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Share Name Share Symbol Market Type Share ISIN Share Description
Seneca Growth Capital Vct Plc LSE:SVCT London Ordinary Share GB00BG13MH08 B ORD 1P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.0% 93.50 92.00 95.00 93.50 93.50 93.50 0.00 00:00:00
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Equity Investment Instruments 0.0 -0.1 -0.7 - 8

Seneca Growth Capital VCT plc Final Results And Nav Update

23/02/2021 7:00am

UK Regulatory (RNS & others)


 
TIDMHYG TIDMSVCT 
 
 
   THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK 
VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF 
ENGLISH LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMED. 
ON PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, 
THIS INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN. 
 
   23 February 2021 
 
   Seneca Growth Capital VCT plc 
 
   Annual Report and Financial Statements 
 
   for the year ended 31 December 2020 
 
   NAV Update 
 
   and 
 
   Notice of Annual General Meeting 
 
   The Directors are pleased to announce the audited results of the Company 
for the year ended 31 December 2020. A copy of the Annual Report and 
Financial Statements will be made available to shareholders shortly, and 
extracts are now set out below. 
 
   The Company's AGM will be a closed meeting as a result of the Covid-19 
("C-19") pandemic and will be held at 14:00 on Monday, 29 March 2021 at 
9 The Parks, Haydock, WA12 0JQ. A copy of the Notice of AGM and Annual 
Report and Accounts will be available on the Company's website: 
https://www.globenewswire.com/Tracker?data=u-Ewvi184t6K0JFXrr-S0qFSC58dXS5-8hJ7iY6c6HNmsVxQnnTTZ1A-K6uDO5pI8zZUAJWuLcu9a54IJwBpoEVcS-m73t_NihkTL5zFaew= 
www.senecavct.co.uk 
 
   Financial Headlines 
 
 
 
 
Ordinary Shares 
95.5p     Ordinary share NAV plus cumulative dividends paid at 31 December 
           2020 ("Total Return") 
30.2p     Ordinary share NAV at 31 December 2020 
13.0p     Interim capital dividends paid per Ordinary share during year 
 B Shares 
GBP2.4m   Amount raised during the year from the issue of B shares 
GBP1.36m  Amount invested during the year into six new investee companies 
           by B share pool 
97.8p     B share NAV plus cumulative dividends paid at 31 December 2020 
           ("Total Return") 
91.8p     B share NAV at 31 December 2020 
3.0p      Interim dividends paid per B share during year 
 
 
   Financial SummarySHYSHYSHY 
 
 
 
 
                                      Year to                     Year to       Year to       Year to 
                                     31 December                 31 December   31 December   31 December 
                                        2020                        2020          2019          2019 
                                      Ordinary                     B share      Ordinary       B share 
                                     share pool                     pool       share pool       pool 
Net assets (GBP'000s)                      2,453                       8,317         2,463         5,921 
Return on ordinary activities 
 after tax (GBP'000s)                      1,045                         252         (547)         (168) 
Earnings per share (p)                      12.8                         3.5         (6.7)         (3.2) 
Net asset value per share (p)               30.2                        91.8          30.4          93.1 
Dividends paid since inception 
 (p)                                       65.25                        6.00         52.25           3.0 
Total return (NAV plus cumulative 
 dividends paid) (p)                       95.45                        97.8         82.65          96.1 
 
 
   Financial Calendar 
 
   The Company's financial calendar is as follows: 
 
   29 March 2021              Annual General Meeting ("AGM") will be a 
closed meeting as a result of the Covid-19 ("C-19") pandemic and will be 
held at 14:00 at 9 The Parks, Haydock, WA12 0JQ 
 
   July 2021                      Half-yearly results to 30 June 2021 
published 
 
   February 2022              Annual results for the year to 31 December 
2021 announced and Annual Report and Financial Statements published 
 
   For further information, please contact: 
 
   John Hustler, Seneca Growth Capital VCT Plc at 
https://www.globenewswire.com/Tracker?data=VUTZAyI2tOsXQnI3wTnXggIiOIr6VRqO7HFMCwy3vlnB0qO5v1YqRqw07FBZwrZDS1jtIJamSGMjlURnvzwDK9ogyLqBCuQHvIG0au8r4JwtuTsmapqUXkJaJHwGjBxy-JZ7S4AEiu49Es0HFSJjpXwv5AJCMVbDdRQfIjKCBppKIbFPV1yKxuwxIf7GMGwlH40x_kPwAkiyWLl2bLnaNyj_1OB2nBMSV1nGFI_sRVlLPY54uqgmmkFMarStKhO3EqV_T4f5UzwTA7ah0K3wzLQ7WelZwOPsBQE8oqHErHc= 
john.hustler@btconnect.com 
 
   Richard Manley, Seneca Growth Capital VCT Plc at 
https://www.globenewswire.com/Tracker?data=NZU5LUhFeIfLtyWtEnEBBQlBx2wYpHal4PUH3dO5fxtywTrzqkofEDb_IKTlm650eaQPbvXFQcNQyrkh8iOIkShgtP3GP90fnLQrDeo5jp3GM8ZV9fGUzNkiUX-ijWHO9-srrvC0cJhaELLsW74vPK5aISV8a_JMz62bcam4ko0xV7N_juF4ofdrQqHg4M87FlWupe57Np3Swdmyz18sZVzE6__qaao4hgCpMpqgaF_KMS4HnBpGQbg8BGlhZL3r52xU5ru-8qYt3hMhQfZpy0D5-2zZw71ZPl2YCBFrDKQ2oacZW3ffG9qH71jZfZXIzUF7xhfUVeTGQJeee4lnig== 
Richard.Manley@senecapartners.co.uk 
 
   Please note: page references and defined terms included in the extracts 
below refer to the page numbers and definitions in the Annual Report and 
Financial Statements. 
 
   Chairman's Statement 
 
   I am pleased to present the 2020 Annual Report on behalf of the Board to 
shareholders. 
 
   Overview 
 
   As shareholders will recall, Seneca have assumed the investment and 
accounting responsibilities of the Company with effect from August 2018, 
following which GBP8.7 million has been raised for the B share pool to 
31 December 2020. Since this represents the active investment portfolio, 
I am reporting on the B share portfolio first and then will give the 
results of the legacy Ordinary share portfolio. 
 
   I am pleased to say that, despite the unprecedented circumstances which 
we are all facing due to the C-19 global pandemic, I am able to report 
that both the B share and Ordinary share investment portfolios have 
stood up well to the challenges that they have faced. The Total Return 
(NAV per share plus cumulative dividends per share) for each share class 
increased during the year with the B share increasing by 1.8% to 97.8p 
and the Ordinary share increasing by 15.5% to 95.5p. 
 
   I am also pleased to be able to report that Seneca continued the 
development of the B share pool during the year both in terms of 
fundraising and investment activity. In October 2020, the Company 
launched its third offer for B shares and allotted an additional GBP1.5 
million of shares in December 2020 taking to GBP8.7 million the total 
raised by the B share pool from launch in May 2018 to 31 December 2020. 
I would like to welcome all new shareholders and thank both existing and 
new shareholders for their support. The share offer will remain open 
until 28 May 2021 unless it reaches the target of GBP10 million with an 
over-allotment facility of GBP10 million before then. 
 
   The Company made six new B share pool investments in the year in 
addition to achieving one full exit and one partial exit and as a result 
the Company's B share pool closed the year with ten investments, an 
increase of five on the prior year. 
 
   There were two full, and one partial disposal from the Ordinary share 
pool. The Ordinary share pool now has just seven investments remaining 
with AIM quoted Scancell Holdings Plc ("Scancell") (which encouragingly 
secured GBP48 million of new investment in the year) accounting for 66% 
of the Ordinary share pool's NAV at the year end. Recent press coverage 
regarding Scancell's involvement in a potential C-19 vaccine has led to 
a significant rise in its share price, which stood at 24.5p at 19 
February 2021 compared to our year end value of 13.5p. Further details 
and an updated unaudited NAV per Ordinary share and B share are included 
below. 
 
   With 54% of the B share pool's NAV as at 31 December 2020 represented by 
cash and more than 20% of the Ordinary share pool's NAV, the Company has 
ended the year well placed to face the challenges and opportunities 
presented by the ongoing C-19 pandemic and to deliver on the key 
objectives of continuing to build an attractive portfolio of growth 
capital investments in the Company's B share pool whilst also continuing 
to realise investments in the Ordinary share pool when the opportunity 
arises. 
 
   I have set out below the progress made by each of the Company's share 
classes during the year. 
 
   B Share Pool 
 
   B Shares - Results 
 
   The key items to impact the NAV of the B share pool during the year were 
as follows: 
 
 
   -- Two dividends paid during the year totalling 3.0p per B share. 
 
   -- The full realisation of one B share pool AIM quoted investment generating 
      a 2.1x return. 
 
   -- The partial exit of one B share pool AIM quoted investment generating a 
      1.6x return. 
 
   -- An increase in the valuation of two of the B share pool's remaining three 
      AIM quoted holdings. 
 
   -- A reduction in fair value of one of the B share pool's seven unquoted 
      company investments as a result of the impact of C-19. 
 
   -- The Company's running costs. 
 
 
 
   The net result of the above was an overall increase in the Total Return 
per B share to 97.8p as at 31 December 2020 (2019: 96.1p), consisting of 
a modest reduction in the NAV per B share to 91.8p as at 31 December 
2020 (2019: 93.1p), a positive capital return of 5.7p per B share (2019: 
negative 0.7p) and a negative revenue return of 2.2p per B share (2019: 
negative 2.5p). 
 
   Whilst the negative revenue return of 2.2p per B share is principally a 
result of the impact of the Company's running costs on the B share pool, 
shareholders will recall that the Company's running expenses are capped 
at 3% of the B share NAV until July 2021 (thereafter the total running 
costs will continue to be capped at 3% with general expenses being 
allocated to the Ordinary share pool and the B share pool pro-rata to 
their respective NAVs). As a result, Seneca reduced their annual 
management fee for 2020 from GBP127k to GBP41k to ensure the Company's 
annual running expenses stayed within this 3% limit. 
 
   The positive capital return of 5.7p per B share noted above was 
principally due to increases in the share prices of the B share pool's 
AIM quoted investments during the year and some harvesting of profit via 
partial sales of these AIM quoted investments offset by a reduction in 
the carrying value of one of the B share pool's unquoted company 
investments. Full details are disclosed in the Investment Manager's 
Report on pages 14 to 27. 
 
   B Shares - Investment Portfolio Review 
 
   As at 31 December 2020, the B share portfolio comprised ten companies, 
three of which are quoted on AIM, at a total net investment cost of 
GBP3,794k. As at 31 December 2020 this portfolio was valued at 
GBP3,982k. 
 
   In January 2021, the Company sold 1,750,000 shares in 
SkinBioTherapeutics Plc ("SkinBio") which represented 37% of the 
original holding of 4,677,107 shares, reducing the remaining holding to 
2,752,107 shares. These were sold at a net average price of 35.5p per 
share providing a return in the region of 2.2x on original cost. 
 
   B Shares -- Update and Outlook 
 
   Taking into account further proceeds realised since 31 December 2020 as 
detailed above and in note 17 on page 97 and an overall increase in AIM 
quoted investment bid prices, the Company is pleased to announce an 
updated unaudited NAV per B share of 99.4p per B share at 19 February 
2021, an increase of 7.6p per B share from the audited NAV of 91.8p per 
B share as at 31 December 2020 and an overall increase in the Total 
Return per B share to 105.4p as at 19 February 2021. 
 
   Shareholders will be pleased to know the Board declared an interim B 
share dividend of 1.5p per B share on 18 February 2021 to be paid on 14 
May 2021 to shareholders on the B share register on 30 April 2021, with 
an ex-dividend date of 29 April 2021. 
 
   Seneca continue to work closely with the investee companies in the B 
share portfolio with the aim of ensuring that the potential impact of 
C-19 is mitigated and that each investee company has sufficient funds to 
support their working capital requirements until normal trading and 
economic conditions return. Seneca remain confident that the portfolio 
retains its potential to provide attractive returns for B shareholders 
over the medium term. 
 
 
 
   The Board is pleased with the progress that Seneca have made since their 
appointment as Investment Manager in 2018, in terms of funds raised, new 
investments made and relationships with brokers offering new quoted 
securities and now, exits achieved. 
 
   Seneca expect to increase the funds raised under the current B share 
Offer and add new growth capital investments to the B share portfolio 
during the course of 2021 from, inter alia, the investments they 
currently have in the later stages of due diligence. 
 
 
 
   Ordinary Share Pool 
 
   Ordinary Shares - Results 
 
   Whilst the NAV per Ordinary share decreased by 0.2p from 30.4p to 30.2p 
during the year, this was after the payment of dividends per Ordinary 
share totalling 13.0p. A better understanding of the underlying 
performance of the Company's Ordinary share portfolio during the year is 
therefore provided by considering the NAV movement per Ordinary share 
during the year before dividends which shows an increase of some 12.8p 
(a 42% increase compared to 31 December 2019). 
 
   This increase was principally driven by the increase in value of the 
Ordinary share portfolio's two AIM quoted investments during the year. 
The quoted bid price of Scancell shares increased from 7.0p to 13.5p 
from the start of the financial year to the financial year end. During 
this period, it was decided to harvest a modest portion of our 
shareholding and we now hold 12 million shares. Omega benefited from its 
involvement in a partnership to develop a C-19 antibody test and the 
share price rose significantly; the Board, therefore, decided it was 
appropriate to take advantage of this and we sold our entire holding for 
GBP987k, generating a profit over original cost of GBP659k and over our 
holding value at 31 December 2019 of GBP666k. 
 
 
 
   As a result of the realisations noted above, your Board were very 
pleased to be able to pay dividends totalling 13p per Ordinary share 
during the year with no material adverse impact on the Ordinary pool's 
NAV. The Total Return in relation to the Ordinary shares is now 95.5p 
comprising cumulative distributions of 65.25p per Ordinary share and a 
residual NAV per Ordinary share of 30.2p as at 31 December 2020. 
 
   As previously reported, the Board remains focused on identifying exit 
opportunities for the remainder of the Ordinary share pool investment 
portfolio, and it was particularly pleasing to have been able to 
distribute 13p per Ordinary share to shareholders this year with no 
material adverse impact on the Ordinary share pool's NAV. Realisations 
in the last three years have enabled the payment of a total of 41p per 
Ordinary share in dividends to Ordinary shareholders, representing 64.3% 
of the NAV per Ordinary share as at 31 December 2017 and we still retain 
net assets of 30.2p per Ordinary share as at 31 December 2020. 
Notwithstanding this success, we remain confident that, overall, there 
remains the opportunity to realise further value for Ordinary 
shareholders in due course (particularly in relation to our Scancell 
holding): indeed as noted below, earlier this month we realised a 
further portion of our Scancell holding. For the time being, we do not 
currently consider it appropriate to liquidate any further Scancell 
shares and do not see any other immediate opportunities for realisations, 
but we continue to monitor the situation closely. 
 
   Ordinary Shares - Investment Portfolio 
 
   The remaining Ordinary share portfolio now comprises one AIM quoted 
holding, Scancell, as referred to above, which has a carrying value of 
GBP1,620k as at 31 December 2020, and six unquoted holdings -- the 
carrying value of three of which have been reduced to zero with the 
combined carrying value of the other three being GBP521k as at 31 
December 2020. 
 
   Shareholders will note therefore that Scancell represented more than 75% 
of the value of the Ordinary share portfolio as at 31 December 2020 and 
as a result the NAV per Ordinary share now fluctuates largely in line 
with the movement in the Scancell share price. Whilst the Scancell share 
price showed volatility during 2020, it is not our policy to update the 
market following each of these fluctuations unless there are considered 
to be abnormal events (e.g. sale of a significant holding -- see below). 
Your Board therefore recommends that shareholders or prospective 
shareholders keep the Scancell share price under review and consider its 
impact on the Ordinary share NAV per share before taking any action in 
relation to an existing or prospective holding in the Company's Ordinary 
shares. 
 
   Further details in relation to the Ordinary share pool's investment 
portfolio are included in the Investment Manager's Report on pages 28 to 
35. 
 
   Ordinary Shares -- Update and Outlook 
 
   As referred to above, and following recent press coverage, the share 
price of Scancell has risen significantly from 13.5p at 31 December 2020 
and was 24.5p at 19 February 2021. We are pleased that the market is 
recognising the continuing developments at Scancell and have taken the 
opportunity to realise a further modest part of our holding by selling 1 
million shares at 21.7p per Scancell share. Our current holding is 11 
million shares and we continue to believe that there is further upside 
in this holding. 
 
   This increase in the share price has given rise to a significant rise in 
the NAV per Ordinary share. Based on the NAV at 31 December 2020, 
adjusted solely for the uplift in valuation of our Scancell shares , the 
Ordinary share unaudited NAV per share was 44.0p at 19 February 2021. 
 
   The Ordinary share pool retained a cash balance of GBP527k as at 31 
December 2020 in order to make follow-on investments into existing 
Ordinary share portfolio companies where the Board believes this will 
protect the Ordinary share pool's existing investment and/or improve the 
overall prospects of a timely exit from the investee company. This has 
been increased to GBP744k following the recent sale of Scancell shares. 
Despite several of the Ordinary share pool portfolio companies seeking 
further funds during the year, we did not consider the terms attractive 
nor likely to improve the overall prospects for a timely realisation 
from the investee company and therefore no further Ordinary share pool 
investments were made. 
 
   Ordinary shareholders will recall that, following the appointment of 
Seneca as Investment Manager in August 2018, the Ordinary share pool 
incurs no running costs until July 2021. 
 
   Fund Raising 
 
   During the year the Company has allotted 2,701,500 B shares raising 
gross proceeds of GBP2,403k in the process. The current B share Offer 
will remain open until May 2021. 
 
   Annual General Meeting 
 
   The Company's AGM will be held as a closed meeting at 14.00 on Monday, 
29 March 2021 at the Company's registered address 9 The Parks, Haydock, 
WA12 0JQ in accordance with the provisions of the Corporate Insolvency 
and Governance Act 2020. In light of the unprecedented restrictions on 
movement and gatherings due to the C-19 pandemic, shareholders will not 
be permitted to attend this year's AGM and the meeting will take place 
with either two Directors who hold shares in the Company or one Director 
and an investment manager from Seneca Partners, who is also a 
shareholder, present only, to constitute the minimum quorum for the AGM 
to take place under the Company's articles of association and company 
law requirements. Shareholders should note that only the formal business 
set out in the Notice of AGM will be considered at the AGM. 
 
   Although shareholders will not be permitted to attend the AGM this year 
there will be a shareholder update presentation by the Investment 
Manager and a question and answer ("Q&A") session at 10:00 on 8 March 
2021, further details of which are included below and on 
https://senecavct.co.uk/march-2021-shareholder-presentation/. 
 
   Shareholders wishing to vote on any of the matters of business are urged 
to do so through completion of a proxy form appointing the Chairman of 
the AGM, which can be submitted to the Company's Registrar. Proxy forms 
should be completed and returned in accordance with the instructions 
thereon and the latest time for the receipt of proxy forms is 14.00 on 
Saturday, 27 March 2021. Proxy votes can be also be submitted by CREST. 
 
   All resolutions will be decided by a poll and therefore it is essential 
that shareholders wishing to vote submit their proxy forms by 14.00 on 
Saturday, 27 March 2021. 
 
   Shareholders will have the opportunity to ask questions prior to 
submitting their proxy votes at the shareholder update presentation on 8 
March 2021 as detailed below. 
 
   The Board has reviewed my performance and has asked me to continue as 
Chairman. A resolution for my re-election is included in the AGM Notice. 
Resolutions for the re-election of Alex Clarkson, Richard Manley and 
Richard Roth are also included in the AGM Notice. 
 
   The Notice of the AGM includes resolutions empowering the Directors to 
issue further B shares following the date of the AGM, which will 
primarily be used for the issue of B shares under a further Offer which 
we intend to launch for the 2021/2022 tax year. This requires 
authorisation for the Directors to be able to allot up to a further 
35,000,000 B shares. Including these resolutions in the AGM business 
will avoid the Company having to produce and send out a separate 
circular to convene a separate general meeting. 
 
   The Notice of the AGM also includes a resolution to adopt amended 
Articles of Association which are substantially in the same form as the 
Company's current Articles of Association but will allow, inter alia, 
the holding of partially virtual AGMs and to increase the total 
remuneration of the Directors to allow for the recruitment of a new 
non-executive Director. Further details of the differences between the 
two sets of Articles are set out in the Directors' Report on pages 48 to 
49. 
 
   A summary of the resolutions to be proposed by the Company at the AGM is 
included on pages 48 to 49. 
 
   Shareholder Update Presentation 
 
   Due to government restrictions impacting shareholders' ability to attend 
the 2021 AGM as a result of the C-19 pandemic, a virtual shareholder 
update presentation will take place at 10:00 on Monday, 8 March 2021. 
Shareholders can register to attend the presentation by visiting: 
 
   --https://zoom.us/webinar/register/WN_UyGALLGCQCusM0gYuvud0A. 
 
   Further details about the shareholder event can be found on 
https://senecavct.co.uk/march-2021-shareholder-presentation/. 
 
