House, 44 Gutter Lane,
London EC2V 6BR. The AGM will commence at 12.00 noon and the
Notice of Annual General Meeting can be found in the Annual
Report.
The
Future
Whilst the UK moved into technical recession in
the final quarter of 2023, there are signs that the outlook is
improving. Inflation has sharply declined from its peak in 2023
and, assuming this trajectory continues, interest rates are
expected to gradually ease during the second half of the year.
Against a more positive macroeconomic outlook, your Company will
remain focused on maintaining a steady rate of new investment to
further expand and diversify the portfolio, whilst also targeting
successful exits to ensure that the 5% dividend yield can be
maintained.
Fraser
Gray
Chairman
5 April
2024
Business
Report
This Business Report is intended to provide an
overview of the strategy and business model of the Company, as well
as the key measures used by the Directors in overseeing its
management. The Company is a VCT and invests in accordance with the
investment objective set out below.
Investment
Objective
Under an investment
policy approved by the Directors, the Company aims to achieve
long-term capital appreciation and generate income for
Shareholders.
Business Model
and Investment Policy
The Company intends to
achieve its objective by:
• investing the majority of
its funds in a diversified portfolio of shares and securities in
smaller, unquoted UK companies and AIM quoted companies that meet
the criteria for VCT qualifying investments and have strong growth
potential;
• investing no more than
£1.25 million in any company in one year and no more than 15% of
the Company's assets by cost in one business at any time;
and
• borrowing up to 15% of net
asset value, if required and only on a selective basis, in pursuit
of its investment strategy.
Principal and
Emerging Risks and Uncertainties
The Board and the Risk Committee have an
ongoing process for identifying, evaluating and monitoring the
principal and emerging risks and uncertainties facing the Company.
The risk register and dashboard form key parts of the Company's
risk management framework used to carry out a robust assessment of
the risks, including a significant focus on the controls in place
to mitigate them. The current principal and emerging risks and
uncertainties facing the Company are considered to be as
follows:
Principal
Risk
|
Root
Cause
|
Control
Measure
|
Investment
risk
|
· The
majority of investments are in small and medium sized unquoted UK
companies and AIM quoted companies, which carry a higher level of
risk and lower liquidity relative to investments in larger quoted
companies.
|
· The
Company appoints an FCA authorised investment manager with the
appropriate skills, experience and resources required to achieve
the Investment Objective.
· The
Board ensures that a robust and structured selection, monitoring
and realisation process is applied by the Manager and regularly
reviews the investment portfolio with the Manager.
· The
Company's investment portfolio is diversified across a large number
of companies and a range of economic sectors, and is actively and
closely monitored.
|
Operational
risk
|
·
Heightened cyber security risk and potential IT failure,
which could cause a third party to fail to perform its duties and
responsibilities or experiences financial difficulties such that it
is unable to carry on trading and cannot provide services to the
Company.
|
· The
Board closely monitors the systems and controls in place to prevent
or mitigate against a systems or data security failure.
· The
Board reviews control and compliance reports from the Manager,
which includes oversight of third party cyber security
arrangements, to ensure these adequately address systems and data
security risks.
·
Ability of third parties to operate effective business
continuity plan (BCP) arrangements has been validated.
|
VCT qualifying
status risk
|
·
Failure to meet VCT qualifying status could result in
Shareholders losing the income tax relief on initial investment and
loss of tax relief on any tax free income or capital gains
received. Failure to meet the qualifying requirement could result
in a loss of listing of the shares.
|
· The
Board works closely with the Manager to ensure compliance with all
applicable and upcoming legislation, such that VCT qualifying
status is maintained.
·
Further information on the management of this risk is
detailed under other headings in the Business Report in the Annual
Report.
|
Legislative
and regulatory risk
|
·
Breaches of regulations including, but not limited to, the
Companies Act 2006, the FCA Listing Rules, the FCA Disclosure
Guidance and Transparency Rules, the General Data Protection
Regulation (GDPR), or the Alternative Investment Fund Managers
Directive (AIFMD) by the Company could lead to a number of
detrimental outcomes and reputational damage.
|
· The
Board strives to maintain a good understanding of the changing
regulatory landscape and consider emerging issues so that
appropriate changes can be developed and implemented in good
time.
· The
Board and the Manager continue to make representations where
appropriate, either directly or through relevant industry bodies
such as the AIC, the British Private Equity and Venture Capital
Association (BVCA) and the Venture Capital Trust Association (VCTA)
in relation to any changes in legislation.
|
Emerging
Risk
|
Root
Cause
|
Control
Measure
|
Inflationary
pressures/
cost of living
crisis
|
·
Inflationary pressures, supply chain issues and access to
skilled workforce disrupting business plans and creating challenges
for SMEs within the portfolio.
