30th Mar 2017 07:44
30 March 2017
Tejoori Limited
("Tejoori" or the "Company")
Interim results for the six months ended 31 December 2016
The Board of Tejoori (AIM: TJI), the Dubai-based Shari'a-compliant investment company, is pleased to announce its unaudited interim results for the six months 31 December 2016.
For further information:
Tejoori Limited | Tel: +971 4 2839316 |
Abdullah Lootah, CEO | |
Allenby Capital Limited | Tel: +44 (0)203 328 5656 |
(Nominated Adviser and Broker) | |
Nick Athanas/Charles Donaldson |
Chairman's Statement
Welcome to the results of Tejoori Limited ("Tejoori" or the "Company"), the Dubai-based Shari'a compliant investment company, for the six month period ended 31 December 2016.
Financial Performance during the Period
As at 31 December 2016, the Company had cash available for investment of US$13,158,896 (31 December 2015: US$3,518,715). As at 31 December 2016, US$8,163,941 of the cash available for investment was placed on short term wakala deposits which carry a profit rate of 2.50 per cent. per annum. During the period under review Tejoori generated income of US$29,360 from these wakala deposits (six months ended 31 December 2015: US$53,205) and recorded a net loss of US$219,996 (six months ended 31 December 2015: net loss of US$29,295).
Existing Investments
As announced in December 2016, Tejoori successfully sold one of the remaining two Arjan plots of land (an "Arjan Plot" or, collectively, the "Arjan Plots") owned by Tejoori during the period under review, with net cash proceeds of c. US$3.57 million being received by Tejoori.
In addition in the period under review the Company disposed of its 10.1% interest in BEKON Holding AG for nil consideration, as announced by Tejoori on 24 August 2016.
In February 2017, the Company disposed of its final remaining Arjan Plot for a gross consideration of AED 21,312,540 (equivalent to approximately US$5.8 million). The sale was completed in February 2017 and is therefore not reflected in the financial performance in the year ended 31 December 2016.
Following the sale of the final Arjan Plot in February 2017, Tejoori has fully divested its investment portfolio and holds cash and wakala deposits only. Under the AIM Rules the Company is deemed to have, following the sale of the final Arjan Plot, disposed of all of its assets within the meaning of Rule 15 of the AIM Rules for Companies. Consequently, Tejoori has 12 months from date of this disposal, being 23 February 2017, to implement its current investing policy in accordance with Rule 15 of the AIM Rules for Companies otherwise the Company's shares will be suspended from trading on AIM pursuant to Rule 40 of the AIM Rules for Companies.
As previously announced the Company intends to return to shareholders a certain proportion of the cash generated from the sale of the Arjan Plots and is considering, in conjunction with its advisers, the most effective and efficient manner in which to return to cash to shareholders. As part of this exercise the Company is also continuing to evaluate the merits of remaining on AIM. Further updates will be made by the Company at the appropriate time.
We look forward to updating our shareholders on future plans in due course.
Khalid Al NasserChairman of Board
29 March 2017
Consolidated Statement of Financial Position
as at December 31, 2016
Notes | Dec-2016 | Dec-2015 | ||||||
USD | USD | |||||||
Assets | ||||||||
Cash and bank balances | 1 | 4,994,955 | 717,890 | |||||
Fixed deposits | 2 | 8,163,941 | 2,800,825 | |||||
Trade and other receivables | 3 | 516,860 | 3,741,500 | |||||
Other assets/Prepayments | 4 | 17,138 | 19,452 | |||||
Available-for-Sale Investment | 5 | - | 3,350,000 | |||||
Investment in properties | 6 | 4,165,151 | 13,912,681 | |||||
Total current assets | 17,858,045 | 24,542,348 | ||||||
Total Assets | 17,858,045 | 24,542,348 | ||||||
Equity and Liabilities | ||||||||
Current liabilities | ||||||||
Due to a shareholder | 9 | 877,200 | 877,200 | |||||
Trade and other payables | 10 | 19,694 | - | |||||
Due to Related Parties | 17 | 502,839 | 514,482 | |||||
Total current liabilities | 1,399,733 | 1,391,682 | ||||||
Equity | ||||||||
Share Capital | 11 | 277,089 | 277,089 |
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Share premium | 11.1 | 41,286,207 | 41,286,207 | |||||
Accumulated losses | (25,104,984) | (18,412,630) | ||||||
Total equity | 16,458,312 | 23,150,666 | ||||||
Total Equity and Liabilities | 17,858,045 | 24,542,348 | ||||||
These financial statements were approved for issue by the Board of Directors of the company on 29 March 2017.
