Source - DGAP Regulatory

Thalassa Holdings Ltd (THAL)
Thalassa Holdings Ltd: Interim Results (30 June 2023)

29-Sep-2023 / 09:00 GMT/BST


 

 

Thalassa Holdings Limited

 

 

Thalassa Holdings Ltd

(Reuters: THAL.L, Bloomberg: THAL:LN)

("Thalassa", "THAL" or the "Company")

Interim Results for the period ended 30 June 2023

 

The Company is pleased to announce its results for the six months ended 30 June 2023. The interim results have been submitted to the FCA and will shortly be available on the Company’s website: www.thalassaholdingsltd.com

Highlights for the 6 months ended 30 June 2023

GROUP RESULTS 1H 2023 versus 1H 2022, unless otherwise stated (Unaudited)

Profit /(loss) after tax for the H1 period under review

(£0.53) vs. £0.20m

Group Earnings Per Share (basic and diluted)*1

(£0.07) vs. £0.03

Book value per share*2 30 June 2023 vs. 31 December 2022

£1.21 vs. £1.30

Holdings*3 30 June 2023 vs. 31 December 2022

£11.8m vs £12.5m

Cash 30 June 2023 vs. 31 December 2022

£0.6m vs. £0.6m

 

 

*1 based on weighted average number of shares in issue of 7,945,838 (2022: 7,945,838)

 

*2 based on actual number of shares in issue as at 30 June 2023 of 7,945,838 (2022: 7,945,838)

 

*3 includes all holdings ex cash

 

 

2023 Observations

  • Short Term US Interest rates have climbed from just above 0% and now stand at 5.28% for one month T-Bills and 5.42% for three-month T-Bills…

https://home.treasury.gov/resource-center/data-chart-center/interest-rates/TextView?type=daily_treasury_bill_rates&field_tdr_date_value=2023

 

  • Through 7 September 2023, the tech-heavy NASDAQ Composite (CCMP) has risen ~32% whilst the NASDAQ 100 (NDX) has risen ~39% led by AAPL, NVDA, TSLA et al., which have accounted for 60% of this year’s performance.

 

  • As an example of the madness of crowds, we have chosen TSLA. TSLA, and the ~51 Wall Street Analysts (on Bloomberg) who cover TSLA, would, apparently, like investors to believe that TSLA is a tech company, not a car company; in the end analysis, if logic prevails, it doesn’t actually make any difference because if TSLA is a tech company, then so are all the other new EV car manufacturers. Logically, therefore, as with every industry, it will come down to who survives and how much money they make…the answer, in our view is that margins will shrink as competition intensifies, and many will go bust before there is a clear winner. Ultimately, however, the transportation industry has never yielded above average long term returns…and we don’t think this time is any different…even if Mr Musk and his groupies believe we are no longer driving cars but tech-platforms on wheels…call them what you want, but at some point it will invariably come down to ‘Free Cash Flow’, not a new paradigm to describe an old industry.

 

  • For those who don’t agree, they may want to cast an eye over the graphic and price chart below which highlights the insanity of TSLA’s recent $777 billion market value.

The left-hand column shows the Market Cap of 12 international ‘car’ manufacturers vs. TSLA, whilst the right-hand column shows the combined number of cars sold by the twelve vs. TSLA. Go figure?!

 

 

TSLA 5 Year Share Price Chart

 

Chairman’s Statement

 

Macro

H1 2023 was all about Big Tech, the magnificent seven as they are now referred to, META, GOOG(L), MSFT, AMZN, NVDA, AAPL, TSLA, which now represent more than 40% of US Large Cap Active Managers’ Assets, compared with 12% last year. (Source: Bank of America).

There is always a problem in the making when stock market leadership narrows to the point of stupidity…just as with the timeless children’s game of musical chairs…at some point there will be nowhere to sit, and when investors decide that NVDA may not be worth 41x Revenues or that Apple, Amazon Meta, Alphabet and Microsoft are in fact mature companies, valuations will compress and the price of these shares will fall dramatically (read plummet).

