Interim Management Statement

Baronsmead VCT 2 plc Interim Management Statement For the 3 month period from 1 April 2012 to 30 June 2012. Financial Headlines £6.3 million invested in nine companies 2.1% increase in underlying Net Asset Value Performance Summary As at As at 30 June 31 Mar 2012 2012 Net assets £71.62m £72.17m Net asset value per 99.58p 97.50p* share Share price 87.25p 87.38p Discount to NAV (12.4%) (10.4%) Dividends paid (1) 7.00p Dividend yield (2) 8.0% Gross yield (3) 10.7% Total return 3 months 1 year 5 years 10 years (%) (%) (%) (%) Net asset value (4) 2.1 4.0 18.3 112.2 FTSE All-Share(5) (2.6) (3.1) 2.0 80.9 Key: * Adjusted for 2.5p interim dividend for comparative purposes (1) Dividends paid in the twelve months to 30 June 2012 (2) Dividends paid expressed as a percentage of the share price as at 30 June 2012 (3) Gross equivalent yield if the dividends had been subject to higher rate tax (currently 32.5% on dividend income). For shareholders who pay the additional rate of tax (currently 42.5% on dividend income) the gross equivalent yield would be 12.6%. (4) NAV total return = NAV + reinvested dividends; Source: ISIS EP LLP (5) FTSE All-Share = FTSE All-Share Index + reinvested dividends; Source: AIC These total returns are stated before the inclusion of VCT tax reliefs which are designed to mitigate the higher risks and costs associated with investing in smaller companies and the constraints of the VCT legislation. The tax reliefs given at the time of subscription have been 20%, 40% and later 30%, so any adjusted performance measure including this relief will vary depending on the date of subscription. Investment Performance The unquoted portfolio valuation increased by 2.9% during the quarter and the AIM portfolio increased in value by 4.0% over the same period. The net asset value total return of the company was 2.1% during the quarter as compared with the FTSE All-Share Total Return which showed a negative return of 2.6% over the same period Top Ten Investments Position at Position at Percentage 30 June 31 Mar of NAV 2012 2012 Company as at 30 June 2012 1 1 Nexus Vehicle Holdings Limited 6.6 2 3 IDOX plc 6.2 3 2 CableCom Networking Holdings Limited 5.4 4 4 Crew Clothing Holdings Limited 4.3 5 7 Fisher Outdoor Leisure Holdings 3.9 Limited 6 9 Independent Living Services Limited 3.7 7 6 CSC (World) Limited 3.2 8 8 Kafévend Holdings Limited 3.1 9 5 Staffline Group plc 3.1 10 10 Valldata Group Limited 2.4 Total 41.9 Analysis of Total Assets Percentage of Percentage of total assets total assets 30 June 2012 31 Mar 2012 Unquoted investments 49 42 AIM, listed & collective 36 33 investment vehicle Listed interest bearing 14 37 securities Net Current assets 1 (12) Total liquid assets 15 25 Total Assets 100 100 Analysis of Investment Portfolio by Sector (excluding liquid assets) Percentage of total Percentage of total investments at investments at 30 June 2012 31 Mar 2012 Business Services 33 35 Consumer Markets 18 17 Financial Services 2 2 Healthcare & Education 15 14 Technology, Media and 32 32 Telecommunications Total 100 100 Investment Activity A total of approximately £6.3m was invested in the three months to 30 June 2012 The four new unquoted investments totalling £3.8m included investments in three "acquisition" companies formed to enable investments into established trading entities over the next two years. One "follow-on" investment of £0.4m into an existing unquoted portfolio company was also completed. £1.1m was invested into AIM traded companies and a further investment of £1.0m was made into the existing collective investment vehicle, Wood Street Microcap Investment Fund. After the period end the Company invested £1.0 million in Pho, an unquoted restaurant group specialising in Vietnamese street food. Investments made Company Date Cost (£'000) Dods Group plc* Apr 2012 678 Happy Days Consultancy Limited Apr 2012 833 Ingleby (1885) Limited Apr 2012 1,000 Ingleby (1886) Limited Apr 2012 1,000 Ingleby (1887) Limited Apr 2012 1,000 Inspired Energy plc* Apr 2012 100 Wood Street Microcap Investment Fund* Apr 2012 1,000 Zattikka plc Apr 2012 316 Crew Clothing Holdings Limited* May 2012 360 Total investments 6,287 *Follow on investments During the period three AIM investments were realised in full. In addition one unquoted investment, MLS Limited, was partially redeemed and further proceeds from the sale of TVC Group Limited, realised in March, were received. Realisations Company Date Cost Proceeds Multiple (£'000) (£'000) of cost MLS Limited (partial realisation) May 2012 22 22 1.0 Prologic plc May 2012 310 151 0.5 Real Good Food Company (The) plc May 2012 306 120 0.4 Stagecoach Theatre Arts plc Apr 2012 419 293 0.7 TVC Group Limited (further Jun 2012 - 49 n/a proceeds) Total realisations 1,057 635 Investment objective Baronsmead VCT 2 plc is a tax efficient listed company which aims to achieve long-term investment returns for private investors, including tax-free dividends. Events after the period end Other than the event described above, the Board is not aware of any significant events or transactions which have occurred between 1 July 2012 and the date of publication of this statement which would have a material impact on the financial position of the Company. Further information Further information regarding the Company, including net asset values published since the end of the period and quarterly fact sheets, can be found at the Company's website www.baronsmeadvct2.co.uk Contact For further information please contact: Michael Probin Investor Relations Director 020 75065600 michael.probin@isisep.com

Companies

Baronsmead Venture Trust (BVT)
UK 100
FTSE quotes by TradingView

Latest directors dealings

All directors dealings today