|
2023 |
2022 |
|
£ |
£ |
Amounts owed by group undertakings |
36,298 |
4,930 |
Other debtors |
17,922 |
17,515 |
Other Other taxes and social security |
0 |
11,894 |
|
54,220 |
34,339 |
|
|
|
0 |
2023 |
2022 |
|
Number |
Number |
Ordinary shares of 0.01p in issue |
142,519,038 |
142,519,038 |
Ordinary shares of 0.01p issued in year |
133,333,333 |
0 |
Total ordinary shares of 0.1p in issue |
275,852,371 |
142,519,038 |
Deferred shares |
|
|
Deferred shares of 0.9p in issue |
287144228 |
287144228 |
Deferred shares of 0.9p arising in year |
0 |
0 |
Total Deferred shares of 0.9p in issue |
287,144,228 |
287,144,228 |
Annual report, Company financial statements 2023
8. DEBTORS
|
2023 |
2022 |
|
£ |
£ |
Trade creditors |
95754 |
22233 |
Taxation and social security |
20,191 |
0 |
Accruals / Other creditors |
27,545 |
46,600 |
Director's loan |
789,947 |
769,697 |
Amounts owed to group undertakings |
28,319 |
139,361 |
|
961,756 |
977,891 |
9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
|
2023 |
2022 |
|
£ |
£ |
Financial assets |
|
|
Financial assets measured at amortised cost: |
|
|
Amounts owed by group undertakings and other debtors |
54,220 |
22,445 |
Financial liabilities |
|
|
Financial liabilities measured at amortised cost |
961,756 |
977,891 |
Financial liabilities include, trade creditors, other creditors and amounts due to group undertakings |
10. FINANCIAL INSTRUMENTS
Page 3
issued allotted and paid |
2023 |
2022 |
|
£ |
£ |
Ordinary shares of 0.01p in issue |
142,519 |
142,519 |
Ordinary shares of 0.01p issued in year |
133,333 |
0 |
Total Ordinary shares of 0.1p in issue |
275,852 |
142,519 |
|
|
|
Deferred shares of 0.9p in issue |
2,584,298 |
2,584,298 |
Deferred shares of 0.9p arising in year |
|
0 |
Total Deferred Shares of 0.9p in issue |
2584298 |
2,584,298 |
Total Ordinary and Deferred Shares issued |
2860150 |
2,726,817 |
Background – ordinary shares, warrants and loan notes
On 13 July 2020 the Company undertook a sub-
On 14 July 2020, 937,500,000 ordinary shares of 0.01p each were issued under a placing at 0.08p each (at a premium of 0.07p per share) to raise £750,000 before costs of £66,863.
In addition, on 14 July 2020 warrants to subscribe for ordinary shares of 0.01p were granted as follows:
a) Subscribers to the placing were granted warrants to subscribe for up to 937,500,000 shares for a period of two years, exercisable at 0.2p per share;
b) Peterhouse Capital Limited was granted warrants to subscribe for shares equivalent up to 3% of the issued ordinary share capital from time to time, exercisable for a period of two years, at 0.08p per share.
Following the consolidation of ordinary shares in December 2020, the warrants have been adjusted and comprise place warrants to subscribe for up to 93,750,000 ordinary shares of 0.1p at 2p per share, and the warrants held by Peterhouse Capital Limited are exercisable at 0.8p per share.
In relation to the granting of these warrants to Peterhouse Capital Limited, these fall under the requirements of IAS 39 Financial Instruments and as such are accounted for at fair value through profit or loss. At the grant date of these warrants these are valued using a Black Scholes model to determine the intrinsic value of the warrant and a liability is recognized for this amount with a corresponding expense through the income statement. The Directors’ have concluded that the intrinsic value of the warrant as at 31 March 2021 is not material to the results and subsequent movements in the share price have decreased this value further. As such no accounting entries have been made to these results.
Further on 14 July 2020, £600,000 of convertible loan notes were issued to Mr C C Johnson as part of arrangements to reorganise loans between him and the Group. The notes are repayable on 31 July 2022 and are convertible at any time into 300,000,000 ordinary shares of 0.01p at 0.2p per share. On conversion, warrants to subscribe for up to 300,000,000 ordinary shares will be granted to Mr C C Johnson exercisable for a period of two years from the date of grant at 0.2p per share. Following the consolidation of ordinary shares in December 2020, the loan notes have been adjusted and are convertible into 30,000,000 ordinary shares of 0.1p at 2p per share, with warrants to be granted to subscribe for up to 30,000,000 ordinary shares of 0.1p each at 2p per share, with warrants to be granted to subscribe for up to 30,000,000 ordinary shares of 0.1p each at 2p per share.
The convertible loan notes have been accounted for as having both a debt and an equity element. This results in the creation of a loan note equity reserve at the point of issue. This loan note equity reserve is the difference between the loan note value received by the Company of £600,000 and the fair value of a debt only instrument with a 10% imputed interest rate and a final settlement figure of £600,000 in July 2022. This 10% imputed interest rate is managements’ best estimate as to the interest rate that would be expected from the market for an unsecured loan of £600,000 without a conversion element.
In 2022, the Company has agreed with Mr C C Johnson a consolidation and variation of terms of the two unsecured convertible loans notes and director debt held by Mr C C Johnson. The conversion of the total amount owed to him by the Company (£905,000) has resulted in the issue to Mr C C Johnson of a new unsecured convertible loan note for an aggregate amount of £905,000 payable July 2024. This has replaced:
The new unsecured convertible loan note is convertible in full into 226,250,000 ordinary shares at 0.4p per ordinary share and can be converted at any time by Mr Johnson, subject inter alia to his entire holding being less than 29.99 per cent of the voting rights in issue in the Company.