Nova Pangaea Technologies (UK) Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 08881891 (England and Wales)

Financial Statements

for the Year Ended 31 December 2020

for

Nova Pangaea Technologies (UK) Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

S P Crabtree

S Ellerby

W L Irvin-Braben

P J McNeill

D J Pitt-Watson

N Guilder

REGISTERED OFFICE:

Lealholme Building

Wilton International

MIDDLESBROUGH

TS10 4RG

REGISTERED NUMBER:

08881891 (England and Wales)

SENIOR STATUTORY AUDITOR:

Kevin Shotton BA BFP FCA

AUDITORS:

Clive Owen LLP

Chartered Accountants

& Statutory Auditors

140 Coniscliffe Road

Darlington

County Durham

DL3 7RT

FIXED ASSETS

Intangible assets

4

-

861

Tangible assets

5

-

-

-

861

CURRENT ASSETS

Debtors

6

122,073

153,960

Cash at bank and in hand

265,996

45,001

388,069

198,961

CREDITORS

Amounts falling due within one year

7

8,097,508

6,877,489

NET CURRENT LIABILITIES

(7,709,439

)

(6,678,528

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(7,709,439

)

(6,677,667

)

CAPITAL AND RESERVES

Called up share capital

9

1

1

Retained earnings

(7,709,440

)

(6,677,668

)

SHAREHOLDERS' FUNDS

(7,709,439

)

(6,677,667

)

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 15 September 2021 and were signed on its behalf by:

P J McNeill - Director

1.	STATUTORY INFORMATION

Nova Pangaea Technologies (UK) Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

There were no material departures from that standard.

The principal accounting policies adopted in the preparation of the financial statements are set out below and have remained unchanged from the previous year, and also have been consistently applied within the same accounts.

Going concern

The directors consider it appropriate to prepare the financial statements on the going concern basis. The company meets its day to day working capital requirements through continued support from the ultimate parent company and the ultimate investors in the group and by way of various grant funding.

The company is developing advanced biofuel, biochemical and biopolimer technology and based on the directors' market knowledge, the directors are confident that this technology can be successfully developed and commercialised.

The directors have prepared projected cashflow information for the twelve months following the date of approval of these financial statements. In August 2021 the group was successful in raising £2.4m of additional equity investment. Following this investment the directors are confident that the group will have sufficient available cash reserves for twelve months from the date of sign off of these financial statements.

The ultimate parent company Nova Pangaea (Holdings) Limited has undertaken to continue to provide sufficient financial support following investment by shareholders and have no intention to request repayment of the creditor balance in the 12 months following the date of approval of the financial statements.

On the basis of the above the directors believe it is appropriate to continue to adopt the going concern basis in the preparation of the financial statements. The financial statements therefore do not include any adjustments that would result from the going concern basis no longer being appropriate.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 Section 1A, not to disclose related party transactions that are transacted at market rates.

Turnover

Turnover is measured at the fair value of consideration received or receivable, excluding discounts, rebates, valued added tax and other sales taxes.

Income recognition

Income is recognised in line with customer agreements when the services have been provided to the customer.

Intangible assets

Intangible fixed assets are fully impaired in the year in which they are purchased.

Tangible fixed assets

Tangible fixed assets are fully impaired in the year in which they are purchased.

Government grants

Grants are accounted for under the accruals model as permitted by FRS 102. Revenue grants are recognised in profit and loss in the same period as the related expenditure.

Financial instruments

Basic financial instruments are recognised at amortised cost with changes recognised in profit or loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 12 (2019 - 7 ) .

4.	INTANGIBLE FIXED ASSETS

Development

costs

£

COST

At 1 January 2020

861

Impairments

(861

)

At 31 December 2020

-

NET BOOK VALUE

At 31 December 2020

-

At 31 December 2019

861

5.	TANGIBLE FIXED ASSETS

Fixtures

and

Computer

fittings

equipment

Totals

£

£

£

COST

Additions

1,213

583

1,796

Impairments

(1,213

)

(583

)

(1,796

)

At 31 December 2020

-

-

-

NET BOOK VALUE

At 31 December 2020

-

-

-

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade debtors

52,820

-

Other debtors

32,713

143,586

Prepayments

36,540

10,374

122,073

153,960

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade creditors

279,994

247,700

Amounts owed to group undertakings

7,705,586

6,552,776

Taxation and social security

59,163

17,145

Other creditors

3,133

2,075

Accruals

49,632

57,793

8,097,508

6,877,489

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2020

2019

£

£

Within one year

47,610

47,610

Between one and five years

190,440

190,440

In more than five years

130,928

178,538

368,978

416,588

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

1

Ordinary

£1

1

1

10.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Kevin Shotton BA BFP FCA (Senior Statutory Auditor)

for and on behalf of Clive Owen LLP

11.	ULTIMATE CONTROLLING PARTY

The ultimate parent company is Nova Pangaea (Holdings) Limited. The registered office is Leaholme Building, Wilton International, Middlesbrough, Teesside, TS10 4RG.