Limitless Earth Plc Half-year Report

 
TIDMLME 
 
29 October 2021 
 
                              LIMITLESS EARTH PLC 
 
                        ("Limitless" or the "Company") 
 
                       UNAUDITED HALF-YEARLY RESULTS FOR 
 
                       THE SIX MONTHSED 31 JULY 2021 
 
The Company is pleased to announce its half-yearly results for the six months 
to 31 July 2021. 
 
CHIEF EXECUTIVE'S STATEMENT 
 
Limitless is an investing company that focuses on making investments in and 
assisting companies that show the potential to generate returns through capital 
appreciation.  The directors look to make investments into small companies 
which have clear routes to value appreciation, and which operate in sectors 
with long term growth prospects that are driven by demographic change. 
Examples of such sectors include Cleantech, Life Sciences and Technology. The 
Company has interests in four investments: 
 
Saxa Gres S.p.A ("Saxa") is a turn-around circular economy company which 
specialises in an innovative porcelain and ceramic stone tile production 
process using recycled urban waste. It has been extremely successful in 
expanding its operations by competitor acquisitions and this has enabled it to 
satisfy the increasing demands for its products while attracting valuable 
funding from relevant institutional investors. 
 
Saxa's main product is Grestone, which it describes as a 'ceramic stone', is a 
patented conglomerate composed of 70% porcelain stoneware and 30% waste from 
industrial incinerators which can cope with high stress and is targeted for use 
in urban surfacing and street design. 
 
Limitless' investment rational was driven by the changing behavioural trends of 
consumers and the attitudes of businesses and governments towards products with 
greater social impact compared to traditional manufacturing. As Saxa has 
established a proven production process using waste incinerator ash amalgamated 
into high quality tiles, it has established its strong ESG credentials. The 
Company further hopes that Green Public Procurement, a voluntary European 
instrument which provides guidelines and criteria aimed at Europe's public 
authorities for sustainable production and consumption, will help drive 
European demand for Saxa's products through increased requirements to recognise 
environmental credentials early in tender processes.  Saxa has seen significant 
growth in international demand for its products with the Italian domestic 
market now only representing 5-10% of its orders. 
 
Since our initial investment, Saxa has expanded its production capacity and 
continued to innovate products. 
 
In January 2021 A2A S.p.A ("A2A"), a major listed Italian utility firm, 
announced it had acquired 27.7% of Saxa. This strategic acquisition is of 
importance to Saxa and may, in time, create an exit opportunity for the 
Company. On making its acquisition, A2A stated, "Saxa is the first Circular 
Factory to produce urban paving and tiles using an innovative 'end of waste' 
process that enables materials, such as the ash produced by waste-to-energy 
plants, to be recovered from the waste cycle and reused to make a new product. 
Thanks to this process, a virtuous cycle can be triggered which largely avoids 
material consumption or, worse still, using landfills for disposal." 
 
To date, Limitless has made three investments in Saxa and, as a result, holds 
EUR 592,000 of 7 per cent. listed loan notes and EUR 75,000 of 10 per cent. 
unlisted loan notes with an option to acquire approximately 2.38 per cent. of 
the equity share capital of Saxa Gres at an exercise price of ?1EUR per share. 
 
During the period under review, the Company agreed to dispose of ?200,000 of 
quoted loan notes in Saxa. 
 
The Board of Limitless is pleased with this relevant investment from an 
industrial investor and is hopeful of being able to positively revalue its 
investment in the near-term as financial information and performance data 
becomes available. 
 
V-Nova Ltd. ("V-Nova") is a London-headquartered technology company providing 
next-generation data compression solutions that address the ever-growing media 
processing and delivery challenges. V-Nova is an IP Software company which has 
developed an innovative video and imaging compression technology with broad 
application from developed, data-rich economies to emerging markets. V-Nova 
provides solutions spanning the entire media delivery chain, including content 
production, contribution, storage and distribution to end-users. 
 
In November 2020, V-Nova announced it had reached a milestone achievement in 
MPEG-5 Part 2 LCEVC (Low Complexity Enhancement Video Coding) being promoted to 
MPEG/ISO final draft international standard. V-Nova co-chaired the standard's 
development and contributed to the foundational technology upon which it is 
built.  MPEG-5 Part 2 LCEVC is the first internationally accredited enhancement 
standard for any existing and future video compression scheme. 
 
