The company wills eek to raise £14.5m for the Albion Development VCT, £15.8m for the Albion Enterprise VCT, £11.8m for the Albion Technology & General VCT, £7.5m for the Crown Place VCT and £10.5m for the Kings Arms Yard VCT.
All five VCTs, which hold total net assets of £579m and invest in about 65 companies, aim for an annual dividend target of 5% of net asset value and target sectors of B2B software, healthcare and tech-enabled services in the UK.
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The vehicles have returned 7.4% annually over the last ten years, and 8.8% over three years, excluding tax relief, the firm noted.
Will Fraser-Allen, managing partner at Albion Capital, said: “Having invested in 45 companies and generated £140m from exits over the past three years, Albion’s latest fundraise demonstrates our ongoing commitment to backing British entrepreneurs.
“In these challenging market conditions, we remain convinced that VCTs allow early-stage companies the ability to manage through times of adversity, while enabling investors to access ambitious companies in sectors that can act as long-term engines of growth.
“We see plenty of investment opportunities in new growth areas that can flourish despite a high interest rate environment, such as data and artificial intelligence. We aim to continue providing a patient source of capital to UK companies who are leading this growth.”
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Nicholas Hyett, investment manager at Wealth Club, noted that the VCTs were “somewhat unique” due to their policy to aim to pay dividends in different months of the year.
Hyett also pointed to the firm’s “long and impressive track record of backing growth companies and achieving attractive exits”, such as its previous stake in Credit Kudos, which was sold to Apple last year for a 4.8x return.
He added: “Its current top holding, big data group Quantexa, recently raised money at a $1.8bn valuation with the VCT’s position valued at nearly £110m (around 11x cost).”