For those die-hard believers that the above ‘Famous Five’ are still growth stock, the chart below courtesy of StoneX Financial graphically shows what Momentum and Quant investors simply ignore, namely the fact that Revenues of the above 5 companies barely keep up with US nominal gross domestic product and their collective net income fell to $263 billion in the past four quarters, down 9% from $289 billion the year before.

As Vincent Deluard of StoneX points out “If stock prices are the net present value of their future cash flows, higher rates should penalize growth stocks, (or perceived growth stocks), which derive most of their profits from distant profits.”

These ‘mega’ companies should clearly weather an economic slowdown or recession better than more cyclical companies…but they are not immune!

Where next?

The US Govt. is famous (in old Westerns!) for speaking with a forked tongue…on the one hand the FED is raising interest rates, and reversing quantative easing, whilst on the other, the Federal Government continues to spend, like money grows on trees, which if you oversee the printing press, it clearly does. Exactly one year ago, President Biden signed the Inflation Reduction Act, meant in large part to deliver on the administration’s climate goals. The law provides for $369 billion in new spending to help accelerate renewable energy projects in the US, increase EV auto manufacturing and spur electric everything adoption. This latest ‘give away’ follows the $1.9 trillion January 2021 Economic Rescue Plan, which augmented the $3 trillion coronavirus relief bill from March 2020, and the $900 billion legislation from December 2020, which was scaled back to garner support from Senate Republicans.

Clearly, some (read a lot) of this money has flowed into the stock market and consequently ramped-up prices.

Stock markets are driven by sentiment, by a feeling of well-being and, lest we forget, by greed.

For the past nine months, experienced commentators, including Jeremy Grantham, founder of GMO, have warned of the dangers of a 3 Sigma Bubble and the devastating impact that a massive correction in stocks, bonds and real estate will have on personal and corporate wealth. Few, very few have listened and the ‘smart money’ managers that shared Jeremy’s point of view and took on large short positions have been flattened by the magnitude of the increase in share prices in 2023…led by the Magnificent 7.

Like it or not, the Board of THAL believe that sentiment and by consequence, money flows, have already changed direction and the combination of higher interest rates, spiking energy prices and Apple’s Black Swan(?) moment following the Chinese Govt. ban on the use of Apple’s I-Phones has finally forced even the most ardent believers of ‘to infinity and beyond’ valuations, to the need for earnings and free cash flow.

We believe that the S&P 500 (SPX), the NASDAQ Composite (CCMP) and the NASDAQ 100 (NDX) have already begun a correction which coupled with declining economic activity and reduced earnings could evolve into a perfect storm which could in turn result in a decline in the S&P well below fair value (estimated at about -20% below current levels) as a correction overshoots. To this end, a small portion of the Company’s assets have again been invested in various SPX, QQQ,VIX and TSLA hedges.

Holdings -

  • There was little or no movement in our positions in H1 2023.

 

Real Estate  -

  • The Real Estate owned by the Chairman, but pledged to the Company, is currently let until September 2024. Planning permission has and is being sought for certain developments, which it is hoped will increase the value of the property. It is anticipated that the sales process will begin in Q4 2023.and that a sale can be completed in Q4 2023/Q1 2024.

 

Janzz  - https://janzz.technology/

  • Janzz recently closed a strategic investment by subsidiary of major Japanese industry market-leader

 

ALNA - https://www.alina-holdings.com/

  • Please refer to Alina website

 

AMOI - https://anemoi-international.com/

  • Please refer to Anemoi website

 

NWT - https://newmarksecurity.com/

  • Share price performance of NWT continued to recover slowly through H1 2023. We still believe that, given the age of its chairman and the fact that he has three children, two of whom are not involved in the company, that NWT will, in due course, be sold. We are patient investors and will continue to hold our position.

 

 

Conclusion

We anticipate a further correction to US and European Stock Markets, and remain cautious on the macro-economic outlook, which we believe could deteriorate significantly this winter.

