Sport Capital Group PLC
(“Sport Capital Group” or the “Company”)
Interim Results and Directors' Statement
For the period from 1st January to 30th June 2019
Sport Capital Group announces the unaudited interim results of the for the first half of the current financial year. The financial statements which follow have not been reviewed by the Company’s auditors.
The Company made a pre-tax loss of £73,331 (period ended 30th June 2018 – (£22,396)) resulting in a net loss of £59,361; cash at bank at the period’s end was £21,697 (period ended 30th June 2018 - £48,598). During the period, £60,000 before expenses were raised from the issuance for cash of new shares.
The Company previously announced that, at the beginning of the period under review, it had acquired for a nominal sum a controlling interest in a European professional soccer club and that, on subsequent investigation into the investment, it had decided to exit that investment at no loss to the Company’s capital account. All costs associated with the transaction were settled during the period under review and are reflected in the financial statements presented below. The Directors are satisfied that no residual or contingent liabilities as a result of the Company’s purchase and sale of this investment are liable to arise at a future date.
In August of 2018, the Company announced that it had made an investment Kalahari Key Metals Exploration (Pty) Limited (“KKME”), a battery minerals exploration company, which explores in Botswana for nickel (“Ni.”) and platinum group elements (“PGE”). KKME holds two prospecting licences within the Molopo Farms Complex, a large intrusion with proven potential for Ni. and PGE, straddling the border of Botswana and the Republic of South Africa. During the first half of the current year the Company made a follow-on investment, participating in a capital increase by KKME after positive results from an airborne survey of that company’s licence areas, which was conducted in 2018.
Late in 2018, Mr. John Treacy joined the Board of Sport Capital Group to represent the interests of an incoming shareholder to which the Company had agreed to issue new shares that were allotted in January 2019. With effect from the Company’s last AGM on 28th June 2019, Mr. Treacy stepped down as a Director and I thank him for his contribution. I was able on the same occasion to welcome back to the Board Mr. Mark Jackson.
The Company continues to seek prospective opportunities to this end, several potentially attractive investments are undergoing preliminary analysis and evaluation. The Directors look forward to informing shareholders and the market if, as and when such an opportunity crystallises.
Simon Grant-Rennick,
Chairman and Chief Executive Officer,
London, 23rd July 2019
| Condensed Profit and Loss Account for the year ended 30 June 2019 |
|
|
2019 |
|
30-Jun 2018 |
|
£ |
|
£ |
| Revenue |
10,090 |
|
4,106 |
| Operating expenses |
(78,421) |
|
(25,981) |
| Operating loss |
(68,331) |
|
(21,875) |
| Interest payable |
(5,000) |
|
(521) |
| Loss on ordinary activities before taxation |
(73,331) |
|
(22,396) |
| Corporation tax |
13,970 |
|
- |
| Total comprehensive loss for the period attributable to members |
(59,361) |
|
(22,396) |
| Condensed Balance Sheet |
|
| as at 30 June 2019 |
|
Notes |
2019 |
|
30-Jun 2018 |
Fixed assets |
|
£ |
|
£ |
| Tangible assets |
2 |
204,436 |
|
202,383 |
| Investments |
3 |
65,250 |
|
45,725 |
|
|
269,686 |
|
248,108 |
Current assets
Debtors |
|
65,936 |
|
524 |
| Cash at bank and in hand |
|
21,697 |
|
48,598 |
|
|
87,633 |
|
49,122 |
| Creditors: amounts falling due |
|
|
|
|
| within one year |
|
(117,026) |
|
(106,627) |
| Net current liabilities |
|
(29,393) |
|
(57,505) |
| Net assets |
|
240,293 |
|
190,603 |
Capital and reserves
Called up share capital |
|
118,567 |
|
97,990 |
| Share premium |
|
367,149 |
|
293,098 |
| Profit and loss account |
|
(245,423) |
|
(200,485) |
| Shareholders' funds |
|
240,293 |
|
190,603 |
Condensed Statement of Changes in Equity for the year ended 30 June 2019
|
Share capital |
|
Share premium |
|
Profit and loss
account |
|
Total |
At 1 January 2018 |
£
62,190 |
|
£
174,116 |
|
£
(178,089) |
|
£
58,217 |
| Loss for the period |
- |
|
- |
|
(22,396) |
|
(22,396) |
| Shares issued |
35,800 |
|
118,982 |
|
|
|
154,782 |
| At 30 June 2017 |
97,990 |
|
293,098 |
|
(200,485) |
|
190,603 |
At 1 July 2018 |
97,990 |
|
293,726 |
|
(186,062) |
|
205,654 |
| Loss for the financial year |
- |
|
- |
|
(59,361) |
|
(59,361) |
| Shares issued |
20,577 |
|
73,423 |
|
- |
|
94,000 |
| At 30 June 2019 |
118,567 |
|
367,149 |
|
(245,423) |
|
240,293 |
Sport Capital Group PLC Condensed cash flow statement |
|
|
|
|
| as at 30 June 2019 |
|
|
|
|
|
2019 |
|
30-Jun 2018 |
|
|
£ |
|
£ |
|
| Cashflows from operating activities |
|
|
|
|
| Operating loss |
(73,331) |
|
(22,396) |
|
| Depreciation |
- |
|
2,053 |
|
| Movement in working capital: |
|
|
|
|
| (Increase)/ decrease in trade and other receivables |
(1,763) |
|
19,560 |
|
| (Decrease)/ increase in trade and other payables |
855 |
|
(159,427) |
|
| Cash used in operations |
(74,239) |
|
(160,210) |
|
Investing activities
Payments to acquire investments |
7,840 |
|
45,725 |
|
Financing activities
Loan finance raised |
- |
|
100,000 |
|
| Net share proceeds in period |
94,000 |
|
154,261 |
|
|
94,000 |
|
254,261 |
|
| Increase/(Decrease) in cash and cash equivalents |
11,921 |
|
48,326 |
|
| Cash and cash equivalents at beginning of the period |
9,776 |
|
272 |
|
| Cash and cash equivalents at end of the period |
21,697 |
|
48,598 |
|
1Financial information
The financial information set out above does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006. It has been prepared on a going concern basis in accordance with the recognition and measurement criteria of the IFRS as adopted by the European Union.
