Financial Express (Holdings) Limited (“we”, “our”, “us” and derivatives) are committed to protecting and respecting your privacy. This Privacy Policy, together with our Terms of Use, sets out the basis on which any personal data that we collect from you, or that you provide to us, will be processed by us relating to your use of any of the below websites (“sites”).

  • FEAnalytics.com
  • FEInvest.net
  • FETransmission.com
  • Investegate.co.uk
  • Trustnet.hk
  • Trustnetoffshore.com
  • Trustnetmiddleeast.com

For the purposes of the Data Protection Act 1998, the data controller is Trustnet Limited of 2nd Floor, Golden House, 30 Great Pulteney Street, London, W1F 9NN. Our nominated representative for the purpose of this Act is Kirsty Witter.

WHAT INFORMATION DO WE COLLECT ABOUT YOU?

We collect information about you when you register with us or use any of our websites / services. Part of the registration process may include entering personal details & details of your investments.

We may collect information about your computer, including where available your operating system, browser version, domain name and IP address and details of the website that you came from, in order to improve this site.

You confirm that all information you supply is accurate.

COOKIES

In order to provide personalised services to and analyse site traffic, we may use a cookie file which is stored on your browser or the hard drive of your computer. Some of the cookies we use are essential for the sites to operate and may be used to deliver you different content, depending on the type of investor you are.

You can block cookies by activating the setting on your browser which allows you to refuse the setting of all or some cookies. However, if you use your browser settings to block all cookies (including essential cookies) you may not be able to access all or part of our sites. Unless you have adjusted your browser setting so that it will refuse cookies, our system will issue cookies as soon as you visit our sites.

HOW WE USE INFORMATION

We store and use information you provide as follows:

  • to present content effectively;
  • to provide you with information, products or services that you request from us or which may interest you, tailored to your specific interests, where you have consented to be contacted for such purposes;
  • to carry out our obligations arising from any contracts between you and us;
  • to enable you to participate in interactive features of our service, when you choose to do so;
  • to notify you about changes to our service;
  • to improve our content by tracking group information that describes the habits, usage, patterns and demographics of our customers.

We may also send you emails to provide information and keep you up to date with developments on our sites. It is our policy to have instructions on how to unsubscribe so that you will not receive any future e-mails. You can change your e-mail address at any time.

In order to provide support on the usage of our tools, our support team need access to all information provided in relation to the tool.

We will not disclose your name, email address or postal address or any data that could identify you to any third party without first receiving your permission.

However, you agree that we may disclose to any regulatory authority to which we are subject and to any investment exchange on which we may deal or to its related clearing house (or to investigators, inspectors or agents appointed by them), or to any person empowered to require such information by or under any legal enactment, any information they may request or require relating to you, or if relevant, any of your clients.

You agree that we may pass on information obtained under Money Laundering legislation as we consider necessary to comply with reporting requirements under such legislation.

ACCESS TO YOUR INFORMATION AND CORRECTION

We want to ensure that the personal information we hold about you is accurate and up to date. You may ask us to correct or remove information that is inaccurate.

You have the right under data protection legislation to access information held about you. If you wish to receive a copy of any personal information we hold, please write to us at 3rd Floor, Hollywood House, Church Street East, Woking, GU21 6HJ. Any access request may be subject to a fee of £10 to meet our costs in providing you with details of the information we hold about you.

WHERE WE STORE YOUR PERSONAL DATA

The data that we collect from you may be transferred to, and stored at, a destination outside the European Economic Area (“EEA”). It may be processed by staff operating outside the EEA who work for us or for one of our suppliers. Such staff may be engaged in, amongst other things, the provision of support services. By submitting your personal data, you agree to this transfer, storing and processing. We will take all steps reasonably necessary, including the use of encryption, to ensure that your data is treated securely and in accordance with this privacy policy.

Unfortunately, the transmission of information via the internet is not completely secure. Although we will do our best to protect your personal data, we cannot guarantee the security of your data transmitted to our sites; any transmission is at your own risk. You will not hold us responsible for any breach of security unless we have been negligent or in wilful default.

