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Registration number: 13890036

Vewd Software Holdings Limited

Annual Report and Financial Statements

for the Period from 3 February 2022 to 31 December 2022

 

Vewd Software Holdings Limited

Contents

Company Information

1

Strategic Report

2

Directors' Report

3 to 4

Statement of Directors' Responsibilities

5

Independent Auditor's Report

6 to 10

Profit and Loss Account

11

Statement of Comprehensive Income

12

Balance Sheet

13

Statement of Changes in Equity

14

Notes to the Financial Statements

15 to 26

 

Vewd Software Holdings Limited

Company Information

Directors

J M Patterson

G C Whelan

Registered office

6th Floor
One London Wall
London
EC2Y 5EB

Auditors

Bourner Bullock
Chartered Accountants
114 St Martin's Lane
Covent Garden
London
WC2N 4BE

 

Vewd Software Holdings Limited

Strategic Report for the Period from 3 February 2022 to 31 December 2022

The directors present their strategic report for the period from 3 February 2022 to 31 December 2022.

Fair review of the business

Vewd Software Holdings limited (“VSHL”) was incorporated on the 3 February 2022 as result of a Bankruptcy Chapter 11 Plan filed in the U.S and entered by Vewd Software AS (“VSAS”) and its subsidiaries (collectively known as the “Vewd Group”). The Plan became effective as of the 16 February 2022 and as of that date, the Vewd group was recapitalised and restructured under the newly formed holding company, VSHL. The principal activity of VSHL is that of a holding company. The Vewd group is an independent OTT software provider for smart TV makers, connected cars and video-over-broadband operators.

On the 5 July 2022, Xperi Inc. (NYSE: XPER) (“Xperi”) announced it had acquired VSHL for $130million (“Transaction”) through a mixture of cash and debt. Xperi’s TiVo product offerings, when integrated with Vewd’s suite of streaming platform solutions, will help accelerate and scale the deployment of TiVo OS for connected TVs and expand Xperi’s video-over-broadband offerings. The Vewd group primarily conducts business under the brand Xperi since the transaction.

Key performance indicators

Key performance indicators that are focused on by management include subsidiary revenue levels, new contracts obtained in the period and working capital management. Each of these indicators are monitored by management against targets and prior financial years of each individual subsidiary of VSHL. The directors are satisfied with the performance of the company during the financial year with regard to these indicators.

Principal risks and uncertainties

The principal risk and uncertainties facing the business are its exposure to technological advances in the industry that would result in the Vewd OTT software technology becoming obsolete. The Vewd Group constantly invest resources into research and development to pre-empt consumer preferences and behaviour around media consumption to ensure that the Vewd technologies enhance user experiences into the future.

The Company has reviewed the possible risk to its business arising from the conflict in Ukraine and concluded the impact is low and manageable with its existing processes and procedures. The Company will continue to monitor developments to ensure it is ready to deal with any possible impact.

Approved by the Board on 19 February 2024 and signed on its behalf by:

G C Whelan
Director

   
     
 

Vewd Software Holdings Limited

Directors' Report for the Period from 3 February 2022 to 31 December 2022

The directors present their report and the financial statements for the period from 3 February 2022 to 31 December 2022.

Incorporation

The Company was incorporated on 3 February 2022.

Directors of the Company

The directors who held office during the period were as follows:

J M Patterson (appointed 1 July 2022)

J K Allen (appointed 1 July 2022 and ceased 15 March 2023)

A Krishnan (appointed 3 February 2022 and ceased 1 July 2022)

A Rajaram (appointed 3 February 2022 and ceased 1 July 2022)

The following director was appointed after the period end:

G C Whelan (appointed 15 March 2023)

Results and Dividends

The results for the financial year are set out in the profit and loss account. The Directors did not recommend paying a dividend for the period ended 31 December 2022

 

Vewd Software Holdings Limited

Directors' Report for the Period from 3 February 2022 to 31 December 2022

Objectives and policies

The company’s activities are exposed to different types of financial risks as set out below.

Credit risk, liquidity risk and exchange rate risk

Credit risk
The company’s main financial assets are cash balances in hand and receivables from related entities. The amounts are reflected in the Balance Sheet net of allowances for doubtful receivables, estimated by the management team based on the experience of previous years and its assessment of the current economic environment. The company does not have a significant concentration of credit risk, the exposure being largely matched with payables to group entities of a similar value.