 

Duncan Soukup

Chairman

Thalassa Holdings Ltd

28 September 2023

 

 

Responsibility Statement

 

We confirm that to the best of our knowledge:

 

  1. the condensed set of financial statements has been prepared in accordance with IAS 34 ‘Interim Financial Reporting’ and gives a true and fair view of the assets, liabilities, financial position and profit or loss of the Company and the undertakings included in the consolidation as a whole as required by DTR 4.2.4 R;

 

  1. the interim management report includes a fair review of the information required by DTR 4.2.7R (indication of important events during the first six months and description of principal risks and uncertainties for the remaining six months of the year); and

 

  1. the interim management report includes a fair review of the information required by DTR 4.2.8R (disclosure of related parties’ transactions and changes therein).

 

Cautionary statement

This Interim Management Report (IMR) has been prepared solely to provide additional information to shareholders to assess the Company’s strategies and the potential for those strategies to succeed. The IMR should not be relied on by any other party or for any other purpose.

 

Duncan Soukup

Chairman

Thalassa Holdings Ltd

28 September 2023

 

Financial Review

 

Continuing Operations

Total revenue from operations for the period to 30 June 2023 was £0.1m (1H22: £0.1m).

Net financial loss from investment operations was £0.04m (1H22: income £0.56m),

Cost of Sales was of £0.007m (1H22: nil) comprising development costs (net of capitalised costs) at ARL, resulting in a Gross Profit of £0.07m (1H22: gross profit £0.68m).

Administration expenses were £0.43m (1H22: £0.33m).  Depreciation costs were £0.16m (1H22: £0.15m).

Operating Loss was therefore £0.36m (1H22 Profit: £0.35m).

Loss before tax was £0.5m (1H22 profit: £0.2m).

Net assets at 30 June 2023 amounted to £9.6m (1H22: £11.9m).

Net cash (being cash balances less borrowings) was £0.6m as at 30 June 2023 (1H22: £0.8m).

Net cash outflow from operating activities amounted to £0.1m compared to an inflow of £0.18m in 1H22.

Net cash inflow from investing activities amounted to £0.39m, compared to 1H22 outflow of £0.26m.

Net cash outflow from financing activities amounted to £0.14m (1H22: outflow £3.89m).

 

Interim Condensed Consolidated Statement of Income

For the six months ended 30 June 2023

 

 

Six months

Six months

Year

 

ended

ended

ended

 

30 Jun 23

30 Jun 22

31 Dec 22

 

Unaudited

Unaudited

Audited

Note

GBP

GBP

GBP

Continuing Operations

 

 

 

 

Revenue

 

118,673

119,498

295,968

Net financial income/(expense)

 

105,371

553,522

249,535

Other gains/(losses)

 

-

101,691

(881,118)

Share of losses of associated entities

 

(143,962)

(93,758)

(235,658)

Cost of sales

 

(7,096)

-

(95,925)

Gross Profit

 

72,986

680,953

(667,198)

Administrative expenses excluding exceptional costs

 

(434,654)

(330,190)

(531,024)

Profit/(loss) before depreciation

 

(361,668)

350,763

(1,198,222)

Depreciation and Amortisation

4&5

(164,488)

(147,083)

(305,848)

Profit/(loss) before taxation

 

(526,156)

203,680

(1,504,070)

Taxation

 

(528)

(431)

54,167

Profit/(loss) for the year

 

(526,684)

203,249

(1,449,903)

Attributable to:

 

 

 

 

Equity shareholders of the parent

 

(526,684)

203,249

(1,449,903)

Non-controlling interest

 

-

-

-

 

 

(526,684)

203,249

(1,449,903)

 

 

 

 

 

Earnings per share - GBP (using weighted average number of shares)

 

 

 

 

Basic and Diluted

3

(0.07)

0.03

(0.18)

 

The notes on pages 14 to 19 form an integral part of this consolidated interim financial information.


