10th Aug 2015 15:35
NBNK INVESTMENTS PLC
HALF YEARLY REPORT FOR THE SIX MONTHS TO 30 JUNE 2015 (unaudited)
The report including the unaudited results for the period is as follows:
Company summary
The Company was originally established to create a new UK retail and SME bank through the acquisition of high quality banking assets facilitated by a substantial fundraising. Since the re-structure of the Company on 11 January 2013, the remit remains to continue the search for potential acquisition targets in the financial services sector, including in Continental Europe.
Chairman's review
There have been no acquisition developments to report during the first half of the year.
Our policy continues to be to maintain the Company at minimal cost while we seek appropriate opportunities to make an acquisition in the financial services sector. Shareholders will be kept advised as and when there are developments to report.
The board is mindful of the statement made at the capital raising in 2013. That is, if no acquisition is made by 11 January 2016, the directors will consider whether it is appropriate to return unused share capital to shareholders and/or wind-up the Company.
Stephen L. Johnson
Chairman
NBNK INVESTMENTS PLC
HALF YEARLY REPORT FOR THE SIX MONTHS TO 30 JUNE 2015 (unaudited)
Business review
During the period, we continued to maintain the Company on the lowest possible cost base. The Company's share capital at 30 June 2015 was unchanged from that published in the Annual Report and Financial Statements to 31 December 2014 at 53,771,229 ordinary shares. The fully diluted share capital was also unchanged at 60,667,480. There have been no changes between 30 June and the date of this report.
As reported in the Chairman's Review, there has been no acquisition activity during the first half of the year.
Performance
At 30 June 2015, the Company's shares were trading at 31.0 pence per share. The Company had cash assets of £19,806,000 at the period end.
The Company reports a loss for the period of £172,000.
Dividend
The directors do not recommend an interim dividend on the ordinary shares for the six months to 30 June 2015.
Principal risks and uncertainties
The principal risk for the Company is that its acquisition strategy might fail. If no successful acquisition has been achieved by 11 January 2016, the directors will review the position at that time and consider if it is appropriate to return unused funds to shareholders and/or to wind up the Company. The principal financial key performance indicator continues to be the rate at which the Company is spending the proceeds generated when it was listed on AIM and when the W L Ross and Co funds introduced additional capital in January 2013. Given the current status of the Company, cost control will continue to be crucial and the Company is being maintained at the lowest possible cost to shareholders. The directors are of the view that there are no meaningful non-financial KPIs since there is no current prospect for an acquisition.
Events after the balance sheet date
There have been no reportable events since 30 June 2015.
Related party transactions
In the opinion of the Board, the related parties are the directors. There were no related party transactions during the period, other than directors' remuneration and share based payments as outlined in notes 4 and 5 to the accounts.
On behalf of the Board
Stephen L. Johnson
10 August 2015
The financial information presented herein does not amount to full statutory accounts within the meaning of Section 435 of the Companies Act 2006. It has not been audited or reviewed pursuant to guidance issued by the Auditing Practices Board. The annual report and financial statements for 2014 have been filed with the Registrar of Companies. The independent auditors' report on that annual report and financial statements was unqualified, did not include a reference to any matters to which the auditor drew attention by way of emphasis without qualifying the report, and did not contain a statement under 498(2) or (3) of the Companies Act 2006.
Income statement
for the six months ended 30 June 2015 (unaudited)
| Note | 6 months ended 30 June 2015 £000 Unaudited | Year ended 31 December 2014 £000 Audited | 6 months Ended 30 June 2014 £000 Unaudited |
Interest income |
| 25 | 50 | 25 |
Administrative expenses |
| (197) | (251) | (128) |
Operating loss |
| (172) | (201) | (103) |
Decrease in fair value of derivative financial liabilities |
| - | 19 | 1 |
Loss before taxation |
| (172) | (182) | (102) |
Taxation |
| - | - | - |
Loss for the period |
| (172) | (182) | (102) |
Loss per share (pence) - basic | 2 | (0.32) | (0.34) | (0.19) |
Statement of comprehensive income
for the six months ended 30 June 2015 (unaudited)
|
| 6 months ended 30 June2015 £000 Unaudited | Year ended 31 December 2014 £000 Audited | 6 months Ended 30 June 2014 £000 Unaudited |
Loss for period and total comprehensive loss for the period | (172) | (182) | (102) | |
Statement of financial position
as at 30 June 2015 (unaudited)
| Note | 30 June 2015 £000 Unaudited | 31 December 2014 £000 Audited | 30 June 2014 £000 Unaudited |
Assets |
|
|
|
|
Current assets |
|
| ||
Other accrued income and prepaid expenses |
