Silverfin 17 April 2024 17 April 2024 Ryan Swann BA FCA MHA 2,885,173 58,140 false true 31/12/2022 01/01/2022 31/12/2022 Y Valler 09/11/2017 17 April 2024 The principal activity of the Company during the financial year was that of financial and investment advisory services. 11031601 2022-12-31 11031601 bus:Director1 2022-12-31 11031601 2021-12-31 11031601 core:CurrentFinancialInstruments 2022-12-31 11031601 core:CurrentFinancialInstruments 2021-12-31 11031601 core:Non-currentFinancialInstruments 2022-12-31 11031601 core:Non-currentFinancialInstruments 2021-12-31 11031601 core:ShareCapital 2022-12-31 11031601 core:ShareCapital 2021-12-31 11031601 core:SharePremium 2022-12-31 11031601 core:SharePremium 2021-12-31 11031601 core:RetainedEarningsAccumulatedLosses 2022-12-31 11031601 core:RetainedEarningsAccumulatedLosses 2021-12-31 11031601 core:LeaseholdImprovements 2021-12-31 11031601 core:FurnitureFittings 2021-12-31 11031601 core:OfficeEquipment 2021-12-31 11031601 core:LeaseholdImprovements 2022-12-31 11031601 core:FurnitureFittings 2022-12-31 11031601 core:OfficeEquipment 2022-12-31 11031601 core:CostValuation 2021-12-31 11031601 core:AdditionsToInvestments 2022-12-31 11031601 core:CostValuation 2022-12-31 11031601 core:ProvisionsForImpairmentInvestments 2021-12-31 11031601 core:ImpairmentLossProvisionsForImpairmentInvestments 2022-12-31 11031601 core:ProvisionsForImpairmentInvestments 2022-12-31 11031601 core:FurtherSpecificIncreaseDecreaseInInvestments2ComponentTotalChangeInInvestments 2022-12-31 11031601 core:CurrentFinancialInstruments 10 2022-12-31 11031601 core:CurrentFinancialInstruments 10 2021-12-31 11031601 core:RemainingRelatedParties core:CurrentFinancialInstruments 2022-12-31 11031601 core:RemainingRelatedParties core:CurrentFinancialInstruments 2021-12-31 11031601 core:DeferredTaxation 2022-12-31 11031601 core:DeferredTaxation 2021-12-31 11031601 core:OtherProvisionsContingentLiabilities 2022-12-31 11031601 core:OtherProvisionsContingentLiabilities 2021-12-31 11031601 core:WithinOneYear 2022-12-31 11031601 core:WithinOneYear 2021-12-31 11031601 core:BetweenOneFiveYears 2022-12-31 11031601 core:BetweenOneFiveYears 2021-12-31 11031601 core:MoreThanFiveYears 2022-12-31 11031601 core:MoreThanFiveYears 2021-12-31 11031601 2022-01-01 2022-12-31 11031601 bus:FullAccounts 2022-01-01 2022-12-31 11031601 bus:SmallEntities 2022-01-01 2022-12-31 11031601 bus:Audited 2022-01-01 2022-12-31 11031601 2021-01-01 2021-12-31 11031601 bus:PrivateLimitedCompanyLtd 2022-01-01 2022-12-31 11031601 bus:Director1 2022-01-01 2022-12-31 11031601 core:FurnitureFittings core:BottomRangeValue 2022-01-01 2022-12-31 11031601 core:FurnitureFittings core:TopRangeValue 2022-01-01 2022-12-31 11031601 core:OfficeEquipment core:BottomRangeValue 2022-01-01 2022-12-31 11031601 core:OfficeEquipment core:TopRangeValue 2022-01-01 2022-12-31 11031601 core:LeaseholdImprovements 2022-01-01 2022-12-31 11031601 core:FurnitureFittings 2022-01-01 2022-12-31 11031601 core:OfficeEquipment 2022-01-01 2022-12-31 11031601 core:Subsidiary1 2022-01-01 2022-12-31 11031601 core:Subsidiary1 1 2022-01-01 2022-12-31 11031601 core:Subsidiary1 1 2021-01-01 2021-12-31 11031601 core:Subsidiary2 2022-01-01 2022-12-31 11031601 core:Subsidiary2 1 2022-01-01 2022-12-31 11031601 core:Subsidiary2 1 2021-01-01 2021-12-31 11031601 1 2022-01-01 2022-12-31 iso4217:GBP xbrli:pure decimalUnit