V-Nova claims its LCEVC technology provides a boost to the compression 
efficiency of any existing or future video codec, enabling higher quality 
compression at up to 40% lower bitrates while improving encoding efficiency and 
reducing processing energy demands by up to 75 per cent.  The company's CEO and 
co-founder Guido Meardi believes LCEVC will be adopted by the industry by 
integration by device or chipset manufacturers, operating systems, browsers, 
for in-house development and encoder or player vendors being LCEVC an 
enhancement, rather than a full codec and it is deployable immediately on both 
new and existing infrastructure, including devices that are already in the 
hands and in the households of end-users. 
 
During the period under review, V-Nova has announced both licensing terms for 
LCEVC and that Southworks had been selected as a certified integration partner 
to extend its growing list of reference integrations by integrating V-Nova 
LCEVC decoding in market-leading web players. V-Nova already provides a range 
of reference integrations including FFmpeg, ExoPlayer for Android, AVPlayer for 
iOS, Microsoft UWP for Windows and web players like HLS.js, Shaka Player and 
video.js. 
 
V-Nova also announced it had received ?5 million investment from Intesa 
Sanpaolo Group's venture capital firm, completing its series C investment round 
raising a total of ?33 million. 
 
The Company's investment rational for V-Nova was from its desire to invest into 
technology related to the provision and consumption of data.  This is a field 
in which Limitless considers there will be considerable growth for the 
foreseeable future as consumption trends seem to increase faster than telecoms 
companies are able to build infrastructure driving the need for better data 
compression and processing. 
 
Limitless invested £500,000 in V-Nova on 18 December 2015 in a convertible loan 
note, which was subsequently converted in April 2017 into Series B1 
participating shares at a valuation of V-Nova of c. £80 million. 
 
We revalued our investment to match the new terms of the C investment round and 
given the codec standard has been reached we believe in the fast potentiality 
to reach its full market potentiality. 
 
Chronix Biomedical, inc. ("Chronix"), is a privately-owned biotech company 
founded in 1997 which specialises in simple blood tests (liquid biopsies) for 
real-time monitoring of the effectiveness of cancer drugs, including 
immunotherapies, and rejection of transplanted organs. Chronix's cancer test is 
based on patented technology whereby it can identify gains and losses in cell 
free DNA that allow them to determine if a cancer therapy is working. 
Similarly, its transplant test allows it to determine if an organ that is 
transplanted is being accepted or rejected by the recipient. This helps inform 
the physician so as to alter the immunosuppressive drug regime given to the 
patient. 
 
In June 2018, Chronix signed its first commercial agreement with a large 
EU-based lab group, which already processes more than 150,000 laboratory 
samples daily, providing an exclusive licence for Germany, Austria, Switzerland 
and Belgium. The contract is for 15 years and, as previously advised, 
independent research.  analysts estimated the net present value of the 
licensing payments to Chronix over the life of the agreement to be 
approximately $92 million, subject to a minimum number of tests being performed 
each year. 
 
After announcing a further licensing agreement with Nasdaq listed Oncocyte 
(NSDQ:OCX) for Chronix's CNI monitoring technology (aliquid biopsy test which 
detects tumour-derived cell-free DNA in blood samples of patients), in April 
2021 Oncocyte announced that it completed the acquisition of Chronix. 
 
Oncocyte stated the acquisition of Chronix will provide it with a distinct 
competitive advantage as the first and only company to potentially offer a 
continuum of tests, from patient selection to monitoring the effectiveness of 
treatment.  The simplicity of the blood sample based test allows physicians to 
quickly and easily monitor patients. 
 
The acquisition included the intellectual property and technology for Chronix's 
TheraSure copy number instability (CNI) monitoring test for immune therapy 
monitoring. Further Oncocyte has acquired intellectual property relating to 
organ transplant technology and associated patent portfolio developed by 
Chronix. 
 
Oncocyte has stated its intentions to launch the test for research use only in 
domestic immunotherapy clinical trials during the fourth quarter of 2021. 
Oncocyte expects the first indication to be for lung cancer before expanding to 
other cancer types and the Company awaits further new in this regard. 
 
