Foresight 4 VCT Plc Foresight 4 Vct Plc : Half-year Report

 
TIDMFTF 
 
 
   FORESIGHT 4 VCT PLC 
 
   Summary 
 
   --         Diversified portfolio of 28 actively managed companies 
 
   --         Foresight 4 VCT plc successfully merged with Foresight 3 VCT 
plc on 22 June 2017 
 
   --         Total net assets increased to GBP67.2 million, from GBP42.2 
million as at 31 March 2017 
 
 
   -- Net increase driven by the issue of 48,337,332 Ordinary Shares to the 
      shareholders in Foresight 3 VCT plc, with a value of GBP35.2 million, as 
      well as a net increase of GBP0.9 million from the investment performance 
      of the portfolio 
 
   -- Increases offset by the payment of dividends totalling GBP4.2 million, 
      management fees and other expenses of GBP1.2 million and share buybacks 
      totalling GBP5.7 million 
 
   -- Net Asset Value per Ordinary Share decreased by 4.1p to 69.4p as at 30 
      September 2017 (31 March 2017: 73.5p) after the payment of the 4.0p per 
      share dividend on 12 July 2017. 
 
   -- One follow-on investment of GBP0.7 million was made during the period 
 
   -- GBP8.7 million was realised during the period from sales and loan 
      redemptions from six portfolio companies, and a further GBP6k of deferred 
      consideration 
 
   -- In July 2017, Blackstar Amplifications was exited at c.2x cost and The 
      Bunker Secure Holdings was sold for 2.44x cost 
 
   -- On 12 July 2017, a special dividend of 4.0p per Ordinary Share was paid 
      based on an ex-dividend date of 29 June 2017 and a record date 30 June 
      2017 
 
 
   Chairman's Statement 
 
   Successful Merger with Foresight 3 VCT plc 
 
   The merger of Foresight 4 VCT plc and Foresight 3 VCT plc became 
effective on 22 June 2017 following approval from the Shareholders of 
both companies. 
 
   The merger has created a larger, more diversified portfolio facilitating 
risk management, cost savings and administrative efficiencies. The 
annual management fee has reduced from 2.25% to 2.0% of net assets and 
the annual expenses cap has reduced from 3.5% to 2.95% of net assets. 
 
   The increased scale of the Company also gives it the critical mass to 
better generate sufficient income and realisations to meet the Board's 
expectations of achieving its dividend target of 5% per annum, as well 
as maintaining a regular programme of share buybacks aimed at 
maintaining an initial discount to NAV in the region of 10%. 
 
   Special Dividend 
 
   On 12 July 2017 a 4.0p per share dividend, which was conditional on the 
merger becoming effective, was paid to all Shareholders of the enlarged 
entity as at 30 June 2017. 
 
   Having completed the merger and paid the special dividend, the Company 
now has net assets over GBP67 million. 
 
   Top-up Share Issues and Share Buy-backs 
 
   On 21 July 2017, a Tender Offer of up to GBP5 million was launched, 
providing investors with an opportunity to sell their shares back to the 
company at a discount to NAV of 7.5%.  This took place on 22 September 
for 7,813,537 shares at 63.99p.  A share buyback took place on 17 August 
2017 with 500,000 shares bought back at 62.0p per share. Further 
buybacks took place on 28 September 2017 (187,600 shares at 62.25p) and 
29 September 2017 (365,564 shares at 62.25p). 
 
   The Board expects to be able to implement a series of further share 
buybacks to enable the enlarged VCT to achieve its target discount to 
NAV. It remains the Board's intention subject to cash availability and 
underlying performance to provide a potential exit event via an 
additional Tender Offer in summer 2018 on similar terms as in 2017, 
namely a target discount of 7.5% for up to GBP5m of shares. 
 
   Fundraising 
 
   The Company is currently seeking to raise up to GBP50 million through 
the issue of new shares, through an offer for subscription, which will 
close on 30 April 2018. This will provide existing Shareholders and new 
investors with the opportunity to invest in the Company and benefit from 
the tax reliefs available to qualifying investors. As at 30 November 
2017, GBP7.0 million had been raised. 
 
