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OTV3 Octopus T. 3

94.00
0.00 (0.00%)
15 May 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Octopus T. 3 LSE:OTV3 London Ordinary Share GB00B2Q5VD26 ORD SHS 10P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 94.00 0.00 01:00:00
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
0 0 N/A 0

Octopus Titan VCT 3 Octopus Titan Vct 3 Plc : Half-yearly Report

05/06/2014 6:39pm

UK Regulatory



 
TIDMOTV3 
 
   Octopus Titan VCT 3 plc 
 
   Half-Yearly Results 
 
   5 June 2014 
 
   Octopus Titan VCT 3 plc, managed by Octopus Investments Limited, today 
announces the Half-Yearly results for the six months ended 30 April 
2014. 
 
   These results were approved by the Board of Directors on 5 June 2014. 
 
   You may shortly view the Half-Yearly Report in full at 
www.octopusinvestments.com. All other statutory information will also be 
found there. 
 
 
 
   Financial Headlines 
 
   92.8p                  Net asset value (NAV) at 30 April 2014 
 
   33.5p                  Cumulative dividends paid 
 
   126.3p                NAV plus cumulative dividends at 30 April 2014 
 
   2.5p                   Interim dividend declared for the half-year to 30 
April 2014 
 
   Shareholder Information and Contact Details 
 
   Financial Calendar 
 
   Octopus Titan VCT 3 plc's financial calendar is as follows: 
 
   24 July 2014            -            2013 interim dividend paid 
 
   February 2015            -            Annual results for the year to 31 
October 2014 announced; Annual Report and financial statements published 
 
   March 2015            -            Annual General Meeting 
 
 
   Dividends 
 
   Dividends will be paid by the Registrar on behalf of the Company. 
Shareholders who wish to have dividends paid directly into their bank 
account rather than by cheque to their registered address can complete a 
mandate form for this purpose. Queries relating to dividends, 
shareholdings and requests for mandate forms should be directed to the 
Company's Registrar, Capita Asset Services, by calling 0871 664 0300 
(calls cost 10p per minute plus network extras. Lines are open 
Monday-Friday 9.00am-5.30pm), or by writing to them at: 
 
   Capita Asset Services 
 
   The Registry 
 
   34 Beckenham Road 
 
   Beckenham 
 
   Kent 
 
   BR3 4BR 
 
   The table below shows the net asset value per share (NAV) and lists the 
dividends that have been paid since the launch of Octopus Titan VCT 3 
plc: 
 
 
 
 
Period Ended        NAV  Dividends paid  NAV + cumulative dividends 
                              in period              (total return) 
31 October 2008   92.2p               -                       92.2p 
30 April 2009     95.6p               -                       95.6p 
31 October 2009  100.1p               -                      100.1p 
30 April 2010     96.6p               -                       96.6p 
31 October 2010   96.7p               -                       96.7p 
30 April 2011     95.3p               -                       95.3p 
31 October 2011   92.9p               -                       92.9p 
30 April 2012     93.7p               -                       93.7p 
31 October 2012  116.4p            1.0p                      117.4p 
30 April 2013     95.5p           20.0p                      116.5p 
31 October 2013   91.5p           10.0p                      122.5p 
 30 April 2014    92.8p            2.5p                      126.3p 
 
   Share Price 
 
   The VCT's share price can be found on various financial websites 
including www.londonstockexchange.com, with the following TIDM/EPIC 
code: 
 
 
 
 
                                  Ordinary shares 
TIDM/EPIC code                    OTV3 
Latest share price (5 June 2014)  86.5p per share 
 
 
   Buying and Selling Shares 
 
   Titan 3's ordinary shares can be bought and sold in the same way as any 
other company quoted on the London Stock Exchange via a stockbroker. 
There may be tax implications in respect of selling all or part of your 
holdings, so shareholders should contact their independent financial 
adviser if they have any queries. 
 
   The Company operates a policy of buying its own shares for cancellation 
as they become available. The Company is, however, unable to buy back 
shares directly from shareholders. If you are considering selling your 
shares or trading in the secondary market, please contact the Company's 
corporate broker, Panmure Gordon (UK) Limited ('Panmure'). 
 