Consolidated Statement of comprehensive income
as at December 31, 2016
Notes | Dec-2016 | Dec-2015 | ||||||
USD | USD | |||||||
Return on Wakala Deposits | 10 | 29,360 | 53,205 |
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Total Income | 29,360 | 53,205 |
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Administrative and Operating Expenses | 11 | (167,731) | (82,500) |
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Total Expenses | (167,731) | (82,500) |
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Loss for the year | (138,370) | (29,295) |
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| ||||||||
Loss on sale of Investment Property | (81,626) | - |
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Total comprehensive income for the year | (219,996) | (29,295) |
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Earning per share-basic | (0.0079) | 0.0015 |
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Earning per share-diluted | (0.0079) | 0.0015 |
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Statement of changes in shareholders' equity
as at December 31, 2016
| Share Capital | Share Premium | Fair Value Reserve | Accumulated losses | Total equity | |||||
(USD) | ||||||||||
Balance as at Jan 1st, 2015 | 277,089 | 41,286,207 | - | (18,383,334) | 23,179,962 | |||||
Total comprehensive income for the year | ||||||||||
Profit for the year | - | - | - | (29,295) | (29,295) | |||||
Net amount transferred to profit or loss | - | - | - | - | - | |||||
Total other comprehensive income for the year | - | - | - | - | - | |||||
Total comprehensive income | - | - | - | (29,295) | (29,295) | |||||
Balance at 31 Dec 2015 | 277,089 | 41,286,207 | - | (18,412,630) | 23,151,666 | |||||
Balance as at 30 June 2016 | 277,089 | 41,286,207 | - | (24,884,988) | 16,678,308 | |||||
Changes during Jul-Dec 2016 | ||||||||||
Profit for the year | - | - | - | (219,996) | (219,996) | |||||
Net amount transferred to profit or loss | - | - | - | - | - | |||||
Total other comprehensive income for the year | - | - | - | - | - | |||||
Total comprehensive income | - | - | - | (219,996) | (219,996) | |||||
Balance at 31 Dec 2016 | 277,089 | 41,286,207 | - | (25,104,984) | 16,458,312 | |||||
Statement of cash flows
as at December 31, 2016
Cash flows from operating activities | Dec-2016 | Dec-2015 | |
Net profit/(Loss) for the period | (219,996) | (29,295) | |
Cash from operating activities before changes in working capital | (219,996) | (29,295) | |
Change in prepayments | 6,377 | (8,773) | |
Change in trade receivables | 1,164,691 | - | |
Change in due to related parties | (22,084) | (23,882) | |
Change in trade and other payables | (19,339) | (16,640) | |
Net Cash from operating activities | 909,649 | (78,590) | |
Cash Flows from investing activities | |||
Net Cash received from Sale of Investment property | 2,464,898 | - | |
Net Increase/(decrease) in cash and cash equivalents | 3,374,547 | (78,590) | |
Cash and cash equivalents, beginning of the period | 9,784,349 | 3,598,746 | |
Cash and cash equivalents, end of the period | 13,158,896 | 3,518,715 |
Notes to the interim financial information for the six months ended 31 December 2016
1 | Cash and bank balances | Dec-2016 | Dec-2015 | ||||
Cash at banks | 4,994,955 | 717,890 | |||||
Cash in hand | - | - | |||||
4,994,955 | 717,890 | ||||||
2 | Wakala Deposits | ||||||
Wakala Deposit | - | 1,431,496 | |||||
Fixed Deposits | 8,163,941 | 1,385,702 | |||||
8,163,941 | 2,800,825 | ||||||
Investment as Fixed deposits are placed with reputable corporate based in the United Arab Emirates. The Fixed deposits carried a profit rate of 2.50%.