   A Q&A session will take place where shareholders will have the 
opportunity to submit questions directly which we will seek to answer 
during the presentation. Questions can be submitted by emailing them to 
enquiries@senecavct.co.uk 
https://www.globenewswire.com/Tracker?data=gguV8Z2GkYFeSOeY2jAjOS-vx8JD9886O4U7tyg9hcAEqI_WVOudWOtySOdPOwWI_HI1PETCbQr_NsLmbouvY6YeAe_zaJDGomOF8FzKEQ5_8jV4-qXHPZDz2y_koLym 
. Both the questions and answers will be published on the Company's 
website following the presentation. 
 
   VCT Qualifying Status 
 
   Philip Hare & Associates LLP provides the Board with advice on the 
ongoing compliance with HMRC rules and regulations concerning VCTs; they 
have confirmed that the Company remains within all the appropriate VCT 
qualifying regulations as at 31 December 2020. In respect of the 80% 
Qualifying Holdings test, as at the end of December 2020 the percentage 
is 100% by virtue of a disregard of disposal proceeds, of which there 
have been GBP1.1m of relevant share sales (exit proceeds that occurred 
in the prevailing 12-month period are deducted from the total 
investments balance). Note, these exit proceeds are only deducted to the 
point that the test reaches 100% but without these the Company was still 
well above the 80% qualifying requirement. As at 31 December 2020 39% of 
funds raised in the year to 31 December 2019 had been invested in 
qualifying investments for the 30% minimum requirement. 
 
 
 
   Fund Administration 
 
   Our administration is conducted by Seneca at the Company's registered 
address. Neville Registrars Limited ("Neville") continue to maintain the 
shareholder register. All information in respect of both share classes 
including Annual Reports and notices of meetings can be found on our 
website www.senecavct.co.uk. We would remind shareholders who have not 
opted for electronic communications that this is more efficient and 
ecologically friendly than receiving paper copies by post and therefore 
encourage you to contact Neville, whose details are on page 101, to 
advise them of your wish to switch to electronic communication. 
 
   Auditor 
 
   UHY Hacker Young LLP have audited the Company's annual results for the 
year ending 31 December 2020, and shareholders will be asked to 
reappoint them at the AGM for the audit of the accounts for the year 
ending 31 December 2021. 
 
   Future Prospects 
 
   We are pleased that Seneca have continued to develop the portfolio of B 
share pool investee companies during the year. The B share portfolio 
includes a mix of both unquoted and AIM quoted investments and whilst 
progress of these investments to date has been generally positive, the 
Board and Seneca remain acutely aware of the need to continue to work at 
close quarters with all B share portfolio companies as they navigate the 
challenges ahead resulting from the C-19 pandemic. 
 
   We also note that Seneca expect to see an increase in the number of 
businesses seeking investment to support their growth plans over the 
next 12 months as a result of the C-19 pandemic. With over GBP4.5 
million of cash on the B share pool balance sheet at 31 December 2020. 
Seneca believe they are very well placed to continue to support the 
existing B share investment portfolio as well as adding attractive new 
growth capital investments to the B share portfolio from the strong 
pipeline of opportunities presented to them. We therefore look forward 
to the continued development of the B share portfolio in due course. 
 
   Your Board continues to view the future of our Company with confidence. 
 
   John Hustler 
 
   Chairman 
 
   22 February 2021 
 
 
 
   Investment Manager's Report 
 
   We are pleased to set out in this section further details in relation to 
the development of both the B and Ordinary share pools and their 
respective investee companies during 2020. 
 
   The B Share Pool 
 
   Fundraising 
 
   Our second B share offer was concluded in July 2020, bringing total 
funds raised to GBP7.2 million and our fund-raising efforts have since 
continued under our third B share Offer that was launched in October 
2020, with GBP1.5 million being raised under this third Offer as at 31 
December 2020. We were encouraged by the funds raised in the two months 
immediately following launch and remain focused on increasing the size 
of the B share pool, which will in turn allow us to increase the number 
and diversity of new investments that we make. 
 
   Performance and Dividends 
 
   Despite the unprecedented economic climate and general turmoil of 
financial markets occasioned by the C-19 pandemic, we are pleased with 
the development of the B share portfolio, with six additional 
investments being made in the year. We are also pleased to report an 
increase in the NAV Total Return per B share, from 96.1p at 31 December 
2019 to 97.8p as at 31 December 2020. 
 
   This increase in NAV Total Return per B share was the result of a slight 
reduction in the B share NAV as at 31 December 2020 (which fell to 91.8p 
per B share (2019: 93.1p)) which was more than explained by the payment 
of two B share dividends totalling 3.0p during the year. 
 
   These two B share dividends paid during the year were in line with the 
Company's ambition to continue to pay dividends on the B shares and it 
should be noted that the Company has sufficient distributable reserves 
to enable the continued declaration of B share dividends over the medium 
term subject to Board approval, the B share pool investment pipeline and 
liquidity levels. 
 
   AIM Quoted Investments 
 
   With the AIM market demonstrating a heightened level of volatility 
during the year as a result of the impact of C-19, we took the 
opportunity to realise just over half of the B share pool's shareholding 
in OptiBiotix plc ("OptiBiotix") (an investment made during the year), 
selling 400,000 shares and realising a gain of GBP92k on the disposal 
(1.6x cash return in just 2 months following the original investment). 
We also sold our full holding in Genedrive (another investment made in 
the year) which is the B share pool's first full exit and generated a 
profit of GBP136k versus original cost (2.1x cash return). 
 
   We were also encouraged that the during the year we saw an increase in 
the bid price of the two largest B share pool AIM quoted investments: 
the SkinBio share price increased to 22.0p as at 31 December 2020 (a 57% 
increase from 14p as at 31 December 2019) and the OptiBiotix share price 
increased to 57.0p as at 31 December 2020 (a 42.5% increase from the 
cost price of 40p per share). 
 
   Co-investing With Seneca EIS Funds 
 
   More generally we continue to develop Seneca's position in the market as 
an active growth capital investor and as at 31 December 2020, we have 
raised and deployed c.GBP100 million of EIS and VCT investment funds 
into over 50 SME companies, through over 100 funding rounds, since we 
undertook our first EIS investment in 2012. This includes GBP8.7 million 
raised to date by the B share pool. 
 
   The ten investments in the B share portfolio had a value of GBP3,982k as 
at 31 December 2020 and are co-investments with EIS funds also managed 
by Seneca. We believe that the opportunity for the Company's B share 
pool to co-invest with EIS funds that are also managed by Seneca 
provides the B share pool with a number of advantages including being 
able to participate in a higher number of investments, of a larger scale, 
into more established businesses than would be possible for the B share 
pool on a standalone basis. 
 
 
 
   Further, as a result of our position in the UK market as an active 
growth capital investor we maintain a strong pipeline of investment 
opportunities, particularly in the North of England, with a focus on 
well managed businesses with strong leadership teams that can 
demonstrate established and proven concepts in addition to growth 
potential. We aim to invest in both unquoted and AIM quoted companies 
and are pleased to have completed three additional AIM quoted 
investments in the year. 
 
   Investee Company Updates 
 
   We are very happy with the development of the B share investment 
portfolio. As noted above, we are delighted to have been able to include 
some AIM quoted investments in these early investments and are also very 
happy that by 31 December 2020 we had already been able to exit some of 
these at a profit so early in the development of those businesses (1 
full exit and 2 partial exits). These early profits have supported the 
performance of the B share pool NAV at the same time as we continue to 
develop the unquoted company investment portfolio. 
 
   We are excited about the potential that lies with the B share investment 
portfolio and have included updates in relation to all of the B share 
pool investee companies later in this Investment Manager's Report but 
wanted to highlight in particular the progress being made by B share 
pool investee companies SilkFred Limited ("SilkFred") and SkinBio below 
and also comment on the reduction in fair value introduced against the 
carrying value of Qudini. 
 
   SilkFred 
 
   SilkFred is an online marketplace which specialises in independent 
ladies' fashion brands. The B share pool invested GBP500k in SilkFred in 
December 2018 and the business made strong progress throughout the first 
year of our investment building a strong reputation and brand in the 
"event driven" fashion space. 
 
   As you would expect however, this left the business exposed to the 
impact of the C-19 pandemic in 2020 which brought about a fall in sales 
levels as a result of the reduction in the number of celebrations and 
events which previously drove the company's growth. 
 
   Notwithstanding this, SilkFred's recovery from the UK's first lockdown 
was swift and Gross Marketplace Value (total sales value sold through 
the SilkFred platform) during the summer months of 2020 actually 
exceeded that of 2019. The business traded well for the rest of the year, 
remaining profitable throughout, buoyed by the loyalty shown by the 
customer base. The management team continue to view their market 
position positively and are looking to the future with confidence, 
particularly in anticipation of the return of their core markets as the 
UK emerges from lockdown. We too, are excited about SilkFred's future. 
 
 
   SkinBio 
 
   SkinBio is an AIM quoted life science company focused on skin health and 
the B share pool invested GBP750k in February 2019 at 16p per share. The 
business made excellent progress during 2020 including raising cGBP4.45m 
of funds from new and existing investors, successfully accelerating the 
project timeline for its food supplement programme and gaining 
commercial interest for its MediBiotix(TM) and CleanBiotix(TM) 
programmes. The SkinBio share price closed on 31 December 2020 at 22p 
per share. 
 
   Having initially invested in SkinBio in February 2019, we sold 175,000 
shares in early June 2019 at a profit of c1.5x original cost reducing 
the remaining holding to 4,502,107 shares. We did not sell any shares in 
2020; however following the 31 December 2020 year end, the positive 
progress being made by SkinBio translated into further increases in the 
share price and we are pleased to report that we have taken the 
opportunity to take some profit from this investment. We sold 1,750,000 
shares in January 2021 (37% of the B share pool's original holding of 
4,677,107 shares) reducing the remaining holding to 2,752,107 shares. 
These were sold at a net average price of 35.5p per share providing a 
return in the region of 2.2x on original cost. 
 
   The business is well funded, is targeting a valuable market with unmet 
cosmetic and clinical needs and we remain confident of SkinBio's 
long-term prospects of success. 
 
   Qudini 
 
   Qudini is a UK based market leading provider of queue management 
software for enterprise brands. It generates the vast majority of its 
revenue from bricks and mortar retailers. Given the level of uncertainty 
caused in this core market by C-19, we took the prudent decision to 
reduce the carrying value of the B share pool's investment in Qudini by 
40% as at 30 June 2020. Whilst there has been some improvement in the 
trading performance of Qudini in H2 2020, some uncertainty remains over 
the future of its core bricks and mortar retail market. Therefore, we 
have maintained the 40% reduction in fair value and this investment was 
held at 60% of cost as at 31 December 2020. 
 
   Investments made after the Year End and outlook 
 
   Following the year end we also completed an additional unquoted company 
investment into Solascure Ltd ("Solascure") for GBP500k. Solascure is an 
early stage wound care specialist which was originally spun out of (and 
continues to work alongside) world leading German biotech company BRAIN 
engaged in the development of a new-to-market wound care product. 
Solascure is also backed by strategic investor Eva Pharma and the 
business will commence their first clinical trial in 2021. Solascure's 
Aurase product is a gel-based product that efficiently and gently cleans 
wounds, making the healing process much more straightforward. 
 
   We look forward to continuing to increase the funds raised for the B 
share pool under the current Offer and with several new investment 
opportunities in the later stages of due diligence, we expect to add to 
the portfolio of B share investee companies in the coming months. 
 
 
 
   Investment Portfolio -- B shares 
 
 
 
 
                                                                                    Movement 
                                                                     Carrying      in the year 
                                                                      value at         to 
                       Equity                        Unrealised     31 December    31 December 
                         held       Investment      profit/(loss)       2020          2020 
Unquoted Investments      %       at cost GBP'000      GBP'000        GBP'000        GBP'000 
Fabacus Holdings 
 Limited                    2.0               500              63            563             - 
--------------------  ---------  ----------------  --------------  -------------  ------------ 
Silkfred Limited           <1.0               500               -            500             - 
Old St Labs Limited         3.8               500               -            500             - 
Ten80 Ltd                   7.5               400               -            400             - 
Qudini Limited              2.4               500           (200)            300         (200) 
Bright Network Ltd          1.7               234               -            234             - 
ADC Biotechnology 
 Ltd                       <1.0               150               -            150             - 
Total unquoted 
 investments                                2,784           (137)          2,647         (200) 
 
                                                                                      Movement 
                                                                                   in the year 
                                                                        Carrying            to 
                                                       Unrealised       value at   31 December 
                         Shares        Investment   profit/(loss)    31 December          2020 
Quoted Investments         held   at cost GBP'000         GBP'000   2020 GBP'000       GBP'000 
SkinBioTherapeutics 
 Plc                  4,502,107               720             270            990           360 
OptiBiotix plc          350,000               140              60            200            60 
Abingdon Health plc     156,250               150             (5)            145           (5) 
Total quoted 
 investments                                1,010             325          1,335           415 
Total investments                           3,794             188          3,982           215 
 
 
 
 
 
 
 
 
                          No. of   Investment    Sale      Realised 
Exits for    Investment   Shares    at cost    Proceeds  profit/(loss)    Exit 
the period   Date          sold     GBP'000    GBP'000      GBP'000     Multiple 
OptiBiotix 
 Health 
 Plc(*)       April 2020  400,000         160       252             92       1.6 
-----------  -----------  -------  ----------  --------  -------------  -------- 
Genedrive 
 Plc            May 2020  157,437         126       262            136       2.1 
Total                                     286       514            228       1.8 
 
 
   (*) Partial exit 
 
   B Share Pool -- Investment Portfolio -- Top Six Unquoted Investments by 
value as at 31 December 2020 
 
   1.         Fabacus Holdings Limited 
 
 
 
 
                                    Fabacus is an independent software company 
                                     that has developed a complete product 
                                     lifecycle solution: Xelacore, aimed at 
                                     bringing transparency to supply chain 
                                     networks, with an initial focus on resolving 
                                     the interaction and information flow between 
                                     global licensors and their licensees. 
                                     Currently, there is a fundamentally flawed 
                                     data capture process between licensors 
                                     and licensees; and a disconnection from 
                                     the framework of retail standards that 
                                     have underpinned and continue to enable 
                                     the retail value chain. This has resulted 
                                     in an inability to correctly address known 
                                     shortcomings in respect to data management 
                                     and hinder the needed digital transformation 
                                     of licensors in the digitally evolving 
                                     retail landscape. 
                                     Fabacus's solution, Xelacore, is a modular, 
                                     Software as a Service solution with an 
                                     intuitive interface and proprietary data 
                                     aggregation and management engine that 
                                     allows all stakeholders to operate on 
                                     a single unified and collaborative platform. 
                                     It bridges the gaps in an inefficient 
                                     process within the current retail ecosystem 
                                     by creating authenticated, enriched universal 
                                     records that unlock opportunities, reduce 
                                     risk and drive performance for both licensors 
                                     and licensees. 
                                     Progress made by the company in 2020 includes: 
                                     --Continuing to make excellent progress 
                                     with a number of customers, most notably 
                                     through its promising relationship with 
                                     Amazon. 
                                     --Onboarding fee-paying licensees to their 
                                     market leading data platform and starting 
                                     to generate revenue from their relationship 
                                     with IMG (#1 global licensing agency). 
                                     --Successfully raising c.GBP1m to fund 
                                     the working capital requirements of the 
                                     company and to onboard the growing customer 
                                     pipeline. 
                                     --Collaborating with Amazon to provide 
                                     a version of the company's technology 
                                     which has the ability to identify and 
                                     remove any counterfeit products from online 
                                     marketplaces. In turn this has driven 
                                     a significant increase in interest in 
                                     and demand for Fabacus' platform and ancillary 
                                     services which has translated into increased 
Initial investment                   commercial activity and revenue in recent 
 date:               February 2019   months. 
                                    ----------------------------------------------- 
Cost:                 GBP500,000 
                                    ----------------------------------------------- 
Valuation:            GBP563,000 
Equity held:                  2.0% 
Last statutory       31 August 
 accounts:           2019 
Turnover:            Not disclosed 
Loss before tax:     Not disclosed 
Net assets:          GBP7.6 
                     million 
Valuation method:    Price of last 
                      fundraise 
                     -------------  ----------------------------------------------- 
 
 
   2.       SilkFred Limited 
 
 
 
 
Initial investment  December 2018          SilkFred is an online marketplace for 
 date:                                      independent ladies' fashion brands. The 
                                            business was founded in 2011 with the 
                                            aim of creating an efficient marketplace 
                                            for emerging fashion designers to bring 
                                            products to market and establish their 
                                            brand in the sector. The business now 
                                            works with c.600 independent brands, selling 
                                            to over 500k customers. 
                                            SilkFred acts as a central marketing and 
                                            sales platform for these brands, charging 
                                            commission in exchange for these services, 
                                            and as a result the business itself takes 
                                            minimal inventory / working capital risk 
                                            on new brands, lines or products. 
                                            The business model revolves around a market 
                                            leading and scalable customer service 
                                            platform, and as such SilkFred are continually 
                                            investing in core infrastructure and constantly 
                                            seeking innovative methods to enhance 
                                            the customer experience. 
                                            Progress made by the company in 2020 includes: 
 
                                            --    Bouncing back extremely well from the impact of the 
                                                  first C-19 lockdown which saw the company's primary 
                                                  market of event driven fashion being adversely 
                                                  impacted by the C-19 pandemic. Product mix has 
                                                  changed dramatically in the short term, meaning 
                                                  SilkFred is well positioned for future growth with a 
                                                  more diverse customer base and impacted less by 
                                                  seasonal trends. 
 
                                            --    Continued expansion of SilkFred's international 
                                                  presence. It is clear that the international 
                                                  potential of the brand is a key driver of value in 
                                                  the business and it is therefore encouraging to see 
                                                  international sales growing by more than 60% in 2020. 
 
                                            --    Despite the C-19 impact being felt to some extent 
                                                  throughout 2020, SilkFred saw continued growth in its 
                                                  portfolio of brands, increasing to more than 900 and 
                                                  once again selling over 1m units for the year. The 
                                                  company also saw continued improvement in its key 
                                                  performance metrics with average order value, orders 
                                                  to repeat customers and return on marketing spend all 
                                                  increasing during the year. 
                                           ------------------------------------------------------------ 
Cost:               GBP500,000 
                                           ------------------------------------------------------------ 
Valuation:          GBP500,000 
Equity held:        <1% 
Last statutory      31 December 
 accounts:           2019 
Turnover:           GBP20 million 
Loss before tax:    GBP3.1 million 
Net assets:         GBP4.4 million 
Valuation method:   Cost and price 
                     of recent investment 
                     (reviewed for 
                     any fair value 
                     adjustment) 
                    ---------------------  ------------------------------------------------------------ 
 
 
   3.       Old St Labs Limited 
 
 
 
 
                                            Old St Labs is a provider of cloud based, 
                                             supplier collaboration tools for large, 
                                             blue chip customers, enabling them to 
                                             manage key supplier relationships and 
                                             strategic project work. The core product, 
                                             Vizibl, seeks to make supplier collaboration 
                                             much more straight forward, with key focus 
                                             on compliance, savings / efficiency and 
                                             driving growth across the business. 
                                             Vizibl is the only SaaS workspace that 
                                             supports collaborative supplier relationships, 
                                             bringing all points of contact together 
                                             in one place, providing visibility across 
                                             the company and eliminating duplication 
                                             of efforts. Vizibl's real-time reporting 
                                             speeds up decision making, drawing on 
                                             and sharing the expertise of the community 
                                             in the process. The offering taps into 
                                             a growing trend in supplier collaboration, 
                                             having moved on from the initial focus 
                                             on compliance, to an increased emphasis 
                                             on savings / efficiency, and recent developments 
                                             highlighting the benefits in terms of 
                                             wider growth strategy for large customers. 
                                             Vizibl provides the infrastructure, governance 
                                             and reporting capabilities to optimise 
                                             present supplier performance and acts 
                                             as a springboard for those collaborative 
                                             supplier relationships. The product is 
                                             CRM / ERP agnostic, working alongside 
                                             all major software providers to ensure 
                                             the collaboration software is insightful 
                                             and informative. 
                                             Progress made by the company in 2020 includes: 
 
                                             --    Engaging with global leaders across a wide range of 
                                                   sectors with keeping annual recurring revenue 
                                                   consistent at just over GBP1m. In what was initially 
                                                   a slow period for the business with large corporate 
                                                   customers slowing down decision making and pausing 
                                                   project spend upon the onset of C-19, Old St Labs 
                                                   have worked closely with existing customers and have 
                                                   returned to growth in the second half of the year 
                                                   with multiple impressive customer wins. 
 
                                             --    Continuing to expand the Vizibl platform and 
                                                   enhancing its capabilities and usability. In the 
                                                   current year, in response to the global pandemic, the 
                                                   team have pushed more of a sustainability angle into 
                                                   the platform, adding features and enhancements to 
                                                   assist both new and existing customers with ensuring 
                                                   that their projects and organisations remain 
                                                   resilient. 
 
                                             --    Building on an already impressive customer base by 
                                                   onboarding Unilever and Sanofi. Not only do these 
                                                   types of customers improve the financial profile of 
                                                   the business, but they also further validate the 
                                                   proposition and serve to demonstrate the viability of 
                                                   the Vizibl platform across a wider range of sectors. 
 