Interim Condensed Consolidated Statement of Comprehensive Income

For the six months ended 30 June 2023

 

Six months

Six months

Year

 

ended

ended

ended

30 Jun 23

30 Jun 22

31 Dec 22

 

Unaudited

Unaudited

Audited

 

GBP

GBP

GBP

 

 

 

 

Profit/(loss) for the financial year

(526,684)

203,249

(1,449,903)

Other comprehensive income:

 

 

 

Exchange differences on re-translating foreign operations

(83,113)

586,430

594,684

Total comprehensive income

(609,797)

789,679

(855,219)

 

 

 

 

Attributable to:

 

 

 

Equity shareholders of the parent

(609,797)

789,679

(855,219)

Non-Controlling interest

-

-

-

Total Comprehensive income

(609,797)

789,679

(855,219)

 

The notes on pages 14 to 19 form an integral part of this consolidated interim financial information.

 

Interim Condensed Consolidated Statement of Financial Position

As at 30 June 2023

 

 

As at

As at

As at

 

 

30 Jun 23

30 Jun 22

31 Dec 22

Note

Unaudited

Unaudited

Audited

Assets

 

GBP

GBP

GBP

Non-current assets

 

 

 

 

Intangible assets

4

1,514,815

1,073,047

1,319,695

Property, plant and equipment

5

1,838,423

1,608,478

2,030,733

Loans

7

4,776,479

6,056,810

5,571,412

Investments in associated entities

8

2,199,253

2,494,091

2,356,526

Total non-current assets

 

10,328,970

11,232,426

11,278,366

 

 

 

 

 

Current assets

 

 

 

 

Trade and other receivables

 

714,821

897,740

765,302

Portfolio investments

6

726,371

1,536,883

504,877

Cash and cash equivalents

 

614,365

1,297,876

629,215

Total current assets

 

2,055,557

3,732,499

1,899,394

 

 

 

 

 

Liabilities

 

 

 

 

Current liabilities

 

 

 

 

Trade and other payables

 

1,221,922

1,156,112

1,210,810

Short term debt

9

159,783

163,262

158,473

Borrowings

9

-

459,280

-

Total current liabilities

 

1,381,705

1,778,654

1,369,283

 

 

 

 

 

Net current assets

 

673,852

1,953,845

530,111

 

 

 

 

 

Non-current liabilities

 

 

 

 

Long term debt

9

1,404,237

1,243,273

1,510,377

Total non-current liabilities

 

1,404,237

1,243,273

1,510,377

 

 

 

 

 

Net assets

 

9,598,585

11,942,998

10,298,100

 

 

 

 

 

Shareholders’ Equity

 

 

 

 

Share capital

11

128,977

128,977

128,977

Share premium

 

21,717,786

21,717,786

21,717,786

Treasury shares

 

(8,558,935)

(8,558,935)

(8,558,935)

Other reserves

 

(1,696,320)

(1,696,320)

(1,696,320)

Foreign exchange reserve

 

4,258,024

3,836,171

4,430,855

Retained earnings

 

(6,250,947)

(3,484,681)

(5,724,263)

Total shareholders' equity

 

9,598,585

11,942,998

10,298,100

 

 

 

 

 

Total equity

 

9,598,585

11,942,998

10,298,100

 

The notes on pages 14 to 19 form an integral part of this consolidated interim financial information.

These financial statements were approved by the board on 28 September 2023.

Signed on behalf of the board by:  

 

Duncan Soukup


Interim Condensed Consolidated Statement of Cash Flows

For the six months ended 30 June 2023

 

 

As at

As at

As at

 

30 Jun 23

30 Jun 22

31 Dec 22

 

 

Unaudited

Unaudited

Audited

 

Notes

GBP

GBP

GBP

 

 

 

 

 

 

 

 

 

 

Profit/(Loss) before income tax from:

 

 

 

 

Continuing operations

 

(526,156)

203,680

(636,829)

Add back Portfolio Holdings

 

38,591

(561,455)

-

Profit/(Loss) before income tax

 

(487,565)

(357,775)

