Half-year Report

RNS Number : 1127Y
Tiger Royalties and Investments PLC
04 September 2020
 

 

For immediate release   4 September 2020

 

TIGER ROYALTIES AND INVESTMENTS PLC ("Tiger" or the "Company")

 

UNAUDITED INTERIM FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED 30 JUNE 2020

 

Chairman's Report

 

Dear Shareholders,

 

Net Asset Value per share - 30 Jun 2020 - 0.19p / 31 Dec 2019 - 0.32p (30 June 2019 - 0.39p)

 

Total assets - 30 Jun 2020 - £361k / 31 Dec 2019 - £598k (30 June 2018 - £728k)

 

The period under review has been volatile for "small cap" stocks in the resource sector and despite the recovery in markets post the "low point" in late March 2020, share valuations of junior natural resource stocks did not fully recover by the end of the current reporting period resulting in a fall in NAV as at 30 June 2020 to 0.19 pence per share.  The investment table included in this report demonstrates further share price appreciation to the end of August 2020.

 

The last six months have been unprecedented in modern times with the outbreak of Covid-19 leading to major business disruption and individual suffering.  The virus has affected all nations globally and at the time of writing considerable uncertainty exists as to the progression or reduction in the number of cases being experienced and therefore ultimate economic recovery.  I am convinced that we will see "stop-start" activity on the economic front over the next 12 months, with a real danger of the banking system suffering yet another credit freeze. 

 

It would appear that the investors are seeing a much quicker return to normality and consequent business prosperity with anomalies in many commodities including base metals, particularly with copper which is currently priced some 20% higher than when the pandemic first commenced.  Longer term investors and institutional investors, whilst alarmed by the pandemic are taking the longer view, realising that a new emerging world, post Covid-19 will have not lost its appetite for modern technology and lifestyle improvements.

 

The growing concern relating to global pollution experienced a major reality check, when only after two months post lockdown, satellite photographs showed considerably reduced pollution levels in the planet.  The build-up of electric vehicles has been moving apace with the realisation of what can be achieved over a short period of time increasing momentum.  The accelerated emergence of electric vehicles can only benefit metals including copper, cobalt, nickel, lithium and vanadium.  The interesting question is, which metals will gain dominance in the new generation of batteries and much controversy exists on this subject.  Each metal has its own advantages and limitations and the next year will see more science and funding directed towards the optimum solution.  It is our opinion, that there will be no optimum position since supply fundamentals will demand that no one metal acquires overall dominance. 

 

The gold price has been quite spectacular during this period and the current weight of geo-political tension and uncertainty continues to support higher gold prices.  The US election result may adversely affect gold prices as a result of lessening tension but conversely competing fiscal factors may well maintain a gold price in excess of US$1,800 per ounce for the foreseeable future.

 

I am pleased to say that at last, the world appears to have woken up to the fact that the junior resource companies are the pioneers of the industry and new discoveries will probably emanate from their continued efforts.  Consequently, we have seen a flurry of activity including secondary financing and IPOs over the last few months.

 

We have historically communicated to shareholders that Tiger intends to move from being a passive investor to a pro-active corporate investor actively involved in project management as well as being a royalty holder in natural resource projects.  The Board is currently considering a number of projects along these lines in various commodities located in diverse geographical regions which will enable Tiger to re-capitalise and meet its longer term objective.  The Company will differ from most other royalty companies, in that its business model will involve some corporate structuring, retention of equity, participation in project management and an expectation of a royalty once mines are built or sold. 

 

We look forward to advising our shareholders of progress over the coming months, with the expectation of new deals being consummated which will contribute significantly towards our overall portfolio.

 

 

Colin Bird

Chairman

4 September 2020

 

Portfolio Holdings as at 30 June 2020

 

Investments

Number of shares

Cost

£

Valuation at 30 June 2020

 

Valuation at 28 August 2020

 

Barkby Group Plc

23,237

100,000

4,880

5,286

Bezant Resources Plc

55,555,556

250,435

66,667

50,000

Block Energy Plc

625,000

25,100

13,438

15,625

BMR Group Plc

2,500,000

50,217

-

 

Corallian Energy Ltd

20,000

30,000

15,000

15,000

Galileo Resources Plc

6,516,667

78,335

48,223

58,650

Goldquest Mining Corp

173,500

30,259

17,003

41,962

Jubilee Metals Group Plc

1,169,600

100,219

43,041

65,498

Pantheon Resources Plc

31,500

30,340

4,341

7,040

Revelo Resources Corp

21,667

  62,965

1,283

2,046

Royal Dutch Shell Plc B Shares

2,700

73,234

33,048

28,701

WisdomTree Copper EFTS

760

12,896

15,177

15,490

 