   Funds raised under the offer will allow the Company to take advantage of 
further attractive investment opportunities and increase portfolio 
diversification in line with the ongoing strategy of the Company. 
 
   Full details of the offer can be found in the Prospectus issued by the 
Company on 19 May 2017, which is also available on Foresight's website. 
 
   Board Composition 
 
   With effect from 22 June 2017, I was appointed Chairman of Foresight 4 
VCT plc.  My appointment was made following the approval of the merger 
and at the same time Peter Dicks retired from the board. 
 
   Performance 
 
   During the period, the net asset value total return per Ordinary Share 
decreased by 0.1% to 73.4p from 73.5p, but this is an increase from 
72.9p at the merger. 
 
   At the year end the Company held 28 investments with carrying values in 
UK based businesses across a wide range of sectors. The performance of 
the portfolio has been steady during the period, with a small increase 
of GBP0.9 million in value. Positive progress made by companies 
including Ixaris, Thermotech Solutions and TFC Europe has been offset by 
lower valuations for CoGen and Datapath, as detailed in the Investment 
Manager's Review and Top Ten Investment sections of this report. 
 
   The Company had limited liquidity available during much of the period 
and no new investments were completed. One follow-on investment of 
GBP674,168 was made in molecular diagnostics business Biofortuna. The 
Investment Manager, Foresight Group, continues to see a strong pipeline 
of potential investments sourced through its regional networks and 
well-developed relationships with advisors and the SME community. 
Assuming the fund raising launched in May 2017 is successful, the 
Company expects to be in a position to fully exploit these attractive 
investment opportunities. 
 
   In the period to 30 September 2017, six realisations took place, 
generating total proceeds of GBP8.7 million. Notably, Blackstar 
Amplification and The Bunker Secure Hosting were sold, both for more 
than twice the money originally invested, realising a combined total of 
GBP6.0 million. During the period the Manager has supported and worked 
with the management teams of the investee companies to maximise value 
for shareholders. The Board believes that the re-focused portfolio now 
provides a solid platform to deliver growth, underpin potential future 
dividends and enhance Shareholder returns. 
 
   Further information on the investment portfolio is included within the 
Investment Manager's Report. 
 
   Shareholder Communication 
 
   As part of its commitment to high quality investor communication, the 
Fund Manager, Foresight Group, will be holding a minimum of two Investor 
Forum events in 2018. They are a great opportunity to meet some of the 
people that manage the VCT and to hear from investee companies. Invites 
will be sent to shareholders early in the new tax year and you are 
encouraged to reply promptly, as these events are popular. Investors can 
view the presentation slides from the last Investor Forum, held on 24 
October 2017, at 
www.foresightgroup.eu/retail-investors/vct/vct-investor-forums. 
 
   The Manager was also pleased to welcome shareholders to the Company's 
Annual General Meeting on 28 September 2017, at which both Michael Gray 
and I were re-elected to the Board 
 
   Outlook 
 
   Over the last year, the Board believes that the Company has demonstrated 
the benefits of the Manager's portfolio management actions, with 
improving performance driving value. We believe the Company is now well 
positioned to build on this momentum. 
 
   Headway has been made in reducing the discount to NAV during the period 
under review, with the discount dropping to 10%.  However, further 
progress is required. 
 
   Facilitated by the merger with Foresight 3 VCT plc and the liquidity 
expected to be provided by the issue of new shares, the Company should 
be able to capitalise on the strong pipeline of investment opportunities 
that the Manager continues to see in smaller, growth businesses across 
the UK. 
 
   Raymond Abbott 
 
   Chairman 
 
   30 November 2017 
 
   Investment Manager's Report 
 
   Portfolio Summary 
 
   As at 30 September 2017 the Company's portfolio comprised 28 actively 
managed investments with a total cost of GBP45.7 million and a valuation 
of GBP64.6 million. The portfolio is diversified by sector, transaction 
type, and maturity profile. 
 
