25 Jul 2011
Bumper £7.5m dividend payment for VCT shareholders
Top performing British Smaller Companies Venture Capital Trust (BSC VCT)*, which is managed by YFM Equity Partners, has agreed to pay out £7.5m in dividends to its shareholders, believed to be one of the largest generalist VCT dividend payout in ten years.
The bumper dividend payout seals a sterling performance for BSC VCT. Since March 2010, total Return has increased by 22% with net asset value up 34% and a yield of 5.1% per annum for the 15 years that BSC has been around. In addition, there has been growth in the underlying portfolio of £10.6 million.
David Hall, Managing Director, YFM Equity Partners said: “We are delighted to be making what I believe to be one of the largest VCT dividend payment in the last ten years to our shareholders. BSC VCT demonstrates that investing in the UK’s smaller businesses can both deliver strong investment returns as well as delivering economic growth. The Government is seeking to focus its policies on just these businesses which we think is wholly justified by results such as these.”
There will now be two dividends payable in August to shareholders on the register at 22 July 2011. The first is the final year-end dividend of 3 pence per share which is subject to shareholder approval at the Annual General Meeting on 29 July. Also the board has approved a special dividend of 18 pence per share as a result of the successful partial realisation of BSC’s investment in Go Outdoors. This partial realisation generated sale proceeds of £6.54m. All dividends will be paid on 22 August 2011.
* Citywire over 1, 3 and 10 years