Merger of Oxford Technology 2 VCT plc with three other VCTs and Offer for Subscription

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Oxford Technology 2 VCT plc (“OT2) is a premium listed venture capital trust (“VCT”), that is currently one of the smaller VCTs.  

It has announced the mergers with Oxford Technology VCT plc, Oxford Technology 3 VCT plc and Oxford Technology 4 VCT plc (“Target VCTs”) and in addition the intention to raise new funds to invest in the Leisure sector.  

All 4 VCTs have a small number of established investments that they would like to realise in due course.
The mergers will create an enlarged company that provides optimal longevity conditions for shareholders of all 4 VCTs whilst waiting for the existing investments to be sold. In addition, it will maintain flexibility for shareholders and create a new strategic direction by investing in the Leisure sector.

The new funds will be raised by way of an offer for subscription that will be open for the next 12 months.  The Company intends to appoint Edition Capital as its new investment manager to manage the new Leisure share class.  

The mergers were effected by way of schemes of reconstruction and completed at the beginning of July 2022.

The BDO team acted as Sponsor to OT2 in connection with the publication of the prospectus and issue of new shares and provided support to the Target VCTs.

“The team at BDO provided invaluable support to the boards of the 4 Oxford Technology VCT Plcs in enabling a transaction we have contemplated for some years. They identified potential obstacles early and diligently worked through them. Their hunger to be involved and pro-active involvement should ensure they are engaged by us for years to come.”

Richard Roth, Director of all four VCTs