REGISTERED NUMBER: 06794921 (England and Wales) |
Group Strategic Report, |
Report of the Director and |
Consolidated Financial Statements |
FOR THE YEAR ENDED |
31 December 2022 |
for |
PP ASSET MANAGEMENT LIMITED |
REGISTERED NUMBER: 06794921 (England and Wales) |
Group Strategic Report, |
Report of the Director and |
Consolidated Financial Statements |
FOR THE YEAR ENDED |
31 December 2022 |
for |
PP ASSET MANAGEMENT LIMITED |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Contents of the Consolidated Financial Statements |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 4 |
Report of the Independent Auditors | 6 |
Consolidated Profit and Loss Account | 10 |
Consolidated Statement of Other Comprehensive Income |
11 |
Consolidated Balance Sheet | 12 |
Company Balance Sheet | 13 |
Consolidated Statement of Changes in Equity | 14 |
Company Statement of Changes in Equity | 15 |
Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 17 |
PP ASSET MANAGEMENT LIMITED |
Company Information |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Statutory Auditors |
First Floor, Winston House |
349 Regents Park Road |
London |
N3 1DH |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Group Strategic Report |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
The director presents his strategic report of the group for the year ended 31 December 2022. |
Founded in 2009, PP Asset Management Ltd ("PPAM") is an independent investment and asset management company based in London, UK. PPAM serves as the exclusive investment vehicle for its owner, Philip Pels. The PPAM Group is a leading capital provider and partner to renewable energy developers in the UK and the US and a UK property developer. |
PRINCIPAL ACTIVITIES |
The PPAM group focuses on making investments in Residential Property in the UK and Renewable Energy Developers globally. |
PPAM has invested in a UK property developer called The Park Property Group. The Park Property Group operates at all stages of the property development lifestyle. It originates, obtains planning consents, constructs, and then holds or sells the completed properties. |
PPAM renewable energy developers identify sites suitable for large scale renewable energy projects and develop these sites from inception to a ready to build stage. The development assets are then sold to utilities and/or infrastructure funds who seek long term returns from renewable energy projects. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Liquidity risk |
The ability of the Group to meet its current obligations needs to be continually considered. The business mitigates against this by liquidity forecasting on a near and long-term basis to identify and remedy situations before they arise. |
Development risk |
Development activities by their very nature have an inherent level of risk. Assessment and mitigation of development risks is at the core of the PPAM business model. All of our subsidiaries have experienced cross functional management teams and are based within the countries that we operate in. This provides PPAM with comfort that development risks are understood and appropriately managed. |
Market risk |
The Group does not have a trading book and therefore the only risks applicable are non-trading market risk and foreign exchange risk. |
Non-trading market risk arises from PPAM's private equity investments. Exposure is limited to the valuations of the investments. |
Foreign exchange risk |
The Group uses a prudent methodology where appropriate balances are received in a foreign currency are converted into sterling, in order to pay expenses, which are primarily sterling-based. Frequent monitoring of the foreign exchange spot prices is performed. |
Credit risk |
Credit risk is limited. The material credit exposures are amounts receivable from related parties and bank deposits. Bank deposits are held in accounts at large international banking institutions and are not invested in risky or illiquid investments. The other amounts receivable is mostly from companies with institutional backing whom senior management have completed financial due diligence on. |
Thorough analysis of receivables, including employee loans, was carried out by senior management throughout the year, and a prudent approach was undertaken to the recoverability of these receivables. |
KEY PERFORMANCE INDICATORS |
Given the straightforward nature of the business, senior management are of the opinion that analysis using key performance indicators is not necessary for an understanding of the development, performance or position of the business. |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Group Strategic Report |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
BUSINESS REVIEW |
The results for the period and financial position of the company are as shown in the annexed financial statements. |
The Group has concentrated on a range of investments across electricity generating assets and property construction. |
The properties are constructed with the intention of selling them for profit. |
