Octopus Investments, the largest provider of venture capital trusts in the UK, has achieved a record-breaking fundraise for Octopus Titan VCT, increasing the offer to £200m.
The firm recently announced that following Titan VCT Board approval, a £80 million over allotment facility is to be used in its current fundraise for the UK’s largest VCT, Octopus Titan VCT, after investor demand took the total fundraising amount to record-breaking levels.
Octopus Titan VCT reached its initial target of £120 million within just four months and the target of £200 million will make it the largest ever fundraise by a VCT and, once fully subscribed, would increase the total fund size to over £600 million.
Managing Director at Octopus Investments Paul Latham said: “With investors facing increased taxation on both their pensions and property, the rise in inflows into VCTs is not surprising. More and more people are looking at alternative tax-efficient investment options to support their retirement planning. There has been a steady growth in demand for VCTs over the last few years as more advisers and investors gain awareness of the attractive benefits they offer. Today’s news is evidence of investor confidence in VCTs as a powerful planning tool and an increasingly mainstream investment option for many.”
Fund manager of Octopus Titan VCT Jo Oliver added: “As well as the attractive tax benefits, people are increasingly interested in playing a role in supporting the next generation of UK businesses. In November, the Chancellor highlighted early stage companies as the backbone of the UK economy in his Autumn Budget, as well as recognising the vital part VCTs play in helping to develop these businesses. The UK is a vibrant market for entrepreneurial activity and there is a thriving pipeline of investment opportunities. We’re excited to be able to offer more investors access to the growth potential that these dynamic young companies can offer.”
The share offer is open until 4 September 2018, but may close earlier. The minimum investment is £3,000 while the maximum investment qualifying for tax relief is £200,000.