TIDMALNA

RNS Number : 2877N

Alina Holdings PLC

29 September 2021

29 September 2021

This announcement contains inside information as defined in Article 7 of the Market Abuse Regulation 596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations.

Alina Holdings PLC

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

("Alina" or the "Company")

Interim Results for the period ended 30 June 2021

Highlights for the 6 months ended 30 June 2021

GROUP RESULTS 1H 2021 versus 1H 2020

 
  Group Net Profit / (Loss) for the 
   period                             (GBP0.08)m vs. (GBP0.21)m 
 
  Group Earnings / (Loss) Per Share 
   (both basic and diluted)*(1)       (GBP0.36) vs. (GBP0.92) 
 
  Reported Book value per share*(2)   GBP0.28 vs. GBP0.30 
 
  Net Cash                            GBP2.9m vs. GBP4.1m 
 
 
 *(1) based on weighted average number of shares in issue 
  of 22,697,000 (1H20: 22,697,000) 
 *(2) based on actual number of shares in issue as at 30 
  June 2021 of 22,697,000 
 

CHAIRMAN'S STATEMENT

I am happy to present the unaudited interim accounts for the six months to 30 June 2021. Following the Company's readmission to the market and change of objectives, the Board has focused its efforts on reviewing potential new acquisitions whilst also managing the vestiges of the LSR property portfolio.

As shareholders may know, your board is not made up of what I would call, "property experts", which we think is a benefit, as we do not have any pre-, nor mis-conceptions of the value or opportunities of the Company's property assets. The current portfolio, which is not fully let is yielding in excess of 15%. Notwithstanding the yield and the Company's success in collecting in excess of 92% of rents during the duration of the Covid crisis, the Company's independent valuers, using the red-book method (akin to the car dealers' blue book!), have reduced their estimation of the value of the Company's assets. In the real world a portfolio of assets yielding 15% wouldn't be marked down when yielding 15%, unless of course interest rates were going through the roof, which they aren't...yet!

The Company's property portfolio includes shopping arcades in Oldham (nr Manchester), Brislington (Bristol) and Hastings (Sussex) where, as a reminder, England lost 1 - 0 to France in 1066.

Our 3 main properties are all leasehold for up to 186 years. Oldham has one vacant unit, where the tenant has vacated but is still paying, which we are working with them on re-leasing; Brislington is more or less fully let, needs some repairs but has some development potential, and Denmark Place in Hastings, where a major retailer, which has closed over 400 stores in the UK, has surrendered its lease, has ca. 9,000 sq. ft of available space. The good news is that the retailer was paying well below current market rates, and we believe that once cleaned up and repaired that we will be able to relet the property well above what we were previously receiving. Hastings may also have some expansion possibilities, which we are also investigating.

Given the above, we are not a seller at these levels.

As previously announced, the Company has dipped its toe into the leisure market and acquired 2.7% of Dolphin Capital Investors (DCI LON). DCI is a European Leisure business focused on developing high end hotels in the eastern Mediterranean (Greece and the surrounding area). DCI has lost its shareholders even more money than the previous board of Local Shopping REIT achieved...a record not to be proud of.

The shareholders of DCI voted some years ago to liquidate and return capital to shareholders. This process is still ongoing and will certainly take a few more years, in our opinion. Shareholders recently removed the previous board and are now working on accelerating the liquidation process. DCI's September 2021 NAV was 16p per share, as a going concern...which makes little sense to us when the company is in wind down mode. Nonetheless, we believe the break-up value of the Company is North of the current market price of 4.1p/share but South of 16p. We would be very happy to get out at 8p/share with a +100% gain on our cost or better. We do not, however, realistically believe that DCI shares will fetch 16p in liquidation. Time will tell.

The remainder of the Company's assets are in cash.

Conclusion

US markets are trading near their all-time highs, Chinese and Hong Kong markets are taking it on the chin. And interest rates are bouncing along the bottom of a pit whilst Central Bankers now have to find a way to ween drug addicts off free money...without causing a market collapse.

Dr Nouriel Roubini, (aka Dr Doom or Dr Realist, as he refers to himself) renowned for foreseeing the mortgage collapse which brought on the 2008 market collapse said, on 21 September 2021, that the post-pandemic world is heading for a repeat. His concern is that "We are in a debt trap" and in order to avoid a major market and economic collapse, Central Banks will inflate their way out of the situation they have created with, over time and inevitably, higher rates and slower growth, with the potential for Stagflation.

