Annual Financial Report

RNS Number : 6607D

Maven Income & Growth VCT 4 PLC

30 April 2013

 

Maven Income and Growth VCT 4 PLC

Annual Financial Report for the year ended 31 December 2012

Chairman's Statement

On behalf of your Board I am pleased to report on a year of strong progress, with a number of portfolio company holdings being sold at a healthy profit during the reporting period. I am also pleased to welcome more than 2,500 new shareholders who have joined us from Ortus VCT and around 300 who have bought shares in the current offer for subscription.

As a consequence of these successful disposals there has been an increase in NAV total return on both the Ordinary and S Share Pool, and an increase in dividends for shareholders. During the year the later vintage S Share Pool continued to mature and moved closer to a similar asset constituency as the Ordinary Pool, providing sufficient income and capital gains to enable the Board to move towards greater equality in the dividends paid to both classes of shareholders prior to the merger.

In October 2012 your Board announced that it had entered discussions on a potential merger with the board of Ortus VCT PLC. Following shareholder approval the Ordinary and S share class consolidation and merger, details of which were contained in the shareholder circular and prospectus, both dated 1 March 2013, have now been successfully completed. Details of the transaction are contained in note 19 of the Financial Statements on page 61. The merger enabled your Company to acquire valuable 'old money' which can be invested under more favourable VCT regulations, and is further expected to deliver cost savings and administrative efficiency. As a result of the merger and recent Ordinary Share Offer the fund net assets have grown significantly and now exceed £28 million.

In the year under review there has been a wide range of independent industry recognition of the success of your Manager's investment approach and ability to deliver consistent levels of shareholder returns. Maven was announced as the winner in the UK Small Buyout House of the Year category for the ACQ Finance Magazine Global Awards 2012 and was also named as winner of VCT Exit of the Year at the 2012 unquote" British Private Equity Awards as well as being a finalist in the VCT House of the Year category. These awards acknowledge innovation and excellence in the private equity and venture capital sectors.

Highlights

• Total return on Ordinary shares of 122.75p per share (2011: 118.5p) at 31 December 2012, up 3.6% over the year and 29.2% since launch.

• Net asset value (NAV) of Ordinary shares at the year end of 98.2p per share (2011: 98.2p).

• Total return on S shares of 123.20p per share (2011: 112.65p) at 31 December 2012, up 9.4% over the year and 29.7% since launch.

• NAV of S shares at the year end of 111.6p per share (2011:104.1p).

• Six substantial new investments added to the portfolio during the year.

• Four significant exits from ATR Holdings, TPL (Midlands), Nessco Group Holdings and Oliver Kay Holdings for a total return of 2.4x, 2.0x, 2.7x and 2.4x cost respectively.

• Second interim dividends declared of 2.75p per Ordinary share (2011 final: 2.5p) and 1.75p per S share (2011 final: 1.3p).

• A total of 4.5p declared per Ordinary share and 3.5p per S share in respect of the year (2011: 4.0p and 2.8p respectively).

The most important measure of performance for a VCT is the total return, which is the long term record of dividend payments out of income and capital gains combined with the current NAV.

Dividends

The Company paid second interim dividends of 2.75p per Ordinary share and 1.75p per S Ordinary share on 22 March 2013 to shareholders on the register on 8 March 2013. Including the interim dividends paid in September 2012, the tax-free yield for the year is 7.5% on the net cost of investment to Ordinary shareholders and 5.0% to S shareholders taking into account the initial tax relief available at time of investment.

Since the Company's launch, and after receipt of the second interim dividend, Ordinary shareholders and S shareholders will have received 27.3p and 13.35p respectively in tax-free dividends.

Principal risks and uncertainties

The Board has reviewed the principal risks and uncertainties facing the Company, which are set out on page 28 and are the risks involved in investment in small and unquoted companies. In order to reduce the exposure to investment risk the Company has invested in a broadly-based portfolio of mature companies in the United Kingdom.

The VCT qualifying status of the Company is reviewed regularly by your Board and monitored on a continuous basis by the Manager in order to ensure that all of the criteria for VCT qualifying status are met. The Board can confirm that all tests were met throughout the year.

Investment Strategy

The Manager's investment strategy is to build a large and diversified portfolio of income producing, later-stage private companies across a range of sectors and industries. The principal domicile of these companies will generally be in the UK, although many have an export dimension or overseas operations.

The Board and the Manager have previously concluded that the potential returns available from AIM and ISDX quoted investments are too uncertain, with very limited liquidity in many stocks and poor dividend yield in comparison with private equity investments. The Manager has therefore continued to selectively realise the quoted portfolio for value over the past 12 months, and redeploy the proceeds into investments in established, income-producing private companies.

Shareholder value is created through a combination of generating revenue from loan stock holdings and capital proceeds arising from profitable realisations. To achieve this goal, new transactions are typically structured with 70% to 90% in secured, yielding loan stock, in companies where an equity stake can also be acquired at a reasonable entry price, and where the Manager perceives an opportunity to arbitrage a capital profit when the business achieves greater scale and maturity.

The revised Listing Rules require your Board to ensure that this and subsequent reports carry additional information on investment policy, in particular statements concerning asset mix, the spread of risk and maximum exposures. This information is contained in the Directors' Report and in the tabular analyses of the portfolio.

Valuation Process

Investments held by Maven Income and Growth VCT 4 PLC in unquoted companies are valued in accordance with the International Private Equity and Venture Capital Valuation Guidelines. Investments quoted or traded on a recognised stock exchange, including AIM, are valued at their bid prices.

Portfolio Developments

During the year your Company participated in six substantial new private company transactions, as well as eight follow-on investments supporting the development of existing portfolio companies. Most of the existing private equity assets are trading acceptably or ahead of plan. As the private company portfolio has matured there has been significant interest from trade and private equity buyers and four profitable exits were achieved during the year generating capital proceeds of £2.3 million.

The investment in ATR Holdings was sold to NBGI Private Equity at an overall return of 2.4 times the cost of investment. On 1 June 2012 the holding in TPL (Midlands) was sold to German trade buyer Vossloh Kiepe. On 5 July Nessco Group Holdings was sold to RigNet, a NASDAQ quoted US Telecoms business, generating a 2.7 times return on cost of investment and finally on 12 November 2012 Oliver Kay Holdings was sold to Bidfresh Limited, part of the international trading and distribution group Bidvest. This sale completed for a 2.4 times return on cost.

There has also been recent acquisition interest in several portfolio companies and the Manager is currently working on the potential sale of a number of holdings, although there is no certainty that these discussions will result in successful exits. In line with the strategy of reducing the Company's exposure to AIM, a number of further disposals were made during the period and the portfolio is now almost exclusively invested in private companies, with AIM securities representing only 3.6% and 1.2% of the asset base for the Ordinary Pool and S Pool respectively (2011: Ordinary Pool 4.2%, S Pool 1.5%). The proceeds of those disposals are then available for investment in the further growth of the private equity portfolio. Your Company continues to co-invest in each transaction with other Maven client funds, which allows the Manager to invest in a greater range and size of transaction on behalf of VCT clients than would otherwise be the case.

Constitution of the Board

Following the merger with Ortus VCT on 3 April 2013, we welcomed Mr David Potter to the Board as a director. Mr Potter is the former chairman of Ortus VCT and I am confident that he will bring to bear his considerable experience in the service of shareholders.

Co-Investment Scheme of the Manager

The co-investment scheme, which allows executive members of the Manager to invest alongside the Company, continued in operation during the year. The scheme operates through a nominee company which invests alongside the Company in each and every transaction made by the Company, including any follow-on investments. The scheme more closely aligns the interests of the executives and the Company's shareholders while providing an incentive to enable the Manager to retain the existing skills and capacity of the investment team in a competitive market.

Share Buy-back Policy

Shareholders have given the Board authority to buy back shares for cancellation when it is in the interests of the shareholders and the Company as a whole and 26,000 shares were bought back during the year at a cost of £24,700. Details of the parameters within which the Company may carry out share buy-backs are given in the Directors' Report on page 31.

VCT Regulation

The Board was pleased to note the approval by the European Commission of proposed increases to the size of companies which can receive VCT funding, and of the amount which can be invested in a qualifying business. This was welcome news for investors and reaffirms the attraction of generalist VCTs as a tax-efficient route to investment in high growth smaller companies.