Limitless' investment rational for its investment in Chronix was driven by the 
Company's view of significant growth opportunities in the medical screening 
sector as developments in drugs and medical understanding require more advanced 
and immediate clinical diagnostics tools. 
 
Limitless held 0.72 per cent. of Chronix's issued share capital on a fully 
diluted basis. Limitless also previously announced on 20 September 2019 a 

further investment of $100,000 by way of an unsecured Convertible Promissory 
Note ("Note") with an interest rate of six percent per annum. The merger did 
not trigger the conversion of the Note, and the Note has been repaid in full 
following Completion. 
 
The acquisition agreement provides a right for Chronix's shareholders to 
receive from Oncocyte a revenue share on the net collected revenues of Chronix 
for certain tests and services for specific periods, and to pay a combination 
of cash or Oncocyte common stock of up to $14 million if certain milestones are 
achieved. The milestone revenue receipts under these rights are expected to be 
returned to Chronix's shareholders based on the order of the investment rounds 
in which they invested. 
 
Exogenesis Corporation is a Boston-based nanotech firm which specialises in 
modifying and controlling the surface of objects at a nanoscale level, through 
accelerated particle beam processing, to avoid needing to apply coatings. 
Application of the company's technology can improve the safety and efficacy of 
implantable medical devices and improve the performance of optics, glass and a 
variety of substrates used in the laser, memory and semiconductor industries. 
Exogenesis Corporation is a pre-revenue business. 
 
Exogenesis Corporation Received 510(k) Clearance for the Exogenesis Hernia 
Mesh, First Soft Tissue Repair Device with Nano-Modified Surface in October 
2019, albeit news flow since then has been limited as to further developments. 
 
More recently, in October 2020, Exogenesis Corporation announced that early 
trials of its Exogenesis Surgical Mask, a protective nose and mouth covering 
for healthcare workers and patients, achieved its primary endpoints of trapping 
and deactivating COVID-19 viral particles in simulated real-world exposures. 
The Company used its Accelerated Neutral Atom Beam technology to increase the 
surface area of fibres allowing for more colloidal copper to be applied to the 
mask, increasing the protective barrier. The company hopes to progress to 
premarket regulatory filings soon for this product. 
 
In April 2021, nanoMesh LLC, a subsidiary of Exogenesis Corporation, announced 
that it had initiated First-In-Man implantation of its proprietary soft tissue 
repair device and that it expected  additional implantations concurrent with 
national distribution to follow. 
 
Exogenesis Hernia Mesh (nanoMesh) is an innovative soft tissue repair implant, 
constructed of monofilament polypropylene (PP) and possesses a unique 
nanometer-level surface texture, via the application of Accelerated Neutral 
Atom Beam (ANAB) technology during manufacturing. 
 
The implant targets the repair of abdominal wall hernias and abdominal wall 
deficiencies that require the addition of reinforcing material to obtain the 
desired surgical result. 
 
The Board of Limitless recognises Exogenesis' technological achievements and 
whilst development has been slowed that initially expected, it maintains its 
optimism for the company's business model and, in turn, this investment. 
 
Limitless invested US$300,000 in May 2016 in Exogenesis Corporation by way of 8 
per cent. convertible senior notes. 
 
In addition to its current portfolio of investments, during the reporting 
period, the Company looked at new potential investments and opened a series of 
due diligence on potential new investments some of which are ongoing.  The 
Board continues to actively source new investments. 
 
This announcement contains inside information for the purposes of Article 7 of 
EU Regulation 596/2014. 
 
