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| Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
|---|---|---|---|---|---|
| Sacoven | LSE:SCN | London | Ordinary Share | JE00B7YH8W36 | SHS 0.1P |
| Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.00 | 0.00% | 112.50 | 0.00 | 01:00:00 |
| Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
|---|---|---|---|---|---|
| 0 | 0 | N/A | 0 |
From May 2019 to May 2024
TIDMSCN
RNS Number : 7133I
Sacoven PLC
11 December 2015
Sacoven Plc
(Incorporated in Jersey under the Companies (Jersey) Law 1991)
(Company number 110296)
AIM Share code: SCN
JSE Share code: SCV
ISN: JE00B7YH8W36
(the "Company")
Interim Report and Financial Statements
The Company announces its interim results for the period 1 April 2015 to 30 September 2015
Directors' report for the period 1 April 2015 to 30 September 2015
The board of directors (the "Board" or "Directors") present their interim report and financial statements for the period from 1 April 2015 to 30 September 2015. The interim report and financial statements have not been audited.
Incorporation
Sacoven plc (the "Company") is a public limited company incorporated on 16 March 2012 in Jersey, Channel Islands. The Company was re-registered as a public company from a private company and adopted new memorandum and articles of association on 17 May 2012 (the "Articles"). The Company was listed on the AIM market of the London Stock Exchange on 8 June 2012, and has obtained a secondary listing on the AltX of the JSE Limited with effect from 12 September 2014.
Principal Activities
The Company is a holding company formed to acquire a company, business or group of businesses or asset(s) in either the natural resources or the consumer goods sectors where Vasari Global Limited (the "Investment Adviser") and the investment team have significant knowledge, expertise and an extensive network of relationships. The Company raised gross proceeds of GBP6 million on admission and, as appropriate, will look to raise further funds from new and existing shareholders once an acquisition target has been identified and the terms of the acquisition agreed. Any acquisition will be deemed a reverse takeover under the AIM Rules for Companies and will therefore require shareholder approval in a general meeting prior to completion of the acquisition. In terms of the JSE Listing Requirements, any acquisition will require approval by a majority of disinterested Directors and the majority of shareholders in a general meeting.
The Company is advised by the Investment Adviser, utilising the investment team whom the Directors believe have extensive experience and knowledge of investments in both the natural resources and the consumer goods sectors. The Board is responsible for the Company's objectives and business strategy and its overall supervision. The Company has outsourced most of its operating functions, including the identification and assessment of acquisition opportunities and the structuring and execution of the acquisition, to the Investment Adviser. The Investment Adviser may, in turn, delegate some of those outsourced operating functions to various consultants or third party advisers. The investment team are directors and/or employees of the Investment Adviser through which they will provide their services.
The Company intends to focus on those opportunities where it believes the investment team has specific insights and can add long-term value. In addition, the Company believes it will be well placed to compete for any potential acquisition given the knowledge, experience and reputation of the investment team and its ability to structure deals innovatively and efficiently for both the Company and the vendors in any transaction.
Going Concern Basis
The Directors have concluded that at the time of approving these financial statements of the Company, there is a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future.
Results
The results for the period are set out in the statement of comprehensive income on page 5.
Directors' report for the period 1 April 2015 to 30 September 2015 (continued)
Dividends
The Directors do not propose any dividends in respect of the reporting period.
Directors
The Directors of the Company who served throughout the period and subsequently were:
Ian Christopher Crosby
Mark Haynes Daniell - Chairman
Samuel Imerman
Hymie Reuvin Levin
Niall Iain McCallum
Secretary
The Secretary of the Company who served throughout the period and subsequently was:
Regal Trustees Limited
Statement of Directors' Responsibilities
The Companies (Jersey) Law 1991 obliges the Directors to require the Company to prepare the financial statements in accordance with applicable law and regulations.