The electricity generating assets are taken to approval stage and sold to external companies resulting in profits for the Group. |
CHARITABLE DONATIONS AND EXPENDITURE |
During the year, the group made a total charitable donation of £9.3m (2022: £216k). |
GROUP PERFORMANCE AND FINANCIAL POSITION |
Turnover realised for 2022 was £1.58m (2021: £7.3m) and this represents a decrease of 78% compared to the previous year however, gross profit increased to £400k in comparison to prior year gross loss (2021: (£1.11m)) . |
Movement in profit before tax was £134.3m (Loss before tax 2021: £5.7m) which is a result of the disposal of subsidiaries during the year. |
The Group's shareholders' surplus funds now stand at £103.9m (2021: deficit (£19.7m)) and the director consider the state of affairs to be satisfactory and is pleased with the performance of the group under the current economic conditions. |
ON BEHALF OF THE BOARD: |
26 September 2024 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Report of the Director |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
The director presents his report with the financial statements of the company and the group for the year ended 31 December 2022. |
DIVIDENDS |
No interim dividend was paid during the year. The director recommends a final dividend of £108,700 per share. |
The total distribution of dividends for the year ended 31 December 2022 will be £ 10,870,000 . |
There were £NIL distribution of dividends in 2021. |
DIRECTOR |
CHARITABLE DONATIONS AND EXPENDITURE |
Donations made during the year is disclosed in the strategic report. |
DISCLOSURE IN THE STRATEGIC REPORT |
The company has chosen, in accordance with the Companies Act, to set out in the strategic report, information regarding the review of business and a description of the principal risks and uncertainties facing the company. |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the group and parent financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare group and parent financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the parent company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to: |
- select suitable accounting policies and then apply them consistently; |
- make judgements and accounting estimates that are reasonable and prudent; |
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is 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 the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Report of the Director |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
AUDITORS |
The auditors, Melinek Fine LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
PP Asset Management Limited |
Opinion |
We have audited the financial statements of PP Asset Management Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2022 which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flow and Notes to the Parent and Consolidated 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 group's and of the parent company affairs as at 31 December 2022 and of the group's profit for the year 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. |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2022 and of the group's profit for the year 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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. |
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 group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon. |
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 this gives rise to a material misstatement in the financial statements themselves. 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. |
Opinions on other matters 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 Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
PP Asset Management Limited |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director. |
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: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page four, the director is 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 director determines 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 director is responsible for assessing the group's and the parent 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
PP Asset Management Limited |
Auditors' 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 a Report of the Auditors 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: |
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our: general commercial and sector experience; through verbal and written communications with those charged with governance and other management; and via inspection of the group's regulatory and legal correspondence. |
We discussed with those charged with governance and other management the policies and procedures regarding compliance with laws and regulations. |
We communicated identified laws and regulations to our team and remained alert to any indicators of non-compliance throughout the audit, we also specifically considered where and how fraud may occur within the group. |
The potential effect of these laws and regulations on the financial statements varies considerably. |