·
Cost of living crisis resulting in rising costs within the
portfolio including, but not limited to, the cost of supplies,
employee wages and utilities.
|
· The
Board regularly reviews the investment portfolio with the Manager,
and the Manager works closely with portfolio companies to identify
potential issues and support them in the management of economic
challenges.
· The
Board and the Manager are monitoring this risk closely and, whilst
this risk cannot be obviated entirely, the Company's investment
portfolio is diversified across a large number of investee
companies operating in a range of economic sectors, and progress is
actively and closely monitored.
|
An explanation of certain economic and financial
risks and how they are managed is contained in Note 16 to the
Financial Statements in the Annual Report.
Statement of
Compliance with Investment Policy
The Company is adhering to its stated
investment policy and managing the risks arising from it. This can
be seen in various tables and charts throughout this Annual Report,
and from information provided in the Chairman's Statement and in
the Investment Manager's Review. A review of the Company's
business, its financial position as at 31 December 2023 and its
performance during the year then ended is included in the
Chairman's Statement, which also includes an overview of the
Company's business model and strategy.
The management of the investment portfolio has
been delegated to Maven, which also provides company secretarial,
administrative and financial management services to the Company.
The Board is satisfied with the breadth and depth of the Manager's
resources and its nationwide network of offices, which supply new
deals and enable it to monitor the geographically widespread
portfolio of companies effectively.
The Investment Portfolio Summary in the Annual
Report discloses the investments in the portfolio and the degree of
co-investment with other clients of the Manager. The Portfolio
Analysis charts in the Annual Report show the profile of the
portfolio by industry sector. They also show the sectoral diversity
of the portfolio and the hybrid structure, which is balanced
between private growth capital companies, more mature private
company holdings, and AIM quoted investments. The level of VCT
qualifying investments is monitored continually by the Manager and
reported to the Risk Committee quarterly, or as otherwise
required.
Key
Performance Indicators (KPIs)
During the year, the net return on ordinary
activities before taxation was a loss of £4,307,000 (2022: loss of
£2,068,000); there was a net loss on investments of £2,989,000
(2022: loss of £787,000) and earnings per share represented a
deficit of 3.17p (2022: deficit of 1.64p). The Directors also use a
number of APMs in order to assess the Company's success in
achieving its objectives, which enable Shareholders and prospective
investors to gain an understanding of its business. The APMs are
shown in the Financial History table and definitions of the APMs
can be found in the Glossary in the Annual Report. The Board
considers the following to be KPIs:
• NAV total return;
• cumulative dividends
paid;
• share price discount to
NAV;
• share price total return;
and
• ongoing charges ratio
(OCR).
The NAV total return is considered to be a more
appropriate long-term measure of Shareholder value as it includes
both the current NAV per share and the sum of dividends paid to
date. Cumulative dividends paid is the total amount of both capital
and income distributions paid since the launch of the Company. The
annual yield is the total of dividends paid per share for the
financial year, expressed as a percentage of the NAV per share at
the immediately preceding year end. The Directors seek to pay
dividends to provide a yield and comply with the VCT rules, taking
account of the level of distributable reserves, profitable
realisations in each accounting period and the Company's future
cash flow projections. The share price discount to NAV is the
percentage by which the mid-market price of a share is lower than
its NAV per share. Share price total return is the percentage
movement in the share price over a period of time including any
re-invested dividends paid over that timeframe.
The OCR is a measure of the total cost of a
fund to an investor. The OCR is the total recurring annual expenses
of the Company, including management fees charged to the capital
reserve, as a percentage of the average net assets attributable to
Shareholders. The Company's OCR for the year ended 31 December 2023
was 3.26% (2022: 2.97%) and is detailed in Note 4 to the Financial
Statements in the Annual Report. A historical record of these
measures is shown in the Financial Highlights in the Annual Report,
and the profile of the portfolio is reflected in the Summary of
Investment Changes in the Annual Report. The Board also reviews the
Company's operational expenses on a quarterly basis as the
Directors consider that this element is an important component in
the generation of Shareholder returns. Further information can be
found in Notes 2 and 4 to the Financial Statements in the Annual
Report.
Your Board continues to believe that a blended
portfolio of private equity and AIM quoted holdings provides the
optimal structure for delivering long term growth in Shareholder
value. However, the Manager will remain cautious on new AIM
investments until there is clear evidence of a recovery in this
market and an improvement in the quality and range of companies
seeking VCT investment.