(636,829)

Adjustments for:

 

 

 

 

Other income

 

-

-

25,486

(Increase)/decrease in trade and other receivables

 

50,481

(88,133)

44,305

(Decrease)/increase in trade and other payables

 

11,112

42,823

97,521

Accrued interest income

 

22,635

180,132

-

Gain/(loss) on disposal of portfolio investments

 

60,404

(294,986)

471,589

Net exchange differences

 

285,642

(26,161)

(19,253)

Depreciation/Amortisation

4&5

164,488

147,083

306,497

Share of losses of associate

 

(143,962)

(93,758)

(234,828)

Fair value movement on portfolio investments

 

(62,226)

672,217

64,817

Cash generated by operations

 

(98,991)

181,442

119,305

Taxation

 

(528)

(431)

54,167

Net cash flow from operating activities

 

(99,519)

181,011

173,472

 

 

 

 

 

Sale/(purchase) of property, plant and equipment

 

(2,320)

-

(517,376)

Sale/(purchase) of intangible assets

4

(184,244)

(167,576)

(418,408)

Net (purchase)/sale of portfolio investments

6

648,613

(89,465)

(245,899)

Investments in associated entities

 

(68,642)

-

(31,071)

Net cash flow in investing activities

 

393,407

(257,041)

(1,212,754)

 

 

 

 

 

Cash flows from financing activities

 

 

 

 

Interest Expense

 

(1,522)

(25,132)

-

Leasing Liabilities

 

(145,128)

(45,051)

-

Proceeds from borrowings

 

7,731

32,116

33,133

Repayment of borrowings

9

-

(3,853,018)

(4,357,529)

Net cash flow from financing activities

 

(138,919)

(3,891,085)

(4,324,396)

 

 

 

 

 

Net increase in cash and cash equivalents

 

154,969

(3,967,115)

(5,363,677)

Cash and cash equivalents at the start of the year

 

629,215

5,398,208

5,398,208

Effects of exchange rate changes on cash and cash equivalents

(169,819)

(133,217)

594,684

Cash and cash equivalents at the end of the year

 

614,365

1,297,876

629,215

 

 

The notes on pages 14 to 19 form an integral part of this consolidated interim financial information.

Interim Condensed Consolidated Statement of Changes in Equity

For the six months ended 30 June 2023

 

 

Share

Share

Treasury

Other

Foreign Exchange

Retained

 

 

Capital

Premium

Shares

Reserves

Reserve

Earnings

Total

 

GBP

GBP

GBP

GBP

GBP

GBP

GBP

 

 

 

 

 

 

 

 

Balance as at
31 December 2021

128,977

21,717,786

(8,558,935)

(1,696,320)

3,836,171

(4,274,360)

11,153,319

Total comprehensive income

-

-

-

-

-

789,679

789,679

Balance as at
30 June 2022

128,977

21,717,786

(8,558,935)

(1,696,320)

3,836,171

(3,484,681)

11,942,998

 

 

 

 

 

 

 

 

Exchange on conversion to GBP

-

-

-

-

-

-

-

Total comprehensive income

-

-

-

-

594,684

(2,239,582)

(1,644,898)

Balance as at
31 December 2022

128,977

21,717,786

(8,558,935)

(1,696,320)

4,430,855

(5,724,263)

10,298,100

Foreign exchange on translation

-

-

-

-

(89,718)

-

(89,718)

Total comprehensive income

-

-

-

-

(83,113)

(526,684)

(609,797)

Balance as at
30 June 2023

128,977

21,717,786

(8,558,935)

(1,696,320)

4,258,024

(6,250,947)

9,598,585

 

The notes on pages 14 to 19 form an integral part of this consolidated interim financial information.

 


Notes to the Interim Condensed Consolidated Financial Information

1. General information

Thalassa Holdings Ltd (the “Company”) is a British Virgin Island (“BVI”) International business company (“IBC”), incorporated and registered in the BVI on 26 September 2007. The Company is a holding company with various interests across a number of industries.

