TIDMMTR
Metal Tiger Plc
30 September 2016
Metal Tiger Plc
("Metal Tiger" or the "Company")
2016 Interim Report
Metal Tiger plc (LON:MTR) the London Stock Exchange AIM listed
investor in strategic natural resource projects is pleased to
announce its unaudited interim results for the half year ended 30
June 2016.
Key Highlights:
METAL PROJECTS
-- Major copper-silver discovery made in Botswanan Joint Venture ("JV")
with MOD Resources (ASX: MOD) and post half year end
substantial
maiden JORC compliant resource announced for first JV target
T3;
-- Thailand JV partner advanced considerably with new projects and the
building of a team capable of preparing for future mining
operations.
Extensive due diligence and negotiations undertaken in respect
of Boh
Yai and Song Toh silver-lead-zinc mines and commercial
transaction
signed with the mine owner in August 2016;
-- In Spain, Logrosan 2015 tungsten and gold exploration programmes
completed with two tungsten deposits confirmed together with
gold
mineralisation. The success of the 2015 programme supported
further
investment in 2016 and signing of new JV agreement over the
Maria gold
focused project in May 2016;
-- Extensive pipeline of new resource opportunities identified and
suitable for investment by Metal Tiger, or other existing AIM
vehicles
or new vehicles quoted or listed on a recognised stock exchange
or
other trading platforms in which Metal Tiger has invested.
Extensive
work being undertaken to monetise the additional pipeline
interests to
increase Metal Tiger value per share.
ASSET TRADING
-- Net Gain on Investments in the half year GBP2,135,200 (prior half year
ended 30.6.15 GBP534,300);
-- Investments Held for Trading amounted to GBP3,735,400 (prior year end
31.12.15 GBP692,900);
-- Strategic equity and warrant holdings at the half year end in fourteen
AIM, TSX or ASX listed resource companies;
-- Asset Trading division poised and ready for what we anticipate will be
the next positive growth phase in the resource sector
recovery.
WORKING CAPITAL AND OVERALL ASSETS
-- Comprehensive Profit for the half year ended 30 June 2016 GBP559,400
(prior half year ended 30 June 2015 GBP98,800);
-- At 30 June 2016 Cash at Bank amounted to GBP808,200 (prior year end
31.12.15 GBP353,900) and, in addition, Investments Held for
Trading
amounted to GBP3,745,400 (prior year end 31 December 2015
GBP692,900);
-- Net Current Assets at 30 June 2016 amounted to GBP4,770,300 (prior year
end 31 December 2015 GBP1,058,300);
-- Overall Net Assets at 30 June 2016 amounted to GBP5,199,700 (prior year
end 31 December 2015 GBP1,525,200).
KEY PERFORMANCE INDICATORS
Unaudited UnauditedSix AuditedYear ended
Six months ended30 monthsended 31 December
June 2016 30 June 2015
2015
Net asset value 5,199,700 1,560,800 1,525,200
Net asset value 0.96p 0.57p 0.41p
- fully
diluted per share
Closing share 3.45p 0.975p 0.875p
price
Market GBP19,666,000 GBP2,961,000 GBP3,278,000
capitalisation
Chairman's Statement
The half year ended 30 June 2016 was a period of significant
advancement for the Company, most notably with the discovery of a
major copper-silver deposit at the Company's Botswanan JV.
The Botswanan discovery has dominated the headlines for Metal
Tiger which is understandable, however this has meant other
material developments in our business have been somewhat
overshadowed.
The half-year saw our Thai JV business flourish; with finance
from London, extremely capable in-country management, a growing
technical team and some exceptional geological exploration and
mining opportunities. For Thailand, the half-year in particular
meant extensive due diligence and preparatory work leading into a
commercial agreement to permit, refurbish and reinstate two high
grade silver-lead-zinc mines which was signed in August 2016.
In Spain, we completed the work from our 2015 programme,
successfully exploring and finding tungsten deposits and gold
mineralisation at our Logrosan JV. The success from 2015 meant an
expansion of our investing activities with the acquisition of an
interest in the gold focused Maria Project in May 2016.
We continue to hold interests with Kibo Mining plc (LON:KIBO) in
Tanzanian Uranium & Gold and Eurasia Mining in Russian Gold
(LON:EUA). Further updates in respect of these projects will be
provided shortly.
The Company also has a burgeoning pipeline of new opportunities
which as yet have not been made public. This pipeline offers a rich
source of mineral opportunities across precious, base, strategic
and energy metals and also in fintech opportunities relating to the
precious metals sector.