The AIC has worked closely with the FSA on Consultation Paper 12-19 (Restrictions on the retail distribution of unregulated collective investment schemes and close substitutes) and its applicability to venture capital trusts. VCTs are listed investment companies, each overseen by an independent board, regulated by the UKLA's Listing Rules and governed by the Companies Acts. The Board has supported the AIC in calling on the FSA to exclude VCTs from the proposals in the same way that investment trusts have been and the FSA (now replaced by the FCA) has recently announced that it will reconsider its recommendations.

The Manager monitors all potential regulatory changes that are under consideration and keeps the Board informed of any implications for the Company.

VCT Offers and fund raising

A top-up Offer allowing subscription for new shares opened in December 2011 in parallel with similar Offers by Maven Income and Growth VCT, Maven Income and Growth VCT 2 and Maven Income and Growth VCT 3, resulting in the issue of 770,817 new Ordinary shares and 429,437 S Ordinary shares, and raising an additional £1,248,417 of share capital. The Offer was fully subscribed by 29 February 2012 and consequently closed early.

In view of the timing of the share class consolidation and merger process the decision was taken not to make an offer in parallel with the other Maven VCTs in January 2013. However, the Maven VCT Offers closed early due to over-subscription and the Board decided to take the opportunity to include an offer for subscription in the merger documentation. As a result 3,643,812 new Ordinary shares were allotted on 5 April, raising an additional £3,560,000 of share capital. The Offer remains open until 30 April 2013 and the Board may, at its discretion, extend the period of the Offer to the end of June if appropriate.

The Future

The past year has been a significant period of development, and following successful conclusion of the merger and Offer your Company is well positioned with improved liquidity to further build its portfolio. Against a backdrop of scarcity of capital, the Manager has demonstrated a sustained ability to source and invest in a varied range of attractive private companies which meet VCT criteria and manage these holdings through to profitable exit. The Board believes that continuation of the selective, later-stage investment strategy pursued by the Manager, together with the benefits and efficiencies expected following the merger, will deliver attractive returns to shareholders in the years ahead.

Investment Manager's Review

Overview

Your Company's portfolio has benefitted from significant diversification in recent years, with a specific focus on building an asset base of established and high-yielding UK private companies. In the year under review the success of this approach has led to improvments in NAV Total Return and shareholder dividends being achieved.

As the portfolio has expanded and matured, our core strategy of investing selectively at conservative entry multiples in profitable, later-stage businesses only, has been vindicated as a number of these holdings have attracted trade or private equity interest during the year, leading to a value event where your Company has realised its investment at a profit.

Three portfolio companies have exited to trade buyers from across the globe, including from the US, South Africa and Germany. One further holding was sold under a secondary transaction to a private equity buyer.

The current scarcity of bank finance means that Maven's investment team, operating from six key regional centres throughout the UK, continue to be introduced to a steady flow of good quality private companies as these businesses look for alternative sources of funding.

During the period several significant new assets were added to the portfolio with Maven completing the management buy-outs of Vodat and CatTech respectively in March 2012. Both businesses are performing in line with expectations and are well placed to become very valuable investments for your Company. In December 2012 mezzanine finance was provided to Grangeford, and during the year three new companies were established to invest in businesses operating in the food services and oil and gas sectors. We have also supported a number of existing portfolio companies by financing growth or helping to fund complementary and value accretive acquisitions.

We believe there are continuing positive medium term prospects for potential deal flow in our target private equity market, as well resourced generalist VCT managers continue to be introduced to high quality later-stage private companies seeking capital to expand. Maven has been introduced to almost 500 new private company transactions around the UK in the past 12 months, mainly by a network of long-established contacts across the corporate finance and business community.

The UK economy continues to be challenging, but we remain committed to our strategy of investing in a diverse income-producing portfolio of later-stage and lower risk private companies in the firm belief this will deliver the optimum shareholder returns.

Investment Activity

During the year the Maven team completed six substantial new private equity investments on behalf of your Company, alongside eight follow-on investments in existing portfolio companies. At the year end the portfolio stood at 49 unlisted and AIM investments at a total cost of £11.5 million.

Maven Income and Growth VCT 4 has co-invested in some or all of the above transactions with Maven Income and Growth VCT, Maven Income and Growth VCT 2, Maven Income and Growth VCT 3, Maven Income and Growth VCT 5, Talisman First Venture Capital Trust and Ortus VCT. The Company is expected to continue to co-invest with all other Maven client VCTs, which offers the advantage that, in aggregate, they are able to underwrite a wider range and larger size of transaction than would be the case on a stand-alone basis.

Portfolio Developments

Six substantial private company investments were added to the portfolio during the period under review:

• CatTech International, a leading provider of industrial services to oil refineries and petrochemical plants across several major international markets. The business operates in a sector with significant barriers to entry, and is well positioned for future growth given its excellent reputation and established market presence;

• Vodat Communications Group, a provider of payment and communications solutions to high street businesses, which enable retailers to reduce costs, boost store productivity and increase sales in an increasingly competitive trading environment. The company has an established and diverse customer base, has consistently improved profitability in recent years and enjoys high levels of recurring revenue from a number of long-term service and support  contracts;

• Trojan Capital, a new company established to make acquisitions in the energy services sector, recognising Maven's expertise in this market. One target oil and gas company was identified during the year but the transaction aborted during the final stages of the legal contract negotiations. Trojan continues to actively seek acquisition opportunities in the sector;

• Airth Capital, a new company set up to invest in a food services business, a sector where Maven is active and sees a large

number of opportunities;

• Burray Capital, a new company established to invest in the oil and gas sector. A target manufacturing business has been identified and discussions are at an early stage; and

• Grangeford, a company which owns and manages a large portfolio of ground rents throughout the UK, which are asset backed yielding investments that provide long term, low risk returns. This transaction is projected to generate capital gain over a 42 month term alongside a 9% yield paid throughout the period of investment.

Follow-on investments in existing portfolio companies during the period included:

• John McGavigan, a manufacturer and supplier of decorative assemblies and interior parts to global automotive manufacturers, with a significant share of the Western European market. The strategy continues to be to invest on a phased basis to establish a low cost manufacturing operation in China, alongside the more mature trading operations based in the UK;

• Glacier Energy Services Group, an oil and gas service group with two specialist trading subsidiaries, Roberts Pipeline Machining and Wellclad. Roberts designs and manufactures on-site portable cutting machines for oil and gas clients. Wellclad provides services to the European offshore and sub-sea equipment market. Glacier is focused on growth within its core UK market and the follow on investment funded the acquisition of a complementary machining business in the North East of England;

• Venmar, the holding company for energy services business XPD8 Solutions, providers of asset maintenance solutions to a blue chip client base of oil and gas operators;

• Tosca Penta Exodus, trading as Six Degrees, which was established by Penta Capital to implement a buy-and-build strategy in the business telecommunications service sector based on the converging of mobile, fixed-line, broadband, internet and IT technology businesses. Penta is an established private equity firm with which Maven previously co-invested in the successful 2010 management buy-out of esure. The follow-on investment was provided as mezzanine loan to fund two additional acquisitions; and

• Camwatch, a provider of CCTV installation and remote security monitoring services to a variety of businesses with a particular focus on the utilities construction and high net worth residential markets.

Since 31 December 2012 four follow-on investments have been completed in existing portfolio companies and two new private company assets were added to the portfolio:

• Kelvinlea, a new company established to acquire a small portfolio of residential properties at a discount to market and carry out a refurbishment and sales programme over an 18-24 month period. The transaction provides an 8.5% paid yield through the life of the investment, and is also forecast to generate a significant capital gain when the project is completed and all assets are sold.

• Ensco 969, a new company formed to acquire DPP, an established business that provides planned and reactive mechanical and electrical maintenance services to operators of pubs, restaurants and retail chains, predominantly in the South of England. DPP has strong levels of contractual and recurring revenues and an excellent track record of attracting new clients and subsequently increasing both the breadth of service and geography within which it is delivered.

In a number of cases the Manager is currently engaged with investee companies and prospective acquirers at various stages of a potential exit process. This realisation activity reflects the increasing maturity of a number of holdings, but it should be noted that there can be no certainty that these discussions will ultimately lead to profitable sales.

There were four notable private company exits during the period:

In March 2012 Maven completed the sale of ATR Group for £19.25m via a secondary buy-out funded by the private equity manager NBGI, realising a total return of 2.4 times the initial cost. ATR provides rental services for specialist plant, equipment and consumables, along with a comprehensive range of support services, to offshore and onshore energy services maintenance contractors operating in highly regulated environments.