The Company is required to prepare financial statements for each financial period. The financial statements have been prepared in accordance with AIM Rules and JSE Listing Requirements for Companies and in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and in accordance with the provision of International Account Standard ("IAS") 34, Interim Reporting. The financial statements are required to give a true and fair view of the state of affairs of the Company and of the results of the Company for that period. In relation to these financial statements, the Directors are required to:
-- select suitable accounting policies and then apply them consistently; -- make judgements and estimates that are reasonable and prudent;
-- state whether applicable accounting standards have been followed subject to any material departures disclosed and explained in the financial statements; and
-- require the financial statements to be prepared on the going concern basis, unless it is inappropriate to presume that the Company will continue in business.
The Directors are also responsible for requiring the Company to keep proper accounting records which disclose with reasonable accuracy at any time the financial position of the Company and enable them to endeavour to ensure that the financial statements comply with the Companies (Jersey) Law 1991. They are also responsible for endeavouring to safeguard the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud, error and non-compliance with law and regulations.
The Directors confirm that they have complied with the above requirements in relation to the preparation of the financial statements.
Independent Auditors
Grant Thornton Limited have been appointed as auditors.
Statement Of Financial Position
As At 30 September 2015
Hot Features
Premium
Notes 30/09/2015 31/03/2015
GBP GBP
Assets
Current assets
Prepayments and other
receivables 5 24,113 20,570
Cash and cash equivalents 2,784,294 3,007,823
Total assets 2,808,407 3,028,393
------------ ------------
Liabilities and equity
Current liabilities
Other payables and accrued
expenses 6 145,976 47,430
Total liabilities 145,976 47,430
------------ ------------
Equity & reserves
Share capital 7 6,002 6,002
Share premium 8 4,910,690 4,910,690
Founder option 9 6,000 6,000
Retained loss (2,260,261) (1,941,729)
Total equity 2,662,431 2,980,963
Total liabilities and
equity 2,808,407 3,028,393
------------ ------------
Statement Of Comprehensive Income
For The Period 1 April 2015 to 30 September 2015
01/04/2015 01/04/2014 01/04/2014
to to to
30/09/2015 30/09/2014 31/03/2015
Notes GBP GBP GBP
Income - - -
----------- ----------- -----------
Expenses
Investment advisory
fees 10 225,000 225,000 450,000
Directors' fees 10 37,500 37,500 75,000
Administration
fees 10 17,500 17,500 50,000
Insurance 3,962 3,955 7,898
Insurance adjustment
prior year - (7,535) (7,535)
Nominated adviser
and broker fees 25,000 25,000 50,994
Registrar fees 5,334 3,750 8,937
London stock exchange
fees - 3,025 7,445
JSE stock exchange
listing 1,734 - 72,948
Legal and professional
fees - 26,011 12,932
Travel expenses 1,411 - 1,142
Other expenses - 476 -
Audit fees 5,000 4,000 10,000
GST fees - - 200
Annual return
fees - - 150
Webhosting 240 240 240
Bank charges 591 630 1,386
Foreign exchange (9) - -
movement
----------- ----------- -----------
323,263 339,552 741,737
----------- ----------- -----------
Operating loss (323,263) (339,552) (741,737)
Other income
Bank interest
income 4,731 5,531 10,847
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----------- ----------- -----------
Loss before tax (318,532) (334,021) (730,890)
Tax on ordinary 3 - - -
activities
----------- ----------- -----------
Total comprehensive
loss for the period
/ year (318,532) (334,021) (730,890)
----------- ----------- -----------
Basic loss per
share 17 (0.053) (0.056) (0.122)
----------- ----------- -----------
Diluted loss per
share 17 (0.026) (0.028) (0.061)
----------- ----------- -----------
Statement Of Changes In Equity
For The Period 1 April 2015 to 30 September 2015
Notes Share Share Founder Retained Total
capital premium option loss
GBP GBP GBP GBP GBP
As at 1 April
2015 6,002 4,910,690 6,000 (1,941,729) 2,980,963
Total comprehensive
loss
for the year - - - (318,532) (318,532)
-------- ---------- -------- ------------ ----------
At 30 September
2015 6,002 4,910,690 6,000 (2,260,261) 2,662,431
-------- ---------- -------- ------------ ----------
