Company No: 12372730 (England and Wales)

Contents

• Balance Sheet
• Notes to the Financial Statements

	Note	31.12.2021		31.12.2020
		£		£
				Restated - note 2
Fixed assets
Investments	4	112,050		112,050
		112,050		112,050
Current assets
Debtors	5	549,789		549,789
Investments	6	14,469,225		12,322,640
Cash at bank and in hand		212,857		1,851,030
		15,231,871		14,723,459
Creditors
Amounts falling due within one year	7	( 29,562)		( 26,561)
Net current assets		15,202,309		14,696,898
Total assets less current liabilities		15,314,359		14,808,948
Creditors
Amounts falling due after more than one year	8	( 12,764,800)		( 13,800,360)
Net assets		2,549,559		1,008,588
Capital and reserves
Called-up share capital	9	400		400
Revaluation reserve		3,045,768		1,337,857
Profit and loss account		( 496,609 )		( 329,669 )
Total shareholders' funds		2,549,559		1,008,588

For the financial year ending 31 December 2021 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The members have not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of Sion Capital Limited (registered number: 12372730) were approved and authorised for issue by the Director on 23 August 2022. They were signed on its behalf by:

Mr C Traynor Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial period, unless otherwise stated.

General information and basis of accounting

Sion Capital Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is 8 Sion Hill, Sion Hill, Bristol, BS8 4BA, England, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the company and rounded to the nearest £.

Going concern

The Company's business activities, together with the factors likely to affect its future development, performance and position are set out in the Directors’ Report.

The Company's forecasts and projections, taking account of the continued possible impact of COVID-19 in trading performance, show that the company should be able to operate within the level of its current facilities.

Therefore, the directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

Reporting period length

The financial statements are prepared for the year to 31 December 2021. The comparative period is for the extended period from incorporation on 20 December 2019 to 31 December 2020. As such, the the comparatives are not entirely comparable.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Balance Sheet date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Profit and Loss Account in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account as described below.

Financial assets
Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account as described below.

An asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

For financial assets carried at amortised cost, the amount of impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

Fixed asset investments

Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value through profit or loss if the shares are publicly traded or their fair value can otherwise be measured reliably. Other investments are measured at cost less impairment.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include deposits held at call with banks.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Basic financial assets
Basic financial assets, which include debtors and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities
Basic financial liabilities, including loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Equity instruments
Equity instruments issued by the Company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.

2. Prior year adjustment

The accounts have been restated to incorporate the impact of a misclassification of the revaluation reserve. The change has resulted in a reduction in profits available for distribution at 31 December 2021 after tax by £1,337,857.

		As previously reported		Adjustment		As restated
Year ended 31 December 2020		£		£		£
Revaluation reserve		0		(1,337,857)		(1,337,857)
Profit and loss reserves		(1,008,188)		1,337,857		329,669

3. Employees

	Year ended 31.12.2021		Period from 20.12.2019 to 31.12.2020
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	2		2

4. Fixed asset investments

	Other investments		Total
	£		£
Carrying value before impairment
At 01 January 2021	112,050		112,050
At 31 December 2021	112,050		112,050
Provisions for impairment
At 01 January 2021	0		0
At 31 December 2021	0		0
Carrying value at 31 December 2021	112,050		112,050
Carrying value at 31 December 2020	112,050		112,050

5. Debtors

	31.12.2021		31.12.2020
	£		£
Amounts owed by related parties	549,390		549,390
Other debtors	399		399
	549,789		549,789

6. Current asset investments

	31.12.2021		31.12.2020
	£		£
Listed investments – at fair value	14,469,225		12,322,640

The fair value of listed investments, which are all traded in active markets, was determined with reference to the quoted market price at the reporting date.

The historical cost of the above investments which are included at market value is £11,580,618 (2020: £11,167,817).

7. Creditors: amounts falling due within one year

	31.12.2021		31.12.2020
	£		£
Other creditors	29,562		26,561

Secured Debt - Sg Kleinwort Hambros Bank Limited hold a fixed charge over the assets of the company.

8. Creditors: amounts falling due after more than one year

	31.12.2021		31.12.2020
	£		£
Amounts owed to related parties	50		50
Other creditors	12,764,750		13,800,310
	12,764,800		13,800,360

9. Called-up share capital

	31.12.2021		31.12.2020
	£		£
Allotted, called-up and fully-paid
100 A ordinary shares of £ 1.00 each	100		100
100 B ordinary shares of £ 1.00 each	100		100
100 C ordinary shares of £ 1.00 each	100		100
100 D ordinary shares of £ 1.00 each	100		100
	400		400

10. Related party transactions

Transactions with the entity's directors

	31.12.2021		31.12.2020
	£		£
Amounts due to key management personnel	12,764,750		13,800,310

Interest is charged on the above directors loan at 1.1% per annum.

Other related party transactions

	31.12.2021		31.12.2020
	£		£
Amounts due from other related parties	549,390		549,390