Rapid advancement of Metal Projects have been matched by a rapid
growth of the Company's Asset Trading business which has
demonstrated investment gains of circa GBP2.13m in the half year.
This is an outstanding result and has enabled the business,
together with two fund raising rounds to build its working capital
and a much stronger balance sheet.
In August, we published a summary of the Company's Current Asset
position demonstrating the underlying financial strength of our
business. As the resource sector recovery continues we expect to
make further substantial gains in our Asset Trading division.
During the half year and shortly after Metal Tiger has built
notifiable positions in Connemara Mining (LON:CON), Conroy Gold
(LON:CGNR), Goldstone Resources (LON:GRL), Greatland Gold
(LON:GGP), MetalNRG (ISDX:MNRG), MOD Resources (ASX:MOD), Opera
Investments (LON:OPRA), Orsu Metals (LON:OSU), Red Rock Resources
(LON:RRR) and Thor Mining (LON:THR, ASX:THR). These holdings
provide strategic exposure for Metal Tiger to a resource sector
recovery and were acquired during what we consider has been a low
phase in resource markets.
The potential upside from our Asset Trading division has been
further enhanced by the acquisition of equity warrants during our
participation in strategic financings. The Company now holds
material equity warrants in eleven resource companies and expects
these instruments to deliver significant value in the short to
medium term.
The Company has been supported by high net worth investors from
whom just under GBP1.5m was raised in secondary financings in the
half year and a further GBP1.1m was raised in August 2016. In
addition, GBP1.6m has been raised through warrant conversions to
date in 2016. We are grateful for that support and the additional
money raised has enabled us to embolden our investing activities by
accelerating work programmes, undertaking additional specific
investments and accessing a wider range of opportunities.
Metal Tiger is in a fortunate position. However, we face a
number of key challenges that will determine how fast we can
develop as a Company and therefore the pace of value generation for
shareholders.
Firstly, among the key challenges, we can easily grow the scale
and diversity of Metal Tiger by bringing in additional investment
opportunities. Although that scale and diversity may be appealing,
we are minded that size is not the sole determinant of success.
Growth needs to deliver value. So we have been reviewing the
structure of our business to ensure we maximise focus on our key
businesses, whilst supporting, nurturing and ultimately
spinning-out non-core interests.
Another key challenge is our burgeoning pipeline of
opportunities. This pipeline has been built on the experience and
connections of the board, but also with a good degree of hard work
and effort by the team. We will not let this value slip away, and
despite the rapid growth of activity in the company, we are
creating a route to securing value for Metal Tiger shareholders
from our pipeline. So where the Board sees value, we are working on
the injection of projects either into other AIM vehicles, or where
appropriate, vehicles on other exchanges or platforms. This is time
consuming work but the value returned can be disproportionately
high to the underlying effort, particularly when managing such
transactions from what the Board sees as the bottom of the resource
market.
Finally, an important note of thanks to all our advisers and
partners. Metal Tiger, and any success it achieves, depends
resolutely on the support and assistance of those engaged and
working with us. Moreover, thank you to our shareholders, many of
whom have been with the Company throughout the past two years.
Metal Tiger operates in what is often termed a high-risk sector.
By definition therefore, investors can and should expect a high
return investment and that is what we are focused on delivering
whilst managing the business risks incumbent in our industry.
We are working hard and trust we will continue to deliver the
kind of business progress that can make a difference in investors'
lives with real value from our work being distributed into the
hands of the shareholders who continue to support us.
