ADVFN Logo

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for charts Register for streaming realtime charts, analysis tools, and prices.

UCP Ucp

2.60
0.00 (0.00%)
28 Mar 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Ucp LSE:UCP London Ordinary Share IM00B1HWL911 ORD 1P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 2.60 0.00 00:00:00
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
0 0 N/A 0

UCP PLC Half Yearly Report (0030J)

14/12/2015 3:44pm

UK Regulatory


Ucp (LSE:UCP)
Historical Stock Chart


From Mar 2019 to Mar 2024

Click Here for more Ucp Charts.

TIDMUCP

RNS Number : 0030J

UCP PLC

14 December 2015

UCP plc

("UCP" or the "Company")

Half-Yearly Report

UCP Plc (formerly Unitech Corporate Parks Plc), announces its half-yearly report for the six month period ended 30 September 2015.

The Company's half-yearly report for the period ended 30 September 2015 will shortly be available on the Company's website www.ucpplc.com in accordance with AIM Rule 26.

For further information please contact:

 
 Westhouse Securities Limited   Tel: +44 (0)20 7601 6100 
-----------------------------  ------------------------- 
 Alastair Moreton 
-----------------------------  ------------------------- 
 Rose Ramsden 
-----------------------------  ------------------------- 
 
 FIM Capital Limited            Tel: +44 (0)1624 681250 
-----------------------------  ------------------------- 
 Philip Scales 
-----------------------------  ------------------------- 
 Graham Smith 
-----------------------------  ------------------------- 
 

Chairman's Statement

Introduction

It is now over a year since the Company sold its entire interest in Candor, the Company's wholly owned subsidiary and holding company for all UCP's property interests in India. This led to an initial distribution to shareholders of 49.25 pence per share on 9 January 2015. At the time of the disposal of Candor we thought that a period of 12 months from completion could be sufficient to complete the return of capital to shareholders and for the Company to enter into a members' voluntary winding up. However, the process to recover UCP's share of certain funds, amounting to 1.57 billion Rupees (GBP15.8 million) at the date of completion, which had been placed by two of the project SPVs with Indian financial institutions, continues. We note the useful changes to the Indian Arbitration Act which came into force in October 2015. This recovery process remains the key factor determining the length of the future life of the company and the amount and timing of further distribution(s) to shareholders.

Change of Company name

At the AGM on 11 November 2015, the shareholders approved the change of the Company's name from Unitech Corporate Parks PLC to UCP PLC.

Recovery of deposits from SREI and ATEN; losses caused by Nectrus

As referred to above, GBP15.8 million was the sterling value at the date of the Candor sale of its indirect interest in the deposits placed by two of the project SPVs with Indian financial institutions SREI and ATEN (which includes ATEN PM and ATEN Capital) which had not been repaid as due. The sale and purchase agreement governing the sale of Candor provided that this amount be deducted from the Candor proceeds and set outa mechanism by which the recovery of the deposits is to be pursued and the sums recovered ultimately paid to UCP.

The recovery is being actively pursued through multiple avenues, including the Indian arbitration process prescribed under the agreements and with the appropriate regulators. A claim for damages has also been notified to the Company's former investment manager Nectrus for GBP18.2 million, which comprises the GBP15.8 million deducted from the sale proceeds, plus an estimate of the total costs associated with recovery of the funds. These costs arise in Rupees and Sterling, and, as is the case with any legal action, it is impossible to forecast these with precision. The Board believes the placing of the deposits represented breaches by Nectrus of the investment management agreement with inter alios the Company, and accordingly it withheld GBP18.2 million from funds otherwise payable to Nectrus pursuant to the shareholder distribution in January 2015.

The amounts due to UCP in relation to the project SPV funds are recognised as a contingent asset of up to GBP17.8 million (being the Rupee value of Candor's interest in the deposits plus estimated interest and foreign currency movement up to 30 September 2015 amounting to 1.75 billion Rupees in total). Note 7 sets out further information on the recovery of the project SPV funds. Given that the claims are ongoing, we are not in a position to provide further detail save to say that all efforts are focused on the recovery of these funds.

