Independent investment manager Albion Capital is intending to raise up to GBP36 million through a launch in early January 2019 of its top up offers for its six venture capital trusts (Albion VCTs).
The fundraising is expected to target GBP6 million for each of the six Albion VCTs: Albion Venture Capital Trust PLC, Albion Development VCT PLC, Albion Enterprise VCT PLC, Albion Technology & General VCT PLC, Crown Place VCT PLC and Kings Arms Yard VCT PLC.
The Albion VCTs’ combined portfolios have a value of approximately GBP400 million, diversified across approximately 60 businesses. The planned top up offers reflect Albion Capital’s confidence in an exciting pipeline of investment opportunities in sectors with long-term growth potential. Over the last five years the Albion VCTs have returned an average of 7.5 per cent pa, excluding tax relief.
The VCTs invest in growth companies, with strong opportunities in Albion’s technology sector specialisms, including digital healthcare, automation, digital security and data analytics.
Recent investments include technology companies such as Healios, a digital therapy business, Locum’s Nest, an app which is revolutionising the way NHS trusts manage locum doctors, Quantexa, a digital security company which works with banks and other institutions to detect financial crime using data analytics, and Egress, a cloud encryption platform which provides cyber security for companies and government departments.
Will Fraser-Allen, deputy managing partner, Albion Capital, says: “VCTs are increasingly offering investors exposure to the country’s dynamic and fast-growing technology sector, backing talented entrepreneurial founders of unquoted companies.”
“They are broadening in appeal as tax efficient investment vehicles that benefit from government incentives designed to channel money towards deserving, innovative businesses. They are also becoming more attractive to investors as part of their core retirement planning as a result of an ongoing erosion of tax free pension saving allowances.”
