Company registration number 13708580 (England and Wales)
LIGHTSPEED FIBRE GROUP LTD
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
LIGHTSPEED FIBRE GROUP LTD
CONTENTS
Page
Balance sheet
1
Statement of changes in equity
2
Notes to the financial statements
3 - 8
LIGHTSPEED FIBRE GROUP LTD
BALANCE SHEET
AS AT 31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Investments
5
300
300
Current assets
Debtors
7
59,683,635
51,796,077
Cash at bank and in hand
1,994,015
6,664,635
61,677,650
58,460,712
Creditors: amounts falling due within one year
8
(265,946)
(407,950)
Net current assets
61,411,704
58,052,762
Total assets less current liabilities
61,412,004
58,053,062
Creditors: amounts falling due after more than one year
9
(65,893,241)
(61,542,646)
Net liabilities
(4,481,237)
(3,489,584)
Capital and reserves
Called up share capital
11
100
100
Profit and loss reserves
(4,481,337)
(3,489,684)
Total equity
(4,481,237)
(3,489,584)

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

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

The financial statements were approved by the board of directors and authorised for issue on 17 September 2024 and are signed on its behalf by:
Liam Hickey
Director
Company registration number 13708580 (England and Wales)
LIGHTSPEED FIBRE GROUP LTD
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 January 2022
100
(2,180)
(2,080)
Year ended 31 December 2022:
Loss and total comprehensive income
-
(3,487,504)
(3,487,504)
Balance at 31 December 2022
100
(3,489,684)
(3,489,584)
Year ended 31 December 2023:
Loss and total comprehensive income
-
(991,653)
(991,653)
Balance at 31 December 2023
100
(4,481,337)
(4,481,237)
LIGHTSPEED FIBRE GROUP LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -
1
Accounting policies
Company information

Lightspeed Fibre Group Ltd is a private company limited by shares incorporated in England and Wales. The registered office is Fulney Hall, Holbeach Road, Spalding, Lincolnshire, PE12 6ER.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts, on the basis that the group of which this is the parent qualifies as a small group. The financial statements present information about the company as an individual entity and not about its group.

1.2
Going concern

The company is an intermediate parent in the Lightspeed group and is dependent on related parties to finance the day operations. At the reporting date, the company had a net current assets of £61m (2022: £58m) and the balance sheet was in a net liability position of £4.5m (2022: £3.5m). true

 

The company operations are financed by equity, related parties, shareholders and third parties loans.

 

As at the signing date of these financial statements, the total loans to the group by its shareholders for the network build costs and operations amounted to £54.0m, with a further £66.7m from an entity affiliated to its shareholders (together, the “Kompass Kapital entities”). 

As of the signing date of these financial statements, the Kompass Kapital entities have committed funding of £162m to the Lightspeed Fibre Holdings Group for the period 2024-2026. 

The Company has a letter of comfort from from the Kompass Kapital entities, confirming the ongoing financial support for the company and confirming that repayment of their existing shareholder loans will not be required for at least 12 months from the date of signing of the financial statements. The directors are therefore confident that Kompass Global Ventures, LLC will continue to provide financial support to the company for the foreseeable future, defined as at least 12 months from the date of signing the financial statements for the year ended 31 December 2023. 

The directors have made an assessment of the company's ability to continue as a going concern which included the company's cash resources, borrowing facilities, planned network costs, and other expenditure.

 

In accordance with their responsibilities, the directors have considered the appropriateness of the going concern basis for the preparation of the financial statements. For this basis they have reviewed the financial and cash flow projections for the next 12 months from the date of the approval of the financial statements.

 

At the time of approving these financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

 

 

 

 

LIGHTSPEED FIBRE GROUP LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 4 -
1.3
Turnover

Interest income is recognised using the effective interest method.

 

1.4
Fixed asset investments

Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

1.5
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.6
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally 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.

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.

Classification of financial liabilities

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.

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.

LIGHTSPEED FIBRE GROUP LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 5 -
1.7
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.8
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.9
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

1.10

Comparatives

There were no changes in comparative figures during the year.

2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Recovelability of intercompany receivables

Intercompany receivables are stated at their recoverable amount less any necessary provision. Recoverability of intercompany receivables is assessed annually and a provision is recognised if any indications exist that the receivables are not considered recoverable.

Carry value of investments

Investments are held at cost less any necessary provision for impairment. Where the impairment assessment did not provide any indication of impairment, no provision is required. If any such indications exist, the carrying value of an investment is written down to its recoverable amount.