 

 

 

 

Total

 

 

262,101

305,298

 

 

 

 

 

 

African Pioneer Plc

 

 

 

 

Galileo Resources Plc

2,500,000

50,000

18,500

22,500

Jubilee Metals Group Plc

217,802

8,266

8,015

12,197

Revelo Resources Corp

151,500

53,651

9,452

14,304

South 32 Plc

13,845

28,607

15,638

15,797

Xtract Resources Plc

606,060

20,217

7,152

10,182

 

 

 

 

 

Total

 

 

58,757

74,980

 

 

 

 

 

Total Investments

 

 

320,858

380,278

 

 

 

 

 

 

 

Tiger Royalty and investments Plc

 

 

 

Raju Samtani, Director 

 

 

+44 (0)20 7581 4477

Beaumont Cornish

(Nomad)

Roland Cornish

Felicity Geidt

Email:corpfin@b-cornish.co.uk

+44 (0)20 7628 3369

 

Novum Securities Plc

(Broker)

 

 

Jon Belliss

 

+44 (0)20 7399 9425

 
 
Consolidated Statement of Comprehensive Income

For the six months ended 30 June 2020

 

 

 

 

(Unaudited)

Group Six months

ended

30 June 20

 

(Unaudited)

Group Six months ended

30 June 19

 

(Audited)

Group Year

ended

31 Dec 19

 

 

£

£

£

(Loss)/profit on investments

(92,389)

114,130

142,768

Income:

 

 

 

Investment income

236

9,098

12,230

Interest receivable

36

12

109

Administrative expenses

(145,128)

(148,075)

(309,727)

(LOSS) BEFORE TAXATION

(237,245)

(24,835)

(154,620)

 

 

 

 

Taxation

-

-

-

 (LOSS) FOR THE PERIOD

(237,245)

(24,835)

(154,620)

 

 

 

 

TOTAL COMPREHENSIVE (LOSS)/ PROFIT FOR THE PERIOD

(237,245)

(24,835)

 

 

(154,620)

 

(Loss)/profit for the period attributable to:

 

 

 

 

Shareholders of the Company

(229,314)

(3,827)

(130,464)

Non-controlling interest

(7,931)

(21,008)

(24,156)

 

 

 

 

 

(237,245)

(24,835)

(154,620)

Basic earnings per share

(0.12)p

(0.002)p

(0.07)p

Diluted earnings per share

(0.12)p

(0.002)p

(0.07)p

 

 

 

 

 

 

All profits are derived from continuing operations.

 

 

Consolidated Statement of Financial Position

As at 30 June 2020

 

 

 

 

(Unaudited)

Group

30 June 20

 

(Unaudited)

Group

30 June 19

 

 

(Audited) Group

31 Dec 19

 

 

£

£

£

NON CURRENT ASSETS

 

 

 

Financial assets at fair value through profit or loss

-

-

-

Investments

320,858

704,970

474,939

 

320,858

704,970

474,939

CURRENT ASSETS

 

 

 

Trade and other receivables

10,543

19,402

11,756

Cash and cash equivalents

74,110

42,169

142,622

 

84,653

61,571

154,378

 

 

 

 

TOTAL ASSETS

405,511

766,541

629,317

 

 

 

 

 

 

 

 

 

EQUITY AND LIABILITIES

 

 

 

 

 

 

 

EQUITY ATTRIBUTABLE TO SHAREHOLDERS

 

 

 

Share capital

1,474,334

1,474,334

1,474,334

Share premium

1,669,216

1,669,216

1,669,216

Other components of equity

1,100,000

1,100,000

1,100,000

Retained earnings

(3,876,007)

(3,520,056)

(3,646,693)

EQUITY ATTRIBUTABLE TO THE OWNERS

367,543

723,494

596,857

 

 

 

 

Equity interest of non-controlling interest

(6,234)

4,845

1,697

 

 

 

 

TOTAL EQUITY

361,309

728,339

598,554

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

Trade and other payables

44,202

38,202

30,763

Corporate tax payable

-

-

-

 

44,202

38,202

30,763

 

 

 

 

TOTAL LIABILITIES

44,202

38,202

30,763

 

 

 

 

 