Liquidity risk
The company is not significantly exposed to liquidity risk due to the maintenance of sufficient cash balances and the support of the ultimate parent company.

Exchange rate risk
The company transactions primarily in USD and any exchange rate risk is not considered material to the ongoing operations and performance of the company.

Disclosure of information to the auditors

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the Company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.

Approved by the Board on 19 February 2024 and signed on its behalf by:

G C Whelan
Director

   
     
 

Vewd Software Holdings Limited

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period. In preparing these financial statements, the directors are required to:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The directors confirm that so far as they are aware, there is no relevant audit information (as defined by section 418(3) of the Companies Act 2006) of which the company’s auditors are unaware. They have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.

 

Vewd Software Holdings Limited

Independent Auditor's Report to the Members of Vewd Software Holdings Limited

Opinion

We have audited the financial statements of Vewd Software Holdings Limited (the 'Company') for the period from 3 February 2022 to 31 December 2022, which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

give a true and fair view of the state of the Company's affairs as at 31 December 2022 and of its loss for the period then ended;

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

 

Vewd Software Holdings Limited

Independent Auditor's Report to the Members of Vewd Software Holdings Limited

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matter prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

the information given in the Strategic Report and Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

 

Vewd Software Holdings Limited

Independent Auditor's Report to the Members of Vewd Software Holdings Limited

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

certain disclosures of directors' remuneration specified by law are not made; or

we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities [set out on page 5], the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

 

Vewd Software Holdings Limited

Independent Auditor's Report to the Members of Vewd Software Holdings Limited

Auditor Responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Discussions with and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions an enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.

The following laws and regulations were identified as being of significance to the entity:

• Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting regulations, Company Law, Tax legislation, and distributable profits legislation.

Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: enquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; review of board minutes; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud.

No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).

 

Vewd Software Holdings Limited

Independent Auditor's Report to the Members of Vewd Software Holdings Limited

Use of our report

This report is made solely to the Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

......................................
Russell Joseph (Senior Statutory Auditor)
For and on behalf of Bourner Bullock, Statutory Auditor

Chartered Accountants
114 St Martin's Lane
Covent Garden
London
WC2N 4BE

19 February 2024

 

Vewd Software Holdings Limited

Profit and Loss Account for the Period from 3 February 2022 to 31 December 2022

Note

2022
$

Administrative expenses

 

(223,234)

Operating loss

4

(223,234)

Other interest receivable and similar income

5

145,918

Amounts written off investments

 

(12,631,309)

Interest payable and similar expenses

6

(4,116,399)

   

(16,601,790)

Loss before tax

 

(16,825,024)

Loss for the financial period

 

(16,825,024)

 

Vewd Software Holdings Limited

Statement of Comprehensive Income for the Period from 3 February 2022 to 31 December 2022

2022
$

Loss for the period

(16,825,024)

Total comprehensive loss for the period

(16,825,024)

 

Vewd Software Holdings Limited

(Registration number: 13890036)
Balance Sheet as at 31 December 2022

Note

2022
$

Fixed assets

 

Investments

10

102,913,000

Current assets

 

Debtors

11

13,276,009

Cash at bank and in hand

 

3,034,520

 

16,310,529

Creditors: Amounts falling due within one year

12

(515,610)

Net current assets

 

15,794,919

Total assets less current liabilities

 

118,707,919

Creditors: Amounts falling due after more than one year

12

(21,500,000)

Net assets

 

97,207,919

Capital and reserves

 

Called up share capital

100,000

Share premium reserve

15

84,284,721

Other reserves

15

29,648,222

Retained earnings

15

(16,825,024)

Shareholders' funds

 

97,207,919

Approved and authorised by the Board on 19 February 2024 and signed on its behalf by:
 

G C Whelan
Director

   
     
 

Vewd Software Holdings Limited

Statement of Changes in Equity for the Period from 3 February 2022 to 31 December 2022

Share capital
$

Share premium
$

Other reserves
$

Retained earnings
$

Total
$

Loss for the period

-

-

-

(16,825,024)

(16,825,024)

Total comprehensive loss

-

-

-

(16,825,024)

(16,825,024)

New share capital subscribed

100,000

84,284,721

-

-

84,384,721

Capital contribution

-

-

29,648,222

-

29,648,222

At 31 December 2022

100,000

84,284,721

29,648,222

(16,825,024)

97,207,919

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

1

General information

The Company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
6th Floor
One London Wall
London
EC2Y 5EB

These financial statements were authorised for issue by the Board on 19 February 2024.

