New Century AIM 2: nearly a wind up
Posted: June 27th, 2021, 12:20 pm
High turnout and almost a wind up. Change is in the air.
https://www.investegate.co.uk/new-cent. ... 1200Z0085/
The number of ordinary shares in issue as at the date of the 2021 Annual General Meeting is 4,606,953
Resolution 5 To continue in being as a venture capital trust
2,004,677 for 57.34% , 1,491,212 against 42.66%
Cancellation of dividend obviously upset some, even though now restored and performance good.
It is pleasing to report that following a very difficult period for the Market during February and March 2020, your fund regained all the declines in its net asset value (NAV) incurred during those months, and considerably outperformed its benchmark for the twelve months to 31 December 2020.
The NAV of your fund increased by 35.4% to 67.06p (when measured using bid-prices), compared to the FTSE AIM Allshare index which gained by 20.65% over the same period.
It is also pleasing to note the further progress since the year end, and that the NAV of 85.3p per share reported for 31 March 2021 (based on mid-prices) is 24.3% higher than that reported, using the same measurement basis, at the 31 December 2020. As we stated in our interim report, we believe the difficult decision to use existing cash resources to invest in new opportunities rather than fund a dividend proved to be the correct one as we have seen a very strong recovery in the NAV from the lows experienced in the Stock Market sell off in March 2020.
We would now like to recommence paying a dividend. The Board is therefore proposing that we pay a dividend of 7.0p per share in respect of the year ended 31 December 2020. We recognise the importance of tax-free income to our shareholders and a 7.0p dividend represents a yield of 9.33% based on the fund’s offer price of 75p on 19 April 2021.
The fund has made fifteen further qualifying investments in the period and we are pleased with their progress. We made thirteen sales where we either exited or top-sliced a holding.
We are mindful that we could see further volatility this year as the economy has an initial boost from the reopening of lockdown measures, but this could be followed by some businesses starting to experience difficulties in the months ahead as Government support subsides, and the possibility of inflation may also raise its head. That said, the current year has started off positively as commented earlier and we have a wide spread of established companies across a variety of sectors within the fund, and we therefore look forward to the year ahead with optimism.
Finally, the Directors have a duty every five years to ask the shareholders of the Company if they wish the fund to carry on. Therefore, amongst the resolutions shareholders are being asked to vote on at the forthcoming AGM, there is an Ordinary resolution asking shareholders to vote on this particular matter.
https://www.investegate.co.uk/new-cent. ... 1200Z0085/
The number of ordinary shares in issue as at the date of the 2021 Annual General Meeting is 4,606,953
Resolution 5 To continue in being as a venture capital trust
2,004,677 for 57.34% , 1,491,212 against 42.66%
Cancellation of dividend obviously upset some, even though now restored and performance good.
It is pleasing to report that following a very difficult period for the Market during February and March 2020, your fund regained all the declines in its net asset value (NAV) incurred during those months, and considerably outperformed its benchmark for the twelve months to 31 December 2020.
The NAV of your fund increased by 35.4% to 67.06p (when measured using bid-prices), compared to the FTSE AIM Allshare index which gained by 20.65% over the same period.
It is also pleasing to note the further progress since the year end, and that the NAV of 85.3p per share reported for 31 March 2021 (based on mid-prices) is 24.3% higher than that reported, using the same measurement basis, at the 31 December 2020. As we stated in our interim report, we believe the difficult decision to use existing cash resources to invest in new opportunities rather than fund a dividend proved to be the correct one as we have seen a very strong recovery in the NAV from the lows experienced in the Stock Market sell off in March 2020.
We would now like to recommence paying a dividend. The Board is therefore proposing that we pay a dividend of 7.0p per share in respect of the year ended 31 December 2020. We recognise the importance of tax-free income to our shareholders and a 7.0p dividend represents a yield of 9.33% based on the fund’s offer price of 75p on 19 April 2021.
The fund has made fifteen further qualifying investments in the period and we are pleased with their progress. We made thirteen sales where we either exited or top-sliced a holding.
We are mindful that we could see further volatility this year as the economy has an initial boost from the reopening of lockdown measures, but this could be followed by some businesses starting to experience difficulties in the months ahead as Government support subsides, and the possibility of inflation may also raise its head. That said, the current year has started off positively as commented earlier and we have a wide spread of established companies across a variety of sectors within the fund, and we therefore look forward to the year ahead with optimism.
Finally, the Directors have a duty every five years to ask the shareholders of the Company if they wish the fund to carry on. Therefore, amongst the resolutions shareholders are being asked to vote on at the forthcoming AGM, there is an Ordinary resolution asking shareholders to vote on this particular matter.