b'Strategic report Governance Financial statements24. Deferred taxationAs at As at31 March 31 March2020 2019000 000Recognition of deferred tax liability 3,812 109Under IAS 12, Income Taxes, provision is made for the deferred tax liability associated with the recognition of the intangible asset arising on the acquisition of the VCT fund management business of NVM Private Equity LLP. This has been recognised at 19% of the fair value of the fund management contracts at acquisition and is reassessed at each year end, with the movement being recognised in the consolidated statement of comprehensive income.As at 31 March 2020, a deferred tax liability of 3,812,000 (2019: 109,000) has been recognised. Of this total 3,758,000 is in respect of the intangible asset arising on the acquisition of the VCT fund management business of NVM Private Equity LLP and 54,000 is in respect of the remaining intangible asset arising on the acquisition of Enterprise Ventures.25. Issued share capitalAs at 31 March 2020 As at 31 March 2019Number 000 Number 000Allotted and fully paidAs at the beginning of the year 303,309,707 3 303,309,707 3Issue of share capital during the year 136,800,000 1As at the end of the year 440,109,707 4 303,309,707 3On 20 December 2019, 120,000,000 new Ordinary shares of 0.00001 each were issued at a price of 25.0 pence per share via a placing which raised 30,000,000 (before share issue costs). These new shares were admitted to trading on AIM on 23 December 2019.On 23 December 2019, 16,800,000 new Ordinary shares of 0.00001 each were issued at a price of 25.0 pence per share as part of the initial consideration for the acquisition of the VCT fund management business of NVM Private Equity LLP. These new shares were admitted to trading on AIM on 27 December 2019.Each Ordinary share is entitled to one vote and has equal rights as to dividends. The Ordinary shares are not redeemable.26. Share premiumAs at As at31 March 31 March2020 2019000 000As at the beginning of the year 49,324 49,324Premium arising on the issue of Ordinary shares 34,199 Cost of share capital issued (1,879) As at the end of the year 81,644 49,324The premium on the issue of Ordinary shares in the year arises from the placing of 120,000,000 new Ordinary shares of 0.00001 each issued at a price of 25.0 pence per share on 20 December 2019 and 16,800,000 new Ordinary shares of 0.00001 each issued at a price of 25.0 pence per share on 23 December 2019 as part of the initial consideration for the acquisition of the VCT fund management business of NVM Private Equity LLP. 27. Other distributable reserveOn 18 March 2015, the Group successfully applied to the Court for the partial cancellation of its share premium account. 70,000,000 was transferred from the share premium account to a distributable reserve, thereby allowing the Group flexibility to pay a dividend distribution to shareholders in the future.28. Retirement benefit schemesThe Group contributes into the personal pension plans of all qualifying employees. The amount charged in the year to 31 March 2020 was 570,000 (2019: 479,000). As at 31 March 2020, contributions amounting to 23,000 (2019: 30,000) had not yet been paid over to the plans and are recorded in other payables (note 21).Mercia Asset Management PLC 97Annual Report and Accounts 2020'