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

Sgr & Frdlndr AIM 3 (VICT)

  Print      Mail a friend

Tuesday 25 September, 2007

Sgr & Frdlndr AIM 3

Interim Results

Singer & Friedlander AIM 3 VCT PLC
25 September 2007


                         SINGER & FRIEDLANDER AIM 3 VCT plc

Half-yearly Report for the six months ended 31 July 2007

Board Review

Introduction

Your Company has enjoyed a successful start to the year with a further uplift in
the Net Asset Value per share (NAV per share) continuing the trend witnessed in
our last financial year. Running costs continue to be monitored closely and are
currently in line with expectations and lower than predicted in the merger
prospectus.

Whilst there is a substantial risk of the global credit squeeze triggered by the
US sub-prime housing slump causing a severe collapse in confidence, your
Directors believe that the Company's portfolio is well constructed and contains
many investments that are likely to perform well over the medium term.

Performance

The Company's NAV at 31 July 2007 was 97.91 pence, an increase of 4.8% during
the six months period (6.9% after adjusting for the 2.00 pence per share
dividend paid on 3 July). Over the same period, the All Share Index increased by
4.3% and the AIM Index increased by 11.4%, again reflecting the very strong
performance from mining and resource shares in which VCTs are not permitted to
invest. Your Directors closely monitor our performance against that of our
peers, particularly other AIM VCTs that were launched at the same time. We
believe the Company's performance compares very favourably to that of our peers.
It is also pleasing to note that on a rolling 12 month basis the fund has
increased in value by 19.7% whilst the All Share Index has increased by 12.9%
and the AIM Index by 15.4%.

Shareholders who originally invested in the 'C' Share issue of the Singer &
Friedlander AIM 3 VCT in April 2005, adjusted for the conversion ratio from
December 2005, have seen a return of 19.7% whilst the AIM Index has returned
12.3%.

Shareholders who originally invested in Singer & Friedlander AIM 2 VCT (after
allowing for dividend payments from that fund of 5.25 pence) have seen an
effective decline in NAV of 16.3% since launch in April 2000. Over the same
period, the AIM Index has fallen by 37.7%.

Shareholders who originally invested in Singer & Friedlander AIM VCT, launched
in late 1998/early 1999 (after allowing for dividend payments from that fund of
32.4 pence and the relevant conversion ratio) have seen a decline of 20.5%.

The above returns do not take into account any tax relief that shareholders may
have received.

Results and Dividends

The total return for the period was £2.81m or 5.99p per share (31 July 2006:
loss £1.35m, loss per share 2.74p).  Some £37,000 of this came from revenues
with the balance of £2.78m coming from capital gains. Shareholders' funds
increased to £44.77m (31 July 2006: £41.35m) primarily as a result in the
underlying increase in value of the investment portfolio and cash but reduced by
the impact of our share buy back programme and the dividend paid on 3 July.
Cashflow was positive with a net inflow of £3.54m after funding the final
dividend costing £0.95m and the repurchase of shares at £1.57m. The inflow
largely resulted from asset sales during the first half. Our cash at the period
end amounted to £4.25m.

The Company has not previously paid an interim dividend but given the
significant capital profits realised during the period (detailed in the
Portfolio commentary) and our substantial cash balances, your Board has decided
to pay a dividend of 2.00 pence per share. The dividend is payable on 2 November
2007 to shareholders on the register on 5 October 2007.

Investment Strategy

The objective of the Company is to provide shareholders with an attractive and
competitive investment return from a portfolio of companies whose shares are
primarily traded on the Alternative Investment Market (AIM). Returns will be
enhanced as a consequence of dividends and capital gains being free of tax for
private investors.



Portfolio commentary and developments


The portfolio continues to comply with the HM Revenue & Customs' criteria for
VCT qualification and at the period end consisted of 71 companies; of these
companies 65 are quoted on AIM, one is traded on the PLUS Markets platform, one
is fully listed and the remaining four are currently unquoted. Unquoted
investments now represent 6.9% of net assets whilst fixed interest investments
and cash presently account for 23.2%.


