Octopus Titan VCT 1 Octopus Titan Vct 1 Plc : Interim Management Statement

 
TIDMOTV1 
 
   Octopus Titan VCT 1 plc 
 
   Interim Management Statement 
 
   14 August 2013 
 
   In accordance with Rule 4.3 of the UK Listing Authority's Disclosure and 
Transparency rules, Octopus Titan VCT 1 plc ('Titan 1' or 'VCT') 
presents an Interim Management Statement for the period 1 May 2013 to 31 
July 2013.  The statement also includes relevant financial information 
between the end of the period and the date of this statement. 
 
   Financial Summary 
 
 
 
 
                                           As at 30 April    As at 31 October 
                      As at 31 July 2013        2013               2012 
 
Net assets 
 (GBP'000s)                       19,086             19,795             21,382 
Return after tax 
 (GBP'000s)                          171                137              5,737 
Net asset value per                86.4p              88.7p             121.9p 
 share (NAV) 
Cumulative dividends               42.5p              40.0p               6.0p 
 paid since launch 
Total return (NAV                 128.9p             128.7p             127.9p 
 plus dividends 
 paid) 
 
   Developments 
 
   As discussed in the recent interim report, a few of the successful 
investee companies had, or were about to, become non-qualifying during 
the normal course of business which would put a strain on the qualifying 
status of the VCT.  A solution to this has been approved by shareholders 
and HMRC during the period and has now beenMRHMRCms brought into effect. 
The transaction saw Titan 1, Octopus Titan VCT 2 Plc ('Titan 2') and 
Octopus Titan VCT 3 Plc ('Titan 3') effectively 'sell half and retain 
half' of Zoopla Property Group, Nature Delivered, Calastone and Secret 
Escapes, and as a result, the qualifying status of the VCT has been 
protected, cash has been realised and investors are also able to 
participate in the future growth of these companies. 
 
   As at 31 July 2013, Zoopla Property Group, Nature Delivered and Secret 
Escapes have been disposed and transferred from Titan 1, Titan 2 and 
Titan 3 into the new Octopus managed fund which Titan 1, Titan 2 and 
Titan 3 hold a stake in. It is anticipated that Calastone will be 
transferred shortly. 
 
   Investment performance 
 
   At 31 July 2013, the Total Return of the VCT was 128.9p compared to 
128.7p at 30 April 2013. The increase in the Total Return has arisen as 
a result of an uplift in Calastone based on the recent funding round 
exceeding the standard running costs of the Fund. There have been no 
other changes in the unquoted valuations since 30 April 2013. 
 
   We have continued to focus on monitoring existing portfolio companies, 
alongside giving them support with both advice and new funding needs. 
During the period under review, Titan 1 made four follow-on investments 
of GBP841,000 into Swiftkey (TouchType Limited), 800,000 into Calastone, 
GBP333,000 into UltraSoC and GBP31,000 into Mi-Pay. Titan 1 also made 
two new investments of GBP172,000 into Amplience and GBP300 into Zenith 
Holding Company. 
 
   A full update will be provided in the Annual Report and accounts for the 
year ending 31 October 2013. 
 
   Top Ten Investments by value as at 31 July 2013 
 
 
 
 
                                                               % of total net 
Company          Sector               Carrying value GBP'000       assets 
Calastone 
 Limited*        Technology                             3,984            20.9% 
Zenith Holding 
 company 
 Limited**       Various                                3,303            17.3% 
TouchType 
 Limited         Telecommunications                     2,325            12.2% 
UltraSoC 
 Technologies 
 Limited         Technology                               869             4.6% 
e-Therapeutics   Consumer lifestyle 
 plc              & wellbeing                             844             4.4% 
Mi-Pay Limited   Telecommunications                       636             3.3% 
Executive 
 Channel Europe 
 Limited         Media                                    605             3.2% 
Metrasens        Consumer lifestyle 
 Limited          & wellbeing                             571             3.0% 
Getlenses Group  Consumer lifestyle 
 Limited          & wellbeing                             534             2.8% 
Surrey 
 NanoSystems 
 Limited         Technology                               528             2.8% 
 
   *It is anticipated that Calastone will be transferred into Zenith 
Holding Company shortly. 
 
   ** Zenith Holding Company Limited holds an interest in a new 
Octopus-managed fund which now owns Titan 1, Titan 2 and Titan 3's 
previous holdings in Zoopla Property Group, Nature Delivered and Secret 
Escapes. 
 
   Dividends 
 
   As announced in the recently published half-yearly report, the interim 
dividend of 2.5p per share was paid on 26 July 2013 to those 
shareholders on the register on 28 June 2013. The total dividends paid 
since launch are now 42.5p. 
 
   Linked Top-up 
 
   The Board of Octopus Titan VCT 1 Plc, along with the other Titan funds, 
are pleased to announce their intention to launch a new fund raising 
this year of up to GBP35 million by way of an issue of new shares with 
an over allotment facility of a further GBP15 million across the Titan 
funds. It is anticipated that a prospectus containing further details 
will be sent to shareholders and potential new investors in early 
September 2013. 
 
   Material events and transactions 
 
   The VCT made a new investment of GBP100,000 into Zynstra on 2 August 
2013. Titan 1's Board is not aware of any other significant event or 
transaction which has occurred between 1 August 2013 and the date of 
publication of this statement which would have a material impact on the 
financial position of the VCT. 
 
   For further information please contact: 
 
   Alex Macpherson- Fund Manager 
 
   Octopus Investments Limited - 0800 316 2295 
 
   ENDS 
 
   This announcement is distributed by Thomson Reuters on behalf of Thomson 
Reuters clients. 
 
   The owner of this announcement warrants that: 
 
   (i) the releases contained herein are protected by copyright and other 
applicable laws; and 
 
   (ii) they are solely responsible for the content, accuracy and 
originality of the 
 
   information contained therein. 
 
   Source: Octopus Titan VCT 1 PLC via Thomson Reuters ONE 
 
   HUG#1723114 
 
 
  http://www.octopusinvestments.com