Half Yearly Report

Maven Income and Growth VCT 2 PLC

Interim management report for the six months ended 31 July 2012 (unaudited)

The Directors announce the unaudited Interim Management Report for the six months ended 31 July 2012.

Overview

The continuing focus for your Company is on delivering further improvements in Shareholder value through the on-going expansion of the private equity asset base. The Company has a widely diversified portfolio of holdings in established UK businesses, the majority of which pay a yield. The current scarcity of bank finance means that Maven's investment team, operating from six key regional centers throughout the UK, is being introduced to a steady flow of good quality private companies as these businesses look for alternative sources of funding.

During the period to 31 July 2012 most of the private company assets have continued to trade positively, despite a difficult economic environment. The portfolio continues to generate strong levels of revenue which is an important component in your Company's ability to sustain a healthy level of dividends. This is reflected in an increased interim dividend compared with the same period last year.

We are pleased to note that, since the publication of the Annual Report, there has been a wide range of independent industry recognition of the success of Maven's VCT investment approach and ability to deliver a consistent level of shareholder returns. In August Maven was announced as the winner in the UK Small Buyout House of the Year category for the ACQ Finance Magazine Global Awards 2012. These awards aim to recognise experience and skills demonstrated across UK and international markets, and particularly those managers that have produced exceptional performance levels during the most difficult period that the global economy has experienced for decades.

At the same time Maven was short-listed in two categories for the 2012 unquote" British Private Equity Awards, which acknowledge innovation and excellence in the private equity and venture capital sectors. The 3 times cost exit from Walker Technical Resources in 2011 has been nominated for VCT Exit of the Year, whilst Maven is also featured in the VCT House of the Year category which reflects the ability of a manager to achieve consistently high standards across its wider transaction activity.

Maven has also been nominated for VCT Fund Manager of the Year as part of the Investor AllStars 2012 awards, which focus on all-round professional excellence in the European venture capital and private equity sector, and your Company and Maven Income and Growth VCT PLC have both been announced as VCT finalists in the annual Investment Company of the Year Awards for close-ended fund management.

Highlights for the six months:

·; Total return of 80.82p per share at 31 July 2012, up 3.1% over the period;

·; Net Asset Value (NAV) of 59.7p per share after payment of the 2012 final dividend of 1.5p per share;

·; Interim dividend of 1.75p per share declared;

·; Two substantial new investments added to the portfolio, and seven follow-on investments; and

·; Disposal of ATR Holdings, TPL (Midlands) and Nessco Group Holdings for total returns of 2.4, 1.7 and 2.7 times cost respectively.

Dividends

The Board has declared an increased interim dividend of 1.75p per share (2011: 1.5p), comprising 1.0p of capital and 0.75p of revenue, to be paid on 9 November 2012 to Shareholders on the Register at 12 October 2012.

The Company paid dividends totalling 3.0p per share in respect of the year ended 31 January 2012 and this represents a yield of 3.75% per annum to Shareholders who invested at inception, based on their net cost after initial tax relief.

Investment activity

During the period the Maven team completed two qualifying private equity investments at a cost of £0.62 million on behalf of your Company, and made seven follow-on investments in existing portfolio companies. At the period end, the portfolio was comprised of 57 unlisted and AIM/PLUS quoted investments at a total cost of £13.7 million, with quoted holdings representing 2.6% of the portfolio by value.

The following new investments were completed during the period:

Two new private company investments were added to the portfolio during the period under review:

·; Vodat International Holdings, 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; and

·; CatTech International, a niche industrial services business offering catalyst handling products and services to petro-chemical plants operating in the major international markets. The business specialises in servicing equipment used in applications where operational efficiency is critical and there is an increasing global focus on health and safety issues, and has developed a range of patented products and processes to improve the efficiency, speed and safety of catalyst operations.

A number of follow-on investments were made to support the development of existing portfolio businesses and, in the case of Glacier Energy Services Group and 60 Group, to fund acquisitions.

Maven Income and Growth VCT 2 has co-invested in some or all of the above transactions with Maven Income and Growth VCT, Maven Income and Growth VCT 3, Maven Income and Growth VCT 4, Maven Income and Growth VCT 5, Talisman First Venture Capital Trust and Ortus VCT. Co-investment allows the Companies to underwrite a wider range and larger size of transaction than would be the case on a stand-alone basis.

Realisations

There were three significant private company realisations during the period. In March 2012, Maven completed the realisation of ATR Holdings for £19.25 million 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. At the start of June 2012 the holding in TPL (Midlands) was sold to German engineering group Vossloh Kiepe for a 1.7 times total return on investment cost for your Company. During July 2012 the realisation of the holding in Nessco Group Holdings completed with a sale to NASDAQ listed RigNet Inc. for a 2.7 times return on the cost of investment.