In June 2012 the holding in Transys Projects Limited (TPL) was sold to German engineering group, Vossloh Kiepe, with a 2.0 times return on investment cost for your Company and then in July the realisation of Nessco to RigNet Inc, a NASDAQ quoted US telecoms business, resulted in a 2.7 times return on the cost of investment.

In early November 2012 the disposal of Oliver Kay Holdings to Bidfresh Limited, part of the international trading and distribution group Bidvest, completed for a 2.4 times return on investment cost.

Realisations during the reporting period were as follows:

			Ordinary Shares			S Ordinary Shares
	Date first invested	Complete/ partial exit	Cost of shares disposed of	Sales proceeds	Realised gain/(loss)	Cost of shares disposed of	Sales proceeds	Realised gain/(loss)
			£'000	£'000	£'000	£'000	£'000	£'000
Unlisted
ATR Holdings Limited	2007	Complete	62	130	68	35	73	38
Attraction World Holdings Limited	2010	Partial	32	32	-	24	24	-
Beckford Capital Limited	2010	Complete	160	160	-	160	160	-
Blackford Capital Limited	2010	Complete	75	75	-	200	200	-
Corinthian Foods Limited	2010	Complete	250	250	-	-	-	-
Cyclotech Limited	2007	Complete	-	34	34	-	13	13
Dalglen (1150) Limited (trading as Walker Technical Resources)	2009	Complete	-	2	2	1	1	-
Moriond Limited	2011	Partial	94	94	-	70	70	-
Nessco Group Holdings Limited	2008	Complete	187	425	238	298	680	382
Oliver Kay Holdings Limited	2007	Complete	205	347	142	-	-	-
Space Student Living Limited	2011	Partial	34	34	-	28	28	-
Staffa Capital Limited	2010	Complete	-	-	-	200	200	-
Tosca Penta Investments Limited Partnership	2010	Partial	14	14	-	14	14	-
TPL (Midlands) Limited (formerly Transys Holdings Limited)	2007	Complete	259	413	154	155	248	93
Total unlisted disposals			1,372	2,010	638	1,185	1,711	526
AIM
Brookwell Limited	2011	Partial	3	2	(1)	-	-	-
DM PLC	2007	Complete	83	11	(72)	42	6	(36)
Hambledon Mining PLC	2006	Complete	83	17	(66)	-	-	-
Kennedy Ventures PLC	2006	Complete	-	-	-	47	-	(47)
Spectrum Interactive PLC	2005	Complete	98	82	(16)	-	-	-
Total AIM disposals			267	112	(155)	89	6	(83)
Listed fixed income
Treasury 4.5% 7 March 2013	2012	Complete	491	490	(1)	-	-	-
Treasury 5.25% 7 June 2012	2011	Complete	586	586	-	244	244	-
Treasury Bill 24 December 2012	2012	Complete	1,247	1,249	2	1,099	1,100	1
Total listed fixed income disposals			2,324	2,325	1	1,343	1,344	1
Total disposals			3,963	4,447	484	2,617	3,061	444

One unlisted investment and one AIM company were struck off the Register during the year resulting in realised losses of £264,000 (cost £264,000) for the Ordinary Share Pool. This had no effect on the NAV as a full provision had been made in earlier years.

Subsequent to the year end, Maven led the successful partial exit from Homelux Nenplas Limited via the sale of the Homelux Division to US firm QEP Company Inc. The disposal of Homelux was completed alongside a secondary buyout of Nenplas by Maven and the existing management team. The remaining business, Nenplas Holdings Limited, will focus on continuing to deliver innovative extruded plastic products and solutions and is expected to grow significantly over the next few years through strong organic opportunities and by making new acquisitions.

In March 2013 esure undertook a successful IPO, and a full realisation at a modest uplift from the carrying value is anticipated although an element of this will be subject to the normal price fluctuations associated with fully listed holdings.

In respect of AIM holdings the Manager has continued its policy of disposing of quoted holdings for best possible value in cases where the investments were underperforming. These disposals incurred realised losses of £155,000 for the Ordinary shares and £83,000 for the S Ordinary shares (cost £267,000 and £89,000 respectively) during the period. This had no effect on the NAV as a full provision had been made in earlier periods.

Outlook

The year covered by this report was a very satisfactory year for exits, all of which were concluded after many months of intensive negotiations. The challenge now is to replace these assets and expand the portfolio to continue the upward trend in shareholder returns consistently achieved in recent  years.

Competition among providers of alternative capital for attractively priced investment transactions has intensified. As one of the best resourced private equity teams in the UK, Maven are well placed to invest selectively on prudent entry multiples in later-stage private companies which are capable of paying regular income and offer significant potential for capital growth. We believe the continuation of this strategy is the optimum approach to create shareholder value and to support a progressive dividend programme.

Maven Capital Partners UK LLP

Manager

INCOME STATEMENT
For the year ended 31 December 2012
		Ordinary Shares			S Ordinary Shares			TOTAL
		Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	Notes	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Gains on investments	8	-	410	410	-	461	461	-	871	871
Income from investments	2	460	-	460	318	-	318	778	-	778
Investment management fees	3	(61)	(241)	(302)	(21)	(87)	(108)	(82)	(328)	(410)
Other expenses	4	(160)	-	(160)	(99)	-	(99)	(259)	-	(259)
Net Return on ordinary activities before taxation		239	169	408	198	374	572	437	543	980
Tax on ordinary activities	5	(50)	50	-	(21)	17	(4)	(71)	67	(4)
Return attributable to Equity Shareholders		189	219	408	177	391	568	366	610	976
Earnings per share (pence)		2.1	2.4	4.5	3.4	7.5	10.9	5.5	9.9	15.4

A Statement of Total Recognised Gains and Losses has not been prepared, as all gains and losses are
recognised in the Income Statement.
All items in the above statement are derived from continuing operations.  The Company has only one class of
business and derives its income from investments made in shares, securities and bank deposits.
The total column of this statement is the Profit and Loss Account of the Company.

RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS
For the year ended 31 December 2012
			Ordinary Shares			S Ordinary Shares				TOTAL
			£'000			£'000				£'000
Opening Shareholders' funds				8,231			5,058			13,289
Net return for year				408			568			976
Net proceeds of share issue				740			436			1,176
Repurchase and cancellation of shares				-			(25)			(25)
Dividends paid - revenue				(124)			(108)			(232)
Dividends paid - capital				(265)			(52)			(317)
Closing Shareholders' funds				8,990			5,877			14,867

INCOME STATEMENT
For the year ended 31 December 2011

		Ordinary Shares									S Ordinary Shares											TOTAL
		Revenue		Capital			Total				Revenue						Capital			Total		Revenue			Capital		Total
	Notes	£'000		£'000			£'000				£'000						£'000			£'000		£'000			£'000		£'000
Gains on investments	8	-		546			546				-						350			350		-			896		896
Income from investments	2	393		-			393				240						-			240		633			-		633
Other income	2	1		-			1				-						-			-		1			-		1
Investment management fees	3	(53)		(212)			(265)				(15)						(62)			(77)		(68)			(274)		(342)
Other expenses	4	(176)		-			(176)				(102)						-			(102)		(278)			-		(278)
Net Return on ordinary activities before taxation		165		334			499				123						288			411		288			622		910
Tax on ordinary activities	5	(32)		32			-				(12)						12			-		(44)			44		-
Return attributable to Equity Shareholders		133		366			499				111						300			411		244			666		910
Earnings per share (pence)		1.5		4.3			5.8				2.3						6.1			8.4		3.8			10.4		14.2
A Statement of Total Recognised Gains and Losses has not been prepared, as all gains and losses are
recognised in the Income Statement.
All items in the above statement are derived from continuing operations.  The Company has only one class of
business and derives its income from investments made in shares, securities and bank deposits. The total column of this statement is the Profit and Loss of the Company.
RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS
For the year ended 31 December 2011
						Ordinary Shares										S Ordinary Shares												TOTAL
						£'000										£'000												£'000
Opening Shareholders' funds								7,964											4,801									12,765
Net return for year								499											411									910
Net proceeds of share issue								377											-									377
Repurchase and cancellation of shares								(261)											(55)									(316)
Dividends paid - revenue								(43)											(25)									(68)
Dividends paid - capital								(305)											(74)									(379)
Closing Shareholders' funds								8,231											5,058									13,289