CHANGES TO OUR PRIVACY POLICY

Any changes we make to our privacy policy in the future will be posted on this page and, where appropriate, notified to you by e-mail.

OTHER WEBSITES

Our sites contain links to other websites. If you follow a link to any of these websites, please note that these websites have their own privacy policies and that we do not accept any responsibility or liability for these policies. Please check these policies before you submit any personal data to these websites.

CONTACT

If you want more information or have any questions or comments relating to our privacy policy please email publishing@financialexpress.net in the first instance.

 Information  X 
Enter a valid email address

QUESTER VCT 5 (SVC3)

  Print      Mail a friend       Annual reports

Thursday 16 September, 2004

QUESTER VCT 5

Interim Results


                               Quester VCT 5 plc                               

            Interim statement for the six months ended 30 June 2004            

Financial highlights

Per ordinary share (pence)              6 months to    Year to 31   6 months to
                                       30 June 2004 December 2003  30 June 2003
                                                                               
Capital values                                                                 
                                                                               
Net asset value                                92.9          92.7          93.3
                                                                               
Share price                                    97.5          96.0          96.0
                                                                               
Return and dividends                                                           
                                                                               
Dividend                                          -           1.0             -
                                                                               
Cumulative dividend                             1.5           1.5           0.5
                                                                               
Total return*                                  94.4          94.2          93.8

*Net asset value plus cumulative dividend per share

Highlights from the Chairman's statement and Investment manager's report

• Total return of £6,000 (0.02p per share) for the six months to 30 June 2004

• Two profitable partial realisations from the venture capital portfolio

• The portfolio now comprises six AIM traded and 17 unquoted companies

• The 2003/04 top-up issue of shares closed during the period having raised a
further £1.7million for the Company

• It is the intention that there will be a further offer for shares in autumn
2004

• The Directors do not propose to pay a dividend

CHAIRMAN'S STATEMENT

INTRODUCTION

During the six months ended 30 June 2004 further progress has been made towards
completion of the initial phase of the Company's investment programme. There
has been modest increase in net asset value of 0.2p per share and two early
part-realisations from the venture capital portfolio have been achieved.

NET ASSETS, REVENUE AND DIVIDENDS

The Statement of Total Return shows a total return of £6,000 (0.02p per share)
for the six months to 30 June 2004. Of this, a profit of £56,000 is
attributable to the Revenue Account, which is in effect the Company's profit
and loss account. This is partially offset by a net capital loss of £50,000
arising during the period. The directors are not declaring an interim dividend.

As at 30 June 2004, the share price stood at a premium of 5.0% to net asset
value. Subsequent to the year end, the share price has fallen to stand at a
modest discount to net asset value.

INVESTMENT PROGRESS AND PORTFOLIO PERFORMANCE

During the half year, five further venture capital investments were made taking
the number of such investments held as at 30 June 2004 to 23, with an aggregate
cost of £6.7million. The portfolio now comprises six AIM traded and 17 unquoted
companies. This represents a diversified portfolio of companies operating in a
wide range of markets with high growth potential. The recent AIM investments
have also resulted in a broadening of both the spread of investment stages and
the profile of the portfolio. Taking reserves for follow-on investments into
account, the fund is now considered to be approximately 50% invested.

Investment performance itself over the period has generally been good and there
have been two successful part realisations from the venture capital portfolio.
Further details on investment progress and portfolio performance are provided
in the Investment Manager's report.

FUNDRAISING

The 2003/04 top-up issue of shares closed during the period having raised a
further £1.7million for the Company. Of this, £1.4million was raised during the
current period.

Following the recent changes announced in the 2004 Budget, the income tax
advantages for private investors who subscribe for shares in a VCT have been
enhanced with income tax relief of up to 40% being available. However, it is
now no longer possible for investors to shelter current capital gains tax
liabilities; previously sheltered gains remain unaffected.

Provided that the directors consider it to be in the best interests of
shareholders and the Company, it is the intention that there will be a further
offer for shares in autumn 2004 during this favourable environment for
fundraising.