For The Period 1 April 2014 to 30 September 2014
Notes Share Share Founder Retained Total
capital premium option loss
GBP GBP GBP GBP GBP
As at 1 April
2014 6,002 4,910,690 6,000 (1,210,839) 3,711,853
Total comprehensive
loss
for the year - - - (334,021) (334,021)
-------- ---------- -------- ------------ ----------
At 30 September
2014 6,002 4,910,690 6,000 (1,544,860) 3,377,832
-------- ---------- -------- ------------ ----------
For The Year Ended 31 March 2015
Notes Share Share Founder Retained Total
capital premium option loss
GBP GBP GBP GBP GBP
As at 1 April
2014 6,002 4,910,690 6,000 (1,210,839) 3,711,853
Total comprehensive
loss
for the year - - - (730,890) (730,890)
-------- ---------- -------- ------------ ----------
At 31 March
2015 6,002 4,910,690 6,000 (1,941,729) 2,980,963
-------- ---------- -------- ------------ ----------
Statement Of Cash flows
For The Period 1 April 2015 to 30 September 2015
Notes 01/04/2015 01/04/2014 01/04/2014
to to to
30/09/2015 30/09/2014 31/03/2015
GBP GBP GBP
Cash flows from
operating activities
Operating loss (323,263) (339,552) (741,737)
Adjustments for
changes in:
Prepayments and
receivables (3,543) (11,603) (5,556)
Other payables and
accrued expenses 98,546 108,944 11,305
--------------- ----------- -----------
Net cash outflow
from operating activities (228,260) (242,211) (735,988)
--------------- ----------- -----------
Cash flows from
investing activities
Bank interest received 4,731 5,531 10,847
--------------- ----------- -----------
Net cash received
from investing activities 4,731 5,531 10,847
--------------- ----------- -----------
Net change in cash
and cash equivalents (223,529) (236,680) (725,141)
Opening cash and
cash equivalents 3,007,823 3,732,964 3,732,964
--------------- ----------- -----------
Cash and cash equivalents
at the end of the
year 2,784,294 3,496,284 3,007,823
--------------- ----------- -----------
Notes To The Financial Statements
For The Period 1 April 2015 to 30 September 2015
1. General Information
The Company is a public limited company incorporated on 16 March 2012 in Jersey, Channel Islands. The Company was re-registered as a public company from a private company and adopted new memorandum and articles of association on 17 May 2012. The Company was listed on the AIM market of the London Stock Exchange on 8 June 2012, and has obtained a secondary listing on the AltX of the JSE on 12 September 2014.
The interim financial statements have not been audited.
2. Principal accounting policies 2.1 Basis of preparation
The financial statements of the Company have been prepared in accordance with the AIM Rules and JSE Listing Requirements and in accordance with International Financial Reporting Standards ("IFRS") as issued by the IASB and interpretations issued by the International Financial Reporting Interpretations Committee. The financial statements have been prepared in accordance with International Accounting Standard ("IAS") 34, Interim Reporting and consistent standards in the annual financial statements on a historical cost basis.
2.2 Summary of significant accounting policies
The preparation of financial statements in conformity with IFRS requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Directors believe that the estimates utilised in preparing the financial statements are reasonable and prudent, and that such estimates and assumptions are immaterial in nature and have no significant impact on the results reported in the financial statements. The financial statements have been prepared on the going concern basis.
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all of the period(s)/ year(s) presented, unless otherwise stated.
Standards, interpretations and amendments to published standards effective in 2015
In 2015, the Company adopted all new standards, amendments and interpretations to existing standards that are mandatory for the Company's accounting year beginning on 1 April 2015. This included the Annual Improvements 2011-2013 cycle which is effective for the current year.
Standards, amendments and interpretations to existing standards that are not yet effective and have not been adopted early by the Company
At the date of authorisation of these financial statements, certain new standards, amendments and interpretations to existing standards have been published by the IASB but are not yet effective, and have not been adopted early by the Company.
