29th Sep 2016 16:04
29 September 2016
REABOLD RESOURCES PLC
("the Company")
Unaudited Interim Results for six months ended 30 June 2016
Reabold Resources plc (AIM: RBD) the AIM quoted resources investment company announces its unaudited interim results for the six months ended 30 June 2016 ("the Period").
For further information, contact:
Reabold Resources plc Jeremy Edelman (Executive Chairman) Anthony Samaha (Executive Director)
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+44 (0) 20 7440 0640
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Beaumont Cornish Limited Roland Cornish | +44 (0) 20 7628 3396 |
Felicity Geidt
CHAIRMAN'S STATEMENT
The Board has continued to be active in the identification and evaluation of investment opportunities in various sectors towards the objective of an acquisition that drives creation of value for stakeholders.
Placement
The Board was pleased to announce on 8 January 2016 the placement by the Company of 40,000,000 new Ordinary Shares of 0.1p each in the Company at a price of 0.5p per share, to a new strategic investor, to raise £200,000 for working capital purposes.
Mogul Ventures Corp. Investment
The Company holds 5 million shares in Mogul Ventures Corp. ("Mogul"), a private company focused on natural resources in Mongolia, principally in tin. Reabold's holding in Mogul amounts to a 4.2% undiluted interest.
On 29 April 2016, Knowlton Capital Inc ("Knowlton"), a TSX-V listed company, announced the termination of the agreement to acquire all of the issued and outstanding shares of Mogul to pursue another reverse take-over transaction. Notwithstanding the termination of the transaction with Knowlton, the management and key stakeholders in Mogul remain positive towards Mogul's future in the public markets under improved market conditions. Mogul is in discussions as to alternative financing routes, including other listed shell companies with the prerequisite cash.
In Q4 2015, Mogul conducted a drilling program to collect samples for metallurgical test work at Mogul's Oortsog Ovoo tin-polymetallic project. Mogul believes the program will be important in significantly de-risking the project. Composite samples have been delivered to the ALS Burnie laboratory in Tasmania to assay samples and conduct magnetic and gravity separation trials. Mogul has been informed that the mineralization has very little sulfides so there will most likely be no need for flotation. Steinert Australia will conduct pre-concentration trials as well as a separate magnetic separation trials using their equipment.
Financial Review
The loss of the Company for the 6 months ended 30 June 2016 was £55,000 (2015: loss of £34,000) in line with expectations. The net assets as at 30 June 2016 were £569,000 (2015: £294,000).
As at 30 June 2016, the Company had cash of £384,000.
Outlook
Having successfully raised further capital, the Board is moving forward positively to drive shareholder value through the investment strategy. Whilst the Board believes there are positive cyclical investment opportunities in resources stocks, they may be subject to significant volatility in financial markets and commodity prices, as well as other potential risk areas, including operational, geological, environmental, sovereign issues and access to capital. The Board will evaluate investment opportunities in other sectors as they arise. The Board is positive towards the outlook for quality investment opportunities.
The Board looks forward to reporting further in due course.
This report was approved by the Board and signed on its behalf:
Jeremy Edelman
Chairman
29 September 2016
STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 30 JUNE 2016
Unaudited | Unaudited | Audited | ||||
6 months to | 6 months to | 12 months to | ||||
30-Jun-16 | 30-Jun-15 | 31-Dec-15 | ||||
Notes | £'000 | £'000 | £'000 | |||
Other operating income | - | - | - | |||
Administration expenses | (55) | (34) | (104) | |||
Operating loss | (55) | (34) | (104) | |||
Finance income | - | - | - | |||
Finance costs | - | - | - | |||
Loss on ordinary activities before taxation | (55) | (34) | (104) | |||
Taxation on loss on ordinary activities | - | - | - | |||
Loss for the financial period | (55) | (34) | (104) | |||
Other comprehensive income | - | - | - | |||
Total comprehensive income for the period | (55) | (34) | (104) | |||
