Downing Planned Exit VCT 2 - G Shares - The Tax Shelter Report

ThefollowingtableshowstheCompany'snetindebtednessasat
31 October 2012 (extracted from the unaudited management
accountsoftheCompanyfortheperiodended31October2012).
£'000
A Cash 3,948
B Cashequivalent
C TradingSecurities
D Liquidity(A+B+C) 3,948
E Currentfinancialreceivables 125
F Currentbankdebt
G Currentpositionofnoncurrentdebt
H Othercurrentfinancialdebt
I Currentfinancialdebt(F+G+H)
J Netcurrentfinancialindebtedness
(4,073)
(IED)
K Noncurrentbankloans
L Bondsissued
M Othernoncurrentloans
N Noncurrentfinancialindebtedness
(K+L+M)
O Netfinancialindebtedness(J+N) (4,073)
The Company does not have any contingent or indirect
indebtedness.
4. CreationoftheGShares
The Company has issued a circular dated 10 January 2013 to
holdersofCSharesand/orDSharesand/orFSharesconveninga
generalmeetingon6March2013.Thefollowingresolutionswillbe
proposed and are all conditional upon the passing of the other
resolutionscontainedintheNotice:
OrdinaryResolutions:
1) to create G Shares having the rightsand being subject to
the restrictions set out in the Articles, to be altered
pursuanttoresolution5describedbelow;
2) to authorise the Directors to allot up to an aggregate
nominal amount of £38,500. The allotments referred to
represent,inaggregate,approximately71.7%oftheissued
share capital of the Company as at the date of this
document. Such authority will expire on the later of 15
monthsfromthedatetheresolutionispassedandtheend
oftheCompany’snextannualgeneralmeeting;
3) toapprovetheOfferAgreement;
Specialresolutions:
4) toauthorisetheDirectorstoallotthesharesreferredtoin
resolution 2 as if section 561(1) of the 2006 Act did not
apply.Thisdisapplicationrepresentsapproximately71.7%
of the Company's current issued share capital. This
authority will expire on the later of 15 months from the
datetheresolutionispassedandtheendoftheCompany’s
nextannualgeneralmeeting;
5) to alter the Articles to, inter alia, provide for the rights
attachingtotheGShares;
6) to authorise the Board to make market purchases of G
Shares;and
7) toauthorisethecancellationofthesharepremiumaccount
arisingontheissueoftheGShares.
5. DetailsoftheGShares
5.1 Distributionsofincomeandcapital
G Shareholders shall be entitled to receive, in that capacity,
dividends and any other distributions or a return of capital
(otherwisethanonamarketpurchasebytheCompanyofanyof
itsshares)outoftheassetsattributabletotheGShares,prorata
totheirrespectiveholdingsofGShares.
5.2 Distributionsofassetsonawindingup
The capital and assets attributable to the G Shares shall on a
windingupbedistributedonthesamebasisassetoutunderthe
heading"Distributionsofincomeandcapital".
5.3 Votingrights
G Shareholders will be entitled to receive notice of, to attend,
speak and vote at any general meeting, pari passu, in such
respects with the holders of C Shares, D Shares and F Shares.
EveryGShareholderpresentinpersonorbyproxyshallupona
showofhandsoruponapoll,haveonevoteforeveryGShare
heldbyhim/her.
7. OverseasInvestors
(a) No person receiving a copy of this document or an
Application Form in any territory other than the UK may
treat the same as constituting an offer or invitation to
him/her to subscribe for or purchase G Shares unless, in
such territory, such offer or invitation could lawfully be
made.
(b) Noactionhasbeentakentopermitthedistributionofthis
document in any jurisdiction outside the UK where such
action is required to be taken. All Applicants will be
required to warrant that they are not a US person as
definedinparagraph5(x)ofPartVIofthisdocumentora
residentofCanada.
7. Informationsourcedfromthirdparties
Where information set out in this document has been sourced
fromthirdpartiesthesourcehasbeenidentifiedattherelevant
place in the document and the Company confirms that this
information has been accurately reproduced and, as far as the
Company is aware and able to ascertain from information
published, no facts have been omitted which wouldrender the
reproducedinformationinaccurateormisleading.
10January2013
16