Management anticipates that all of the relevant pronouncements will be adopted in the Company's accounting policies for the first period beginning after the effective date of the pronouncement. Information on new standards, amendments and interpretations that are expected to be relevant to the Company's financial statements is provided below. Certain other new standards and interpretations have been issued but are not expected to have a material impact on the Company's financial statements.
IFRS 9 Financial Instruments
The IASB completed the final element of its comprehensive response to the financial crisis with the publication of IFRS 9 Financial Instruments in July 2014. The package of improvements introduced by IFRS 9 includes a logical model for classification and measurement, a single, forward-looking 'expected loss' impairment model and a substantially-reformed approach to hedge accounting.
The IASB has previously published versions of IFRS 9 that introduced new classification and measurement requirements (in 2009 and 2010) and a new hedge accounting model (in 2013). The July 2014 publication represents the final version of the Standard, replaces earlier versions of IFRS 9 and completes the IASB's project to replace IAS 39 Financial Instruments: Recognition and Measurement.
IFRS 9 is effective for annual periods beginning on or after 1 January 2018. The Company is yet to assess IFRS 9's full impact and intends to adopt IFRS 9 no earlier than 1 January 2018.
IAS 1 - Disclosure Initiative
The Amendments represent the first authoritative output from the IASB's Disclosure Initiative project. The Amendments themselves are designed to further encourage companies to apply professional judgment in determining what information to disclose in their financial statements. Furthermore, the Amendments clarify that companies should use judgement in determining where and in what order information is presented in the financial disclosures.
The Amendments:
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- Clarify the materiality requirements in IAS 1, including emphasis on the potentially detrimental effect of obscuring useful information with immaterial information.
- Clarify the IAS 1's specified line items in the statement(s) of profit or loss and other comprehensive income and the statement of financial position can be disaggregated.
- Add requirements for how an entity should present subtotals in the statement(s) of profit or loss and other comprehensive income and the statement of financial position.
- Clarify that entities have flexibility as to the order in which they present the notes, but also emphasise that understandability and comparability should be considered by an entity when deciding that order.
- Remove potentially unhelpful guidance in IAS 1 for identifying a significant accounting policy.
IAS 1: Disclosure Initiative is effective for annual periods on or after 1 January 2016.
Management does not anticipate a material impact on the Company's financial statements.
(i) Financial instruments
Classification
The Company classifies its financial assets and financial liabilities in accordance with IAS 39, Financial Instruments: Recognition and Measurement.
Receivables
Receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market.
Other financial liabilities
Financial liabilities that are not at fair value through profit or loss include other short term operating expenses payable. In the opinion of the Directors, the carrying amounts of other financial liabilities not measured at fair value through profit or loss are approximate to their fair value.
Recognition
The Company recognises a financial asset or financial liability when, and only when, it becomes a party to a contractual agreement.
Initial and subsequent measurement
Receivables and other financial liabilities are initially recognised at fair value and subsequently at amortised cost using the effective interest rate method.
De-recognition
A financial asset or part of a financial asset is de-recognised where:
- The rights to receive cash flows from the asset have expired; - Substantially all risks and rewards of the asset have been transferred.
The Company derecognises a financial liability when the obligation under the liability is discharged, cancelled or expired.
(ii) Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and demand deposits, and other short term highly liquid investments that are readily convertible to a known amount of cash and are subject to insignificant risk of changes in value.
(iii) Going concern basis
The Directors have concluded that at the time of approving the financial statements of the Company there is a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future.
(iv) Income
Income consists of bank interest income accounted for on an accruals basis.
(v) Expenses
Expenses are accounted for on an accruals basis.
(vi) Foreign currencies
Functional and presentation currency
The functional currency of the Company is pounds sterling and this is also the presentational currency of the Company.
Transactions and balances
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the date of the transactions or an average rate as an approximation. Foreign currency monetary assets and liabilities are translated into the functional currency at the closing exchange rate at the end of the reporting period.