OUTLOOK

It is currently expected that the venture capital portfolio will expand to
approximately 30 investments, although this number may vary depending upon any
future fundraisings. Reserves will be retained to cover the future potential
funding requirements of these investments.

Given the nature of the Company's investments, the payment of a final dividend
for the current year and for future years will largely be dependent upon the
future realisation of capital profits from the investment portfolio.

Whilst it has been encouraging to have been able to report the two partial
realisations achieved during the period, it should be appreciated that the
unquoted investments held by the Company are, in most cases, still at an early
stage and will take time to mature. However, we believe that the portfolio
holds attractive investments with the potential to produce good future returns
to shareholders.

WW Passmore

Chairman

16 September 2004

INVESTMENT MANAGER'S REPORT

OVERVIEW

The six months to 30 June 2004 have seen two profitable partial realisations
from the venture capital portfolio, an increase in the number of venture
capital investments held and a small net gain in net asset value on the back of
unrealised gains in investments.

Steady progress has been made towards completion of Quester VCT 5's initial
investment phase and, taking reserves for follow-on investments into account,
the fund is now considered to be approximately 50% allocated to venture capital
investments.

The opportunity was taken during the period to broaden the spread of investment
stages represented within the portfolio by investing in a number of companies
raising capital on AIM, which has seen increasing levels of new issue activity.

PROGRESS WITH VENTURE CAPITAL INVESTMENT

During the six months ended 30 June 2004, four new investments were made at an
initial cost of £732,000. Each of these investments are traded on AIM. In
addition, a further £509,000 was invested in six existing unquoted portfolio
companies, either as further tranches of originally agreed commitment or as
follow-on investment. As can be seen in the table below these investments cover
a range of different sectors.

                                      Sector                             £'000
                                                                              
New investments                                                               
                                                                              
Offshore Hydrocarbon Mapping plc      Industrial products                  175
                                                                              
Polaron plc                           Industrial products                  250
                                                                              
Public Recruitment Group plc          Business services                    250
                                                                              
Quadnetics Group plc                  Industrial products                   57
                                                                              
                                                                           732
                                                                              
Follow-on investments                                                         
                                                                              
Advanced Valve Technologies Limited   Industrial products                    8
                                                                              
Anadigm Limited                       Semiconductors                       150
                                                                              
Antenova Limited                      Communications                        75
                                                                              
HTC Healthcare Group plc              Consumer services                    214
                                                                              
Mesophotonics Limited                 Electronics                           53
                                                                              
REQIO Limited                         Software                               9
                                                                              
                                                                           509
                                                                              
Total                                                                    1,241

The portfolio so far established is balanced by sector and well spread. A
summary of the sectors covered by the portfolio at 30 June 2004 is provided in
the table below:

Sector                      Percentage of venture   Valuation at      Number of
                             capital portfolio at   30 June 2004    investments
                                       valuation%                              
                                                          £ `000               
                                                                               
Healthcare & life sciences                   29.4          2,051              6
                                                                               
Software                                     23.3          1,622              4
                                                                               
Communications                               10.0            698              2
                                                                               
Electronics                                   9.5            660              2
                                                                               
Business services                             9.2            643              2
                                                                               
Industrial products                           8.0            556              4
                                                                               
Semiconductors                                7.5            524              2
                                                                               
Consumer services                             3.1            214              1
                                                                               
                                            100.0          6,968             23

The VCT legislation requires that by 31 December 2004 at least 70% of the net
funds raised up to and including 31 December 2002, which amounted to £
18.7million, must be invested in qualifying holdings (within the definitions
laid down by the Inland Revenue). In order to satisfy this rule and also to
retain sufficient investment reserves to meet the likely requirements of the
venture capital portfolio, it is intended that part of the Company's funds
should be switched into non-interest bearing cash accounts, which do not
represent investments within the relevant definition.

REALISATION OF VENTURE CAPITAL INVESTMENTS

We are pleased to be able to report two successful part realisations effected
during the half year.