As anticipated in the last Annual Report, the portfolio has benefited from
several successful takeover bids resulting in significant cash proceeds of £5.5m
being received during the period. In addition to these takeovers, which included
Blooms of Bressingham, Oasis Healthcare and PM Group, we have actively taken
profits in other successful investments. These other disposals have netted
proceeds of a further £6.2m, including some £1.7m from Tanfield Group. Realised
net capital gains on investments in the first half were in excess of £4.6m,
enabling the interim dividend payment referred to previously.


We have, of course, reinvested part of these proceeds into additional VCT
qualifying investments as well as funding our share buy back requirements. In
fact during the period under review we have spent just over £3m on new and/or
follow on fundraisings. Cash balances at the period end stood at over £4m.


Share Repurchases


During the period, we repurchased 1,736,938 shares representing 3.7% of our
issued share capital. These shares were bought at a 10% discount to the NAV
prevailing at the time and on average the price paid was 90 pence, thereby
enhancing the NAV for remaining shareholders. The Company will continue to
repurchase its own shares from time to time as appropriate and within the powers
granted at the AGM. These transactions are handled by our stockbroker, Teather &
Greenwood.



Outlook


Markets have been exceptionally volatile since mid July. Our strong cash balance
provides some comfort against this background, but economic indicators remain
relatively benign in the UK and it is to be hoped that these fundamentals assert
themselves before too long and stability returns. As at 20 September 2007, the
NAV per share was 94.00 pence. In the opinion of the Directors, the principal
risks and uncertainties for the Company in the second half of the year and
beyond are stock market related; the level of the NAV per share is dependent
principally on market movements which, in the short term, are very difficult to
predict.


Christopher Moorsom (Chairman)

James Hambro

Mike Killingley

David Page

Dominic Wheatley


Singer & Friedlander AIM 3 VCT plc

25 September 2007


Directors' Responsibility Statement

We confirm that to the best of our knowledge:

(a)    the condensed set of financial statements, which has been prepared in
accordance with applicable accounting standards in the United Kingdom, gives a
true and fair view of the   assets, liabilities, financial position and profit
of the Company as required by the Disclosure and Transparency Rules ('DTR')
4.2.4R;


(b)    the report includes a fair review of the information required by DTR
4.2.7R; and

(c)    the  report includes a fair review of the information required by DTR
4.2.8R


Christopher Moorsom

Chairman

for and on behalf of the Board, the members of which are set out previously in
the Board Review.


Independent review report to Singer & Friedlander AIM3 VCT plc


Introduction


We have been instructed by the Company to review the financial information for
the six months ended 31 July 2007, which comprises the interim balance sheet as
at 31 July 2007 and the related  interim income statement, summarised cash flows
and movements in shareholders' funds for the six months then ended and related
notes. We have read the other information contained in the Half-yearly Report
and considered whether it contains any apparent misstatements or material
inconsistencies with the financial information.


Directors' responsibilities


The Half-yearly Report is the responsibility of, and has been approved by, the
Directors. The Listing Rules of the Financial Services Authority require that
the accounting policies and presentation applied to the interim figures should
be consistent with those applied in preparing the preceding annual accounts
except where any changes, and the reasons for them, are disclosed.


This Half-yearly Report has been prepared in accordance with UK Generally
Accepted Accounting Practice as set out in Note 1.


Review work performed


We conducted our review in accordance with guidance contained in Bulletin 1999/4
issued by the Auditing Practices Board for use in the United Kingdom. A review
consists principally of making enquiries of management and applying analytical
procedures to the financial information and underlying financial data and, based
thereon, assessing whether the disclosed accounting policies have been applied.
A review excludes audit procedures such as tests of controls and verification of
assets, liabilities and transactions. It is substantially less in scope than an
audit and therefore provides a lower level of assurance. Accordingly, we do not
express an audit opinion on the financial information. This report, including
the conclusion, has been prepared for and only for the Company for the purpose
of the Disclosure and Transparency Rules of the Financial Services Authority and
for no other purpose. We do not, in producing this report, accept or assume
responsibility for any other purpose or to any other person to whom this report
is shown or into whose hands it may come save where expressly agreed by our
prior consent in writing.


Review conclusion


On the basis of our review we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 31 July 2007.