Unfortunately, I agree with Dr Doom/Realist, the elastic band is awfully stretched and risks snapping; what will the ultimate catalyst be, remains to be seen but, in our opinion, snap it probably will.

From an investment point of view, therefore, given the above and the possibility of a fourth Covid wave...we are glad to maintain our cash balance and wait for prices to adjust to reflect a slowing economy.

Portfolio Valuation

The fair value of the property portfolio of six assets held at 30 June 2021 was GBP2.795 million (30 June 2020: six assets, GBP3.120 million, 31 December 2020: six assets, GBP2.795 million), based on the valuation provided by Allsop LLP, a firm of independent chartered surveyors, as at 30 September 2020. The holding value of the property assets in the Company's accounts was GBP2.775 million (30 June 2020: GBP3.100 million, 31 December 2021: GBP2.775 million), which took account of agreed pricing, where contracts for sale had been exchanged, and sales costs for all transactions in progress. The directors considered that it was not appropriate to undertake a further valuation of the property assets during the prevailing epidemic, bearing in mind the recent date of the previous valuation and the continuing unsettled state of the market. For the 30 September 2020 independent valuation, two of the larger assets were subject to full RICS valuations, with the remainder subject to desktop updates of their previous full valuations provided by Allsop LLP in July 2019. The holding value of the property assets in the financial statements takes account of the agreed pricing for disposal of the one remaining property considered to be held for sale and also incorporates the estimated transaction costs for the sale. On 30 June 2021 the aggregate holding value of the property investment portfolio in the Company's accounts, incorporating the adjustment for the value of head leases under IFRS 16, was GBP3.116 million (30 June 2020: GBP3.816 million, 31 December 2021: GBP3.092 million). On a like-for-like basis (excluding the value of properties disposed of during the year), the property valuation at 31 December 2020 showed a reduction on the 30 September 2019 valuation of 10.42%.

Dolphin Capital Investors (DCI LON)

Dolphin Capital Investors Ltd (www.dolphinci.com) has been a leading investor and developer in the luxury residential resort sector. Dolphin aims to dispose all of the company's assets by 31 December 2021.

https://www.dolphinci.com/wp-content/uploads/DCI-Fact-Sheet_September21.pdf

Responsibility Statement

We confirm that to the best of our knowledge:

(a) 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;

(b) 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

(c) 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

Alina Holdings PLC

28 September 2021

Interim Condensed Consolidated Statement of Income

For the six months ended 30 June 2021

 
                                               Six months   Six months   15 months 
                                                    ended        ended       ended 
                                                   30 Jun       30 Jun      31 Dec 
                                                       21           20          20 
                                                Unaudited    Unaudited     Audited 
                                        Note          GBP          GBP         GBP 
 
 Gross rental income                                  218          214         598 
 Property operating expenses                         (72)         (28)       (159) 
 Net rental income                                    146          186         439 
-------------------------------------  -----  -----------  -----------  ---------- 
 Profit/Loss on disposal of 
  investment properties                                 -            5           1 
 Profit/(loss) from change in fair 
  value of investment properties                        -            -       (325) 
 Profit/(loss) from change in fair                    125            -           - 
  value of afs investments 
 Administrative expenses including 
  non-recurring items                               (245)        (277)       (489) 
                                       -----               -----------  ---------- 
 Operating loss before net financing 
  costs                                                26         (86)       (374) 
 Depreciation                                         (2)            -           - 
 Financing income*                                     54            -           3 
 Financing expenses*                                (160)        (123)        (94) 
-------------------------------------  -----  -----------  -----------  ---------- 
 Loss before tax                                     (82)        (209)       (465) 
-------------------------------------  -----  -----------  -----------  ---------- 
 Taxation                                               -            -           - 
-------------------------------------  -----  -----------  -----------  ---------- 
 Profit/(loss) for the year 
  from continuing operations                         (82)        (209)       (465) 
-------------------------------------  -----  -----------  -----------  ---------- 
 
 Attributable to: 
 Equity shareholders of the 
  parent                                             (82)        (209)       (465) 
                                                     (82)        (209)       (465) 
-------------------------------------  -----  -----------  -----------  ---------- 
 
