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BSC/BSV

Sophisticated and complex high-risk tax-sensitive investments in small companies: handle with care
barchid
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BSC/BSV

#321718

Postby barchid » June 26th, 2020, 10:48 am

Good to see that the dris scheme is being restarted for both BSC & BSV as per their meetings this week, also their share buyback scheme.
The first buyback post covid was today, hopefully things are gradually returning to normal, VCT wise.

BusyBumbleBee
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Re: BSC/BSV

#323687

Postby BusyBumbleBee » July 4th, 2020, 11:48 am

Sorry for being so long coming back on this one, Barchid, just so busy on other things.

They were not at all impressive results and very glad I sold all mine some time ago now When you analyse their total return a great deal of it came from Go Outdoors which they sold at a fantastic multiple when they sold it really well - and at the right time. It is now in administration.

kind regards - BBB

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Re: BSC/BSV

#323694

Postby UncleEbenezer » July 4th, 2020, 12:21 pm

BusyBumbleBee wrote:Sorry for being so long coming back on this one, Barchid, just so busy on other things.

They were not at all impressive results and very glad I sold all mine some time ago now When you analyse their total return a great deal of it came from Go Outdoors which they sold at a fantastic multiple when they sold it really well - and at the right time. It is now in administration.

kind regards - BBB

GO in administration? Speaking as an occasional customer who'd be sorry to see them go ... Ouch! When buying something to wear - like a coat or a backpack - I really value having such a wide range to try for comfort!

That had me googling, and I find https://www.consultancy.uk/news/24953/g ... y-deloitte . Something that looks like a pre-pack, so for us as consumers it looks like business as usual.

As it happens, my BS1 went last year when raising house purchase funds. I still have my BS2.

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Re: BSC/BSV

#323742

Postby BusyBumbleBee » July 4th, 2020, 4:16 pm

See here for some details, uncleE - https://www.bbc.co.uk/news/business-53152566. They do seem to be still trading though.

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Re: BSC/BSV

#323819

Postby barchid » July 5th, 2020, 8:02 am

BBB
Thanks for the input re BSC's, I did seee the JD sports announcement, but really they bought a good business, probably at too high a price & then expanded it at the wrong time.
I know exactly what you mean re the accounts but my point really was that BSC/YFM were one of the first managers to stop DRIS, buybacks and also to revalue their portfolio downwards after covid impacted and have now resumed them so perhaps they have a feeling that their portfolio is weathering the storm OK ?
It is, of course, notoriously difficult to value unquoteds in this type of climate and their legacy portfolio did have a fair amount of consumer facing businesses which must be badly affected, though there was a move more towards capital light & tech investments under the "new" rules. The other aspect is that from memory their expenses/ongoing fees are on the high side. "Just so busy on other things" shows you are living up to your monicker, I trust all is going well for you ?

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Re: BSC/BSV

#327705

Postby Kidman » July 21st, 2020, 2:02 pm

I have one concern with BSV; that the Chairman, Helen Sinclair, has been in post for too long and is overdue for replacement. Hence I voted against her re-elction as a director.

scotia
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Re: BSC/BSV

#360766

Postby scotia » November 27th, 2020, 10:37 pm

British Smaller Cos (BSV) Half Year Report (6 months to 30th September) was issued on 25th November.
A few points from the Chairman's (Helen Sinclair) statements:-
Total Return for the period increased by 7.8 pence per ordinary share, equivalent to 12.1 per cent of the opening net asset value, and as a result Total Return was 225.7 pence per ordinary share at 30 September 2020.

The £1.4 million proceeds from the sale of the Company's investment in RMS Holdings Limited, when added to previous income and capital returns, represented returns of 2.6x and yielded a profit over cost of £1.7 million over the life of the investment. The total return (including income) from this investment of £2.7 million, was delivered over a 12.9 year holding period producing an Internal Rate of Return of 16 per cent.

Currently shares issued under the Company's Dividend Re-Investment Scheme ("DRIS") are re-invested at a five per cent discount to the last reported net asset value per ordinary share, as adjusted for the relevant dividend in question, if this has not already been recognised. Following a review of current market practice the Board has decided that future issues of shares under the Company's DRIS will be re-invested at the last reported net asset value per ordinary share, as adjusted for the relevant dividend in question if this has not already been recognised.

On the LSE site (http://www.lse.co.uk), the most recent share trades (to 23rd November) were quoted with a Bid/Ask of 59/61p. However today's Bid/Ask (with no trades) is quoted as 64/66p. The half year report quotes the NAV as 68.3p per ordinary share

PS - I have shares in BSV, but none in BSC. However I notice that BSC has issued a quarterly report on 25th November. It contains a statement:-

Following a review of market practice the Board has decided that future issues of shares under the Company's DRIS will be re-invested at the last reported net asset value, as adjusted for the relevant dividend in question if this has not already been recognised. The Company will be writing to shareholders to give them the required one month's notice of this change.

So it looks like the DRIS schemes in both BSV and BSC are to become less attractive.

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Re: BSC/BSV

#360769

Postby UncleEbenezer » November 27th, 2020, 10:58 pm

scotia wrote:PS - I have shares in BSV, but none in BSC. However I notice that BSC has issued a quarterly report on 25th November. It contains a statement:-


Had to check which is which on reading that. BSV is one I sold to raise cash for the house purchase, so I hold only BSC. Glad to see they're fixing that horribly dilutive anomaly.