PricewaterhouseCoopers LLP

Chartered Accountants, London

25 September 2007


Summary Financial Information

Unaudited Income Statement

                                 Unaudited                         Unaudited                      Audited
                              6 months ended                    6 months ended                   Year ended
                               31 July 2007                     31 July 2006*                31 January 2007

                        Revenue   Capital      Total   Revenue     Capital       Total   Revenue   Capital       Total

                 Note         £         £          £         £           £           £         £         £           £

Net gains/
(losses) on                   
investments at 
fair value                    - 3,177,731  3,177,731         - (2,120,408) (2,120,408)         - 2,731,638   2,731,638

Gain on acquisition 
and liquidation 
of subsidiaries               
(net of costs)                -         -          -         -   1,017,855   1,017,855         - 1,017,855   1,017,855

Income                  335,127         -    335,127   303,985           -     303,985   556,956         -     556,956

Administrative expenses

Investment 
management fees       (101,476) (304,427)  (405,903)  (89,784)   (269,352)   (359,136) (184,861) (554,582)   (739,443)

Cost of share 
options            3   (32,361)  (97,084)  (129,445)  (13,896)    (41,686)    (55,582)  (39,794) (119,383)   (159,177)

Other expenses        (164,087)         -  (164,087) (133,320)           -   (133,320) (338,198)         -   (338,198)

Total administrative 
expenses              (297,924) (401,511)  (699,435) (237,000)   (311,038)   (548,038) (562,853) (673,965) (1,236,818)

Return/(deficit) 
on ordinary            
activities before 
taxation                 37,203 2,776,220  2,813,423    66,985 (1,413,591) (1,346,606)   (5,897) 3,075,528   3,069,631

Taxation on 
ordinary           
activities         4          -         -          -         -           -           -         -         -           -

Return/(deficit) 
on ordinary              
activities after 
taxation                37,203 2,776,220  2,813,423    66,985 (1,413,591) (1,346,606)   (5,897) 3,075,528   3,069,631

Adjusted return 
per ordinary       
share              5         -         -          -     0.14p     (4.95)p     (4.81)p   (0.01)p     4.21p       4.20p

Return per 
ordinary share     5     0.08p     5.91p      5.99p     0.14p     (2.88)p     (2.74)p   (0.01)p     6.29p       6.28p


The total 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. No operations were discontinued during the period.


There are no gains or losses other than shown in the income statement.

These accounts are unaudited and are not the Company's statutory accounts.  The
accounts have been prepared using accounting standards and policies adopted at
the previous year end.

* The comparative information is in relation to the Company and differs to that
presented in the Half-yearly Report for the period ended 31 July 2006, which was
based on the Group. The subsidiary undertakings, Singer & Friedlander AIM VCT
plc and Singer & Friedlander AIM 2 VCT plc passed into members voluntary
liquidation on 23 November 2006 and were dissolved on 17 July 2007. Details of
the changes to the comparative information are set out in Note 1.


Unaudited Reconciliation of Movements in Shareholders' Funds


                        Called-up     Share                           Capital   Share
                            share   premium                        redemption options
                          capital   account     Merger     Special    reserve reserve     Capital   Revenue
                                               reserve     reserve                       reserve*   reserve    Total*
                   Note         £         £          £           £          £       £           £         £         £

6 months ended 
31 July 2007

31 January 2007         2,373,099 2,954,794 16,492,539  21,296,977    363,329 159,177     831,639 (122,536) 44,349,018

Re-purchase and
cancellation of ordinary
shares                   (86,847)         -          - (1,572,553)     86,847       -           -         - (1,572,553)

Cost of share 
options               3         -         -          -           -          - 129,445           -         -     129,445

Net return after 
taxation                        
for the period                  -         -          -           -          -       -   2,776,220    37,203   2,813,423

Capital dividend 
paid                  6         -         -          -           -          -       -   (949,240)         -   (949,240)

31 July 2007            2,286,252 2,954,794 16,492,539  19,724,424    450,176 288,622   2,658,619  (85,333)  44,770,093

Year ended 
31 January 2007

31 January 2006         1,555,894 3,121,068          -  25,082,853    116,500       - (2,243,889) (116,639)  27,515,787

Issue of shares 
on merger               1,064,034         -          -           -          -       -           -         -   1,064,034

Premium on merger               -         - 16,492,539           -          -       -           -         -  16,492,539

Share issue costs on            
merger                          - (166,274)          -           -          -       -           -         -   (166,274)