 Earnings per share - GBP- pence 
  (using weighted average number 
  of shares) 
 Basic and Diluted                         3       (0.36)       (0.92)      (2.05) 
-------------------------------------  -----  -----------  -----------  ---------- 
 

Interim Condensed Consolidated Statement of Comprehensive Income

For the six months ended 30 June 2021

 
                                         Six months   Six months   15 months 
                                              ended        ended       ended 
                                             30 Jun       30 Jun      31 Dec 
                                                 21           20          20 
                                          Unaudited    Unaudited     Audited 
                                                GBP          GBP         GBP 
 
 Profit/(loss) for the financial year          (82)        (209)       (465) 
 Other comprehensive income: 
 
 Total comprehensive income                    (82)        (209)       (465) 
--------------------------------------  -----------  -----------  ---------- 
 
 Attributable to: 
 Equity shareholders of the parent             (82)        (209)       (465) 
                                        -----------  -----------  ---------- 
 Total Comprehensive income                    (82)        (209)       (465) 
--------------------------------------  -----------  -----------  ---------- 
 

Interim Condensed Consolidated Statement of Financial Position

As at 30 June 2021

 
                                            As at       As at     As at 
                                           30 Jun      30 Jun    31 Dec 
                                               21          20        20 
                                 Note   Unaudited   Unaudited   Audited 
 Assets                                       GBP         GBP       GBP 
 Non-current assets 
 Investment properties              4       2,786       3,139     2,762 
 Available for sale financial 
  assets                            5       1,082           -         - 
 Total non-current assets                   3,868       3,139     2,762 
-------------------------------------  ----------  ----------  -------- 
 
 Current assets 
 Trade and other receivables                  466         348       228 
 Investment properties held for 
  sale                                        330         330       330 
 Cash and cash equivalents                  2,920       4,050     4,073 
 Total current assets                       3,716       4,728     4,631 
------------------------------  -----  ----------  ----------  -------- 
 Total assets                               7,584       7,867     7,393 
------------------------------  -----  ----------  ----------  -------- 
 
 Non-current liabilities 
 Finance lease liabilities          6       (324)       (350)     (300) 
 Total non-current liabilities              (324)       (350)     (300) 
-------------------------------------  ----------  ----------  -------- 
 
 Liabilities 
 Current liabilities 
 Trade and other payables                   (815)       (694)     (566) 
 Total current liabilities                  (815)       (694)     (566) 
-------------------------------------  ----------  ----------  -------- 
 Total liabilities                        (1,139)     (1,044)     (866) 
------------------------------  -----  ----------  ----------  -------- 
 
 Net assets                                 6,445       6,823     6,527 
------------------------------  -----  ----------  ----------  -------- 
 
 Shareholders' Equity 
 Share capital                     10         319         319       319 
 Capital redemption reserve                   598         598       598 
 Retained earnings                          5,528       5,906     5,610 
 Total shareholders' equity                 6,445       6,823     6,527 
 Total equity                               6,445       6,823     6,527 
------------------------------  -----  ----------  ----------  -------- 
 

Interim Condensed Consolidated Statement of Cash Flows

For the six months ended 30 June 2021

 
                                                 As at       As at     As at 
                                                30 Jun      30 Jun    31 Dec 
                                                    21          20        20 
                                             Unaudited   Unaudited   Audited 
                                                   GBP         GBP       GBP 
 
 
 Cash flows from operating activities 
 Profit/Loss for the period before 
  taxation                                        (82)       (209)     (465) 
 Loss from change in fair value 
  of investment properties                           -           -       325 
 Gain from change in fair value                  (125)           -         - 
  of afs 
 Loss from change in fair value 
  of head leases                                     -           -        48 
 Net financing loss/(income)                       117         123        91 
 (Profit)/Loss on disposal of 
  investment properties                              -           5       (1) 
 Decrease/ (Increase) in trade 
  and other receivables                           (83)          70       150 
 (Decrease)/ Increase in trade 
  and other payables                                92         204       146 
 Loss on foreign exchange                         (95)       (123)      (57) 
 Lease liability interest                         (11)           -      (26) 
 Depreciation                                        2           -         - 
 Interest paid                                       -         (6)       (7) 
 Interest received                                   -           1         3 
 Net cash flow from operating 
  activities                                     (185)          65       207 
------------------------------------------  ----------  ----------  -------- 
 