Thirty six percent of the holding of Amino Technologies plc was sold following
its admission to trading on AIM. This sale resulted in a realised gain of £
91,000 on a cost of £51,000. In addition, the residual holding of this company
was valued at £303,000 at the period end, giving rise to an unrealised gain of
£212,000. Subsequent to the period end, 39% of the remaining holding has been
sold generating further profits of £114,000.

Fifty seven percent of the holding of Offshore Hydrocarbon Mapping plc, a new
investment made in the period, was also sold generating a realised gain of £
26,000 on a cost of £99,000. The remaining holding, which was showing an
unrealised gain of £30,000 as at 30 June 2004, was sold in full post the half
year generating cash proceeds of £104,000. In aggregate, the total realised
gain from this investment amounted to £54,000 on an original cost of £175,000.

VALUATION OF THE VENTURE CAPITAL PORTFOLIO

During the six months to 30 June 2004, there was a net unrealised gain of £
15,000 in the value of the company's venture capital investments. This
comprises net gains of £336,000 in the value of the Company's investments
traded on AIM, offset by provisions totalling £321,000.

As at 15 September 2004, the mid-market price of AIT Group plc had fallen by
48% since 30 June 2004 causing the valuation of this investment to fall by £
422,000.

Of the Company's 23 venture capital investments, four are valued at above cost,
15 at cost and four at below cost. The Company's unquoted venture capital
investments are valued in line with the current BVCA valuation guidelines.

LISTED EQUITY AND BOND PORTFOLIOS

The listed equity portfolio was showing an unrealised gain of £64,000 as at 30
June 2004 on a cost of £2.4million. In total, £3.2million has been set aside
for investment in listed equities, with the currently uninvested balance of £
800,000 being held in bonds.

The listed fixed interest portfolio into which funds awaiting investment in the
venture capital portfolio have been invested was showing a loss of £13,000 as
at the half year. A proportion of this portfolio will be switched into venture
capital investments during the remainder of the current year and in coming
years. In order to ensure that the 70% qualifying holdings test, as referred to
above, is satisfied, part of the remaining bond portfolio will be switched into
non-interest bearing bank deposits with effect from 31 December 2004. As a
result, there will be a reduction in the level of interest income for the
Company over the remainder of the current year and for the following years.

CONCLUSION

Promising progress has continued to be made in the initial investment phase
with the creation of a portfolio containing 23 venture capital investments. It
is envisaged that the portfolio will increase to approximately 30 investments.
However, this number may vary subject to any further fundraising activity by
the Company.

It has been pleasing to see some early profitable realisations from the
portfolio and its continued evolution on the back of additional investment
activity. We continue to believe that the portfolio contains a number of
investments with promise and we remain optimistic about long term future
performance and upside potential.

Quester Capital Management Limited

Manager

16 September 2004

FUND SUMMARY

As at 30 June 2004

                                       Cost       Valuation % equity  % of fund
                                                                               
                                       £'000      £'000     held      by value 
                                                                               
Quoted venture capital investments                                             
                                                                               
AIT Group plc                          565        882       2.9%      4.0%     
                                                                               
Amino Technologies plc                 91         303       0.8%      1.4%     
                                                                               
Offshore Hydrocarbon Mapping plc       76         106       0.2%      0.5%     
                                                                               
Polaron plc                            250        262       1.2%      1.2%     
                                                                               
Public Recruitment Group plc           250        243       0.8%      1.1%     
                                                                               
Quadnetics Group plc                   57         55        0.2%      0.2%     
                                                                               
Total quoted venture capital           1,289      1,851               8.4%     
investments                                                                    
                                                                               