TOTAL EQUITY AND LIABILITIES

405,511

766,541

629,317

 

 

 

 

 

 

 

Consolidated Statement of Changes in Equity

As at 30 June 2020

 

 

  Other components of equity

 

Share capital

Share premium

Capital redemption reserve

Other

reserves

Available-for-sale financial assets

Share

based

reserves

Retained  earnings

 

Non-controlling interest

Total

 

 

£

£

£

£

£

£

£

£

£

            

 

 

 

 

 

 

 

 

 

 

 

 

As at 31 December 2018

1,474,334

1,669,216

1,100,000

-

-

 -

(3,516,229)

25,853

753,174

Changes in equity

 

 

 

 

 

 

 

 

 

Profit/ (Loss) for  the period

-

-

-

 

-

-

-

(3,827)

(21,008)

  (24,835)

Other Comprehensive (loss)

Available-for-sale Financial Assets:

Current Period Losses

Transfer to impairment

Transfer on disposal

 

 

 

 

-

-

-

 

 

 

-

-

-

 

 

 

 

-

-

-

 

 

 

 

-

-

-

 

 

 

 

-

-

-

 

 

 

 

-

-

-

 

 

 

 

 

-

-

-

 

 

 

-

-

-

 

 

 

 

 -

 -

-

Total comprehensive expense for the period

-

-

-

-

-

(3,827)

(21,008)

(24,835)

 

 

 

 

 

 

 

 

 

 

As at 30 June 2019

1,474,334

1,669,216

1,100,000

-

-

 -

(3,520,056)

4,845

728,339

Changes in equity

 

 

 

 

 

 

 

 

 

Profit/ (Loss) for  the period

-

-

-

-

-

-

   (126,637)

(3,148)

(129,785)

 

 

 

 

 

 

 

 

 

 

Total comprehensive expense for the period

-

-

-

-

-

-

  (126,637)

(3,148)

  (129,785)

 

As at 31 December 2019

1,474,334

1,669,216

1,100,000

-

-

 -

(3,646,693)

1,697

598,554

 

 

Changes in equity

 

 

 

 

 

 

 

 

 

Profit/(Loss) for the period

-

-

-

-

-

-

  (229,314)

(7,931)

(237,245)

 

 

 

 

 

 

 

 

 

 

Total comprehensive expense for the period

 

-

-

-

-

-

(229,314)

(7,931)

(237,245)

As at 30 June 2020

1,474,334

1,669,216

1,100,000

-

-

 -

(3,876,007)

(6,234)

361,309

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

           

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash Flow Statement

For the six months ended 30 June 2020

 

 

 

 

(Unaudited)

30 June 19

 

(Audited)

31 Dec 19

 

£

£

£

CASH FLOW FROM OPERATIONS

 

 

 

(Loss)/profit before taxation

(237,245)

(24,835)

(154,620)

Adjustment for:

 

 

 

Interest received

(36)

(12)

(109)

Dividends received

(236)

(9,098)

(12,230)

Change in fair value of investments

87,868

-

(142,768)

 

 

 

 

Operating (loss) before movement in working capital

(149,649)

(33,945)

(309,727)

 

(Increase)/decrease in receivables

1,214

(10,290)

(2,596)

Increase/(decrease) in payables

13,454

(4,323)

(11,788)

Gain on disposal of financial asset at fair value

48,625

(114,130)

-

Impairment of investments

(44,104)

-

-

 

 

 

 

NET CASH (OUTFLOW) FROM OPERATING ACTIVITIES

 

(130,460)

(162,688)

(324,111)

 

 

 

 

TAXATION PAID

-

-

-

CASH FLOW FROM INVESTING ACTIVITIES

 

 

 

Interest received

36

12

109

Dividends received

236

9,098

12,230

Sale of investments

61,676

128,968

387,615

Purchase of investments

-

-

  -

 

 

 

 

NET CASH INFLOW FROM INVESTING ACTIVITIES

 

61,948

138,078

399,954

 

 

 

 

CASH FLOW FROM FINANCING ACTIVITIES

 

 

 

 

Purchase of shares by minorities

-

-

-

 

 

 

 

NET CASH INFLOW / (OUTFLOW) FROM FINANCING ACTIVITIES

-

-

-

 

 

 

 

 

 

 

 

Net increase/(decrease) in cash and cash equivalents in the period

(68,512)

(24,610)