BALANCE SHEET
As at 31 December 2012
								31 December 2012									31 December 2011
				Ordinary				S Ordinary						Ordinary			S Ordinary
				Shares				Shares			Total			Shares			Shares										Total
		Notes		£'000				£'000			£'000			£'000			£'000										£'000
Fixed assets
Investments at fair value through profit or loss		8		8,027				5,223			13,250			7,697			4,603										12,300
Current assets
Debtors		10		234				131			365			233			125										358
Cash and overnight deposits				785				547			1,332			399			356										755
				1,019				678			1,697			632			481										1,113
Creditors:
Amounts falling due within one year		11		(56)				(24)			(80)			(98)			(26)										(124)
Net current assets				963				654			1,617			534			455										989
Total net assets				8,990				5,877			14,867			8,231			5,058										13,289
Capital and reserves
Called up share capital		12		916				526			1,442			839			486										1,325
Share premium  account		13		663				393			1,056			-			-										-
Capital reserve - realised		13		375				322			697			611			-										611
Capital reserve - unrealised		13		(511)				311			(200)			(701)			294										(407)
Distributable reserve		13		7,168				4,124			11,292			7,168			4,149										11,317
Capital redemption reserve		13		37				11			48			37			8										45
Revenue reserve		13		342				190			532			277			121										398
Net assets attributable to Ordinary Shareholders				8,990				5,877			14,867			8,231			5,058										13,289
Net asset value per ordinary share (pence)		14		98.2				111.6						98.2			104.1
The Financial Statements of Maven Income and Growth VCT 4 PLC,  registered number SC272568, were approved by the Board of Directors
and were signed on its behalf by:
Ian D Cormack, Director
The accompanying Notes are an integral part of the Financial Statements.
	CASH FLOW STATEMENT
	For the year ended 31 December 2012

				Year ended 31 December 2012								Year ended 31 December 2011
				Ordinary				S Ordinary				Ordinary	S Ordinary
				Shares				Shares		Total		Shares	Shares		Total
		Notes		£'000				£'000		£'000		£'000	£'000		£'000
Operating activities
Investment income received				472				316		788		328	193		521
Deposit interest received				-				-		-		1	-		1
Investment management fees paid				(345)				(114)		(459)		(200)	(71)		(271)
Secretarial fees paid				(56)				(35)		(91)		(66)	(41)		(107)
Directors expenses paid				(41)				(25)		(66)		(41)	(25)		(66)
Other cash payments				(62)				(38)		(100)		(85)	(48)		(133)
Net cash (outflow)/inflow from operating activities		15		(32)				104		72		(63)	8		(55)
Taxation
Corporation tax				-				-		-		-	-		-
Financial investment
Purchase of investments				(4,380)				(3,225)		(7,605)		(2,284)	(1,250)		(3,534)
Sale of investments				4,447				3,061		7,508		2,088	999		3,087
Net cash inflow/(outflow) from financial investment				67				(164)		(97)		(196)	(251)		(447)
Equity dividends paid				(389)				(160)		(549)		(348)	(99)		(447)
Net cash outflow before financing				(354)				(220)		(574)		(607)	(342)		(949)
Financing
Issue of Ordinary Shares				740				436		1,176		377	-		377
Repurchase of Ordinary Shares				-				(25)		(25)		(261)	(55)		(316)
Net cash inflow/(outflow) from financing				740				411		1,151		116	(55)		61
Increase/(decrease) in cash		16		386				191		577		(491)	(397)		(888)
MAVEN INCOME AND GROWTH VCT 4 PLC
Notes to the Financial Statements
For the year ending 31 December 2012
1	Accounting Policies - UK Generally Accepted Accounting Practice
(a)	Basis of preparation
	The Financial Statements have been prepared under the historical cost convention modified to include the
	revaluation of investments and in accordance with the Statement of Recommended Practice
	'Financial Statements of Investment Trust Companies' and Venture Capital Trusts (the SORP) issued in January 2009.
	The disclosures on Going Concern on page 29 of the Directors' Report form part of these financial statements.
(b)	Income
	Dividends receivable on equity shares and unit trusts are treated as revenue for the period on an ex-dividend
	basis.   Where no ex-dividend date is available dividends receivable on or before the year end are treated
	as revenue for the period. Provision is made for any dividends not expected to be received.  The fixed returns
	on debt securities and non-equity shares are recognised on a time apportionment basis so as to reflect the
	effective interest rate on the debt securities and shares.  Provision is made for any income not expected to be
	received.  Interest receivable from cash and short term deposits and interest payable are accrued to the end of
	the year.
(c)	Expenses
	All expenses are accounted for on an accruals basis and charged to the income statement.  Expenses are
	charged through the revenue account except as follows:
	- expenses which are incidental to the acquisition and disposal of an investment are charged to capital.
	- expenses are charged to realised capital reserves where a connection with the maintenance or enhancement of
	the value of the investments can be demonstrated.  In this respect the investment management fee has been
	allocated 20% to revenue and 80% to realised capital reserves to reflect the Company's investment policy and
	prospective income and capital growth.
	- share issue costs are charged to the share premium account: and
	- expenses are allocated between the original pool or the S share pool depending on the nature of the expense.
(d)	Taxation
	Deferred taxation is recognised in respect of all timing differences that have originated but not reversed at the
	balance sheet date, where transactions or events that result in an obligation to pay more tax in the future or
	right to pay less tax in the future have occurred at the balance sheet date.  This is subject to deferred tax assets
	only being recognised if it is considered more likely than not that there will be suitable profits from which the future
	reversal of the underlying timing differences can be deducted.  Timing differences are differences arising between
	the Company's taxable profits and its results as stated in the Financial Statements which are capable of reversal in
	one or more subsequent periods.
	Deferred tax is measured on a non-discounted basis at the tax rates that are expected to apply in the periods
	in which timing differences are expected to reverse, based on tax rates and laws enacted or substantively
	enacted at the balance sheet date.
	The tax effect of different items of income/gain and expenditure/loss is allocated between capital reserves and
	revenue account on the same basis as the particular item to which it relates using the Company's effective rate
	of tax for the period.
	UK Corporation tax is provided at amounts expected to be paid/recovered using the tax rates and laws that have
	been enacted or substantively enacted at the balance sheet date.
(e)	Investments
	In valuing unlisted investments the Directors follow the criteria set out below. These procedures comply with the
	revised International Private Equity and Venture Capital Valuation Guidelines for the valuation of private equity
	and venture capital investments. Investments are recognised at their trade date and are designated by the
	Directors as fair value through profit or loss.  At subsequent reporting dates, investments are valued at fair value, which
	represent the Directors' view of the amount for which an asset could be exchanged between knowledgeable willing
	parties in an arm's length transaction. This does not assume that the underlying business is saleable at the reporting
	date or that its current shareholders have an intention to sell their holding in the near future.
	A financial asset or liability is generally derecognised when the contract that gives rise to it is settled, sold, cancelled
	or expires.
	1. For Investments completed within the 12 months prior to the reporting date and those at an early stage in their
	development, fair value is determined using the Price of Recent Investment Method, except that adjustments are
	made when there has been a material change in the trading circumstances of the company or a substantial movement in
	the relevant sector of the stock market.
	2. Whenever practical, recent investments will be valued by reference to a material arm's length
	transaction or a quoted price.
	3. Mature companies are valued by applying a multiple to their fully taxed prospective earnings to
	determine the enterprise value of the company.
	3.1		To obtain a valuation of the total ordinary share capital held by management and
			the institutional investors, the value of third party debt, institutional loan stock, debentures and
			preference share capital is deducted from the enterprise value. The effect of any performance
			related mechanisms is taken into account when determining the value of the ordinary share
			capital.
	3.2		Preference shares, debentures and loan stock are valued using the Price of Recent Investment Method.
			When a redemption premium has accrued, this will only be valued if there is a reasonable prospect of it being paid.
			Preference shares which carry a right to convert into ordinary share capital are valued at the higher of the Price of
			Recent Investment Method basis and the price/earnings basis, both described above.
	4. Where there is evidence of impairment, a provision may be taken against the previous valuation of the investment.
	5. In the absence of evidence of a deterioration, or strong defensible evidence of an increase in value, the fair value
	is determined to be that reported at the previous balance sheet date.
	6. All unlisted investments are valued individually by the Portfolio Management Team of Maven Capital Partners UK LLP.
	The resultant valuations are subject to detailed scrutiny and approval by the Directors of the Company.
	7. In accordance with normal market practice, investments listed on the Alternative Investment Market or
	a recognised stock exchange are valued at their bid market price.
(f)	Fair Value Measurement
	Fair value is defined as the price that the Company would receive upon selling an investment in a timely transaction
	to an independent buyer in the principal or the most advantageous market of the investment.  A three-tier hierarchy
	has been established to maximise the use of observable market data and minimise the use of unobservable inputs
	and to establish classification of fair value meansurements for disclosure purposes.  Inputs refer broadly to the
	assumptions that market participants would use in pricing the asset or liability, including assumptions about risk,
	for example, the risk inherent in a particular valuation technique used to measure fair value including such a pricing
	model and/or the risk inherent in the inputs to the valuation technique.  Inputs may be observable or unobservable.
	Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or
	liability developed based on market data obtained from sources independent of the reporting entity.
	Unobservable inputs are inputs that reflect the reporting entity's own assumptions about the assumptions
	market participants would use in pricing the asset or liability developed based on best information available in
	the circumstances.
	The three-tier hierarchy of inputs is summarised in the three broad levels listed below.
	-		Level 1 - quoted prices in active markets for identical investments.
	-		Level 2 - other significant observable inputs (included quoted prices for similar investments, interest rates,
			credit risk etc).
	-		Level 3 - significant unobservable inputs (including the Company's own assumptions in determining the fair
			value of investments).
(g)	Gains and losses on investments
	When the company sells or revalues its investments during the year, any gains or losses arising are credited/
	charged to the Income Statement.