Unquoted venture capital investments                                           
                                                                               
Advanced Valve Technologies Limited    267        134       10.2%     0.6%     
                                                                               
Anadigm Limited                        237        237       1.7%      1.1%     
                                                                               
Antenova Limited                       300        300       2.7%      1.4%     
                                                                               
Arithmatica Limited                    287        287       2.5%      1.3%     
                                                                               
Avidex Limited                         367        367       1.1%      1.6%     
                                                                               
Azea Networks Inc.                     398        398       2.0%      1.8%     
                                                                               
Cyclacel Limited                       500        500       0.6%      2.2%     
                                                                               
Digital Union UK Limited               214        214       5.3%      1.0%     
                                                                               
Footfall Limited                       400        400       3.1%      1.8%     
                                                                               
HTC Healthcare Group plc               214        214       3.5%      1.0%     
                                                                               
Lorantis Holdings Limited              400        400       0.9%      1.8%     
                                                                               
Mesophotonics Limited                  357        357       2.4%      1.6%     
                                                                               
Oxford Immunotec Limited               250        250       3.9%      1.1%     
                                                                               
Oxxon Therapeutics Limited             367        367       3.5%      1.6%     
                                                                               
REQIO Limited                          242        125       1.3%      0.6%     
                                                                               
Workshare Limited                      400        400       2.6%      1.8%     
                                                                               
Xention Discovery Limited              167        167       2.4%      0.7%     
                                                                               
Total unquoted venture capital         5,367      5,117               23.0%    
investments                                                                    
                                                                               
Total venture capital investments      6,656      6,968               31.4%    
                                                                               
Listed fixed interest investments      10,484     10,471              47.1%    
                                                                               
Listed equity investments              2,364      2,428               10.9%    
                                                                               
Total investments                      19,504     19,867              89.4%    
                                                                               
Cash and other net assets              2,347      2,347               10.6%    
                                                                               
Net assets                             21,851     22,214              100.0%   

UNAUDITED FINANCIAL STATEMENTS

STATEMENT OF TOTAL RETURN

Incorporating the revenue account of the Company

                        6 months ended 30 June  6 months ended 30 June Year    
                                          2004                    2003 ended 31
                                                                       December
                                                                       2003    
                                                                               
                 Note Revenue  Capital   Total Revenue Capital Total   Total   
                                                                               
                        £'000    £'000   £'000 £'000   £'000   £'000   £'000   
                                                                               
Profit/(loss) on         -       82       82      -       (27)    (27)    64      
investments                                                                    
                                                                               
Income                  317     -        317     340     -       340     647     
                                                                               
Investment            (132)   (132)    (264)   (93)    (93)    (186)   (392)   
management fee                                                                 
                                                                               
Other expenses        (131)   -        (131)   (144)   -       (144)   (227)   
                                                                               
Return/(loss) on      54      (50)     4       103     (120)   (17)    92      
ordinary                                                                       
activities                                                                     
before taxation                                                                
                                                                               
Tax on ordinary       2       -        2       -       -       -       -       
activities                                                                     
                                                                               
Return/(loss) on      56      (50)     6       103     (120)   (17)    92      
ordinary                                                                       
activities after                                                               
taxation                                                                       
                                                                               
Proposed              -       -        -       -       -       -       (221)   
dividend                                                                       
                                                                               
Transfer to/          56      (50)     6       103     (120)   (17)    (129)   
(from) reserves                                                                
                                                                               
Earnings/(loss)     3 0.24p   (0.22)p  0.02p   0.49p   (0.57)p (0.08)p 0.43p   
per share                                                                      

The revenue column of this statement is the profit and loss account of the
Company.

All revenue and capital items in the above statement derive from continuing
operations.

The Company has only one class of business and derives its income from
investments made in shares and securities and from bank deposits.

BALANCE SHEET

                               Note   30 June       31 December   30 June      
                                                    2003                       
                                      2004                        2003         
                                                                               
                                      £'000         £'000         £'000        
                                                                               
Fixed assets                                                                   
                                                                               
Investments                           19,867        18,288        16,931       
                                                                               
Current assets                                                                 
                                                                               
Debtors                               273           627           346          
                                                                               
Cash at bank                          2,447         2,354         3,600        
                                                                               
                                      2,720         2,981         3,946        
                                                                               
Creditors (amounts falling            (327)         (362)         (172)        
due within one year)                                                           
                                                                               