   Panmure is able to provide details of close periods (when the Company is 
prohibited from buying in shares) and details of the price at which the 
Company has brought in shares. Panmure can be contacted as follows: 
 
   Chris Lloyd      020 7886 2716               chris.lloyd@panmure.com 
 
   Paul Nolan       020 7886 2717              paul.nolan@panmure.com 
 
   Notification of Change of Address 
 
   Communications with shareholders are mailed to the registered address 
held on the share register. In the event of a change of address or other 
amendment this should be notified to the VCT's registrar, Capita, as 
well as Octopus Investments Limited ('Octopus') under the signature of 
the registered holder. Their contact details are provided at the end of 
this report. 
 
   Other Information for Shareholders 
 
   Previously published Annual Reports and Half-yearly Reports are 
available for viewing on the Investment Manager's website at 
http://www.octopusinvestments.com/investors/shareholder-information/titan-vct-3. 
All other statutory information will also be found there. 
 
   Warning to Shareholders 
 
   Many quoted companies are aware that their shareholders have received 
unsolicited phone calls or correspondence concerning investment matters. 
These are typically from overseas based 'brokers' who target UK 
shareholders offering to sell them what often turn out to be worthless 
or high risk shares in US or UK investments. They can be very persistent 
and extremely persuasive. Shareholders are therefore advised to be very 
wary of any unsolicited advice, offer to buy shares at a discount or 
offer for free company reports. 
 
   Please note that it is very unlikely that either the Company or the 
Company's registrar would make unsolicited telephone calls to 
shareholders and that any such calls would relate only to official 
documentation already circulated to shareholders and never in respect of 
investment 'advice'. 
 
   If you are in any doubt about the veracity of an unsolicited phone call, 
please call either Octopus Investments, or the Registrar, at the numbers 
provided at the back of this report. 
 
   About Octopus Titan VCT 3 PLC 
 
   Octopus Titan VCT 3 plc ('Titan 3', 'Company' or 'VCT') is a venture 
capital trust ('VCT') which aims to provide shareholders with attractive 
tax-free dividends and long-term capital growth, by investing in a 
diverse portfolio of predominantly unquoted companies. The Company is 
managed by Octopus Investments Limited ('Octopus' or 'Investment 
Manager'). 
 
   Titan 3 was incorporated on 4 March 2008 and raised over GBP20.0 million 
(GBP19.2 million net of expenses) through an Offer for Subscription. A 
further GBP6.22 million in aggregate (GBP5.90 million net of expenses) 
has been raised by way of top-ups in 2012 and 2013. In 2014, to date 
GBP9.74 million in aggregate has been allotted (GBP9.5 million net of 
expenses). Titan 3 invests primarily in unquoted UK smaller companies 
and aims to deliver absolute returns on its investments. 
 
   Venture Capital Trusts (VCTs) 
 
   VCTs were introduced in the Finance Act 1995 to provide a means for 
private individuals to invest in unlisted companies in the UK. 
Subsequent Finance Acts have introduced changes to VCT legislation. The 
tax benefits currently available to eligible new investors in VCTs 
include: 
 
 
   -- up to 30% up-front income tax relief; 
 
   --                     exemption from income tax on dividends paid; and 
 
   --                     exemption from capital gains tax on disposals of 
shares in VCTs. 
 
   Titan 3 has been approved as a VCT by HM Revenue & Customs (HMRC).  In 
order to maintain its approval the Company must comply with certain 
requirements on a continuing basis. 
 
 
   -- at least 70% of the Company's investments must comprise 'qualifying 
      holdings'*(as defined in the legislation); 
 
   -- for cash raised pre 6 April 2011 at least 30% of the 70% of qualifying 
      holdings must be in eligible ordinary shares with no preferential rights; 
 
   -- for cash raised post 5 April 2011 at least 70% of the 70% of qualifying 
      holdings must be in eligible ordinary shares with no preferential rights; 
 
   -- no single investment can exceed 15% of the total Company value; and 
 
   -- a minimum of 10% of each Qualifying Investment must be in Ordinary shares 
      with no preferential rights. 
 