Gains and losses
Any foreign exchange gains and losses on financial assets and financial liabilities are included in theStatement of Comprehensive Income in the period in which they arise.
(vii) Related parties
Related parties are entities which have the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. The related parties of the Company are disclosed in note 10.
3. Taxation
The Company is classified under Article 123C of the Income Tax (Jersey) Law 1961, as amended, as a Jersey resident company which is neither a 'utility company' nor a 'financial services company' and as such is charged Jersey income tax at the rate of 0%.
A Jersey goods and services tax ("GST") applies at a standard rate of 5% on the majority of goods and services supplied in Jersey for local use or benefit. The Company has obtained International Services Entity status under the Goods and Services Tax (Jersey) Law 2007. In connection with its International Services Entity status the Company pays an annual fee to the Comptroller of Income Tax in Jersey, which is currently fixed at GBP200. As an International Services Entity the Company is not required to charge GST and in most situations will not be subject to a GST charge on goods and services provided to it.
4. Segmental reporting
The Directors are of the opinion that the Company is engaged in a single segment of business, as such no segmental reporting information has been presented.
5. Prepayment and other receivables
30/09/2015 31/03/2015
GBP GBP
Prepayments 24,111 20,568
Other debtors 2 2
----------- -----------
24,113 20,570
----------- -----------
6. Other payables and accrued expenses
30/09/2015 31/03/2015
GBP GBP
Investment advisory fees 112,500 -
Administration fees 8,750 8,750
Directors fees 18,750 18,750
Audit fees 5,000 10,000
Registrar fees 839 625
Stock exchange fees - 434
Legal and professional 21 21
JSE stock exchange listing 116 8,850
----------- -----------
145,976 47,430
----------- -----------
7. Share capital
30/09/2015 31/03/2015
Units Units
Authorised share capital
Non-redeemable ordinary
shares of GBP1 each 2 2
Unclassified shares of GBP0.001
each 59,999,998,000 59,999,998,000
--------------- ---------------
GBP GBP
Issued and fully paid up
share capital
2 non-redeemable ordinary
shares of GBP1 each 2 2
6,000,001 unclassified shares
of GBP0.001 each 6,000 6,000
------ ------
6,002 6,002
------ ------
On 15 May 2012 the 2 ordinary shares of GBP1 each in the issued share capital of the Company were redesignated as non-redeemable ordinary shares of GBP1 each having the rights and being subject to the restrictions set out in the Articles adopted by the Company on 17 May 2012.
Each of the 998 ordinary shares of GBP1 each in the unissued (but authorised) share capital of the Company was subdivided into 1,000 ordinary shares of GBP0.001 each and then all such ordinary shares of GBP0.001 each were redesignated as unclassified shares of GBP0.001 each that may from time to time (and in accordance with the Articles) be issued as, or redesignated or converted into, shares (whether or not redeemable from time to time) and, in each case having the rights and being subject to the restrictions specified in the Articles adopted by the Company on 17 May 2012.
The authorised share capital of the Company was increased from GBP1,000 divided into 2 non-redeemable ordinary shares of GBP1 each and 998,000 unclassified shares of GBP0.001 each to GBP60,000,000 divided into 2 non-redeemable ordinary shares of GBP1 each and 59,999,998,000 unclassified shares of GBP0.001 each by the creation of an additional 59,999,000,000 unclassified shares of GBP0.001 each that may from time to time (and in accordance with the Articles) be issued as, or redesignated or converted into, shares (whether or not redeemable from time to time) and, in each case having the rights and being subject to the restrictions specified in the Articles.
Brunswood International Holdings Limited the "Founder" owns 100% of the non-redeemable ordinary shares and 50% of the ordinary shares in issue. The Founder has no ultimate controlling party and therefore the Company has none either.