                                             --    Securing a GBP2.5m funding from the UK 
Initial investment                                 Government-backed Future Fund, providing sufficient 
 date:                    March 2019               headroom to progress through to profitability. 
                                            ------------------------------------------------------------ 
Cost:                     GBP500,000 
                                            ------------------------------------------------------------ 
Valuation:                GBP500,000 
Equity held:                          3.8% 
Last statutory       31 March 2020 
 accounts: 
Turnover:            Not disclosed 
Loss before tax:     Not disclosed 
Net assets:          GBP260,000 
Valuation method:    Cost and price 
                      of recent investment 
                      (reviewed for 
                      any fair value 
                      adjustment) 
                     ---------------------  ------------------------------------------------------------ 
 
 
   4.       Ten80 Group Limited 
 
 
 
 
                                         Based in Hammersmith, Ten80 Group Limited 
                                          ("Ten80") was established in early 2019. 
                                          The company is a SAP focussed on-demand 
                                          outcome-based delivery solution. SAP is 
                                          best known for producing enterprise resource 
                                          planning software which allows organisations 
                                          to manage business operations across procurement, 
                                          manufacturing, service, sales, finance, 
                                          and HR. 
                                          Ten80's aim is to connect every SAP customer 
                                          with every SAP consultant globally, delivering 
                                          outcome-based projects rather than time-driven 
                                          costs through the contractor or freelancer 
                                          marketplace. 
                                          The SAP global consultancy market is estimated 
                                          to be worth in excess of GBP300bn. 
                                          Progress since our investment: 
                                          --    Securing its first paying customers, providing 
                                                further validation that the proposition is of value 
                                                to large corporations with significant IT project 
                                                spend. Whilst the global pandemic has slowed down 
                                                large enterprise decision making, it has also 
                                                fast-tracked the shift to remote working and flexible 
                                                resource, something which plays into the hands of the 
                                                Ten80 proposition. 
 
                                          --    Successfully adding the required skills to the team 
                                                scaling it from 5 people at the time of investment to 
                                                19 at present. This has added valuable resource 
                                                across the business, with key focus on the 
                                                development team, sales personnel and customer 
                                                success roles. 
 
                                          --    Further, in January 2021 the business secured a GBP1m 
                                                funding round under the UK Government-backed Future 
                                                Fund. This will in turn provide the business with 
                                                additional cash headroom as they focus on converting 
                                                an exciting customer pipeline and expanding the 
Initial investment                              customer base, as well as ramping up usage of the 
 date:                   March 2020             Ten80 platform within existing customers. 
                                         ------------------------------------------------------------ 
Cost:                    GBP400,000 
                                         ------------------------------------------------------------ 
Valuation:               GBP400,000 
Equity held:                       7.5% 
Last statutory       31 December 
 accounts:            2019 
Turnover:            Not disclosed 
Loss before tax:     Not disclosed 
Net assets:          GBP30,000 
Valuation method:    At cost (reviewed 
                      for any fair 
                      value adjustment) 
                     ------------------  ------------------------------------------------------------ 
 
 
   5.       Qudini Limited 
 
 
 
 
                                            Founded in 2012, Qudini is a B2B software 
                                             company that provides customer experience 
                                             SaaS solutions to organisations in retail, 
                                             hospitality, the public sector and healthcare. 
                                             Qudini provides a software solution for 
                                             appointment bookings, queue management, 
                                             event management and task management -- 
                                             enabling businesses to improve shop floor 
                                             operations by managing staff activity, 
                                             breaks and performance, and by assigning 
                                             tasks at store or head office level. 
                                             Qudini is aiming to revolutionise digital 
                                             queue and appointment management. It achieves 
                                             this through deployment of its data-centric, 
                                             cloud-based (Amazon Web Services), cross-platform 
                                             service, which improves a business' ability 
                                             to manage the flow of customers awaiting 
                                             service, using algorithms to provide accurate, 
                                             live data, such as estimated wait times. 
                                             Through integration with various software 
                                             platforms and compatible with wide variety 
                                             of hardware, Qudini enables detailed analytics 
                                             focused on customer trends, and provides 
                                             a unique insight into areas such as customer 
                                             footfall, peak demand times, and wait 
                                             times. 
                                             2020 update: 
 
                                             --    Given that the company's main source of income is 
                                                   through the provision of queuing technology for 
                                                   bricks and mortar retailers, the effect of C-19 
                                                   during the first UK lockdown was expected to be 
                                                   significant. As such, the company took the 
                                                   opportunity to restructure its cost base and reduce 
                                                   FTE's by c.50% to 19 and put a stop to any 
                                                   unnecessary spend in order to preserve cash. 
                                                   Consequently, we applied a 40% reduction in fair 
                                                   value (in March 2020) against the carrying value of 
                                                   the B share pool's investment in Qudini to reflect 
                                                   this uncertainty and have maintained this at 31 
                                                   December 2020. 
 
                                             --    Although a level of uncertainty remains given the 
                                                   company's retail market exposure, the outlook has 
                                                   improved somewhat given the increasing demand for 
                                                   queuing/customer management technologies as retailers 
                                                   look to re-open and trade safely. 
 
                                             --    Whilst the environment for new business during the 
                                                   first lockdown had not been ideal, Qudini now has a 
                                                   short window of opportunity to continue to gain 
                                                   market share in H1 2021. 
 
                                             --    The demand noted above has driven an increase in 
                                                   Annual Recurring Revenue ("ARR") as at December 2020 
                                                   to c.GBP2.5m (December 2019: GBP1.8m); however, it 
                                                   will be a key focus of the management team over the 
                                                   next 12 months to upsell Qudini's other services in 
                                                   order to help retain the company's new customers 
Initial investment                                 post-covid and transition those new customers on to 
 date:                    April 2019               longer term contracts. 
                                            ------------------------------------------------------------ 
Cost:                     GBP500,000 
                                            ------------------------------------------------------------ 
Valuation:                GBP300,000 
Equity held:                          2.4% 
Last statutory       31 December 
 accounts:            2019 
Turnover:            Not disclosed 
Loss before tax:     Not disclosed 
Net assets:          GBP3.1 million 
Valuation method:    At cost, less 
                      a 40% reduction 
                      in fair value 
                      to reflect potential 
                      impact of C-19 
                      on the company's 
                      core UK markets 
                     ---------------------  ------------------------------------------------------------ 
 
 
   6.     Bright Network (UK) Limited 
 
 
 
 
                                         Bright Network (UK) Limited ("Bright") 
                                          is a Human Resources technology platform 
                                          designed to enable leading employers to 
                                          reach, identify and recruit high quality 
                                          graduates and young professionals. At 
                                          the time of our investment, the platform 
                                          supported a network of over 255,000 high 
                                          calibre candidates and has 300+ leading 
                                          employers within its customer base, including 
                                          multiple high-quality blue-chip clients. 
                                          These employers utilise Bright's services 
                                          to fill annual intern and graduate recruitment 
                                          scheme places, as well as any bespoke 
                                          recruitment requirements. 
                                          Data analytics and machine learning is 
                                          utilised to support and continuously improve 
                                          identification of the best-suited talent 
                                          to each employer. Bright provides a free 
                                          service to undergraduates, personalising 
                                          careers advice and job matches to support 
                                          their career journey. The database is 
                                          therefore a growing data-rich asset, processing 
                                          30 million pieces of data on a new generation 
                                          of young professionals. 
                                          In March 2020, the VCT invested GBP234,000, 
                                          as part of a larger GBP3.5m fundraise 
                                          to allow the company to increase the size 
                                          of its digital and talent solutions' sales 
                                          and marketing resources, together with 
                                          improvements to the technical platform 
                                          to drive additional service revenues. 
                                          Progress since our investment: 
                                          --Limiting the potential impact of C-19 
                                          by cutting its cost base and through the 
                                          launch of online internships which were 
                                          extremely well received over the summer. 
                                          This has resulted in an increase in registered 
                                          users to over 350,000. 
                                          --Trading ahead of expectations. Due to 
                                          the pandemic the sales season (which typically 
                                          ends at the end of August) has been extended, 
                                          and the company continues to be on track 
                                          to surpass the GBP2.5M revenue target 
                                          for the financial year ending 31 March 
                                          2021 (FY21). 
                                          --Delivering strong top line performance 
                                          coupled with tight cost control has resulted 
                                          in the company outperforming FY21 planned 
                                          gross profit and EBITDA. 
                                          --Delivering an improved cash position 
                                          which is GBP900k ahead of budget. This 
                                          outperformance alongside business agility 
                                          puts the company in a strong position 
                                          as the UK recovers from the C-19 pandemic. 
                                          However, whilst more macro-economic uncertainty 
Initial investment                        remains, this investment will continue 
 date:                   March 2020       to be held at cost. 
                                         ------------------------------------------------ 
Cost:                    GBP234,000 
                                         ------------------------------------------------ 
Valuation:               GBP234,000 
Equity held:                       1.7% 
Last statutory       31 March 2020 
 accounts: 
Turnover:            Not disclosed 
Loss before tax:     Not disclosed 
Net assets:          GBP4.9 million 
Valuation method:    At cost (reviewed 
                      for any fair 
                      value adjustment) 
                     ------------------  ------------------------------------------------ 
 
 
   B Share Pool - Investment Portfolio -- AIM Quoted Investments as at 31 
December 2020 
 
   1.       SkinBioTherapeutics Plc 
 
 
 
 
                                       SkinBioTherapeutics is a life science 
                                        company focused on skin health. The company's 
                                        proprietary platform technology, SkinBiotix(TM) 
                                        , is based upon discoveries made by Dr. 
                                        Cath O'Neill and Professor Andrew McBain. 
                                        SkinBioTherapeutics' platform applies 
                                        research discoveries made on the activities 
                                        of lysates derived from probiotic bacteria 
                                        when applied to the skin. The company 
                                        has shown that the SkinBiotix(TM) platform 
                                        can improve the barrier effect of skin 
                                        models, protect skin models from infection 
                                        and repair skin models. Proof of principle 
                                        studies have shown that the SkinBiotix(TM) 
                                        platform has beneficial attributes applicable 
                                        to each of these areas. 
                                        The aim of the company is to develop its 
                                        SkinBiotix(TM) technology into commercially 
                                        successful products supported by a strong 
                                        scientific evidence base. SkinBioTherapeutics' 
                                        commercial strategy is to engage health 
                                        and wellbeing and/or pharmaceutical companies 
                                        in early dialogue to build up relationships 
                                        and maintain communication on technical 
                                        progress until one or more commercial 
                                        deals can be secured. 
                                        Progress made by the company in 2020 includes: 
 
                                        --    Announcing a 3 year agreement with Winclove to focus 
                                              on the development of a blend of probiotic bacteria 
                                              which have been identified as having a positive 
                                              impact on the psoriasis disease pathway. Under the 
                                              agreement, SkinBio will identify the specific 
                                              probiotic strains which Winclove will formulate and 
                                              manufacture into a consumable product to be branded 
                                              AxisBiotix. Later in the year the company announced 
                                              that Winclove had been able to successfully combine 
                                              and formulate the blend as a probiotic food 
                                              supplement, to be known as AxisBiotix Ps, several 
                                              months ahead of schedule. A study is due to commence 
                                              in February 2021. 
 
                                        --    Announcing in July 2020 that the SkinBiotix cosmetic 
                                              programme had achieved a number of key scientific 
                                              milestones with its partner Croda. Croda has 
                                              successfully replicated the lysate manufacturing 
                                              process and achieved the same performance from the 
                                              SkinBiotixTM technology as established by the 
                                              company. Croda is now working to validate scale up of 
                                              the manufacturing process at different volume levels. 
                                              The project is progressing in line with the original 
                                              plan and has not been adversely impacted by C-19. 
 
                                        --    Continued progress with live opportunities across its 
                                              MediBiotix, CleanBiotix and PharmaBiotix divisions, 
                                              including the development of eczema treatments as 
                                              well as additional opportunities designed to reduce 
                                              hospital acquired infections. 
 
                                        --    Completion of a GBP4.5m funding round in October 
                                              2020, providing the business with sufficient cash 
                                              headroom to progress with its exciting pipeline of 
                                              commercial opportunities, as well as continuing with 
Initial investment                            the development of a number of early stage, 
 date:                 February 2019          pre-clinical opportunities. 
                                       ------------------------------------------------------------ 
Cost (of the 
 portion of the 
 original investment 
 still held as 
 at 31 December 
 2020):                  GBP720,000 
                                       ------------------------------------------------------------ 
Valuation:               GBP990,000 
Equity held:                     2.9% 
Last statutory         30 June 2020 
 accounts: 
Turnover:              GBPnil 
Loss before tax:       GBP1.6 million 
Net assets:            GBP2.5 million 
Valuation method:      Bid price of 
                        22p per share 
                       --------------  ------------------------------------------------------------ 
 
 
   2.       OptiBiotix Health Plc 
 
 
 
 
Initial investment    April 2020      OptiBiotix Health PLC is a Life Sciences 
 date:                                 business operating in one of the most 
                                       progressive areas of biotechnological 
                                       research, developing technologies that 
                                       modulate the human microbiome -- the collective 
                                       genome of the microbes in the body. The 
                                       business identifies and develops microbial 
                                       strains, compounds and formulations for 
                                       use in food ingredients, supplements and 
                                       active compounds that can impact on human 
                                       physiology, deriving potential health 
                                       benefits. 
                                       With an established pipeline of microbiome 
                                       modulators, the OptiBiotix team works 
                                       today in the prevention and management 
                                       of chronic lifestyle diseases including 
                                       obesity, hypercholesterolemia and lipid 
                                       profiles, and diabetes. 
                                       To date, the company has signed in excess 
                                       of 50 commercial deals globally to supply 
                                       or licence its suite of products/supplements 
                                       to manufacturers and retailers and has 
                                       launched a number of its own brand products. 
                                       The VCT invested GBP300,000 into a GBP1m 
                                       fundraise in April 2020, with funds being 
                                       used to launch its award-winning products 
                                       across Asia and the US, through partners 
                                       who have an international reputation and 
                                       significant retail network, as well as 
                                       further expanding the portfolio of products. 
                                       Between investment and 31 December 2020 
                                       53% of the shares originally acquired 
                                       have been realised at a 60% profit. 
                                       Progress since our investment: 
                                       --Announcing positive half year results 
                                       for the 6 month period to 30 June 2020 
                                       including: 
                                       o H1 revenue growth of GBP745k. 
                                       o a 5x increase in revenues from H1 2019. 
                                       o a 15.5% reduction in other administration 
                                       costs. 
                                       a 50% reduction in loss compared to the 
                                       same period in the prior year. 
                                       The company is now at a commercial turning 
                                       point with the business model now proven 
                                       through growing sales from proven products, 
                                       established partners in multiple international 
                                       territories, and reduced administration 
                                       and R&D costs. We believe the company 
                                       is therefore well placed to attack the 
                                       various attractive markets in which they 
                                       are gaining traction. 
                                       Optibiotix's first generation products, 
                                       SlimBiome(TM) , and LPLDL(TM) , are now 
                                       established scientifically, clinically, 
                                       and commercially with products being sold 
                                       in over 120 countries around the world 
                                       and a growing brand presence. 
                                       As sales and profitability in first generation 
                                       products continues to improve, there is 
                                       an expectation this should enhance the 
                                       company's reach into new application areas 
                                       and territories, and commercialise next 
                                       generation products -- all of which have 
                                       the ability to further enhance the scale 
                                       and growth prospects of the company. 
                                      ------------------------------------------------ 
Cost (of the          GBP140,000 
 portion of the 
 original investment 
 still held as 
 at 31 December 
 2020): 
                                      ------------------------------------------------ 
Valuation:            GBP200,000 
Equity held:          <1.0% 
Last statutory        31 December 
 accounts:             2019 
Turnover:             GBP745,000 
Loss before tax:      GBP2.2 million 
Net assets:           GBP5.2 million 
Valuation method:     Bid price of 
                       57p per share 
                      --------------  ------------------------------------------------ 
 
 
   3.       Abingdon Health plc 
 
 
 
 
Initial investment  December 2020   Abingdon Health is a specialist outsourced 
 date:                               Contract Development and Manufacturing 
                                     Organisation (CDMO) providing a full suite 
                                     of services to the lateral flow diagnostic 
                                     market. It is the lead member of the UK's 
                                     Rapid Test Consortium (UK-RTC) for a point-of-need 
                                     C-19 antibody test (AbC-19) and is investing 
                                     in automated manufacturing to significantly 
                                     increase capacity and attract new customers 
                                     across a range of sectors. 
                                     As the lead member of UK-RTC, the company 
                                     co-ordinated a consortium of four companies 
                                     (including former Ordinary share portfolio 
                                     company Omega) and, in under four months, 
                                     successfully developed and validated a 
                                     rapid lateral flow test ("AbC-19") for 
                                     detecting SARS-CoV-2 IgG antibodies. The 
                                     UK Government has ordered the first 1m 
                                     devices and provided funding for the components 
                                     for a further 9m to be delivered in the 
                                     coming months. There is a mechanism by 
                                     which Abingdon Health can sell any excess 
                                     supply externally and it has already had 
                                     significant interest from a number of 
                                     third parties. It is also working with 
                                     a number of partners on rapid antigen 
                                     tests, leveraging its key lateral flow 
                                     competencies and offering broad exposure 
                                     in C-19 diagnostics. The pandemic has 
                                     driven a material step change in demand 
                                     for lateral flow tests generally and has 
                                     catalysed a number of other C-19 and non-C-19 
                                     contract development and manufacturing 
                                     opportunities. 
                                     Abingdon Health has established relationships 
                                     with blue chip partners and a strong pipeline 
                                     of potential new business, including a 
                                     number of signed and qualified opportunities. 
                                     It also has an innovative and proprietary 
                                     mHealth solution, AppDx, a customisable 
                                     smartphone reader that is capable of quantitative 
                                     analysis of lateral flow tests and the 
                                     transfer of real-time data. 
                                     The investment was completed just before 
                                     the end of the financial year, so there 
                                     is no further progress to report from 
                                     2020. 
                                    --------------------------------------------------- 
Cost:               GBP150,000 
                                    --------------------------------------------------- 
Valuation:          GBP145,000 
Equity held:        <1.0% 
Last statutory      30 June 2019 
 accounts: 
Turnover:           GBP2.3 million 
Loss before tax:    GBP1.5 million 
Net assets:         GBP6.2 million 
Valuation method:   Bid price of 
                     93p per share 
                    --------------  --------------------------------------------------- 
 
 
   B Share Pool -- Investment Portfolio -- Post-balance sheet Investments 
as at 22 February 2021 
 
   1.       Solascure Ltd 
 
 
 
 
                                 Solascure is an early stage wound care 
                                  specialist, originally spun out of and 
                                  working alongside BRAIN (world leading 
                                  German biotech company), to develop a 
                                  new-to-market wound care product. In 2019, 
                                  the company deconsolidated from BRAIN 
                                  and brought in additional strategic investment 
                                  from Eva Pharma (c.GBP2m) and is now set 
                                  to commence clinical trials of its wound 
                                  care product Aurase. Solscure's Aurase 
                                  is a gel-based product that efficiently 
                                  and gently cleans wounds, making the healing 
                                  process much more straightforward. Pre-clinical 
                                  work has been extremely positive and the 
                                  clinical trial planning process is now 
                                  well progressed. 
                                  Chronic wounds are a growing global problem, 
                                  and alternative methods of treatment for 
                                  hard to heal wounds are extremely expensive, 
                                  impractical and slow. Solascure's proprietary 
                                  technology utilises the key mechanism 
                                  of maggot debridement without the cost 
                                  or labour input of live maggots. In simple 
                                  terms, it uses maggot elements to facilitate 
                                  and promote the body's own wound cleansing 
                                  processes. Core benefits of the product 
                                  are the clear practical elements, as well 
                                  as the reduced time scale to full debridement 
                                  without delaying wound healing. 
                                  SolasCure have an approved protocol for 
                                  a clinical study in order to reach market 
                                  authorisation, which is anticipated to 
                                  commence in early 2021 (with phase 1 anticipated 
                                  to conclude by the end of the year). Crucially, 
                                  the product permits the use of the main 
                                  maggot-derived wound debriding enzyme 
                                  without the cost or labour input involved 
                                  with the use of live maggots, but also 
                                  augments and synergises the body's own 
                                  wound cleansing processes. The product 
                                  is expected to demonstrate 3 key benefits: 
                                  1) Speci c swift destabilisation of brin 
                                  debris; 2) No irritation or damage to 
                                  healthy tissue; 3) Reducing the time to 
                                  full debridement without delaying wound 
                                  healing. 
                                  In January 2021, the VCT invested GBP500,000, 
                                  alongside GBP733,000 of Seneca EIS funds 
                                  as part of a GBP2.9m fundraise to allow 
                                  the company to progress and complete the 
Initial investment    January     full trial (Phase 1 and 2) by the end 
 date:                  2021      of 2022. 
                                 ------------------------------------------------- 
Cost:                GBP500,000 
                                 ------------------------------------------------- 
Valuation:           GBP500,000 
Equity held:               2.8% 
Last statutory       30 June 
 accounts:           2019 
Turnover:            Not 
                     disclosed 
Loss before tax:     Not 
                     disclosed 
Net assets:          GBP 6.7 
                     million 
Valuation method:    At cost 
                     ----------  ------------------------------------------------- 
 
 
   The Ordinary Share Pool 
 
   Shareholders will recall that whilst Seneca is the Company's Investment 
Manager, responsibility for the management of the Ordinary share pool 
investments continues to rest with those remaining members of the Board 
of Directors who were serving at the point of Seneca's appointment on 23 
August 2018, which now includes John Hustler and Richard Roth. 
 
