Statement re Related Party Transaction

RNS Number : 0682U

Maven Income and Growth VCT 5 PLC

24 July 2015

 



Maven Income and Growth VCT 5 PLC (the "Company")

Statement re Related Party Transaction

The Company is managed by Maven Capital Partners UK LLP ("Maven").

The Company has agreed with Maven that the base fee rate of the annual management fee payable to Maven under the investment management agreement will increase from 1.5% to 1.6% of total assets of the Company (exclusive of VAT) with effect from 1 June 2015.  This increase in the base fee has been agreed by the Company in order to compensate Maven for additional fixed costs that it has committed to pay on behalf of the Company.  As Maven is a related party of the Company under the Listing Rules, the increase in the fee payable by the Company to Maven is a transaction to which Listing Rule 11.1.10R applies.

Pursuant to an offer agreement dated 20 October 2014 between the Company and Maven in relation to an offer for subscription launched by the Company pursuant to a joint prospectus dated 20 October 2014, the Company agreed to the payment to Maven of a fee of an amount equal to 2.5% of the amounts remitted to the Company with an investor's application (including any amounts requested to be facilitated) in respect of applications accepted under that offer less (i) an amount equal to any early investment incentive discounts being made available by the Company (as set out in the prospectus) in respect of applications accepted under that offer, and (ii) any amounts that Maven agreed to waive in respect of applications accepted under that offer. As Maven was a related party of the Company under the Listing Rules at the time, the payment of such fee by the Company to Maven was a transaction to which Listing Rule 11.1.10R applied.

Further, William Nixon and his spouse agreed, in relation to the offer referred to above and prior to the close of that offer, to subscribe for up to £60,000 of shares in the Company. As associates of Maven, William Nixon and his spouse were related parties of the Company under the Listing Rules and consequently the subscriptions were transactions to which Listing Rule 11.1.10R applied.

The fees paid to Maven under the offer agreement and the subscriptions for shares of William Nixon and his spouse in the Company (as referred to above) have been taken into account in determining the application of the related party rules of the Listing Rules to the increase in the base fee rate of the annual management fee referred to above.

 

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