The £300m flotation of the Beauty Tech Group (TBTG) on Thursday not only cheered the London stock market after a dearth of listings, it has also boosted the three venture capital trusts (VCTs) run by Mercia Fund Management.

From a 271p offer price, shares in TBTG rose 5% to 285p on Friday and have softened 0.5p this morning.

The £124m Northern Venture Trust (NVT) said at 30 June its holding in TBTG was valued at £7.3m, equivalent to 5.4% of net assets. It sold £2.6m of its stake in the initial public offer (IPO) that was now worth £6.1m at the 271p offer price, equivalent to 4.4% of net asset value. The IPO price would lift NAV per share by around 0.6p.

The £131m Northern 2 VCT (NTV) said its holding in TBTG was valued at £6.7m before flotation, equivalent to 4.7% of NAV. It sold £2.4m of its stake that was now worth £5.6m or 3.9% of net assets with NAV per share expected to rise 0.5p.

The £124m Northern 3 VCT’s (NTN) TBTG position had moved from £6.6m, or 4.8% of NAV, to £5.5m after selling £2.3m and now represented 4% of the portfolio. The gain would add 0.8p to NAV per share, it said.

The VCTs first invested in TBTG in 2018, when the company generated under £1m annual revenues and was loss-making. After significant growth in the following years, it reported 2024 revenues of £101m and underlying profits of £23m.

Celebrities including Kim Kardashian and Serena Williams are said to have used the Cheshire-based company’s beauty gadgets.