Company No: 11031601 (England and Wales)

HYDE PARK SPECIAL OPPORTUNITIES LIMITED

Financial Statements
For the financial year ended 31 December 2022
Pages for filing with the registrar

HYDE PARK SPECIAL OPPORTUNITIES LIMITED

Financial Statements

For the financial year ended 31 December 2022

Contents

HYDE PARK SPECIAL OPPORTUNITIES LIMITED

COMPANY INFORMATION

For the financial year ended 31 December 2022
HYDE PARK SPECIAL OPPORTUNITIES LIMITED

COMPANY INFORMATION (continued)

For the financial year ended 31 December 2022
DIRECTOR Y Valler
SECRETARY Dentons Secretaries Limited
REGISTERED OFFICE 7th Floor Wingate House
93-107 Shaftesbury Avenue
London
W1D 5DY
United Kingdom
COMPANY NUMBER 11031601 (England and Wales)
AUDITOR MHA
910 The Crescent
Colchester Business Park
Colchester
CO4 9YQ
United Kingdom
HYDE PARK SPECIAL OPPORTUNITIES LIMITED

BALANCE SHEET

As at 31 December 2022
HYDE PARK SPECIAL OPPORTUNITIES LIMITED

BALANCE SHEET (continued)

As at 31 December 2022
Note 2022 2021
£ £
Fixed assets
Tangible assets 3 445,592 64,897
Investments 4 38,831 26,434
484,423 91,331
Current assets
Debtors
- due within one year 5 3,056,025 307,702
- due after more than one year 5 785,892 288,773
Cash at bank and in hand 149,014 3,059,642
3,990,931 3,656,117
Creditors: amounts falling due within one year 6 ( 3,839,326) ( 3,174,895)
Net current assets 151,605 481,222
Total assets less current liabilities 636,028 572,553
Provision for liabilities 7 ( 103,231) ( 3,231)
Net assets 532,797 569,322
Capital and reserves
Called-up share capital 4 1
Share premium account 2,848,645 0
Profit and loss account ( 2,315,852 ) 569,321
Total shareholder's funds 532,797 569,322

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of Hyde Park Special Opportunities Limited (registered number: 11031601) were approved and authorised for issue by the Director on 17 April 2024. They were signed on its behalf by:

Y Valler
Director
HYDE PARK SPECIAL OPPORTUNITIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 December 2022
HYDE PARK SPECIAL OPPORTUNITIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 December 2022
1. Accounting policies

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

General information and basis of accounting

Hyde Park Special Opportunities Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is 7th Floor Wingate House, 93-107 Shaftesbury Avenue, London, W1D 5DY, United Kingdom.

The financial statements have been prepared under the historical cost convention and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council.

The functional currency of Hyde Park Special Opportunities Limited is considered to be pounds sterling because that is the currency of the primary economic environment in which the Company operates.

Going concern

The company incurred losses during the year, resulting in accumulated retained losses. This gives rise to a material uncertainty which may cast significant doubt on the entity’s ability to continue as a going concern. However, the director is confident in the company’s ability to address this concern, given the robust financial health of the Group and the substantial assets held by the Parent (Target Global Holding Ltd). Target Global Holding Ltd has indicated its willingness to provide ongoing support to the company with the expectation that this will allow it to trade for the foreseeable future. Moreover, the losses incurred were primarily due to one-time exceptional items due to re-structuring and capital investment, which concluded in 2023. Subsequently, the company anticipates profitability for the foreseeable future.

The director has assessed the balance sheet and likely future cash flows as of the date of approval of these financial statements. Additional share capital was allocated and remunerated at the fiscal year-end (see note 10) by the company's parent, Target Global Holding Ltd, which remains poised to extend further financial support if necessary. The parent company has provided a letter of support, indicating an intention to provide any additional funding required by the company, if needed. Moreover, the company sustains a steady revenue stream originating from the management fees charged to Target Global Growth Fund II, SCSp-RAIF (GFII), which are projected to endure over the ensuing 5-7 years.