   Portfolio review 
 
   1. New investments 
 
   Excluding the purchase of Foresight 3 VCT's holdings, no investments in 
new companies were made during the six months to 30 September 2017. 
 
   2. Follow-on funding 
 
   One follow-on was made during the period. In July 2017, a further 
investment of GBP674,168 was invested in molecular diagnostics business 
Biofortuna, bringing the Company's total investment to GBP2,729,216. 
This additional capital was provided to support the development of blood 
typing products. 
 
 
 
 
Company                GBP 
Biofortuna Limited   674,168 
Total                674,168 
 
 
   3. Pipeline 
 
   Through the offer of subscription launched on 19 May 2017, which has 
raised GBP7.0 million to date, the Company is now well positioned to 
pursue the potential investment opportunities in the manager's pipeline. 
 
   Foresight continues to work hard generating high quality SME deal flow 
across the UK. Foresight's strategy is focused on building relationships 
with advisors and professional service firms, attending and organising 
networking events as well as approaching businesses directly. This has 
been bolstered through the recent recruitment of Matthew Evans-Young, 
previously at Synova Capital and KPMG, as an Origination Manager. 
Matthew will lead on the establishment of a dedicated direct origination 
practice within Foresight's private equity team. The aim of this 
initiative is to deliver proprietary, off-market deals, through a 
proactive and structured approach, which will complement the existing 

intermediary network of the wider team. 
 
   At 30 September 2017, the Company had cash in hand of GBP2.8 million, 
which together with proceeds received from recent realisations and the 
offer for subscription, will be used to fund new and follow-on 
investments, buybacks and running expenses. 
 
   4. Exits and realisations 
 
   Total proceeds of GBP8,689,222 were generated during the period from the 
disposal of six investments, notably Blackstar and The Bunker which 
returned GBP5,998,271 between them. 
 
   Blackstar Amplification 
 
   In July 2017, the Company successfully exited its investment in 
Northampton-based designer and manufacturer of innovative guitar 
amplifiers Blackstar Amplification generating a return of c.2x cost. 
Under the Company's ownership Blackstar expanded internationally, more 
than doubled turnover, established itself as the number two amplifier 
brand in the UK and USA and broadened its product catalogue. 
 
   The Bunker Secure Hosting 
 
   In July 2017, The Bunker Secure Hosting, provider of IT infrastructure 
platforms, was sold to Palatine Private Equity for a return of 2.44x 
cost. Having first invested in May 2006, the growth capital provided by 
the Company was used to scale The Bunker's data storage facilities. 
Under the Company's ownership, the business grew annual revenues to in 
excess of GBP9 million compared to GBP1.8 million at investment, having 
built an expert reputation in the specialist FinTech space. 
 
   Autologic 
 
   In addition, in September 2017, the sale of Autologic's operating 
subsidiaries was agreed with Opus Group AB, a Swedish company which 
provides vehicle environmental and safety testing services globally. 
Although the value of this realisation was in line with the reduced 
valuation, the sale takes total overall returns on this investment to 
4.6x initial cost, including the partial sale of the investment to a 
mid-market private equity firm in 2012. 
 
   Zoo Digital 
 
   The full disposal of AIM-listed Zoo Digital, which supplies software and 
services for authored content (e.g. DVD, Blu-ray, iTunes media), was 
completed on 5 April 2017 for GBP139,322. 
 
   Mpl Systems 
 
   In August 2017, the Company also exited its investment in leading 
provider of customer and field service technology mplsystems (previously 
The Message Pad), generating proceeds of GBP1,921,835. 
 
   Foresight continues to engage with a range of potential acquirers of 
several portfolio companies, with demand for these high growth 
businesses demonstrated by both private equity and trade buyers. 
 