 Net proceeds from sale of investment 
  properties                                         -           -       348 
 Net proceeds/(purchases) from available         (957)           -         - 
  for sale investments 
 Net cash flow in investing activities           (957)           -       348 
------------------------------------------  ----------  ----------  -------- 
 
 Cash flows from financing activities 
 Reduction in head lease liabilities              (11)           -      (48) 
 Net cash flow from financing activities 
  - continuing operations                         (11)           -      (48) 
------------------------------------------  ----------  ----------  -------- 
                                                                           - 
 Net increase in cash and cash 
  equivalents                                  (1,153)          65       507 
 Cash and cash equivalents at 
  the start of the year                          4,073       3,985     3,566 
 Cash and cash equivalents at 
  the end of the year                            2,920       4,050     4,073 
------------------------------------------  ----------  ----------  -------- 
 

Interim Condensed Consolidated Statement of Changes in Equity

For the six months ended 30 June 2021

 
                               Attributable to owners of the 
                                Company 
                              -------------------------------------------  ------- 
                                                     Capital 
                                Share               redemption   Retained 
                               Capital   Reserves    reserve     Earnings   Total 
                               GBP000     GBP000      GBP000      GBP000    GBP000 
 Balance as at 31 December 
  2019                           319         -         598        6,115     7,032 
----------------------------  --------  ---------  -----------  ---------  ------- 
 Loss for Period                  -          -           -        (209)     (209) 
 Balance as at 30 June 2020      319         -         598        5,906     6,823 
----------------------------  --------  ---------  -----------  ---------  ------- 
 Loss for Period                  -          -           -        (296)     (296) 
 Balance as at 
  31 December 2020               319         -         598        5,610     6,527 
----------------------------  --------  ---------  -----------  ---------  ------- 
 Loss for Period                  -          -           -         (82)      (82) 
 Balance as at 30 June 2021      319         -         598        5,528     6,445 
----------------------------  --------  ---------  -----------  ---------  ------- 
 

ACCOUNTING POLICIES

The Group prepares its accounts in accordance with applicable International Financial Reporting Standards ("IFRS") as adopted by the UK

Notes to the Interim Condensed Consolidated Financial Information

   1.   General information 

Alina Holdings PLC ("Alina" or the "Company") is a company registered on the Main Market of the London Stock Exchange.

In December 2020 the Company changed its accounting reference date to 31 December in each year, following which it published an interim report for the six months to its previous accounting reference date of 30 September 2020. The comparative period reported on in this document is therefore the six months from the 1 January 2020 and 30 June 2020, thereby ensuring continuity in the Company's financial reporting.

   2.   Significant Accounting policies 

The Group prepares its accounts in accordance with applicable International Financial Reporting Standards ("IFRS") as adopted by the UK.

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 2020 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.

Estimates

There are no changes to the estimates since last reporting period.

Segmental reporting

IFRS 8 requires operating segments to be identified on the basis of internal reports that are regularly reported to the chief operating decision maker to allocate resources to the segments and to assess their performance. Since the strategy review in July 2013 the Group has identified one operation and one reporting segment, being rental income in the UK, which is reported to the Board of directors on a quarterly basis. The Board of directors is considered to be the chief operating decision maker.

2.1. Basis of preparation

The condensed consolidated interim financial information for the six months ended 30 June 2021 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 2020.

These condensed interim financial statements for the six months ended 30 June 2021 and 30 June 2020 are unaudited and do not constitute full accounts. The comparative figures for the period ended 31 December 2020 are extracted from the 2020 audited financial statements. The independent auditor's report on the 2020 financial statements was not qualified.

All intra-group 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 Group has sufficient cash to fund its current commitments for the foreseeable future.

