Gresham House Income & Growth 2 VCT Finalizes Share Buyback, Repurchasing 3.37 Million Shares at 45.37p Each

Details of the Share Buyback and Execution Date

On 27 July 2026, Gresham House Income & Growth 2 VCT plc announced the repurchase of 3,370,317 ordinary shares as part of its capital management strategy. The shares were acquired at 45.37 pence each, reflecting the company's valuation and current market conditions at the time.

This buyback exemplifies key aspects of VCT governance and shareholder engagement. By repurchasing shares, Gresham House Income & Growth 2 VCT plc effectively manages its capital structure and enhances shareholder value. The purchase price was determined through market activity on the transaction date, aligning with directors’ authority to act in shareholders' long-term interests.

Revised Share Capital and Voting Rights After Buyback

Following the buyback and cancellation of shares, the company now has 366,730,294 ordinary shares in issue, each with a nominal value of one penny and full voting rights. This adjustment significantly alters the issued share base compared to before the transaction.

Maintaining equal voting rights across all shares ensures no creation of different share classes or voting disparities. The consistent "one share, one vote" principle supports fair treatment of shareholders and aligns with regulatory standards for companies listed on the London Stock Exchange.

Gresham House Income & Growth 2 VCT plc’s Venture Capital Trust Role

Operating as a venture capital trust, Gresham House Income & Growth 2 VCT plc provides investors with exposure to unquoted and unlisted companies while offering UK taxpayers specific tax benefits. The company focuses on investing in growth-stage and established businesses seeking expansion capital or restructuring.

Compliance with HM Revenue & Customs regulations is essential, including investment restrictions and portfolio diversification. Managed by Gresham House Asset Management Limited, the VCT structure enables investors to access capital gains and income tax reliefs, facilitating capital flow into UK SMEs and early-stage companies.

Objectives Behind the Capital Management and Buyback Programme

The share buyback reflects a strategic capital management approach aimed at enhancing shareholder value and optimizing the balance sheet. Buybacks help reduce share count, support earnings per share, prevent dilution, and deploy cash when shares trade below estimated net asset value. The repurchase of 3,370,317 shares at 45.37 pence each indicates management’s view that the transaction benefits continuing shareholders.

By cancelling repurchased shares rather than holding them as treasury shares, the company permanently reduces issued capital, eliminating future dilution risks. This move also signals confidence in the VCT’s assets and prospects, prioritizing buybacks over alternative capital deployment.

Regulatory Compliance and Disclosure Requirements

The company’s announcement complies with Disclosure and Transparency Rules and London Stock Exchange listing rules. It details the number of shares repurchased, price paid, execution date, and updated share capital post-cancellation, ensuring transparency for shareholders and investors.

Gresham House Income & Growth 2 VCT plc’s Legal Entity Identifier (LEI) 213800HKOSEVWS7YPH79 facilitates regulatory reporting and market data tracking. The announcement was disseminated via the Regulatory News Service (RNS), guaranteeing simultaneous information access and preventing information asymmetry among shareholders.

Effect on Shareholder Voting Power and Economic Interests

The buyback impacts shareholder voting power and economic interests depending on participation. Shareholders who did not sell shares now hold a larger proportion of voting rights due to the reduced total share count. Conversely, those who sold shares at 45.37 pence reduced their ownership and voting rights accordingly.

This bifurcation reflects differing shareholder decisions on the buyback price’s attractiveness. The immediate effect on share price was not disclosed publicly.

Updated Total Voting Rights After Share Cancellation

Following cancellation, total voting rights stand at 366,730,294, equal to the number of ordinary shares outstanding. This represents a reduction of 3,370,317 voting rights from before the transaction. Accurate voting rights disclosure is critical for regulatory compliance, shareholder meetings, and control threshold calculations under UK law.

Providing this information aligns with Disclosure and Transparency Rules, enabling investors to assess changes in capital structure and voting control accurately.

Contact and Company Secretary Information

Gresham House Asset Management Limited serves as the company secretary and investment manager for Gresham House Income & Growth 2 VCT plc. They handle day-to-day management, regulatory filings, corporate governance, and shareholder communications. Investors can contact them at +44 (0)20 7382 0999 for further information about the buyback.

This contact availability underscores the company’s commitment to transparent investor relations and shareholder engagement.

Importance of Share Buybacks for VCT Investors

Share buybacks by VCTs like Gresham House Income & Growth 2 VCT plc are significant for investors benefiting from tax reliefs on subscriptions and capital gains. The decision to repurchase shares at 45.37 pence reflects management’s judgment on optimal capital use versus retaining cash or distributing dividends.

Buybacks can improve earnings per share and dividend potential if asset values remain stable or grow. However, the announcement did not disclose the company’s net asset value at the time, a key metric for evaluating buyback effectiveness. Investors should monitor future net asset value reports to assess the transaction’s impact.