For further information, please contact: 
 
Limitless Earth plc                                    [phone] 
Guido Contesso - CEO                                   www.limitlessearthplc.com 
 
Cairn Financial Advisers LLP                           [phone] 
Nominated Adviser                                      www.cairnfin.com 
Jo Turner/Sandy 
Jamieson 
 
Peterhouse Corporate Finance Limited                   [phone] 
Broker                                                 www.pcorpfin.com 
 
 
 
 
UNAUDITED INCOME STATEMENT AND 
 
STATEMENT OF COMPREHENSIVE INCOME 
 
6 MONTHSED 31 JULY 2021 
 
                                           Notes     Unaudited    Unaudited      Audited 
 
                                                    31/07/2021   31/07/2020   31/01/2021 
 
Continuing operations                                        £            £            £ 
 
Investment Income                                       18,788       13,430       27,583 
 
Total Income                                            18,788       13,430       27,583 
 
Administration expenses                               (90,008)     (80,022)     (71,973) 
 
Foreign currency exchange gain/ loss                  (31,619)       46,013      (6,103) 
 
Operating loss and loss before taxation              (102,839)     (20,579)     (50,493) 
 
Taxation                                                     -            -            - 
 
Loss for the period                                  (102,839)     (20,579)     (50,493) 
 
Total Comprehensive loss for the period              (102,839)     (20,579)     (50,493) 
 
Earnings per share: 
 
Basic and diluted loss per share             3       (0.0016p)    (0.0003p)   (0.00077p) 
 
  There are no items of other comprehensive income. 
 
UNAUDITED STATEMENT OF FINANCIAL POSITION 
 
AS AT 31 JULY 2021 
 
                                                     Unaudited    Unaudited      Audited 
 
                                                    31/07/2021   31/07/2020   31/01/2021 
 
                                                             £            £            £ 
 
Current assets 
 
Investments held for trading                         1,745,108    1,809,398    1,874,083 
 
Trade and Other receivables                             69,269       86,238       41,749 
 
Cash                                                   117,572      151,936      157,310 
 
                                                     1,931,950    2,047,572    2,073,142 
 
Total Assets                                         1,931,950    2,047,572    2,073,142 
 
Current Liabilities 
 
Trade and other payables                              (55,346)     (38,215)     (93,699) 
 
Net Assets                                           1,876,604    2,009,357    1,979,443 
 
Equity 
 
Issued Share Capital                                   654,000      654,000      654,000 
 
Share Premium                                        2,350,630    2,350,630    2,350,630 
 
Share Warrant Reserve                                        -            -            - 
 
Retained Earnings                                  (1,128,026)    (995,273)  (1,025,187) 
 
Total Equity                                         1,876,604    2,009,357    1,979,443 
 
 
 
Unaudited Statement of Changes in 
Shareholders' Equity 
 
for the period ended 31 July 2021 
 
                                      Share      Share     Share    Retained      Total 
                                    capital    premium   warrant    earnings 
                                                         reserve 
 
                                          £          £         £           £          £ 
 
Audited Changes in Equity for the   654,000  2,350,630    14,095   (810,254)  2,208,471 
period ended 31 January 2019 
 
Comprehensive loss for the period                                  (178,535)  (178,535) 
 
Warrants expired during the              -          -   (14,095)      14,095         - 
period 
 
Audited Changes in Equity for the   654,000  2,350,630         -   (974,694)  2,029,936 
period ended 31 January 2020 
 
Comprehensive loss for the period        -          -          -    (50,493)   (50,493) 
 
Audited Changes in Equity for the   654,000  2,350,630         - (1,025,187)  1,979,443 
period ended 31 January 2021 
 
Comprehensive loss for the period         -          -         -   (102,839)  (102,839) 
 
Unaudited Changes in Equity for     654,000  2,350,630         - (1,128,026)  1,876,604 
the period ended 31 July 2021 
 
 
 
UNAUDITED CASH FLOW STATEMENT FOR THE 
 
6 MONTHSED 31 JULY 2021 
 
                                                     Unaudited    Unaudited      Audited 
 
                                                    31/07/2021   31/07/2020   31/01/2021 
 
                                                          2021         2020         2021 
 
                                                             £            £            £ 
 
Cash flows from operating activities 
 
(Loss) for the year before tax                       (102,839)     (20,579)     (50,493) 
 
Investment income                                     (18,788)     (13,430)     (27,583) 
 
Foreign Currency exchange gain/ loss                  (31,619)     (46,013)      (6,103) 
 
Decrease/ (increase) in receivables                   (32,898)      (9,079)       35,409 
 
(Decrease)/ increase in payables                        30,353     (35,237)       20,248 
 
Fair value revaluation of Investment                         -            -   (100,000) 
 
Net cash outflow from operating activities           (155,882)    (124,338)    (128,525) 
 