Firstly, the group is subject to laws and regulations that directly affect the financial statements, including: the company's constitution, relevant financial reporting standards; company law; tax legislation and distributable profits legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. |
Secondly the group is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on the amounts or disclosures in the financial statements, for instance through the imposition of fines and penalties, or through losses arising from litigation. We identified the following areas as those most likely to have such an affect: employment legislation; health and safety legislation; trade legislation; data protection legislation; anti-bribery and corruption legislation. |
International Standards on Auditing (UK) limit the required procedures to identify non-compliance with these laws and regulations to the procedures, and no procedures over and above those already noted are required. These limited procedures did not identify any actual or suspected non-compliance with laws and regulations that could have a material impact on the financial statements. |
In relation to fraud, we performed the following specific procedures in addition to those already noted: |
-Challenging assumptions made by management in its significant accounting estimates. |
-Identifying and testing journal entries during the period and post balance sheet date, in particular any entries posted with unusual nominal ledger account combinations, journal entries crediting cash or any revenue account, journal entries posted by senior management. |
-Performing analytical procedures to identify unexpected movements in account balances which may be indicative of fraud; |
-Ensuring that testing undertaken on both the performance statements and the Balance Sheet includes a number of items selected on a random basis. |
These procedures did not identify any actual or suspected fraudulent irregularity that could have a material impact on the financial statements. |
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with International Auditing Standards (UK). For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the procedures that we are required to undertake would identify it. In addition, as with any audit, there remains a high risk of non-detection of irregularities, as these might involve collusion, forgery, intentional omissions, misrepresentation, or the override of internal controls. We are not responsible for preventing non-compliance with laws and regulations or fraud, and cannot be expected to detect non-compliance with all laws and regulations or every incidence of fraud. |
Report of the Independent Auditors to the Members of |
PP Asset Management Limited |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
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 a Report of the Auditors 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. |
for and on behalf of |
Chartered Accountants |
Statutory Auditors |
First Floor, Winston House |
349 Regents Park Road |
London |
N3 1DH |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Consolidated |
Profit and Loss Account |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2022 | 2021 |
Notes | £ | £ | £ | £ |
TURNOVER | 3 | 1,578,132 | 7,280,038 |
Cost of sales | 1,177,861 | 8,394,174 |
GROSS PROFIT/(LOSS) | 400,271 | (1,114,136 | ) |
Distribution costs | 175,000 | (76,340 | ) |
Administrative expenses | 128,471,438 | 3,304,532 |
128,646,438 | 3,228,192 |
(128,246,167 | ) | (4,342,328 | ) |
Other operating income | 4 | 251,062,253 | 4,610,294 |
GROUP OPERATING PROFIT | 6 | 122,816,086 | 267,966 |
Share of operating profit/(loss) in |
Joint ventures | 5,493 | (7,363 | ) |
Associates | 10,428,929 | 1,711,338 |
Income from shares in group undertakings | 44,160 | - |
Interest receivable and similar income | 2,387,880 | 112,080 |
2,432,040 | 112,080 |
135,682,548 | 2,084,021 |
Interest payable and similar expenses | 8 | 1,367,441 | 7,759,003 |
PROFIT/(LOSS) BEFORE TAXATION | 134,315,107 | (5,674,982 | ) |
Tax on profit/(loss) | 9 | - | 182 |
PROFIT/(LOSS) FOR THE FINANCIAL YEAR |
( |
) |
Profit/(loss) attributable to: |
Owners of the parent | 134,574,717 | (3,468,152 | ) |
Non-controlling interests | (259,610 | ) | (2,207,012 | ) |
134,315,107 | (5,675,164 | ) |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Consolidated |
Statement of Other |
Comprehensive Income |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2022 | 2021 |
Notes | £ | £ |
PROFIT/(LOSS) FOR THE YEAR | 134,315,107 | (5,675,164 | ) |
OTHER COMPREHENSIVE INCOME |
Cumulative translation adjustment | 817,785 | (384,000 | ) |
Disposal of subsidiary | (819,363 | ) | - |
Impairment of fixed asset investment | 175,000 | - |
Income tax relating to components of other comprehensive income |
- |
- |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
173,422 |
(384,000 |
) |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
134,488,529 |
(6,059,164 |
) |
Total comprehensive income attributable to: |
Owners of the parent | 134,748,139 | (3,666,579 | ) |
Non-controlling interests | (259,610 | ) | (2,392,585 | ) |