 
   *A 'qualifying holding' consists of up to GBP5 million invested in any 
one year in new shares or securities in an unquoted company (or 
companies quoted on AIM) which is carrying on a qualifying trade and 
whose gross assets do not exceed GBP15 million at the time of 
investment. The definition of a 'qualifying trade' excludes certain 
activities such as property investment and development, financial 
services and asset leasing. The Company will continue to ensure its 
compliance with these qualification requirements. 
 
   Financial Summary 
 
 
 
 
                                 Six months to   Six months to    Year to 31 
                                  30 April 2014   30 April 2013   October 2013 
 
Net assets (GBP'000s)                    32,752          25,083         23,135 
Return on ordinary activities 
 after tax (GBP'000s)                     1,272           (232)          1,253 
Net asset value per share (NAV)           92.8p           95.5p          91.5p 
Cumulative dividends paid since           33.5p           21.0p          31.0p 
 launch 
Total Return                             126.3p          116.5p         122.5p 
Proposed Dividend                          2.5p           10.0p           2.5p 
 
 
   Chairman's Statement 
 
   I am pleased to present the Company's half-yearly results for the six 
month period ended 30 April 2014. 
 
   Results and Dividend 
 
   As at 30 April 2014 the total return (net asset value (NAV) plus 
cumulative dividends) stood at 126.3p, compared to 122.5p at 31 October 
2013. This represents an increase of 3.1% over the six month period, 
principally due to the uplift in the portfolio exceeding the standard 
running costs of the Fund. These movements are discussed in further 
detail below. 
 
   It is your Board's policy to strive to maintain a regular dividend flow 
especially given their tax free status, supplemented by special 
dividends following significant realisations. The dividend payable, 
however, primarily relies on the level of profitable realisations and 
available cash reserves. Taking account of these factors, the Board has 
decided to declare an interim dividend of 2.5p (2013: 10.0p) per share 
which will be payable on 24 July 2014 to shareholders on the register on 
27 June 2014. 
 
   This will take the total cumulative dividends paid by the Company to 
36.0 pence per share. 
 
   Investment Portfolio Review 
 
   The portfolio has had an overall uplift in fair value of GBP1,974,000 
during the period with seven companies contributing to the uplift. 
Certivox and Semafone were the main contributors to the uplift in value 
providing GBP1,249,000 and GBP391,000, respectively. Three companies 
suffered decreases in fair value totalling GBP180,000. 
 
   During the half year, Titan 3 invested GBP2,350,000 into six new 
companies and made seven follow-on investments. Whilst over prior 
periods the main focus has been on both developing and investing in the 
current portfolio, the Investment Manager has now restarted investing in 
new companies which have the potential for significant capital growth. 
 
   After 30 April 2014, the following investments were made: 
 
 
   -- GBP231,000 into Swoon (new company investment) 
 
   -- GBP471,000 into Zynstra 
 
   -- GBP150,000 into Origami (new company investment) 
 
   -- GBP467,000 into Aframe Media Group 
 
   Open Ended Investment Company (OEIC) 
 
   The holding in CF Octopus UK Micro Cap Growth Fund has continued its 
strong performance and increased in fair value by GBP69,000 over the six 
months to 30 April 2014. 
 
   Fund Raising 
 
   The Company, together with the other Titan funds, offered the 
opportunity to invest into the VCTs through a linked new share offer. It 
is pleasing to report that this offer raised GBP9,522,000 (net of costs) 
for the Fund. 
 
   The majority of monies raised will also be used to support existing 
portfolio companies where the Investment Manager sees a continuing 
opportunity for capital growth, and some of the cash raised will be used 
to invest in new companies thereby increasing the size of the portfolio. 
The Investment Manager continues to sustain a pipeline of prospective 
investments which have the potential to meet the investment criteria 
demanded by the Fund. 
 
   VCT Qualifying Status 
 
   PricewaterhouseCoopers LLP provides both the Board and Octopus with 
advice regarding ongoing compliance with HMRC rules and regulations 
concerning VCTs. The Board has been advised that Titan 3 is in 
compliance with the conditions laid down by HMRC for maintaining 
provisional approval as a VCT. 
 