Attributable to: | ||||||
Equity holders | (55) | (34) | (104) | |||
(55) | (34) | (104) | ||||
Earnings per share | ||||||
Basic and diluted loss per share (pence) | 2 | (0.02) | (0.01) | (0.04) | ||
STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2016
Unaudited | Unaudited | Audited | ||
30-Jun-16 | 30-Jun-15 | 31-Dec-15 | ||
Notes | £'000 | £'000 | £'000 | |
ASSETS | ||||
Non-current assets | ||||
Investments available for sale | 3 | 200 | 200 | 200 |
200 | 200 | 200 | ||
Current assets | ||||
Cash | 384 | 157 | 481 | |
Trade and other receivables | 3 | 3 | 1 | |
387 | 160 | 482 | ||
Total assets | 587 | 360 | 682 | |
EQUITY | ||||
Capital and reserves | ||||
Share capital | 4 | 435 | 355 | 395 |
Share premium account | 8,451 | 8,131 | 8,291 | |
Advance received for shares to be issued | - | - | 200 | |
Capital redemption reserve | 200 | 200 | 200 | |
Retained earnings | (8,517) | (8,392) | (8,462) | |
Total equity | 569 | 294 | 624 | |
LIABILITIES | ||||
Current liabilities | ||||
Trade and other payables | 18 | 66 | 58 | |
18 | 66 | 58 | ||
Total liabilities | 18 | 66 | 58 | |
Total equity and liabilities | 587 | 360 | 682 |
CASH FLOW STATEMENT
FOR THE PERIOD ENDED 30 JUNE 2016
Unaudited | Unaudited | Audited | ||||
6 months to | 6 months to | 12 months to | ||||
30-Jun-16 | 30-Jun-15 | 31-Dec-15 | ||||
Note | £'000 | £'000 | £'000 | |||
Cash flows from operating activities | ||||||
Loss before taxation | (55) | (34) | (104) | |||
Adjustments | - | - | - | |||
Operating cash flows before movement in working capital | (55) | (34) | (104) | |||
Decrease/(increase) in receivables | (3) | (1) | 1 | |||
Increase/(decrease) in payables | (40) | (4) | (12) | |||
Net cash used in operating activities | (97) | (39) | (115) | |||
Net cash flows from investment activities | - | - | - | |||
Cash flows from financing activities | ||||||
Share placement received | - | - | 200 | |||
Advance received for shares to be issued | - | - | 200 | |||
Net cash generated from financing activities | - | - | 400 | |||
Net increase/(decrease) in cash and cash equivalents | (97) | (39) | 285 | |||
Cash and cash equivalents at the beginning of the period | 481 | 196 | 196 | |||
Cash and cash equivalents at the end of the period | 384 | 157 | 481 |
Cash and cash equivalents comprises the following: |
| |||||||||
Cash and cash equivalents | 384 | 157 | 481 | |||||||
384 | 157 | 481 | ||||||||
STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 30 JUNE 2016
Share Capital | Share Premium | Advance received for shares to be issued | Capital Redemption Reserve | Retained Earnings | Total | |
£'000 | £'000 | £'000 | £'000 | £'000 | £'000 | |
Balance 31 December 2014 - audited | 355 | 8,131 | - | 200 | (8,358) | 328 |
Total comprehensive income for period | - | - | - | - | (34) | (34) |
Changes in equity for period to 30 June 2015 | ||||||
Issue of share capital | - | - | - | - | - | - |
Balance 30 June 2015 - unaudited | 355 | 8,131 | - | 200 | (8,392) | 294 |
Total comprehensive income | - | - | - | - | (70) | (70) |
Changes in equity for period to 31 December 2015 | ||||||
Issue of share capital | 40 | 160 | - | - | - | 200 |
Advance received for shares to be issued | - | - | 200 | - | - | 200 |
Balance 31 December 2015 - audited | 395 | 8,291 | 200 | 200 | (8,462) | 624 |
Total comprehensive income | - | - | - | - | (55) | (55) |
Changes in equity for period to 30 June 2016 | ||||||
Issue of share capital | 40 | 160 | - | - | - | 200 |
Advance received for shares to be issued | - | - | (200) | - | - | (200) |
Balance 30 June 2016 - unaudited | 435 | 8,451 | - | 200 | (8,517) | 569 |
NOTES TO THE INTERIM FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2016
1. Basis of preparation
These interim financial statements have been prepared using policies based on International Financial Reporting Standards (IFRS and IFRIC interpretations) issued by the International Accounting Standards Board ("IASB") as adopted for use in the EU. They do not include all disclosures that would otherwise be required in a complete set of financial statements and should be read in conjunction with the 2015 Annual Report. The financial information for the half years ended 30 June 2016 and 30 June 2015 does not constitute statutory accounts within the meaning of Section 434(3) of the Companies Act 2006 and is unaudited.