8. Share premium
30/09/2015 31/03/2015
GBP GBP
6,000,001 unclassified shares
issued at a premium of GBP0.999 5,994,001 5,994,001
Less: transaction cost (1,083,311) (1,083,311)
------------ ------------
4,910,690 4,910,690
------------ ------------
9. Founder option
30/09/2015 31/03/2015
GBP GBP
Founder option 6,000 6,000
----------- -----------
Brunswood International Holdings Limited (the "Founder") has purchased an option for GBP6,000 (the "Founder Option"). The Founder Option gives the founder the right, from admission up to completion of any acquisition, to subscribe for a further 6,000,000 shares for GBP0.999 per share.
10. Related party disclosures
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The Company has a number of related parties, the transactions with the related parties are detailed below:
Administration fees
Fees are payable to Regal Trustees Limited for administration services, Ian Crosby and Niall McCallum are directors of Regal Trustees Limited and of the Company. The amount payable by the Company for the period was GBP17,500 (six months ended 30/09/2014: GBP17,500; 2015: GBP50,000) for administration and GBP12,500 (six months ended 30/09/2014: GBP12,500; 2015: GBP25,000) for directors' fees, of this GBP15,000 (2015: GBP15,000) remained unpaid at the period end.
Directors
In addition to the amounts payable to Regal Trustees Limited, Samuel Imerman and Hymie Levin were paid directors fees of GBP6,250 each (six months ending 30/09/2014: GBP6,250; 2015: GBP12,500) and Mark Daniell was paid directors fees of GBP12,500 (six months ending 30/09/2014: GBP12,500; 2015: GBP25,000). At the period end GBP12,500 (2015: GBP12,500) remained unpaid.
Shareholdings
The Founder and the Investment Adviser are beneficially owned and are under the common control of the trustees of trusts established for the benefit of certain members of the Imerman family (the "Family Trusts").
The Founder holds 3,000,001 shares (2015: 3,000,001 shares) in the Company.
Samuel Imerman is the settlor and a protector of the Family Trusts and Hymie Levin is a protector of the Family Trusts.
Separately, Ian Crosby and Niall McCallum are employees of Stonehage Fleming Group Services (Jersey) Limited ("Stonehage Fleming"), formerly known as Stonehage Group Services (Jersey) Limited a member of the Stonehage Fleming group of companies who act as trustees of the Family Trusts. Ian Crosby and Niall McCallum do not, however, have any connection with the role that Stonehage Fleming carry out as trustees of the Family Trusts and, as such, the other directors of the Company are satisfied that they are "independent" directors of the Company.
In accordance with the investment advisory agreement, the Investment Adviser is entitled to receive fees of GBP450,000 per annum payable quarterly in arrears. During the period, the amount payable to the Investment Adviser was GBP225,000 (six months ended 30/09/2014: GBP225,000; 2015: GBP450,000) in respect of the quarterly retainer fee, at the period end GBP112,500 (2015: GBPnil) remained outstanding.
11. Commitments and contingencies
The Company has issued 100 warrants to the Founder (the "Founder Warrants"). The Founder Warrants entitle the Founder in respect of every one warrant held to subscribe for such number of shares as shall equal 0.1 per cent of the share capital of the Company on a fully diluted basis following completion of an acquisition until the last business day of the month following the month in which an acquisition was completed for an amount equal to the par value of those shares issued.
The Company has issued an option to the Founder as disclosed in note 9.
12. Ultimate controlling party
No single party is considered to be the ultimate controlling party.
13. Financial risk management
Overview
The Company has exposure to a number of business risks. The Board has overall responsibility for the Company's risk management arrangements. The Company may be exposed to market risk, credit risk and liquidity risk.
This note presents information on the Company's exposure to each of the above risks, the Company's objectives, policies and processes for measuring and managing risk and the management of the Company's capital.
a) Market risk
Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: price risk, interest rate risk and currency risk.
(i) Price risk
Price risk is the risk that the market prices move unfavourably and that the fair value of future cash flows that are based on the market will fluctuate due to changes in the market prices. The Company is not currently exposed to price risk.
(ii) Interest rate risk
Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates.
