RNS Number : 0792O
Catenae Innovation PLC
29 September 2023
 

29 September 2023

Catenae Innovation PLC

("Catenae", the "Company" or the "Group")

 

Half Year Results

Convertible Loan Update

 

 

Catenae Innovation PLC (AIM: CTEA), the AIM quoted provider of digital media and technology, announces its half-yearly report for the six months ended 30 June 2023.

 

As this is the first six months since the change of the year-end to 31 December, comparative figures are for the six months to 31 March 2022.

 

Financial overview

 

·    Loss of £185,267 in the period under review (2022: £287,168) with revenues of £22,173 (2022: £17,500).

·    Net (liability)/asset position £(314,846) (2022: £110,033).

 

Post period end

 

·    As announced on 6 September 2023, the Company's 51% subsidiary ceased trading due to losses incurred.

 

The Company continues to carefully manage its working capital position.

 

Convertible Loan Update

 

As announced on 30 September 2022, the Company entered into an agreement for a convertible loan facility for up to £250,000 ("Convertible Loan") with Sanderson Capital Partners Limited ("Sanderson Capital"), which consists of an initial drawdown of £125,000 followed by a further drawdown expected three months thereafter.

 

As at 30 June 2023, an advance of £30,000 had been received against the £125,000 and no shares or warrants issued. As at 28 September 2023, a total advance of £61,000 had been received against the £125,000 and no shares or warrants have been issued.

 

At each £125,000 drawdown, the Company will issue new ordinary shares to Sanderson Capital equal to 10 percent of the drawdown value at an issue price of the 10-day volume weighted average price prior to the date of drawdown. A further announcement will be made on the date of each drawdown event.

 

Sanderson Capital will be able to convert part or all of the Convertible Loan facility in minimum increments of £5,000, with the conversion price being fixed at the lower of i) 0.25p; or ii) 90% of the 5-day volume weighted average price from the first day of dealings of the Company's restoration to trading on AIM. The Convertible Loan facility is interest-free.

 

As part of the Convertible Loan facility agreement, Sanderson Capital will be issued new ordinary shares and a warrant over new ordinary shares in the Company, of which the issue price and exercise price is 0.25 pence per share, being the closing mid-price of the Company's ordinary shares on 30 September 2022, the  first day of dealings following the release of the Company's final results for the year ended 30 September 2021, and the interim results for the period ended 31 March 2022 which enabled the lifting of the suspension and restoration to trading of the Company's ordinary shares on AIM.

 

The new ordinary shares and warrants over new ordinary shares will be issued after the next general meeting of the Company and a further announcement setting out the details will be made at the time of issue.

 

This announcement contains inside information for the purposes of the UK Market Abuse Regulation. The person who arranged for release of this announcement on behalf of the Company was Guy Meyer, Chief Executive Officer of the Company and the Directors of the Company are responsible for the release of this announcement.

 

 

For further information please contact:

 

Catenae Innovation PLC

+44 (0)191 580 8545

Guy Meyer, Chief Executive Officer




Cairn Financial Advisers LLP (Nominated Adviser)

+44(0)20 7213 0880

Liam Murray / Jo Turner




Shard Capital Partners LLP (Broker)

+44 (0)20 7186 9952

Damon Heath








 

 

 

Notes to Editors:

 

About Catenae Innovation PLC

Catenae Innovation is an AIM quoted provider of digital media and technology services. The Company specialises in Distributed Ledger Technology solutions that solve commercial challenges and create opportunities for its clients. The Company has an experienced IT team of project managers and integrators who have deployed systems across corporate, government and educational sectors.

 

www.catenaeinnovation.com

 

 

 



 

Consolidated Statement of Comprehensive Income

For the Period Ended 30 June 2023

 

 

Unaudited

six months ended

30 June

2023

 

£

Unaudited

six months ended

31 March

2022

 

£

Audited

year

ended

31 December

2022

 

£

 

Revenue

 

22,173

 

17,500

 

152,437

 

Cost of sales

 

(2,315)

 

(6,000)

 

(12,600)

 

Gross profit

 

19,858

 

11,500

 

139,837

 

Administrative expenses

 

(205,125)

 

(298,668)

 

(667,002)

 

 




 

Loss from operations

 

(185,267)

 

(287,168)

 

(527,165)

 

Net Finance income/(expense)

 

-

 

-

 

-

 




 

Loss before taxation

 

(185,267)

 

(287,168)

 

(527,165)

 

Taxation

 

-

 

-

 

3,668

 

Total comprehensive loss for the year

 

(185,267)

 

(287,168)

 

(523,497)


 

 


Loss attributable to:

 

 


Owners of the parent                               

(183,023)

(280,260)

(514,695)

Non-controlling interest

(2,244)

(6,908)

(8,802)

 

 

 



 

Consolidated Statement of Financial Position

 For the Period Ended 30 June 2023 

 

 



Unaudited

six months

ended

30 June

2023

 

£

Unaudited

six months

ended

31 March

2022

 

£

Audited

year

ended

31 December

2022

 

£

Non-current assets


 

 

 

Tangible Assets


4,345

6,518

5,431

Intangible assets


1

1

1



4,346

6,519

5,432

 

Current assets

 

 




Trade and other receivables


17,893

30,514

81,913

Cash and cash equivalents


2,015

337,183

65,443



19,908

367,697

147,356

Current liabilities





Trade and other payables


(339,100)

(264,183)

(279,086)



(339,100)

(264,183)

(279,086)



 

 

 

Non-current liabilities


 

 

 

