| Target dividend: | 5% of NAV |
|---|---|
| Wealth Club initial saving: | 3.75% |
| Net initial charge: | 1.75% |
| Annual rebate: | – |
| Funds raised / sought: | £300k / £10m |
| Minimum investment: | £6,000 |
| Next deadline: | 31 Oct 2025 for early bird |
Important documents
| Target dividend: | 5% of NAV |
|---|---|
| Wealth Club initial saving: | 3.75% |
| Net initial charge: | 1.75% |
| Annual rebate: | – |
| Funds raised / sought: | £300k / £10m |
| Minimum investment: | £6,000 |
| Next deadline: | 31 Oct 2025 for early bird |
Important documents
Molten Ventures VCT invests in early-stage digital technology businesses, usually alongside manager Molten Ventures plc’s own balance sheet. The VCT favours businesses in the consumer technology, enterprise technology, deep tech & hardware, and digital health & wellness sectors.
The VCT has a portfolio of around 40 active companies and net assets of £117.8 million, with 74% in investments and 26% in cash and cash equivalents (July 2025).
Over the five years to 30 June 2025, the VCT has delivered a NAV total return (including dividends) of 19.9% – past performance is not a guide to the future.
- Seeking to raise up to £10 million, with a £20 million overallotment facility
- Target dividend of 5% of NAV – variable and not guaranteed
- Available for the 2025/26 and 2026/27 tax years
- Minimum investment £6,000
- Deadlines: 31 October 2025 for early bird saving of 1.25%
Important: The information on this website is for experienced investors. It is not a personal recommendation to invest. If you’re unsure, please seek advice. Investments are for the long term. They are high risk and illiquid and can fall as well as rise in value: you could lose all the money you invest.
The manager
The VCT launched in 1998 and has been managed by Molten Ventures (formerly Draper Esprit plc) since 2017.
Founded in 2006, Molten Ventures is a listed company with a market capitalisation of around £659 million (August 2025) and one of the most established venture capital firms in Europe. It has a reputation for backing some of Europe’s most innovative growth companies, including technology unicorns Wise and Revolut. It has also backed 79 seed and early-stage venture funds, giving it exposure to a large pool of companies from which it can source new investments (March 2025).
The VCT is managed by the same team that oversees the plc’s balance sheet investments. The investment committee is made up of nine senior professionals and can draw on the wider team of over 30 investment professionals and venture partners.
Molten Ventures also manages an EIS fund and it is expected that the EIS fund, VCT and plc will co-invest in most qualifying deals.
Investment strategy
The size and reputation of Molten Ventures plays a key role in the investment strategy, potentially allowing the VCT to punch above its weight and attract deals normally out of reach for a small VCT. The VCT focuses on four sectors in which Molten Ventures has considerable experience and a strong track record.
- Consumer technology
This includes companies the manager believes have exceptional growth opportunities in international markets underpinned by new consumer-facing products, innovative business models and proven execution capabilities. IPO platform PrimaryBid is an example: it was backed by Molten Ventures plc, and is held in the VCT.
- Enterprise technology
This includes companies developing software infrastructure, applications and services that could improve productivity and reduce costs for enterprises. Form3, a payments-as-a-service platform, and Thought Machine Group, a core banking platform are examples. Both were backed by Molten Ventures plc and are held in the VCT.
- Hardware and deeptech
This includes companies developing differentiated technologies that underpin advances in computing, consumer electronics and other industries. Paragraf, which makes electronic devices out of graphene, and Riverlane, which is developing an operating system for use in quantum computers, are examples. Both were backed by Molten Ventures plc and are held in the VCT.
- Healthtech and wellness
This includes companies using digital and other technologies to create new products and services for the health and wellness markets. An example is Endomag (see below), which has developed technologies to improve breast cancer care; it has been backed by Molten Ventures and is held within the VCT portfolio.
In addition to supporting deal flow and co-investments, the association with Molten Ventures plc provides potential exit routes and follow-on funding, particularly if a company becomes too large to continue to qualify for VCT investment.
Portfolio overview
Molten Ventures VCT has net assets of £117.8 million, with the top 10 holdings accounting for 47.1% of net assets (July 2025), as a result, the portfolio is concentrated.
Currently, 64% of net assets are invested in early-stage technology deals, the remainder is split between legacy investments (10%) and cash (26%). Legacy investments are those made prior to the manager’s acquisition by Molten Ventures plc, with the vast majority invested in two companies (Pulsar Group plc and Fords Packaging).
In the twelve months to March 2025, the VCT invested £11.2 million across six new and three follow-on opportunities.
Portfolio breakdown (%)
Source: Molten Ventures, 31 July 2025.