The table below gives details of realisations during the reporting period:

The Manager has continued its policy of disposing of quoted holdings for best possible value in cases where the investments were underperforming. One AIM quoted company was struck off the Register during the year, resulting in a realised loss of £66,000 (cost £66,000). This had no effect on the NAV as a full provision had been made in earlier periods.

Principal risks and uncertainties

The Board has reviewed the principal risks and uncertainties facing the Company, which are set out fully in the Annual Report. The Company has invested in a broadly based portfolio of UK private company investments. The VCT qualifying status of the Company is reviewed regularly by your Board and is monitored on a continuous basis by the Manager in order to ensure that all of the criteria for VCT status are met. The Board has confirmed that all tests continue to be satisfied.

VCT regulation

The Manager was pleased to note that the Finance Act received Royal Assent in July, following approval by the European Commission of Government increases to the level of investment in an individual business which qualifies for VCT funding and to the size of business which can benefit. The gross asset limit for investee companies has been raised from £7 million to £15 million, and the maximum number of employees from 50 to 250, while the maximum annual investment has been raised from £2 million to £5 million. These revised limits are consistent with the Maven focus on investing in later-stage companies, and reinforce the position of generalist VCTs as a tax-efficient means of investment in high-growth smaller businesses.

Offer for Subscription

An Offer for Subscription was made in December 2011 in parallel with similar Offers by Maven Income and Growth VCT PLC, Maven Income and Growth VCT 3 PLC and Maven Income and Growth VCT 4 PLC. The Offer was closed early, having been fully subscribed, on 1 March 2012 and resulted in the issue of 2,103,381 Ordinary Shares at an issue price of 59.37p, raising an additional £1,250,000 of capital, before expenses.

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 500,000 shares were bought back during the period at a total cost of £250,916.

Shareholders should be aware that the Board's primary objective is for the Company to retain sufficient liquid assets for making investments in line with its stated policy and for the continued payment of dividends. However, the Directors also acknowledge the need to maintain an orderly market in the Company's shares and have delegated authority to the Manager to buy back shares in the market for cancellation, subject always to such transactions being in the best interest of Shareholders. It is intended that, subject to market conditions, available liquidity and the maintenance of the Company's VCT status, shares will be bought back at prices representing a discount of between 10% and 20% to the prevailing net asset value per share.

Outlook

During the next six months your Company will continue to focus on investing in attractively priced later-stage private companies which are capable of paying regular income and offer significant potential for capital growth. We believe this is the optimum strategy for the generation of superior Shareholder returns.

Maven Capital Partners UK LLP

Manager

28 September 2012

Maven Income and Growth VCT 2 PLC

Notes to the Financial Statements

1. Accounting policies

The financial information for the six months ended 31 July 2012 and the six months ended 31 July 2011 comprises non-statutory

accounts within the meaning of the Companies Act 2006. The financial information contained in this report has been prepared on the basis of the accounting policies set out in the Annual Report and Financial Statements for the year ended 31 January 2012, which have been filed at Companies Houses and which contained an Auditor's Report which was not qualified and did not contain a statement under S498(2) or S498(3) of the Companies Act 2006.

2. Investment management fees

Based on the net asset value as at 31 July 2012, the Company became liable to pay to the Manager a performance related

incentive fee, full details of the basis for which are disclosed in the Annual Report.

3. Movement in reserves

4. Returns per Ordinary Share

The returns per Ordinary Share are based on the following figures:

Directors' responsibility statement

The Directors confirm that, to the best of their knowledge:

·; the Financial Statements for the six months ended 31 July 2012 have been prepared in accordance with applicable accounting standards and with the Statement of Recommended Practice "Financial Statements of Investment Trust Companies" issued in January 2009;

·; the Interim Management Report includes a fair review of the information required by DTR 4.2.7 R in relation to the indication of important events during the first six months, and of the principal risks and uncertainties facing the Company during the second six months, of the year ending 31 January 2013; and

·; the Interim Management Report includes adequate disclosure of the information required by DTR 4.2.8 R in relation to related party transactions and any changes therein.

Other information

The NAV per Ordinary Share has been calculated using the number of Ordinary Shares in issue at 31 July 2012 of 25,850,663.

A summary of investment changes for the six months under review and an investment portfolio summary as at 31 July 2012 are included above.

A full copy of the Interim Report and Financial Statements will be printed and issued to Shareholders.

Copies of this announcement will be available to the public at the office of Maven Capital Partners UK LLP, 205 West George Street, Glasgow G2 5NW and at the registered office of the Company, 9-13 St. Andrew Street, London EC4A 3AF.

By order of the Board

Maven Capital Partners UK LLP

Secretary

28 September 2012