Interest-bearing loans


-

-

-

Total Liabilities


(339,100)

(264,183)

(279,086)



 

 

 

Net Assets/(Liabilities)


(314,846)

110,033

(126,298)






Non-controlling Interest


472

4,611

2,716

 

Capital and reserves attributable to equity holders of the company





Ordinary share capital


570,078

570,078

570,078

Deferred share capital


3,159,130

3,159,130

3,159,130

Share premium account


19,665,457

19,665,457

19,665,457

Share reserve


(83,333)

(83,333)

(83,333)

Merger reserve


11,119,585

11,119,585

11,119,585

Capital Redemption Reserve


2,732,904

2,732,904

2,732,904

Retained losses


(37,479,139)

(37,058,399)

(37,292,835)

 

Total Equity


 

(314,846)

 

110,033

 

(126,298)

 

 

 

 

 

 

 



 

Consolidated Statement of Cash Flows

For the Period Ended 30 June 2023 

 


Unaudited

six months

ended

30 June 2023

 

£

Unaudited

six months

ended

31 March 2022

 

£

Audited

year

ended

31 Dec 2022

 

£

 

Loss for the period

 

(185,267)

 

(287,168)

 

(523,497)

Adjustments for:




Impairment of investments

-

-

-

Depreciation

1,086

-

1,810

 

Net (loss) before changes in working capital

 

 

(184,181)

 

 

(287,168)

 

 

(521,687)

(Increase) / decrease in trade and other receivables

 

64,019

 

15,034

 

(36,677)

(Decrease) / increase in trade and other

payables

 

56,734

 

(11,038)

 

3,865

 

Cash from operations

 

(63,428)

 

(283,172)

 

(554,499)

 

Interest received

 

-

 

-

 

-

Interest paid

-

-

-

Net cash flows from operating activities

 

(63,428)

 

(283,172)

 

(554,499)

 

Investing activities

 

 

 

Purchase of plant and equipment

-

-

(413)

Net cash flows from investing activities

 

-

 

-

 

(413)

 

Financing Activities



 

Issue of ordinary share capital

-

15,273

15,273

Repayment of loans

-

-

-

New loans raised

-

-

-

Net cash flows from financing activities

 

-

 

15,273

 

15,273





 

Net increase / (decrease) in cash

 

(63,428)

 

(267,899)

 

(539,639)

Cash and cash equivalents at beginning of period

 

65,443

 

605,082

 

605,082

Cash and cash equivalents at end of period

 

2,015

 

337,183

 

65,443

 



Company Statement of Financial Position

For the Period Ended 30 June 2023  

 

 



Unaudited

six months

ended

30 June

2023

 

£

Unaudited

six months

ended

31 March

2022

£

Audited

year

ended

31 December

2022

 

£

Non-current assets


 

 

 

Intangible assets


1

1

1



1

1

1

 

Current assets

 

 




Trade and other receivables


13,864

24,242

74,745

Cash and cash equivalents


99

332,209

61,922



13,963

356,451

136,667

Current liabilities





Trade and other payables


(366,493)

(255,828)

(308,508)



(366,493)

(255,828)

(308,508)



 

 

 

Non-current liabilities


 

 

 

Interest-bearing loans


-

-

-

Total Liabilities


(366,493)

(255,828)

(308,508)



 

 

 

Net Assets/(Liabilities)


(352,529)

100,624

(171,840)






 

Capital and reserves attributable to equity holders of the company





Ordinary share capital


570,078

570,078

570,078

Deferred share capital


3,159,130

3,159,130

3,159,130

Share premium account


19,665,457

19,665,457

19,665,457

Share reserve


(83,333)

(83,333)

(83,333)

Merger reserve


11,119,585

11,119,585

11,119,585

Capital Redemption Reserve


2,732,904

2,732,904

2,732,904

Retained losses


(37,516,350)

(37,063,197)

(37,335,661)

 

Total Equity


 

(352,529)

 

100,624

 

(171,840)

 

 

 

 

 

 

 

 



 

Company Statement of Cash Flows

For the Period Ended 30 June 2023 

 


Unaudited

six months

ended

30 June 2023

 

£

Unaudited

six months

ended

31 March 2022

 

£

Audited

year

ended

31 Dec 2022

 

£

 

Loss for the period

 

(180,690)

 

(273,069)

 

(545,533)

Adjustments for:

Impairment of investment



 

-

 

Net (loss) before changes in working capital

 

 

(180,690)

 

 

(273,069)

 

 

(545,533)

(Increase) / decrease in trade and other receivables

 

60,882

 

20,995

 

(29,509)

(Decrease) / increase in trade and other

payables

 

57,985

 

29,168

 

81,849

 

Cash from operations

 

(61,823)

 

(222,906)

 

(493,193)

 

Interest received

 

-

 

-

 

-

Interest paid

-

-

-

Net cash flows from operating activities

 

(61,823)

 

(222,906)

 

(493,193)

 

Financing Activities



 

Issue of ordinary share capital

-

15,273

15,273

Repayment of loans

-

-

-

New loans raised

-

-

-

Net cash flows from financing activities

 

-

 

15,273

 

15,273





 

Net increase / (decrease) in cash

 

(61,823)

 

(207,633)

 

(477,920)

Cash and cash equivalents at beginning of period

 

61,922

 

539,842

 

539,842

Cash and cash equivalents at end of period

 

99

 

332,209

 

61,922

 

 

 

 

 

 

 

 

 

 

 

Caution regarding forward looking statements

 

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identi?ed by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements re?ect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.

 

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