Pineapple Power Corporation Interim Results

RNS Number : 6159N

Pineapple Power Corporation PLC

30 September 2021

 

30 September 2021

 

Pineapple Power Corporation Plc / Index: LSE / Epic : PNPL / Sector: Utilities

Pineapple Power Corporation Plc ("Pineapple" or "the Company") Interim Results

Pineapple Power Corporation Plc, a special purpose acquisition company, is pleased to present its  interim unaudited results for the six-month period ended 30 June 2021.

Highlights:

• Subsequent to the period end, Pineapple entered into a non-binding heads of terms agreement with the   shareholders  of   BVP   Investments   Limited   ("BVP"),   an   Irish   fund   management company headquartered in Dublin, to acquire 100% of the outstanding shares in BVP in an all share transaction, subject to legal, financial and other due diligence and entry into a legally binding sale and purchase agreement. At this time, Pineapple and BVP have appointed lawyers, accountants and corporate finance advisors in the Republic of Ireland and the UK to enact due diligence and preparation of the contractual documentation to progress the transaction.  BVP Investments Ltd is regulated by the Central Bank of Ireland and holds investments in clean, renewable energy and associated green technology companies of promise. As no binding agreement has yet been reached, the Company cannot guarantee that  the proposed  transaction  will  complete.   Pineapple  was  formed  as  a "cash shell" with a specific focus on acquisitions in the clean and renewable energy energy sectors, as outlined in its prospectus published on 21 December 2020, which can be found on the Company's website -  http://www.pineapple-powercorp.com/investors

• Since listing, Pineapple has carefully maintained a significant cash position in order to retain adequate funds to address the potentially substantial costs of an RTO transaction. Cash balance at the end of the period - £930,035.

Chairman's   Statement

I am pleased to present the Company's interim unaudited financial statements to shareholders for the six months ended 30 June 2021.

The period under review was extremely busy and productive and focused on the search and identification of  a  suitable  reverse  takeover  candidate which culminated in the identification of BVP Investments Limited. Since the initial announcement and suspension of trading of the Company's shares on August 17 2021, we have been engaged with the complexities of progressing the reverse takeover transaction. This process is now underway and we hope to substantially advance the transaction during the next few months. We will make further announcements concerning our progress in due course. We are grateful for the support of our numerous shareholders, as we work to conclude matters.

Financial   Review

For the six months to 30 June 2021, the Company reports a net loss of £238,797 (2019: £35,748). During the six months to 30 June 2021, the Company continued its strict financial discipline, incurring a net operating cash inflow of £902,240 (2020: outflow £15,807). The Company held cash at 30 June 2021 of

£930,035 (2019: £5,281).

Directors

The following directors have held office during the period:

Claudio Morandi Andrew Holland

Corporate   Governance

The UK Corporate Governance Code (July 2018) ("the Code"), as appended to the Listing Rules, sets out the Principles of Good Corporate Governance and Code Provisions which are applicable to listed companies incorporated in the United Kingdom. As a standard listed company, the Company is not subject to the Code, but the Board recognises the value of applying the principles of the Code where appropriate and proportionate and has endeavoured to do so where practicable.

Responsibility Statement

The   Directors   are   responsible   for   preparing   the   Unaudited   Interim   Condensed Financial Statements in accordance with the Disclosure and Transparency Rules  of  the  United Kingdom's Financial Conduct Authority ("DTR") and with International Accounting Standard 34 on Interim Reporting ("IAS  34").  The  directors  confirm  that,  to  the  best  of  their  knowledge,  this  condensed interim report has been prepared in accordance with IAS 34 as adopted by the European Union. The interim management report includes a fair review of the information required by DTR 4.2.7 and DTR 4.2.8, namely:

• an indication of important events that have occurred during the six months ended 30 June 2021 and their impact on the condensed financial statements for the period, and a description of the principal risks and uncertainties for the remaining six months of the financial year; and

• related party transactions that have taken place in the six months ended 30 June 2021 and that have materially affected the financial position of the performance of the business during that period.

