First Close for Seneca Growth Capital VCT

Seneca Partners, the award winning specialist SME finance business, has completed a successful first close for its recently launched VCT offering, Seneca Growth Capital VCT, amid high demand from investors.

The VCT offering was launched in May and having already reached its initial fundraise target, the first £3.1m allotment of shares took place on 23 August 2018.  On the same day the VCT’s name was changed to Seneca Growth Capital VCT and Seneca was appointed as investment manager.

The Seneca Growth Capital VCT aims to provide investors with both income and capital returns by investing in a diverse portfolio of both unquoted and AIM/NEX quoted UK companies. The VCT is targeting companies with attractive growth potential and strong leadership teams seeking an injection of growth capital to support their continued development.  Given the increasing demand for tax advantaged investment opportunities Seneca expects its VCT and EIS funds under management to increase substantially during the remainder of the current tax year.

John Davies, Investment Director of Seneca Partners, commented; “Seneca is already an active growth capital investor through the EIS funds that we manage, which exceed £50m. Adding the VCT to our offering is very exciting and further expands Seneca’s range of tax advantaged investment opportunities. Following the first allotment of shares for the Seneca Growth Capital VCT we now have more than £10m of EIS and VCT growth capital to invest over the next 6 months, with a number of very exciting businesses currently in due diligence.

“Our expertise in growth capital investing makes the Seneca Growth Capital VCT an obvious solution for investors seeking to invest in this space – our capabilities have been extended to offer an attractive tax-efficient diversified investment product, while increasing our investment flexibility and fire-power to support SMEs.”

Important Notice
It is important to be aware that not all investments in smaller unquoted companies are successful and investors must understand the risks inherent in such investing. If you are in any doubt then you must speak to a financial adviser. Investments in unquoted companies could put some or all of your capital at risk.

Important notice

The contents of this website are a financial promotion and are approved by Seneca Partners Limited of 9 The Parks, Newton-le-Willows WA12 0JQ.

The value of an investment in the Seneca Capital Growth VCT plc may go down as well as up, in which case an investor may not get back the amount invested. The share prices quoted may not reflect the VCT’s net asset value.

Seneca Growth Capital VCT plc’s investments include holdings in private companies which are small and which carry an above-average level of risk to capital and whose shares may not be readily marketable. It also invests in companies quoted on the Alternative Investment Market (AIM) of the London Stock Exchange (LSE) which is generally for smaller, emerging companies and carries a higher level of risk to capital than the main market of the LSE.  The past performance of Seneca Growth Capital VCT plc is not a guide to the future performance.

Any tax reliefs available to investors are dependent on personal circumstances and may change in the future. The tax reliefs available to certain investors in Seneca Growth Capital VCT plc are dependent on the VCT maintaining Inland Revenue approval. If this approval is withdrawn, the VCT will lose its status and all tax reliefs are likely to be cancelled. Investors must retain their VCT shares for five years to retain the up-front income tax relief. The tax rules and regulations governing VCTs are subject to change.

An investment in Seneca Growth Capital VCT plc may not be suitable for all investors. Investors should seek advice from a qualified financial adviser. Nothing on this website should be construed as investment or tax advice.

Seneca Partners Ltd is authorised and regulated by the Financial Conduct Authority.