| 24 | 9 | 24 |
Cash and cash equivalents |
| 19,806 | 20,013 | 20,102 |
Total current assets |
| 19,830 | 20,022 | 20,126 |
Total assets |
| 19,830 | 20,022 | 20,126 |
Current liabilities |
|
| ||
Trade and other payables |
| 27 | 47 | 53 |
Derivative financial liabilities |
| - | - | 18 |
Total current liabilities |
| 27 | 47 | 71 |
Total net assets |
| 19,803 | 19,975 | 20,055 |
Equity |
|
| ||
Called up share capital |
| 5,377 | 5,377 | 5,377 |
Share premium |
| 43,129 | 43,129 | 43,129 |
Capital redemption |
| 45 | 45 | 45 |
Retained losses |
| (28,748) | (28,576) | (28,496) |
Total equity |
| 19,803 | 19,975 | 20,055 |
Statement of changes in equity
for the six months ended 30 June 2015 (unaudited)
| Share capital £000 | Share premium £000 | Capital redemption £000 | Retained losses £000 | Total £000 |
Total equity as at 1 January 2015 | 5,377 | 43,129 | 45 | (28,576) | 19,975 |
Net loss and total comprehensive loss for the period | - | - | - | (172) | (172) |
Total equity as at 30 June 2015 | 5,377 | 43,129 | 45 | (28,748) | 19,803 |
| Share capital £000 | Share premium £000 | Capital redemption £000 | Retained losses £000 | Total £000 |
Total equity as at 1 January 2014 | 5,377 | 43,129 | 45 | (28,394) | 20,157 |
Net loss and total comprehensive loss for the year | - | - | - | (182) | (182) |
Total equity as at 31 December 2014 | 5,377 | 43,129 | 45 | (28,576) | 19,975 |
| Share capital £000 | Share premium £000 | Capital redemption £000 | Retained losses £000 | Total £000 |
Total equity as at 1 January 2014 | 5,377 | 43,129 | 45 | (28,394) | 20,157 |
Net loss and total comprehensive loss for the period | - | - | - | (102) | (102) |
Total equity as at 30 June 2014 | 5,377 | 43,129 | 45 | (28,496) | 20,055 |
Statement of cash flows
for the six months ended 30 June 2015 (unaudited)
| Note | 6 months ended 30 June2015 £000 Unaudited | Year ended 31 December 2014 £000 Audited | 6 months Ended 30 June 2014 £000 Unaudited |
Operating activities |
|
|
|
|
Operating loss before taxation |
| (172) | (182) | (102) |
Decrease in fair value of derivative financial instruments |
| - | (19) | (1) |
(Increase) / decrease in receivables |
| (15) | 2 | (13) |
(Decrease) / increase in payables |
| (20) | 5 | 11 |
Cash flow from operating activities |
| (207) | (194) | (105) |
|
|
|
| |
Net decrease in cash and cash equivalents |
| (207) | (194) | (105) |
|
|
| ||
Cash and cash equivalents at beginning of period |
| 20,013 | 20,207 | 20,207 |
Cash and cash equivalents at end of period |
| 19,806 | 20,013 | 20,102 |
Notes to the half yearly report
for the six month period ended 30 June 2015 (unaudited)
1 - Summary of significant accounting policies
General Information
NBNK Investments plc is a public company incorporated in the United Kingdom. The Company's principal activities are set out in the Company summary. The financial statements are presented in pounds sterling thousands because that is the currency of the primary economic environment in which the Company operates.
Basis of preparation
The financial statements of NBNK Investments plc have been prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the European Union. The financial statements have been prepared under the historical cost convention as amended for use of fair value for derivative financial instruments and share based payments. Historical cost is based upon the fair value of consideration given in exchange for assets.
Application of IFRS
The Company has not made an acquisition to date and unless and until the Company commences operation as a company operating in the financial services sector, it is not appropriate to set out the accounting policies which will be applicable to that business.
New IFRSs, interpretations and amendments not yet effective
Given the current status of the Company, it cannot be stated with any degree of certainty which new standards, interpretations or amendments but not yet effective may ultimately have a material impact on the Company's future financial statements.
Accounting policies
The accounting policies applied by the Company in these half-yearly results are the same as those applied by the Company in its audited financial statements for the period ended 31 December 2014.
2 - Loss per share from operations
Loss per share from operations for the period is based upon the attributable loss of £172,000 (£182,000 loss for the period ended 31 December 2014) and 53,771,229 ordinary shares (53,771,229 shares for the period ended 31 December 2014), being the number of shares in issue at the period end.
3 - Events after the balance sheet date
None.
4 - Related party transactions
In the opinion of the Board, the related parties are the directors. There were no related party transactions during the period, other than directors' remuneration. Stephen Johnson receives a nominal fee of £1 per annum. Lord Brennan receives remuneration of £10,000 per annum.
5 - Share based payments - options
No options were issued, exercised or lapsed during the period.
For further information contact:
1. Cenkos Securities plc (Nominated adviser and broker) Ian Soanes or Ivonne Cantu (+44 20 7397 8900)
2. NBNK Investments plc (Company secretary) Ian Bowden (+44 20 7696 5285) |
Related Shares:
NBNK.L