Cash flow interest rate risk arises on cash balances held. The Directors have determined that a fluctuation in interest rate of 50 basis points is reasonably possible. An increase in 50 basis points in interest rates as at the reporting date would have increased the profit for the period by GBP13,921 (2015: GBP15,039), a decrease of 50 basis points would have an equal but opposite effect. The analysis assumes that all other variables remain constant.
(iii) Currency risk
Currency risk is the risk that currency exchange rates move unfavourably and the assets that the Company owns in currencies other than its functional currency decrease in value due to exchange rate movements.
The Company's functional and presentational currency is pounds sterling, the Company currently has no assets and no liabilities in currencies other than pounds sterling and is therefore not exposed to currency risk.
b) Credit Risk
Credit risk is the risk that a counterparty of a financial instrument will fail to discharge an obligation or commitment that it has entered into with the Company.
Credit risk arises mainly from cash deposits, cash equivalents and accrued income. The Company only deposits cash with major banks with high quality credit standing, this ensured through monitoring credit worthiness of the bank using data available from Standard and Poor's. The Company reviews its cash positions and ensures it limits exposure to any one counterparty.
All banks, custodians and brokers with which the Company will be doing business, may encounter financial difficulties that impair the operational capabilities or capital position of the Company.
The carrying amount of financial assets represents the Company's maximum exposure to credit risk. The maximum exposure of each class of financial asset are as follows:
30/09/2015 31/03/2015
GBP GBP
Other receivables 2 2
Cash and cash equivalents 2,784,294 3,007,823
----------- -----------
2,784,296 3,007,825
----------- -----------
c) Liquidity risk
Liquidity risk is the risk that the Company fails to maintain adequate levels of financial resources to enable it to meet its financial obligations as they fall due. Liquidity risk arises because of the possibility that the Company could be required to pay its liabilities earlier than expected or because of any inability to realise assets in order to meet obligations as they fall due or is only able to realise assets by suffering financial loss.
The Company's liquidity risk derives from the need to have sufficient funds available to cover future commitments. The Company manages liquidity risk through an ongoing review of future cash requirements. Cash flow forecasts are compared to cash available.
The carrying amount of financial liabilities represents the Company's maximum exposure to liquidity risk. The maximum exposure of each class of financial liability are as follows:
30/09/2015 31/03/2015
GBP GBP
Other payables and accrued
expenses 145,976 47,430
----------- -----------
145,976 47,430
----------- -----------
14. Capital risk management
The share capital and share premium is considered to be the capital of the Company. The Company must maintain sufficient financial resources, in the opinion of the Directors to meet its commitments. The Directors monitor the capital of the Company to ensure that the Company continues as a going concern whilst ensuring optimal return for the shareholders.
15. Employees
The Company had no employees during the period other than the Directors.
16. Events after the reporting period
At the Annual General Meeting ("AGM") of the Company on 30 October 2015 the Directors approved the extension of the Company's investment period for an additional year, until the 2016 AGM.
17. Basic / headline loss per share
Basic / headline loss per share is calculated by dividing the net profit attributable to shareholders by the weighted average number of ordinary shares outstanding during the year.
30/09/2015 31/03/2015
GBP GBP
Net loss attributable to
shareholders (318,532) (730,890)
Weighted average number
of shares in issue 6,000,001 6,000,001
Basic loss per share (0.053) (0.122)
Should the Founder Option have exercised a further 6,000,000 shares would be in issue diluting the loss and headline loss per shares, the basic / headline loss per share would have been GBP (0.0265) (2015: GBP (0.0609)).
The headline and diluted headline loss per share are the same as the loss per share and diluted loss per share.
Sacoven Plc has a primary listing on the Alternative Investment Market of the London Stock Exchange and a secondary listing on the AltX of the Johannesburg Stock Exchange.
10 December 2015
Enquires:
For further information, please visit the Company's website www.sacoven.com or contact:
Sacoven PLC Niall McCallum
+44 (0)1534 823000
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