There is no VCT index against which to compare
the financial performance of the Company. However, for reporting to
the Board and Shareholders, the Manager uses comparisons with the
most appropriate index, being the FTSE AIM All-Share Index, and the
graph in the Annual Report compares the Company's performance
against the FTSE AIM All-Share Index. The Directors also consider
non-financial performance measures, such as the flow of investment
proposals, and ranking of the VCT sector by independent analysts.
In addition, the Directors will consider economic, regulatory and
political trends and factors that may impact on the Company's
future development and performance.
Valuation
Process
Investments held by Maven Income and Growth VCT
4 PLC in unquoted companies are valued in accordance with the IPEV
Guidelines, being the prevailing framework for fair value
assessment in the private equity and venture capital industry. The
guidelines were updated in December 2022 and incorporate the
special guidance issued post COVID and following the invasion of
Ukraine, and expand on the concept of and impact on valuations of
distressed markets, as well as looking at how ESG factors impact
valuations. The Directors and the Manager continue to follow the
IPEV Guidelines in all private company valuations. Investments
quoted or traded on a recognised stock exchange, including AIM, are
valued at their closing bid price at the year end.
Share
Buy-backs
At the forthcoming AGM, the Board will seek the
necessary Shareholder authority to continue to conduct a share
buy-back programme under appropriate circumstances.
The Board's Duty and Stakeholder
Engagement
The Directors recognise the importance of an
effective Board and its ability to discuss, review and make
decisions to promote the long term success of the Company and
protect the interests of its key stakeholders. As required by
Provision 5 of the AIC Code (and in line with the UK Code), the
Board has discussed the Directors' duty under Section 172 of the
Companies Act and how the interests of key stakeholders have been
considered in the Board discussions and decision making during the
year.
This has been
summarised in the table below:
Form of
engagement
|
Influence on
Board decision making
|
Shareholders
Shareholders are encouraged to attend and vote
at the AGM and have the opportunity to ask questions and engage
with the Directors and the Manager.
The Company reports formally to Shareholders by
publishing Annual and Interim Reports. In the instance of a
corporate action taking place, the Board will communicate with
Shareholders through the issue of a Circular and, if required, a
Prospectus. In addition, significant matters or reporting
obligations are disseminated to Shareholders by way of
announcements to the London Stock Exchange.
The Secretary acts as a key point of contact
for the Directors and communications received from Shareholders are
circulated to the whole Board.
The Manager also publishes a bi-annual
newsletter and provides regular portfolio updates by
email.
|
The Board recognises the importance of tax-free
dividends to Shareholders and takes this into consideration when
making decisions to pay interim and propose final dividends for
each year. Further details regarding dividends for the year under
review can be found in the Chairman's Statement.
The Directors recognise the importance to
Shareholders of the Company maintaining an active buy-back policy,
with the intention that share buy backs will be conducted with a
view to maintaining a share price that is at a discount of
approximately 5% to the latest published NAV per share. Further
details can be found in the Chairman's Statement, and in the
Directors' Report in the Annual Report.
In making the decision to launch the current
Offer for Subscription, the Directors considered that it would be
in the interest of Shareholders to continue to expand the portfolio
and make investments across a diverse range of sectors. By growing
the Company, as certain costs are fixed, these costs are spread
over a wider asset base, which helps to promote a competitive
ongoing charges ratio and is in the interests of Shareholders. In
addition, the increased liquidity helps support the buy-back policy
referred to above. Further details regarding the latest Offers for
Subscription can be found in the Chairman's Statement.
|
Environment and
society
The Directors and the Manager take account of
the social, environmental and ethical factors impacted by the
Company and the investments that it makes.
|
The Directors and the Manager are aware of
their duty to act in the interests of the Company and acknowledge
that there are risks associated with investment in companies that
fail to conduct business in a socially responsible
manner.
The Manager's ESG assessment of investee
companies focuses heavily on their impact on the environment, as
well as broader social themes such as the companies' approach to
diversity and inclusion in the workplace, and their work with
charities.Further details can be found in the Chairman's Statement,
the Investment Manager's Review, and in the Statement of Corporate
Governance in the Annual Report.
|
Portfolio
companies
At quarterly Board Meetings, the Manager reports
to the Board on the portfolio companies and the Directors challenge
the Manager where they feel it is appropriate.
The Manager communicates directly with each
private investee company,
normally through the Maven representative who
sits on its board.