Re-purchase and         
cancellation of 
ordinary shares         (246,829)         -          - (3,785,876)    246,829       -           -         - (3,785,876)

Cost of share 
options               3         -         -          -           -          - 159,177           -         -     159,177

Net return/(deficit) 
after taxation for 
the year                        -         -          -           -          -       -   3,075,528   (5,897)   3,069,631

31 January 2007         2,373,099 2,954,794 16,492,539  21,296,977    363,329 159,177     831,639 (122,536)  44,349,018


6 months ended 
31 July 2006

31 January 2006         1,555,894 3,121,068          -  25,082,853    116,500       - (2,243,889) (116,639)  27,515,787

Issue of shares 
on merger               1,064,034         -          -           -          -       -           -         -   1,064,034

Premium on merger               -         - 16,492,539           -          -       -           -         -  16,492,539

Share issue costs 
on merger                       - (166,274)          -           -          -       -           -         -   (166,274)

Re-purchase and
cancellation of ordinary
shares                  (150,579)         -          - (2,268,516)    150,579       -           -         - (2,268,516)

Cost of share 
options               3         -         -          -           -          -  55,582           -         -      55,582

Net (deficit)/
return after                    
taxation for the period         -         -          -           -          -       - (1,413,591)    66,985 (1,346,606)

31 July 2006            2,469,349 2,954,794 16,492,539  22,814,337    267,079  55,582 (3,657,480)  (49,654)  41,346,546


These accounts are unaudited and are not the Company's statutory accounts.


* The comparative information is in relation to the Company and differs to that
presented in the Half-yearly Report for the period ended 31 July 2006, which was
based on the Group. The subsidiary undertakings, Singer & Friedlander AIM VCT
plc and Singer & Friedlander AIM 2 VCT plc passed into members voluntary
liquidation on 23 November 2006 and were dissolved on 17 July 2007. Details of
the changes to the comparative information are set out in Note 1.


Unaudited Balance Sheet
                                                                       Unaudited         Unaudited           Audited
                                                                         31 July           31 July        31 January
                                                                            2007             2006*              2007
                                                           Note                £                 £                 £
Fixed assets
Investments at fair value
   Qualifying investments                                             33,791,012        32,563,778        33,780,997
   Fixed interest securities and other non-

   qualifying investments                                              7,322,082         8,828,276         9,733,785
Investment in subsidiary undertakings                                          -         2,068,358                 -
                                                                      41,113,094        43,460,412        43,514,782
Current assets
Debtors                                                                   57,994           720,893           458,894
Accrued interest on fixed interest securities                             71,544           112,858            98,110
Cash at bank                                                           4,254,057           233,508           716,918
                                                                       4,383,595         1,067,259         1,273,922

Creditors: amounts falling due within one year
Other creditors and accruals                                           (726,596)       (3,181,125)         (439,686)

Net current assets/(liabilities)                                       3,656,999       (2,113,866)           834,236
Total net assets                                                      44,770,093        41,346,546        44,349,018

Capital & reserves
Called-up share capital                                                2,286,252         2,469,349         2,373,099
Share premium account                                                  2,954,794         2,954,794         2,954,794
Merger reserve                                                        16,492,539        16,492,539        16,492,539
Special reserve                                                       19,724,424        22,814,337        21,296,977
Capital redemption reserve                                               450,176           267,079           363,329
Share options reserve                                         3          288,622            55,582           159,177
Capital reserve - realised                                             5,254,539         1,802,675         1,985,278
Capital reserve - unrealised                                         (2,595,920)       (5,460,155)       (1,153,639)
Revenue reserve                                                         (85,333)          (49,654)         (122,536)
Equity shareholders' funds                                            44,770,093        41,346,546        44,349,018

Net asset value per ordinary share                            7           97.91p            83.72p            93.44p


During the period, the Company has purchased 1,736,938 ordinary shares for
cancellation in accordance with the Company's share buy back policy.


These accounts are unaudited and are not the Company's statutory accounts.


* The comparative information is in relation to the Company and differs to that
presented in the Half-yearly Report for the period ended 31 July 2006, which was
based on the Group.  The subsidiary undertakings, Singer & Friedlander AIM VCT
plc and Singer & Friedlander AIM 2 VCT plc passed into members voluntary
liquidation on 23 November 2006 and were dissolved on 17 July 2007.  Details of
the changes to the comparative information are set out in Note 1.