Examples of portfolio companies
The VCT’s largest investment, Fords Packaging Topco is a legacy holding acquired before Molten Ventures took over the management of the portfolio. The position is valued at £8.1 million and accounts for 6.9% of the portfolio. The largest holding acquired under the current strategy – and second-largest overall – is Form3 UK, valued at £8 million and accounting for 6.8% of the portfolio, see below.
Largest investment
Form3
Founded in 2016 by two former Barclays employees and a SaaS specialist, Form3 connects financial players with each other to create faster and more efficient payment services for their customers.
Today Form3’s cloud native Payments as a Service platform is trusted by some of the UK’s and Europe’s largest banks and fastest-growing fintechs. It’s attracted investments from major industry players including Visa Ventures, MasterCard, Lloyds Banking Group, Barclays and Goldman Sachs. Last year, it reportedly handled more than 50% of all non-cash payment volume in the UK.
Molten Ventures first invested in November 2018, following on in August 2020 and September 2021. In total the Molten Ventures VCT has invested £1.4 million, a position now valued at £8.0 million (July 2025).
Recent investment
Modo Energy
As the global shift towards renewable energy gains momentum, there is a pressing need for a more flexible, agile power grid, which can quickly respond to shifts in supply and demand. But this is more than just a physical infrastructure problem – it’s a data puzzle, too.
Founded in 2019, Modo Energy has developed a software-as-a-service platform to help manage and optimise renewable energy assets. Modo offers revenue benchmarking, price forecasts, real-time data, and in-depth research, all in one place. In the last quarter of 2024, the business opened an office in Australia to offer the same services as in the British and American markets.
The Molten Ventures VCT first invested in December 2024, investing £1.9 million as part of a £6.3 million round.
Exit track record
The VCT exited three investments in the year to March 2025 and one post period end. This delivered total proceeds of £11 million and included, Endomag, previously the VCT’s second largest holding (see below).
Recent exit
Endomagnetics Ltd (Endomag)
Endomag was founded in 2007 building on research from University College London and the University of Houston.
The company manufactures medical devices for the treatment of breast cancer, focused on cancer localisation and lymph node identification. At the point of exit, its products were routinely used by over 1,350 hospitals in more than 45 countries – helping over 500,000 women access more precise and less invasive breast cancer treatment.
In July 2024, the VCT sold its holding in Endomag to NASDAQ-listed Hologic Inc. The first VCT investment was made in 2018, with a follow-on investment in 2020. The sale initially returned £8.3 million with a further £0.8 million subject to meeting targets, equivalent to a return of 3.9x investment cost. To date, a further £100,000 has been received by the VCT (March 2025). Past performance is not a guide to future returns.
Example of failure
Cervest
Cervest was founded in 2016 to develop a climate intelligence platform. Its EarthScan product allowed companies, governments and charities to assess climate-related risks for individual assets, to help them make climate change resilient investment decisions.
The company won backing from Molten as well as several other large investors, and landed work for consulting group Accenture and DIY chain Wickes among others. It was also named among the top 10 UK companies at the forefront of AI by the Department for Science, Innovation and Technology. However, in early 2023 an attempt to raise further funding failed and the company was forced into administration.
The VCT invested £1.3 million in 2021, since written down to nil.
Performance and dividends
Over the five years to 30 June 2025, the VCT has generated a NAV total return (including dividends reinvested) of 19.9%. The VCT has paid out cumulative dividends equivalent to 29.8% of the starting net asset value. Dividends are variable and not guaranteed.
Note, we show VCT returns over a five-year period as a minimum, where possible. Where a VCT has followed the same investment strategy for longer, we also show returns over 10 years.
NAV and cumulative dividends per share over five years (p)
Source: Morningstar. Past performance is not guide to the future. Dividends are variable and not guaranteed. The bar chart shows net asset value and cumulative dividends (paid out) per share for the period 31/12/2019 – 30/06/2025.
Dividends paid per calendar year
Source: Morningstar. Past performance is not a guide to the future. Dividends are not guaranteed. The graph shows the dividends paid per calendar year to 30/06/2025.
Dividend yield history (% of starting NAV)
| Calendar year | Dividend as % of NAV |
|---|---|
| 2020 | 5.4% |
| 2021 | 5.2% |
| 2022 | 7.3% |
| 2023 | 2.9% |
| 2024 | 5.0% |
| YTD | 2.3% |
Source: Morningstar. Dividend yields are based on the dividends paid over the period divided by the starting NAV of the VCT in each period. Past performance is no guide to the future.
Dividend Reinvestment Scheme
The VCT operates a dividend investment scheme that allows shareholders to reinvest future cash dividend payments in new shares if desired. As these are new shares they should be eligible for tax relief (you will need to claim this on your tax return or directly with HMRC) and the shares will count towards the VCT annual subscription limit.