   AIM Quoted Investments 
 
   The Ordinary share pool's largest investment is AIM quoted Scancell and 
this represented 37% of the Ordinary share pool's NAV as at 31 December 
2019 when the Scancell share price was 7.0p. During the year, the 
Scancell share price almost doubled and ended the year at 13.5p. In view 
of this increasing share price, the Company took the opportunity to 
realise some profit and sold a small portion of our Scancell shares 
during the year (1,049,730 shares (8%) were sold from a holding at the 
start of the year of 13,049,730 shares) realising GBP127k and generating 
a profit versus original cost of GBP64k (a 2x return on the original 
investment) and a profit versus the 31 December 2019 carrying value of 
GBP54k. The Ordinary share pool's remaining stake in Scancell of 
12,000,000 shares increased by GBP780k during the year to stand at a 
value of GBP1,620k as at 31 December 2020. 
 
   The Ordinary share pool's investment in AIM quoted Omega gained 
significant traction in the year following its involvement in a 
partnership to develop a C-19 antibody test. The share price rose 
substantially from its 31 December 2019 price when it was 14p and this 
allowed the Company to sell the Ordinary share pool's entire holding of 
2,293,868 Omega shares in the year for a total of GBP987k. This 
generated a profit versus original cost of GBP659k (a 3x return on the 
original investment) and similarly a profit of GBP666k versus its 31 
December 2019 value. 
 
   Unquoted Investments 
 
   With regard to the Ordinary share pool's unquoted investments, the 
carrying value of OR Productivity Limited ("ORP") and Fuel 3D 
Technologies Limited ("Fuel 3D") were both reduced as a result of 
fundraises by these companies in 2020. In the case of ORP, the dilutive 
impact of the funds raised are such that the Company  reduced the 
carrying value to GBPnil for the Ordinary share pool's investment in ORP 
as at 31 December 2020 (31 December 2019 carrying value: GBP233k) and in 
the case of Fuel 3D the carrying value has been reduced to bring it in 
line with the price of their 2020 fundraise. Although the Ordinary share 
pool has maintained the value of Arecor Ltd at the price of the last 
fundraising in 2018, it continues to make excellent technical and 
commercial progress. 
 
   Performance and Dividends 
 
   As a result of the above AIM quoted investee company realisations, the 
Ordinary share pool was able to pay dividends totalling 13p per Ordinary 
share during the period. 
 
   The Total Return in relation to the Ordinary shares is now 95.5p 
comprising cumulative distributions of 65.25p per Ordinary share and a 
residual NAV per Ordinary share of 30.2p as at 31 December 2020. 
 
   As noted in the Chairman's statement, the Company is focussed on 
realising assets in the Ordinary share pool at the appropriate time with 
the proceeds then being distributed to Ordinary shareholders as 
dividends -- it is therefore noteworthy that in the 3 years to 31 
December 2020 the Company has paid out dividends totalling 41p per 
Ordinary share (equivalent to 64.3% of the NAV per Ordinary share of 
63.8p as at 31 December 2017) and the Ordinary share pool also retains 
NAV per Ordinary share of 30.2p as at 31 December 2020. 
 
   Investment Portfolio -- Ordinary shares 
 
 
 
 
                                                                                          Movement 
                                                                     Carrying            in the year 
                                                                      value at                to 
                         Equity      Investment      Unrealised     31 December          31 December 
                          held         at cost      profit/(loss)       2020                 2020 
Unquoted Investments        %          GBP'000         GBP'000        GBP'000              GBP'000 
Arecor Limited                1.1             142              63            205                          - 
---------------------  ----------  --------------  --------------  -------------  ------------------------- 
Fuel 3D Technologies 
 Limited                     <1.0             299           (104)            195                       (81) 
Insense Limited               4.6             509           (388)            121                          - 
OR Productivity 
 Limited                      3.7             765           (765)              -                      (232) 
Microarray Limited            3.0             132           (132)              -                          - 
ImmunoBiology Limited         1.2             868           (868)              -                          - 
Total unquoted 
 investments                                2,715         (2,194)            521                      (313) 
 
                                                                                                   Movement 
                                                                                                in the year 
                                                                        Carrying                         to 
                                       Investment      Unrealised       value at                31 December 
                           Shares         at cost   profit/(loss)    31 December                       2020 
Quoted Investments           held         GBP'000         GBP'000   2020 GBP'000                    GBP'000 
Scancell plc           12,000,000             726             894          1,620                        780 
Total quoted 
 investments                                  726             894          1,620                        780 
Total investments                           3,441         (1,300)          2,141                        467 
 
 
 
 
 
 
                            No. of    Investment    Sale      Realised 
Exits for     Investment    Shares     at cost    Proceeds  profit/(loss)    Exit 
the period    Date           sold      GBP'000    GBP'000      GBP'000     Multiple 
Scancell plc     December 
 (*)                 2003  1,049,730          63       127             64       2.0 
------------  -----------  ---------  ----------  --------  -------------  -------- 
Omega 
 Diagnostics 
 plc          August 2007  2,293,868         328       987            659       3.0 
Exosect 
 Limited          January 
 (**)                2010      8,575         270         -          (270)         - 
Total                                        661     1,114            453       1.7 
 
   (*) Partial exit 
 
   (**) Dissolved 24 January 2020 
 
 
 
   Ordinary Share Pool -- Investment Portfolio -- All Six Unquoted 
Investments by value as at 31 December 2020 
 
   1.       Arecor Limited 
 
 
 
 
                                    Arecor was a spin-out from Insense (a 
                                     Seneca Growth Capital Ordinary share investee 
                                     company -- see below) to commercialise 
                                     technology developed by Insense for enabling 
                                     biologics to maintain their integrity 
                                     without the need for refrigeration - this 
                                     both reduces cost and also helps supply 
                                     chain logistics in developing countries 
                                     where temperature monitored cold storage 
                                     facilities are in short supply. 
                                     Progress made by the company in 2020 includes: 
 
                                     --    Announcing in March 2020 that Arecor had extended its 
                                           multi-product collaboration with a US-based clinical 
                                           stage biotechnology company. 
 
                                     --    Announcing in June 2020 positive results of their 
                                           phase 1 trial on AT247. 
 
                                     --    Expanding their partnership with Hikma announced 20 
                                           October 2020. 
 
                                     --    Commencing in December 2020 dosing patients in the 
                                           AT278 clinical study (ultra-concentrated insulin, 
                                           first in man study) following a GBP1.9m fund raise: 
                                           this is a very significant milestone as they continue 
                                           to build momentum with their differentiated portfolio 
                                           of superior products. 
 
                                     --    Announcing in late December 2020 that Arecor's 
                                           partner, Inhibrx, exercised their option to license a 
                                           novel formulation of the investigational clinical 
                                           stage product, INH-101, developed by Arecor. This is 
                                           the first license under a multi-product collaboration 
                                           with Inhibrx and further validates the value of the 
Initial investment                         ArestatTM technology platform in developing superior 
 date:               January 2008          versions of existing therapeutic products. 
                                    ------------------------------------------------------------ 
Cost:                 GBP142,000 
                                    ------------------------------------------------------------ 
Valuation:            GBP205,000 
Equity held:                  1.1% 
Last statutory       31 December 
 accounts:            2019 
Turnover:            GBP748,000 
Loss before          GBP2.7 
 tax:                million 
Net assets:          GBP4.2 
                     million 
Valuation method:    Price of last 
                      fundraise 
                     -------------  ------------------------------------------------------------ 
 
 
   2.       Fuel 3D Technologies Limited 
 
 
 
 
Initial investment  March 2010     In 2014 Fuel 3D was formed to acquire 
 date:                              the computer 3D imaging IP of Seneca Growth 
                                    Capital Ordinary share investee company, 
                                    Eykona. The initial application for this 
                                    IP targeted by Eykona was measuring the 
                                    volume of chronic wounds; however this 
                                    has since developed and the current application 
                                    focus is on a) measuring tumours in animals 
                                    used in drug development via a product 
                                    called BioVolume and b) enabling the manufacture 
                                    of products to fit a particular individual 
                                    e.g. masks used to treat certain medical 
                                    conditions. 
                                    BioVolume is Fuel 3D's lead product and 
                                    improves measurement accuracy, inter-operator 
                                    consistency, animal welfare, cost efficiencies, 
                                    compliance and the success of pre-clinical 
                                    oncology research. 
                                    Progress made by the company in 2020 includes: 
 
                                    --    The development of BioVolume in conjunction with 
                                          major pharmaceutical companies but have suffered C-19 
                                          related delays: trials with three of the majors are 
                                          only now coming to an end and the fourth commenced in 
                                          January 2021. The data to date looks promising and 
                                          has recently enabled the signing of a contract to 
                                          sell two units to a specialist research lab. 
 
                                    --    The continued development of the technology for 
                                          FitsYou applications (e.g. sleep apnoea masks and 
                                          eyewear) has taken longer than expected, partly due 
                                          to working at the edge of capability of partners' 
                                          platforms. The app that has been designed for the 
                                          world's largest manufacturer of sleep apnoea masks 
                                          (to allow them to scan customers' faces in order to 
                                          assess best fit) has recently been completed and a 
                                          three month pilot will start early in the New Year, 
                                          hopefully resulting in a commercial licensing 
                                          agreement later in 2021. The same technology is also 
                                          being used to develop tools targeted at the eyewear 
                                          industry, developing apps to bring virtual try on and 
                                          best fit to eyewear retailers and brands. Fuel 3d is 
                                          exploring the launch of a B2C marketplace and the 
                                          company has filed a patent application to cover the 
                                          creation of a 3D model using depth data generated by 
                                          mobile devices which it expects to form a fundamental 
                                          part of its technology offering within FitsYou. 
 
                                    --    The reduction in cash burn, which is now c.40% lower 
                                          than this time last year and the raising of GBP3.8m 
                                          (at a slightly reduced valuation) means that even in 
                                          the absence of revenues, the company has sufficient 
                                          runway to take it through to the end of 2021, 
                                          although it may seek further investment to accelerate 
                                          development and commercialisation of FitsYou. 
 
                                    --    The board of Fuel3D is also considering separating 
                                          each business into separate units as the BioVolume 
                                          and FitsYou businesses are likely to appeal to 
                                          different buyer audiences. 
                                   ------------------------------------------------------------ 
Cost:               GBP299,000 
                                   ------------------------------------------------------------ 
Valuation:          GBP195,000 
Equity held:        < 1% 
Last statutory      31 December 
 accounts:           2019 
Turnover:           GBP521,000 
Loss before tax:    GBP4.3 
                    million 
Net assets:         GBP5.4 
                    million 
Valuation method:   Price of last 
                     fundraise 
                    -------------  ------------------------------------------------------------ 
 
 
   3.       Insense Limited 
 
 
 
 
                                    Insense is an innovative, biotechnology 
                                     company and was spun-out from Unilever's 
                                     R&D laboratory in 2001. 
                                     It has since had two successful spinouts, 
                                     namely Arecor (see above) and Archimed, 
                                     from which Microarray (see below) was 
                                     also spun-out. Current Insense development 
                                     activity is concentrated on dermatology 
                                     products for both professional and consumer 
                                     applications. 
                                     Progress made by the company in 2020 includes: 
                                     --Completing testing of the UV lamp that 
                                     will be used in a first-in-man trial and 
                                     continuing preparations for further formulation 
                                     and stability testing. C-19 has affected 
                                     progress in 2020, slowing the speed of 
Initial investment                   product and service delivery from Chinese 
 date:                 July 2003     and UK-based partners. 
                                    ------------------------------------------------ 
Cost:                 GBP509,000 
                                    ------------------------------------------------ 
Valuation:            GBP121,000 
Equity held:                  4.6% 
Last statutory       31 December 
 accounts:            2019 
Turnover:            Not Disclosed 
Loss before          Not Disclosed 
 tax: 
Net liabilities:     GBP51,000 
Valuation method:    Price of last 
                      fundraise 
                     -------------  ------------------------------------------------ 
 
 
   4.       OR Productivity Limited 
 
 
 
 
                                         At the end of 2011, Freehand 2010 (a Seneca 
                                          Growth Capital Ordinary share investee) 
                                          was acquired by OR Productivity plc (ORP) 
                                          in exchange for ORP shares. 
                                          Freehand 2010 owns the intellectual property 
                                          to technology incorporated in a product, 
                                          FreeHand, for robotically controlling 
                                          the laparoscope (part of the camera system) 
                                          used in the growing sector that is keyhole 
                                          surgery. The company sells the system 
                                          outright and provides consumables although, 
                                          increasingly, the business model is built 
                                          upon free placement of the system with 
                                          recurring revenue then being generated 
                                          from the subsequent sale of a consumable 
                                          per operation. 
                                          Progress made by the company in 2020 includes: 
 
                                          --    An initial fundraising in 2020 which raised 
                                                GBP750,000 following which a Crowdcube funding 
                                                campaign was launched. To date the fundraising has 
                                                achieved GBP1.225 million. 
 
                                          --    Year over year sales being up in spite of C-19 but 
                                                pressures on elective surgery have resulted in 
                                                significant revenue shortfall to budget. 
 
                                          --    Spanish distributor MBA continuing to lead the way 
                                                and has ordered 3 new Panorama robots from the 
                                                company. 
 
                                          --    Announcing a new distribution partnership with 
                                                Imperial Medical Solutions to support sales in India, 
                                                Sri Lanka, Malaysia and the Caribbean. 
 
 
                                          The current fundraising has been through 
                                          the issue of A Ordinary shares which carry 
                                          a one times repayment preference. In addition 
                                          further A Ordinary shares with the same 
                                          preference have been issued to redeem 
                                          certain outstanding liabilities. At the 
                                          present time the Board considers it unlikely 
                                          that the Ordinary share pool investment 
                                          in ORP can be valued in excess of the 
                                          value of the A Ordinary shares issued. 
Initial investment                        The Ordinary share pool does not hold 
 date:                   March 2011       any A Ordinary shares. 
                                         ------------------------------------------------------------ 
Cost:                    GBP765,000 
                                         ------------------------------------------------------------ 
Valuation:                 GBPnil 
Equity held:                       3.7% 
Last statutory       31 March 2020 
 accounts: 
Turnover:            Not Disclosed 
Loss before tax:     Not Disclosed 
Net liabilities:     GBP4.6 million 
Valuation method:    Carrying value 
                      reduced to GBPnil 
                     ------------------  ------------------------------------------------------------ 
 
 
   5.       ImmunoBiology Limited 
 
 
 
 
                                         ImmunoBiology ("ImmBio") is a biotechnology 
                                          company that is focused on developing 
                                          treatments for illnesses such as meningitis, 
                                          tuberculosis, influenza and hepatitis 
                                          C. The company's technology is based on 
                                          the discovery that a group of proteins 
                                          known as 'heat shock proteins' has a pivotal 
                                          role in controlling the normal immune 
                                          response to infections. The focus is currently 
                                          on a vaccine for Pneumococcal Disease, 
                                          for which the challenge is that there 
                                          are >90 strains in circulation but present 
                                          treatments address only a small proportion. 
                                          In 2016 a first in human study demonstrated 
                                          safety in adults. 
                                          ImmBio - formally known as ImmunoBiology 
                                          Ltd has licensed its pneumococcal vaccine 
                                          to China National Biotech Group. It has 
                                          completed certain parts of its technology 
                                          transfer and is now seeking to start a 
                                          phase 2 study of the same vaccine. Coronavirus 
                                          has again highlighted the importance of 
                                          vaccines to the world and in recent years 
                                          pneumococcal disease has claimed a similar 
                                          number of deaths as C-19 in 2020. An existing 
                                          vaccine has reduced the death rate, but 
                                          the existing vaccines only protect against 
                                          fewer than 20 of the 90 or so existing 
                                          strains. As ImmBio's ImmBioVax technology 
                                          utilises heat shock proteins to activate 
                                          T-cell responses, it is hoped that it 
                                          can be used to create vaccines for a wide 
                                          range of currently poorly served infectious 
                                          diseases. 
                                          ImmBio has a complex equity structure 
                                          which has impacted the investment valuation. 
                                          As such, the Board does not believe that 
                                          the Company's Ordinary share pool's investment 
                                          currently has any value. 
                                          Progress made by the company in 2020 includes: 
 
                                          --    Continuing with the technology transfer to a 
                                                subsidiary company of China National Biotec Group to 
                                                co-develop ImmBio's proprietary PnuBioVax vaccine 
                                                against pneumococcal disease and launch the 
                                                pneumococcal vaccine in the Greater China area upon 
                                                completion of successful clinical studies but there 
                                                is also a requirement to start a clinical trial 
                                                outside China which needs funding. 
 
                                          --    Improving the required storage conditions. (hoping to 
                                                achieve refrigerator storage) via their partnership 
                                                with CPI (an independent technology innovation 
                                                centre) to produce a Pneumococcal vaccine which is 
                                                heat stable, thus avoiding the need (and inherent 
                                                expense) of the cold chain -- ImmBio estimate there 
                                                to be c.50 million patients annually who could 
                                                benefit from such a vaccine. 
 
                                          --    Commencing discussion with a number of strategic 
                                                partners and vaccine producers, some of whom have 
                                                technology to use Immbio's approach; there are 
                                                regulatory challenges but C-19 may help in this 
                                                scenario. It has certainly made everyone more 
                                                receptive to vaccines and with different mutations, 
                                                universal vaccines become more popular. Existing C-19 
                                                vaccine suppliers are also keen to have a second or 
                                                third approach on their books especially which 
                                                doesn't need to keep up with changing strains; this 
                                                may be beneficial to Immbio. 
 
 
Initial investment                        Almost all staff are currently furloughed, 
 date:                   November 2005    whilst further funds can be obtained. 
                                         ------------------------------------------------------------ 
Cost:                    GBP868,000 
                                         ------------------------------------------------------------ 
Valuation:                 GBPnil 
Equity held:                       1.2% 
Last statutory        31 May 2020 
 accounts: 
Turnover:             GBPnil 
Loss before           GBP594,000 
 tax: 
Net assets:           GBP262,000 
Valuation method:    Carrying value 
                      reduced to GBPnil 
                     ------------------  ------------------------------------------------------------ 
 
 
   6.       Microarray Limited 
 
 
 
 
                                         Microarray Ltd is a UK-based specialist 
                                          wound healing company. Founded in 2000, 
                                          Microarray was de-merged from Archimed, 
                                          a spin-out from Insense (see above): the 
                                          company is now privately owned. 
                                          The company has access to wide ranging 
                                          expertise in the fields of wound dressing 
                                          product development, marketing and sales; 
                                          electrochemistry and diagnostic sensor 
                                          technologies; biochemistry, oxygen and 
                                          iodine chemistry; enzymology, immunology 
                                          and inflammation. Current research and 
                                          development activities are concentrated 
                                          on innovative wound care diagnostics. 
                                          Microarray owns and continues to develop 
                                          new intellectual property in its specialist 
                                          fields. It works independently and with 
                                          expert academic and industrial partners. 
                                          Progress made by the company in 2020 includes: 
 
                                          --    Designing and gaining the necessary approvals for our 
                                                next clinical trial looking at chronic wound state 
                                                biomarkers. C-19 has affected the recruitment of 
                                                patients for the trial, which is now hoped to start 
                                                in Q3/2021. 
 
                                          --    In parallel, the company continues to use 
                                                machine-learning methods to analyse the clinical data 
                                                collected to date, and is investigating the 
                                                commercial potential of these non-biomarker assets. 
 
                                          Previously product testing results have 
                                          not provided the indicators that the company 
                                          hoped for in terms of assessing whether 
                                          a wound is infected or not. As a result 
                                          of this adverse outcome in relation to 
                                          an area of focus for the company, the 
                                          carrying value of the investment of the 
                                          Ordinary share portfolio's investment 
                                          in Microarray Limited has been reduced 
                                          to GBPnil. Notwithstanding the above, 
                                          the company is continuing to develop its 
Initial investment                        wound diagnostic products as the progress 
 date:                  January 2011      in 2020 indicates. 
                                         ------------------------------------------------------------ 
Cost:                    GBP132,000 
                                         ------------------------------------------------------------ 
Valuation:                 GBPnil 
Equity held:                       3.0% 
Last statutory       31 December 
 accounts:            2019 
Turnover:            Not Disclosed 
Loss before          Not Disclosed 
 tax: 
Net liabilities:     GBP(4 million) 
Valuation method:    Carrying value 
                      reduced to GBPnil 
                     ------------------  ------------------------------------------------------------ 
 
 
   Ordinary Share Pool -- Investment Portfolio -- AIM Quoted Investment as 
at 31 December 2020 
 
   1.       Scancell plc 
 
 
 
 
                                   Scancell is an AIM listed biotechnology company 
                                    that is developing a pipeline of therapeutic 
                                    vaccines to target various types of cancer, with 
                                    the first target being melanoma. 
                                    The Immunobody platform technology, in effect, 
                                    educates the immune system how to respond -- 
                                    this means that the technology can also be licensed 
                                    to pharmaceutical companies to assist the development 
                                    of their own therapeutic vaccines, which is an 
                                    area of emerging importance for which a number 
                                    of big pharmas do not have in-house technology. 
                                    In addition, in 2012 a second platform technology, 
                                    Moditope, was announced and is based on exploiting 
                                    the normal immune response to stressed cells 
                                    and is complementary to the Immunobody platform. 
                                    The AvidMab platform was established in 2018 
                                    which allows direct tumour killing. 
                                    Scancell continues to develop its multiple technologies. 
                                    Progress made by the company in 2020 includes: 
 
                                    --    The company received FDA approval in February 2020 to 
                                          initiate the US arm of the Phase 2 SCIB1 clinical 
                                          trial although C-19 has delayed patient recruitment. 
                                          The Modi-1 Phase1/2 trial is progressing for 
                                          regulatory submission with a planned study start in 
                                          the UK in the first half of 2021. GMP drug 
                                          manufacture is advancing and formal 
                                          regulatory-compliant toxicity studies are complete 
                                          The new AvidiMab platform has also generated 
                                          significant interest and further agreements have been 
                                          signed with different partners to evaluate its 
                                          potential, which if successful, could translate into 
                                          important commercial deals. 
 
