Related Party TransactionSource: RNS
MAVEN INCOME AND GROWTH VCT 5 PLC
9 March 2022
Related Party Transaction
Maven Income and Growth VCT 5 PLC (the "Company") announces that, following a review and taking into account peer group analysis, the Company's administrative and secretarial fee and performance fee arrangements with the Company's investment manager, Maven Capital Partners UK LLP ("Maven"), have changed.
With effect from 1 December 2021, the annual administrative and secretarial fee payable to Maven will be increased from £86,000, to £100,000, payable quarterly in arrears and subject to an annual adjustment, calculated on 1 December each year.
Maven will continue to be entitled to a performance fee on a revised basis with effect from 1 December 2021 should certain criteria be met. The updated key terms of the calculation of the performance fee are summarised below:
§ the performance fee in respect of private equity investments has been increased to 15 per cent.; and
§ the performance fee in respect of the Company's quoted portfolio is now payable on all quoted investments (excluding any investment trusts).
Maven has agreed to decrease the cap on the total expenses payable by the Company from 3.25 per cent. to 3.0 per cent. of the Company's net assets per annum, adjusted annually and excluding performance fees and exceptional costs.
Under the Listing Rules of the FCA, a related party includes the investment manager of a closed-ended investment fund. Maven is therefore a related party of the Company under the Listing Rules and the increase in the fees payable by the Company to Maven is a transaction to which Listing Rule 11.1.10R applies.
The Board's agreement to change the administrative and secretarial fee and the performance fee payable to Maven is a smaller related party transaction as defined in LR11.1.10R.
Issued on behalf of the Board
Maven Capital Partners UK LLP
9 March 2022