Unaudited Summarised Cash Flow Statement
                                                                Unaudited         Unaudited           Audited
                                                           6 months ended    6 months ended              Year
                                                                                                        ended
                                                                  31 July           31 July       31  January
                                                                     2007              2006              2007
                                                     Note               £                 £                 £

Net cash outflow from operating activities              8        (63,239)         (128,729)         (897,196)
Net cash inflow from capital expenditure and
financial investment
                                                                6,124,495         1,887,812         4,824,584
Capital dividend paid                                           (949,240)                 -                 -
Net cash inflow before financing                                5,112,016         1,759,083         3,927,388
Net cash outflow from financing                               (1,574,877)       (1,938,010)       (3,622,905)
Net funds at the beginning of the period                          716,918           412,435           412,435
Net funds at end of the period                                  4,254,057           233,508           716,918


These accounts are unaudited and are not the Company's statutory accounts.

Notes to the Unaudited Financial Statements


The financial statements for the year ended 31 January 2007 have been audited
whilst the results for the six months ended 31 July 2006 and 31 July 2007 are
unaudited.  Therefore the Half-yearly Report does not constitute statutory
accounts within the meaning of S240 of the Companies Act 1985.  The financial
information for the year ended 31 January 2007 is an abridged statement of the
financial statements for that year which were prepared under UK Generally
Accepted Accounting Practice and were delivered to the Registrar of Companies.
The auditors' opinion on these accounts was unqualified and did not contain a
statement made under S237(2) or S237(3) of the Companies Act 1985.

1.       Basis of Preparation



The Half-yearly Report sets out the financial statements of the Company for the
six months ended 31 July 2007, together with comparative financial information
for the Company for the six months ended 31 July 2006 and for the year ended 31
January 2007 and has been prepared under UK Generally Accepted Accounting
Practice.


At 31 July 2006, the Company had not completed the liquidation of Singer &
Friedlander AIM VCT plc ('AIM') and Singer & Friedlander AIM2 VCT plc ('AIM2')
and, accordingly, the 31 July 2006 Half-yearly Report of the Company was
prepared on a consolidated basis incorporating the results and net assets of AIM
and AIM2. As the Company is now presenting unconsolidated financial information,
as it did in its annual financial statements for the year ended 31 January 2007,
the comparative financial information has been presented on a comparable
unconsolidated basis.


The effect of this change on the income statement for the six months ended 31
July 2006 has been to increase the reported capital return by £757,985, being
the inclusion of a gain on acquisition and liquidation of investments in
subsidiary companies of £1,017,855, an additional gain of £1,343 arising on
investments held at fair value, less the elimination of negative goodwill
released of £261,213, as previously recorded.


The effect of this change on the balance sheet as at 31 July 2006 has been to
include £2,068,358 of investments in subsidiaries and £2,068,358 of amounts
owing to subsidiaries and to eliminate a credit balance of £757,985 in respect
of negative goodwill previously recorded and credit this amount to capital
reserves.


2.       Principal Accounting Policies


The financial statements have been prepared using the accounting policies
adopted in the Company's audited financial statements for the year ended 31
January 2007.

a)      Basis of Accounting

The financial statements have been prepared under the historical cost
convention, modified to include the revaluation of fixed asset investments.


b)      Investments

All investments held by the Company are classified 'at fair value through profit
or loss'. Investments are initially recognised at cost, being the fair value of
consideration given. Interest accrued on fixed interest rate securities at the
date of purchase or sale is accounted for separately as accrued income, so that
the value or purchase price or sale proceeds is shown net of such items.



After initial recognition, investments are measured at fair value, with
unrealised gains and losses on investments and impairment of investments
recognised in the income statement and allocated to capital. Realised gains and
losses on investments sold are calculated as the difference between sales
proceeds and cost.


For investments actively traded in organised financial markets, fair value is
generally determined by reference to Stock Exchange quoted market bid prices at
the close of business on the balance sheet date, without adjustment for
transaction costs necessary to realise the asset.


Where trading in the securities of an investee company is suspended, the
investment is valued at the Board's estimate of its net realisable value.



Unquoted investments are stated at the fair value with reference to the
International Private Equity and Venture Capital Valuation ('IPEVCV') guidelines
where appropriate.