Look like both have followed a similar trajectory this year: a covid crash and more recent partial recovery.

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Re: BSC/BSV

#360854

Postby barchid » November 28th, 2020, 12:05 pm

Uncle
I am with you on the 95% DRIS, re-investment of divis they used to offer, the reinvestment at 100% of nav is a very convenient facility for those who don't have a personal crest a/c but are happy to hold certificates. The 5% discount offered is just the sort of thing HMRC could latch on to in their current "dash for cash", which could easily end with dris in vct's being phased out entirely, which I'd not be happy about !
Reading their mid term report it did seem a little like they are showing some enthusiasm again to prepare us for another offer ?
I do believe their cost base needs to be tackled as they have always seemed to charge investors rather more than the competition, and the "new" rules do not appear to have helped performance in this management group.

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Re: BSC/BSV

#365064

Postby 127tolmers » December 11th, 2020, 11:23 am

Very small offer.

https://www.investegate.co.uk/british-s ... 30013654I/
https://www.investegate.co.uk/british-s ... 30013655I/

The Companies today announce that they are each planning to launch a top-up offer ("the Offers") of new ordinary shares for subscription in the 2020/21 tax year. It is envisaged that the Offers will each be limited to a maximum of €8 million (estimated to be £7.2 million at current exchange rates).

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Re: BSC/BSV

#365324

Postby onslow » December 11th, 2020, 11:27 pm

Could be a lot more than £7.2m if no deal crashes the pound!

More seriously, why are they quoting the offer in EUR?

UncleEbenezer
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Re: BSC/BSV

#365365

Postby UncleEbenezer » December 12th, 2020, 8:34 am

onslow wrote:Could be a lot more than £7.2m if no deal crashes the pound!

More seriously, why are they quoting the offer in EUR?


Is that the limit for non-prospectus offers?

Much more to the point, what's the current state of those cash piles?

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Re: BSC/BSV

#365407

Postby Kidman » December 12th, 2020, 11:21 am

onslow wrote:More seriously, why are they quoting the offer in EUR?

I believe it is because we are still in the transitional period (until 31 December 2020) when the EU non-prospectus limit is quoted in euros.

The limit for the bank and building societies financial compensation scheme is similarly established in euros but then translated into local currency by central banks in non-euro EU countries.

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Re: BSC/BSV

#365470

Postby barchid » December 12th, 2020, 4:06 pm

It is odd how both Northern & BSC/V who used to have offers open for a very short time before beig full have not seemed to adapt well to the new rules ?
The yfm vct's in particular made pretty dismal reading and as BusyBumbleBee accurately observed their longer term (since new rules) performance would have looked even worse but for the sale of the sports shop which is now in vol liqu, I believe.
Northern have gone to Mercia but their last couple of offers stayed open much longer than historically.
It is not easy to pick the winners, clearly Amati have performed well but that is AIM, in terms of traditional vct's Maven seem to have been pretty respectable, Albion are still performing & Octopus still manage to raise large sums, but the pool is definitely becoming shallower. Have I missed any that I ought to be looking at ?

scotia
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Re: BSC/BSV

#365524

Postby scotia » December 12th, 2020, 8:33 pm

barchid wrote:. Have I missed any that I ought to be looking at ?

The documents for the two Proven Offers (PVN and PGOO) dropped through the door a couple of days ago. PVN has performed better than PGOO over the past few years, but not enough for me to be interested in a further investment this year.

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Re: BSC/BSV

#366421

Postby barchid » December 15th, 2020, 12:31 pm

I see BSC/BSV have been mopping up shares as per RNS today, whoever would have guessed that they are about to raise new money ?
I am all for vct managers making regular purchases to maintain a share price within 5 or even 10% of the nav, but when BSC, for instance, traded 7 times in the 4 weeks from Oct 21 to Nov 16, all at the same price of 41p then yesterday very substantial numbers traded at 48.07p whilst the last nav according to yesterdays RNS was Sep 30 at 50.6p, I find the act of "window dressing" distasteful.
I had already decided not to participate in this raise as per my earlier comments but this is a bit rich isn't it ?

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Re: BSC/BSV

#366472

Postby Mainwaring » December 15th, 2020, 3:52 pm

Like Barchid I find the pool for my investments is getting smaller. I’ve experience of most over the years. These days I think Mobeus and Albion are head and shoulders in front of Baronsmead, British Smaller, Northern. I’d have Maven but I think I will get my fill from Albion in January. Maven’s facility to exit after 5 years is always a little painful. I’ve all the usual Aim suspects but Amati have been the best for me since I first invested in 2006. Unicorn have no interest in facilitating exits near NAV so that has become of limited interest to me despite a reasonable NAV performance....it’s just that you burn that record if you try to sell at maturity.
I had high hopes for Draper but it’s a very slow burn. I do like the people at Calculus but the portfolio doesn’t pass my test. Pembroke portfolio is a little scary but obviously you’re investing with VC heavyweights.

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Re: BSC/BSV

#366493

Postby barchid » December 15th, 2020, 5:48 pm

Without wishing to beat the drum on this matter of buy backs, Albion are this pm announcing theirs, which also includes AAVC which is their one vct not raising this season, their buybacks are close to the previously prevailing bid prices without an embarrassing step up in price level.
This, to me, speaks volumes as to how shareholders should, & can be, treated.
Not sure if this should have been posted under Albion but I do feel it is relevant to our friends in Leeds (not needs!)


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