29th Apr 2019 12:41
LONDON (Alliance News) - Seneca Growth Capital VCT PLC on Monday reported a rise in net asset value in 2018 as the trust asked for patience in seeking realisations from its portfolio.
At December 31, Seneca's NAV per ordinary share stood at 65.1 pence, 2.0% higher compared to 63.8p a year before.
The trust's B share NAV stood at 99.1p at December 31.
At March 31, Seneca's NAV per ordinary share stood at 51.1p and the NAV per B share stood at 98.9p.
Seneca's net assets increased 1.9% in 2018 to GBP5.3 million from GBP5.2 million.
The trust's NAV total return in 2018, cumulative of dividends, was 89.35p, 1.5% higher than the 88.05p in 2017.
Seneca declared 10p in dividends in 2018 for holders of its ordinary shares. No B share dividend was paid out.
Chair John Hustler said 2018 was a "successful year of change" for the trust. Seneca launched a B share offer in May, raising GBP5.5 million.
Seneca said its ordinary share portfolio saw a reduction in value in 2018, however. The trust said the decline in share price of AIM-listed holdings Scancell Holdings PLC and Omega Diagnostics PLC were to blame for the decrease in asset value.
"The intrinsic values of both Scancell and Omega remain, and we are firmly of the view that the potential upside in these assets merits their continued presence in the portfolio," Hustler said.
"We regard the prospects for the remaining ordinary share portfolio as good but once again I need to seek shareholders' patience following the significant distributions returned, and intended to be returned, to them in 2019 whilst we await further realisation opportunities for the remaining investments in the ordinary share portfolio."
The ordinary share portfolio was valued at GBP2.8 million at December 31.
The trust's B share portfolio added five investments in 2018, investing a total of GBP2.8 million. "This is a very positive start to the development of the B share investment portfolio and demonstrates that Seneca has access to considerable deal flow with exciting opportunities," said Hustler.
Shares in Seneca were untraded Monday but last closed at 35p. The trust's B shares were also untraded, having last closed at 98p.