Capital gains and losses on investments, whether realised or unrealised, are
dealt with in the capital reserve.

3.       Manager's option


In accordance with the arrangements agreed on the merger of the Company with
Singer & Friedlander AIM VCT plc and Singer & Friedlander AIM 2 VCT plc, the
Manager has been granted an option which provides that if by the date of payment
of the final dividend in respect of the ordinary shares for the Company's
accounting year ending 31 January 2013 cumulative dividends declared and paid on
each ordinary share (by reference to a record date after the merger) exceed a
return of 8 per cent p.a. (compounded annually) of the net asset value per
ordinary share, the Manager will be entitled to subscribe at par for such number
of additional ordinary shares as shall in aggregate be equal to 15 per cent of
ordinary shares in the enlarged Company as enlarged by such subscriptions.  This
right is a share based payment under FRS20.  This right or option has been
valued on the date that it was granted to the Manager and this cost is being
charged to the income statement as part of the management fee evenly over the
period over which it vests.  An amount of £129,445 has been charged to the
income statement in the period ended 31 July 2007, with a separate reserve being
created in the balance sheet.

4.       Taxation on ordinary activities


The tax charge for the half-year is nil (31 July 2006: nil, 31 January 2007:
nil). This is based on an estimated effective tax rate of 0% for the year ending
31 January 2008. The estimated effective tax rate is 0% as investment gains are
exempt from tax owing to the Company's status as a Venture Capital Trust and
there is expected to be an excess of management expenses over taxable income.

5.       Return per share and adjusted return per share


Basic and diluted revenue return per ordinary share is based on the net gain on
ordinary activities after taxation of £37,203 (31 July 2006: gain £66,985, 31
January 2007: loss £5,897) and on 46,988,423 (31 July 2006: 49,081,147, 31
January 2007: 48,906,148) ordinary shares, being the weighted average number of
ordinary shares in issue during the period.



Basic and diluted capital return per ordinary share is based on net capital gain
for the period of £2,776,220 (31 July 2006: loss £1,413,591, 31 January 2007:
gain £3,075,528) and on 46,988,423 (31 July 2006: 49,081,147, 31 January 2007:
48,906,148) ordinary shares, being the weighted average number of ordinary
shares in issue during the period.



Adjusted returns per share figures have been presented, for the period ended 31
July 2006 and the year ended 31 January 2007, which eliminate the effect of the
£1,017,855 net gain on acquisition and liquidation of subsidiaries to better
reflect the underlying return of the Company.  The adjustment affects only the
capital return per share which is based on the net loss for the period ended 31
July 2006 of £2,431,446 and 49,081,147 ordinary shares, being the weighted
average number of ordinary shares in issue during the period and the net gain
for the year ended 31 January 2007 of £2,057,673 and 48,906,148 ordinary shares,
being the weighted average number of ordinary shares in issue during the year.


6.       Dividends in respect of equity shares

                                                                      Unaudited     Unaudited         Audited
                                                                       6 months      6 months            Year
                                                                          ended         ended           ended
                                                                        31 July       31 July      31 January
                                                                           2007          2006            2007
                                                                              £             £               £
Declared and paid

Relating to prior period:

Final dividend of 2.00p (31 July 2006: 0.00p, 31 January 2007:          
0.00p) per ordinary share                                               949,240             -               -

                                                                        949,240             -               -


The Directors are declaring the payment of an interim dividend of 2.00 pence per
ordinary share (£914,501 based on 45,725,054 shares in issue at the date of this
report) in respect of the period ended 31 July 2007.  This dividend is payable
on 2 November 2007 to shareholders on the register on 5 October 2007.


7.       Net asset value per share


The net asset value per ordinary share at 31 July 2007 has been calculated by
reference to net assets of £44,770,093 (31 July 2006: £41,346,546, 31 January
2007: £44,349,018) and 45,725,054 (31 July 2006: 49,386,992, 31 January 2007:
47,461,992) ordinary shares, being the number of ordinary shares in issue at the
period end.