Terry Grammer, Chairman
Condensed Statement of Comprehensive Income
For the six months ended 30 June 2016
Consolidated Company (see note 2)
Notes Unaudited Six Unaudited Six months Audited
months ended Year ended
Ended 30 June 31 December
30 June 2015 2015
2016 GBP'000 GBP'000
GBP'000
Commissions - - 31.7
received
Net gains on 78.8 840.6 1,149.5
disposal
of investments
Movement in 2,056.4 (306.3) (729.1)
fair value
of investments
held for
trading
Share of (7.1) - (8.8)
post tax
losses of
equity
accounted
associates
Share of (53.8) - (72.8)
post tax
losses of
equity
accounted
jointventures
Provision (216.3) - (83.1)
against
cost of joint
venture
investments
Investment 0.2 - 0.1
income
Net 3 1,858.2 534.3 287.5
gain
on investments
Administrative (1,486.8) (435.1) (886.6)
expenses
Bargain 6 178.4 - -
purchase
on acquisition
of subsidiary
Operating 549.8 98.8 (599.1)
profit/(loss)
Finance costs (0.1) - -
Finance income 0.1 - -
Profit/(loss) 3 549.8 98.8 (599.1)
before
taxation
Tax 4 - - -
on profit/(loss)
on
ordinary
activities
Profit/(loss) 549.8 98.8 (599.1)
on ordinary
activities
after taxation
Other
comprehensive
income:
Exchange 9.6 - -
differences
on translation
of foreign
operations
Total 559.4 98.8 (599.1)
comprehensive
profit/(loss)
for the period
Profit/(loss)
for
the period
attributable
to:
Owners of the 583.1 98.8 (599.1)
parent
Non-controlling (33.3) - -
interest
549.8 98.8 (599.1)
Total
comprehensive
income/(loss)
for
the
period
attributable
to:
Owners of the 671.6 98.8 (599.1)
parent
Non-controlling (112.2) - -
interest
559.4 98.8 (599.1)
Earnings per
share
Basic 5 0.11p 0.04p (0.2p)
earnings/(loss)
per share
Fully 5 0.10p 0.04p (0.2p)
diluted
earnings/(loss)
per share
Condensed Consolidated Statement of Financial Position
At 30 June 2016
Consolidated Company (see note 2)
Notes Unaudited Unaudited Audited
30 June 30 June 31 December
2016 2015 2015
GBP'000 GBP'000 GBP'000
Non-current assets
Property, plant 19.5 - -
and equipment
Investment in associates 204.7 - 58.4
Investment in joint 340.1 319.8 408.5
ventures
Other non-current assets 49.6 - -
613.9 319.8 466.9
Current assets
Investments held 3,745.4 949.8 692.9
for trading
Trade and other receivables 390.2 24.4 104.1
Cash and cash equivalents 808.2 538.7 353.9
Total current assets 4,943.8 1,512.9 1,150.9
Current liabilities
Trade and other payables (173.5) (271.9) (92.6)
Total current liabilities (173.5) (271.9) (92.6)
Net current assets 4770.3 1,241.0 1,058.3
Non-current liabilities
Trade and other payables (131.5) - -
Contingent consideration 6 (53.0) - -
Total non-current (184.5) - -
liabilities
Net assets 5,199.7 1,560.8 1,525.2
Capital and reserves
Called up share capital 669.8 643.2 650.3
Share premium account 7,907.3 4,126.7 4,428.9
Share based payment reserve 514.2 71.6 155.3
Warrant reserve 390.1 - 269.3
Translation reserve 88.5 - -
Profit and loss account (3,409.0) (3,280.7) (3,978.6)
Total shareholders' funds 6,160.9 1,560.8 1,525.2
Equity non-controlling (961.2) - -
interests
Total equity 5,199.7 1,560.8 1,525.2
Condensed Consolidated Statement of Changes in Equity
For the six months ended 30 June 2016 (unaudited)
Called up Share premium account Share based payment Warrant reserveGBP'000 Translation reserveGBP'000 Retained losses Total equity shareholders' Non-controlling Total equityGBP'000
share GBP'000 reserve GBP'000 funds interestsGBP'000
capital GBP'000 GBP'000
GBP'000
Balance at 1 637.9 3,700.9 71.6 - - (3,379.5) 1,030.9 - 1,030.9
January 2015
Profit for the period - - - - - 98.8 98.8 - 98.8
and total
comprehensive income
Cost of share based - - - - - - - -
payments
Issue of new shares 5.3 469.7 - - - - 475.0 - 475.0
Share issue costs (43.9) - - - - (43.9) - (43.9)
Balance at 30 643.2 4,126.7 71.6 - - (3,280.7) 1,560.8 - 1,560.8
June 2015
Loss for the period - - - - - (697.9) (697.9) - (697.9)
and total
comprehensive income
Issue of new shares 7.1 300.3 - 269.3 - - 576.7 - 576.7
Share issue costs - 1.9 - - - - 1.9 - 1.9
Cost of share based - - 83.7 - - - 83.7 - 83.7
payments
Balance at 31 650.3 4,428.9 155.3 269.3 - (3,978.6) 1,525.2 - 1,525.2
December
2015
Adjustment to - - - - - (13.5) (13.5) - (13.5)
incorporate
previously
unconsolidatedsubsidiaries
(see note 2)
Profit for the period - - - - - 583.1 583.1 (33.3) 549.8
