17th Sep 2018 12:44
LONDON (Alliance News) - Tau Capital PLC on Monday released its much delayed 2017 results, reporting a sharply widened loss due to poor performance of its only investment - a 40% stake in a Kazakh pharmaceutical distributor Stopharm LLC.
The company previously said that it would miss the June deadline to release its 2017 results due to difficulty in valuing Stopharm investment.
Shares in Tau Capital are currently suspended, but last closed at USD0.0375. Tau's shares will resume trading on AIM when the company posts its annual report and accounts to shareholders in "due course".
The closed-ended fund widened its total operating loss in 2017 to USD5.0 million from USD76,291 the year before. Its total assets decreased in the year to USD2.8 million from USD7.7 million. Net asset value per share decreased to USD0.04 from USD0.15.
The company did not recommend the payment of a total dividend in 2017, the same as in 2016.
Stopharm's net profit for 2017 decreased to USD138,000 from USD1.1 million a year ago. Revenue fell to USD114.1 million from USD127.6 million.
Tau Capital was set up in 2007 to invest in public and private businesses in Kazakhstan. In 2012, the company committed to realising assets and distributing net proceeds to shareholders.
The company did not receive any offers in 2017 for its 40% holding in Stopharm. However, in August, Tau SPV1 Cooperatief WA inked a conditional agreement with Tau Capital to buy its Stopharm stake for USD1.3 million.
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