Octopus Titan VCT 2 PLC : Interim Management St...

Octopus Titan VCT 2 PLC
Interim Management Statement

7 March 2013

In accordance with Rule 4.3 of the UK Listing Authority's Disclosure and Transparency rules, Octopus Titan VCT 2 plc ('Titan 2' or 'VCT') presents an Interim Management Statement for the period 1 November 2012 to 31 January 2013.  The statement also includes relevant financial information between the end of the period and the date of this statement.

Financial Summary

	3 month period to 31 January 2013	Year to 31 October 2012
Net assets (£'000s)	15,275	21,361
Return after tax (£'000s)	(129)	5,737
Net asset value per share ('NAV')	87.2p	121.9p
Cumulative dividends paid and proposed since launch	40.0p	6.0p
Total return (NAV plus dividends paid)	127.2p	127.9p

Investment performance
During the three month period, the Total Return of the VCT decreased 0.5% to 127.2 pence per share as at 31 January 2013. The performance of the VCT has been relatively stable in the period under review as there have been no valuation movements in the unquoted portfolio. The main driver for the decrease in the NAV was the standard running costs of the Company which exceeded the income received.

The portfolio's strategy continues to be one of making further investments into those companies where we believe it will move them towards maturity and in due course profitable exits for the VCT's shareholders. During the period under review, Titan 2 made follow-on investments into two companies; £244,000 into Calastone and £109,000 into Bowman Power.

As mentioned in the Annual report, on 30 November 2012, the Fund's holding in Nature Delivered was realised, yielding £5,884,000 as a mixture of cash, equity and loan notes.

Top Ten Investments by value as at 31 January 2013

Company	Sector	Carrying value £'000	% of total net assets
Zoopla Limited	Media	4,486	29.4%
Calastone Limited	Technology	2,514	16.5%
Nature Delivered Limited	Consumer lifestyle & wellbeing	2,120	13.9%
TouchType Limited	Telecommunications	928	6.1%
e-Therapeutics Limited	Consumer lifestyle & wellbeing	766	5.0%
Mi Pay Limited	Telecommunications	749	4.9%
Executive Channel Europe Limited	Media	605	4.0%
GetOptics Limited	Consumer lifestyle & wellbeing	580	3.8%
Semafone Limited	Telecommunications	568	3.7%
Surrey NanoSystems Limited	Technology	528	3.5%

Dividends
As announced in the recently published annual results, the proposed special dividend of 34.0p per share for the year ended 31 October 2012 will be paid on 28 March 2013 to those shareholders on the register on 11 January 2013.

Material events and transactions
Titan 2, in conjunction with the other Titan funds, is seeking to raise a total of £30 million, with amounts raised being allotted equally between the five Titan Funds.

On 5 March 2013, a further £151,000 was invested into Metrasens Limited.

Titan 2's Board is not aware of any other significant event which has occurred between 31 January 2013 and the date of publication of this statement which would have a material impact on the financial position of the VCT.

For further information please contact:

Alex Macpherson- Fund Manager
Octopus Investments Limited - 0800 316 2349

ENDS

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Source: Octopus Titan VCT 2 PLC via Thomson Reuters ONE

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