From time to time, the management teams of
investee companies give presentations to the Board.
|
Through the Manager, the Directors encourage
portfolio companies to adopt best practice corporate governance,
exercising voting rights where needed. The Board has delegated the
responsibility for monitoring the portfolio companies to the
Manager and has given it discretion to vote in respect of the
Company's holdings in the investment portfolio, in a way that
reflects the concerns and key governance matters discussed by the
Directors. The Board is also mindful that, as the portfolio expands
and the proportion of early stage investments increases, follow-on
funding will represent an important part of the Company's
investment strategy and this forms a key part of the Directors'
discussions in relation to valuations, risk management and
fundraising.
Meeting with the management teams of private
companies gives the Board a better understanding of the investee
business.
|
Manager
The Manager attends the quarterly Board Meeting,
presenting a detailed portfolio analysis and reports on key issues
such as VCT compliance, investment pipeline, utilisation of any new
monies raised, share liquidity and peer group
performance.
|
The Board ensures that the Manager implements
the investment objective and strategy, in accordance with the terms
of the Management and Administration Deed, and in compliance with
the VCT, and other, regulations. On an annual basis, as part of its
decision on the re-appointment of the Manager, the Board conducts a
review of the Manager's performance and management fee.
Information provided by the Manager supports
the Board's policies regarding dividends and share buy-backs, and
the decisions made on fundraising.
The Board has an active treasury management
policy, which has the objective of generating income from the cash
held prior to investment. As detailed in the Chairman's
Statement and in the Investment Manager's Report, in the Annual
Report, during the year under review, the treasury management
strategy was refined in response to rising interest rates and to
ensure ongoing compliance with the Nature of Income test. This
resulted in an adjustment to the composition of the portfolio,
including the introduction of holdings in money market funds and an
expansion of the portfolio of investment trusts.
|
Registrar
Annual review meetings and control
reports.
|
The Directors review the performance of all
third party service providers on an annual basis, including
ensuring compliance with GDPR.
|
Banks and
Custodian
Regular statements and control reports received,
with all holdings and balances reconciled.
|
The Directors review the performance of all
third party providers on an annual basis, including oversight of
securing the Company's assets.
|
Employee, Environmental and Human Rights
Policy
As a VCT, the Company has no direct employee or
environmental responsibilities, nor is it responsible directly for
the emission of greenhouse gases. The Board's principal
responsibility to Shareholders is to ensure that the investment
portfolio is managed and invested properly. As the Company has no
employees, it has no requirement to report separately on employment
matters. The Board comprises four male Directors and delegates
responsibility for diversity to the Nomination Committee, as
explained in the Statement of Corporate Governance in the Annual
Report.
The management of the portfolio is undertaken
by the Manager through members of its portfolio management team.
The Manager engages with the Company's underlying investee
companies in relation to their corporate governance practices and
in developing their policies on social, community and environmental
matters. Further information can be found in the Investment
Manager's Review, and in the Statement of Corporate Governance, in
the Annual Report. The Manager is continuing to focus on developing
its ESG framework and oversight capabilities. Further details
regarding the Manager's approach to ESG and the progress made on
developing its ESG framework can be found in the Chairman's
Statement. The Manager will be overseeing the collation of this
information for the benefit of the Board but will also be
supporting individual companies to identify ESG risks and
opportunities and, where potential improvements are identified,
will work jointly with investee businesses to make positive
changes.
In light of the nature of the Company's
business, there are no relevant human rights issues and, therefore,
the Company does not have a human rights policy.
Auditor
The Company's Auditor is required to report if
there are any material inconsistencies between the content of the
Strategic Report and the Financial Statements. The Independent
Auditor's Report can be found in the Annual Report.
Future
Strategy
The Board and the Manager intend to maintain
the policies set out above for the year ending 31 December 2024, as
it is believed that these are in the best interests of
Shareholders.
Approval
The Business Report, and the Strategic Report as
a whole, was approved by the Board of Directors and signed on its
behalf by:
Fraser
Gray
Director
5 April
2024
Income Statement
For the year
ended 31 December 2023
|
Year ended
31 December 2023
|
Year ended
31 December 2022
|
|
Revenue
£'000
|
Capital
£'000
|
Total
£'000
|
Revenue
£'000
|
Capital
£'000
|
Total
£'000
|
Loss on investments
|
-
|
(2,989)
|
(2,989)
|
-
|
(787)
|
(787)
|
Income from investments
|
1,262
|
-
|
1,262
|
1,297
|
-
|
1,297
|
Other income
|
299
|
-
|
299
|
92
|
-
|
92
|
Investment management
fees
|
(449)
|
(1,797)
|
(2,246)
|
(435)
|
(1,738)
|
(2,173)
|
Other expenses
|
(633)
|
-
|
(633)
|
(497)
|
-
|
(497)
|
Net return on ordinary activities before
taxation
|
479
|
(4,786)
|
(4,307)
|
457
|
(2,525)
|
(2,068)
|
Tax on ordinary
activities
|
-
|
-
|
-
|
-
|
-
|
-
|
Return attributable to Equity
Shareholders
|
479
|
(4,786)
|
(4,307)
|
457
|
(2,525)
|
(2,068)
|
Earnings per share (pence)
|
0.35
|
(3.52)
|
(3.17)
|
0.36
|
(2.00)
|
(1.64)
|
All gains and losses are recognised in the
Income Statement.