Autonomous Robotics Limited (“ARL” – formerly GO Science 2013 Ltd) is a wholly owned subsidiary of Thalassa and is an Autonomous Underwater Vehicle (”AUV”) research and development company.

Apeiron Holdings (BVI) Ltd is a BVI registered company and is wholly owned by Thalassa. It owns 100% of Alfalfa Holdings AG which is a company registered in Switzerland.

WGP Geosolutions Limited is a wholly owned subsidiary of Thalassa currently non-operational.

2. Significant Accounting policies

The Company prepares its accounts in accordance with applicable UK Adopted International Accounting Standards.

The accounting policies applied by the Company in this unaudited consolidated interim financial information are the same as those applied by the Company in its consolidated financial statements as at and for the period ended 31 December 2022 except as detailed below.

The financial information has been prepared under the historical cost convention, as modified by the accounting standard for financial instruments at fair value.

2.1. Basis of preparation

The condensed consolidated interim financial information for the six months ended 30 June 2023 has been prepared in accordance with International Accounting Standard No. 34, ‘Interim Financial Reporting’. They do not include all of the information required for full annual financial statements and should be read in conjunction with the consolidated financial statements of the Company as at and for the year ended 31 December 2022.

These condensed interim financial statements for the six months ended 30 June 2023 and 30 June 2022 are unaudited and do not constitute full accounts. The comparative figures for the period ended 31 December 2022 are extracted from the 2022 audited financial statements. The independent auditor’s report on the 2022 financial statements was not qualified.

All intra-company transactions, balances, income and expenses are eliminated in full on consolidation.

2.2. Going concern

The financial information has been prepared on the going concern basis as management consider that the Company has sufficient cash to fund its current commitments for the foreseeable future.

 

Notes to the Interim Condensed Consolidated Financial Information Continued

3. Earnings per share

 

Six months

Six months

Year

 

ended

ended

ended

 

30 Jun 23

30 Jun 22

31 Dec 22

 

Unaudited

Unaudited

Audited

The calculation of earnings per share is based on
the following loss and number of shares:

 

 

 

Profit/(loss) for the period

(526,684)

203,249

(1,449,903)

 

 

 

 

Weighted average number of shares of the Company

7,945,838

7,945,838

7,945,838

 

 

 

 

Earnings per share:

 

 

 

Basic and Diluted (GBP)

(0.07)

0.03

(0.18)

 

 

 

 

Number of shares outstanding at the period end:

7,945,838

7,945,838

7,945,838

 

4. Intangible assets

 

Development

 

 

 

 

costs

Patents

Software

Total

 

GBP

GBP

GBP

GBP

At 31 December 2022

 

 

 

 

Cost

1,153,647

153,501

25,096

1,332,243

Accumulated amortisation

-

-

(12,548)

(12,548)

Net book amount

1,153,647

153,501

12,548

1,319,695

 

 

 

 

 

Half-year ended 30 June 2023

 

 

 

 

Opening net book amount

1,153,647

153,501

12,548

1,319,695

FX movement

-

-

-

-

 

1,153,647

153,501

12,548

1,319,695

 

 

 

 

 

Additions

184,244

15,058

-

199,302

Amortisation charge

-

-

(4,183)

(4,183)

FX movement

-

-

-

-

Closing net book amount

1,337,891

168,559

8,365

1,514,814

 

 

 

 

 

At 30 June 2023

 

 

 

 

Cost

1,337,891

168,559

25,096

1,531,546

Accumulated amortisation

-

-

(16,731)

(16,731)

Net book amount

1,337,891

168,559

8,365

1,514,815

 

The intangible assets held by the Company increased as a result of capitalising the development costs of Autonomous Robotics Ltd (“ARL”).