Cash flows from investing activities 
 
Finance income received net                             18,788       13,430       27,583 
 
Purchase of investments                                 97,356            -      (4,594) 
 
Net cash outflow from investing activities             116,144       13,430     (22,989) 
 
Net decrease in cash and cash equivalents during      (39,738)    (110,908)    (105,536) 
the year 
 
Cash at the beginning of year                          157,310      262,844      262,844 
 
Cash and cash equivalents at the end of the year       117,572      151,936      157,310 
 
NOTES TO THE FINANCIAL STATEMENTS 
 
FOR THE 6 MONTHSED 31 JULY 2021 
 
 1. General Information 
 
Limitless Earth plc is a company incorporated and domiciled in England and 

Wales. The Company's ordinary shares are traded on the AIM market of the London 
Stock Exchange. The address of the registered office is Suite 2, Northside 
House, Mount Pleasant, Barnet, Hertfordshire, England, EN4 9EB. 
 
The principal activity of the Company is that of an investing company pursuing 
a strategy that focuses on making investments in and assisting companies which 
exhibit the potential to generate returns of many multiples through capital 
appreciation.  Typically, Limitless invests in small companies where there are 
clear catalysts for value appreciation and the companies are operating in 
sectors exhibiting long term growth linked to demographic change. 
 
2. Accounting policies 
 
The principal accounting policies have all been applied consistently throughout 
the period covered and have not changed since being reported on in the 
financial statements for the year ended 31 January 2021. 
 
Basis of preparation 
 
The interim financial information set out above does not constitute statutory 
accounts within the meaning of the Companies Act 2006. It has been prepared on 
a going concern basis in accordance with the recognition and measurement 
criteria of International Financial Reporting Standards (IFRS) as adopted by 
the European Union. 
 
The financial statements have been prepared under the historical cost 
convention. 
 
The interim financial information for the six months ended 31 July 2021 has not 
been reviewed or audited. The interim financial report has been approved by the 
Board on 28 October 2021. 
 
3. Loss per share 
 
The basic earnings per share is calculated by dividing the earnings 
attributable to ordinary shareholders by the weighted average number of 
ordinary shares outstanding during the period. Diluted earnings per share is 
computed using the same weighted average number of shares during the period 
adjusted for the dilutive effect of share warrants and convertible loans 
outstanding during the period. 
 
                                                 Unaudited     Unaudited        Audited 
 
                                                31/07/2021    31/07/2020     31/01/2021 
 
Loss from continuing operations attributable     (102,839)      (20,579)       (50,493) 
to equity holders of the company 
 
Weighted average number of ordinary shares      65,400,000    65,400,000     65,400,000 
in issue 
 
                                                     Pence         Pence          Pence 
 
Basic and fully diluted loss per share from       (0.0016)      (0.0003)       (0.0008) 
continuing operations (Pence) 
 
4. Copies of Interim Accounts 
 
Copies of the interim results are available at the Group´s website at: 
www.limitlessearthplc.com. 
 
Note: 
 
Certain statements made in this announcement are forward-looking statements. 
These forward-looking statements are not historical facts but rather are based 
on the Company's current expectations, estimates, and projections about its 
industry; its beliefs; and assumptions. Words such as 'anticipates,' 'expects,' 
'intends,' 'plans,' 'believes,' 'seeks,' 'estimates,' and similar expressions 
are intended to identify forward-looking statements. These statements are not a 
guarantee of future performance and are subject to known and unknown risks, 
uncertainties, and other factors, some of which are beyond the Company's 
control, are difficult to predict, and could cause actual results to differ 
materially from those expressed or forecasted in the forward-looking 
statements. The Company cautions security holders and prospective security 
holders not to place undue reliance on these forward-looking statements, which 
reflect the view of the Company only as of the date of this announcement. The 
forward-looking statements made in this announcement relate only to events as 
of the date on which the statements are made. The Company will not undertake 
any obligation to release publicly any revisions or updates to these 
forward-looking statements to reflect events, circumstances, or unanticipated 
events occurring after the date of this announcement except as required by law 
or by any appropriate regulatory authority. 
 
 
 
END 
 
 

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October 29, 2021 02:00 ET (06:00 GMT)