Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-312023-03-01falseResearch and experimental development on biotechnology149truetrueThe members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006. 12420619 2023-03-01 2023-12-31 12420619 2022-03-01 2023-02-28 12420619 2023-12-31 12420619 2023-02-28 12420619 c:Director4 2023-03-01 2023-12-31 12420619 d:Buildings d:LongLeaseholdAssets 2023-03-01 2023-12-31 12420619 d:Buildings d:LongLeaseholdAssets 2023-12-31 12420619 d:Buildings d:LongLeaseholdAssets 2023-02-28 12420619 d:PlantMachinery 2023-03-01 2023-12-31 12420619 d:PlantMachinery 2023-12-31 12420619 d:PlantMachinery 2023-02-28 12420619 d:PlantMachinery d:OwnedOrFreeholdAssets 2023-03-01 2023-12-31 12420619 d:OfficeEquipment 2023-03-01 2023-12-31 12420619 d:OfficeEquipment 2023-12-31 12420619 d:OfficeEquipment 2023-02-28 12420619 d:OfficeEquipment d:OwnedOrFreeholdAssets 2023-03-01 2023-12-31 12420619 d:ComputerEquipment 2023-03-01 2023-12-31 12420619 d:ComputerEquipment 2023-12-31 12420619 d:ComputerEquipment 2023-02-28 12420619 d:ComputerEquipment d:OwnedOrFreeholdAssets 2023-03-01 2023-12-31 12420619 d:OwnedOrFreeholdAssets 2023-03-01 2023-12-31 12420619 d:CurrentFinancialInstruments 2023-12-31 12420619 d:CurrentFinancialInstruments 2023-02-28 12420619 d:Non-currentFinancialInstruments 2023-12-31 12420619 d:Non-currentFinancialInstruments 2023-02-28 12420619 d:CurrentFinancialInstruments d:WithinOneYear 2023-12-31 12420619 d:CurrentFinancialInstruments d:WithinOneYear 2023-02-28 12420619 d:Non-currentFinancialInstruments d:AfterOneYear 2023-12-31 12420619 d:Non-currentFinancialInstruments d:AfterOneYear 2023-02-28 12420619 d:ShareCapital 2023-12-31 12420619 d:ShareCapital 2023-02-28 12420619 d:SharePremium 2023-12-31 12420619 d:SharePremium 2023-02-28 12420619 d:RetainedEarningsAccumulatedLosses 2023-12-31 12420619 d:RetainedEarningsAccumulatedLosses 2023-02-28 12420619 c:OrdinaryShareClass1 2023-03-01 2023-12-31 12420619 c:OrdinaryShareClass1 2023-12-31 12420619 c:OrdinaryShareClass1 2023-02-28 12420619 c:OrdinaryShareClass2 2023-03-01 2023-12-31 12420619 c:OrdinaryShareClass2 2023-12-31 12420619 c:OrdinaryShareClass2 2023-02-28 12420619 c:OrdinaryShareClass3 2023-03-01 2023-12-31 12420619 c:OrdinaryShareClass3 2023-12-31 12420619 c:FRS102 2023-03-01 2023-12-31 12420619 c:AuditExempt-NoAccountantsReport 2023-03-01 2023-12-31 12420619 c:FullAccounts 2023-03-01 2023-12-31 12420619 c:PrivateLimitedCompanyLtd 2023-03-01 2023-12-31 12420619 13 2023-03-01 2023-12-31 12420619 e:PoundSterling 2023-03-01 2023-12-31 iso4217:GBP xbrli:shares xbrli:pure

Registered number: 12420619









BROKEN STRING BIOSCIENCES LIMITED







UNAUDITED

FINANCIAL STATEMENTS

INFORMATION FOR FILING WITH THE REGISTRAR

FOR THE PERIOD ENDED 31 DECEMBER 2023

 
BROKEN STRING BIOSCIENCES LIMITED
REGISTERED NUMBER: 12420619

BALANCE SHEET
AS AT 31 DECEMBER 2023

31 December
28 February
2023
2023
Note
£
£

FIXED ASSETS
  

Tangible assets
 4 
402,848
179,412

  
402,848
179,412

CURRENT ASSETS
  

Debtors: amounts falling due within one year
 5 
802,469
424,876

Cash at bank and in hand
  
5,938,082
1,401,470

  
6,740,551
1,826,346

Creditors: amounts falling due within one year
 6 
(415,725)
(175,197)