The total column of this statement is the
Profit & Loss Account of the Company. The revenue and capital
return columns are prepared in accordance with the AIC SORP. All
items in the above statement derive from continuing operations. No
operations were acquired or discontinued during the year. There are
no potentially dilutive capital instruments in issue and,
therefore, no diluted earnings per share figures are relevant. The
basic and diluted earnings per share are, therefore,
identical.
The Notes are an integral part of the Financial
Statements and can be found in full in the Annual
Report.
Statement of Changes in
Equity
For the year ended 31 December
2023
Year ended 31 December
2023
|
Non-distributable
Reserves
|
Distributable
Reserves
|
|
|
Share
capital
£'000
|
Share premium
account
£'000
|
Capital redemption
reserve
£'000
|
Capital reserve
unrealised
£'000
|
Capital reserve
realised
£'000
|
Special distributable
reserve
£'000
|
Revenue
reserve
£'000
|
Total
£'000
|
At 31 December
2022
|
12,977
|
37,443
|
762
|
12,100
|
4,213
|
19,975
|
1,174
|
88,644
|
Net
return
|
-
|
-
|
-
|
(2,950)
|
(39)
|
(1,797)
|
479
|
(4,307)
|
Dividends
paid
|
-
|
-
|
-
|
-
|
-
|
(4,580)
|
(205)
|
(4,785)
|
Repurchase
and cancellation of shares
|
(434)
|
-
|
434
|
-
|
-
|
(2,715)
|
-
|
(2,715)
|
Net
proceeds of share issue
|
978
|
5,615
|
-
|
-
|
-
|
-
|
-
|
6,593
|
Net
proceeds of DIS issue*
|
75
|
412
|
-
|
-
|
-
|
-
|
-
|
487
|
At 31 December
2023
|
13,596
|
43,470
|
1,196
|
9,150
|
4,174
|
10,883
|
1,448
|
83,917
|
Year ended 31 December
2022
|
Non-distributable
Reserves
|
Distributable
Reserves
|
|
|
Share
capital
£'000
|
Share premium
account
£'000
|
Capital redemption
reserve
£'000
|
Capital reserve
unrealised
£'000
|
Capital reserve
realised
£'000
|
Special distributable
reserve
£'000
|
Revenue
reserve
£'000
|
Total
£'000
|
At 31 December
2021
|
10,992
|
23,244
|
502
|
14,583
|
2,517
|
29,367
|
1,107
|
82,312
|
Net
return
|
-
|
-
|
-
|
(2,483)
|
1,696
|
(1,738)
|
457
|
(2,068)
|
Dividends
paid
|
-
|
-
|
-
|
-
|
-
|
(5,940)
|
(390)
|
(6,330)
|
Repurchase
and cancellation
of
shares
|
(260)
|
-
|
260
|
-
|
-
|
(1,714)
|
-
|
(1,714)
|
Net
proceeds of share issue
|
2,157
|
13,692
|
-
|
-
|
-
|
-
|
-
|
15,849
|
Net
proceeds of DIS issue*
|
88
|
507
|
-
|
-
|
-
|
-
|
-
|
595
|
At 31 December
2022
|
12,977
|
37,443
|
762
|
12,100
|
4,213
|
19,975
|
1,174
|
88,644
|
*DIS
represents the Dividend Investment Scheme as detailed in the
Chairman's Statement.
The capital reserve unrealised is generally
non-distributable other than the part of the reserve relating to
gains/(losses) attributable to readily realisable quoted
investments that are distributable. The capital reserve unrealised
contains £4,325,000 of losses (2022: £1,699,000) in relation to
level 1 and level 2 investments, which could be converted to cash,
and as such, could be deemed realised.
Where all, or an element of the proceeds of
sales have not been received in cash or cash equivalent (as noted
on the realisations table in the Annual Report), and are not
readily convertible to cash, they do not qualify as realised gains
for the purposes of distributable reserves calculations and
therefore do not form part of distributable reserves. The split of
unrealised gains/(losses) for the year is detailed within the
portfolio valuation section of Note 8 in the Annual
Report.
The Notes are an integral part of the Financial
Statements and can be found in full in the Annual
Report.