The accounting policies used in the preparation of this set of condensed interim financial are consistent with those set out in the Company's annual financial statements for the year ended 31 December 2018 and those that will be used in the preparation of the financial statements for the year ended 31 December 2019. Statutory accounts for the year ended 31 December 2018 were approved by the board of directors on 30 May 2019 and delivered to the Registrar of Companies. The report of the auditor on those financial statements was unqualified.
The financial information for the period ended 30 June 2019 has not been audited or reviewed. As permitted the Company has chosen not to adopt IAS34 'Interim Financial Statements' in preparing this financial information.
Going concern
The directors, having made appropriate enquiries, consider that adequate resources exist for the Company to continue in operational existence for the foreseeable future, therefore, it is appropriate to adopt the going concern basis in preparing the condensed interim financial statements for the period ended 30 June 2019.
| 2Tangible fixed assets |
|
|
| Cost |
|
Freehold property |
|
|
£ |
| At 1 January 2019 |
|
205363 |
| At 30 June 2019 |
|
205363 |
| Depreciation |
|
|
| At 1 January 2019 |
|
927 |
| At 30 June 2019 |
|
927 |
| Net book value |
|
|
| At 30 June 2019 |
|
204436 |
| At 1 January 2019 |
|
204436 |
| 3Investments |
|
|
| Cost |
|
Other investments |
|
|
£ |
| At 1 January 2019 |
|
57410 |
| Additions |
|
7840 |
| At 30 June 2019 |
|
65250 |
|
|
|
|
|
|
The investment consists of a 15% share holding in Mighty Oak Exploration Limited, a company with exploration licences for cobalt and lithium projects in Uganda, and 2.4% in KKME, a battery metals exploration company with licences in Botswana prospecting for nickel and platinum within the Molopo Farms complex.
4Earnings per share
The calculation of basic earnings per share is based on the loss attributable to ordinary shareholders divided by the weighted average of ordinary shares in issue being 108,278,389 during the period. This results in a loss per share of 0.05p (2018 - nil).
5Directors remuneration
the directors will not be remunerated until such time as the net assets of the company exceed
£500,000.
| Sales |
10090 |
|
4106 |
| Administrative expenses |
-78421 |
|
-25981 |
| Operating loss |
-68331 |
|
-21875 |
| Gain on revaluation of investments |
0 |
|
0 |
| Interest payable |
-5000 |
|
-521 |
| Loss before tax |
-73331 |
|
-22396 |
Sales
Property income |
10090 |
|
4106 |
Administrative expenses
Premises costs: Service charges |
347 |
|
678 |
| Insurance |
0 |
|
814 |
| Depreciation |
0 |
|
2053 |
General administrative expenses: |
347 |
|
3545 |
| NEX Exchange fees |
3400 |
|
3575 |
| Share registrars |
1792 |
|
1490 |
| Company secretarial fees |
912 |
|
725 |
| Bank charges |
67 |
|
112 |
| RNS fees |
600 |
|
334 |
| Corporate adviser |
19000 |
|
1750 |
| Website and IT |
330 |
|
290 |
Legal and professional costs: |
26101 |
|
8276 |
| Audit fees |
3250 |
|
1,750 |
| CPR |
0 |
|
12410 |
| Advertising and PR |
8500 |
|
0 |
| Other legal and professional |
40223 |
|
0 |
|
51973 |
|
14,160 |
|
78421 |
|
25981 |
This announcement has been made after due and careful enquiry and the Directors of Sport Capital Group plc accept responsibility for the content.
Enquiries:
Sport Capital Group plc:
Simon Grant-Rennick: +44 (0) 797 325 3124; sgrelk7@gmail.com
Keith, Bayley, Rogers & Co. Limited:
Graham Atthill-Beck: +44 (0) 20 7464 4091; +971 (0) 50 856 9408; +44 (0) 750643 4107; Graham.Atthill-Beck@kbrl.co.uk
Brinsley Holman: +44 (0) 20 7464 4098; Brinsley.Holman@kbrl.co.uk