                                    --    In April Scancell announced it had initiated a 
                                          research project to use its clinical expertise in 
                                          cancer to produce a simple, safe, cost effective and 
                                          scalable vaccine which could induce a durable 
                                          response against the virus that causes C-19. The 
                                          project is funded by a GBP2 million Innovate UK grant 
                                          awarded in August to a consortium between Scancell, 
                                          University of Nottingham and Nottingham Trent 
                                          University. Scancell has now selected their C-19 
                                          vaccine candidate, SN14, for further development and 
                                          clinical trials. SN14 is a second generation vaccine 
                                          which offers several potential advantages over 
                                          currently approved and late-stage C-19 vaccines. In 
                                          October, it entered into a collaboration with Cobra 
                                          Biologics, part of the Cognate BioServices family, to 
                                          conduct preliminary work leading to the manufacture 
                                          of SN14 with the goal of starting a Phase 1 COVIDITY 
                                          clinical trial as soon as possible during 2021. 
 
                                    --    During the year, the company completed two successful 
                                          fund raises totalling GBP48 million (GBP46.1 million 
                                          net proceeds) from the issue of shares and 
                                          convertible loan notes (CLN): In August, it raised 
                                          GBP15 million at a price of 5.5p per share (includes 
                                          a residual amount of GBP1.75m held in CLN, and which 
                                          included a significant new US institutional investor 
                                          (Redmile Group LLC, "Redmile"). This funding will 
                                          allow planned trials to continue while partnering 
                                          discussions are pursued. In October, a further GBP33m 
                                          was raised predominately from Redmile: GBP15.1m in 
                                          equity at 11p per share and GBP17.9m in CLN. Redmile 
                                          now holds just under 30% of the equity and all of the 
                                          CLN, and Vulpes Life Science Fund 14.5%. These 
                                          additional funds will extend the utility of the 
                                          company's ImmunoBodyTM, ModitopeTM, and 
                                          AvidiMab(TM)/tumour-associated glycans ("TaG") 
                                          antibody products and platforms and to accelerate and 
                                          broaden its development pipeline of new potential 
                                          novel therapies and increase the funding available 
                                          for the company's C-19 vaccine. 
 
 
                                    As a result of these developments, the Scancell 
                                    share price has seen much volatility with prices 
                                    ranging from 4p to 20p during the year. These 
                                    valuations are based on a bid price of 13.5p 
Initial investment     December     per share and the bid price was 24.5p per share 
 date:                   2003       at 19 February 2021. 
                                   ------------------------------------------------------------ 
Cost (of the 
 portion of 
 the original 
 investment 
 still held 
 as at 31 December 
 2020):               GBP726,000 
                                   ------------------------------------------------------------ 
Valuation:           GBP1,620,000 
Equity held:                 1.5% 
Last statutory       30 April 
 accounts:            2019 
Turnover:            GBPnil 
Loss before          GBP6.7 
 tax:                million 
Net assets:          GBP9.3 
                     million 
Valuation            Bid price 
 method:              of 13.5p 
                      per share 
                     ------------  ------------------------------------------------------------ 
 
   Richard Manley 
 
   Seneca Partners Limited 
 
   22 February 2021 
 
   Directors' Report 
 
   The Directors present their Report and the audited Financial Statements 
for the year ended 31 December 2020. 
 
   The Directors consider that the Annual Report and Financial Statements, 
taken as a whole are fair, balanced and understandable and provide the 
information necessary for shareholders to assess the Company's 
performance, business model and strategy. 
 
   Review of Business Activities 
 
   The Directors are required by section 417 of the Companies Act 2006 to 
include a Business Review to shareholders. This is set out on page 36 
and forms part of the Strategic Report. The purpose of the Business 
Review is to inform members of the Company and help them assess how the 
Directors have performed their duty under section 172 of the Companies 
Act 2006 (duty to promote the success of the Company). The Company's 
section 172 Statement on page 6, the Chairman's Statement on page 8 to 
13, and the Investment Manager's Report on pages 14 to 35 also form part 
of the Strategic Report. 
 
   The purpose of this review is to provide shareholders with a snapshot 
summary setting out the business objectives of the Company, the Board's 
strategy to achieve those objectives, the risks faced, the regulatory 
environment and the key performance indicators used to measure 
performance. 
 
   Directors' Shareholdings -- Ordinary shares 
 
   The Directors of the Company during the period and their interests (in 
respect of which transactions are notifiable under Disclosure and 
Transparency Rule 3.1.2R) in the issued Ordinary shares of 1p are shown 
in the table below: 
 
 
 
 
                     31 December 2020    31 December 2019 
                     Number of Shares    Number of Shares 
-----------------  ------------------  ------------------ 
  John Hustler                190,000             190,000 
  Alex Clarkson                     -                   - 
  Richard Manley                    -                   - 
  Richard Roth                209,612             209,612 
-----------------  ------------------  ------------------ 
 
 
   All of the Directors' shares were held beneficially. There have been no 
changes in the Directors' Ordinary share interests between 31 December 
2020 and the date of this report. 
 
   Directors' Shareholdings -- B Shares 
 
   The Directors of the Company during the period and their interests (in 
respect of which transactions are notifiable under Disclosure and 
Transparency Rule 3.1.2R) in the issued B shares of 1p are shown in the 
table below: 
 
 
 
 
                     31 December 2020    31 December 2019 
                     Number of Shares    Number of Shares 
-----------------  ------------------  ------------------ 
  John Hustler              -                   - 
  Alex Clarkson             -                   - 
  Richard Manley               62,071              51,010 
  Richard Roth                 15,000              15,000 
-----------------  ------------------  ------------------ 
 
 
   All of the Directors' B shares were held beneficially. There have been 
no changes in the Directors' B share interests between 31 December 2020 
and the date of this report. 
 
   Directors' and Officers' Liability Insurance 
 
   The Company has maintained directors' and officers' liability insurance 
cover on behalf of the Directors, Company Secretary and Investment 
Manager. 
 
   Whistleblowing 
 
   The Board has approved a Whistleblowing Policy for the Company, its 
Directors and any employees, consultants and contractors, to allow them 
to raise concerns, in confidence, in relation to possible improprieties 
in matters of financial reporting and other matters. 
 
   Bribery Act 
 
   The Board has approved an Anti-Bribery Policy to ensure full compliance 
with the Bribery Act 2010 and to ensure that the highest standards of 
professional and ethical conduct are maintained. 
 
   Management 
 
   Seneca as the Company's Investment Manager is responsible for the 
management of the Company's B share pool investments. Responsibility for 
the management of the Ordinary share pool investments has been delegated 
to those members of the current Board of Directors who served 
immediately prior to 23 August 2018, namely John Hustler and Richard 
Roth. 
 
   The strategies and policies which govern the Investment Manager have 
been set by the Board in accordance with section 172 of the Companies 
Act 2006. 
 
   Corporate Governance Statement 
 
   The Board has considered the principles and recommendations of the 2019 
AIC Code. The Company's Corporate Governance policy is set out on pages 
50 to 54. 
 
   The 2019 AIC Code is available on the AIC website (www.theaic.co.uk). It 
includes an explanation of how the 2019 AIC Code adapts the Principles 
and Provisions set out in the UK Corporate Governance Code (the "UK 
Code") to make them relevant for investment companies. 
 
   The Company has complied with the recommendations of the 2019 AIC Code 
and the relevant provisions of the UK Corporate Governance Code, except 
as set out below: 
 
 
   -- The Company does not have a Chief Executive Officer or a Senior 
      Independent Director. The Board does not consider this necessary as it 
      does not have any executive directors. 
 
   -- New Directors do not receive a formal induction on joining the Board, 
      though they do receive one tailored to them on an individual basis. 
 
   -- The Company conducts a formal review as to whether there is a need for an 
      internal audit function. However, the Directors do not consider that an 
      internal audit would be an appropriate control for this VCT at this 
      time. 
 
   -- The Company does not have a Remuneration Committee as it does not have 
      any executive directors. 
 
   -- The Company does not have a Nomination Committee as these matters are 
      dealt with by the Board. 
 
 
   For the reasons set out in the AIC Guide, and as explained in the UK 
Corporate Governance Code, the Board considers the above provisions are 
not relevant to the position of the Company, being an investment company 
run by the Board and managed by the Investment Manager. In particular, 
all of the Company's day-to-day administrative functions are outsourced 
to third parties. As a result, the Company has no executive directors, 
employees or internal operations. 
 
   Directors 
 
   Biographical details of the Directors are shown on page 42. 
 
   In accordance with the Articles of Association and good governance, all 
four Directors will retire and offer themselves for re-election at the 
forthcoming AGM. 
 
   The Board is satisfied that, following individual performance appraisals, 
the Directors who are retiring continue to be effective and demonstrate 
commitment to their roles and therefore offer themselves for re-election 
with the support of the Board. Further details regarding the Company's 
succession planning are set out in the Corporate Governance policy on 
pages 51 to 52. 
 
   The Board did not identify any conflicts of interest between the 
Chairman's interest and those of the shareholders, especially with 
regard to the relationship between the Chairman and the Investment 
Manager. 
 
   No concerns about the operation of the Board or the Company were raised 
by any Director during the period and had any been raised they would be 
mentioned in the minutes or in writing to the Chairman to be circulated 
to the Board in accordance with Provision 5.2 of the 2019 AIC Code. 
 
   The Board is cognisant of shareholders' preference for Directors not to 
sit on the boards of too many listed companies ("over-boarding"). The 
Board is satisfied that all Directors have the time to focus on the 
requirements of the Company. 
 
   International Financial Reporting Standards 
 
   As the Company is not part of a group it is not mandatory for it to 
comply with International Financial Reporting Standards ("IFRS"). The 
Company does not anticipate that it will voluntarily adopt IFRS. The 
Company has adopted Financial Reporting Standard 102 -- The Financial 
Reporting Standard Applicable in the United Kingdom and the Republic of 
Ireland. 
 
   Environmental, Social and Governance ("ESG") Practices 
 
   The Board recognises the requirement under section 414c of the Companies 
Act 2006 to detail information about environmental matters (including 
the impact of the Company's business on the environment), employee and 
human rights, social and community issues, including information about 
any policies it has in relation to these matters and effectiveness of 
these policies. 
 
   Given the size and nature of the Company's activities and the fact that 
it has no employees and only four non-executive Directors, the Board 
considers there is limited scope to develop and implement environmental, 
social and community policies, but recognises the importance of 
including consideration for such matters in investment decisions. The 
Board has taken into account the requirement of section 172(1) of the 
Companies Act 2006 and the importance of ESG matters when making 
decisions which could impact shareholders, stakeholders and the wider 
community. The Company's Section 172(1) statement has been provided in 
the Strategic Report on page 6, where the Directors consider the 
information to be of strategic importance to the Company. 
 
   The Company seeks to ensure that its business is conducted in a manner 
that is responsible to the environment. The management and 
administration of the Company is undertaken by the Investment Manager 
who recognises the importance of its environmental responsibilities, 
monitors its impact on the environment and implements policies to reduce 
any negative environmental impact and which promote environmental 
sustainability. 
 
   The Investment Manager recognises that managing investments on behalf of 
clients involves taking into account a wide set of responsibilities in 
addition to seeking to maximise financial returns for investors. 
Industry practice in this area has been evolving rapidly and the Company 
seeks to be an active participant by working to define and strengthen 
its principles accordingly. This involves both integrating ESG 
considerations into the Investment Manager's investment decision-making 
process as a matter of course, and also signing up to major external 
bodies who are leading influencers in the formation of industry best 
practice. The following is an outline of the kinds of ESG considerations 
that the Investment Manager is taking into account as part of its 
investment process. 
 
   Environmental 
 
   Seneca, as part of its commercial due diligence practices and ongoing 
monitoring, examines potential issues which could arise from supply 
chains, climate change and environmental policy compliance. The 
Investment Manager looks for management teams who are aware of the 
issues and are proactive in responding to them. 
 
   Social 
 
   Seneca seeks to avoid unequivocal social negatives, such as profiting 
from forced labour within its investment portfolio and to support 
positive impacts which will more likely find support from customers and 
see rising demand. Seneca does not tolerate modern slavery or human 
trafficking within its business operations and takes a risk-based 
approach in respect of our portfolio companies. Seneca actively engages 
with portfolio companies and their boards to discuss material risks, 
ranging from business and operational risks to environmental and social 
risks. 
 
   Governance 
 
   Seneca examines and, where appropriate, engages with companies on board 
membership, remuneration, conflicts of interest such as related party 
transactions, and business leadership and culture. In addition, the 
Company, as a matter of course, exercises its voting rights when 
possible. 
 
   Greenhouse Gas ("GHG") Emissions and Streamlined Energy & Carbon 
Reporting ("SECR") 
 
   Under the Companies Act 2006 (Strategic Report and Directors' Report) 
Regulations 2013 ('the 2013 Regulations') and the Companies (Directors' 
Report) and Limited Liability Partnerships (Energy and Carbon Report) 
Regulations 2018, quoted companies of any size are required under Part 
15 of the Companies Act 2006 to disclose information relating to their 
energy use and GHG emissions. 
 
   All of the Company's activities are outsourced to third parties. The 
Company therefore has no greenhouse gas emissions to report from its 
operations, nor does it have direct responsibility for any other 
emissions producing sources under the Companies Act 2006 (Strategic 
Report and Directors' Reports) Regulations 2013 and the Companies 
(Directors' Report) and Limited Liability Partnerships (Energy and 
Carbon Report) Regulations 2018. For the same reasons as set out above, 
the Company considers itself to be a low energy user under the SECR 
regulations and therefore is not required to disclose energy and carbon 
information. A low energy user is defined as an organisation that uses 
40 MWh or less during the reporting period. 
 
   Going Concern 
 
   The Company's business activities and the factors likely to affect its 
future performance and financial position are set out in the Chairman's 
Statement and Investment Manager's Report on pages 8 to 13 and pages 14 
to 35. Further details on the management of the principal risks are set 
out on pages 39 to 40 and financial risks may be found in note 16 to the 
Financial Statements. 
 
   The Board receives regular reports from Seneca who acts as both the 
Investment Manager and the Administration Manager, and the Directors 
believe that, as no material uncertainties leading to significant doubt 
about going concern have been identified, it is appropriate to continue 
to adopt the going concern basis in preparing the Financial Statements. 
 
   The assets of the Company consist mainly of securities, four of which 
are AIM quoted, relatively liquid and readily accessible, as well as 
more than GBP5 million of cash as at 31 December 2020 (47% of net 
assets). After reviewing the Company's forecasts and expectations, the 
Directors have a reasonable expectation that the Company has adequate 
resources to continue in operational existence for the foreseeable 
future. The Company therefore continues to adopt the going concern basis 
in preparing its Financial Statements. 
 
   The Company is also facing risks resulting from the impact of the C-19 
pandemic. The Company's Board and Investment Manager are focused on 
ensuring that investee companies are taking the required actions to 
minimise the potential impact that the C-19 pandemic could have on them. 
The Board and Seneca will continue to review risks posed by C-19 and 
keep those risks under regular review but do not consider the pandemic 
to have any impact on the Company's own ability to continue as a going 
concern. 
 
   Share Capital 
 
   As disclosed on page 99 the Board has authority to make market purchases 
of the Company's own B shares. No shares were purchased by the Company 
during the year (2019: nil). 
 
   At the last AGM held on 28 April 2020, the Board received authority to 
allot up to 35,000,000 B shares in connection with any offer(s) for 
subscription (and any subsequent top up offer of B shares) and up to 
405,800 Ordinary shares (for any miscellaneous offers of such shares), 
which represented approximately 479% of the Company's issued B share 
capital and approximately 5% of its issued Ordinary share capital as at 
28 April 2020. 
 
   During the year, the Company did not issue any Ordinary shares (2019: 
nil). During the year, the Company issued 2,701,500 B shares raising 
GBP2.4 million before expenses (2019: 2,325,078 shares and GBP2.3 
million) No further shares have been issued between 31 December 2020 and 
the date of this report. 
 
   The Company's issued Ordinary share capital as at 31 December 2020 was 
8,115,376 Ordinary shares of 1p each (31 December 2019: 8,115,376 
Ordinary shares of 1p each) and 9,062,948 B shares of 1p each (31 
December 2019: 6,361,448 B shares of 1p each). 
 
   The total number of shares in issue for both the Ordinary shares and B 
shares of 1p each as at 31 December 2020 and 19 February 2021 was 
17,178,324 (31 December 2019: 14,476,824) with each share having one 
vote. 
 
   In accordance with Schedule 7 of the Large and Medium Size Companies and 
Groups (Accounts and Reports) Regulations 2008, as amended, the 
Directors disclose the following information: 
 
 
   -- The Company's capital structure and voting rights are summarised above, 
      and there are no restrictions on voting rights nor any agreement between 
      holders of securities that result in restrictions on the transfer of 
      securities or on voting rights; 
 
   -- There exist no securities carrying special rights with regard to the 
      control of the Company; 
 
   -- The rules concerning the appointment and replacement of directors, 
      amendment of the Articles of Association and powers to issue or buy back 
      of the Company's shares are contained in the Articles of Association of 
      the Company and the Companies Act 2006; 
 
   -- The Company does not have an employee share scheme; 
 
   -- There are no agreements to which the Company is party that may affect its 
      control following a takeover bid; and 
 
   -- There are no agreements between the Company and its Directors providing 
      for compensation for loss of office that may occur following a takeover 
      bid or for any other reason, apart from their normal notice period and 
      any fees potentially due under the performance fee arrangements set out 
      on page 58 and note 6. 
 
 
   Substantial Shareholdings 
 
   At 31 December 2020 and at the date of this report, there was one 
holding of 3% and over of the Company's ordinary share capital. This 
holding related to Share Nominees Ltd and amounted to 3.34%. 
 
   Annual General Meeting 
 
   The Notice convening the 2021 AGM of the Company is set out at the end 
of this document (and a form of proxy in relation to the meeting is 
enclosed separately). Part of the business of the AGM will be to 
consider resolutions in relation to the following matters: 
 
   Resolutions 3 to 6 will seek the re-election of the existing four 
members of the Board as non-executive Directors of the Company. 
 
   Resolution 7 will seek the re-appointment of UHY Hacker Young LLP as 
Independent Auditor to the Company. 
 
   Resolution 8 will seek authorisation to determine the auditor's 
remuneration. 
 
   Resolution 9 will authorise the Directors to allot further B shares and 
Ordinary shares. This will enable the Directors until the next AGM to 
allot up to 35,000,000 B shares in connection with any offer(s) for 
subscription (and any subsequent top up offer of B shares) and up to 
405,800 Ordinary shares (for any miscellaneous offers of such shares), 
representing approximately 386% of the Company's issued B share capital 
and approximately 5% of its issued Ordinary share capital as at 19 
February 2021. 
 
   Resolution 10 will authorise the Board, pursuant to the Act, to make one 
or more market purchases of up to 14.99% of the issued B share capital 
of the Company from time to time. The price paid must not be less than 
1p per B share, nor more than 5% above the average middle market price 
of a B share for the preceding five business days. Any B shares bought 
back under this authority may be cancelled by the Board. 
 
   Resolution 11 will, under sections 570 of the Act, disapply pre-emption 
rights in respect of any allotment of the B shares and/or Ordinary 
shares authorised under Resolution 9. 
 
   Resolution 12 will adopt amended Articles of Association which are 
substantially in the same form as the Company's current Articles of 
Association save that: 
 
 
   1. existing Clause 146 regarding Unclaimed Dividends has been deleted and 
      replaced with a new Clause 146 which provides the authorisation for all 
      dividends, interest or other sum payable and unclaimed for 12 months 
      after having become payable to be invested or otherwise made use of by 
      the Board for the benefit of the Company until claimed and the Company 
      shall not be constituted a trustee in respect thereof. All dividends 
      unclaimed for a period of six years after having been declared or become 
      due for payment shall (if the Board so resolves) be forfeited and shall 
      cease to remain owing by the Company; and 
 
   2. existing Clauses 53 to 56 (including the insertion of new Clauses 55A and 
      56A) have been amended to include the ability for the Company to hold 
      partially virtual general meetings. 
 