	Year ended			Year ended
	31 December 2012			31 December 2011
	Ordinary	S Ordinary		Ordinary	S Ordinary
	Shares	Shares	Total	Shares	Shares	Total
	£'000	£'000	£'000	£'000	£'000	£'000
2 Income
Income from investments:
UK franked investment income	9	2	11	6	1	7
UK unfranked investment income	451	316	767	387	239	626
	460	318	778	393	240	633
Other Income:
Deposit interest	-	-	-	1	-	1
Total income	460	318	778	394	240	634
Total income comprises:
Dividends	9	2	11	6	1	7
Interest	451	316	767	388	239	627
	460	318	778	394	240	634

				Year ended
				31 December 2012
	Ordinary Shares			S Ordinary Shares			TOTAL
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
3  Investment management fees	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Investment management fees	35	138	173	21	87	108	56	225	281
Performance fees	26	103	129	-	-	-	26	103	129
	61	241	302	21	87	108	82	328	410

				Year ended
				31 December 2011
	Ordinary Shares			S Ordinary Shares			TOTAL
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Investment management fees	26	103	129	15	62	77	41	165	206
Performance fees	27	109	136	-	-	-	27	109	136
	53	212	265	15	62	77	68	274	342
Details of the fee basis are contained in the Director's Report on page 30.

	Year ended
	31 December 2012
	Ordinary Shares			S Ordinary Shares			TOTAL
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
4 Other expenses
Secretarial fees	56	-	56	35	-	35	91	-	91
Directors' remuneration	41	-	41	25	-	25	66	-	66
Fees to Auditor - audit services	10	-	10	6	-	6	16	-	16
Fees to Auditor - tax services	4	-	4	2	-	2	6	-	6
Miscellaneous expenses	49	-	49	31	-	31	80	-	80
	160	-	160	99	-	99	259	-	259

	Year ended
	31 December 2011
	Ordinary Shares			S Ordinary Shares			TOTAL
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Secretarial fees	54	-	54	33	-	33	87	-	87
Directors' remuneration	41	-	41	25	-	25	66	-	66
Fees to Auditor - audit services	10	-	10	6	-	6	16	-	16
Fees to Auditor - tax services	3	-	3	1	-	1	4	-	4
Miscellaneous expenses	68	-	68	37	-	37	105	-	105
	176	-	176	102	-	102	278	-	278

	Year ending 31 December 2012
	Ordinary	Ordinary	Ordinary	S Ordinary	S Ordinary	S Ordinary	Total
	Shares	Shares	Shares	Shares	Shares	Shares
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
5 Tax on ordinary activities
Corporation tax	(50)	50	-	(21)	17	(4)	(71)	67	(4)
	Year ending 31 December 2011
	Ordinary	Ordinary	Ordinary	S Ordinary	S Ordinary	S Ordinary	Total
	Shares	Shares	Shares	Shares	Shares	Shares
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Corporation tax	(32)	32	-	(12)	12	-	(44)	44	-
The tax assessed for the period is lower than the standard rate of corporation tax of 24% (2011: 26%).  The differences are explained below:
	Year ending 31 December 2012
	Ordinary	Ordinary	Ordinary	S Ordinary	S Ordinary	S Ordinary	Total
	Shares	Shares	Shares	Shares	Shares	Shares
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Return on ordinary activities before tax	239	169	408	198	374	572	437	543	980
Revenue return on ordinary activities	57	41	98	47	90	137	104	131	235
multiplied by standard rate of corporation tax
Non taxable UK dividend income	(2)	-	(2)	-	-	-	(2)	-	(2)
Gains on investments	-	(98)	(98)	-	(111)	(111)	-	(209)	(209)
Utilisation of taxable losses	-	-	-	(22)	-	(22)	(22)	-	(22)
Smaller Companies relief	(5)	7	2	(4)	4	-	(9)	11	2
	50	(50)	-	21	(17)	4	71	(67)	4
Losses with a tax value of £Nil (2011: £29,742) are available to carry forward against future trading profits.  These have not been recognised as a deferred tax asset as
recoverability is not sufficiently certain.
	Year ending 31 December 2011
	Ordinary	Ordinary	Ordinary	S Ordinary	S Ordinary	S Ordinary	Total
	Shares	Shares	Shares	Shares	Shares	Shares
	Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Return on ordinary activities before tax	165	334	499	123	288	411	288	622	910
Revenue return on ordinary activities	43	87	130	32	75	107	75	162	237
multiplied by standard rate of corporation tax
Non taxable UK dividend income	(2)	-	(2)	-	-	-	(2)	-	(2)
Gains on investments	-	(142)	(142)	-	(91)	(91)	-	(233)	(233)
Utilisation of taxable losses	-	-	-	(16)	-	(16)	(16)	-	(16)
Smaller Companies relief	(9)	23	14	(4)	4	-	(13)	27	14
	32	(32)	-	12	(12)	-	44	(44)	-

6 Dividends	Year ended			Year ended
	31 December 2012			31 December 2011
	Ordinary	S Ordinary		Ordinary	S Ordinary
	Shares	Shares	Total	Shares	Shares	Total
	£'000	£'000	£'000	£'000	£'000	£'000
Revenue dividends
Final revenue dividend for the year ended
31 December 2011 of 0.6p (2010: Nil) paid on 30 May 2012	55	-	55	-	-	-
Final revenue dividend for the year ended
31 December 2011 of 1.3p (2010: Nil) paid on 30 May 2012	-	69	69	-	-	-
Interim revenue dividend for the year ended
31 December 2012 of 0.75p (2011: 0.5p) paid on 28 September 2012	69	39	108	43	25	68
	124	108	232	43	25	68
Capital dividends
Final capital dividend for the year ended
31 December 2011 of 1.9p (2010: 2.5p) paid on 30 May 2012	174	-	174	219	-	219
Final capital dividend for the year ended
31 December 2011 of Nil (2010: 0.5p)	-	-	-	-	25	25
Interim capital dividend for the year ended
31 December 2012 of 1.0p (2011: 1.0p) paid on 28 September 2012	91	52	143	86	49	135
	265	52	317	305	74	379
Revenue dividends
We set out below the total dividends proposed in respect of the financial year, which is the
basis on which the requirements of Section 274 of the Income Tax Act 2007 are considered.
Revenue available for distribution by way of dividends for the year	189	177	366	133	111	244
2nd Interim revenue dividend proposed for the year ended 31 December	69	-	69	-	-	-
2012 of 0.75p (2011: Nil) payable on 22 March 2013
Final revenue dividend proposed for the year ended 31 December 2012	-	-	-	51	-	51
of Nil (2011: 0.6p)
2nd Interim revenue dividend proposed for the year ended 31 December	-	92	92	-	-	-
2012 of 1.75p (2011: Nil) payable on 22 March 2013
Final revenue dividend proposed for the year ended 31 December 2012	-	-	-	-	64	64
of Nil (2011: 1.3p)
	69	92	161	51	64	115
Capital dividends
2nd interim capital dividend proposed for the year ended 31 December	183	-	183	-	-	-
2012 of 2.0p (2011: Nil) payable on 22 March 2013
Final capital dividend proposed for the year ended 31 December 2012	-	-	-	162	-	162
of Nil (2011: 1.9p)
2nd interim capital dividend proposed for the year ended 31 December	-	-	-	-	-	-
2012 of Nil (2011: Nil)
Final capital dividend proposed for the year ended 31 December 2012	-	-	-	-	-	-
of Nil (2011: Nil)
	183	-	183	162	-	162
	Year ended			Year ended
	31 December 2012			31 December 2011
7 Return per ordinary share
The returns per share have been based on the following	Ordinary	S Ordinary		Ordinary	S Ordinary
figures:	Shares	Shares	Total	Shares	Shares	Total
Weighted average number of ordinary shares	8,999,464	5,184,732	14,184,196	8,541,693	4,917,310	13,459,003
Revenue return	£189,000	£177,000	£366,000	£133,000	£111,000	£244,000
Capital return	£219,000	£391,000	£610,000	£366,000	£300,000	£666,000
Total Return	£408,000	£568,000	£976,000	£499,000	£411,000	£910,000

8 Investments
		Year ended 31 December 2012
	Ordinary Shares				S Ordinary Shares				Total
	Listed	AIM	Unlisted/AIM		Listed	AIM	Unlisted/AIM		Listed	AIM	Unlisted/ AIM
	(quoted	(quoted	(unobservable		(quoted	(quoted	(unobservable		(quoted	(quoted	(unobservable
	prices)	prices)	inputs)	Total	prices)	prices)	inputs)	Total	prices)	prices)	inputs)	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Movements during the year:
Valuation at 1 January 2012	597	346	6,754	7,697	248	75	4,280	4,603	845	421	11,034	12,300
Unrealised loss/(gain)	1	962	(262)	701	1	112	(407)	(294)	2	1,074	(669)	407
Cost at 1 January 2012	598	1,308	6,492	8,398	249	187	3,873	4,309	847	1,495	10,365	12,707
Purchases	2,738	-	1,642	4,380	2,098	-	1,127	3,225	4,836	-	2,769	7,605
Sales proceeds	(2,325)	(112)	(2,010)	(4,447)	(1,344)	(6)	(1,711)	(3,061)	(3,669)	(118)	(3,721)	(7,508)
Realised gains	1	(242)	461	220	1	(83)	526	444	2	(325)	987	664
Amortisation of book cost	(13)	-	-	(13)	(5)	-	-	(5)	(18)	-	-	(18)
Cost at 31 December 2012	999	954	6,585	8,538	999	98	3,815	4,912	1,998	1,052	10,400	13,450
Unrealised (loss)/gain	-	(633)	122	(511)	-	(26)	337	311	-	(659)	459	(200)
Valuation at 31 December 2012	999	321	6,707	8,027	999	72	4,152	5,223	1,998	393	10,859	13,250
Note 1(f) defines the three tier hierarchy of investments, and the significance of the information used to determine their fair value, that is required by Financial Reporting Standard 29
"Financial Instruments: Disclosures".
		Year ended 31 December 2011
	Ordinary Shares				S Ordinary Shares				Total
	Listed	AIM	Unlisted/AIM		Listed	AIM	Unlisted/AIM		Listed	AIM	Unlisted/AIM
	(quoted	(quoted	(unobservable		(quoted	(quoted	(unobservable		(quoted	(quoted	(unobservable
	prices)	prices)	inputs)	Total	prices)	prices)	inputs)	Total	prices)	prices)	inputs)	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Valuation at 1 January 2011	-	710	6,246	6,956	-	162	3,840	4,002	-	872	10,086	10,958
Unrealised loss/(gain)	-	1,087	149	1,236	-	274	(236)	38	-	1,361	(87)	1,274
Cost at 1 January 2011	-	1,797	6,395	8,192	-	436	3,604	4,040	-	2,233	9,999	12,232
Purchases	600	71	1,613	2,284	250	29	971	1,250	850	100	2,584	3,534
Sales proceeds	-	(387)	(1,700)	(2,087)	-	(158)	(840)	(998)	-	(545)	(2,540)	(3,085)
Realised gains	-	(173)	184	11	-	(120)	138	18	-	(293)	322	29
Amortisation of book cost	(2)	-	-	(2)	(1)	-	-	(1)	(3)	-	-	(3)
Cost at 31 December 2011	598	1,308	6,492	8,398	249	187	3,873	4,309	847	1,495	10,365	12,707
Unrealised (loss)/gain	(1)	(962)	262	(701)	(1)	(112)	407	294	(2)	(1,074)	669	(407)
Valuation at 31 December 2011	597	346	6,754	7,697	248	75	4,280	4,603	845	421	11,034	12,300
		31 December 2012			31 December 2011
		Ordinary	S Ordinary		Ordinary	S Ordinary
		Shares	Shares	Total	Shares	Shares	Total
The portfolio valuation		£'000	£'000	£'000	£'000	£'000	£'000
Held at market valuation:
Listed fixed income		999	999	1,998	597	248	845
AIM quoted equities		321	72	393	346	75	421
AIM unobservable equities		-	-	-	-	-	-
		1,320	1,071	2,391	943	323	1,266
Unlisted at Directors' valuation:
Unquoted unobservable equities		2,628	1,605	4,233	2,403	1,615	4,018
Unquoted unobservable fixed income		4,079	2,547	6,626	4,351	2,665	7,016
		6,707	4,152	10,859	6,754	4,280	11,034
Total		8,027	5,223	13,250	7,697	4,603	12,300
Realised gains on historical basis		220	444	664	11	18	29
Net movement in unrealised appreciation		190	17	207	535	332	867
Gains on investments		410	461	871	546	350	896

9 Participating and significant interests
The principal activity of the Company is to select and hold a portfolio of investments in unlisted and AIM securities.  Although the Company
will, in some cases, be represented on the board of the investee company, it will not take a controlling interest or become involved in its
management.  The size and structure of the companies with unlisted and AIM securities may result in certain holdings in the portfolio
representing a participating interest without there being any partnership, joint venture or management consortium agreement.
At 31 December 2012, the Company held no shares amounting to 20% or more of the equity capital of any of the unlisted or AIM
undertakings.  The Company does hold shares or units amounting to more than 3% or more of the nominal value of the allotted shares
or units of any class in certain investee companies.
Details of equity percentages held are shown in the Investment Portfolio Summary
		31 December 2012						31 December 2011
		Ordinary		S Ordinary				Ordinary		S Ordinary
		Shares		Shares		Total		Shares		Shares		Total
10 Debtors		£'000		£'000		£'000		£'000		£'000		£'000
Prepayments and accrued income		232		130		362		231		124		355
Other debtors		2		1		3		2		1		3
		234		131		365		233		125		358
11 Creditors
Accruals		56		20		76		98		26		124
Corporation Tax		-		4		4		-		-		-
		56		24		80		98		26		124
		31 December 2012								31 December 2011
		Ordinary Shares				S Ordinary Shares				Ordinary Shares				S Ordinary Shares
12 Share capital		Number		£'000		Number		£'000		Number		£'000		Number		£'000
At 31 December the authorised share capital comprised:
allotted, issued and fully paid:
Ordinary Shares of 10p each
Balance brought forward		8,386,589		839		4,861,009		486		8,323,130		832		4,936,009		494
Repurchased and cancelled in year		-		-		(26,000)		(3)		(368,213)		(36)		(75,000)		(8)
		8,386,589		839		4,835,009		483		7,954,917		796		4,861,009		486
Issued during the year		770,817		77		429,437		43		431,672		43		-		-
		9,157,406		916		5,264,446		526		8,386,589		839		4,861,009		486
During the year no Ordinary Shares (2011: 368,213) of 10p each were repurchased by the Company at a cost of Nil (2011: £261,977) and cancelled.
During the year 26,000 S Ordinary Shares (2011: 75,000) of 10p each were repurchased by the Company at a total cost of £25,015 (2011: £54,866) and
cancelled.
During the year the Company issued 770,817 Ordinary Shares (2011: 431,672) pursuant to the linked offer at a subscription price of 102.12p per share (2011: 91.7p).
During the year the Company issued 429,437 S Ordinary Shares (2011: Nil) pursuant to the linked offer at a subscription price of 107.41p per share (2011: Nil).  Following the year end, the Company issued a further 3,643,812 Ordinary Shares at 97.7p per share pursuant to a public offer for subscription.

	Share		Capital	Capital	Capital
	premium	Distributable	reserve	reserve	redemption	Revenue
	account	reserve	realised	unrealised	reserve	reserve
	£'000	£'000	£'000	£'000	£'000	£'000
13 Reserves
Ordinary Shares
At 1 January 2012	-	7,168	611	(701)	37	277
Gains on sales of investments	-	-	220	-	-	-
Net increase in value of investments	-	-	-	190	-	-
Investment management fees	-	-	(241)	-	-	-
Dividends paid	-	-	(265)	-	-	(124)
Tax effect of capital items	-	-	50	-	-	-
Share Issue - 1 March 2012	421	-	-	-	-	-
Share Issue - 5 April 2012	192	-	-	-	-	-
Share Issue - 18 April 2012	50	-	-	-	-	-
Repurchase and cancellation of shares	-	-	-	-	-	-
Net return on ordinary activities after taxation	-	-	-	-	-	189
At 31 December 2012	663	7,168	375	(511)	37	342
S Ordinary Shares
At 1 January 2012	-	4,149	-	294	8	121
Gains on sales of investments	-	-	444	-	-	-
Net increase in value of investments	-	-	-	17	-	-
Investment management fees	-	-	(87)	-	-	-
Dividends paid	-	-	(52)	-	-	(108)
Tax effect of capital items	-	-	17	-	-	-
Share Issue - 1 March 2012	249	-	-	-	-	-
Share Issue - 5 April 2012	113	-	-	-	-	-
Share Issue - 18 April 2012	31	-	-	-	-	-
Repurchase and cancellation of shares	-	(25)	-	-	3	-
Net return on ordinary activities after taxation	-	-	-	-	-	177
At 31 December 2012	393	4,124	322	311	11	190
14 Net asset value per Ordinary Share
The net asset value per share and the net asset value attributable to the Ordinary Shares at the year end calculated in accordance with the Articles of
Association were as follows:
	31 December 2012				31 December 2011
	Ordinary Shares		S Ordinary Shares		Ordinary Shares		S Ordinary Shares
	Net asset	Net asset	Net asset	Net asset	Net asset	Net asset	Net asset	Net asset
	value per	value	value per	value	value per	value	value per	value
	share	attributable	share	attributable	share	attributable	share	attributable
	p	£'000	p	£'000	p	£'000	p	£'000
Ordinary Shares	98.2	8,990	111.6	5,877	98.2	8,231	104.1	5,058
The number of issued shares used in the above calculation is set out in note 12.
		Year ended		Year ended
		31 December 2012		31 December 2011
		Ordinary	S Ordinary	Ordinary	S Ordinary
		Shares	Shares	Shares	Shares
15 Reconciliation of revenue return before finance costs		£'000	£'000	£'000	£'000
and taxation to net cash (outflow)/inflow from operating activities
Net return before taxation		408	572	499	411
Gains on investments		(410)	(461)	(546)	(350)
Increase in accrued income & prepayments		(1)	(6)	(65)	(47)
(Decease)/increase in accruals		(42)	(6)	49	(6)
Amortisation of fixed income investment book cost		13	5	2	1
Tax on unfranked income		-	-	(2)	(1)
Net cash (outflow)/inflow from operating activities		(32)	104	(63)	8
	Ordinary Shares			S Ordinary Shares
16 Analysis of changes in net funds	At		At	At		At
	1 January	Cash	31 December	1 January	Cash	31 December
	2012	flows	2012	2012	flows	2012
	£'000	£'000	£'000	£'000	£'000	£'000
Cash and overnight deposits	399	386	785	356	191	547
	At		At	At		At
	1 January	Cash	31 December	1 January	Cash	31 December
	2011	flows	2011	2011	flows	2011
	£'000	£'000	£'000	£'000	£'000	£'000
Cash and overnight deposits	890	(491)	399	753	(397)	356
	Year ended		Year ended
	31 December 2012		31 December 2011
	Ordinary	S Ordinary	Ordinary	S Ordinary
	Shares	Shares	Shares	Shares
17. Capital commitments.contingencies and	£'000	£'000	£'000	£'000
financial guarantees
Financial guarantees	-	-	244	137
During the year, all guarantees were released

18 Derivatives and other financial instruments

The Company's financial instruments comprise equity and fixed interest investments, cash balances and

debtors and creditors that arise directly from its operations, for example, in respect of sales and purchases

awaiting settlement, and debtors for accrued income. The company holds financial assets in accordance

with its investment policy of investing mainly in a portfolio of VCT qualifying unquoted and AIM quoted securities.

The Company may not enter into derivative transactions in the form of forward foreign currency contracts,

futures and options without the written permission of the Directors.  No derivative transactions were entered

into during the period.

The main risks the Company faces from its financial instruments are (i) market price risk, being the risk that

the value of investment holdings will fluctuate as a result of changes in market prices caused by factors other

than interest rates, (ii) interest rate risk, (iii) liquidity risk and (iv) credit risk.  In line with the Company's investment

objective, the portfolio comprises only sterling currency securities and therefore has no direct exposure to foreign

currency risk.

The Manager's policies for managing these risks are summarised below and have been applied throughout

the period.  The numerical disclosures below exclude short-term debtors and creditors which are included

in the Balance Sheet at fair value.

Market price risk

The Company's investment portfolio is exposed to market price fluctuations, which are monitored by the

manager in pursuance of the investment objective as set out on page 19.  Adherence to investment guidelines

and to investment and borrowing policies set out in the management agreement mitigates the risk of

excessive exposure to any particular type of security or issuer.  These powers and guidelines include the

requirement to invest in a minimum of 30 companies across a range of industrial and service sectors at varying

stages of development, to closely monitor the progress of these companies and to appoint a non executive

director to the board of each company. Further information on the investment portfolio (including sector

concentration and deal type analysis) is set out in the Analysis of Unlisted and AIM Portfolio,

Investment Manager's Review, Summary of Investment Changes, Investment Portfolio Summary and Largest

Unlisted and AIM Investments.

Interest rate risk

The interest rate risk profile of financial assets at the balance sheet date was as follows:

Ordinary Shares

At 31 December 2012

Fixed

Floating

Non interest

Interest

rate

bearing

£'000

£'000

£'000

Sterling

Listed fixed income

-

-

999

Unlisted and AIM/ISDX

4,079

-

2,949

Cash

-

785

-

4,079

785

3,948

At 31 December 2011

Fixed

Floating

Non interest

Interest

rate

bearing

£'000

£'000

£'000

Sterling

Listed fixed income

597

-

-

Unlisted and AIM/ISDX

4,351

-

2,749

Cash

-

399

-

4,948

399

2,749

The listed fixed interest assets have a weighted average life of Nil (2011: 0.4 years) and a weighted average

interest rate of Nil (2011: 5.2%).

The unlisted fixed interest assets have a weighted average life of 2.36 years (2011: 2.8 years) and a weighted

average interest rate of 9.75% (2011: 10.4%).  The non-interest bearing assets represents the equity

element of the portfolio.  All assets and liabilities of the fund are included in the balance sheet at fair value.

It is the Directors opinion that the carrying amounts of these financial assets represent the maximum credit risk

exposure at the balance sheet date.

The interest rate which determines the interest received on cash balances is the bank base rate.

S Ordinary Shares

At 31 December 2012

Fixed

Floating

Non interest

Interest

rate

bearing

£'000

£'000

£'000

Sterling

Listed Fixed Income

-

-

999

Unlisted and AIM/ISDX

2,547

-

1,677

Cash

-

547

-

2,547

547

2,676

At 31 December 2011

Fixed

Floating

Non interest

Interest

rate

bearing

£'000

£'000

£'000

Sterling

Listed Fixed Income

248

-

-

Unlisted and AIM/ISDX

2,665

-

1,690

Cash

-

356

-

2,913

356

1,690

The listed fixed interest assets have a weighted average life of Nil (2011: 0.4 years) and a weighted average

interest rate of Nil (2011: 5.2%).

The unlisted fixed interest assets have a weighted average life of 2.65 years (2011: 3.2 years) and a weighted

average interest rate of 10.1% (2011: 10.4%).  The non-interest bearing assets represents the equity element of

the portfolio.  All assets and liabilities of the fund are included in the balance sheet at fair value.

It is the Directors opinion that the carrying amounts of these financial assets represent the maximum credit risk

exposure at the balance sheet date.

The interest rate which determines the interest received on cash balances is the bank base rate.

Maturity profile

The interest rate profile of the Company's financial assets at the Balance sheet date was as follows:

Ordinary Shares

Within

Within

Within

Within

Within

More than

1 year

1-2 years

2-3 years

3-4 years

4-5 years

5 years

Total

At 31 December 2012

£'000

£'000

£'000

£'000

£'000

£'000

£'000

Fixed interest

Listed

999

-

-

-

-

-

999

Unlisted

780

1,290

812

430

660

107

4,079

1,779

1,290

812

430

660

107

5,078

Within "more than 5 years" there is a figure of £2,000 (2011 - £11,000) in respect of preference shares which have no redemption date

Ordinary Shares

Within

Within

Within

Within

Within

More than

1 year

1-2 years

2-3 years

3-4 years

4-5 years

5 years

Total

At 31 December 2011

£'000

£'000

£'000

£'000

£'000

£'000

£'000

Fixed interest

Listed

597

-

-

-

-

-

597

Unlisted

939

452

1,088

1,018

501

353

4,351

1,536

452

1,088

1,018

501

353

4,948

S Ordinary Shares

Within

Within

Within

Within

Within

More than

1 year

1-2 years

2-3 years

3-4 years

4-5 years

5 years

Total

At 31 December 2012

£'000

£'000

£'000

£'000

£'000

£'000

£'000

Fixed interest

Listed

999

-

-

-

-

-

999

Unlisted

299

713

684

325

454

71

2,546

1,298

713

684

325

454

71

3,545

Within "more than 5 years" there is a figure of £1,000 (2011 - £1,000) in respect of preference shares which have no redemption date

S Ordinary Shares

Within

Within

Within

Within

Within

More than

1 year

1-2 years

2-3 years

3-4 years

4-5 years

5 years

Total

At 31 December 2011

£'000

£'000

£'000

£'000

£'000

£'000

£'000

Fixed interest

Listed

248

-

-

-

-

-

248

Unlisted

437

90

553

954

370

261

2,665

685

90

553

954

370

261

2,913

All liabilities are due within one year and, as such, no maturity profile has been provided.

Liquidity risk
Due to their nature, unlisted investments may not be readily realisable and therefore a portfolio of listed
assets and cash is held to offset this liquidity risk.  Note 8 details the three-tier heirarchy of inputs used
as at 31 December 2012 in valuing the Company's investments carried at fair value.
Credit risk and interest rate risk are minimised by acquiring high quality government treasury stocks
or other bonds which have a relatively short time to maturity.
The Company, generally, does not hold significant cash balances and any cash held is with reputable
banks with high quality external credit ratings.
Credit risk
This 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 Company's financial assets exposed to credit risk amounted to the following :
	31 December 2012				31 December 2011
	Ordinary Shares	S Ordinary Shares	Total		Ordinary Shares	S Ordinary Shares	Total
Investments in fixed interest instruments	999	999	1,998		597	248	845
Investments in unlisted debt securities	4,079	2,547	6,626		4,351	2,665	7,016
Cash and cash equivalents	785	547	1,332		399	356	755
	5,863	4,093	9,956		5,347	3,269	8,616
Credit risk arising on fixed interest instruments is mitigated by investing in UK Government Stock. All assets which are traded on a recognised exchange, are held by JP Morgan Chase (JPM), the Company's custodian.  Cash balances are held by JPM and Clydesdale. Should the credit quality or the financial position of any of these institutions deteriorate significantly the Manager will move these assets to another financial institution.
The Manager evaluates credit risk on unlisted debt securities and financial commitments and guarantees prior to
investment, and as part of the ongoing monitoring of investments.  In doing this, it takes into account the extent and
quality of any security held.  Typically, unlisted debt securities have a fixed charge over the assets of the investee
company in order to mitigate the gross credit risk.  The Manager receives management accounts from investee
companies, and members of the investment management team sit on the boards of investee companies; this
enables the close identification, monitoring and management of investment specific credit risk.
There were no significant concentrations of credit risk to counterparties at 31 December 2012 or 31 December 2011.
Price risk sensitivity
The following details the Company's sensitivity to a 10% increase or decrease in the market prices of listed
or AIM/ISDX quoted securities, with 10% being the Manager's assessment of a reasonable possible change
in market prices.
At 31 December 2012, if market prices of AIM/ISDX quoted securities had been 10% higher or
lower and with all other variables held constant, the increase or decrease in net assets attributable to Ordinary
Shareholders for the year would have been £132,000 (2011: £94,000) due to the change on valuation of financial assets
at fair value through profit or loss.
At 31 December 2012, if market prices of listed or AIM/ISDX quoted securities had been 10% higher or
lower and with all other variables held constant, the increase or decrease in net assets attributable to  S Ordinary
Shareholders for the year would have been £107,000 (2011: £32,000) due to the change on valuation of financial assets
at fair value through profit or loss.
At 31 December 2012, 74.6% (2011: 82.0%) comprised investments in unquoted companies held at fair value
attributable to Ordinary Shareholders.  The valuation of unquoted investments reflects a number of factors,
including the performance of the investee company itself and the wider market.  Therefore, it is not considered
meaningful to provide a sensitivity analysis on the net asset position and total return for the year due to the fact
any such movements would be immaterial to users of Financial Statements.
At 31 December 2012, 70.6% (2011: 84.6%) comprised investments in unquoted companies held at fair value
attributable to S Ordinary Shareholders.  The valuation of unquoted investments reflects a number of factors,
including the performance of the investee company itself and the wider market.  Therefore, it is not considered
meaningful to provide a sensitivity analysis on the net asset position and total return for the year due to the fact
any such movements would be immaterial to users of Financial Statements.

19 Share Consolidation and Ortus VCT PLC Merger

Share Consolidation

Pursuant to the Company share consolidation, 804,028 new Maven Income and Growth VCT 4 S Shares were issued to the

holders of S Shares on the Company's register on 25 March 2013 (this being the record date for the Share Consolidation).

All the S Shares then in issue in the capital of the Company were redesignated as Maven Income and Growth VCT 4 Ordinary

Shares on a ratio of one to one. As a result, following completion of the Share Consolidation, holders of S Shares now hold

1.1528 Ordinary Shares for every S Share held on the record date for the Share Consolidation.

Merger

Shareholders approved the acquisition of all of the assets and liabilities of Ortus VCT PLC which was completed by way of a

Scheme of reconstruction of Ortus pursuant to Section 110 of the Insolvency Act 1986 and the transfer by Ortus of all of its

assets and liabilities to the Company ("Scheme"), details of which were contained in the Company's circular to shareholders

("the Circular") and the Company's prospectus ("the Prospectus"), both dated 1 March 2013.

The total number of new Maven Income and Growth VCT 4 Ordinary Shares issued to Ortus shareholders in connection with

the Scheme was 6,853,086 at a deemed issue price of 94.24p per share and the total number of new C Shares issued to

Ortus shareholders in connection with the Scheme was 3,968,876 at a deemed issue price of £1.00 per share. Net assets

of £6,458,348 and £3,968,876 were transferred to the Maven Income and Growth VCT 4 Ordinary Pool and C Pool

respectively after deducting merger costs and the declared Ortus special dividend of 2 pence per share.

As a result of the merger each Ortus VCT shareholder received 0.189778 Maven Income and Growth VCT 4 Ordinary Shares

and 0.109907  Maven Income and Growth VCT 4 C Shares for each Ortus Ordinary Share held. Following implementation of

the Share Consolidation and Scheme of reconstruction, there were 22,078,966 Ordinary Shares and 3,968,876 C shares in

in issue in the Company.

Budgeted merger costs were £281,000, of which the Company's share was £163,000. Final figures for the costs of the merger

are not yet available as the liquidation of Ortus VCT PLC has not yet been completed, however, the board expects that the

total costs will be in line with the original estimate.

Gross and net assets of the Company immediately following the merger were £25,779,501 and £24,776,094 respectively.

Other information

This announcement has been prepared on the same basis as the Annual Report and Financial Statements for the year ended 31 December 2012. The Annual Report and Financial Statements for the year ended 31 December 2012 will be filed with the Registrar of Companies and issued to Shareholders in due course. References to page numbers and notes to the financial statements are references to the Annual Report and Financial Statements for the year ended 31 December 2012. The financial information contained within this announcement does not constitute the Company's statutory Financial Statements as defined in the Companies Act 2006.

The statutory Financial Statements for the year ended 31 December 2011 have been delivered to the Registrar of Companies and contained an audit report which was unqualified.

Copies of this announcement and of the Annual Report and Financial Statements for the year ended 31 December 2012 will be available at the registered office: Kintyre House, 205 West George Street, Glasgow, G2 2LW, and on the Company's website at www.mavencp.com/migvct4.

By order of the Board

Maven Capital Partners UK LLP

Secretary

30 April 2013

ENDS

Neither the content of the Company's website nor the contents of any website accessible from hyperlinks on the company's website (or any other website) is incorporated into, or forms part of, this announcement.

 

END

 

 

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