Other comprehensive - - - - 88.5 - 88.5 (78.9) 9.6
income
Total comprehensive - - - - 88.5 583.1 671.6 (112.2) 559.4
income
Acquisition of - - - 68.4 - - 68.4 (849.0) (780.6)
subsidiary
(see note 6)
Issue of new shares 19.5 3,316.5 - 264.6 - - 3,600.6 - 3,600.6
Exercise of warrants - 212.2 - (212.2) - - - -
in relation
to new share issues
Share issue costs - (50.3) - - - - (50.3) - (50.3)
Cost of share based - - 358.9 - - - 358.9 - 358.9
payments
Total changes 19.5 3,478.4 358.9 120.8 - - 3,977.6 (849.0) 3,128.6
directly
to equity
Balance at 30 669.8 7,907.3 514.2 390.1 88.5 (3,409.0) 6,160.9 (961.2) 5,199.7
June 2016
Condensed Statement of Cash Flows
For the six months ended 30 June 2016
Consolidated Company (see
note 2)
Unaudited Unaudited Six Audited Year ended
Six months ended months 31 December
30 June 2016 ended 30 June 2015
GBP'000 2015 GBP'000
GBP'000
Cash flows
from
operating
activities
Profit/(loss) 549.8 98.8 (599.1)
before
taxation
Adjustments
for:
Profit on (78.8) (840.6) (1,149.5)
disposal
of
trading
investments
Movement in (2,056.4) 306.3 729.1
fair value
of investments
Share of 7.1 - 8.8
post tax
losses of
equity
accounted
investments
Share of 53.8 - 72.8
post tax
losses of
equity
accounted
joint
ventures
Movement in 216.3 - 83.1
provision
against
joint venture
investments
Share based 358.9 - 83.7
payment
charge for
year
Equity settled 77.9 - -
trading
liabilities
Depreciation 1.0 - -
Bargain (178.4) - -
purchase
on acquisition
Finance income (0.3) - (0.1)
Finance costs 0.1 - -
Operating cash (1,049.0) (435.5) (771.2)
flow before
working
capital
changes
Increase in (202.7) (1.1) (80.7)
trade and
other
receivables
Increase/(decrease) 64.6 173.3 (6.0)
in trade
and other
payables
Unrealised (6.0) - -
foreign
exchange gains
Net cash (1,193.1) (263.3) (857.9)
outflow
from
operating
activities
Cash flow from
Investing
activities
Proceeds from 367.4 1,169.8 1,812.3
investment
disposals
Purchase of (164.2) - -
investment
in subsidiary
Purchase of (153.4) - (67.1)
investment
in,
and loans to,
associates
Purchase of (296.1) - (529.2)
investment
in, and
loans to,
joint
ventures
Purchase (1,134.7) (984.3) (1,199.4)
of investments
held for
trading
Purchase (16.8) - -
of fixed
assets
Finance income 0.3 - 0.1
Cash acquired 5.2 - -
with
subsidiary
undertakings
Net (1,392.3) 185.5 16.7
cash
(outflow)/inflow
from
investing
activities
Cash flows
from
financing
activities
Net proceeds 3,030.6 431.1 1,009.7
from
share issues
Interest paid (0.1) - -
Net cash 3,030.5 431.1 1,009.7
inflow
from
financing
activities
Net increase 445.1 353.3 168.5
in cash
in the period
Cash and cash 353.9 185.4 185.4
equivalents
at beginning
of period
Effect of 9.2 - -
exchange
rate changes
Cash and cash 808.2 538.7 353.9
equivalents
at end of
period
Notes to the unaudited interim accounts
For the six months ended 30 June 2016
1.Basis of preparation
The financial statements included in the interim accounts have
been prepared under the historical cost convention and in
accordance with International Financial Reporting Standards
(IFRS).
The principal accounting policies used in preparing these
interim accounts are those expected to apply in the Company's
Financial Statements for the year ending 31 December 2016. These
are unchanged from those disclosed in the Company's Annual Report
for the year ended 31 December 2015 except for the inclusion of
additional policies, consequent on the acquisition and
consolidation of SouthEast Asia Exploration and Mining Co. Ltd. as
set out in note 2 below.
The interim accounts were approved by the Board of Metal Tiger
on 29 September 2016. The interim financial information for the six
months ended 30 June 2016 does not constitute statutory accounts
within the meaning of section 434 of the Companies Act 2006 and is
unaudited. The comparatives for the year ended 31 December 2015 are
not the Company's full statutory accounts for that period. A copy
of the statutory accounts for that year has been delivered to the
Registrar of Companies. The auditors' report on those accounts was
unqualified and did not contain statements under sections 498(2) or
(3) of the Companies Act 2006. Copies of the accounts for the year
ended 31 December 2015 are available on the Company's website
(www.metaltigerplc.com).
