AlbionVentures

1 November 2011

Albion Ventures announce linked top up fundraising complete with potential to compound income through their dividend reinvestment scheme

Offer follows the successful 2010/11 Albion VCTs Linked top up which raised £11.8 million and has provided the target tax free annualised dividend yield of 5% payable monthly from January of this year.

This Offer is also targeting a 5% tax free yield, equivalent to 7% on net cost after income tax relief of 30%, and payable monthly, through investment in seven mature Albion-managed VCTs with assets of £180 million.

Investors in the Offer can compound their income further if they participate in the dividend reinvestment scheme (“DRIS”). The scheme works by reinvesting dividends in the form of new shares of the Albion VCTs, allowing investors to benefit from a further 30% tax relief on the value of the dividend received and, with regular investment, the potential to compound capital growth. The DRIS option is attractive to long term investors who do not want to receive their income in the short term, but do wish to compound capital growth.

Patrick Reeve, Managing Partner at Albion Ventures said:
“Investors are still looking for income; feedback from meetings so far this year suggests increased interest from IFAs and wealth managers in our asset-rich generalist strategy, as they seek income paying, tax efficient strategies for their clients. The Offer allows investors to participate in a mature portfolio of investments in companies with no external bank borrowings, as well as the opportunity to grow the portfolio by backing new companies at a time when finance in general is scarce.”

Investors in the first £2.5million will receive a 1% of the amount invested in the offer with no time limit, the costs of this being borne by the manager.

NOTES TO EDITORS
Investors can access mature private equity portfolios with the following allocation:

The portfolio allocation across the seven Albion VCTs included in the Offer as 30 September 2011

TAX BENEFITS TO INVESTORS:
For the current tax year to 5 April 2012 eligible investors can claim:

– 30% on the initial amount invested
– Tax free dividends
– Tax free capital gains on the VCT shares

For further enquiries, please contact:

Peregrine Communications
Jayne Adair
Jayne.adair@peregrinecommunications.com
0203 178 8187

Karen Wagg
Karen.Wagg@peregrinecommunications.com
0203 178 4890

01 November 2011 Albion Ventures announce linked top up fundraising complete with potential to compound income through their dividend reinvestment scheme...