8.       Reconciliation of net return/(deficit) before taxation to net cash outflow from operating activities

                                                                     Unaudited       Unaudited          Audited
                                                                      6 months        6 months             Year
                                                                         ended           ended            ended
                                                                       31 July         31 July       31 January
                                                                          2007            2006             2007
                                                                             £               £                £

Net return/(deficit) before taxation                                 2,813,423     (1,346,606)        3,069,631
Net (gains)/losses on investments at fair value                    (3,177,731)       2,120,408      (2,731,638)
Net gain on acquisition and liquidation of subsidiaries                      -     (1,017,855)      (1,017,855)
Cost of share options                                                  129,445          55,582          159,177
(Increase)/decrease in debtors                                        (17,610)          26,860           67,127
Increase/(decrease) in creditors and accruals                          189,234          32,882        (443,638)

Net cash outflow from operating activities                            (63,239)       (128,729)        (897,196)


9.       Related party transactions


Under the terms of agreements dated 22 January 2001, the Company appointed
Singer & Friedlander Investment Management Limited to be the Investment Manager
and Singer & Friedlander Secretaries Limited as Company Secretary.  The fee
arrangements for these services and the fees payable are set out below:


                                                                     Unaudited       Unaudited          Audited
                                                                      6 months        6 months             Year
                                                                         ended           ended            ended
                                                                       31 July         31 July       31 January
                                                                          2007            2006             2007
                                                                             £               £                £

Investment management fee                                              345,449         305,648          629,313
Irrecoverable VAT thereon                                               60,454          53,488          110,130
                                                                       405,903         359,136          739,443

Company secretarial fees                                                 7,500           7,343           14,844
Irrecoverable VAT thereon                                                1,312           1,285            2,598
                                                                         8,812           8,628           17,442

Total                                                                  414,715         367,764          756,885


Singer & Friedlander Investment Management Limited advise the Company on
investments under the terms of the agreement.  The agreement can be terminated
by not less than one year's notice in writing as the initial three year period
has now expired.


Singer & Friedlander Investment Management Limited receives an annual management
fee of 1.5% (from 22 February 2006, previously 1.65%) of the net asset value of
the Company.  The annual management fee is calculated based on the quarter end
net asset value and payable calendar quarterly in arrears together with any
applicable VAT.  The fee is allocated 75% to capital and 25% to revenue.  At 31
July 2007, £274,407 (31 July 2006: £597,344, 31 January 2007: £66,336) including
VAT of £40,869 (31 July 2006: £88,966, 31 January 2007: £9,880) was owed to the
Manager.


9.         Related party transactions (continued)


Singer & Friedlander Secretaries Limited performs Company secretarial duties for
an annual fee of £17,625 (31 July 2006: £17,625, 31 January 2007 £17,625)
including irrecoverable VAT of £2,625 (31 July 2006: £2,625, 31 January 2007
£2,625).  At 31 July 2007, £17,625 (31 July 2006: £25,308, 31 January 2007:
£8,813) including VAT of £2,625 (31 July 2006: £3,769, 31 January 2007: £1,313)
was owed to Singer & Friedlander Secretaries Limited.

Fixed Asset Investments

Summary of Investments at 31 July 2007

Ordinary Shares


* These companies are in liquidation or their shares suspended from trading and
the Directors consider it appropriate to value them at zero. With the exception
of Global Money Transfer and Medal Entertainment & Media (purchase cost
£51,170), they count towards the VCT investment test, which states that 70% of
the Company's assets will be invested in VCT qualifying investments by January
2004.


Directors

C J L Moorsom

J D Hambro

M S Killingley

D M Page

D M D A Wheatley


Singer & Friedlander AIM 3 VCT plc

Registered in England & Wales No. 4138683

Registered office

One Hanover Street

London W1S 1AX



Secretary

Singer & Friedlander Secretaries Limited

One Hanover Street

London W1S 1AX

Tel:  0203 205 5900



Manager

Singer & Friedlander Investment Management Limited

(Authorised and regulated by the Financial Services Authority)

One Hanover Street

London W1S 1AX


E-mail:              info@sfim.co.uk

Website:             www.sfim.co.uk


Registrar

Capita IRG plc

Northern House

Woodsome Park

Fenay Bridge

Huddersfield

West Yorkshire HD8 0LA


Website:    www.capitaregistrars.com

Auditors

PricewaterhouseCoopers LLP

Hays Galleria

1 Hays Lane

London

SE1 2RD




                      This information is provided by RNS
            The company news service from the London Stock Exchange