Balance Sheet
As at 31
December 2023
|
31 December 2023
£'000
|
31 December 2022
£'000
|
Fixed assets
|
|
|
|
Investments at fair value
through profit or loss
|
|
77,237
|
66,858
|
Current assets
|
|
|
|
Debtors
|
|
1,506
|
1,610
|
Cash
|
|
5,458
|
20,352
|
|
|
6,964
|
21,962
|
Creditors
|
|
|
|
Amounts falling due within
one year
|
|
(284)
|
(176)
|
Net current assets
|
6,680
|
21,786
|
Net assets
|
83,917
|
88,644
|
Capital and reserves
|
|
|
|
Called up share capital
|
|
13,596
|
12,977
|
Share premium account
|
|
43,470
|
37,443
|
Capital redemption
reserve
|
|
1,196
|
762
|
Capital reserve -
unrealised
|
|
9,150
|
12,100
|
Capital reserve -
realised
|
|
4,174
|
4,213
|
Special distributable
reserve
|
|
10,883
|
19,975
|
Revenue reserve
|
|
1,448
|
1,174
|
Net assets attributable to Ordinary
Shareholders
|
83,917
|
88,644
|
|
|
|
Net asset value per Ordinary Share
(pence)
|
|
61.71
|
68.30
|
The Financial
Statements of Maven Income and Growth VCT 4 PLC, registered number
SC272568, were approved by the Board of Directors and were signed
on its behalf by:
Fraser Gray
Director
5 April 2023
The Notes are an integral part of the Financial
Statements and can be found in full in the Annual
Report.
Cash Flow Statement
For the Year
Ended 31 December 2023
|
Year ended
31 December 2023
£'000
|
Year ended
31 December 2022
£'000
|
Net cash flows from operating
activities
|
(1,308)
|
(2,187)
|
Cash flows from investing
activities
|
|
|
Purchase of investments
|
(19,583)
|
(5,471)
|
Sale of investments
|
6,320
|
9,068
|
Net cash flows from investing
activities
|
(13,263)
|
3,597
|
Cash flows from financing
activities
|
|
|
|
Equity dividends paid
|
|
(4,785)
|
(6,330)
|
Net proceeds of share
issue
|
|
6,707
|
15,849
|
Net proceeds of DIS
issue
|
|
470
|
595
|
Repurchase of Ordinary
Shares
|
|
(2,715)
|
(1,714)
|
Net cash flows from financing
activities
|
(323)
|
8,400
|
|
|
|
Net (decrease)/increase in cash
|
(14,894)
|
9,810
|
Cash at beginning of year
|
20,352
|
10,542
|
Cash at end of year
|
5,458
|
20,352
|
The Notes are an integral part of the Financial
Statements and can be found in full in the Annual
Report.
Notes to the Financial
Statements
For the Year Ended 31 December
2023
Accounting policies
The Company is a public limited company,
incorporated in Scotland and its registered office is shown in the
Corporate Summary in the Annual Report.
(a) Basis of
preparation
The Financial Statements have been prepared on a
going concern basis, further details can be found in the Directors'
Report in the Annual Report. The Financial Statements have been
prepared under the historical cost convention, as modified by the
revaluation of investments and in accordance with FRS 102, The
Financial Reporting Standard applicable in the UK and Republic of
Ireland, and in accordance with the Statement of Recommended
Practice for Investment Trust Companies and Venture Capital Trusts
(the SORP) issued by the AIC in July 2022.
(b)
Income
Equity income
Dividends receivable on quoted equity shares
are recognised on the ex-dividend date. Dividends receivable on
unquoted equity shares are recognised when the Company's right to
receive payment is established and there is no reasonable doubt
that payment will be received.
Unquoted loan
stock and other preferred income
Fixed returns on non-equity shares and debt
securities are recognised when the Company's right to receive
payment and expected settlement is established. Where interest is
rolled up and/or payable at redemption then it is recognised as
income unless there is reasonable doubt as to its
receipt.
Redemption
premiums
When a redemption premium is designed to
protect the value of the instrument holder's investment rather than
reflect a commercial rate of revenue return the redemption premium
should be recognised as capital. The treatment of redemption
premiums is analysed to consider if they are revenue or capital in
nature on a company by company basis. A revenue redemption premium
of £nil (2022: £141,836) was received in the year ended 31 December
2023.
Bank
interest
Deposit Interest is recognised on an accruals
basis using the rate of interest agreed with the bank. Income from
unquoted loan stock and deposit interest is included on an
effective interest rate basis.