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

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' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

Summary of disclosure exemptions

FRS 102 allows a qualifying entity certain disclosure exemptions if certain conditions have been complied with, including notification of and no objections to, the use of exemptions by the company's shareholders. A qualifying entity is defined as a member of a group that prepares publicly available financial statements, which give a true and fair view, in which that member is consolidated. Vewd Software Holdings Limited is a qualifying entity as its results are consolidated into the financial statements of Xperi Inc. which are publicly available.

As a qualifying entity, the company has taken advantage of the following exemptions:
(i) from the requirement to present a statement of cash flows as required by paragraph 3.17 (d) of FRS 102;
(ii) from the requirement to present financial instrument disclosures, as required by FRS 102 paragraphs 11.39 to 11.48A, 12.26 and 12.29; and
(iii) from the requirement to present a reconciliation of the number of shares outstanding at the beginning and end of the period as required by paragraph 4.12(a)(iv).

Separately, the company has also taken advantage of the exemption under Section 33.1A of FRS 102 not to disclose transactions between itself and other wholly owned group companies.

Name of parent of group

These financial statements are consolidated in the financial statements of Xperi Inc..

The financial statements of Xperi Inc. may be obtained from 2190 Gold Street San Jose, CA 95002 United States.

Disclosure of long or short period

The company was incorporated on 3 February. Its yearend was then shortened to be coterminous with the rest of the group.

Going concern

The company is dependent on the support of its parent company and group to continue as a going concern. Confirmation of this support has been provided and the directors consider it appropriate to prepare the accounts on a going concern basis.

Should the support not continue, adjustments would have to be made to reduce the value of assets to their recoverable amount, to provide for any further liabilities that may arise and to reclassify fixed assets as current and long term liabilities as current liabilities.

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

Exemption from preparing group accounts

The financial statements contain information about Vewd Software Holdings Limited as an individual company and do not contain consolidated financial information as the parent of a group.

The company is exempt under section 401 of the Companies Act 2006 from the requirement to prepare consolidated financial statements as it and its subsidiary undertakings are included by full consolidation in the consolidated financial statements of its parent, Xperi Inc, a company incorporated in USA.

Tax

The tax expense for the period comprises tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the Company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

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.

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.

Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in profit or loss.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the Company will not be able to collect all amounts due according to the original terms of the receivables.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the Company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

3

Significant judgements and estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows:

Impairment of investments
The director considers whether investments in subsidiaries are impaired. Where an indication of an impairment is identified the estimation of the recoverable amount requires management to estimate the value in use which is based on future cash flows and a suitable discount rate in order to calculate the present value.
 

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

4

Operating loss

Arrived at after charging/(crediting)

2022
$

Impairment loss

12,631,309

5

Other interest receivable and similar income

2022
$

Loan interest receivable

145,918

6

Interest payable and similar expenses

2022
$

Interest expense on other finance liabilities

1,617,915

Other finance costs

2,498,484

4,116,399

7

Staff costs

The average number of persons employed by the Company (including directors) during the period, analysed by category was as follows:

2022
No.

Administration and support

2

2

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

8

Auditors' remuneration

2022
$

Audit of the financial statements

10,775

Other fees to auditors

All other non-audit services

3,631


 

9

Taxation

The tax on profit before tax for the period is higher than the standard rate of corporation tax in the UK of 19%.

The differences are reconciled below:

2022
$

Loss before tax

(16,825,024)

Corporation tax at standard rate

(3,196,755)

Effect of expense not deductible in determining taxable profit (tax loss)

2,399,949

Effect of tax losses

796,806

Total tax charge/(credit)

-

Deferred tax

There are $4,193,715 of unused tax credits for which no deferred tax asset is recognised in the balance sheet. No deferred tax asset has been recognised due to uncertainty over the expected reversal of the timing difference.