   3.   Earnings per share 
 
                                              Six months   Six months   15 months 
                                                   ended        ended       ended 
                                                  30 Jun       30 Jun      31 Dec 
                                                      21           20          20 
                                               Unaudited    Unaudited     Audited 
 The calculation of earnings per share 
  is based on 
  the following loss and number of shares: 
 Profit/(loss) for the period (GBP'000)             (82)        (209)       (465) 
 
 Weighted average number of shares of the 
  Company ('000)                                  22,697       22,697      22,697 
                                             -----------  -----------  ---------- 
 
 Earnings per share: 
 Basic and Diluted (GBP - pence)                  (0.36)       (0.92)      (2.05) 
 

Notes to the Interim Condensed Consolidated Financial Information Continued

   4.   Investment Properties 
 
                                        Freehold    Leasehold 
                                      Investment   Investment 
                                      Properties   Properties    Total 
                                          GBP000       GBP000   GBP000 
 
 At 31 December 2019                          40        3,099    3,139 
-----------------------------------  -----------  -----------  ------- 
 Fair value adjustments                        -            -        - 
 At 30 June 2020                              40        3,099    3,139 
-----------------------------------  -----------  -----------  ------- 
 Fair value adjustment - head 
  leases                                       -         (48)     (48) 
 Depreciation - head leases                    -          (4)      (4) 
 Fair value adjustments - property             -        (325)    (325) 
 At 31 December 2020                          40        2,722    2,762 
-----------------------------------  -----------  -----------  ------- 
 Fair value adjustment - head 
  leases                                       -           26       26 
 Depreciation - head leases                    -          (2)      (2) 
 At 30 June 2021                              40        2,746    2,786 
-----------------------------------  -----------  -----------  ------- 
 

Allsop LLP, a firm of independent chartered surveyors valued the Group's property portfolio at 30 September 2017, 31 March 2018, 30 September 2018 and 31 March 2019. On each of these dates Allsop LLP performed a full valuation of 25% of the Group's properties (including site inspections) and a desktop valuation of the remainder, such that all properties owned by the Group have been inspected and valued over the two-year period. The valuations, using assumptions regarding yield rates, void levels and comparable market transactions, were undertaken in accordance with the Royal Institute of Chartered Surveyors Appraisal and Valuation Standards on the basis of market value. Market value is defined as the estimated amount for which a property should exchange on the date of valuation between a willing buyer and a willing seller in an arm's length transaction, after proper marketing wherein the parties had each acted knowledgeably, prudently and without compulsion

In July 2019 Allsop LLP carried out a full valuation (including site visits) on all the properties held at that date. In the light of that recent full valuation, for the 30 September 2019 financial statements the Company had desktop valuations prepared by Allsops for all the properties in the portfolio at that date, except for three properties which were considered to be held for sale and were therefore valued at their expected sale price less sales costs.

The six property assets held at 30 September 2020 were valued at that date by Allsop LLP. In line with the Company's established valuation policy, two of the larger assets were subject to full RICS valuations, including site inspections, with the remainder subject to desktop updates of their previous carrying values. In view of the market uncertainty and the operational restrictions arising from the COVID-19 outbreak, the directors did not consider it appropriate to carry out a fresh valuation of the property portfolio at the half-year. The six properties contained in the portfolio therefore continue to be recognised in the financial statements at their holding value in the Company's accounts at 30 September 2020. One property is considered to be held for sale and its holding value in the Company's accounts therefore takes account of agreed pricing and sales costs. There were no sales during the period.

Material valuation uncertainty

The outbreak of the Coronavirus (COVID-19), declared by the World Health Organization as a "Global Pandemic" on 11 March 2020, has impacted global financial markets and global economy. Despite the easing of restrictions, the future impact that COVID-19 might have on the real estate market gives that less certainty should be attached to the valuation than would normally be the case. A reconciliation of the portfolio valuation at 30 June 2021 to the total value for investment properties given in the Consolidated Balance Sheet is as follows:

 
                                          As at       As at       As at 
                                      30 Jun 21   30 Jun 20   31 Dec 20 
                                      Unaudited   Unaudited     Audited 
                                         GBP000      GBP000      GBP000 
 
 Portfolio valuation                      2,775       3,100       2,775 
 Investment Properties held for 
  sale                                    (330)       (330)       (330) 
 Head leases treated as investment 
  properties per IFRS 16                    341         369         317 
 Total per Balance Sheet                  2,786       3,139       2,762 
                                     ----------  ----------  ---------- 
 

Notes to the Interim Condensed Consolidated Financial Information Continued

   5.   Available for sale investments 

The Group 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 21   30 Jun 20   31 Dec 20 
                                  Unaudited   Unaudited     Audited 
                                     GBP000      GBP000      GBP000 
 Available for sale investments 
 At the beginning of the period           -           -           - 
 Additions                              957           -           - 
 Unrealised gain/(losses)               125           -           - 
 Disposals                                -           -           - 
 
 At period close                      1,082           -           - 
-------------------------------  ----------  ----------  ---------- 
 

AFS investments have been valued incorporating Level 1 inputs in accordance with IFRS7. They are a combination of cash and securities held with the listed broker.