In addition, the company and the group have strategically shifted their focus of business, placing renewed emphasis on its existing growth stage and the early-stage portfolio. This strategic shift is poised to unlock value within our portfolio companies while facilitating the realisation of additional capital through secondary opportunity exits and asset disposals. By implementing this new avenue for value creation, the company anticipates the prompt generation of supplementary service income alongside the prospect of future revenue streams stemming from disposals.

For the above reasons, the director has a reasonable expectation that the Company has adequate resources to continue in operational existence and to meet its financial obligations as they fall due for at least 12 months from the date of signing these financial statements. Accordingly, the director continues to adopt the going concern basis in preparing the financial statements.

Foreign currency

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

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

Turnover

Turnover is stated net of VAT and trade discounts and is recognised when the significant risks and rewards are considered to have been transferred to the buyer. Turnover from the supply of services represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Where a contract has only been partially completed at the Balance Sheet date turnover represents the fair value of the service provided to date based on the stage of completion of the contract activity at the Balance Sheet date. Where payments are received from customers in advance of services provided, the amounts are recorded as deferred income and included as part of creditors due within one year.

Interest income

Interest income is recognised when it is probable that the economic benefits will flow to the Company and the amount of revenue can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset's net carrying amount on initial recognition.

Employee benefits

Defined contribution schemes
The Company operates a defined contribution scheme. The amount charged to the Profit and Loss Account in respect of pension costs and other post-retirement benefits is the contributions payable in the financial year. Differences between contributions payable in the financial year and contributions actually paid are included as either accruals or prepayments in the Balance Sheet.

Finance costs

Finance costs are charged to the Profit and Loss Account over the term of the debt using the effective interest method so the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Taxation

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

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

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

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment properties and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line basis over its expected useful life, as follows:

Leasehold improvements depreciated over the life of the lease
Fixtures and fittings 3 - 4 years straight line
Office equipment 3 - 4 years straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Leases

The Company as lessee
Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Impairment of assets

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

Non-financial assets
At each balance sheet date, the company reviews its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss.

If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

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

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

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

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

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

Financial instruments

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

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

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

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

Financial assets are derecognised when and only when the contractual rights to the cash flows from the financial asset expire or are settled, or the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.

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

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

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

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

Investments
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through the Profit and Loss Account. Where fair value cannot be measured reliably, investments are measured at cost less impairment.

Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation. The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the Balance Sheet date, taking into account the risks and uncertainties surrounding the obligation.

2. Employees

2022 2021
Number Number
Monthly average number of persons employed by the Company during the year, including the director 24 14

3. Tangible assets

Leasehold improve-
ments
Fixtures and fittings Office equipment Total
£ £ £ £
Cost
At 01 January 2022 0 297,349 135,328 432,677
Additions 385,203 0 64,477 449,680
At 31 December 2022 385,203 297,349 199,805 882,357
Accumulated depreciation
At 01 January 2022 0 278,006 89,774 367,780
Charge for the financial year 15,117 19,343 34,525 68,985
At 31 December 2022 15,117 297,349 124,299 436,765
Net book value
At 31 December 2022 370,086 0 75,506 445,592
At 31 December 2021 0 19,343 45,554 64,897

4. Fixed asset investments

2022 2021
£ £
Subsidiary undertakings 34,198 0
Other investments and loans 4,633 26,434
38,831 26,434

Investments in subsidiaries

2022
£
Cost
At 01 January 2022 0
Additions 566,274
Transfer from other investments 21,801
At 31 December 2022 588,075
Provisions for impairment
At 01 January 2022 0
Impairment 553,877
At 31 December 2022 553,877
Carrying value at 31 December 2022 34,198
Carrying value at 31 December 2021 0

Additions relate to additional equity investment in Target Germanium GMBH. An impairment of £553,877 has been recognised in the year against the investment in Target Germanium GMBH.

Other investments Total
£ £
Cost or valuation before impairment
At 01 January 2022 26,434 26,434
Transfer to investments in subsidiaries ( 21,801) ( 21,801)
At 31 December 2022 4,633 4,633
Carrying value at 31 December 2022 4,633 4,633
Carrying value at 31 December 2021 26,434 26,434

Other investments relate to unlisted investments.