   3. Existing Clause 102 will be amended to authorise an increase in the total 
      remuneration payable to the Directors to GBP100,000 to allow for the 
      appointment of a new non-executive Director. 
 
 
   The Directors intend to use the authorities in Resolutions 9 and 11 for 
the purposes of the current Offer and a further offer for subscription 
of B shares. The Directors have no current intention to utilise the 
authority in relation to the Ordinary shares. 
 
   Copies of the Articles of Association of the Company (including a 
mark-up of the new articles of association proposed to be adopted 
pursuant to resolution 12) will be available for inspection at the 
registered office of the Company during usual business hours on any 
weekday (Saturday and Public Holidays excluded) from the date of this 
notice, until the end of the Annual General Meeting and at the place of 
the Annual General Meeting for at least 15 minutes prior to and during 
the meeting. However, given that shareholders will be unable to attend 
the AGM this year, the Articles of Association will also be available on 
the Company's website at 
https://www.globenewswire.com/Tracker?data=WH6r0nUrPl0kSwYClrz2v0vB1qLtxV4SiCu95sf3wWF7lEqSCtV7vZMdvdj27h8pBlrTvlrHPWCS1EdgbckCFHcIYxLnwruyh1tR2oUAdN9ycF01ux5E1q6AymhHhDGm2JwIiM1jX-m7xPYJCdizOw== 
https://senecavct.co.uk/reports-documents/. 
 
   Recommendation 
 
   The Board believes that the passing of the resolutions above are in the 
best interests of the Company and its shareholders as a whole and 
unanimously recommends that you vote in favour of these resolutions as 
the Directors intend to do in respect of their beneficial shareholdings. 
 
   By Order of the Board 
 
   Craig Hunter 
 
   Company Secretary 
 
   22 February 2021 
 
   Combined Income Statement 
 
 
 
 
                                                                Combined                                     Combined 
                                                           Year to 31 December                          Year to 31 December 
                                                                  2020                                         2019 
                                             -------------------------------------------  ------------------------------------------- 
                                                   Revenue        Capital         Total         Revenue        Capital         Total 
                                       Note        GBP'000        GBP'000        GBP'000        GBP'000        GBP'000        GBP'000 
-------------------------------  ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
 
Gain on disposal of fixed 
 asset investments                                       -            948            948              -             52             52 
 
Gain/(loss) on valuation 
 of fixed asset investments                              -            682            682              -          (752)          (752) 
 
Income                                    2              -              -              -              -              -              - 
 
Performance fee                           6              -          (140)          (140)              -            136            136 
 
Investment management fee 
 net of cost cap                          3           (10)           (31)           (41)            (7)           (21)           (28) 
 
Other expenses                            4          (150)            (2)          (152)          (123)              -          (123) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Return on ordinary activities 
 before tax                                          (160)          1,457          1,297          (130)          (585)          (715) 
 
Taxation on return on ordinary 
 activities                               7              -              -              -              -              -              - 
 
Return on ordinary activities 
 after tax                                           (160)          1,457          1,297          (130)          (585)          (715) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Return on ordinary activities 
 after tax attributable 
 to: 
Owners of the fund                                   (160)          1,457          1,297          (130)          (585)          (715) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
 
 
   There was no other Comprehensive Income recognised during the year 
 
 
   -- The 'Total' column of the income statement and statement of comprehensive 
      income 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 two share classes, the Ordinary share and B share class. 
 
 
   The Company has no recognised gains or losses other than the results for 
the year as set out above. 
 
   The accompanying notes are an integral part of the Financial Statements. 
 
   Ordinary Share Income Statement 
 
   (non-statutory analysis) 
 
 
 
 
                                                            Ordinary shares                              Ordinary shares 
                                                           Year to 31 December                          Year to 31 December 
                                                                  2020                                         2019 
                                             -------------------------------------------  ------------------------------------------- 
                                                   Revenue        Capital         Total         Revenue        Capital         Total 
                                       Note        GBP'000        GBP'000        GBP'000        GBP'000        GBP'000        GBP'000 
-------------------------------  ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
 
Gain on disposal of fixed 
 asset investments                                       -            720            720              -             38             38 
 
Gain/(loss) on valuation 
 of fixed asset investments             10               -            467            467              -          (725)          (725) 
 
Income                                  2                -              -              -              -              -              - 
 
Performance fee                         6                -          (140)          (140)              -            136            136 
 
Investment management fee               3                -              -              -              -              -              - 
 
Other expenses                          4                -            (2)            (2)              4              -              4 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Return on ordinary activities 
 before tax                                              -          1,045          1,045              4          (551)          (547) 
 
Taxation on return on ordinary 
 activities                             7                -              -              -              -              -              - 
 
Return on ordinary activities 
 after tax                                               -          1,045          1,045              4          (551)          (547) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Return on ordinary activities 
 after tax attributable 
 to: 
Ordinary shareholders                                    -          1,045          1,045              4          (551)          (547) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Earnings per share -- basic 
 and diluted                            8             0.0p          12.8p          12.8p           0.0p         (6.7)p         (6.7)p 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
 
 
   B Share Income Statement (non-statutory analysis) 
 
 
 
 
                                                                B shares                                     B shares 
                                                           Year to 31 December                          Year to 31 December 
                                                                  2020                                         2019 
                                             -------------------------------------------  ------------------------------------------- 
                                                   Revenue        Capital         Total         Revenue        Capital         Total 
                                       Note        GBP'000        GBP'000        GBP'000        GBP'000        GBP'000        GBP'000 
-------------------------------  ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
 
Gain on disposal of fixed 
 asset investments                                       -            228            228              -             14             14 
 
Gain/(loss) on valuation 
 of fixed asset investments              10              -            215            215              -           (27)           (27) 
 
Income                                    2              -              -              -              -              -              - 
 
Performance fee                           6              -              -              -              -              -              - 
 
Investment management fee 
 net of cost cap                          3           (10)           (31)           (41)            (7)           (21)           (28) 
 
Other expenses                            4          (150)              -          (150)          (127)              -          (127) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Return on ordinary activities 
 before tax                                          (160)            412            252          (134)           (34)          (168) 
 
Taxation on return on ordinary 
 activities                               7              -              -              -              -              -              - 
 
Return on ordinary activities 
 after tax                                           (160)            412            252          (134)           (34)          (168) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Return on ordinary activities 
 after tax attributable 
 to: 
B shareholders                                       (160)            412            252          (134)           (34)          (168) 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
Earnings per share -- basic 
 and diluted                              8         (2.2)p           5.7p           3.5p         (2.5)p         (0.7)p         (3.2)p 
                                 ----------  -------------  -------------  -------------  -------------  -------------  ------------- 
 
 
   Combined Statement of Changes in Equity 
 
 
 
 
                                                                     Capital    Capital 
                                                                     reserve    reserve 
                                                       Special       realised   holding 
                                 Share     Share     distributable    gains/     gains/   Revenue 
                                 capital   premium      reserve      (losses)   (losses)   reserve   Total 
                                GBP'000   GBP'000      GBP'000       GBP'000    GBP'000   GBP'000   GBP'000 
------------------------------ 
Balance as at 1 January 
 2019                                121       568          10,839      1,029    (1,309)   (1,967)    9,281 
B share issue                         24     2,238               -          -          -         -    2,262 
Revenue return on ordinary 
 activities after tax                  -         -               -          -          -     (130)    (130) 
Expenses charged to capital            -         -               -       (21)          -         -     (21) 
Performance fee allocated 
 as capital expenditure                -         -               -        136          -         -      136 
Dividends paid                         -         -         (2,444)          -          -         -  (2,444) 
Current period gains 
 on disposal                           -         -               -         52          -         -       52 
Current period losses 
 on fair value of investments          -         -               -          -      (752)         -    (752) 
Balance as at 31 December 
 2019                                145     2,806           8,395      1,196    (2,061)   (2,097)    8,384 
B share issue                         27     2,363               -          -          -         -    2,390 
Revenue return on ordinary 
 activities after tax                  -         -               -          -          -     (160)    (160) 
Expenses charged to capital            -         -               -       (33)          -         -     (33) 
Performance fee allocated 
 as capital expenditure                -         -               -      (140)          -         -    (140) 
Dividends paid                         -         -         (1,301)          -          -         -  (1,301) 
Current period gains 
 on disposal                           -         -               -        948          -         -      948 
Current period gains 
 on fair value of investments          -         -               -          -        682         -      682 
Prior years' unrealised 
 losses now realised                   -         -               -      (267)        267         -        - 
Balance as at 31 December 
 2020                                172     5,169           7,094      1,704    (1,112)   (2,257)   10,770 
 
 
   The accompanying notes are an integral part of the Financial Statements. 
 
   Ordinary Shares - Statement of Changes in Equity 
 
 
 
 
                                                                     Capital    Capital 
                                                                     reserve    reserve 
                                                       Special       realised   holding 
                                 Share     Share     distributable    gains/     gains/   Revenue 
                                 capital   premium      reserve      (losses)   (losses)   reserve   Total 
                                GBP'000   GBP'000      GBP'000       GBP'000    GBP'000   GBP'000   GBP'000 
------------------------------ 
Balance as at 1 January 
 2019                                 81         -           7,412      1,047    (1,309)   (1,949)    5,282 
Revenue return on ordinary 
 activities after tax                  -         -               -          -          -         4        4 
Performance fee allocated 
 as capital expenditure                -         -               -        136          -         -      136 
Dividends paid                         -         -         (2,272)          -          -         -  (2,272) 
Current period gains 
 on disposal                           -         -               -         38          -         -       38 
Current period losses 
 on fair value of investments          -         -               -          -      (725)         -    (725) 
Balance as at 31 December 
 2019                                 81         -           5,140      1,221    (2,034)   (1,945)    2,463 
Revenue return on ordinary 
 activities after tax                  -         -               -          -          -         -        - 
Expenses charged to 
 capital                               -         -               -        (2)          -         -      (2) 
Performance fee allocated 
 as capital expenditure                -         -               -      (140)          -         -    (140) 
Dividends paid                         -         -         (1,055)          -          -         -  (1,055) 
Current period gains 
 on disposal                           -         -               -        720          -         -      720 
Current period gains 
 on fair value of investments          -         -               -          -        467         -      467 
Prior years' unrealised 
 losses now realised                   -         -               -      (267)        267         -        - 
Balance as at 31 December 
 2020                                 81         -           4,085      1,532    (1,300)   (1,945)    2,453 
 
 
   B Shares - Statement of Changes in Equity 
 
 
 
 
                                                                     Capital    Capital 
                                                                     reserve    reserve 
                                                       Special       realised   holding 
                                 Share     Share     distributable    gains/     gains/   Revenue 
                                 capital   premium      reserve      (losses)   (losses)   reserve   Total 
                                GBP'000   GBP'000      GBP'000       GBP'000    GBP'000   GBP'000   GBP'000 
------------------------------ 
Balance as at 1 January 
 2019                                 40       568           3,427       (18)          -      (18)    3,999 
B share issue                         24     2,238               -          -          -         -    2,262 
Revenue return on ordinary 
 activities after tax                  -         -               -          -          -     (134)    (134) 
Expenses charged to capital            -         -               -       (21)          -         -     (21) 
Dividends paid                         -         -           (172)          -          -         -    (172) 
Current period gains 
 on disposal                           -         -               -         14          -         -       14 
Current period losses 
 on fair value of investments          -         -               -          -       (27)         -     (27) 
Balance as at 31 December 
 2019                                 64     2,806           3,255       (25)       (27)     (152)    5,921 
B share issue                         27     2,363               -          -          -         -    2,390 
Revenue return on ordinary 
 activities after tax                  -         -               -          -          -     (160)    (160) 
Expenses charged to capital            -         -               -       (31)          -         -     (31) 
Dividends paid                         -         -           (246)          -          -         -    (246) 
Current period gains 
 on disposal                           -         -               -        228          -         -      228 
Current period gains 
 on fair value of investments          -         -               -          -        215         -      215 
Balance as at 31 December 
 2020                                 91     5,169           3,009        172        188     (312)    8,317 
 
 
 
 
 
 
Combined Balance Sheet 
                                            Combined as at     Combined as at 
                                            31 December 2020    31 December 2019 
                                    Note  GBP'000     GBP'000   GBP'000   GBP'000 
---------------------------------- 
 
Fixed asset investments*              10         -      6,123                4,761 
Current assets: 
Debtors                               11         7          -          3 
Cash at bank and in hand                     5,056                 3,909 
Creditors: amounts falling due 
 within one year                      12     (223)          -      (236) 
Net current assets                                      4,840                3,676 
Creditors: amounts falling due 
 after more than one year             12     (193)                  (53) 
Net assets                                             10,770                8,384 
 
Called up equity share capital        13                  172                  145 
Share premium                         14                5,169                2,806 
Special distributable reserve         14                7,094                8,395 
Capital reserve -- realised gains 
 and losses                           14                1,704                1,196 
                        -- holding 
                         gains and 
                         losses       14              (1,112)              (2,061) 
Revenue reserve                       14              (2,257)              (2,097) 
Total equity shareholders' funds                       10,770                8,384 
 
 
   *At fair value through profit and loss 
 
   The accompanying notes are an integral part of the Financial Statements. 
 
   The statements were approved by the Directors and authorised for issue 
on 22 February 2021 and are signed on their behalf by: 
 
   John Hustler 
 
   Chairman 
 
   Company No: 04221489 
 
 
 
 
Ordinary Share Balance Sheet 
 (non-statutory analysis) 
                                          Ordinary shares    Ordinary shares 
                                               as at          as at 
                                          31 December 2020    31 December 2019 
                                  Note   GBP'000   GBP'000    GBP'000   GBP'000 
-------------------------------- 
 
Fixed asset investments*            10                2,141                2,068 
Current assets: 
Debtors                                         -                    - 
Cash at bank and in hand                      527                  470 
Creditors: amounts falling due 
 within one year                             (22)                 (22) 
Net current assets                                      505                  448 
Creditors: amounts falling due 
 after more than one year           12      (193)                 (53) 
Net assets                                            2,453                2,463 
 
Called up equity share capital      13                   81                   81 
Share premium                                             -                    - 
Special distributable reserve                         4,085                5,140 
Capital reserve -- realised 
 gains and losses                                     1,532                1,221 
                        -- 
                         holding 
                         gains 
                         and 
                         losses                     (1,300)              (2,034) 
Revenue reserve                                     (1,945)              (1,945) 
Total equity shareholders' funds                      2,453                2,463 
Net asset value per share          9                  30.2p                30.4p 
 
 
   *At fair value through profit and loss 
 
 
 
 
B Share Balance Sheet (non-statutory analysis) 
                                            B shares as at     B shares as at 
                                            31 December 2020    31 December 2019 
                                    Note  GBP'000    GBP'000   GBP'000    GBP'000 
---------------------------------- 
 
Fixed asset investments*              10                3,982                2,693 
Current assets: 
Debtors                                          7                    3 
Cash at bank and in hand                     4,529                3,439 
Creditors: amounts falling due 
 within one year                             (201)                (214) 
Net current assets                                      4,335                3,228 
Creditors: amounts falling due 
 after more than one year             12         -                    - 
Net assets                                              8,317                5,921 
 
Called up equity share capital        13                   91                   64 
Share premium                                           5,169                2,806 
Special distributable reserve                           3,009                3,255 
Capital reserve -- realised gains 
 and losses                                               172                 (25) 
                        -- holding 
                         gains and 
                         losses                           188                 (27) 
Revenue reserve                                         (312)                (152) 
Total equity shareholders' funds                        8,317                5,921 
Net asset value per share            9                  91.8p                93.1p 
 
 
   *At fair value through profit and loss 
 
   Combined Statement of Cash Flows 
 
 
 
 
                                                         Combined Year        Combined Year 
                                                               to                   to 
                                                        31 December 2020     31 December 2019 
                                               Note         GBP'000              GBP'000 
                                                     -------------------  ------------------- 
      Cash flows from operating 
      activities 
  Return on ordinary activities before 
   tax                                                             1,297                (715) 
  Adjustments for: 
      (Increase)/decrease in debtors             11                  (4)                   20 
      Increase/(decrease) in creditors           12                  143                (143) 
      Gain on disposal of fixed asset 
       investments                                                 (948)                 (52) 
      (Gain)/loss on valuation of fixed 
       asset investments                                           (682)                  752 
----------------------------------------  --------- 
      Cash from operations                                         (194)                (138) 
      Income taxes paid                           7                    -                    - 
----------------------------------------  --------- 
      Net cash used in operating 
       activities                                                  (194)                (138) 
 
Cash flows from investing activities 
Purchase of fixed asset investments              10              (1,360)              (2,248) 
Sale of fixed asset investments                  10                1,628                   80 
                                          --------- 
Total cash inflow/(outflow) from 
 investing activities                                                268              (2,168) 
 
Cash flows from financing activities 
 Dividend paid                                                   (1,301)              (2,444) 
Issue of B shares                                                  2,390                2,262 
Awaiting B share issue                           12                 (16)                 (49) 
                                          --------- 
Total cash inflow/(outflow) from 
 financing activities                                              1,073                (231) 
 
Increase/(decrease) in cash and cash 
 equivalents                                                       1,147              (2,537) 
 
Opening cash and cash equivalents                                  3,909                6,446 
 
Closing cash and cash equivalents                                  5,056                3,909 
                                          --------- 
 
 
 
   The accompanying notes are an integral part of the Financial Statements. 
 
   Ordinary Shares Statement of Cash Flows 
 
   (non-statutory analysis) 
 
 
 
 
                                                     Ordinary shares      Ordinary shares 
                                                         Year to              Year to 
                                                     31 December 2020     31 December 2019 
                                            Note         GBP'000              GBP'000 
                                                  -------------------  ------------------- 
      Cash flows from operating 
      activities 
Return on ordinary activities before 
 tax                                                            1,045                (547) 
Adjustments for: 
(Increase)/decrease in debtors                                      -                    - 
Increase/(decrease) in creditors                                  140                (174) 
Gain on disposal of fixed asset 
 investments                                                    (720)                 (38) 
(Gain)/loss on valuation of fixed 
 asset investments                            10                (467)                  725 
                                       --------- 
      Cash from operations                                        (2)                 (34) 
      Income taxes paid                        7                    -                    - 
-------------------------------------  --------- 
      Net cash used in operating 
       activities                                                 (2)                 (34) 
 
Cash flows from investing activities 
Sale of fixed asset investments               10                1,114                   38 
                                       --------- 
Total cash inflow from investing 
 activities                                                     1,114                   38 
 
Cash flows from financing activities 
 Dividend paid                                                (1,055)              (2,272) 
                                       --------- 
Total cash outflow from financing 
 activities                                                   (1,055)              (2,272) 
 
Increase/(decrease) in cash and cash 
 equivalents                                                       57              (2,268) 
 
Opening cash and cash equivalents                                 470                2,738 
 
Closing cash and cash equivalents                                 527                  470 
                                       --------- 
 
 
 
 
   B Shares Statement of Cash Flows 
 
   (non-statutory analysis) 
 
 
 
 
                                                         B shares        B shares 
                                                          Year to         Year to 
                                                        31 December     31 December 
                                                           2020            2019 
                                               Note       GBP'000         GBP'000 
                                                     --------------  -------------- 
Cash flows from operating activities 
Return on ordinary activities before 
 tax                                                            252           (168) 
Adjustments for: 
(Increase)/decrease in debtors                                  (4)              20 
Increase in creditors                                             3              31 
Gain on disposal of fixed asset 
 investments                                                  (228)            (14) 
(Gain)/loss on valuation of fixed asset 
 investments                                     10           (215)              27 
                                          --------- 
      Cash from operations                                    (192)           (104) 
      Income taxes paid                           7               -               - 
----------------------------------------  --------- 
      Net cash used in operating 
       activities                                             (192)           (104) 
 
Cash flows from investing activities 
Purchase of fixed asset investments              10         (1,360)         (2,248) 
Sale of fixed asset investments                  10             514              42 
                                          --------- 
Total cash outflow from investing 
 activities                                                   (846)         (2,206) 
 
Cash flows from financing activities 
 Dividend paid                                                (246)           (172) 
Issue of B shares                                             2,390           2,262 
Awaiting B share issue                           12            (16)            (49) 
                                          --------- 
Total cash inflow from financing 
 activities                                                   2,128           2,041 
 
Increase/(decrease) in cash and cash 
 equivalents                                                  1,090           (269) 
 
Opening cash and cash equivalents                             3,439           3,708 
 
Closing cash and cash equivalents                             4,529           3,439 
                                          --------- 
 
 
 
 
   Notes to the Financial Statements 
 
   1.     Principal Accounting Policies 
 
   Basis of preparation 
 
   The Financial Statements have been prepared under the historical cost 
convention, except for the measurement at fair value of certain 
financial instruments, and in accordance with UK Generally Accepted 
Accounting Practice ("GAAP"), including FRS 102 and with the Companies 
Act 2006 and the Statement of Recommended Practice (SORP) 'Financial 
Statements of Investment Trust Companies and Venture Capital Trusts 
(revised 2019)'. 
 
   The principal accounting policies have remained materially unchanged 
from those set out in the Company's 2019 Annual Report and Financial 
Statements. A summary of the principal accounting policies is set out 
below. 
 
   The Company is a public company and is limited by shares. The Company 
held all fixed asset investments at fair value through profit or loss. 
Accordingly, all interest income, fee income, expenses and gains and 
losses on investments are attributable to assets held at fair value 
through profit or loss. 
 