NET CURRENT ASSETS
  
 
 
6,324,826
 
 
1,651,149

TOTAL ASSETS LESS CURRENT LIABILITIES
  
6,727,674
1,830,561

Creditors: amounts falling due after more than one year
 7 
(16,830)
(330,845)

  

NET ASSETS
  
6,710,844
1,499,716


CAPITAL AND RESERVES
  

Called up share capital 
 8 
233
159

Share premium account
  
9,706,628
3,121,672

Profit and loss account
  
(2,996,017)
(1,622,115)

  
6,710,844
1,499,716


Page 1

 
BROKEN STRING BIOSCIENCES LIMITED
REGISTERED NUMBER: 12420619
    
BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2023

The directors consider that the Company is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Company to obtain an audit for the period in question in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

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

The Company has opted not to file the profit and loss account in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




F Dobbs
Director

Date: 29 August 2024

The notes on pages 3 to 9 form part of these financial statements.

Page 2

 
BROKEN STRING BIOSCIENCES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

1.


GENERAL INFORMATION

Broken String Biosciences Limited is a private company limited by shares and incorporated in England and Wales. Its registered office address is BioData Innovation Centre, Wellcome Genome Campus, Hinxton, Cambridge, CB10 1DR. 
The Company's functional and presentational currency is GBP.

2.ACCOUNTING POLICIES

 
2.1

BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

 
2.2

GOING CONCERN

The financial statements have been prepared on the going concern basis which assumes that the company will continue as a going for the foreseeable future. The trading losses reported to date are consistent with the company's business plan as it progresses its research and development activities.
Given the investment received, together with the development progress achieved, the directors have a reasonable expectation that the company will be able to meet its liabilities as they fall due for the foreseeable future and therefore continue to adopt the going concern basis. 

 
2.3

FOREIGN CURRENCY TRANSLATION

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings, cash and cash equivalents and all other foreign exchange gains and losses are presented in the Profit and Loss Account within 'administration expenses'.

Page 3

 
BROKEN STRING BIOSCIENCES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

2.ACCOUNTING POLICIES (CONTINUED)

 
2.4

TURNOVER

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised:

Rendering of services

Turnover from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of turnover can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

TANGIBLE FIXED ASSETS

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Leasehold improvements
-
5 years straight-line
Plant and machinery
-
3 years straight-line
Office equipment
-
3 years straight-line
Computer equipment
-
3 years straight-line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.6

DEBTORS

Short-term debtors are measured at transaction price, less any impairment.

Page 4

 
BROKEN STRING BIOSCIENCES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

2.ACCOUNTING POLICIES (CONTINUED)

 
2.7

CASH AND CASH EQUIVALENTS

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.8

CREDITORS

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.9

CONVERTIBLE DEBT

The proceeds received on issue of the Company's convertible debt are allocated into their liability and equity components and presented separately in the Balance Sheet.

The amount initially attributed to the debt component equals the discounted cash flows using a market rate of interest that would be payable on a similar debt instrument that did not include an option to convert.

The difference between the net proceeds of the convertible debt and the amount allocated to the debt component is credited direct to equity and is not subsequently remeasured. On conversion, the debt and equity elements are credited to share capital and share premium as appropriate.

Transaction costs that relate to the issue of the instrument are allocated to the liability and equity components of the instrument in proportion to the allocation of proceeds.