(c)
Expenses
All expenses are accounted for on an accruals
basis and charged to the Income Statement. Expenses are charged
through the revenue account, except as follows:
• expenses that
are incidental to the acquisition and disposal of an investment are
charged to capital;
• expenses are charged to the
special distributable reserve where a connection with the
maintenance or enhancement of the value of the investments can be
demonstrated. In this respect, the investment management fee and
performance fee has been allocated 20% to revenue and 80% to
special distributable reserve to reflect the Company's investment
policy and prospective income and capital growth; and
• share issue and
merger costs are charged to the share premium account.
(d)
Taxation
Deferred taxation is recognised in respect of
all timing differences that have originated but not reversed at the
balance sheet date, where transactions or events that result in an
obligation to pay more tax in the future or right to pay less tax
in the future have occurred at the balance sheet date. This is
subject to deferred tax assets only being recognised if it is
considered more likely than not that there will be suitable profits
from which the future reversal of the underlying timing differences
can be deducted. Timing differences are differences arising between
the Company's taxable profits and its results as stated in the
Financial Statements which are capable of reversal in one or more
subsequent periods.
Deferred tax is measured on a non-discounted
basis at the tax rates that are expected to apply in the periods in
which timing differences are expected to reverse, based on tax
rates and laws enacted or substantively enacted at the balance
sheet date.
The tax effect of different items of income/gain
and expenditure/loss is allocated between capital reserves and
revenue account on the same basis as the particular item to which
it relates, using the Company's effective rate of tax for the
period.
UK corporation tax is provided at amounts
expected to be paid/recovered using the tax rates and laws that
have been enacted or substantively enacted at the balance sheet
date.
(e)
Investments
In valuing unlisted investments the Directors
follow the criteria set out below. These procedures comply with the
revised IPEV Guidelines for the valuation of private equity and
venture capital investments. Investments are recognised at their
trade date and are designated by the Directors as fair value
through profit or loss. At subsequent reporting dates, investments
are valued at fair value, which represents the Directors' view of
the amount for which an asset could be exchanged between
knowledgeable willing parties in an arm's length transaction. This
does not assume that the underlying business is saleable at the
reporting date or that its current shareholders have an intention
to sell their holding in the near future.
A financial asset or liability is generally
derecognised when the contract that gives rise to it is settled,
sold, cancelled or expires.
1. For early stage
investments completed in the reporting period, fair value is
determined using the Price of Recent Investment Method, calibrating
for any material change in the trading circumstances of the
investee company. Other early stage companies are valued by
applying a multiple to the investee's revenue to derive the
enterprise value of each company. Where relevant, an investee
company may be valued on a discounted cash flow basis.
2. Whenever practical, recent
investments will be valued by reference to a material arm's length
transaction or a quoted price.
3. Mature companies are
valued by applying a multiple to their maintainable earnings to
determine the enterprise value of the company.
To obtain
a valuation of the total ordinary share capital held by management
and the institutional investors, the value of third party debt,
institutional loan stock, debentures and preference share capital
is deducted from the enterprise value. The effect of any
performance related mechanisms is taken into account when
determining the value of the ordinary share capital.
4. All private company
unlisted investments are valued individually by the Manager. The
resultant valuations are subject to detailed scrutiny and approval
by the Directors of the Company.
5. In accordance with normal
market practice, investments quoted on AIM or a recognised stock
exchange are valued at their bid market price.
(f) Fair
value measurement
Fair value is defined as the price that the
Company would receive upon selling an investment in a timely
transaction to an independent buyer in the principal or the most
advantageous market of the investment. A three-tier hierarchy has
been established to maximise the use of observable market data and
minimise the use of unobservable inputs and to establish
classification of fair value measurements for disclosure purposes.
Inputs refer broadly to the assumptions that market participants
would use in pricing the asset or liability, including assumptions
about risk, for example, the risk inherent in a particular
valuation technique used to measure fair value including such a
pricing model and/or the risk inherent in the inputs to the
valuation technique. Inputs may be observable or
unobservable.
Observable inputs are inputs that reflect the
assumptions market participants would use in pricing the asset or
liability developed based on market data obtained from sources
independent of the reporting entity.
Unobservable inputs are inputs that reflect the
reporting entity's own assumptions about the assumptions market
participants would use in pricing the asset or liability developed
based on best information available in the
circumstances.
The three-tier hierarchy of inputs is summarised
in the three broad levels listed below:
• Level 1 - the
unadjusted quoted price in an active market for identical assets or
liabilities that the entity can access at the measurement
date.
• Level 2 -
inputs other than quoted prices included within Level 1 that are
observable (i.e. developed using market data) for the asset or
liability, either directly or indirectly.
• Level 3 -
inputs are unobservable (i.e. for which market data is unavailable)
for the asset or liability.