 

Notes to the Interim Condensed Consolidated Financial Information Continued

5. Property, plant and equipment

 

 

 

Plant

 

 

 

Land and

and

Motor

 

Total

buildings

Equipment

Vehicles

 

 

 

 

 

Cost

GBP

GBP

GBP

GBP

Cost at 1 January 2023

2,736,687

2,066,128

130,483

540,076

FX movement

(43,204)

(30,795)

0

(12,409)

 

2,693,483

2,035,333

130,483

527,667

Additions

2,320

0

2,320

0

 

 

 

 

 

Cost at 30 June 2023

2,695,803

2,035,333

132,803

527,667

Depreciation

 

 

 

 

Depreciation at 1 January 2023

705,955

235,540

127,934

342,481

FX movement

(7,503)

(264)

0

(7,239)

 

698,452

235,276

127,934

335,242

Charge for the year on continuing operations

160,305

107,741

1,284

51,280

Foreign exchange effect on year end translation

(1,377)

(714)

0

(663)

Depreciation at 30 June 2023

857,380

342,303

129,218

385,859

 

 

 

 

 

Closing net book value at 30 June 2023

1,838,423

1,693,030

3,585

141,808

 

 

6. Securities

 

The Company classifies the following financial assets at fair value through profit or loss (FVPL):-

Equity investments that are held for trading

 

As at

As at

As at

 

30 Jun 23

30 Jun 22

31 Dec 22

 

Unaudited

Unaudited

Audited

 

GBP

GBP

GBP

Securities

 

 

 

At the beginning of the period

504,877

1,187,346

1,187,345

Additions

521,167

2,078,047

3,554,617

Unrealised gain/(losses)

179,051

(168,131)

87,635

Disposals

(475,713)

(1,693,596)

(4,461,505)

Forex on opening balance

(3,011)

133,217

136,785

At period close

726,371

1,536,883

504,877

 

 

 

 

Investment Holdings

 

 

 

Securities held

726,371

1,536,883

504,877

Portfolio Holdings

-

 -

 -

 

726,371

1,536,883

504,877

 

Investments have been valued incorporating Level 1 inputs in accordance with IFRS7.

For period ending 30 Jun 23, portfolio holdings cash balances have been reclassified to cash and cash equivalents.

 

Notes to the Interim Condensed Consolidated Financial Information Continued

7. Loans and holdings

 

As at

As at

As at

 

30 Jun 23

30 Jun 22

31 Dec 22

 

Unaudited

Unaudited

Audited

 

GBP

GBP

GBP

Loans at period open

1,532,469

1,333,599

1,333,599

Accrued interest - to be waived

22,186

22,403

45,235

Forex on opening balance

(62,647)

150,599

153,635

Loans at period close

1,492,008

1,506,601

1,532,469

 

 

 

 

Portfolio Holdings at 1 January

4,038,944

4,371,674

4,371,674

Issued

-

-

746,009

Interest

-

158,225

325,237

Repaid

-

-

(92)

Forex

-

20,310

28,157

Reclassification under portfolio holdings

(754,473)

-

-

Written off - Tappit Loan Interest & Option Value

-

-

(1,432,041)

Portfolio holdings at period close

3,284,471

4,550,209

4,038,944

 

 

 

 

Total of loans and holdings

4,776,479

6,056,810

5,571,412

The Loan is to the THAL Discretionary Trust, the terms of the loan are set with a 0% interest rate however interest has been accrued at 3% as per IFRS requirements, it is the intention of the Company to waive this interest upon repayment of the capital.

 

8.  Investments in associated entities

On 17 December 2021, the acquisition of id4 was complete by Anemoi International Ltd with consideration in the form of shares issued to Thalassa and its subsidiary Aperion BVI totaling 36.92% of the voting rights. The investment is recognised using the equity method as described in the financial statements for December 2022. During the period further shares were purchased to equal a total of 40.77% of the voting rights.

Athenium Consultancy Ltd in which the Company owns 35% shares was incorporated on 12 October 2021.