75,843

Cash and cash equivalents at the beginning of the period

142,622

66,779

66,779

Cash and cash equivalents at the end of the period

74,110

42,169

142,622

 

 

 

 

 

 

 

 

 

 

 

Selected notes to the consolidated financial statements

For the six months ended 30 June 2020

 

 

1.  Basis of preparation

 

The financial statements have been prepared under the historical cost convention except for the measurement of certain non-current asset investments at fair value. The measurement basis and principal accounting policies of the Group are set out below. The financial statements have been prepared using policies based on International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and endorsed by the European Union. These interim financial statements for the period ended 30 June 2020 have been prepared by applying the accounting policies adopted in the audited accounts for the year ended 31 December 2019. As permitted, the Group has chosen not to adopt IAS 34 "Interim Financial Reporting".

 

The financial information set out in this interim report does not constitute statutory accounts as defined in section 434 of the Companies Act 2006.  The group's statutory financial statements for the period ended 31 December 2019, prepared under International Financial Reporting Standards (IFRS), have been filed with the Registrar of Companies.  The auditor's report on those financial statements was unqualified and did not contain a statement under section 498 (2) or (3) of the Companies Act 2006.

 

 

2.  Earnings Per Share 

 

 

Basic

Unaudited

Unaudited

Audited

 

6 months to

30 June 2020

6 months to

30 June 2019

Year ended 31 December 2019

 

 

 

 

Profit/(Loss) after tax for the purpose of earnings per share

£(229,314)

£(3,827)

£(130,464)

Weighted average number of shares

188,847,070

188,847,070

 

188,847,070

Basic earnings per ordinary share

(0.12)p

(0.002)p

 

(0.07)p

 

Diluted

 

 

 

 

 

 

 

 

 

 

 

Profit/(loss) after tax

£(229,314)

£(3,827)

£(130,464)

Weighted average number of shares

188,847,070

188,847,070

 

188,847,070

Diluted effect of options

-

-

-

Diluted weighted average

number of shares

188,847,070

188,847,070

188,847,070

Diluted earnings per ordinary share

(0.12)p

(0.002)p

(0.07)p

     

 

 

 

 

3.  Current liabilities

 

The current liability figure of £44,202 includes an accrual of £30,000 relating to unpaid Director's salaries/ fees relating to the 3 months ended 30 June 2020.  These outstanding fees will be settled either in cash or Ordinary shares of 0.1 pence in the Company at the discretion of the Board. The conversion price, if settled in shares will be equal to the volume weighted average share price applicable for each month during which the relevant Director salary/ fees were accrued.  If settled in shares, the issue of new Ordinary shares will be subject to regulatory and statutory regulations.

 

 

 

 

 

4.  Deferred Tax

 

A deferred tax asset on revaluation of AFS investments arose during the period. However, deferred tax assets are not recognised due to the unpredictability of future profit streams arising from the disposal of investments held by the Group. Losses may be carried forward indefinitely and will only be recoverable if suitable profits arise in the future.

 

 

5.  Called Up Share Capital

   

The share capital of Tiger Resource Plc consists only of fully paid ordinary shares with a nominal value of 0.1p each. All Ordinary shares are equally eligible to receive dividends and the repayment of capital and represent one vote at the shareholders' meeting of the Company.

 

 

30 June

2020

30 June

2019

 

£

£

Authorised:

 

 

 

 

10,000,000,000 (30 June 2019: 10,000,000,000) ordinary shares 0.1p

(30 June 2019 - 1p each)

10,000,000

10,000,000

 

 

 

 

 

 

142,831,939 deferred shares of 0.9p each (30 June 2019: 142,831,939 deferred shares of 0.9p each )

1,285,487

1,285,487

 

 

 

 

5.  Called Up Share Capital (continued)

 

 

 

 

Issued:

30 June

2020

30 June

2019

 

 

£

£

 

 

 

 

 

188,847,070 Ordinary shares 0.1p (30 June 2019: 142,831,939 Ordinary Shares of 0.1p each)  

188,847

188,847

 

142,831,939 deferred shares of 0.9p each (30 June 2019: 142,831,939 deferred shares of 0.9p each)

1,285,487

1,285,487

 

 

1,474,334

1,474,334

 

      

       

Included in allotted called and fully paid share capital are 4,500,000 shares with a nominal value of £450 held by the company in treasury.

 

 

6.  Post-reporting date

 

No adjusting or significant non-adjusting events have occurred between the reporting date and the date of release of the Company interim financials.

 

 

 

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

 

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