   As at 30 April 2014, over 93% of the portfolio (as measured by HMRC 
rules) was invested in VCT qualifying investments. 
 
   Principal Risks and Uncertainties 
 
   The VCT's assets consist of equity and fixed-rate interest investments, 
cash and liquid resources. Its principal risks are therefore market risk, 
credit risk and liquidity risk. Other risks faced by Titan 3 include 
economic, loss of approval as a VCT, investment and strategic, 
regulatory, reputational, operational and financial risks. These risks, 
and the ways in which they are managed, are described in more detail in 
Titan 3's Annual Report and Accounts for the year ended 31 October 2013. 
The VCT's principal risks and uncertainties have not changed materially 
since the date of that report. 
 
   Outlook 
 
   The existing portfolio has continued to perform well resulting in an 
overall uplift in value for another successive period. Investments in 
new companies are now starting to be added and the Investment Manager 
remains confident that this will continue over subsequent periods.  As 
ever, the challenge is to grow the portfolio companies and realise 
profitable returns to generate attractive dividends, where increasingly 
active M&A markets and growing investor appetite for technology based 
companies provide a more positive environment for the development and 
realisation of the portfolio. 
 
   As the economy continues to improve your Investment Manager is seeing 
many interesting businesses with the potential for good investment 
returns. Some of these opportunities can selectively be realised from 
monies raised in the successful linked top-up fund raising. 
 
   Mark Hawkesworth 
 
   Chairman 
 
   5 June 2014 
 
   Investment Portfolio 
 
 
 
 
                                                                     Carrying   Change in 
                                       Investment                    value at   valuation  % voting  % equity 
                                       cost at 30    Unrealised      30 April    in the     rights   managed 
Qualifying                             April 2014  profit/ (loss)      2014      period    held by      by 
investments      Sector                (GBP'000)      (GBP'000)      (GBP'000)  (GBP'000)  Titan 3   Octopus 
Zenith Holding 
 Company 
 Limited         Other                      4,910            3,089       7,999      (122)    33.33%      100% 
Certivox 
 Limited         Technology                 1,994              455       2,449      1,249    16.31%    30.74% 
TouchType 
 Limited         Telecommunications         1,226            1,007       2,233          -     5.28%    19.04% 
Vega-Chi 
 Limited         Technology                 1,107              293       1,400        243     7.30%    14.10% 
e-Therapeutics   Consumer lifestyle 
 Plc              and well being            1,152             (62)       1,090       (48)     1.46%     3.28% 
UltraSoC 
 Technologies 
 Limited         Technology                   986               45       1,031          -    16.16%    55.11% 
Amplience 
 Limited         Technology                 1,050             (41)       1,009          -    11.10%    30.74% 
Getlenses        Consumer lifestyle 
 Limited          and well being              824              147         971         58     5.89%    15.63% 
Mi-Pay Group 
 plc             Telecommunications         1,004            (141)         863        159     5.73%    17.18% 
Metrasens        Consumer lifestyle 
 Limited          and well being              668               94         762          -     6.66%    17.28% 
Semafone 
 Limited         Telecommunications           826            (123)         703        391    11.62%    26.17% 
Surrey 
 Nanosystems 
 Limited         Technology                   621               43         664          -     6.18%    14.26% 
Bowman Power 
 Limited         Environmental                519             (54)         465       (12)     2.70%    10.70% 
Executive 
 Channel Europe 
 Limited         Media                        753            (325)         428          -     8.26%    30.00% 
                 Consumer lifestyle 
Kabbee Limited    and well being              400                -         400          -     1.55%     7.74% 
Michelson 
 Diagnostics     Consumer lifestyle 
 Limited          and well being              627            (266)         361          -     5.69%    24.95% 
Aframe Limited   Media                        332                -         332          -     4.23%    33.19% 
Adbrain Limited  Technology                   300                -         300          -     1.65%     9.23% 
Artesian 
 Solutions 
 Limited         Technology                   155                -         155          -     0.94%    23.70% 
Zynstra Limited  Technology                   100               50         150         50     1.23%     8.12% 
Uniplaces        Consumer lifestyle 
 Limited          and well being              106                -         106          -     5.81%    27.49% 
                 Consumer lifestyle 
Tailsco Limited   and well being               39                -          39          -     0.77%     1.16% 
Phasor 
 Solutions 
 Limited         Technology                    50             (18)          32          6     0.77%     0.98% 
Streethub        Consumer lifestyle 
 Limited          and well being               26                -          26          -     0.90%     4.21% 
Sofar Sounds     Consumer lifestyle 
 Limited          and well being               14                -          14          -     0.37%     1.85% 
 
