Downing Planned Exit VCT 3 plc
(Now renamed Downing THREE VCT plc)
Interim Management Statement
for the quarter ended 31 October 2013
In accordance with Rule 4.3 of the Disclosure and Transparency Rules of the UK Listing Authority, Downing Planned Exit VCT 3 plc presents an Interim Management Statement for the quarter ended 31 October 2013. The statement also includes relevant financial information between the end of the period and the date of this statement.
Dividends paid or declared in the period
On 27 November 2013, the Company paid an interim dividend of 2.5p per 'C' Share, 2.5p per 'D' Share, and 2.5p per 'F' Share.
Performance
'C' Share Pool
| Unaudited 31 Oct 2013 | Unaudited 31 Jul 2013 | Unaudited 30 Apr 2013 | Audited 31 Jan 2013 | |
| Pence | Pence | Pence | Pence | |
| NAV per 'C' Share | 93.3 | 93.1 | 95.2 | 94.7 |
| NAV per 'A' Share | 0.1 | 0.1 | 0.1 | 0.1 |
| Cumulative distributions per 'C' Share | 20.0 | 20.0 | 17.5 | 17.5 |
| Total Return per 'C' Share and 'A' Share* | 113.4 | 113.2 | 112.8 | 112.3 |
'D' Share Pool
| Unaudited 31 Oct 2013 | Unaudited 31 Jul 2013 | Unaudited 30 Apr 2013 | Audited 31 Jan 2013 | |
| Pence | Pence | Pence | Pence | |
| NAV per 'D' Share | 79.9 | 79.0 | 80.1 | 79.7 |
| NAV per 'E' Share | 0.1 | 0.1 | 0.1 | 0.1 |
| Cumulative distributions per 'D' Share | 15.0 | 15.0 | 12.5 | 12.5 |
| Total Return per 'D' Share and 'E' Share* | 95.0 | 94.1 | 92.7 | 92.3 |
'F' Share Pool
| Unaudited 31 Oct 2013 | Unaudited 31 Jul 2013 | Unaudited 30 Apr 2013 | Audited 31 Jan 2013 | |
| Pence | Pence | Pence | Pence | |
| NAV per 'F' Share | 82.7 | 83.9 | 88.5 | 88.5 |
| Cumulative distributions per 'F' Share | 7.5 | 7.5 | 5.0 | 5.0 |
| Total Return per 'F' Share* | 90.2 | 91.4 | 93.5 | 93.5 |
* NAV plus cumulative dividends paid to date
Investment portfolio summary at 31 October 2013
Portfolio investments by value
'C' Share pool
| Cost | Valuation | Movement from 1 Aug 2013 to 31 Oct 2013 | |
| £'000 | £'000 | £'000 | |
| Qualifying venture capital investments | |||
| Bijou Wedding Venues Limited | 815 | 901 | - |
| Atlantic Dogstar Limited | 438 | 728 | - |
| Future Biogas (SF) Limited | 627 | 661 | (42) |
| Domestic Solar Limited | 500 | 560 | - |
| Redmed Limited | 350 | 451 | - |
| Westow House Limited | 304 | 427 | 9 |
| East Dulwich Tavern Limited | 344 | 402 | 6 |
| Quadrate Spa Limited* | 363 | 395 | 32 |
| Quadrate Catering Limited | 330 | 354 | (5) |
| Ecossol Limited | 250 | 212 | - |
| The 3D Pub Co Limited | 267 | 187 | - |
| Mosaic Spa and Health Clubs Limited* | 125 | 117 | (8) |
| Chapel Street Food and Beverage Limited | 50 | 13 | (13) |
| Chapel Street Services Limited | 50 | 13 | (13) |
| 4,813 | 5,421 | (34) | |
| Non qualifying venture capital investments | |||
| Hoole Hall Country Club Holdings Ltd | 581 | 581 | - |
| The Thames Club Limited | 500 | 500 | - |
| Honeycombe Pubs VCT Limited | 188 | 65 | - |
| Vermont Developments Limited | 25 | 25 | - |
| Chapel Street Hotel Limited | 2 | 1 | - |
| 1,296 | 1,172 | - | |
| Total | 6,109 | 6,593 | (34) |
*partially qualifying investment
'D' Share pool
| Cost | Valuation | Movement from 1 Aug 2013 to 31 Oct 2013 | |
| £'000 | £'000 | £'000 | |
| Qualifying venture capital investments | |||
| Future Biogas (Reepham Road) Limited | 842 | 842 | - |
| Quadrate Spa Limited* | 496 | 539 | 43 |
| Quadrate Catering Limited | 441 | 475 | (6) |
| Mosaic Spa and Health Clubs Limited* | 475 | 441 | (34) |
| Domestic Solar Limited | 400 | 448 | - |
| Liverpool Nurseries (Holdings) Limited* | 435 | 400 | - |
| Kidspace Adventures Holdings Limited* | 375 | 409 | 17 |
| Alpha Schools Holdings Limited | 367 | 402 | 13 |
| Green Electricity Generation Limited | 250 | 288 | 19 |
| West Tower Property Limited | 250 | 250 | - |
| Westcountry Solar Solutions Limited | 250 | 250 | - |
| Avon Solar Energy Limited | 210 | 218 | - |
| Ecossol Limited | 250 | 212 | - |
| Slopingtactic Limited | 196 | 196 | - |
| Progressive Energies Limited | 170 | 170 | - |
| Ridgeway Pub Company Limited | 128 | 117 | - |
| Camandale Limited* | 516 | 57 | - |
| 6,051 | 5,714 | 52 | |
| Non qualifying venture capital investments | |||
| Aminghurst Limited | 1,650 | 1,650 | - |
| Fenkle Street LLP | 122 | 122 | - |
| Commercial Street Hotel Limited | 100 | 100 | - |
| Kilmarnock Monkey Bar Limited | 42 | 42 | - |
| 1,914 | 1,914 | - | |