Investments in shares

Name of entity Registered office Principal activity Class of
shares
Ownership
31.12.2022
Ownership
31.12.2021
Target TGA Israel ltd 13 Rothschild Blvd. Tel Aviv-Yafo 6688116 Financial and investment advisory services Ordinary 100.00% 100.00%
Target Germanium GMBH Schinkelplatz 5 · 10117 Berlin Financial and investment advisory services Ordinary 100.00% 100.00%

5. Debtors

2022 2021
£ £
Debtors: amounts falling due within one year
Trade debtors 2,343,041 151
Amounts owed by Group undertakings 387,682 0
Prepayments 227,931 156,469
Other taxation and social security 90,897 147,138
Other debtors 6,474 3,944
3,056,025 307,702
Debtors: amounts falling due after more than one year
Other debtors 785,892 288,773

6. Creditors: amounts falling due within one year

2022 2021
£ £
Trade creditors 1,023,154 815,961
Amounts owed to Group undertakings 12,396 420,249
Amounts owed to related parties 0 981,443
Amounts owed to director 1,232 106,060
Accruals and deferred income 2,464,508 429,589
Corporation tax 446 85,268
Other taxation and social security 201,414 311,570
Other creditors 136,176 24,755
3,839,326 3,174,895

7. Provision for liabilities

2022 2021
£ £
Deferred tax 3,231 3,231
Other provisions 100,000 0
103,231 3,231

Other provisions relates to a dilapidations provision.

8. Financial commitments

Commitments

Total future minimum lease payments under non-cancellable operating leases are as follows:

2022 2021
£ £
within one year 0 229,493
between one and five years 3,364,820 0
after five years 1,682,410 0
5,047,230 229,493

Pensions

The Company operates a defined contribution pension scheme for the director and employees. The assets of the scheme are held separately from those of the Company in an independently administered fund.

2022 2021
£ £
Unpaid contributions due to the fund (inc. in other creditors) 21,418 22,314

9. Related party transactions

The total aggregate director salaries and other short-term benefits for the year was £18,630 (2021: £12,000). The director was the only key management personnel of the Company during the year.

During the year, advisory fees of £7,957,953 were received from Target Global Growth Fund II and included in turnover. Included within trade debtors are amounts of £2,284,971 (2021: Nil) owed by Target Global Growth Fund II, SCSp-RAIF. The amount is interest free and is repayable on demand.

The Company has taken advantage of provisions available under FRS 102 not to disclose details of transactions with the parent company, or with other wholly owned members of the group.

As at the year end, £1,232 (2021: £106,060) was payable to the director. The amount incurs interest at 3.5% p.a. and is repayable on demand.

10. Events after the Balance Sheet date

On 24 February 2023, Target Global Holding Ltd, the immediate and ultimate parent company, subscribed for a further one £1 ordinary share in the share capital of the company, at an amount of £550,000. Furthermore, an additional £1 ordinary share was subscribed for on 20 March 2023 in the amount of £720,000; an additional £1 ordinary share was subscribed for on 20 June 2023 in the amount of £1 and an additional £1 ordinary share was subscribed for on 15 August 2023 in the amount of £2,000,000, all by the same investor.

11. Audit Opinion

The auditor's report on the accounts for the financial year ended 31 December 2022 was unqualified.

In their report the auditors emphasised the following matter without qualifying their report: We draw attention to note 1 in the financial statements, which acknowledges the losses incurred by the Company and its dependency upon financial support from its parent entity and the wider group in order to continue as a going concern. As stated in note 1, these events or conditions, along with the other matters as set forth in note 1, indicate that a material uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

The audit report was signed by Ryan Swann BA FCA (Senior Statutory Auditor) on behalf of MHA.

MHA is the trading name of MacIntyre Hudson LLP, a limited liability partnership in England and Wales (registered number OC312313)

12. Ultimate controlling party

The immediate and ultimate parent undertaking of the Company is Target Global Holding Ltd, a company registered in Cyprus at 5 Themistokli Dervi, 1060, Nicosia, Cyprus.

The smallest group in which the Company results are included is the consolidated financial statements of the immeidate and ultimate parent company, Target Global Holding Ltd, registered at 5 Themistokli Dervi, 1060, Nicosia, Cyprus.