Net current assets                    2,393         2,619         3,774        
                                                                               
Creditors (amounts falling            (46)          (46)          (46)         
due in over one year)                                                          
                                                                               
Net assets                            22,214        20,861        20,659       
                                                                               
Capital and reserves                                                           
                                                                               
Called-up equity share                239           225           221          
capital                                                                        
                                                                               
Share premium account           1     4,992         3,580         3,260        
                                                                               
Special reserve                 1     17,311        17,390        17,400       
                                                                               
Capital reserve - realised      1     (556)         (527)         (24)         
                                                                               
- unrealised                    1     163           184           (307)        
                                                                               
Revenue reserve                 1     65            9             109          
                                                                               
Total equity shareholders'            22,214        20,861        20,659       
funds                                                                          
                                                                               
Net asset value per share             92.9p         92.7p         93.3p        

SUMMARISED CASH FLOW STATEMENT

                                            6 months   Year ended     6 months
                                               ended                     ended
                                                      31 December             
                                                                              
                                        30 June 2004 2003         30 June 2003
                                                                              
                                        £'000        £'000               £'000
                                                                              
Net cash inflow/(outflow) from          394          92                   (58)
operating activities                                                          
                                                                              
Corporation tax paid                    -            (2)                     -
                                                                              
Net capital expenditure and financial   (1,427)      (2,732)           (1,038)
investment                                                                    
                                                                              
Dividends paid                          (221)        (93)                 (79)
                                                                              
Financing                               1,347        2,743               2,429
                                                                              
Increase in cash for the period         93           8                   1,254
                                                                              
Reconciliation of net cash flow to                                            
movement in net funds                                                         
                                                                              
Increase in cash for the period         93           8                   1,254
                                                                              
Net funds at the start of the period    2,354        2,346               2,346
                                                                              
Net funds at the end of the period      2,447        2,354               3,600

NOTES TO THE UNAUDITED FINANCIAL STATEMENTS

1. Movement in reserves

                               Share   Special    Capital     Capital   Revenue
                             premium   reserve    reserve     reserve   reserve
                             account             realised  unrealised          
                                         £'000                            £'000
                               £'000                £'000       £'000          
                                                                               
At 1 January 2004               3,580     17,390    (527)      184         9        
                                                                               
Share issues pursuant to        1,432     -         -          -           -        
the offers for                                                                 
subscription                                                                   
                                                                               
Expenses of share issues        (53)      -         -          -           -        
                                                                               
Shares allotted under the       33        -         -          -           -        
terms of the dividend                                                          
reinvestment scheme                                                            
                                                                               
Share buy back and              -         (79)      -          -           -        
cancellation                                                                   
                                                                               
Net gain on realisation of      -         -         102        -           -        
investments                                                                    
                                                                               
Net unrealised loss             -         -         -          (20)        -        
                                                                               
on investments                                                                 
                                                                               
Transfer from unrealised        -         -         1          (1)         -        
reserve                                                                        
                                                                               
Investment management fee        -         -         (132)      -           -        
                                                                               
charged to capital                                                             
                                                                               
Net revenue retained for         -         -         -          -           56       
the period                                                                     
                                                                               
At 30 June 2004                  4,992     17,311    (556)      163         65       

 2. The financial information contained in this report has been prepared on the
    basis of the accounting policies set out in the 2003 Annual Report.
   
 3. The calculation of the revenue profit and capital loss per share for the
    period is based respectively on the net profit after tax of £56,000 and the
    net capital loss after tax of £50,000 divided by the weighted average
    number of shares in issue during the period of 23,247,562.
   
 4. The unaudited financial statements set out above do not constitute
    statutory accounts within the meaning of Section 240 of the Companies Act
    1985.
   
 5. Copies of the unaudited interim results are expected to be sent to
    shareholders on 20 September 2004. Further copies can be obtained from the
    Company's registered office.
   
A copy of the above document is to be submitted to the UK Listing Authority,
and will shortly be available for inspection at the UK Listing Authority's
Document Viewing Facility, which is situated at:

Financial Services Authority

25 The North Colonnade

Canary Wharf

London E14 5HS