| Total | 7,965 | 7,628 | 52 |
*partially qualifying investment
'F' Share pool
| Cost | Valuation | Movement from 1 Aug 2013 to 31 Oct 2013 | |
| £'000 | £'000 | £'000 | |
| Qualifying venture capital investments | |||
| Tor Solar PV Limited | 680 | 680 | - |
| Pearce and Saunders Limited* | 644 | 644 | - |
| Vulcan Renewables Limited | 560 | 560 | - |
| Redmed Limited* | 311 | 311 | - |
| Augusta Pub Company Limited* | 290 | 290 | - |
| Fubar Stirling Limited | 268 | 268 | - |
| Kidspace Adventure Holdings Limited | 250 | 273 | 12 |
| City Falkirk Limited | 421 | 244 | - |
| Fresh Green Power Limited | 200 | 200 | - |
| Pabulum Pubs Limited | 200 | 200 | - |
| Green Energy Production UK Limited | 100 | 100 | - |
| Cheers Dumbarton Limited | 48 | 48 | - |
| Lochrise Limited | 13 | - | - |
| 3,985 | 3,818 | 12 | |
| Non qualifying venture capital investments | |||
| Aminghurst Limited | 1,110 | 1,110 | - |
| Pub People Limited | 500 | 500 | - |
| Baron House Developments LLP | 481 | 481 | - |
| Hoole Hall Hotel Limited | 265 | 265 | - |
| Retallack Limited | 163 | 163 | - |
| Southampton Hotel Developments Limited | 300 | - | (150) |
| Dominions House LLP | 107 | 107 | - |
| 3D Pub Co Limited | 55 | 55 | - |
| 2,981 | 2,681 | (150) | |
| Total | 6,966 | 6,499 | (138) |
*partially non-qualifying investment
Investment additions and disposals
The 'C' Share, 'D' Share and 'F' Share pool additions and disposals are summarised as follows:
'C' Share investment additions during the 3 months ended 31 October 2013
| Cost | |
| £'000 | |
| Honeycombe Pubs VCT Limited | 13 |
'F' Share investment additions during the 3 months ended 31 October 2013
| Cost | |
| £'000 | |
| Augusta Pub Company Limited | 190 |
| Pearce and Saunders Limited | 644 |
| 834 |
There were no additions made by the 'D' Share pools during the three months to 31 October 2013.
Investment disposals during the 3 months ended 31 October 2013
| Cost | Value at 1 Feb 2013 | Disposal proceeds | Gain against cost | Total realised gain in period | |
| £'000 | £'000 | £'000 | £'000 | £'000 | |
| 'D' Share pool | |||||
| Ridgeway Pub Company Limited | 3 | 3 | 3 | - | - |
| 'F' Share pool | |||||
| Retallack Limited | 98 | 98 | 98 | - | - |
| 101 | 101 | 101 | - | - |
There were no disposals made by the 'C' Share pool during the three months to 31 October 2013
Between 1 November 2013 and the date of this announcement no investments were made by either Share pool.
Between 1 November 2013 and the date of this announcement the 'C' Share pool made the following disposals:
| Cost | Value at 1 Feb 2013 | Disposal proceeds | Gain against cost | Total realised gain in period | |
| £'000 | £'000 | £'000 | £'000 | £'000 | |
| 'C' Share pool | |||||
| Bijou Wedding Venues Limited | 815 | 901 | 925 | 110 | 24 |
| 815 | 901 | 925 | 110 | 24 |
Between 1 November 2013 and the date of this announcement no 'D' or 'F' Share pool disposals were made.
Changes to share capital
Share capital movements in the period are summarised as follows:
| 'C' Shares of 0.1p each | 'A' Shares of 0.1p each | |||
| Shares | £'000 | Shares | £'000 | |
| As at 1 August 2013 | 7,158,326 | 7 | 10,750,064 | 11 |
| Shares issued | - | - | - | - |
| Shares bought back and cancelled | - | - | - | - |
| As at 31 October 2013 | 7,158,326 | 7 | 10,750,064 | 11 |
| 'D' Shares of 0.1p each | 'E' Shares of 0.1p each | |||
| Shares | £'000 | Shares | £'000 | |
| As at 1 August 2013 | 9,979,109 | 10 | 14,994,862 | 15 |
| Shares issued | - | - | - | - |
| Shares bought back and cancelled | - | - | - | - |
| As at 31 October 2013 | 9,979,109 | 10 | 14,994,862 | 15 |
| 'F' Shares of 0.1p each | ||
| Shares | £'000 | |
| As at 1 August 2013 | 10,821,660 | 11 |
| Shares issued | - | - |
| Shares bought back and cancelled | - | - |
| As at 31 October 2013 | 10,821,660 | 11 |
Material events
On 16 December 2013, the Company changed its name to Downing THREE VCT plc and its year end to 31 December.
On the same date, Hugh Gillespie resigned as a non-executive director and chairman of the Company. Michael Robinson was appointed as chairman and Roger Jeynes was appointed as a new non-executive director.
Other than described above, there were no material events during the period from 1 August 2013 to 31 October 2013 or in the period from 1 November 2013 to the date of this announcement.