   The most important policies affecting the Company's financial position 
are those related to investment valuation and require the application of 
subjective and complex judgements, often as a result of the need to make 
estimates about the effects of matters that are inherently uncertain and 
may change in subsequent periods. These are discussed in more detail 
below. 
 
   Going Concern 
 
   The assets of the Company consist mainly of securities, four of which 
are AIM quoted, quite liquid and readily accessible, as well as cash. As 
at 31 December 2020, 47% of net assets was cash. After reviewing the 
Company's forecasts and expectations, the Directors have a reasonable 
expectation that the Company has adequate resources to continue in 
operational existence for the foreseeable future. The Company therefore 
continues to adopt the going concern basis in preparing its Financial 
Statements. 
 
   In addition to the above, the Company is also facing risks resulting 
from the impact of the C-19 pandemic. The Company's Board and Investment 
Manager are focused on ensuring that investee companies are taking the 
required actions to minimise the potential impact that the C-19 pandemic 
could have on them.  The Board and Seneca will continue to review risks 
posed by C-19 and keep those risks under regular review. 
 
   Key judgements and estimates 
 
   The preparation of the Financial Statements requires the Board to make 
judgements and estimates regarding the application of policies affecting 
the reported amounts of assets, liabilities, income and expenses. 
Estimates and assumptions mainly relate to the fair valuation of the 
fixed asset investments particularly unquoted investments. Estimates are 
based on historical experience and other assumptions that are considered 
reasonable under the circumstances. The estimates and the assumptions 
are under continuous review with particular attention paid to the 
carrying value of the investments. 
 
   Investments are regularly reviewed to ensure that the fair values are 
appropriately stated. Unquoted investments are valued in accordance with 
current International Private Equity and Venture Capital Valuation 
(IPEV) guidelines, which can be found on their website at 
www.privateequityvaluation.com, although this does rely on subjective 
estimates such as appropriate sector earnings or revenue multiples, 
forecast results of investee companies, asset values of investee 
companies and liquidity or marketability of the investments held. The 
material factors affecting the returns and net assets attributable to 
shareholders of the different share classes are the valuations of the 
Ordinary and B share pools and ongoing general expenses. 
 
   Although the Directors believe that the assumptions concerning the 
business environment and estimate of future cash flows are appropriate, 
changes in estimates and assumptions could result in changes in the 
stated values. This could lead to additional changes in fair value in 
the future. 
 
   Functional and presentational currency 
 
   The Financial Statements are presented in Sterling (GBP). The functional 
currency is also Sterling (GBP). 
 
   Cash and cash equivalents 
 
   Cash and cash equivalents includes cash in hand, deposits held at call 
with banks, other short-term highly liquid investments with original 
maturities of three months or less and bank overdrafts. 
 
   Fixed asset investments 
 
   The Company's principal financial assets are its investments and the 
policies in relation to those assets are set out below. 
 
   Purchases and sales of investments are recognised in the Financial 
Statements at the date of the transaction (trade date). 
 
   These investments will be managed and their performance evaluated on a 
fair value basis and information about them is provided internally on 
that basis to the Board. Accordingly, as permitted by FRS 102, the 
investments are measured as being fair value through profit or loss on 
the basis that they qualify as a group of assets managed, and whose 
performance is evaluated, on a fair value basis in accordance with a 
documented investment strategy. The Company's investments are measured 
at subsequent reporting dates at fair value. 
 
   In the case of investments quoted on a recognised stock exchange, fair 
value is established by reference to the closing bid price on the 
relevant date or the last traded price, depending upon convention of the 
exchange on which the investment is quoted. In the case of AIM quoted 
investments this is the closing bid price. In the case of unquoted 
investments, fair value is established by using measures of value such 
as the price of recent transactions, earnings or revenue multiples, 
discounted cash flows and net assets. These are consistent with the IPEV 
guidelines. 
 
   Gains and losses arising from changes in fair value of investments are 
recognised as part of the capital return within the Income Statement and 
allocated to the capital reserve - holding gains/(losses). 
 
   In the preparation of the valuations of assets the Directors are 
required to make judgements and estimates that are reasonable and 
incorporate their knowledge of the performance of the investee 
companies. 
 
   Fair value hierarchy 
 
   Paragraph 34.22 of FRS 102 regarding financial instruments that are 
measured in the balance sheet at fair value requires disclosure of fair 
value measurements dependent on whether the stock is quoted and the 
level of the accuracy in the ability to determine its fair value. The 
fair value measurement hierarchy is as follows: 
 
   For quoted investments: 
 
   Level 1: quoted prices in active markets for an identical asset. The 
fair value of financial instruments traded in active markets is based on 
quoted market prices at the balance sheet date. A market is regarded as 
active if quoted prices are readily and regularly available, and those 
prices represent actual and regularly occurring market transactions on 
an arm's length basis. The quoted market price used for financial assets 
held is the bid price at the Balance Sheet date. 
 
   Level 2: where quoted prices are not available (or where a stock is 
normally quoted on a recognised stock exchange that no quoted price is 
available), the price of a recent transaction for an identical asset, 
providing there has been no significant change in economic circumstances 
or a significant lapse in time since the transaction took place. The 
Company held no such investments in the current or prior year. 
 
   For investments not quoted in an active market: 
 
   Level 3: the fair value of financial instruments that are not traded in 
an active market is determined by using valuation techniques. These 
valuation techniques maximise the use of observable data (eg: the price 
of recent transactions, earnings/revenue multiple, discounted cash flows 
and/or net assets) where it is available and rely as little as possible 
on entity specific estimates. 
 
   There have been no transfers between these classifications in the year 
(2019: none). The change in fair value for the current and previous year 
is recognised through the profit and loss account. 
 
   Current asset investments 
 
   No current asset investments were held at 31 December 2020 or 31 
December 2019. Should current assets be held, gains and losses arising 
from changes in fair value of investments are recognised as part of the 
capital return within the Income Statement and allocated to the capital 
reserve - gains/(losses) on disposal. 
 
   Income 
 
   Investment income includes interest earned on bank balances and from 
unquoted loan note securities, and dividends. Fixed returns on debt are 
recognised on a time apportionment basis so as to reflect the effective 
yield, provided it is probable that payment will be received in due 
course. 
 
   The Company has not generated any income in 2020 (2019: GBPnil). 
 
   Expenses 
 
   All expenses are accounted for on an accruals basis. Expenses are 
charged wholly to revenue with the exception of the performance and 
management fee. The performance fee is charged 100% to the capital 
reserve and the investment management fee charged to the B shares has 
been split 25% revenue and 75% capital, in line with industry practice 
and to reflect the Board's estimated split of investment returns which 
will be achieved by the Company's B shares over the long term. Expenses 
and liabilities not specific to a share class are allocated to the B 
share pool for a period of three years from 1 July 2018 in line with the 
Articles of Association. 
 
   Revenue and capital 
 
   The revenue column of the Income Statement includes all income and 
revenue expenses of the Company. The capital column includes gains and 
losses on disposal and holding gains and losses on investments, as well 
as those expenses that have been charged as capital costs. Gains and 
losses arising from changes in fair value of investments are recognised 
as part of the capital return within the Income Statement and allocated 
to the appropriate capital reserve on the basis of whether they are 
realised or unrealised at the Balance Sheet date. 
 
   Taxation 
 
   Current tax is recognised for the amount of income tax payable in 
respect of the taxable profit for the current or past reporting periods 
using the applicable tax rate. The tax effect of different items of 
income/gain and expenditure/loss is allocated between capital and 
revenue return on the "marginal" basis as recommended in the SORP. 
 
   Deferred tax is recognised on an undiscounted basis in respect of all 
timing differences that have originated but not reversed at the balance 
sheet date, except as otherwise indicated. 
 
   Deferred tax assets are only recognised to the extent that it is 
probable that they will be recovered against the reversal of deferred 
tax liabilities or other future taxable profits. 
 
   Financial instruments 
 
   The Company's principal financial assets are its investments and its 
cash and the policies in relation to those assets are set out above. 
Financial liabilities and equity instruments are classified according to 
the substance of the contractual arrangements entered into. An equity 
instrument is any contract that evidences a residual interest in the 
assets of the entity after deducting all of its financial liabilities. 
Where the contractual terms of share capital do not have any terms 
meeting the definition of a financial liability then this is classed as 
an equity instrument. 
 
   Capital management is monitored and controlled using the internal 
control procedures set out on page 53 of this report. The capital being 
managed includes equity and fixed-interest investments, cash balances 
and liquid resources including debtors and creditors. 
 
   The Company does not have any externally imposed capital requirements. 
 
   Reserves 
 
   Called up equity share capital represents the nominal value of shares 
that have been issued. 
 
   Share premium account includes any premiums received on issue of share 
capital. Any transaction costs associated with the issuing of shares are 
deducted from share premium. 
 
   Special distributable reserve includes cancelled share premium and 
capital redemption reserves available for distribution and may be used 
to cover dividend payments. 
 
   Capital reserve -- holding gains and losses created when the Company 
revalues the investments still held during the period with any gains or 
losses arising being credited/ charged to the Capital reserve. 
 
   Capital reserve -- gains and losses on disposal created when an 
investment is sold. Any balance held in the Capital reserve -- holding 
gains and losses is transferred to the Capital reserve -- realised gains 
and losses on disposal and recognised as a movement in reserves. 
 
   Revenue reserve -- represents the aggregate value of accumulated 
realised profits (excluding capital profits), less losses and dividends. 
 
   Dividends Payable 
 
   Dividends payable are recognised as distributions in the Financial 
Statements when the Company's liability to make payment has been 
established. This liability is established for interim dividends when 
they are declared by the Board, and for final dividends when they are 
approved by shareholders. 
 
   2.     Income 
 
 
 
 
                               Year to       Year to 
                                31 December   31 December 2019 
                                2020 
                                    GBP'000            GBP'000 
Dividends received             -             - 
Loan note interest receivable             -                  - 
                                          -                  - 
----------------------------- 
 
 
   Investment income includes interest earned on bank balances and 
dividends. 
 
   The Company has not generated any income in the period and as such we 
have not included any segmental reporting. In the event the Company had 
generated income, we would disclose information about the Company's 
operating segments and the geographical areas in which they operate, 
which is currently in the United Kingdom. 
 
   3.     Investment Management Fees for B shares 
 
 
 
 
 
                                           Year to       Year to 
                                          31 December   31 December 
                                             2020          2019 
                                            GBP'000       GBP'000 
Gross Investment management fee                   127           103 
Cost cap refund from Seneca                      (86)          (75) 
Investment management fee net of cost 
cap                                                41            28 
 
 
   Seneca is entitled to an annual management fee of 2% of the weighted net 
asset value of the B share pool (2019: 2%) and, with effect from 1 
August 2019, is also entitled to an annual fee of GBP9,000 (plus VAT, if 
applicable) in relation to management accounting services. These fees 
are payable quarterly in arrears. Seneca will also be entitled to 
certain monitoring fees from investee companies and the Board reviews 
the amounts (please see note 19). 
 
   Seneca are also entitled to receive a performance related incentive fee 
(the "Performance Incentive Fee") in relation to the B share pool of an 
amount equal to 20% of the shareholder proceeds arising, provided that 
the payment of such a fee shall also be conditional upon (i) a return 
being generated on the B share pool for B shareholders in respect of 
that performance period of more than 5% per annum (pro-rated if that 
period is less than a year) and (ii) that such a return calculated for 
the period from 23 August 2018 to the end of the relevant performance 
period exceeds 5% per annum. 
 
   Shareholder proceeds are all amounts paid by way of dividend or other 
distributions, share buy backs, proceeds on a sale or liquidation of the 
Company in relation to the B shares and calculated on a per share basis, 
and any other proceeds or value received or deemed to be received by the 
holders of the relevant shares (excluding any income tax relief on 
subscription). 
 
   For the avoidance of doubt, no Performance Incentive Fee will be payable 
to the extent that the shareholder proceeds paid by the Company to the 
holders of the B shares have been justified by reference to 
distributable reserves otherwise attributable to the Ordinary share pool 
(as permitted in accordance with the Articles). 
 
   For a three-year period with effect from 1 July 2018, expenses of the 
Company are capped at 3% of the weighted average net asset value of the 
B shares, including the management fee (but excluding any performance 
fee). Following this initial period, expenses are capped at 3% across 
both the Ordinary share pool and the B share pool pro-rata to their 
respective net asset values. 
 
   The Investment Manager will indemnify the Company for any excess over 
the cost cap, with an amount equal to such excess either being paid by 
Seneca to the Company or refunded by way of a reduction to its fees. 
Accordingly, Seneca reduced its management fee by GBP86,000 in the year 
to 31 December 2020 (2019: reduced by GBP75,000). 
 
   Expenses are charged wholly to revenue with the exception of the (net) 
investment management fee which has been charged 75% to the capital 
reserve in line with industry practice and the performance fee. 
 
   4.     Other Expenses 
 
 
 
 
                                                  Year to            Year to 
                                              31 December 2020   31 December 2019 
                                                  GBP'000            GBP'000 
Directors' remuneration                                     50                 33 
Fees payable to the Company's auditor 
 for the audit of the Financial Statements                  22                 15 
Legal and professional expenses                             59                 49 
Accounting and administration services                       7                 12 
Other expenses (revenue)                                    12                 14 
Other expenses (capital)                                     2                  - 
                                                           152                123 
 
 
   All expenses were charged to the Ordinary shares for the period to 30 
June 2018. In line with the offer for subscription for B shares, and 
following the initial allotment of B shares on 23 August 2018, all the 
Company's general expenses are chargeable to the B share pool for a 
period of three years from 1 July 2018 (subject to the cost cap 
discussed in note 3). Any expenditure related specifically to assets in 
one pool is chargeable to that pool. It should be noted that the only 
items specifically relating to the Ordinary share pool relate to a GBP2k 
legal fee (2019: GBP4k credit of released accruals for advisory fees). 
 
   5.     Directors' Remuneration 
 
 
 
 
                               Year to            Year to 
                           31 December 2020   31 December 2019 
                                 GBP                GBP 
Directors' emoluments: 
John Hustler (Chairman)              15,339             12,897 
Charles Breese                            -              6,375 
Richard Roth                         19,608             12,897 
Alex Clarkson                        15,339                981 
Richard Manley                            -                  - 
                                     50,286             33,150 
 
 
   Richard Manley, a director of the Investment Manager, has elected to 
waive his Director's fee, until the Company's operating costs are less 
than the expenses cost cap. 
 
   As part of the Board's regular review of Directors' fees, it was 
determined that Richard Roth's Director's fee would increase to 
GBP20,000 per annum inclusive of all expenses with effect from 1 October 
2020 to reflect the work performed by him in respect of his role as 
Chairman of the Audit Committee. It was also decided that Richard Roth 
would receive a one-off payment of GBP2,500 in respect of the work he 
performed as part of this role for the period prior to 1 October 2020. 
Apart from this, none of the Directors received any other remuneration 
from the Company during the year. 
 
   Directors' emoluments include remuneration and employers' National 
Insurance contributions. 
 
   Certain Directors may become entitled to receive a share of the 
performance incentive fee related to the Ordinary share pool as detailed 
in the Directors' Remuneration Report on page 58 and in note 6. 
 
   The Company has no employees other than non-executive Directors. The 
average number of non-executive Directors in the year was four (2019: 
four). 
 
   6.     Performance Fees for Ordinary shares 
 
   The performance incentive fees are calculated separately on the Ordinary 
shares and the B shares. Performance incentive fees in relation to the 
Ordinary shares are potentially payable to past and current members of 
the CAC. The current members of the CAC are John Hustler and Richard 
Roth. 
 
   The CAC entered into an agreement to take over management of the 
Company's investments on 30 July 2007 (the "2007 Agreement"), and at 
that time, a revised performance incentive scheme was implemented, such 
that its members would be entitled to 20% of all cash returns above the 
initial net cost to subscribing shareholders of 80p (the "Accrued 
Performance Incentive Fee"). 
 
   On 7 October 2015, the performance incentive fee structure was further 
amended as follows. In respect of the period to 31 December 2014, the 
Accrued Performance Incentive Fee on the Ordinary share class of up to 
GBP702,000 shall be payable to James Otter (a former director of the 
Company who was also a member of the CAC), Charles Breese (a former 
director of the Company who was also a member of the CAC) and John 
Hustler, in equal proportions (with the liability to pay a director his 
share of such fee being extinguished if the fee is due for payment five 
years after his ceasing to be a member of the CAC. Such extinguished 
fees are credited back to the Company). 
 
   The liability to pay James Otter his share of any potential Accrued 
Performance Incentive Fee was extinguished on 7 October 2020 - the fifth 
anniversary of his ceasing to be a member of the CAC. No payment has, or 
will be paid, to James Otter under these schemes as the required 
shareholder distributions had not been made in time. The fee of 
GBP17,667 that had been accrued at 31 December 2019 for his potential 
benefit has been credited back to the Company, with the total potential 
liability for the Company now reduced from GBP702,000 to GBP468,000. 
 
   As a result of the reduction in the Accrued Performance Incentive Fee by 
one third, the amount of the Accrued Performance Incentive Fee shall be 
16.67% of any dividends and capital distributions returned to 
shareholders, which in total exceed the sum of 80p per Ordinary share 
(the "Hurdle"). This includes dividends paid to date on the Ordinary 
shares, being 65.25p per share. As a result of this, for every GBP1 
potentially distributable in excess of the Hurdle, 80p shall be 
distributed to shareholders and 13.33p shall be paid as the Accrued 
Performance Incentive Fee, with 6.67p (being one third of the original 
20p) retainable by the Company up until an amount of 114.65p per 
Ordinary share has been distributed to Ordinary shareholders, after 
which no further payment is payable in respect of the Accrued 
Performance Incentive Fee or otherwise under the terms of the 2007 
Agreement (as amended). The Accrued Performance Incentive Fee shall be 
paid at the same time as payments are made to the Ordinary shareholders. 
All distributions by way of dividends and capital distributions in 
relation to the Ordinary share class shall count towards the Accrued 
Performance Incentive Fee and where non-cash dividends are declared, the 
Company's auditors shall assess their value by reference to a 
distribution per share. Following payment in full of the Accrued 
Performance Incentive Fee, a further performance incentive fee may 
become payable to the CAC in relation to the period after 7 October 2015 
(the, "Further Performance Incentive Fee"). 
 
   Following the amendment on 7 October 2015, any returns above the 31 
December 2014 levels are subject to a further hurdle (the "Further 
Hurdle"), and the Further Performance Incentive Fee reduces the share to 
the CAC to 10% of sums returned to Ordinary shareholders by way of 
dividends and capital distributions of whatever nature, which in total 
exceed the Further Hurdle (excluding any initial tax relief on the 
subscription for the Ordinary shares). The "Base Figure" for the Further 
Hurdle shall be 90.4p per Ordinary share and shall be increased by a sum 
equal to notional interest thereon, at the rate of 1.467% per quarter 
from 1 January 2015, compounded with quarterly rests. For the purposes 
of determining the increase in the Base Figure, the amount on which 
notional interest is to accrue in each quarter shall be reduced by the 
amount of all sums returned to Ordinary shareholders by way of dividends 
and capital distributions in the previous quarter. Shareholders will 
need to have received distributions of 114.65p per Ordinary share, 
together with the amount to take account of notional interest as 
calculated above, before any Further Performance Incentive Fee is 
payable. 
 
   As at 31 December 2020, the Total Gross Return in respect of the 
Ordinary shares is 97.85p, and so 3.57p per Ordinary share, totalling 
GBP290,000 would have accrued, though only two thirds of the Accrued 
Performance Incentive Fee, 2.38p per Ordinary share totalling 
GBP193,000, has been accrued as part of this liability as a result of 
James Otter's liability being extinguished as detailed above, resulting 
in the remainder being retainable by the Company (31 December 2019: 
83.25, 0.65p and GBP53,000). 
 
   Assuming no dividends are paid on the Ordinary shares in 2021, the Total 
Gross Return would need to exceed 163.3p at 31 December 2021 before any 
Further Performance Incentive Fee could be due, and at that time, it 
would be 10% of any dividends or capital distributions made above this 
threshold. If the Further Performance Incentive Fee is not triggered (as 
it has not been in this financial year) the Further Hurdle, net of 
dividends paid, increments by a compound annual growth rate of 6%, 
applied quarterly as described above. 
 
   If the CAC consider it necessary to engage external advisors in support 
of managing its portfolio, the costs of this will be borne by the 
Ordinary share pool. The Further Performance Incentive Fee shall be 
divided among such members of the CAC (past, present and future) who 
have been members of that committee since the 7 October 2015, on a pro 
rata basis, linked to the relative amount of time since the date of the 
7 October 2015 agreement for which each individual has been a member of 
the CAC. An individual will not be entitled to payment of any of Further 
Performance Incentive Fee if he ceased to be a member of the CAC in 
certain conditions, or ceased to be a member of the CAC more than five 
years before the payment of any amount of Further Performance Incentive 
Fee becomes due and any such fees will be credited back to the Company. 
For the purposes of the Further Performance Incentive Fee, the method of 
determining distributions will follow that used in calculating the 
Accrued Performance Incentive Fee. 
 
   7.     Tax on Ordinary Activities 
 
   The corporation tax charge for the period was GBPnil (2019: GBPnil). 
 