Financial instruments require classification of fair value as determined by reference to the source of inputs used to derive the fair value. This classification uses the following three-level hierarchy:

Level 1 - quoted prices (unadjusted) in active markets for identical assets or liabilities;

Level 2 - inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices);

Level 3 - inputs for the asset or liability that are not based on observable market data (unobservable inputs).

   6.   Lease liabilities 
 
 Finance lease liabilities on           Minimum 
  head rents are payable as follows: 
                                          Lease 
                                        Payment   Interest   Principal 
                                         GBP000     GBP000      GBP000 
 At 30 September 2019                     3,074    (2,705)         369 
-------------------------------------  --------  ---------  ---------- 
 Movement in value                        (340)        292        (48) 
 At 30 December 2020                      2,734    (2,413)         321 
-------------------------------------  --------  ---------  ---------- 
 Head lease payment increase 
  following rent review                     317      (292)          25 
 Movement in value                         (11)         11           0 
 At 30 June 2021                          3,040    (2,694)         346 
-------------------------------------  --------  ---------  ---------- 
 
 Short term liabilities                      19          -          19 
 Long term liabilities                    3,055    (2,705)         350 
 At 30 June 2020                          3,074    (2,705)         369 
-------------------------------------  --------  ---------  ---------- 
 Short term liabilities                      21          -          21 
 Long term liabilities                    2,713    (2,413)         300 
 At 31 December 2020                      2,734    (2,413)         321 
-------------------------------------  --------  ---------  ---------- 
 Short term liabilities                      22          -          22 
 Long term liabilities                    3,018    (2,694)         324 
 At 30 June 2021                          3,040    (2,694)         346 
-------------------------------------  --------  ---------  ---------- 
 

In the above table, interest represents the difference between the carrying amount and the contractual liability/cash flow. All leases expire in more than five years.

Notes to the Interim Condensed Consolidated Financial Information Continued

   7.   Related party balances and transactions 

As at the period end the Group owed GBP139,599 (December 2020: GBP99,700, June 2020: GBP18,400) to Thalassa Holdings Limited ("Thalassa"), a company under common directorship. The bulk of this sum related to legal fees settled by Thalassa but payable by the Group. The remained related to accounting and registered office services supplied to the Group by Thalassa at cost. The total amount is treated as an unsecured, interest free loan made repayable on demand. The full amount was settled August 2021.

During the period the Group accrued GBP77,598 (December 2020: nil, June 2020: nil) for consultancy and administrative services provided to the Group by a company in which the Chairman has a beneficial interest.

   8.   Share capital 
 
                                    As at       As at     As at 
                                   30 Jun      30 Jun    31 Dec 
                                       21          20        20 
                                Unaudited   Unaudited   Audited 
                                      GBP         GBP       GBP 
 
 Allotted, issued and fully 
  paid: 
 22,697,000 ordinary shares 
  of GBP0.01 each                 226,970     226,970   226,970 
 
 9,164,017 treasury shares 
  of GBP0.01 each                  91,640      91,640    91,640 
 
 Total Share Capital              318,610     318,610   318,610 
-----------------------------  ----------  ----------  -------- 
 

During the year to 30 September 2019, the Company underwent a Court approved restructure of capital and buy back of shares. Under this action the issued 20p shares were converted to 1p; capital reserves were transferred to distributable reserves; 59,808,456 shares were repurchased, and a new Capital Redemption Reserve of GBP0.598m was established.

Investment in Own Shares

At the year-end, 9,164,017 shares were held in treasury (September 2019: 9,164,017, June 2020: 9,164,017), and at the date of this report 9,164,017 were held in treasury.

   9.   Subsequent events 

There were no subsequent events.

10. Copies of the Interim Report

The interim report is available on the Company's website: www.alina-holdings.com .

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