BWA Group PLC Audited Results for the year ended 30 April 2016
29 September 2016 - 4:57PM
UK Regulatory
TIDMBWAP
29 September 2016
GB0033877555
BWA GROUP PLC
("BWA" or the "Company")
Audited Results for the year ended 30 April 2016
STRATEGIC REPORT FOR THE YEAR ENDED 30 APRIL 2016
As you are aware, the objective of the Company is to find a suitable candidate
for a reverse take-over and, in the meantime, to invest in smaller
opportunities that may arise. The Board identified an appropriate target
company during the year but, unfortunately, it was not possible finally to
conclude a transaction after nearly nine months' work. An arrangement had been
made with the target company which resulted in your Company being able to
recover all the costs of the transaction and return a small profit as shown in
the accounts.
Your Directors have continued to nurture the two early stage investments in
which the Company already has a direct interest, namely Prego International
Limited and Mineralfields Group Limited (formerly Natural and Mineral Assets
Limited). Both investments are held as Available-For-Sale as it is the
intention to realise their value as soon as possible.
Prego International Limited is a programme manager for the issuance of Prepaid
MasterCards, targeted at migrant workers in the Far East and Europe, with an
initial concentration in the case of Europe on Norway and the Scandinavian
countries. Prego's development has been slower than we originally hoped but we
remain convinced of the company's prospects for eventual success. Prego's
intention remains to list its shares at the earliest opportunity and, in the
meantime has raised tranches of new investment at various prices, the latest
being at 1.75 per share. The Company's investment in Prego is valued at GBP
314,000 which is the price at which BWA last sold a small part of its holding.
Mineralfields Group Limited is the holding company of a small group which is in
the process of obtaining mining licences in Cameroon. This company is also at
an early stage but is attracting interest. The Company's holding in
Mineralfields has been valued at 0.1p per share which is the price at which
shares were last issued by the company and which accounts for the value
attributed to them in these accounts of GBP293,000. Progress at the company has
been severely hampered by delays in the Cameroon authorities issuing the
licences, a situation in which other licence applicants find themselves. The
company continues to persevere patiently to obtain the necessary signatures.
The Board is hopeful that these two investments will yield a return over the
medium term having obtained the additional finance they will require, obtained
market listings or been the subject of trade sales.
In spite of the setback caused by the withdrawal of the target "acquisition
company" last year, the Board continues to search vigorously for a suitable
reverse acquisition to enable BWA to move forward.
Richard Battersby
Chairman
For further information, please contact:
BWA Group Plc
Richard Battersby (Non-Executive Chairman)
07836 238 172
Peterhouse Corporate Finance Limited
Mark Anwyl or Duncan Vasey
020 7469 0930
INCOME STATEMENT FOR THE YEAR ENDED 30 APRIL 2016
2016 2015
GBP GBP
TURNOVER 225,311 -
Cost of sales 136,483 -
________ ________
GROSS PROFIT 88,828 -
Administrative expenses 65,115 34,510
________ ________
OPERATING PROFIT/(LOSS) 23,713 (34,510)
Interest receivable and similar - 2
income
23,713 (34,508)
Amounts written off investments - 185,000
________ ________
PROFIT/(LOSS) ON ORDINARY ACTIVITIES 23,713 (219,508)
BEFORE TAXATION
Tax on profit/(loss) on ordinary - -
activities
________ ________
PROFIT/(LOSS) FOR THE FINANCIAL YEAR 23,713 (219,508)
________ ________
Earnings per share expressed
in pence per share:
Basic 0 -0.2
Diluted 0 -0.2
OTHER COMPREHENSIVE INCOME FOR THE YEAR ENDED 30 APRIL 2016
2016 2015
Notes GBP GBP
PROFIT/(LOSS) FOR THE YEAR 23,713 (219,508)
OTHER COMPREHENSIVE INCOME
Unrealised gain/(loss) on revaluation
of
investments 453 318,270
Impairment of A-F-S financial assets - 185,000
Income tax relating to components of - -
other comprehensive income
________ ________
OTHER COMPREHENSIVE INCOME FOR THE 453 503,270
YEAR, NET OF INCOME TAX
________ ________
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 24,166 283,762
BALANCE SHEET
2016 2015
GBP GBP GBP GBP
FIXED ASSETS
Available-for-sale financial 618,477 633,024
assets
CURRENT ASSETS
Debtors 20,125 8,987
Cash at bank 48,357 2,599
________ ________
68,482 11,586
CREDITORS
Amounts falling due within one 106,413 105,276
year
________ ________
NET CURRENT LIABILITIES (37,931) (93,690)
________ ________
TOTAL ASSETS LESS CURRENT
LIABILITIES
580,546 539,334
________ ________
CAPITAL AND RESERVES
Called up share capital 560,788 560,788
Share premium 12,663 12,663
A-F-S revaluation reserve 618,087 617,634
Capital redemption reserve 288,625 288,625
Retained earnings (899,617) (940,376)
________ ________
SHAREHOLDERS' FUNDS 580,546 539,334
The Company's audited accounts for the year ended 30 April 2016 contain the
following statement by the Company's auditors:
"Emphasis of matter
Valuation of unlisted investments
We draw attention to Note 3 'Basis of preparation' which describes the
uncertainty surrounding management's assessment of the market value of certain
unlisted investments that may have an impact on the carrying amount of this
asset recorded in the Company's balance sheet as at 30 April 2016.
Going concern
We draw attention to Note 3 'Basis of preparation'. The Company's current
liabilities exceeded its current assets by GBP37,931 as at 30 April 2016 which,
along with the other matter relating to the valuation of investments explained
in note 3 to the financial statements, indicates the existence of a material
uncertainty which may cast significant doubt about the Company's ability to
continue as a going concern.
The directors have confirmed their commitment to provide continued financial
support to the Company to enable it to continue as a going concern.
If the Company is unable to continue in operational existence, it may be unable
to discharge its liabilities in the normal course of business and adjustments
may have to be made to reflect the situation that assets may need to be
realised other than in the normal course of business and at amounts which could
differ significantly from the amounts at which they are currently recorded in
the Company's balance sheet. In addition, the Company may have to reclassify
non-current assets and liabilities as current assets and liabilities. No such
adjustments have been made to the financial statements.
Our opinion is not qualified in respect of the matters mentioned above."
The Directors do not recommend the payment of a dividend.
The information above has been extracted from BWA's audited accounts for the
year ended 30 April 2016.
The Directors of BWA are responsible for the contents of this announcement.
END
(END) Dow Jones Newswires
September 29, 2016 11:57 ET (15:57 GMT)