2.Accounting policies
The principal accounting policies are:
Basis of preparation
The Consolidated Statement of Comprehensive Income and Statement
of Financial Position include the financial statements of the
Company and its subsidiary undertakings made up to 30 June
2016.
Subsidiaries are all entities over which the Group has control.
The Group controls an entity when the Group is exposed to, or has
rights to, variable returns from its involvement with the entity
and has the ability to affect those returns through its power over
the entity. Subsidiaries are fully consolidated from the date on
which control is transferred to the Group. They are deconsolidated
from the date that control ceases.
Profit or loss and each component of other comprehensive income
are attributed to the equity holders of the parent of the Group and
to non-controlling interests, even if this results in
non-controlling interests having a deficit balance. When necessary,
adjustments are made to the financial statements of subsidiaries to
bring their accounting policies into line with the Group's
accounting policies. All intra-group assets and liabilities,
equity, income, expenses and cash flows relating to transactions
between members of the Group are eliminated in full on
consolidation.
A change in ownership interest of a subsidiary without a loss of
control is accounted for as an equity transaction. If the Group
loses control over a subsidiary, it:
-- derecognises the assets (including goodwill) and liabilities of the
subsidiary
-- derecognises the carrying amount of any non-controlling interests
-- derecognises the cumulative translation differences recorded in equity
-- recognises the fair value of the consideration received
-- recognises the fair value of any investment retained
-- recognises any surplus or deficit in the Statement of Comprehensive
Income
-- reclassifies the parent's share of components previously recognised in
other comprehensive income to profit or loss or retained
earnings, as
appropriate, as would be required if the Group had directly
disposed
of the related assets or liabilities.
When the Group ceases to have control, any retained interest in
the entity is re-measured to its fair value at the date when
control is lost, with the change in carrying amount recognised in
profit or loss. The fair value is the initial carrying amount for
the purposes of subsequently accounting for the retained interest
as an associate, joint venture or financial asset. In addition, any
amounts previously recognised in other comprehensive income in
respect of that entity are accounted for as if the Group had
directly disposed of the related assets or liabilities. This may
require that the amounts previously recognised in other
comprehensive income be reclassified to profit or loss.
At 30 June 2015 and 31 December 2015 the Company's subsidiaries
either had not commenced operations or had no material assets or
liabilities. Consequently, no consolidated financial statements
were prepared on the basis that in accordance with section 405 of
the Companies Act 2006 the inclusion of these companies was not
material for the purpose of giving a true and fair view. The
figures included in the interim financial statement in respect of
those two periods have not been restated for the same reasons.
Business combinations
Business combinations are accounted for using the acquisition
method. The cost of an acquisition is measured as the aggregate of
the consideration transferred, measured at fair value at the date
of acquisition and the amount of any non-controlling interest in
the acquired entity. Non-controlling interests ('NCI') may be
initially measured either at fair value or at the NCI's
proportionate share of the recognised amounts of the acquiree's
identifiable net assets or net liabilities. The choice of
measurement basis is made on a transaction-by-transaction basis.
Acquisition costs incurred are expensed and included in
administrative expenses except where they relate to the issue of
debt or equity instruments in connection with the acquisition, in
which case they are included in finance costs.
When the business combination is achieved in stages, any
previously held equity interest is re-measured at its acquisition
date fair value and any resulting gain or loss is recognised in
profit or loss. It is then considered in determination of
goodwill.
Any contingent consideration to be transferred by the acquirer
is recognised at fair value at the acquisition date. Any subsequent
changes to the fair value of the contingent consideration are
adjusted against the cost of the acquisition if they occur within
the measurement period of 12 months following the date of
acquisition. Any subsequent changes to the fair value of the
contingent consideration after the measurement period are
recognised in the Income Statement. Contingent consideration that
is classified as equity is not re-measured and subsequent
settlement is accounted for within equity.
Going concern
The interim financial statements have been prepared on the going
concern basis as, in the opinion of the Directors, at the time of
approving the interim financial statements, there is a reasonable
expectation that the Company will continue in operational existence
for the foreseeable future. The interim financial statements do not
include any adjustments that would result from the going concern
basis of preparation being inappropriate.