   Disposals in the period ended 30 September 2017 
 
 
 
 
                                    Original 
                                     Cost/ 
                                    Take-On   Proceeds 
                                     Value    on exit 
                                    GBP'000   GBP'000   Gain/(loss)  Valuation at 31 March 2017 
Company                 Detail         *         *       GBP'000 *            GBP'000 * 
The Bunker Secure       Full 
 Hosting Limited         disposal      2,567     4,431        1,864                       4,484 
                        Full 
Mplsystems Limited       disposal      1,889     1,922           33                       1,743 
Blackstar 
 Amplification          Full 
 Holdings Limited        disposal      1,000     1,567          567                       1,536 
Autologic Diagnostics   Partial 
 Group Limited           disposal        626       626            -                         626 
                        Full 
Zoo Digital Group plc    disposal        451       139        (312)                         143 
Quantel 
 Holdings               Full 
 (2010) Limited          disposal        236         4        (232)                           4 
Abacus Wood Limited     Dissolved        656         -        (656)                           - 
Global Immersion 
 Limited                Dissolved        532         -        (532)                           - 
Total                                  7,957     8,689          732                       8,536 
 
 
   * Based on Foresight 3 VCT plc and Foresight 4 VCT plc merged figures. 
 
   There are no post period end disposals to report. 
 
   5. Key Portfolio Developments 
 
   Excluding the impact of the merger, the valuation of the portfolio has 
shown a small upwards movement of c.GBP0.9 million over the last six 
months. Material changes in valuation, defined as increasing or 
decreasing by GBP0.5 million or more since 31 March 2017, are detailed 
below. Updates on these companies are included in the Top Ten 
Investments section on the next page, except for Thermotech Solutions, 
Aerospace Tooling and Sindicatum Carbon Capital. 
 
   Thermotech Solutions' fair value has increased reflecting positive 
performance and a confident outlook. Its pipeline for providing 
facilities management including air conditioning and fire sprinkler 
systems, for a mixture of retailers, restaurants, office developments 
and public-sector clients. 
 
   Aerospace Tooling's higher valuation has been driven by the continuing 
growth of its turbine component repair services with key industrial 
customers, as well as a major new domestic aerospace customer secured in 
2017. 
 
   The valuation of Sindicatum Carbon Capital, which develops clean energy 
investment projects principally in Asia, has been reduced in line with a 
recent company transaction. 
 
 
 
 
Company                     Basis of Valuation          Valuation Change (GBP) 
                            Discounted revenue 
Ixaris Systems Limited       multiple                                3,095,581 
Thermotech Solutions        Discounted earnings 
 Limited                     multiple                                  820,763 
                            Discounted earnings 
TFC Europe Limited           multiple                                  769,375 
Aerospace Tooling           Discounted earnings 
 Corporation Limited         multiple                                  622,991 
Sindicatum Carbon Capital   Price of recent funding 
 Limited                     round less impairment                   (553,725) 
Procam Television Holdings  Discounted earnings 
 Limited                     multiple                                (785,888) 
CoGen UK Limited            Discounted cashflow                    (1,077,941) 
                            Discounted earnings 
Datapath Group Limited       multiple                              (2,465,045) 
 
 
   6. Outlook 
 
   Whilst there remains a significant amount of uncertainty as to how the 
UK will be affected by its exit from the European Union, Foresight Group 
continues to see a strong pipeline of interesting investment 
opportunities and inbound interest from potential acquirers for 
portfolio companies. 
 
   In the Autumn Budget 2017 the Government announced an action plan to 
unlock over GBP20 billion of patient capital investment in innovative 
companies with the opportunity for growth. The Government's response to 
the Patient Capital Review recognises the positive role that VCTs play 
in providing long-SHYterm patient capital. The proposed adjustments to 
the VCT scheme rules fall within the Fund's existing investment 
strategy. 
 
   Foresight will continue to monitor and adapt to market and regulatory 
changes to ensure the Company and its portfolio is well-placed to 
deliver returns to its investors. 
 