On behalf of the board

Claudio Morandi

Director

30 September 2021

PINEAPPLE POWER CORPORATION PLC

Interim Statement of Comprehensive Income (Unaudited) For the six months ended 30 June 2021

	Notes	Sixmonths ended30June 2021 Unaudited	Sixmonths ended30June 2020 Unaudited	Yearended 31December 2020 Audited
		£	£	£
Revenue Administrativeexpenses Operating loss Interestreceivable Lossonordinaryactivitiesbeforetaxation Incometaxexpense Lossfortheperiod Other comprehensive income / (loss)Total comprehensive loss for theperiodattributabletoequityholders Losspershare(basicanddiluted)attributabletoequityholders(p)		-	-	-
		(238,840)	(35,748)	(91,367)
		(238,840)	(35,748)	(91,367)
		43	-	-
	3	(238,798)	(35,748)	(91,367)
		-	-	-
		(238,797)	(35,748)	(91,367)
		-	-	-
		(238,797)	(35,748)	(91,367)
	4	(0.0064)p	(0.0027)p	(0.0062)p

The income statement has been prepared on the basis that all operations are continuing operations.

PINEAPPLE POWER CORPORATION PLC

Interim   Statement of Financial Position (Unaudited) As at 30 June 2021

	AtUn	30June 2021 audited	At30June 2020 Unaudited	At31 December 2020 Audited
Notes		£	£	£
FixedAssets Equipment Currentassets Prepayments and other receivablesCashatbank andinhand TOTALASSETS Currentliabilities Tradeandotherpayables TOTAL LIABILITIES NETASSETS/(LIABILITIES) EQUITY Share capitalSharepremium Share based payment reserveRetainedloss TOTALEQUITY		1,523	-	-
		3,621	-	1,191,828
		930,035	5,281	27,795
		933,656	5,281	1,219,623
		935,179	5,281	1,219.623
		31,374	79,390	195,471
		31,374	79,390	195,471
		903,805	(74,109)	1,024,152
	5	597,362	135,002	573,672
	5	781,908	-	687,148
		28,062	-	28,062
		(503,527)	(209,111)	(264,730)
		903,805	(74,109)	1,024,152

Statements   of changes in equity (Unaudited) For the six months ended 30 June 2021

	ShareCapital	Share PremiumAccount	Share Based Payment Reserve	Retained Loss	TOTAL
	£	£	£	£	£
Balance at 31 December 2019 Issue of new sharesTransactioncosts Issueofwarrants Totalcomprehensivelossfortheyear Balance at 31 December 2020 Issueofnewshares Totalcomprehensivelossfortheperiod Balance at 30 June 2021	135,002	-	-	(173,363)	(38,361)
	438,670	877,340	-	-	1,316,010
	-	(162,130)	-	-	(162,130)
	-	(28,062)	28,062	-	-
	-	-	-	(91,367)	(91,367)
	573,672 23,690 -597,362	687,148 94,760 -781,908	28,062 - 28,062	(264,730) - (238,797) (503,527)	1,024,152 118,450 (238,797) 903,805

Statement   of cash flow (Unaudited) For the six months ended 30 June 2021

Cash flows from operating activities

Loss for the period

Adjustments for:

Depreciation

Operating cashflow before working capital movements Decrease / (increase) in prepayments and other receivables Increase / (decrease) in other payables and accruals

Net cash flow from operating activities

Investing activities

Purchasesofequipment		(1,818)				-				-
Netcashusedininvestingactivities		(1,818)				-				-
Financingactivities Netproceedsfromissueofordinaryshares	118,450				-			112,318
Netcashgeneratedfromfinancingactivities	118,450				-			112,318
NetIncreaseincashandcashequivalents	902,240				(15,807)				6,707
Cashandcashequivalentsatbeginningoftheperiod	27,795				21,088				21,088
Cash and cash equivalents atendoftheperiod	930,035				5,281				27,795

1  General information

Pineapple Power Corporation Plc (the "Company'') looks to identify potential companies, businesses or asset(s) that have operations in the clean and renewable energy sector.