(g) Gains and
losses on investments
When the Company sells or revalues its
investments during the year, any gains or losses arising are
credited/charged to the Income Statement.
(h) Critical
accounting judgements and key sources of estimation
uncertainty
Disclosure is required of judgements and
estimates made by the Board and the Manager in applying the
accounting policies that have a significant effect on the Financial
Statements. The area involving the highest degree of judgement and
estimates is the valuation of unlisted investments recognised in
Note 8 and 16 in the Annual Report and explained in Note 1(e)
above.
In the opinion of the Board and the Manager,
there are no critical accounting judgements.
Reserves
Share premium
account
The share premium account represents the premium
above nominal value received by the Company on issuing shares net
of share issue costs, including £113,694 trail commission. This
reserve is non-distributable.
Capital
redemption reserve
The nominal value of shares repurchased and
cancelled is represented in the capital redemption reserve. This
reserve is non-distributable.
Capital reserve
- unrealised
Increases and decreases in the fair value of
investments are recognised in the Income Statement and are then
transferred to the capital reserve unrealised account. This reserve
is generally non-distributable other than the part of the reserve
relating to gains/(losses) attributable to readily realisable
quoted investments which are distributable.
Capital reserve
- realised
Gains or losses on investments realised in the
year that have been recognised in the Income Statement are
transferred to the capital reserve realised account on disposal.
Furthermore, any prior unrealised gains or losses on such
investments are transferred from the capital reserve unrealised
account to the capital reserve realised account on disposal. This
reserve is distributable.
Special
distributable reserve
The total cost to the Company of the repurchase
and cancellation of shares is represented in the special
distributable reserve account. The special distributable reserve
also represents capital dividends, capital investment management
fees and the tax effect of capital items. This reserve is
distributable.
Revenue
reserve
The revenue reserve represents accumulated
profits retained by the Company that have not been distributed to
Shareholders as a dividend. This reserve is
distributable.
Return per Ordinary
Share
|
Year ended
31 December 2023
|
Year ended
31 December 2022
|
The returns per share have been based on the following
figures:
Weighted average number of Ordinary Shares
Revenue return
Capital return
|
136,002,183
£479,000
(£4,786,000)
|
126,180,477
£457,000
(£2,525,000)
|
Total
return
|
(£4,307,000)
|
(£2,068,000)
|
Net asset value
per Ordinary Share
The net asset value per Ordinary Share as at 31
December 2023 has been calculated using the number of Ordinary
Shares in issue at that date of: 135,982,341 (2022:
129,788,859).
Directors'
Responsibility Statement
The Directors confirm that, to the best of their
knowledge:
• the Financial Statements
have been prepared in accordance with the applicable accounting
standards and give a true and fair view of the assets, liabilities,
financial position and profit or loss of the Company as at 31
December 2023 and for the year to that date;
• the Directors' Report
includes a fair review of the development and performance of the
Company, together with a description of the principal and emerging
risks and uncertainties that it faces; and
• the Annual Report and
Financial Statements taken as a whole is fair, balanced and
understandable and provides the information necessary for
Shareholders to assess the Company's position and performance,
business model and strategy.
Other
Information
The Annual General Meeting will be held on
Thursday 9 May 2024, commencing at 12.00 noon at the offices of
Maven Capital Partners UK LLP, 6th Floor, Saddlers House, 44 Gutter
Lane, London EC2V 6BR.
The Annual Report and Financial Statements for
the year ended 31 December 2023 will be issued to Shareholders and
filed with the Registrar of Companies in due course.
The financial information contained within this
announcement does not constitute the Company's statutory Financial
Statements as defined in the Companies Act 2006. The statutory
Financial Statements for the year ended 31 December 2022 have been
delivered to the Registrar of Companies and contained an audit
report which was unqualified and did not constitute statements
under S498(2) or S498(3) of the Companies Act 2006.
Copies of this announcement, and of the Annual
Report and Financial Statements for the year ended 31 December
2023, will be available, in due course, to the public at the
registered office of the Company, Kintyre House, 205 West George
Street, Glasgow, G2 2LW and on the Company's webpage mavencp.com/migvct4.
Neither the content of the Company's webpage nor
the contents of any website accessible from hyperlinks on the
Company's webpage (or any other website) is incorporated into, or
forms part of, this announcement.
The Annual Report will shortly be submitted to
the National Storage Mechanism and will be available for inspection
at:
www.fca.org.uk/markets/primary-markets/regulatory-disclosures/national-storage-mechanism.
By Order of the
Board
Maven Capital
Partners UK LLP
Secretary
5 April
2024