   Russell Healey 
 
   Partner and Head of Private Equity 
 
   Foresight Group 
 
   30 November 2017 
 
 
 
   Unaudited Half-Yearly Results and Responsibility Statements 
 
   Principal Risks and uncertainties 
 
   The principal risks faced by the Company can be divided into various 
areas as follows: 
 
 
   -- Performance; 
 
   -- Regulatory; 
 
   -- Operational; and 
 
   -- Financial. 
 
 
   The Board reported on the principal risks and uncertainties faced by the 
Company in the Annual Report and Accounts for the year ended 31 March 
2017. A detailed explanation can be found on page 30 of the Annual 
Report and Accounts which is available on Foresight's website 
www.foresightgroup.eu or by writing to Foresight Group at The Shard, 32 
London Bridge Street, London, SE1 9SG. 
 
   In the view of the Board, there have been no changes to the fundamental 
nature of these risks since the previous report and these principal 
risks and uncertainties are equally applicable to the remaining six 
months of the financial year as they were to the six months under 
review. 
 
   Directors' responsibility statement 
 
   The Disclosure and Transparency Rules ('DTR') of the UK Listing 
Authority require the Directors to confirm their responsibilities in 
relation to the preparation and publication of the Interim Report and 
financial statements. 
 
   The Directors confirm to the best of their knowledge that: 
 
 
   1. the summarised set of financial statements has been prepared in 
      accordance with FRS 104; 
 
   2. the interim management report includes a fair review of the information 
      required by DTR 4.2.7R (indication of important events during the first 
      six months and description of principal risks and uncertainties for the 
      remaining six months of the year); 
 
   3. the summarised set of financial statements gives a true and fair view of 
      the assets, liabilities, financial position and profit or loss of the 
      Company as required by DTR 4.2.4R; and the interim management report 
 
   4.  includes a fair review of the information required by DTR 4.2.8R 
      (disclosure of related parties' transactions and changes therein). 
 
 
   Going concern 
 
   The Company's business activities, together with the factors likely to 
affect its future development, performance and position, are set out in 
the Strategic Report of the Annual Report. The financial position of the 
Company, its cash flows, liquidity position and borrowing facilities are 
described in the Chairman's Statement, Strategic Report and Notes to the 
Accounts of the 31 March 
 
   2017 Annual Report. In addition, the Annual Report includes the 

Company's objectives, policies and processes for managing its capital; 
its financial risk management objectives; details of its financial 
instruments; and its exposures to credit risk and liquidity risk. 
 
   The Company has considerable financial resources together with 
investments and income generated therefrom across a variety of 
industries and sectors. As a consequence, the Directors believe that the 
Company is well placed to manage its business risks successfully. 
 
   The Directors have reasonable expectation that the Company has adequate 
resources to continue in operational existence for the foreseeable 
future. Thus they continue to adopt the going concern basis of 
accounting in preparing the annual financial statements. 
 
   The Half-Yearly Financial Report has not been audited nor reviewed by 
the auditors. 
 
   On behalf of the Board 
 
   Raymond Abbott 
 
   Chairman 
 
   30 November 2017 
 
 
 
   Unaudited Income Statement 
 
   for the six months ended 30 September 2017 
 
 
 
 
                     Six months ended            Six months ended              Year ended 
                     30 September 2017          30 September 2016             31 March 2017 
                        (unaudited)                (unaudited)                  (audited) 
                 Revenue  Capital   Total   Revenue  Capital    Total   Revenue  Capital   Total 
                 GBP'000  GBP'000  GBP'000  GBP'000  GBP'000   GBP'000  GBP'000  GBP'000  GBP'000 
 
Investment 
 holding gains         -      190      190        -   (3,901)  (3,901)        -    8,728  (8,728) 
Realised 
 gains/(losses) 
 on 
 investments           -      738      738        -     5,555    5,555        -  (5,941)  (5,941) 
Income                78        -       78      316         -      316      383        -      383 
Investment 
 management 
 fees              (160)    (481)    (641)    (112)     (338)    (450)    (229)    (686)    (915) 
Other expenses     (585)        -    (585)    (183)         -    (183)    (424)        -    (424) 
 