 

 

 

 

LIGHTSPEED FIBRE GROUP LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 6 -
3
Turnover
2023
2022
£
£
Turnover analysed by class of business
Intercompany interest income
6,152,421
2,154,977
4
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2023
2022
Number
Number
Directors
-
0
2
5
Fixed asset investments
2023
2022
Notes
£
£
Investments in subsidiaries
6
300
300
6
Subsidiaries

Details of the company's subsidiaries at 31 December 2023 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Lightspeed Broadband Limited
England and Wales
Ordinary shares
100.00
Lightspeed Networks Limited
England and Wales
Ordinary shares
100.00
Lightspeed Central Services Limited
England and Wales
Ordinary shares
100.00
The aggregate capital and reserves and the result for the year of the subsidiaries noted above was as follows:
Name of undertaking
Capital and Reserves
Profit/(Loss)
£
£
Lightspeed Broadband Limited
(20,224,933)
(7,233,144)
Lightspeed Networks Limited
(25,053,691)
(18,607,260)
Lightspeed Central Services Limited
173,471
130,082
LIGHTSPEED FIBRE GROUP LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
7
Debtors
2023
2022
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
-
0
1,332,084
Other debtors
3
-
0
3
1,332,084
2023
2022
Amounts falling due after more than one year:
£
£
Amounts owed by group undertakings
59,683,632
50,463,993
Total debtors
59,683,635
51,796,077
8
Creditors: amounts falling due within one year
2023
2022
£
£
Amounts owed to group undertakings
-
0
401,771
Other creditors
180
179
Accruals and deferred income
265,766
6,000
265,946
407,950

 

9
Creditors: amounts falling due after more than one year
2023
2022
Notes
£
£
Other borrowings
10
65,893,241
61,542,646
10
Loans and overdrafts
2023
2022
£
£
Loans from group undertakings
33,386,185
-
0
Other loans
32,507,056
61,542,646
65,893,241
61,542,646
Payable after one year
65,893,241
61,542,646
LIGHTSPEED FIBRE GROUP LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
10
Loans and overdrafts
(Continued)
- 8 -

The company borrowings include loans received from Sequoia Capital amounting to £32.5m. The loan is secured by a fixed charge over the company's properties and interest charged at margin plus compounded reference for that day. The loan expires in 30 November 2033.

11
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary share of £1 each
100
100
100
100
12
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

Senior Statutory Auditor:
Shilpa Chheda
Statutory Auditor:
KLSA LLP
Date of audit report:
23 September 2024
13
Related party transactions

The company has taken advantage of the exemption available in FRS 102 (s33 "Related Party Disclosure"), whereby it has not disclosed transactions with the parent company or any wholly owned subsidiary undertakings of the group.

14
Ultimate controlling party

Lightspeed Fibre Holdings Limited, a company incorporated in England and Wales, is regarded by the directors as being the company's ultimate parent company. Its registered office and principal place of business is Fulney Hall, Holbeach Road, Spalding, Lincolnshire, United Kingdom, PE12 6ER.

In the opinion of the directors, the ultimate controlling party is the Kompass Kapital Management.

2023-12-312023-01-01false23 September 2024CCH SoftwareCCH Accounts Production 2024.200No description of principal activityThis audit opinion is unqualifiedL HickeyGraham Robert BellHenry Hugo Humphrey SykesJeffery William KonneskyBrett Edward ShepherdCourtney Michelle ConradBradley Scott BergerHarts Limitedfalsefalse137085802023-01-012023-12-31137085802023-12-31137085802022-12-3113708580core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3113708580core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-3113708580core:Non-currentFinancialInstrumentscore:AfterOneYear2023-12-3113708580core:Non-currentFinancialInstrumentscore:AfterOneYear2022-12-3113708580core:CurrentFinancialInstruments2023-12-3113708580core:CurrentFinancialInstruments2022-12-3113708580core:ShareCapital2023-12-3113708580core:ShareCapital2022-12-3113708580core:RetainedEarningsAccumulatedLosses2023-12-3113708580core:RetainedEarningsAccumulatedLosses2022-12-3113708580core:ShareCapital2021-12-3113708580core:RetainedEarningsAccumulatedLosses2021-12-3113708580bus:Director12023-01-012023-12-3113708580core:RetainedEarningsAccumulatedLosses2022-01-012022-12-31137085802022-01-012022-12-3113708580core:RetainedEarningsAccumulatedLosses2023-01-012023-12-3113708580core:Non-currentFinancialInstruments2023-12-3113708580core:Non-currentFinancialInstruments2022-12-3113708580core:AfterOneYear2023-12-3113708580core:AfterOneYear2022-12-3113708580bus:PrivateLimitedCompanyLtd2023-01-012023-12-3113708580bus:SmallCompaniesRegimeForAccounts2023-01-012023-12-3113708580bus:FRS1022023-01-012023-12-3113708580bus:Audited2023-01-012023-12-3113708580bus:Director22023-01-012023-12-3113708580bus:Director32023-01-012023-12-3113708580bus:Director42023-01-012023-12-3113708580bus:Director52023-01-012023-12-3113708580bus:Director62023-01-012023-12-3113708580bus:Director72023-01-012023-12-3113708580bus:CompanySecretary12023-01-012023-12-3113708580bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP