Octopus Titan VCT 1 Plc
Octopus Titan VCT 2 Plc
Octopus Titan VCT 3 Plc
Octopus Titan VCT 4 Plc
Octopus Titan VCT 5 Plc
Together "the Companies"
28 April 2014
Postponement of Issue of Equity and Closure Date of Further Offer for Subscription
Postponement of Issue of Equity
The Companies announce that further to the issue of a Prospectus on 3 September 2013 relating to an offer for subscription by the Companies for ordinary Shares of 10p each to raise up to £50 million in aggregate (the "Offer for Subscription") and a further combined new offer for subscription by the Companies for ordinary Shares of 10p each to raise up to £13,500,000 million in aggregate (the "Further Offer for Subscription"), split equally between the Companies, in the 2013/2014 and 2014/2015 tax years (the Offer for Subscription and the Further Offer For Subscription together the "Offers"), the Companies indicated that an allotment of Shares under the Offers for the 2014/15 tax year would take place on 30 April 2014.
On 27 March 2014, the Government published the Finance Bill 2014. The Finance Bill contains proposed changes to VCT rules which apply to VCT Shares issued on or after 6 April 2014. The Companies' professional advisers are of the opinion that those provisions of the Finance Bill require clarification as they could be interpreted as preventing the Companies from issuing Shares after 5 April 2014 on all of the terms of the Offers.
The directors of the Companies (the "Directors") have been advised that amendments to the relevant provisions in the Finance Bill are to be introduced in order to provide this clarification; however, those amendments have not yet been published, and will in any event be subject to the usual process of Parliamentary review and debate.
On advice, and in the interest of all of the Companies' shareholders, therefore, the Directors have decided to postpone the allotment and issue of further Shares under the Offers for the 2014/15 tax year until such time as the Directors believe that there is certainty whether the allotment and issue can be made under all of the terms of the Offers without contravening the new rules.
Application monies received under the Offers in respect of the 2014/15 tax year will be held in the Companies' Offer account pending decision as to whether the allotment and issue of Shares can be made under all of the terms of the Offers without contravening the new rules.
Further announcements will be made at such time as the Directors believe that there is certainty whether the allotment and issue of Shares can be made under all of the terms of the Offers without contravening the new rules and in any event prior to 31 May 2014.
Closure Date of Further Offer for Subscription
Further, the closure date of the Further Offer For Subscription, stated to be 30 April 2014, will be extended to 31 May 2014, subject to the Directors reserving the right prior to 31 May 2014 to make a further extension, to allow for the allotment and issue of Shares under the Further Offer For Subscription but no further applications in respect of the Further Offer for Subscription will be accepted after 30 April 2014.
For further information, please contact:
Patricia Standaloft
Company Secretary
0207 710 6471