3.Segmental reporting
Divisional segments
Six months ended Asset Metal CentralcostsGBP'000 TotalGBP'000
30 June 2016 TradingGBP'000 ProjectsGBP'000
Consolidated
COMPREHENSIVE
INCOME:
Net gain/(loss) 2,135.2 (277.2) 0.2 1,858.2
on investments
Administrative (40.5) (785.3) (661.0) (1,486.8)
expenses
Bargain purchase - 178.4 - 178.4
on acquisition
of subsidiary
Operating 2,094.7 (884.1) (660.8) 549.8
profit/(loss)
for the period
Net - 0.1 (0.1)
finance
income/(cost)
Profit/(loss) 2,094.7 (884.0) (660.9) 549.8
on ordinary
activities
before taxation
Taxation - - - -
Profit/(loss) 2,094.7 (884.0) (660.9) 549.8
for
the period
after taxation
FINANCIAL
POSITION:
Property, plant - 19.5 - 19.5
and equipment
Investment in - 204.7 - 204.7
associates
Investment - 340.1 - 340.1
in joint
ventures
Other - 49.6 - 49.6
non-current
assets
Total - 613.9 - 613.9
non-current
assets
Current assets 3,755.9 220.8 967.1 4,943.8
Current (0.5) (70.6) (102.4) (173.5)
liabilities
Net current 3,755.4 150.2 864.7 4,770.3
assets
Non-current - (184.5) - (184.5)
liabilities
Net assets 3,755.4 579.6 864.7 5,199.7
Six months Asset MetalProjectsGBP'000 CentralcostsGBP'000 TotalGBP'000
ended Trading
30 June 2015 GBP'000
Company (see
note 2)
COMPREHENSIVE
INCOME:
Net 534.3 - - 534.3
gain
on investments
Administrative (15.0) (212.2) (208.3) (435.5)
expenses
Gain/(loss) 519.3 (212.2) (208.3) 98.8
for
the period
before
taxation
Taxation - - - -
Gain/(loss) 519.3 (212.2) (208.3) 98.8
for
the period
after taxation
FINANCIAL
POSITION:
Investment in - - - -
associates
Investment - 319.8 - 319.8
in joint
ventures
Total - 319.8 - 319.8
non-current
assets
Current assets 1,158.5 - 354.4 1,512.9
Current (0.4) (2.5) (269.0) (271.9)
liabilities
Net current 1,158.1 (2.5) 85.4 1,241.0
assets
Non-current - - - -
liabilities
Net assets 1,158.1 317.3 85.4 1,560.8
Year ended 31 December Asset MetalProjectsGBP'000 Central Total
2015 Trading costs GBP'000
Company (see note 2) GBP'000 GBP'000
COMPREHENSIVE INCOME:
Net gain/(loss) 420.4 (133.0) 0.1 287.5
on investments
Administrative expenses (38.6) (440.1) (407.8) (886.6)
Gain/(loss) for 381.8 (573.1) (407.7) (599.1)
the period
before taxation
Taxation - - - -
Gain/(loss) for 381.8 (573.1) (407.7) (599.1)
the period
after taxation
FINANCIAL POSITION:
Investment in associates - 58.4 - 58.4
Investment in joint - 408.5 - 408.5
ventures
Total non-current assets - 466.9 - 466.9
Current assets 768.4 6.6 375.9 1,150.9
Current liabilities (0.3) (5.3) (87.0) (92.6)
Net current assets 768.1 1.3 288.9 1,058.3
Non-current liabilities - - - -
Net assets 768.1 468.2 288.9 1,525.2
The Asset Trading division was previously named Direct Equities
and the Metal Projects division, Direct Projects.
Geographical segments
The analysis of results by geographic region, based on the
location of the operating company, is as follows:
Six months UKGBP'000 EMEAGBP'000 Asia-PacificGBP'000 AustralasiaGBP'000 TotalGBP'000
ended
30 June 2016
Consolidated
COMPREHENSIVE
INCOME:
Net gains on 78.8 - - - 78.8
disposal
of investments
Movement in 1,298.4 - - 758.0 2,056.4
fair value
of investments
held
fortrading
Share of - (7.1) - - (7.1)
post tax
losses of
equity
accountedassociates
Share of - (53.6) (0.2) - (53.8)
post tax
losses of
equity
accounted
jointventures
Provision - (216.3) - - (216.3)
against
cost of joint
venture
investments
Investment 0.2 - - - 0.2
income
Net 1,377.4 (277.0) (0.2) 758.0 1,858.2
gain/(loss)
on investments
Profit/(loss 100.8 (279.4) (29.6) 758.0 549.9
for
the period
before
taxation
Taxation - - - - -
Profit/(loss 100.8 (279.4) (29.6) 758.0 549.9
for
the period
after taxation
FINANCIAL
POSITION:
Non-current - 544.8 69.1 - 613.9
assets
Current assets 3,738.7 - 220.8 984.3 4,943.8
Current (120.7) - (52.8) - (173.5)
liabilities
Non-current - - (184.5) - (184.5)
liabilities
Net assets 3,618.0 544.8 52.6 984.3 5,199.7
In 2015 all revenues were derived from the UK. Non-current
assets and liabilities primarily related to the Company's
investments in Thailand and Spain.