The annual financial statements of Reabold Resources Plc are prepared in accordance with IFRSs as adopted by the European Union. The comparative financial information for the year ended 31 December 2015 included within this report does not constitute the full statutory accounts for that period. The statutory Annual Report and Financial Statements for 2015 have been filed with the Registrar of Companies. The Independent Auditors' Report on that Annual Report and Financial Statement for 2015 was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006.
After making enquiries, the directors have a reasonable expectation that the Company have adequate resources and support from key shareholders to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the half-yearly financial statements.
The same accounting policies, presentation and methods of computation are followed in these condensed financial statements as were applied in the Company's latest annual audited financial statements, with additional information in respect of significant accounting policies disclosed below.
The IASB has issued a number of IFRS and IFRIC amendments or interpretations since the last annual report was published. It is not expected that any of these will have a material impact on the Company.
2. Loss per share
The calculations of the basic and diluted earnings per share are based on data the following: | Unaudited 6 months to 30-Jun-16 £'000 | Unaudited 6 months to 30-Jun-15 £'000 | Audited 12 months to 31-Dec-15 £'000 |
Loss for the year |
(55) |
(34) |
(104) |
Loss for the purpose of basic earnings per share | (55) | (34) | (104) |
Number of shares | |||
Weighted average number of ordinary shares in issue during the year | 317,816,913 | 240,915,896 | 251,682,611 |
Effect of dilutive options | - | - | - |
Effect of dilutive long-term incentive plan | - | - | - |
Effect of dilutive deferred consideration | - | - | - |
Effect of shares held in treasury | - | - | - |
Diluted weighted average number of ordinary shares in issue during the year | 317,816,913 | 240,915,896 | 251,682,611 |
(Loss)/profit/earnings per share | |||
Basic (loss)/profit/earnings per share (pence) | (0.02) | (0.01) | (0.04) |
3. Investments available for sale
Unaudited | Unaudited | Audited | ||
30-Jun-16 £'000 | 30-Jun-15 £'000 | 31-Dec-15 £'000 | ||
Opening cost | 200 | 200 | 200 | |
Additions at cost | - | - | - | |
Disposals | - | - | - | |
Closing cost | 200 | 200 | 200 |
4. Called up share capital
30-Jun-16 No. shares | 30-Jun-15 No. shares | 31-Dec-15 No. shares | |
Ordinary shares | |||
Opening ordinary shares of 0.10 pence each | 280,915,896 | 240,915,896 | 240,915,896 |
Issue of new ordinary shares of 0.10 pence each | 40,000,000 | - | 40,000,000 |
Closing ordinary shares of 0.10 pence each | 320,915,896 | 240,915,896 | 280,915,896 |
"A" Deferred Share | |||
Opening "A" Deferred Share of 1.65 pence each | 6,915,896 | 6,915,896 | 6,915,896 |
Capital reorganisation and consolidation | - | - | - |
Closing "A" Deferred Share of 1.65 pence each | 6,915,896 | 6,915,896 | 6,915,896 |
30-Jun-16 £'000 | 30-Jun-15 £'000 | 31-Dec-15 £'000 | |
Ordinary shares | |||
Opening ordinary shares of 0.10 pence each | 281 | 241 | 241 |
Issue of new ordinary shares of 0.10 pence each | 40 | - | 40 |
Closing ordinary shares of 0.10 pence each | 321 | 241 | 281 |
"A" Deferred Share | |||
Opening "A" Deferred Share of 1.65 pence each | 114 | 114 | 114 |
Capital reorganisation and consolidation | - | - | - |
Closing "A" Deferred Share of 1.65 pence each | 114 | 114 | 114 |
At 30 June 2016 no share options were outstanding (2015: nil).
On 18 September 2015, the Company issued 40,000,000 new ordinary shares of 0.1p each at a price of 0.5p per share raising £200,000 in funds for working capital purposes.
On 8 January 2016, the Company announced the placement of 40,000,000 ordinary shares at 0.5 pence per share to raise gross proceeds of £200,000 to provide additional working capital for the Company. The funds in respect of this placement were received prior to 31 December 2015.
5. Events after the reporting period
There were no disclosable events after the reporting period to the date of this announcement.
6. General Information
Reabold Resources Plc is a company registered in England and Wales under the Companies Act. Registered in England number 3542727 at 200 Strand, London WC2R 1DJ. The principal activity of the Company is that of an investing company in accordance with the AIM Rules for Companies.
7. Availability of this announcement
Copies of this announcement are available from the Company's website www.reabold.com.
Related Shares:
Reabold Resources