(Loss)/return 
 on ordinary 
 activities 
 before 
 taxation          (667)      447    (220)       21     1,316    1,337    (270)    2,101    1,831 
 
Taxation               -        -        -      (4)         4        -        -        -        - 
 
(Loss)/return 
 on ordinary 
 activities 
 after 
 taxation          (667)      447    (220)       17     1,320    1,337    (270)    2,101    1,831 
 
 
(Loss)/return 
per share: 
Ordinary Share    (0.8)p     0.5p   (0.3)p     0.0p      2.3p     2.3p   (0.6)p     3.7p     3.1p 
 
 
   The total column of this statement is the profit and loss account of the 
Company and the revenue and capital columns represent supplementary 
information. 
 
   All revenue and capital items in the above Income Statement are derived 
from continuing operations. No operations were acquired or discontinued 
in the period. 
 
   The Company has no recognised gains or losses other than those shown 
above, therefore no separate statement of total recognised gains and 
losses has been presented 
 
 
 
   Unaudited Balance Sheet 
 
   at 30 September 2017 
 
 
 
 
                                                   Registered Number: 03506579 
                                     As at              As at          As at 
                                                                     31 March 
                               30 September 2017  30 September 2016     2017 
                                  (unaudited)        (unaudited)     (audited) 
                                    GBP'000            GBP'000        GBP'000 
 
Fixed assets 
Investments held at fair 
 value through profit or 
 loss                                     64,593             39,410     40,463 
Current assets 
Debtors                                      450                888        151 
Money market securities and 
 other deposits                            2,089              1,236        838 
Cash                                         695                193        790 
                                           3,234              2,317      1,779 
Creditors 
Amounts falling due within 
 one year                                  (602)               (49)       (83) 
 
Net current assets                         2,632              2,268      1,696 
 
Net assets                                67,225             41,678     42,159 
 
Capital and reserves 
Called-up share capital                      968                574        574 
Share premium                             39,854              5,125      5,112 
Capital redemption reserve                   354                265        265 
Profit and loss account                   26,049             35,714     36,208 
 
 
Equity shareholders' funds                67,225             41,678     42,159 
 
Net asset value per share: 
Ordinary Share                             69.4p              72.6p      73.5p 
 
 
   The figures as at 30 September 2017 are post the merger with Foresight 3 
VCT plc. 
 
   Unaudited Reconciliation of Movements in Shareholders' Funds 
 
   for the six months ended 30 September 2017 
 
 
 
 
                Called-up       Share        Capital      Profit and 
                  share        premium      redemption       loss 
                 capital       account       reserve       account      Total 
                 GBP'000       GBP'000       GBP'000       GBP'000     GBP'000 
As at 1 April 
 2017                   574         5,112           265        36,208   42,159 
Share issues 
 in the 
 period                 483        34,759             -             -   35,242 
Expenses in 
 relation to 
 previous 
 years share 
 issues*                  -          (17)             -             -     (17) 
Repurchase of 
 shares                (89)             -            89       (5,654)  (5,654) 
Expenses in 
 relation to 
 tender 
 offer                    -             -             -          (56)     (56) 
Dividends                 -             -             -       (4,229)  (4,229) 
Loss for the 
 period                   -             -             -         (220)    (220) 
As at 30 
 September 
 2017                   968        39,854           354        26,049   67,225 
 
 
   * Trail commission payable to financial advisors 
 
 
 
   Unaudited Cash Flow Statement 
 
   for the six months ended 30 September 2017 
 
 
 
 
                                                      Six months   Six months     Year 
                                                         ended        ended       ended 
                                                          30           30 
                                                       September    September   31 March 
                                                         2017         2016        2017 
                                                      (unaudited)  (unaudited)  (audited) 
                                                        GBP'000      GBP'000     GBP'000 
Cash flow from operating activities 
Investment income received                                    192          300        553 
Dividends received from investments                             8            8         10 
Deposit and similar interest received                           1            -          4 
Investment management fees paid                             (633)        (453)      (915) 
Secretarial fees paid                                        (81)         (78)      (157) 
Other cash payments                                         (640)        (162)      (284) 
 