   The tax charge is calculated on return on ordinary activities before 
taxation at the applicable rate of 19.0% (2019: 19.0%) 
 
 
 
 
 
 
                                               Year to            Year to 
                                           31 December 2020   31 December 2019 
   Current tax reconciliation:                 GBP'000            GBP'000 
---------------------------------------- 
   Return on Ordinary activities before 
    tax                                               1,297              (715) 
----------------------------------------  -----------------  ----------------- 
   Current tax at 19% (2019: 19%)                       246              (136) 
   Gains/losses not subject to tax                    (310)                133 
   Performance fee accrual not tax 
   deductible                                            37                  - 
   Excess management expenses carried 
    forward                                              27                  3 
----------------------------------------  -----------------  ----------------- 
   Total current tax charge and tax          -                  - 
    on results of ordinary activities 
 
 
   The company has excess management expenses of GBP2,896,000 (2019: 
GBP2,755,000) to carry forward to offset against future taxable profits. 
 
   Approved VCTs are exempt from tax on capital gains within the Company. 
Since the Directors intend that the Company will continue to conduct its 
affairs so as to maintain its approval as a VCT, no current deferred tax 
has been provided in respect of any capital gains or losses arising on 
the revaluation or disposal of investments. 
 
   8.     Earnings per Share 
 
   The earnings per Ordinary share is based on 8,115,376 (31 December 2019: 
8,115,376) shares, being the weighted average number of Ordinary shares 
in issue during the year, and a return for the year totalling 
GBP1,045,000 (31 December 2019: (GBP547,000)). 
 
   The earnings per B share is based on 7,248,338 (31 December 2019: 
5,269,973) shares, being the weighted average number of B shares in 
issue during the year, and a return for the year totalling GBP252,000 
(31 December 2019: (GBP168,000)). 
 
   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. 
 
   9.     Net Asset Value per Share 
 
   The calculation of NAV per Ordinary share as at 31 December 2020 is 
based on 8,115,376 Ordinary shares in issue at that date (31 December 
2019: 8,115,376). 
 
   The calculation of NAV per B share as at 31 December 2020 is based on 
9,062,948 B shares in issue at that date (31 December 2019: 6,361,448). 
 
   10.              Fixed Asset Investments 
 
   Ordinary Shares 
 
 
 
 
                                                        Level 3: 
                                    Level 1:            Unquoted       Total 
                              AIM-quoted investments   investments   investments 
                                     GBP'000            GBP'000       GBP'000 
Valuation and net book 
amount: 
Book cost as at 1 January 
 2020                                          1,117         2,985         4,102 
Cumulative revaluation                           117       (2,151)       (2,034) 
Valuation at 1 January 2020                    1,234           834         2,068 
 
Movement in the year: 
Purchases at cost                                  -             -             - 
Disposals -- cost                              (391)         (270)         (661) 
Disposals -- revaluation                         (3)           270           267 
Revaluation in year                              780         (313)           467 
Valuation at 31 December 
 2020                                          1,620           521         2,141 
 
Book cost at 31 December 
 2020                                            726         2,715         3,441 
Revaluation to 31 December 
 2020                                            894       (2,194)       (1,300) 
 
Valuation at 31 December 
 2020                                          1,620           521         2,141 
 
 
   B Shares 
 
 
 
 
                                    Level 1:      Level 3: 
                                   AIM-quoted     Unquoted       Total 
                                   investments   investments   investments 
                                    GBP'000       GBP'000       GBP'000 
Valuation and net book amount: 
Book cost as at 1 January 2020             720         2,000         2,720 
Cumulative revaluation                    (90)            63          (27) 
Valuation at 1 January 2020                630         2,063         2,693 
 
Movement in the year: 
Purchases at cost                          576           784         1,360 
Disposals -- cost                        (286)             -         (286) 
Disposals -- revaluation                     -             -             - 
Revaluation in year                        415         (200)           215 
Valuation at 31 December 2020            1,335         2,647         3,982 
 
Book cost at 31 December 2020            1,010         2,784         3,794 
Revaluation to 31 December 2020            325         (137)           188 
 
Valuation at 31 December 2020            1,335         2,647         3,982 
 
 
   Further details of the fixed asset investments held by the Company are 
shown within the Investment Manager's Report on pages 14 to 35. 
 
   All investments are initially measured at their transaction price. 
Subsequently, at each reporting date, the investments are valued at fair 
value through profit or loss, and all capital gains or losses on 
investments are so measured. Unquoted fixed asset investments are valued 
at fair value in accordance with the IPEV guidelines. 
 
 
 
   The changes in fair value of such investments recognised in these 
Financial Statements are treated as unrealised holding gains or losses. 
 
   The launch of the B Share pool took place relatively recently in August 
2018, and all but one of the B Share unquoted investments have taken 
place in the two years ending 31 December 2020. As these companies are 
at an early stage of the investment cycle, it is the Board's view that 
the most appropriate valuation methodology is to hold the B Share 
unquoted investments at cost or in line with the price of the most 
recent investment received by the investee company. This is consistent 
with the approach adopted for the valuation of the Ordinary share pool's 
unquoted investments. 
 
   When using this methodology however, a detailed assessment of the 
respective value of each portfolio company is also performed in order to 
gain the necessary comfort as to whether a fair value reduction or 
uplift is in fact required. This process involves a review of the 
progress made by each investee company, recent developments in the M&A 
market and comparisons to listed competitors across all relevant key 
performance indicators. Further, all of these are considered in the 
context of the exit equity waterfall structure as detailed in each 
investee company's articles of association. 
 
   FRS 102 requires the Directors to consider the impact of changing one or 
more of the assumptions used as part of the valuation process to 
reasonable possible alternative assumptions. As noted above, whilst the 
methodologies adopted for the 31 December 2020 investee company 
valuations are not based on revenue or earnings multiples, the Board do 
consider revenue multiple based valuation methodologies in support of 
the valuations adopted where relevant. 
 
   In view of the FRS 102 requirement, the Board have considered the impact 
that introducing reasonable alternative assumptions to this revenue 
multiple based valuation methodology could have on the value of the 
Company's investment pool as at 31 December 2020. 
 
   As a result of this analysis the Board have concluded that such 
reasonable possible alternative assumptions could result in an increase 
in the valuation of the B share pool unquoted investments by GBP81,000 
or a decrease in the valuation of B share pool investments by GBP48,000. 
It was considered that only one B share portfolio company was relevant 
for this exercise due to its more mature trading profile.  It was not 
considered that any of the Ordinary share pool portfolio companies were 
relevant for this exercise. 
 
   Throughout this exercise, and in determining the value of the Company's 
equity investments where trading multiples are considered, multiples 
used are reviewed and compared to industry peers, based on size, stage 
of development, revenue generation and growth rate, as well as their 
wider strategy and market position. These multiples are calculated in 
the traditional manner, by dividing the enterprise value of the 
comparable group by its revenue, EBITDA or earnings depending on what is 
the norm in a particular sector driven by how acquisitions in that 
sector are typically valued. The trading multiple is then adjusted for 
considerations such as illiquidity, marketability and other differences, 
advantages and disadvantages between the portfolio company and the 
comparable public companies based on company specific facts and 
circumstances. 
 
   11.              Debtors 
 
 
 
 
                                 31 December  31 December 
                                     2020         2019 
                                   GBP'000      GBP'000 
Prepayments and accrued income             7            3 
 
 
   12.              Creditors 
 
 
 
 
                                      31 December 2020  31 December 2019 
                                          GBP'000           GBP'000 
Amounts falling due within one year 
Trade creditors                                      1                 8 
PAYE/NIC                                             7                 - 
Awaiting B share allotment                         154               170 
Other creditors                                     23                22 
Accruals                                            37                36 
Total amounts falling due within 
 one year                                          223               236 
 
Amounts falling due after one year 
Accruals                                           193                53 
Total amounts falling due after one 
 year                                              193                53 
 
 
   The amount falling due after more than one year relates to the potential 
liability for a performance fee on the Ordinary share portfolio. More 
details are in note 6. The awaiting B share issue included in the 
combined and B share cash flow statements shows the movement in cash 
awaiting B share issue in the year since the prior year end. 
 
   13.              Share Capital 
 
 
 
 
                                         31 December 2020  31 December 2019 
                                             GBP'000           GBP'000 
Allotted and fully paid up: 
8,115,376 Ordinary shares of 1p (2019: 
 8,115,376 shares of 1p) 
 9,062,948 B shares of 1p (2019 :               81                81 
 6,361,448)                                     91                64 
                                                      172               145 
 
 
   The capital of the Company is managed in accordance with its investment 
policy with a view to the achievement of its investment objective as set 
on page 4. 
 
   During the year, the Company did not issue, nor buy back, any Ordinary 
shares. 
 
   The Company issued a total of 2,701,500 B shares at prices between 79.5 
to 94.7p per B share during the year. These were issued pursuant to the 
offer for subscription for B shares launched on 16 July 2019 and a 
further offer for subscription for B shares launched on 13 October 2020 
to raise, in aggregate, up to GBP10 million with an over-allotment 
facility of up to a further GBP10 million (before issue costs). The 
Company has not bought back any B shares. 
 
   The total proceeds received for the shares issued in the period was 
GBP2,390k (net of facilitated fees, gross of Seneca's promoter fee) for 
the B share pool. 
 
 
 
   Share Rights 
 
   As regards Income: shareholders shall be entitled to receive such 
dividends as the Directors resolve to pay out in accordance with the 
Articles. Under the Articles of the Company, all the assets of the 
Company and all the liabilities of the Company will be allocated either 
to the Ordinary share pool or the B share pool. The Ordinary shares will 
be entitled to the economic benefit of the assets allocated to the 
Ordinary share pool and the B shares will be entitled to the economic 
benefit of assets allocated to the B share pool. Therefore, although the 
rules in the CA 2006 and elsewhere in relation to the payment of 
distributions will be applicable to the Company on a company-wide basis, 
the income arising on the portfolios will belong to one or the other of 
the share classes depending on which portfolio generated the income. 
 
   As regards Capital: similarly, the capital assets of the Company will be 
allocated to either the Ordinary share pool or the B share pool. On a 
return of capital on a winding-up or on a return of capital (other than 
on a purchase by the Company of its shares) the surplus capital shall be 
divided amongst the holders of the relevant share class pro rata 
according to the number of shares of the relevant class held and the 
aggregate entitlements of that share class. The Ordinary shares will not 
be entitled to any capital assets held in the B share pool and the B 
shares will not be entitled to any capital assets held in the Ordinary 
share pool. In relation to the purchase by the Company of its shares, 
the purchase of Ordinary shares may only be financed by assets in the 
Ordinary share pool and the purchase of the B shares may only be 
financed by assets in the B share pool. 
 
   As regards voting and general meetings: subject to disenfranchisement in 
the event of noncompliance with a statutory notice requiring disclosure 
as to beneficial ownership, each shareholder present in person or by 
proxy shall on a poll have one vote for each share of which he/she is 
the holder. The Ordinary shareholders may not be entitled to vote on 
certain matters which concern the B share class only and vice versa. 
 
   As regards Redemption: none of the B shares or the Ordinary shares are 
redeemable. The Articles provide that reserves (whether created upon the 
cancellation of the share premium account arising from the issue of 
Ordinary shares or B shares or otherwise) may also be used for the 
benefit of the other share class. While this will not transfer any net 
asset value between the different share classes, it will permit those 
reserves to be treated as distributable profits on a Company-wide basis 
such that on an accounting basis dividends and share buybacks in respect 
of both share classes may be facilitated by the availability of those 
reserves. 
 
   14.              Movement in Shareholders' Funds 
 
 
 
 
 
 
                                             Year ended         Year ended 
                                           31 December 2020   31 December 2019 
                                               GBP'000            GBP'000 
---------------------------------------- 
Shareholders' funds at start of year                  8,384              9,281 
Return on ordinary activities after 
 tax                                                  1,297              (715) 
Increase due to issue of B shares                     2,390              2,262 
Dividend paid                                       (1,301)            (2,444) 
      Shareholders' funds at end of year             10,770              8,384 
---------------------------------------- 
 
 
   The analysis of changes in equity by the various reserves are shown in 
the Statement of Changes in Equity on page 73. 
 
   When the Company revalues its investments during the period, any gains 
or losses arising are credited/charged to the Income Statement. Changes 
in fair value of investments held are then transferred to the capital 
reserve - holding gains/(losses). When an investment is sold any balance 
held on the capital reserve - holding gains/(losses) reserve is 
transferred to the capital reserve -- gains/(losses) on disposal as a 
movement in reserves. 
 
   The purpose of the special distributable reserve was to create a reserve 
which will be capable of being used by the Company to pay dividends and 
for the purpose of making repurchases of its own shares in the market 
with a view to narrowing the discount at which the Company's shares 
trade to net asset value, providing shareholder authority has been 
granted. 
 
   Distributable reserves are represented by the special distributable 
reserve, the capital reserve gains/(losses) on disposal and the revenue 
reserve reduced by negative holding reserves (if any) which total 
GBP5,429,000 as at 31 December 2020 (2019: GBP5,433,000). Although the 
distributable reserves total GBP5,429,000 as at 31 December 2020, only 
GBP2,002,000 is actually able to be distributed as the reserves contain 
GBP3,427,000 from the cancellation of the share premium account on the 
newly issued B shares, which cannot be distributed until the beginning 
of 2022 without breaching VCT rules. 
 
   An interim capital dividend of 8 pence per Ordinary share for the year 
to 31 December 2020 was paid on 28 August 2020. A further interim 
capital dividend of 5 pence per Ordinary share for the year to 31 
December 2020 was paid on 30 October 2020. 
 
   An interim dividend of 1.5 pence per B share for the year to 31 December 
2020 was paid on 15 May 2020. A second interim dividend of 1.5 pence per 
B share for the year to 31 December 2020 was paid on 24 December 2020. 
 
   15.              Financial Instruments 
 
   The Company's financial instruments comprise equity investments, cash 
balances and liquid resources including creditors. 
 
   Classification of financial instruments 
 
   The Company held the following categories of financial instruments, all 
of which are included in the balance sheet at fair value, at 31 December 
2020 and 31 December 2019: 
 
 
 
 
                                         31 December 2020  31 December 2019 
                                             GBP'000           GBP'000 
Financial assets at fair value through 
 profit or loss 
Fixed asset investments                             6,123             4,761 
Total                                               6,123             4,761 
 
Financial assets measured at amortised 
 cost 
Cash at bank and in hand                            5,056             3,909 
Total                                               5,056             3,909 
 
Financial liabilities measured at 
 amortised cost 
Creditors                                              31                30 
 Accruals                                              37                36 
 Performance fee                                      193                53 
Total                                                 261               119 
 
 
   Fixed asset investments (see note 10) are valued at fair value. Unquoted 
investments are carried at fair value as determined by the Directors in 
accordance with the IPEV guidelines. The fair value of all other 
financial assets and liabilities is represented by their carrying value 
in the balance sheet. The Directors believe that the fair value of the 
assets held at the year-end is equal to their book value. 
 
   The Company's creditors are initially recognised at fair value, which is 
usually the transaction price, and then thereafter at amortised cost. 
 
   16.              Financial Risk Management 
 
   In carrying on its investment activities, the Company is exposed to 
various types of risk associated with the financial instruments and 
markets in which it invests. The most significant types of financial 
risk facing the Company are market risk, credit risk and liquidity risk. 
The Company's approach to managing these risks is set out below together 
with a description of the nature and amount of the financial instruments 
held at the balance sheet date. 
 
   Market risk 
 
   The Company's strategy for managing investment risk is determined with 
regard to the Company's investment objective, as outlined on page 4. The 
management of market risk is part of the investment management process. 
The Company's portfolio is managed with regard to the possible effects 
of adverse price movements and with the objective of maximising overall 
returns to shareholders in the medium term. Investments in unquoted 
companies, by their nature, usually involve a higher degree of risk than 
investments in companies quoted on a recognised stock exchange, though 
the risk can be mitigated to a certain extent by diversifying the 
portfolio across business sectors and asset classes. The overall 
disposition of the Company's assets is regularly monitored by the Board. 
 
   Details of the Company's investment portfolio at the balance sheet date 
are set out on pages 14 to 35. 
 
   29.4% (2019: 34.5%) by value of the Company's net assets comprise 
investments in unquoted companies held at fair value. The valuation 
methods used by the Company include the application of a price/earnings 
ratio derived from listed companies with similar characteristics, and 
consequently the value of the unquoted element of the portfolio can be 
indirectly affected by price movements on the London Stock Exchange. A 
10% overall increase in the valuation of the unquoted investments at 31 
December 2020 would have increased net assets and the total return for 
the year by GBP317,000 (2019: GBP290,000) disregarding the impact of the 
performance fee; an equivalent change in the opposite direction would 
have reduced net assets and the total return for the year by the same 
amount. 
 
   27.4% (2019: 22.2%) by value of the Company's net assets comprises 
equity securities quoted on AIM. A 10% increase in the bid price of 
these securities as at 31 December 2020 would have increased net assets 
and the total return for the year by GBP296,000 (2019: GBP186,000) 
disregarding the impact of the performance fee; a corresponding fall 
would have reduced net assets and the total return for the year by the 
same amount. 
 
   Credit risk 
 
   There were no significant concentrations of credit risk to 
counterparties at 31 December 2020 or 31 December 2019. 
 
   Credit risk is the risk that a counterparty to a financial instrument 
will fail to discharge an obligation or commitment that it has entered 
into with the Company. The Board carries out a regular review of 
counterparty risk. The carrying values of financial assets represent the 
maximum credit risk exposure at the balance sheet date. 
 
   Liquidity risk 
 
   The Company's financial assets include investments in unquoted equity 
securities which are not traded on a recognised stock exchange and which 
generally are illiquid. They also include investments in AIM-quoted 
companies, which, by their nature, involve a higher degree of risk than 
investments on the main market. As a result, the Company may not be able 
to realise some of its investments in these instruments quickly at an 
amount close to their fair value in order to meet its liquidity 
requirements, or to respond to specific events such as deterioration in 
the creditworthiness of any particular issuer. 
 
   The Company's liquidity risk is managed and monitored on a continuing 
basis by the Board in accordance with policies and procedures laid down 
by the Board. 
 
   17.              Events After the Balance Sheet Date 
 
   The share price of SkinBio rose substantially since the year end when it 
was 22p and this allowed the Company to sell a total of 1,750,000 
SkinBio shares from the B share pool in January 2021 for a total of 
GBP621k and generating a profit versus original cost of GBP341k (a 2.2x 
return on the original investment). 
 
   In addition the Company was able to realise nearly 50% of its holdings 
in Abingdon Health Plc ("Abingdon") for a small profit. The Company sold 
a total of 78,000 shares in Abingdon from the B share pool in January 
2021 for a total of GBP76k at 98 pence per share. 
 
   One additional unquoted investment was made in the B share pool in 
January 2021 into Solascure Ltd. for GBP500,000. 
 
   Following recent press coverage, the share price of Scancell rose 
significantly from 13.5p at 31 December 2020 and was 24.5p at 19 
February 2021 and this allowed the Company to take the opportunity to 
sell 1,000,000 Scancell shares from the Ordinary share pool in February 
2021 at 21.7p per Scancell share. 
 
   As a result of the above, the Company is pleased to announce an updated 
unaudited NAV of 99.4p per B share and 44.0p per Ordinary share at 19 
February 2021. 
 
   The Company also declared an interim B share dividend of 1.5p per B 
share on 18 February 2021 to be paid on 14 May 2021 to shareholders on 
the B share register on 30 April 2021, with an ex-dividend date of 29 
April 2021. 
 
   The Directors are not aware of any other post balance sheet events which 
need to be brought to the attention of shareholders. 
 
   18.              Contingencies, Guarantees and Financial Commitments 
 
   There were no contingencies, guarantees or financial commitments as at 
31 December 2020 (2019: GBPnil). 
 
   19.              Related Party Transactions 
 
   The Board acted as the investment manager of the Company until Seneca 
was appointed on 23 August 2018. Certain Directors are entitled to 
participate in a performance bonus as detailed in note 6. During the 
year, Seneca has earnt GBP127,000 in management fees (2% of the weighted 
average net assets of the B share portfolio) (2019: GBP103,000). However, 
only GBP41,000 is recoverable by Seneca as a result of the cost cap, as 
detailed in note 3 and this was paid to Seneca during the year (2019: 
GBP28,000). 
 
   Seneca as Investment Manager accrued GBP76,191 (2019: GBP138,132) 
transaction fees and directors' fees from investee companies in relation 
to the arrangement and monitoring of investments. As a related party, we 
believe that this transaction is disclosable, and the Board ensures it 
is managed from a conflicts of interest point of view. Seneca may also 
become entitled to a performance fee. See note 3 to the financial 
statements for more information on these fees. 
 
   As detailed in the offer for subscription document dated 13 October 
2020, Seneca (as promoters of the Offer) is entitled to charge the 
Company up to 5.5% of investors' subscriptions. A total of GBP6,595 has 
been paid to Seneca, based on the allotments of GBP2,396,950 (net of 
facilitated fees, gross of the promoter fee) as at 31 December 2020 
(2019: GBP20,294). 
 
 
 
 

(END) Dow Jones Newswires

February 23, 2021 02:00 ET (07:00 GMT)

Copyright (c) 2021 Dow Jones & Company, Inc.

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