VCT News
ProVen VCTs Top Up Offers
Offers for subscription for ordinary shares in ProVen VCT and ProVen Growth and Income VCT for the tax years 2007/2008 and 2008/2009
I am pleased to advise you that ProVen VCT and ProVen Growth and Income VCT have launched Offers for Subscription for Ordinary Shares for the tax years 2007/08 and 2008/09. The ProVen VCT Offer will be for up to 1.7 million Ordinary shares and the ProVen Growth and Income VCT Offer will be for up to 625,000 Ordinary shares.
Applications from existing Ordinary shareholders, on the registers on 14 January 2008, will be given priority until 11 March 2008. These "top-up" Offers provide shareholders with the opportunity to make further investment in these two top-performing VCTs. Both ProVen VCT and ProVen Growth and Income VCT are currently the top rated VCTs in their respective launch years (source: www.taxefficientreview.com - based on IRR since launch). ProVen Growth and Income VCT also has the highest annual rate of return (IRR) since launch of all VCTs, at 14.6% while ProVen VCT is the 4th best performing VCT with an IRR of 8.9% (source: www.taxshelterreport.co.uk as at 30 January 2008).
By investing in these "top-up" Offers investors will gain access to a mature portfolio of unquoted companies, which means that sales of underlying investments are likely to occur sooner than with a new VCT. This may result in a higher level of dividend payments over the first few years of the investment (although subscribers to the Offers will not be entitled to any dividends paid in relation to the financial year ending on 29 February 2008).
From 13 February 2008, ProVen VCT plc and ProVen Growth and Income VCT plc will be writing to all existing Ordinary shareholders to inform them of the Offers, recommending that shareholders contact their advisers to discuss the Offers. As we anticipate that this offer will be very popular you may wish to contact clients who are already Ordinary shareholders in either VCT, to highlight the opportunity.
From 11 February 2008 until 11 March 2008 priority will be given to applications from existing Ordinary shareholders. This is intended to enable as many existing Ordinary shareholders as possible to participate in the Offers if they so wish. If the offer is not fully subscribed by 11 March 2008, applications will also be accepted from Investors other than existing Ordinary shareholders , but priority will be given to C shareholders (and further applications from existing Ordinary Shareholders) until 25 March. A copy of this correspondence, along with a copy of the Offer Document, can be found on our website via www.provenvcts.com/literature.php
If the Offers are oversubscribed, either during the priority application period for Ordinary shareholders or thereafter, applications will be scaled back or accepted or rejected on the basis set out in the Offer Document. Beringea will be issuing regular email alerts for advisers in regard to the numbers of applications made so far and approaching deadlines. For further information please contact Beringea’s Marketing Manager, Anna Blacklock, on 0207 845 7826 or email ablacklock@beringea.co.uk.
Yours sincerely
Stuart Veale
Managing Director
About Beringea
Beringea is an international venture capital firm with offices in London and Detroit. In the UK Beringea manages ProVen VCT, ProVen Health VCT, ProVen Growth & Income VCT and Global Rights Fund II. Beringea launched its first VCT in 1996, making it one of the most experienced VCT managers in the UK. ProVen Growth & Income and ProVen VCT are highest performing VCTs of their launch years, respectively, according to www.taxefficientreview.com. For more information please visit www.provenvcts.co.uk.