Net cash (outflow)/inflow from operating activities 
 and returns on investment                                (1,153)        (385)      (789) 
 
Returns on investment and servicing of finance 
Purchase of unquoted investments                            (674)        (989)      (189) 
Net proceeds on sale of investments                         8,689        1,047        357 
Net proceeds on deferred consideration                          6            1        509 
Net capital inflow/(outflow) from investing 
 activities                                                 8,021           59        677 
 
Equity dividends paid                                     (4,229)            -          - 
 
Management of liquid resources 
Movement in money market funds                            (1,251)          537        935 
                                                          (1,251)          537        935 
Financing 
Proceeds of fund raising                                        -            -          - 
Expenses of fund raising                                     (17)         (22)       (35) 
Repurchase of own shares                                  (5,310)         (58)       (60) 
Proceeds of Foresight 3 VCT plc pre merger 
 allotments                                                 3,372            -          - 
Cash acquired on merger with Foresight 3 VCT plc              472            -          - 
Net cash (outflow)/inflow from financing activities       (6,963)          457        840 
(Decrease)/increase in cash                                  (95)          131        728 
 
 
 
 
Reconciliation of net cash flow to movement in net 
 cash 
(Decrease)/Increase in cash for the period           (95)  131  728 
Net cash at start of the period                       790   62   62 
Net cash at end of period                             695  193  790 
 
 
 
 
 
   Notes to the Half-Yearly Financial Report 
 
   for the six months ended 30 September 2017 
 
 
   1. The Unaudited Half-Yearly results have been prepared on the basis of 
      accounting policies set out in the statutory accounts of the Company for 
      the year ended 31 March 2017. Unquoted investments have been valued in 
      accordance with IPEV Valuation guidelines. Quoted investments are stated 
      at bid prices in accordance with IPEV Valuation guidelines and UK 
      Generally Accepted Accounting Practice. 
 
   2. These are not statutory accounts in accordance with S436 of the Companies 

      Act 2006 and the financial information for the six months ended 30 
      September 2017 and 30 September 2016 has been neither audited nor 
      formally reviewed. Statutory accounts in respect of the year ended 31 
      March 2017 have been audited and reported on by the Company's auditors 
      and delivered to the Registrar of Companies and included in the report of 
      the auditors which was unqualified and did not contain a statement under 
      S498(2) or S498(3) of the Companies Act 2006. No statutory accounts in 
      respect of any period after 31 March 2017 have been reported on by the 
      Company's auditors or delivered to the Registrar of Companies. 
 
   3. Copies of the Unaudited Half-Yearly Financial Report have been sent to 
      shareholders and are available for inspection at the Registered Office of 
      the Company at The Shard, 32 London Bridge Street, London SE1 9SG. 
 
 
 
 
 
   1. Net asset value per share 
 
 
   The net asset value per share is based on net assets at the end of the 
period and on the number of shares in issue at the date. 
 
 
 
 
 
 
                                 Number of 
                    Net Assets      shares 
                       GBP'000    in issue 
 
30 September 2017       67,225  96,846,130 
30 September 2016       41,678  57,375,499 
31 March 2017           42,159  57,375,499 
 
 
   1. Return per share 
 
 
 
 
                                                       Six months  Six months 
                                                        ended 30     ended 30  Year ended 
                                                       September    September       March 
                                                          2017           2016        2017 
                                                        GBP'000       GBP'000     GBP'000 
 
Total (loss)/return after taxation                          (220)       1,337       1,831 
Basic (loss)/return per Ordinary Share (note a)            (0.3)p        2.3p        3.1p 
 
Revenue (loss)/return from ordinary activities after 
 taxation                                                   (667)          17       (270) 
Revenue (loss)/return per Ordinary Share (note b)          (0.8)p        0.0p      (0.6)p 
 