Total qualifying investments               19,789            4,193      23,982      1,974 
Money market securities                     5,030                -       5,030 
OEICs                                         266              333         599 
Cash at bank                                3,293                -       3,293 
Total investments                          28,378            4,526      32,904 
Net current assets                                                       (152) 
Total net assets                                                        32,752 
 
 
   Responsibility Statement of the Directors in respect of the half-yearly 
report 
 
   We confirm that to the best of our knowledge: 
 
 
   -- the half-yearly financial statements have been prepared in accordance 
      with the statement 'Half-Yearly Financial Reports' issued by the UK 
      Accounting Standards Board; 
 
 
   -- the half-yearly report includes a fair review of the information required 
      by the Financial Conduct Authority Disclosure and Transparency Rules, 
      being: 
 
 
   -- an indication of the important events that have occurred during the first 
      six months of the financial year and their impact on the condensed set of 
      financial statements; 
 
   -- a description of the principal risks and uncertainties for the remaining 
      six months of the year; and 
 
   -- a description of related party transactions that have taken place in the 
      first six months of the current financial year, that may have materially 
      affected the financial position or performance of the Company during that 
      period and any changes in the related party transactions described in the 
      last annual report that could do so. 
 
 
   On behalf of the Board 
 
   Mark Hawkesworth 
 
   Chairman 
 
   5 June 2014 
 
 
 
 
 
 Income Statement 
               Six months to 30 April     Six months to 30 April 
                        2014                       2013              Year to 31 October 2013 
              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 
 
Realised 
 gain on 
 disposal of 
 fixed asset 
 investments        -       10       10        -        -        -        -      527      527 
Realised 
 gain on 
 disposal of 
 current 
 asset 
 investments        -        -        -        -      176      176        -      176      176 
 
Fixed asset 
 investment 
 holding 
 gains              -    1,974    1,974        -       29       29        -    1,408    1,408 
Current 
 asset 
 investment 
 holding 
 gains              -       69       69        -       47       47        -      119      119 
 
Other income        9        -        9       92        -       92      252        -      252 
 
Investment 
 management 
 fees            (58)    (175)    (233)     (64)    (193)    (257)    (125)    (375)    (500) 
 
Performance 
 fee 
 incentive          -    (333)    (333)        -    (145)    (145)        -    (319)    (319) 
 
Other 
 expenses       (224)        -    (224)    (174)        -    (174)    (410)        -    (410) 
 
Return on 
 ordinary 
 activities 
 before tax     (273)    1,545    1,272    (146)     (86)    (232)    (283)    1,536    1,253 
 
Taxation on 
return on 
ordinary 
activities          -        -        -        -        -        -        -        -        - 
 
Return on 
 ordinary 
 activities 
 after tax      (273)    1,545    1,272    (146)     (86)    (232)    (283)    1,536    1,253 
Earnings per 
 share - 
 basic and 
 diluted       (0.9)p     5.3p     4.4p   (0.6)p   (0.4)p   (1.0)p   (1.2)p     6.4p     5.2p 
 
 
   -- The 'Total' column of this statement is the profit and loss account of 
      the Company; the supplementary revenue return and capital return columns 
      have been prepared under guidance published by the Association of 
      Investment Companies. 
 
   -- All revenue and capital items in the above statement derive from 
      continuing operations. 
 
   -- The Company has only one class of business and derives its income from 
      investments made in shares and securities and from bank and money market 
      funds. 
 
   -- The Company has no recognised gains or losses other than the results for 
      the period as set out above. 
 
   -- The accompanying notes are an integral part of the half-yearly report. 
 