Provision for run-off costs

The interim financial statements contain a provision of GBP2.3 million to cover the future anticipated running costs of the Company, including legal fees and costs relating to a winding up. The actions to recover the deposits in India have the potential to be subject to delays and unanticipated procedure developments, and therefore the actual future costs may differ significantly from the amounts estimated in the provision.

Update on Indian tax

UCP had reserved GBP4 million in cash for a potential Indian tax liability in its calculation of the amount available for distribution in January 2015. We continue to be advised that no tax is payable on the disposal of Candor, but tax filings in India are nevertheless required. The tax return has now been filed. The official confirmation of a nil assessment has not yet been received and we have no information as to how long this will take. Assuming the nil assessment is confirmed, this GBP4 million cash would be available for distribution to shareholders.

Trading on AIM

Since it has been more than 12 months from the date of completion of the sale of Candor, the Company's shares were suspended from trading on AIM on 5 November 2015. The Company's administrator, FIM Capital Limited ('FIM'), has agreed to provide a service to assist in providing liquidity for shareholders through matched bargains. FIM is regulated by the Isle of Man Financial Services Authority and the UK Financial Conduct Authority. Any shareholder interested in trading in the Company's shares should contact FIM and lodge an expression of interest. FIM will thereafter introduce buyers and sellers to each other as appropriate, with trades to be effected off-market.

Further distribution to shareholders

Our cash position as of 30 November 2015 was GBP26.0 million. We intend to continue to implement our stated strategy of actively pursuing recovery of the deposits from SREI and ATEN, maintain our claim against Nectrus and possibly commencing actions against other parties (where appropriate), closely monitoring our costs, eliminating unnecessary expenses and ultimately return the residual capital to shareholders.

Donald Lake

Chairman

14 December 2015

Company Statement of Comprehensive Income

 
                                                                          Unaudited          Unaudited       Audited 
                                                                                                                Year 
                                                                   Six months ended   Six months ended         ended 
                                                                        30 Sep 2015        30 Sep 2014   31 Mar 2015 
                                                           Notes           GBP '000           GBP '000      GBP '000 
 
 Income 
 Interest income on cash balances                                                36              1,143            65 
                                                                                 36              1,143            65 
                                                                  -----------------  -----------------  ------------ 
 
 Expenditure 
 Operating expenses                                          3                  935                842         2,323 
 Change in provision for run-off costs                       4                (700)              (550)         1,250 
                                                                                235                292         3,573 
                                                                  -----------------  -----------------  ------------ 
 
 Operating (loss)/profit for the period                                       (199)                851       (3,508) 
                                                                  -----------------  -----------------  ------------ 
 
 Change in value of assets held for sale                                          -            (2,183)       (1,138) 
 De-recognition of other receivables                                              -                  -      (14,624) 
                                                                  -----------------  -----------------  ------------ 
 Loss for the period before tax                                               (199)            (1,332)      (14,624) 
 
   Current tax expense                                                            -                  -             - 
                                                                  -----------------  -----------------  ------------ 
 
 Loss for the period                                                          (199)            (1,332)      (19,270) 
                                                                  -----------------  -----------------  ------------ 
 
 Other comprehensive loss 
 Foreign currency translation differences for foreign 
 operations                                                                       -                  -             - 
 Other comprehensive loss for the period net of income 
 tax                                                                              -                  -             - 
                                                                  -----------------  -----------------  ------------ 
 
 Total comprehensive loss for the period                                      (199)            (1,332)      (19,270) 
                                                                  -----------------  -----------------  ------------ 
 
 Basic and diluted loss per share                            5              (0.06)p            (0.37)p         (5.35)p 
                                                                  -----------------  -----------------  -------------- 
 

(MORE TO FOLLOW) Dow Jones Newswires

December 14, 2015 10:44 ET (15:44 GMT)

1 Year Ucp Chart

1 Year Ucp Chart

1 Month Ucp Chart

1 Month Ucp Chart

Your Recent History

Delayed Upgrade Clock