The Company is domiciled in the United Kingdom and incorporated and registered in England and Wales, with registration number 09081452.

The Company's registered office is Studio 16, Cloisters House, 8 Battersea Park Road, London SW8 4BG.

Accounting policies

2  The principal accounting policies applied in preparation of these consolidated financial statements are set out below. These policies have been consistently applied unless otherwise stated.

Basis of preparation

The interim unaudited financial statements for the period ended 30 June 2021 have been prepared in accordance with IAS 34 Interim Financial Reporting. This interim financial information is not the Company's statutory financial statements and should be read in conjunction with the annual financial statements for the period ended 31 December 2020, which have been prepared in accordance with International Financial Reporting Standards (IFRS) and have been delivered to the Registrars of Companies. The auditors have reported on those accounts; their report was unqualified, did not include references to any matters which the auditors drew attention by way of emphasis of matter without qualifying their report and did not contain statements under section 498 (2) or (3) of the Companies Act 2006.

The interim financial information for the six months ended 30 June 2021 is unaudited. In the opinion of the Directors, the interim financial information presents fairly the financial position, and results from operations and cash flows for the period.

The Directors have made an assessment of the Company's ability to continue as a going concern and are satisfied that the Company has adequate resources to continue in operational existence for the foreseeable future. The Company, therefore, continues to adopt the going concern basis in preparing its consolidated financial statements.

The financial information of the Company is presented in British Pounds Sterling (£).

Critical accounting estimates and judgements

The preparation of interim financial information requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities and the reported amounts of income and expenses during the reporting period. Although these estimates are based on management's best knowledge of current events  and  actions,  the resulting accounting estimates will, by definition, seldom equal related actual results.

In preparing the interim financial information, the significant judgements made by management in applying the Company's accounting policies and the key sources of estimation uncertainty were the same as those that applied to the financial statements for the year ended 31 December 2021.

Income   tax   expense

3  No tax is applicable to the Company for the six months ended 30 June 2021. No deferred income tax asset has been recognised in respect of the losses carried forward, due to the uncertainty as to whether the Company will generate sufficient future profits in the foreseeable future to prudently justify this.

4  Loss per share

Basic loss per ordinary share is calculated by dividing the loss attributable to equity holders of the Company by the weighted average number of ordinary shares in issue during the period. Diluted earnings per share is calculated by adjusting the weighted average number of ordinary shares outstanding to assume conversion of all dilutive potential ordinary shares.

There are currently no dilutive potential ordinary shares.

	Earnings £	Weighted averagenumberofshares unit	Per-shareamount pence
Loss per share attributed toordinaryshareholders	(238,797)	37,575,091	(0.0064)p

5  Share capital

	Number
	ofshares	Share	Share
	inissue	capital	premium	Total
		£	£	£
Balance at 31 December 2020Movementsduringtheperiod Balanceat30June2021	57,367,211	573,672	687,148	1,260,820
	2,369,000	23,690	94,760	118,450
	59,736,211	597,382	791,908	1,379,270

The Company has one class of ordinary share which carries no right to fixed income.

6  Share Options

On 5 February, 2021 a total of 6,000,000 options were awarded to Directors and Advisors involved in the continuing advancement of the Company's goal to complete a reverse take-over transaction in the renewable energy sector. The options vest and are exercisable 6 months from the date of grant and expire in two years from the date of grant. The exercise price is 11p per Ordinary Share.

7  Related party disclosures

Remuneration   of   directors   and key management personnel

The remuneration of the Directors during the six-month period to 30 June 2021 amounted to £24,000 (30 June 2020: £NIL).

Shareholdings in the Company

Shares and options held by the Directors of the Company.

Mr Claudio Morandi Mr Andrew Holland

Balance   at   30   June   2021

 

END

 

 

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