4.Taxation
No corporation tax charge arises in the period as a result of
utilisation of past losses. No deferred tax asset has been
recognised in respect of remaining losses as the Directors cannot
be certain that future profits will be sufficient for this asset to
be recognised.
5.Earnings/Loss per share
Consolidated Company (see
note 2)
Unaudited Unaudited Six Audited Year ended
Six months ended months 31 December
30 June 2016 ended 30 June 2015
GBP'000 2015 GBP'000
GBP'000
Profit/(loss) 549.8 98.8 (599.1)
attributable
to equity
holders of the
Company
Shares used for 481,556,696 259,175,411 291,007,385
calculation
of basic EPS
Shares used for 541,680,323 274,850,411 291,007,385
calculation
of fully diluted
EPS
Earnings/Loss
per share
Basic 0.11p 0.04p (0.2p)
earnings/(loss)
per share
Fully 0.10p 0.04p (0.2p)
diluted
earnings/(loss)
per share
6.Acquisition of subsidiary
On 16 February 2016, the Company exercised its option to acquire
the remainder of the Thai based assets of SouthEast Asia Mining
Corporation ("SEAM"), comprising its investment in SouthEast Asia
Exploration and Mining Co. Ltd and certain fellow subsidiaries, to
provide an increased portfolio of precious metal interest in
Thailand. The consideration was a cash payment of US$200,000 and a
payment of US$300,000 in 23,799,000 new Ordinary Shares of the
Company. A potential further cash payment of US$100,000, a
US$60,000 working capital contribution and issue of 23,799,000
warrants over the Company's Ordinary shares at an exercise price of
1.74p per share may be issued subject to SEAM being granted its
primary target prospecting licence 1/2557 in the Kanchanaburi
province in Western Thailand.
As a result of this acquisition, the Company has acquired the
following interests in subsidiaries, all of which are based and
operate in Thailand:
Effective interest
SouthEast Asia Exploration and Mining Co. 90%
Ltd. (subsequently renamed Metal Tiger
Exploration and Mining Co. Ltd.)
SouthEast Asia Mining Co. Ltd. (subsequently 78.4%
renamed Metal Tiger Mining Co. Ltd.)
SouthEast Asia Resources Co. Ltd. (subsequently 94.9%
renamed Metal Group Co. Ltd.)
Tiger Minerals Co. Ltd. (subsequently renamed 91%
Metal Tiger (Thailand) Co. Ltd.)*
Tiger Resources Co. Ltd. (subsequently renamed 91%
Metal Tiger Resources Co. Ltd.)*
*Tiger Minerals Co. Ltd. and Tiger Resources Co. Ltd were, prior
to 16 February 2016, joint venture interests of the Company in
which the Company had a 10% interest.
An initial assessment of the fair value of the net assets
acquired has been undertaken but this is subject to further review
and, accordingly, adjustments may be made to the following figures,
which have been incorporated into the interim financial statements,
at the year end.
The following table summarises the recognised amounts of assets
and liabilities assumed on acquisition:
At 16 February 2016
Book valueGBP'000 Acquisition adjustmentsGBP'000 Consolidated
GBP'000
Non-current assets
Property, plant 2.4 - 2.4
and equipment
Investment in joint 18.6 - 18.6
ventures
21.0 - 21.0
Current assets
Trade and other 101.0 - 101.0
receivables
Cash and cash 5.2 - 5.2
equivalents
Total current assets 106.2 - 106.2
Current liabilities
Trade and other (38.4) - (38.4)
payables
Net current assets 67.8 - 67.8
Non-current liabilities (7,411.3) 7,369.3 (41.9)
Net (7,322.5) 7,369.3 46.8
assets/(liabilities)
Less:
Equity non-controlling 849.0 - 849.0
interests
Interests already (139.2) - (139.2)
held via
joint venture
investments
Net (6,612.7) 7,369.3 756.6
assets/(liabilities)
acquired
The adjustment on acquisition relates to a long term loan
receivable by the vendor from an acquire subsidiary taken over the
Group on acquisition.