 
 
 
Reconciliation of Movements in Shareholders' Funds 
                     Six months to 30    Six months to 30   Year to 31 October 
                        April 2014          April 2013             2013 
                         GBP'000             GBP'000             GBP'000 
Shareholders' 
 funds at start of 
 period                         23,135              25,034              25,034 
 
Return on ordinary 
 activities after 
 tax                             1,272               (232)               1,253 
Issue of equity 
 (net of 
 expenses)                       9,523               4,580               4,580 
Purchase of own 
 shares                          (436)                   -               (805) 
Dividends paid                   (742)             (4,299)             (6,927) 
Shareholders' 
 funds at end of 
 period                         32,752              25,083              23,135 
 
 
 
 
Balance Sheet 
                                     As at 30 April    As at 30 April   As at 31 October 
                                          2014              2013              2013 
                                    GBP'000  GBP'000  GBP'000  GBP'000  GBP'000  GBP'000 
 
Fixed asset investments*                      23,982            19,806            19,658 
Current assets: 
Money market securities and other 
 deposits*                            5,629             4,599               554 
Debtors                                 420               331             1,074 
Cash at bank                          3,293             1,481             3,454 
                                      9,342             6,411             5,082 
Creditors: amounts falling due 
 within one year                      (572)           (1,134)           (1,605) 
Net current assets                             8,770             5,277             3,477 
 
Net assets                                    32,752            25,083            23,135 
 
Called up equity share capital        3,531             2,627             2,529 
Share Premium                         8,471             5,188             5,188 
Special distributable reserve        20,088            12,584            16,078 
Capital redemption reserve              155                 7               105 
Capital reserve - losses on 
 disposal                               263             3,992             (560) 
                          - 
                           holding 
                           gains      1,897             1,928              1175 
Revenue reserve                     (1,653)           (1,243)           (1,380) 
Total equity shareholders' funds              32,752            25,083            23,135 
Net asset value per share                      92.8p             95.5p             91.5p 
 
 
   *Held at fair value through profit and loss 
 
   The statements were approved by the Directors and authorised for issue 
on 5 June 2014 and are signed on their behalf by: 
 
   Mark Hawkesworth 
 
   Chairman 
 
   Company Number: 06523078 
 
 
 
 
 
 Cash flow statement 
                      Six months to 30  Six months to 30   Year to 31 October 
                         April 2014        April 2013             2013 
                          GBP'000           GBP'000             GBP'000 
 
Net cash outflow 
 from operating 
 activities                    (1,160)               961                   196 
 
Financial 
 investment: 
Purchase of fixed 
 asset investments             (2,350)           (4,028)              (12,892) 
Disposal of fixed 
 asset investments                  10             7,772                18,691 
 
Management of liquid 
 resources: 
Purchase of current 
 asset investments             (5,306)           (5,904)               (5,908) 
Disposal of current 
 asset investments                 300             2,365                 6,485 
 
Dividends paid                   (742)           (4,299)               (6,927) 
 
Financing: 
Issue of equity                  9,523             4,580                 4,580 
Purchase of own 
 shares                          (436)                 -                 (805) 
Increase/(decrease) 
 in cash resources 
 at bank                         (161)             1,447                 3,420 
 
 
 
 
 
 
Reconciliation of net cash flow to movement in net 
 funds 
                      Six months to    Six months to 
                      30 April 2014    30 April 2013   Year to 31 October 2013 
                         GBP'000          GBP'000              GBP'000 
Increase/(decrease) 
 in cash resources 
 at bank                       (161)            1,447                    3,420 
Movement in cash 
 equivalents                   5,075            1,875                  (2,170) 
Opening net cash 
 resources                     4,008            2,758                    2,758 
Net funds at period 
 end                           8,922            6,080                    4,008 
 
 
 
 
Reconciliation of return before taxation to cash flow 
 from operating activities 
                      Six months to    Six months to 
                      30 April 2014    30 April 2013   Year to 31 October 2013 
                         GBP'000          GBP'000              GBP'000 
Return on ordinary 
 activities before 
 tax                           1,272            (232)                    1,253 
Loss on disposal of 
 current asset 
 investments                       -            (176)                    (176) 
Loss on disposal of 
 fixed asset 
 investments                    (10)                -                    (527) 
Gain on valuation of 
 fixed asset 
 investments                 (1,974)             (29)                  (1,408) 
Loss/(gain) on 
 valuation of 
 current asset 
 investments                    (69)             (47)                    (119) 
Decrease/(increase) 
 in debtors                      654            1,298                      555 
Increase in 
 creditors                   (1,033)              147                      618 
Inflow/(outflow) 
 from operating 
 activities                  (1,160)              961                      196 
 