Share buyback policy
The boards intend to buy back shares at up to a 5% discount to the prevailing net asset value. This is not guaranteed – please see the offer documents for details.
Discount history
VCT shares are traded on the London Stock Exchange. Similar to investment trusts, the share price can fluctuate and can be different from the VCT’s net asset value (NAV), i.e. the value of the VCT’s underlying investments. The difference between the share price of a VCT, and its net asset value per share, is called a discount.
Based on data from Morningstar, the discount to NAV as at 30 June 2025 was -6.0%. Over the previous five years, the average discount to NAV was -6.9%.
The discount history is based on the closing share price of the VCT at the end of each month, divided by the latest net asset value at the time. Past performance is not a guide to the future. Investors looking to sell their VCT shares may get a better price using the VCTs’ share buyback facilities, although this is not guaranteed.
Risks – important
This, like all investments available through Wealth Club, is only for experienced investors happy to make their own investment decisions without advice.
VCTs are high-risk so should only form part of a balanced portfolio and you should not invest money you cannot afford to lose. They also tend to be illiquid and hard to sell and value. Before you invest, please carefully read the Risks and Commitments and the offer documents to ensure you fully understand the risks.
To retain the tax benefits, VCTs should be held for at least five years. If you sell VCT shares and reinvest in new shares of the same VCT (including any mergers) within six months, tax relief can be restricted. Tax rules can change and benefits depend on circumstances.
Charges and savings
A summary of the main charges and savings is shown below. The net initial charge shown includes the Wealth Club saving and any early bird discount. The investment may have additional charges and expenses: please see the provider documents including the Key Information Document for more details, offer price and share allotment calculation methodology.
Please note, capacity – for the offer or any early bird savings – can be reached early, and we may not be notified of this by the VCT in real time.
| Full initial charge | 5.5% |
| Early bird discount | 1.25% |
| Wealth Club initial saving | 2.5% |
| Existing shareholder discount | — |
| Net initial charge through Wealth Club (new investors) | 1.75% |
| Net initial charge through Wealth Club (existing shareholders) | 1.75% |
| Annual management charge | 2% |
| Annual administration charge | See documents |
| Performance fee | 20% |
| Annual rebate from Wealth Club (for three years) | — |
More detail on the charges
The full initial charge shown in the table above is before any savings and discounts; the net initial charge is after available savings and discounts. When you invest through us, Wealth Club will receive commission each year (up to 0.75%). Commission is paid by the product provider so there is no additional charge to you.
Please see the provider's documents, including the key information document, for more details on the total fees and charges.
Annual rebate when you invest through Wealth Club
There is no annual rebate for this offer.
Deadlines
- Deadline for 1.25% early bird saving: 31 October 2025
- Deadline for 1.00% early bird saving: 28 November 2025
- Deadline for 0.75% early bird saving: 31 December 2025
- Deadline for 0.50% early bird saving: 30 January 2026
- Deadline for 0.25% early bird saving: 27 February 2026
- Deadline for 2025/26 allotment: 1 April 2026 (10am)
- Deadline for 2026/27 allotment: 30 June 2026 (4pm)
Our view
Molten Ventures has in the past backed some of the most successful UK tech startups, including Wise and Revolut, and after eight years at the helm, the VCT portfolio now reflects its high-growth investing style.
The VCT offers exposure to cutting-edge technology companies, covering everything from Quantum Computing (RiverLane) to Fintech (Form3), and Energy Services (Modo Energy). The early-stage technology investments are also beginning to bear fruit as demonstrated by the recent sale of Endomag. The legacy portfolio now stands at just over 10%. Past performance is not a guide to the future.
The VCT’s deal flow should continue to benefit from Molten Ventures’ position within the industry, helping it access companies normally out of reach for a smaller VCT. At the same time, the ability to use the Plc balance sheet to back businesses as they grow means companies could access later-stage funding more easily than typically available from VCT managers.
The offer may appeal to long-term investors who are keen to gain exposure to companies backed by one of Europe’s leading venture capital managers within a tax efficient structure – tax rules can change and benefits depend on circumstances.
This financial promotion has been communicated and approved by Wealth Club Ltd on 7 October 2025
Wealth Club aims to make it easier for experienced investors to find information on – and apply for – investments. You should base your investment decision on the offer documents and ensure you have read and fully understand them before investing. The information on this webpage is a marketing communication. It is not advice or a personal or research recommendation to buy any of the investments mentioned, nor does it include any opinion as to the present or future value or price of these investments. It does not satisfy legal requirements promoting investment research independence and is thus not subject to prohibitions on dealing ahead of its dissemination.