| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 161.36 | 369 |
| Intrinsic value (DCF) | 14.96 | -57 |
| Graham-Dodd Method | 0.18 | -99 |
| Graham Formula | 21.84 | -37 |
Maven Income and Growth VCT PLC (LSE: MIG1.L) is a UK-based venture capital trust (VCT) specializing in investments in smaller unquoted and AIM-listed companies. The fund focuses on management buy-ins, buy-outs, buy & build strategies, and replacement capital, avoiding hostile takeovers. It invests across diverse sectors, including industrials, consumer goods, healthcare, and financial services, with a strict investment cap of £1 million per company annually and no more than 15% of its assets in any single business. Maven adopts an active investment approach, often securing non-executive board seats and preferring majority stakes. The fund also co-invests with other funds for larger deals. As a VCT, it offers tax-efficient returns to UK investors, making it an attractive option for those seeking exposure to high-growth small and mid-sized enterprises (SMEs) while benefiting from government-backed tax reliefs.
Maven Income and Growth VCT PLC presents a niche investment opportunity for UK investors seeking tax-efficient exposure to high-growth SMEs. The fund's disciplined investment strategy, with caps on individual investments and sector diversification, mitigates concentration risk. However, its recent financials show negative revenue and net income, reflecting the inherent volatility of venture capital investments. The fund's low beta (0.068) suggests minimal correlation with broader market movements, which may appeal to risk-averse investors. The dividend yield (2.3p per share) provides income, but the negative EPS (-0.0144) and operating cash flow (-£706k) highlight the challenges of early-stage investing. Investors should weigh the tax benefits against the fund's performance risks and illiquidity typical of VCTs.
Maven Income and Growth VCT PLC competes in the UK's crowded VCT market, where differentiation hinges on sector focus, investment strategy, and track record. Its competitive edge lies in its hands-on approach, including board participation and majority stakes, which allows for greater control over portfolio companies. The fund's sector-agnostic strategy provides flexibility but may lack the specialized expertise of sector-focused peers. Its cap on individual investments ensures risk diversification but could limit upside from breakout successes. Compared to larger VCTs, Maven's smaller scale (market cap ~£67.9m) may restrict access to premium deals, though its co-investment model mitigates this. The fund's tax-efficient structure is standard for VCTs, so performance and portfolio quality are key differentiators. Its negative recent financial metrics may deter investors, but its long-term focus on UK SMEs aligns with government incentives for domestic growth capital.