 
   Notes to the Half-Yearly Report 
 
   1.         Basis of preparation 
 
   The unaudited half-yearly results which cover the six months to 30 April 
2014 have been prepared in accordance with the Accounting Standard 
Board's (ASB) statement on half-yearly financial reports (July 2007) and 
adopting the accounting policies set out in the statutory accounts of 
the Company for the year ended 31 October 2013, which were prepared 
under UK GAAP and in accordance with the Statement of Recommended 
Practice for Investment Companies issued by the Association of 
Investment Companies in January 2009. 
 
   2.         Publication of non-statutory accounts 
 
   The unaudited half-yearly results for the six months ended 30 April 2014 
do not constitute statutory accounts within the meaning of Section 415 
of the Companies Act 2006. The comparative figures for the year ended 31 
October 2013 have been extracted from the audited financial statements 
for that year, which have been delivered to the Registrar of Companies. 
The independent auditor's report on those financial statements, in 
accordance with chapter 3, part 16 of the Companies Act 2006, was 
unqualified. This half-yearly report has not been reviewed by the 
Company's auditor. 
 
   3.         Earnings per share 
 
   The earnings per share is based on 29,261,688 (30 April 2013: 22,268,597 
and 31 October 2013: 24,192,531) shares, being the weighted average 
number of shares in issue during the period. 
 
   There are no potentially dilutive capital instruments in issue and 
therefore no diluted returns per share figures are relevant. The basic 
and diluted earnings per share are therefore identical. 
 
   4.         Net asset value per share 
 
   The calculation of NAV per share as at 30 April 2014 is based on 
35,304,630 (30 April 2013: 22,266,713 and 31 October 2013: 25,287,477) 
ordinary shares in issue at that date. 
 
   5.         Dividends 
 
   The interim dividend declared of 2.5 pence per share for the six months 
ending 30 April 2014 will be paid on 24 July 2014, to those shareholders 
on the register on 27 June 2014. 
 
   The final dividend of 2.5 pence per share for the year ending 31 October 
2013 was paid on 4 April 2014 to those shareholders on the register on 7 
March 2014 
 
   6.          Buy Backs 
 
   During the six months ended 30 April 2014 there were no buy backs (six 
months ended 30 April 2013: none and year ended 31 October 2013: 503,649 
ordinary shares at a weighted average price of 86.5 pence per share). 
During the six months to 30 April 2014, 10,520,802 shares were issued at 
a weighted average price of 90.5 pence per share. 
 
   7.          Related Party Transactions 
 
   Octopus Investments Limited acts as the Investment Manager of the 
Company. Under the management agreement, Octopus receives a fee of 2.0 
per cent per annum of the net assets of the Company for the investment 
management services. During the period, the Company incurred management 
fees of GBP233,000 payable to Octopus with GBP333,000 accrued for 
performance fees (30 April 2013: GBP257,000 and 31 October 2013: 
GBP500,000 with performance fees of GBP319,000). At the period end there 
were management fees of GBPnil stated within prepayments (30 April 2013: 
GBPnil and 31 October 2013: GBPnil). Furthermore, Octopus provides 
administration and company secretarial services to the Company. Octopus 
receives a fee of 0.3 per cent per annum of net assets of the Company 
for administration services and GBP10,000 per annum for company 
secretarial services. 
 
   8.         Additional information 
 
   Copies of this report are available from the registered office of the 
Company at 20 Old Bailey, London, EC4M 7AN. 
 
   This announcement is distributed by NASDAQ OMX Corporate Solutions on 
behalf of NASDAQ OMX 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: Octopus Titan VCT 3 PLC via Globenewswire 
 
   HUG#1791150 
 
 
  http://www.octopusinvestments.com 
 

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