| |||||||
3 | Trade and other receivables | ||||||
Other receivables | 516,860 | 3,741,500 | |||||
516,860 | 3,741,500 | ||||||
4 | Other Assets | ||||||
Prepayments | 17,138 | 19,452 | |||||
17,138 | 19,452 | ||||||
5 | Available-for-Sale Investment | ||||||
Opening Balance | 3,350,000 | 4,500,000 | |||||
Fair value (loss)/gain during the year | (3,350,000) | (1,150,000) | |||||
- | 3,350,000 | ||||||
6 | Investment in property | Dec-2016 | Dec-2015 | ||||
Balance at 01 Jan 2016 | 13,913,682 | 13,913,682 | |||||
Unrealized loss on fair value | (2,901,592) | - | |||||
Realized sale proceeds from sale of property | (6,811,225) | - | |||||
Realized loss on sale of property | (35,714) | - | |||||
Total | 4,165,151 | 13,913,682 | |||||
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7 | Due to a shareholder | ||||||
Opening balance | 877,200 | 877,200 | |||||
Repayments during the year | - | - | |||||
Total | 877,200 | 877,200 | |||||
In accordance with the Company's placement document, the shareholding of individual investors cannot exceed eight percent of the issued and fully paid share capital. This balance represents funds received from a shareholder in excess of the eight percent limit and is refundable to the investors unless the Company is able to secure additional capital from the other shareholders | |||||||
8 | Trade and other payables | ||||||
Trade payable | 18,494 | 816 | |||||
Audit fee payable | 1,200 | - | |||||
Other payables | - | 465,446 | |||||
Total | 19,694 | 466,262 | |||||
9 | Share capital | ||||||
The authorised share capital of the Company comprises 1 billion shares of USD 0.01 each (31 Dec 2015: 1 billion shares of USD 0.01 each). | |||||||
The issued and fully paid share capital of the Company comprises 27,708,864 shares of USD 0.01 each (2015: 27,708,864 shares of USD 0.01 each). | |||||||
Opening Balance | 277,089 | 277,089 | |||||
277,089 | 277,089 | ||||||
9.1 | Share premium | ||||||
Share premium represents amounts received from shareholders in excess of the nominal value of the shares allotted to them. | |||||||
10 | Revenue | ||||||
Return on Islamic investments | 29,360 | 53,205 | |||||
Total | 29,360 | 53,205 | |||||
11 | Administrative and Operating expenses | ||||||
Legal and professional fees | 156,741 | 60,356 | |||||
Administration fees | 2,839 | 551 | |||||
Directors' remuneration and fees | 7,500 | 7,500 | |||||
Salary expense for CEO | - | 13,692 | |||||
Others | 650 | 401 | |||||
Total | 167,731 | 82,500 | |||||
12 | Earnings/(Loss) per share | ||||||
The basic earnings per share is calculated by dividing the net profit/loss attributable to shareholders by the weighted average number of ordinary shares in issue during the year. | |||||||
Profit/(loss) for the year in USD | (219,996) | (29,295) | |||||
Weighted average number of shares in issue | 27,708,864 | 27,708,864 | |||||
Basic earnings/(loss) per share in USD | (0.00794) | (0.00106) | |||||
13 | Related party transactions and balances | ||||||
Related parties comprise key management, businesses controlled by shareholders and directors as well as businesses over which they exercise significant influence. During the year, the company entered into significant transactions with related parties in the ordinary course of business. In addition to the disclosure in notes, following are the other transactions and balances arising from these transactions: | |||||||
Transactions | |||||||
Key management remuneration | - | - | |||||
Directors' fees and other remuneration | 7,500 | 13,692 | |||||
Due to related parties | |||||||
Due to a shareholder | 877,200 | 877,200 | |||||
Key management remuneration | 454,619 | 465,446 | |||||
Due to Injaz Capital Investments LLC | 48,220 | 48,220 | |||||
Related Shares:
Tejoori