Interim Management Statement

RNS Number : 0538F

Acorn Income Fund Ld

17 May 2013

 



ACORN INCOME FUND LIMITED (the "Company")

Interim Management Statement for the period 1 January 2013 to 17 May 2013 ("the Period") as required under the Disclosure and Transparency Rule 4.3.2.

Investment Objectives and Policy

The objectives of the Company are to provide the Company's shareholders with a high income and also the opportunity for capital growth.

The Company's portfolio is invested in equities and high income and fixed interest securities in order to achieve its investment objectives.  It is the aim of the Company to provide both income and capital growth predominantly through investment of approximately 70 to 80% of the portfolio in smaller capitalised United Kingdom companies, admitted to the Official List of the United Kingdom Listing Authority and traded on the London Stock Exchange or traded on AIM; and by investing approximately 20 to 30% of its assets in high yielding securities which will be predominantly fixed interest securities (including corporate bonds, preference and permanent interest bearing shares, convertible and reverse convertible bonds and debentures) but may include up to 15% of the portfolio (measured at the time of acquisition) in high yielding investment company shares.

Financial Highlights

	31 December 2012	30 April 2013	% change or return
Ordinary share NAV	261.25p	286.81p	9.78%
Ordinary share mid price	231.50p	304.00	31.32%
ZDP share NAV	106.71p	108.94p	2.09%
ZDP share mid price	113.50p	116.75	2.86%
NUMIS NSCI Ex Investment Comps Capital Return	4,958.31	5,513.12	11.19%

Material Events and Transactions

On 26 April 2013 the Company announced that it had issued the 215,000 shares held in treasury at 300p per share. The price represented a 3.3% premium to net asset value.

On 9 May 2013 the Company announced a placing and offer for subscription to raise up to approximately £30m through the issue of new ordinary shares and new zero dividend preference shares. The new shares are to be issued in the same ratio as the existing shares in issue so that the capital structure remains the same. The closing date for both the placing and the offer for subscription is 11.00am on 23 May 2013.  Application forms for the offer for subscription are contained at the back of the prospectus and will need to be received by Anson Registrars in Guernsey by the closing date. The prospectus is available on the following website - http://www.premierfunds.co.uk/library/trusts/info/acorn_prospectus.pdf

Issued share capital of the Company:

As at the date of this announcement, the issued share capital of the Company was 8,939,790 Ordinary Shares and 12,000,000 Zero Dividend Preference Shares.

Dividends

The Company announced an interim dividend on 22 February 2013 of 3.0 pence per Ordinary Share, which was paid on 2 April 2013.  The Company further announced a second interim dividend on 2 May 2013 of 2.0 pence per Ordinary Share to be paid on 28 June 2013. The directors anticipate declaring a third interim dividend of 1 pence per Ordinary Share, with record and payment dates in June 2013, and thereafter to resume quarterly payments of dividends.  

Largest holdings (% of Gross Assets) as at 30 April 2013:

Smaller Companies Portfolio	%
Tyman plc	4.60%
VP plc	4.02%
British Polythene Industries plc	4.01%
Diploma plc	3.85%
Secure Trust Bank plc	3.75%
Castings plc	3.65%
James Halstead plc	3.62%
Consort Medical plc	3.52%
Acal plc	3.32%
Brewin Dolphin Holdings plc	3.12%
Income  Portfolio
Real Estate Credit Preference Shares NPV	1.10%
GE Capital Funding 8% 14/01/2039	1.01%
Credit Suisse 7.875% 24/02/2041	0.92%
Greenwich Loan Income Fund Limited	0.85%
Kelda Finance 3 plc 5.75% 17/02/2020	0.80%
Standard Life UK 3.5% CULS 31/03/2018	0.75%
Lloyds TSB 11 7/8 16/12/2012	0.72%
F&C Finance plc 9% 20/12/2016	0.71%
Jurdica Ord NPV	0.67%
Unite Group 6.125% 12/06/2020	0.66%

For further information contact:

Premier Fund Managers Limited

Investment Adviser

Tel: [phone]

Anson Fund Managers Limited

Secretary

Tel: [phone]

A copy of the document can be found at: http://www.anson-group.com/P22.pdf

17 May 2013

E&OE - in transmission

 

END

 

 

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