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

10

Investments

2022
$

Investments in subsidiaries

102,913,000

Subsidiaries

$

Cost or valuation

Additions

115,544,309

Provision

Provision for impairment

12,631,309

Carrying amount

At 31 December 2022

102,913,000

On the 31 December 2023, the intellectual property (IP) held in the company’s subsidiary, Vewd Software AS, was sold to a related party for $46,798,000. This IP would contribute to the value of the Investments in subsidiaries on the Company’s balance sheet as of the year end, 31 December 2022. A further provision for impairment is expected to be recorded in the 2023 financial year as the sale of the IP would be considered an impairment indicator.

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the Company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

     

2022

Subsidiary undertakings

Vewd Software AS

Tordenskiolds gate 2, 0160 Oslo,Norway

Ordinary

100%

Vewd Software Sweden AB

Storgatan 40, 582 23 Linköping, Sweden

Ordinary

100%

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

Vewd Software Poland Sp. z o.o

Puławska 182, 01-001 Warszawa, Poland

Ordinary

100%

Vewd Software Consulting Sp. z o.o.

Puławska 182, 01-001 Warszawa, Poland

Ordinary

100%

Vewd Software Japan G.K.

Marunouchi Trust Tower North 12F, 1-8-1, Marunouchi, Chiyoda-ku, Tokyo 100-0005, Japan

Ordinary

100%

Beijing Vewd Information Technology Consulting Ltd

Ping An International Financial Plaza, Tower B, 17th Floor, No. 1-3, Xin Yuan Nan Road, Chaoyang District, 100022 Beijing, China

Ordinary

100%

Vewd Software USA, LLC

Delaware, USA

Ordinary

100%

Subsidiary undertakings

Vewd Software AS

The principal activity of Vewd Software AS is the provision of software services.

Vewd Software Sweden AB

The principal activity of Vewd Software Sweden AB is the provision of software services.

Vewd Software Poland Sp. z o.o

The principal activity of Vewd Software Poland Sp. z o.o is the provision of software services.

Vewd Software Consulting Sp. z o.o.

The principal activity of Vewd Software Consulting Sp. z o.o. is the provision of consulting associated with software services.

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

Vewd Software Japan G.K.

The principal activity of Vewd Software Japan G.K. is the provision of software services.

Beijing Vewd Information Technology Consulting Ltd

The principal activity of Beijing Vewd Information Technology Consulting Ltd is the provision of software services.

Vewd Software USA, LLC

The principal activity of Vewd Software USA, LLC is the provision of software services.

11

Debtors

2022
$

Amounts owed by related parties

13,186,779

Prepayments

89,230

 

13,276,009

12

Creditors

2022
$

Due within one year

Amounts due to related parties

152,593

Other payables

348,493

Accruals

14,524

515,610

Due after one year

Loans and borrowings

8,000,000

Amounts due to related parties

13,500,000

21,500,000

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

Included within amounts due to related parties is a loan of $7,500,000 which is repayable by July 2025 which accrues interest at a rate of 3.09% and a loan of $6,000,000 which is repayable by November 2025 and accrues interest at a rate of 5.35%.

13

Loans and borrowings

2022
$

Non-current loans and borrowings

Redeemable preference shares

8,000,000

14

Share capital

Allotted, called up and fully paid shares

 

2022

 

No.

$

Ordinary shares of $0.01 each

10,000,000

100,000

Preference shares of $1.00 each

8,000,000

8,000,000

 

18,000,000

8,100,000

Redeemable preference shares

The Redeemable preference shares are redeemable at the option of the holder. They are redeemable at $1 per share and carry no voting rights. On a winding up of the Company the holders of the shares have a right to receive the surplus assets of the company be paid first, ahead of the ordinary shareholders..

Preference shares are entitled to preference dividends which is a fixed cumulative preferential dividend at the annual rate of 5% of the aggregate amount paid up.

15

Reserves

Capital contribution reserve

 

Vewd Software Holdings Limited

Notes to the Financial Statements for the Period from 3 February 2022 to 31 December 2022

The capital contribution reserve represents a capital contribution arising on funds received from the parent company. The shareholder has waived the requirement for the company to repay these amounts. As such, the company has treated this as a capital contribution by the shareholder and recognised directly in equity within other reserves

16

Parent and ultimate parent undertaking

The Company's immediate parent is Xperi Inc., incorporated in USA.

  These financial statements are available upon request from 2190 Gold Street San Jose, CA 95002 United States

The parent of the largest group in which these financial statements are consolidated is Xperi Inc., incorporated in USA.

The address of Xperi Inc. is:
2190 Gold Street San Jose, CA 95002 United States