Capital return from ordinary activities after 
 taxation                                                     447       1,320       2,101 
Capital return per Ordinary Share (note c)                   0.5p        2.3p        3.7p 
 
Weighted average number of Ordinary Shares in issue 
 in the 
 period                                                83,536,454  57,375,499  57,375,499 
 
Notes: 
a) Total return/(loss) per Ordinary Share is total 
 return after taxation divided by the weighted average 
 number of shares in issue during the period. 
b) Revenue return/(loss) per Ordinary Share is revenue 
 return after taxation divided by the weighted average 
 number of shares in issue during the period. 
c) Capital return/(loss) per Ordinary Share is capital 
 return after taxation divided by the weighted average 
 number of shares in issue during the period. 
 
 
   1. Income 
 
 
 
 
                           Six months ended   Six months ended    Year ended 
                           30 September 2017  30 September 2016  31 March 2017 
                              (unaudited)        (unaudited)       (audited) 
                                GBP'000            GBP'000          GBP'000 
Loan stock interest                       39                305            368 
Dividends                                 37                  8             11 
Overseas based Open Ended 
 Investment Companies 
 ("OEIC's")                                2                  3              4 
 
                                          78                316            383 
 
 
   1. Investments held at fair value through profit or loss 
 
 
   Company 
 
 
 
 
                                          Quoted   Unquoted   Total 
                                          GBP'000  GBP'000   GBP'000 
Book cost at 1 April 2017                     451    21,320   21,771 
Investment holding (losses)/gains           (308)    19,000   18,692 
Valuation at 1 April 2017                     143    40,320   40,463 
 
Movements in the period: 
 Acquired on Foresight 3 VCT plc merger         -    31,223   31,223 
Purchases at cost                               -       674      674 
Disposal proceeds                           (139)   (8,550)  (8,689) 
Realised (losses)/gains                     (312)     1,044      732 
Investment holding gains/(losses)*            308     (118)    (190) 
Valuation at 30 September 2017                  -    64,593   64,593 
 
Book cost at 30 September 2017                  -    45,711   45,711 
Investment holding gains                        -    18,882   18,882 
Valuation at 30 September 2017                  -    64,593   64,593 
 
 
   * Realised gains in the income statement includes deferred consideration 
of GBP6,000. 
 
 
   1. Transactions with the manager 
 
 
   Foresight Group, which acts as investment manager to the Company in 
respect of its venture capital investments earned fees of GBP641,000 
during the period (30 September 2016: GBP450,000; 31 March 2017: 
GBP915,000). Fees excluding VAT of GBP81,000 (30 September 2016: 
GBP78,000; 31 March 2017: GBP157,000) were received during the period 
for company secretarial, administrative and custodian services to the 
Company. The GBP641,000 in the period to 30 September is post the merger 
with Foresight 3 VCT plc of 22 June 2017, which increased net assets 
from GBP42,110,637 to GBP77,355,705. 
 
   At the balance sheet date there was GBP11,000 due to Foresight Group (30 
September 2016: GBP4,000 due from Foresight Group; 31 March 2017: 
GBP3,000 due to Foresight Group) and GBPnil due to Foresight Fund 
Managers Limited (30 September 2016: GBPnil; 31 March 2017: GBPnil). No 
amounts have been written off in the period in respect of debts due to 
or from related parties. 
 
 
   1. Post balance sheet events 
 
 
   Post the period end there was an allotment of 3,580,633 ordinary shares 
on 20 November with a further 217,643 ordinary shares being allotted on 
21 November. 
 
   . 
 
   END 
 
   This announcement is distributed by Nasdaq Corporate Solutions on behalf 
of Nasdaq Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Foresight 4 VCT PLC via Globenewswire 
 
 
  http://www.foresightgroup.eu/ 
 

(END) Dow Jones Newswires

November 30, 2017 16:59 ET (21:59 GMT)

Copyright (c) 2017 Dow Jones & Company, Inc.