 
2.10

PENSIONS

DEFINED CONTRIBUTION PENSION PLAN

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

Page 5

 
BROKEN STRING BIOSCIENCES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

2.ACCOUNTING POLICIES (CONTINUED)

 
2.11

SHARE-BASED PAYMENTS

Where share options are awarded to employees, the fair value of the options at the date of grant is charged to profit or loss over the vesting period. Non-market vesting conditions are taken into account by adjusting the number of equity instruments expected to vest at each balance sheet date so that, ultimately, the cumulative amount recognised over the vesting period is based on the number of options that eventually vest. Market vesting conditions are factored into the fair value of the options granted. The cumulative expense is not adjusted for failure to achieve a market vesting condition.
The fair value of the award also takes into account non-vesting conditions. These are either factors beyond the control of either party (such as a target based on an index) or factors which are within the control of one or other of the parties (such as the Company keeping the scheme open or the employee maintaining any contributions required by the scheme).
Where the terms and conditions of options are modified before they vest, the increase in the fair value of the options, measured immediately before and after the modification, is also charged to profit or loss over the remaining vesting period.
Where equity instruments are granted to persons other than employees, profit or loss is charged with fair value of goods and services received.

 
2.12

TAXATION

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

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

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


3.


EMPLOYEES



The average monthly number of employees, including directors, during the period was 14 (2023 - 9).

Page 6

 
BROKEN STRING BIOSCIENCES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

4.


TANGIBLE FIXED ASSETS







Leasehold improvements
Plant and machinery
Office equipment
Computer equipment
Total

£
£
£
£
£



COST


At 1 March 2023
23,473
182,003
9,268
26,673
241,417


Additions
45,093
231,948
5,930
28,361
311,332


Disposals
-
(7,506)
-
-
(7,506)



At 31 December 2023

68,566
406,445
15,198
55,034
545,243



DEPRECIATION


At 1 March 2023
5,152
44,512
3,280
9,061
62,005


Charge for the period on owned assets
4,100
63,800
2,909
10,039
80,848


Disposals
-
(458)
-
-
(458)



At 31 December 2023

9,252
107,854
6,189
19,100
142,395



NET BOOK VALUE



At 31 December 2023
59,314
298,591
9,009
35,934
402,848



At 28 February 2023
18,321
137,491
5,988
17,612
179,412


5.


DEBTORS

31
December
28
February
2023
2023
£
£


Trade debtors
37,703
58,217

Other debtors
398,549
320,769

Prepayments and accrued income
366,217
45,890

802,469
424,876


Page 7

 
BROKEN STRING BIOSCIENCES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

6.


CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31 December
28
February
2023
2023
£
£

Trade creditors
201,799
25,938

Other taxation and social security
-
41,552

Obligations under finance lease and hire purchase contracts
40,393
40,393

Other creditors
-
3,876

Accruals and deferred income
173,533
63,438

415,725
175,197


Other creditors include contributions of £Nil (2022 - £3,876) payable to the company's defined contribution pension scheme at the balance sheet date.


7.


CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31 December
28
February
2023
2023
£
£

Net obligations under finance leases and hire purchase contracts
16,830
50,491

Convertible loans
-
280,354

16,830
330,845



8.


SHARE CAPITAL

31
December
28
February
2023
2023
£
£
ALLOTTED, CALLED UP AND FULLY PAID



1,086,957 (2023 - 1,086,957) Ordinary shares of £0.0001 each
108.70
108.70
498,196 (2023 - 498,196) Series Seed shares of £0.0001 each
49.82
49.82
743,413 (2023 - Nil ) Series A shares of £0.0001 each
74.34
-

232.86

158.52


On 7 August 2023, the Company issued 743,413 Series A £0.0001 shares for a total consideration of £6,887,058.

Page 8

 
BROKEN STRING BIOSCIENCES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

9.


SHARE-BASED PAYMENTS

31 December
28
February
2023
2023
Number
Number



Outstanding at the beginning of the year
66,685
-

Granted during the year
14,196
66,685

Expired during the year
(14,196)
-

OUTSTANDING AT THE END OF THE YEAR
66,685
66,685



31 December
28
February
2023
2023

Weighted average remaining contractual life, years


8.74

9.37
 
Weighted average share price (£)


0.0001

0.0001
 
Exercise price (£)


0.0001

0.0001
 
Expected volatility


79.04%

75.28%
 



1.77% -
 
Risk-free interest rate


4.37%

3.82%
 


 
Page 9