Consideration for the acquisition was as follows: GBP'000
Cash paid 164.2
Shares issued 214.2
Provision for future cash payment 131.4
Provision for issue of warrants 68.4
Consideration paid 578.2
The premium on purchase recognised in the Statement of
Comprehensive Income is as follows:
GBP'000
Net assets acquired 756.6
Consideration (578.2)
Bargain purchase recognised in arriving 178.4
at the profit for the period
The results for the period include operating losses of
GBP158,600 in respect of the acquired operations for the period
since acquisition and excluding the bargain purchase on
acquisition. If this acquisition had taken place at the beginning
of the year, management estimates that losses from continuing
operations before tax would have been GBP34,300 higher.
7.Share options
During the period, options over 23,250,000 ordinary shares in
the Company were granted to directors and staff under the Company's
share option schemes, resulting in a charge to operating profit for
the year of GBP358,900 (six months ended 30/6/2015: GBPnil; year
ended 31/12/2015: GBP83,700).
The fair values of options granted during the period were
determined using the Black-Scholes pricing model. The significant
inputs to the model in respect of the options were as follows:
Non-EMI scheme EMI scheme EMI scheme
Date of granted 3/3/2016 22/6/2016 22/6/2016
Number of options granted 10,000,000 7,500,000 5,750,000
Share price on date of grant 1.175p 3.25p 3.25p
Exercise price per share 2.00p 1.70p 2.00p
Risk free rate 1% 1% 1%
Expected volatility 87% 98% 98%
Life of option 3 years 3 years 3 years
Calculated fair value of option 0.51p 2.37p 2.28p
8.Distribution of Interim Report and Registered Office
A copy of the Interim Report will be available shortly on the
Company's website, www.metaltigerplc.com, in accordance with rule
26 of the AIM Rules for Companies; and copies will be available
from the Company's registered office, 107 Cheapside, London EC2V
6DN.
For further information on the Company, visit:
www.metaltigerplc.com:
Paul Johnson (ChiefExecutive Tel: +44 (0)7766 465 617
Officer)
Terry Grammer (Non-Executive Tel: +44 (0)207 099 0738
Chairman)
Sean Wyndham-Quin Spark Advisory Partners Tel: +44 (0)
Neil Baldwin Limited 2033 683 555
Nick Emerson (Nominated Adviser)
Andy Thacker SI Capital www.sparkadvisorypartners.com
(Sole Broker) Tel: +44 (0)
1483 413 500
Notes to Editors:
Metal Tiger plc is listed on the London Stock Exchange AIM
Market ("AIM") with the trading code MTR and invests in high
potential mineral projects with a precious and strategic metals
focus.
The Company's target is to deliver a very high return for
shareholders by investing in significantly undervalued and/or high
potential opportunities in the mineral exploration and development
sector timed to coincide, where possible, with a cyclical recovery
in the exploration and mining markets. The Company's key strategic
objective is to ensure the distribution to shareholders of major
returns achieved from disposals.
Metal Tiger's Metal Projects Division is focused on the
development of its key project interests in Botswana, Spain and
Thailand. In Botswana Metal Tiger has a growing interest in the
large and highly prospective Kalahari copper/silver belt. In Spain
Metal Tiger the Company has tungsten and gold interests in the
highly mineralised Extremadura region. In Thailand Metal Tiger has
expanding interests over licences, applications and critical
historical data covering antimony, copper, gold, silver, lead and
zinc opportunities.
The Company has access to a diverse pipeline of new
opportunities focused on the natural resource sector including
physical resource projects, new natural resource centred
technologies and resource sector related fintech opportunities.
Pipeline projects deemed commercially viable may be undertaken by
Metal Tiger or by an ISDX or AIM partner with whom the Company is
engaged.
Metal Tiger also has an Asset Trading Division that holds
various financial instruments for trading purposes including
equities, warrants and royalty income. The aim of the division is
to generate profits to reinvest into the Company's project based
activities.
View source version on businesswire.com:
http://www.businesswire.com/news/home/20160929006420/en/
This information is provided by Business Wire
(END) Dow Jones Newswires
September 30, 2016 02:00 ET (06:00 GMT)
Metal Tiger (LSE:MTR)
Historical Stock Chart
From May 2024 to Jun 2024
Metal Tiger (LSE:MTR)
Historical Stock Chart
From Jun 2023 to Jun 2024