Movement on interests in associates can be summarised as follows:

 

As at

As at

As at

 

30 Jun 23

30 Jun 22

31 Dec 22

 

GBP

GBP

GBP

Fair value of investment at beginning of period

2,356,526

2,325,457

2,325,457

Share of losses for the period

(143,803)

(93,758)

(235,659)

Additions

68,642

-

-

Exchange Variance

(82,112)

262,392

266,728

 

2,199,253

2,494,091

2,356,526

 

There are no other entities in which the Company holds 20% or more of the equity, or otherwise exercises significant influence over the affairs of the entity.

 

Notes to the Interim Condensed Consolidated Financial Information Continued

9. Borrowings

 

As at

As at

As at

 

30 Jun 23

30 Jun 22

31 Dec 22

 

Unaudited

Unaudited

Audited

Non-current liabilities

GBP

GBP

GBP

Lease liabilities

1,404,237

1,243,273

1,510,377

 

1,404,237

1,243,273

1,510,377

 

 

 

 

Current liabilities

 

 

 

Credit facility

-

459,280

-

Lease liabilities

159,783

163,262

158,473

 

159,783

622,542

158,473

 

The credit facilities outstanding as at 30 Jun 2022 consist of fixed term advances opened on in May 2022 for £461k, this advance was settled in July 2022. The settling of the facility outstanding at Dec ’21 was completed on the 9th April 2022. The credit facility was cancelled in December 2022.

The lease liabilities comprise of amounts owed in relation to office leases held by ARL and Aperion AG. The lease held by Aperion Holdings AG was entered in to in Feb 2021.

 

10. Related party balances and transactions

Under the consultancy and administrative services agreement initially entered into on 3 January 2011 and most recently updated 1 February 2018 with a company in which the Chairman has a beneficial interest, the Company accrued £130,362 (1H22: £225,145) for consultancy and administrative services provided to the Company. As at 30 June 2023 the amount owed to this company was £524,868 (1H22: £268,055).

Athenium Consultancy Ltd, a company in which the Company owns shares invoiced the Company for financial and corporate administration services totalling £90,750 for the period (June 2022: £82,500).

The Company was due £9,372 (June 2022: £25,988) from Anemoi International Ltd, a company in which through its subsidiary Apeiron Holdings BVI holds shares and is related by common control through the Chairman, Duncan Soukup.

As at the period end the Company was due £49,887 (June 2022: £24,790) from Alina Holdings Limited, a company under common directorship.

ARL owed rent of £5,000 during the period for trading premises from Eastleigh Court Limited. The beneficiaries of Eastleigh Court Ltd include D Soukup, a director during the period.

 

Notes to the Interim Condensed Consolidated Financial Information Continued

11. Share capital

 

As at

As at

As at

 

30 Jun 23

30 Jun 22

31 Dec 22

 

Unaudited

Unaudited

Audited

 

GBP

GBP

GBP

Authorised share capital:

 

 

 

100,000,000 ordinary shares of $0.01 each

1,000,000

1,000,000

1,000,000

Exchange Rate for Conversion

1.61674

1.61674

1.61674

100,000,000 ordinary shares of $0.01 each in GBP

618,529

618,529

618,529

 

 

 

 

 

 

 

 

Allotted, issued and fully paid:

 

 

 

20,852,359 ordinary shares of $0.01 each

208,522

208,522

208,522

Average Exchange Rate for Conversion

1.61674

1.61674

1.61674

20,852,359 ordinary shares of $0.01 each in GBP

128,977

128,977

128,977

 

The exchange rate used for conversion is the aggregate rate for the transactions as they occurred.

 

12. Subsequent events

There were no reportable subsequent events

 

13. Copies of the Interim Report

The interim report is available on the Company’s website:

www.thalassaholdingsltd.com.

 

 



Dissemination of a Regulatory Announcement that contains inside information in accordance with the Market Abuse Regulation (MAR), transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.


ISIN: VGG878801114
Category Code: IR
TIDM: THAL
LEI Code: 2138002739WFQPLBEQ42
OAM Categories: 1.2. Half yearly financial reports and audit reports/limited reviews
Sequence No.: 274671
EQS News ID: 1737045

 
End of Announcement EQS News Service

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