134,488,529 | (6,059,164 | ) |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Consolidated Balance Sheet |
31 DECEMBER 2022 |
2022 | 2021 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 12 | 871,214 | 1,072,794 |
Tangible assets | 13 | - | 109,240,114 |
Investments | 14 |
Interest in joint venture |
Share of gross assets | 258 | 342 |
Share of gross liabilities | (933 | ) | (6,510 | ) |
(675 | ) | (6,168 | ) |
Interest in associate | 12,143,949 | 1,711,888 |
Other investments | 9,250,242 | 36,252 |
Investment property | 15 | 8,559,972 | 6,825,000 |
30,824,702 | 118,879,880 |
CURRENT ASSETS |
Stocks | 16 | 75,000 | 1,217,332 |
Debtors | 17 | 133,899,418 | 16,239,250 |
Cash at bank | 10,095,049 | 2,987,430 |
144,069,467 | 20,444,012 |
CREDITORS |
Amounts falling due within one year | 18 | 2,268,684 | 36,372,182 |
NET CURRENT ASSETS/(LIABILITIES) | 141,800,783 | (15,928,170 | ) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
172,625,485 |
102,951,710 |
CREDITORS |
Amounts falling due after more than one year | 19 | (4,757,550 | ) | (122,647,661 | ) |
PROVISIONS FOR LIABILITIES | 22 | (63,945,357 | ) | - |
NET ASSETS/(LIABILITIES) | 103,922,578 | (19,695,951 | ) |
CAPITAL AND RESERVES |
Called up share capital | 23 | 100 | 100 |
Translation reserves | - | 95,547 |
Profit and loss account | 103,922,478 | (19,231,845 | ) |
SHAREHOLDERS' FUNDS | 103,922,578 | (19,136,198 | ) |
NON-CONTROLLING INTERESTS | 24 | - | (559,753 | ) |
TOTAL EQUITY | 103,922,578 | (19,695,951 | ) |
The financial statements were approved by the director and authorised for issue on 26 September 2024 and were signed by: |
P Pels - Director |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Company Balance Sheet |
31 DECEMBER 2022 |
2022 | 2021 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 12 |
Tangible assets | 13 |
Investments | 14 |
Investment property | 15 |
CURRENT ASSETS |
Debtors | 17 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 18 |
NET CURRENT ASSETS/(LIABILITIES) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
( |
) |
CAPITAL AND RESERVES |
Called up share capital | 23 |
Profit and loss account | ( |
) |
SHAREHOLDERS' FUNDS | ( |
) |
Company's profit/(loss) for the financial year | 51,719,139 | (395,757 | ) |
The financial statements were approved by the director and authorised for issue on |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Consolidated Statement of Changes in Equity |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Called up | Profit |
share | and loss | Translation |
capital | account | reserves |
£ | £ | £ |
Balance at 1 January 2021 | 100 | (15,763,693 | ) | 479,547 |
Changes in equity |
Total comprehensive income | - | (3,468,152 | ) | (384,000 | ) |
Balance at 31 December 2021 | 100 | (19,231,845 | ) | 95,547 |
Changes in equity |
Dividends | - | (10,870,000 | ) | - |
Total comprehensive income | - | 133,930,354 | 817,785 |
Non-controlling interest and translation reserve adjustment on disposal |
- |
93,969 |
(913,332 |
) |
Balance at 31 December 2022 | 100 | 103,922,478 | - |
Non-controlling | Total |
Total | interests | equity |
£ | £ | £ |
Balance at 1 January 2021 | (15,284,046 | ) | (5,147,685 | ) | (20,431,731 | ) |
Changes in equity |
Total comprehensive income | (3,852,152 | ) | (2,392,585 | ) | (6,244,737 | ) |
Capital contributions | - | 6,980,517 | 6,980,517 |
Balance at 31 December 2021 | (19,136,198 | ) | (559,753 | ) | (19,695,951 | ) |
Changes in equity |
Dividends | (10,870,000 | ) | - | (10,870,000 | ) |
Total comprehensive income | 134,748,139 | (259,610 | ) | 134,488,529 |
Non-controlling interest and translation reserve adjustment on disposal |
(819,363 |
) |
819,363 |
- |
Balance at 31 December 2022 | 103,922,578 | - | 103,922,578 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Company Statement of Changes in Equity |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Called up | Profit |
share | and loss | Total |
capital | account | equity |
£ | £ | £ |
Balance at 1 January 2021 |
Changes in equity |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 December 2021 | ( |
) | ( |
) |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2022 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Consolidated Cash Flow Statement |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2022 | 2021 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 28 | (253,609,177 | ) | (8,459,715 | ) |
Interest paid | (1,367,441 | ) | (2,300,781 | ) |
Tax paid | - | (182 | ) |
Net cash from operating activities | (254,976,618 | ) | (10,760,678 | ) |
Cash flows from investing activities |
Purchase of tangible fixed assets | (739,872 | ) | (35,199,383 | ) |
Purchase of fixed asset investments | (9,467,179 | ) | (36,702 | ) |
Purchase of investment property | (1,734,972 | ) | - |
Sale of intangible fixed assets | 56,378 | - |
Sale of tangible fixed assets | 109,979,986 | 9,255,955 |
Sale of fixed asset investments | 288,575,516 | - |
Interest received | 2,387,880 | 112,080 |
Dividends received | 44,160 | - |
Net cash from investing activities | 389,101,897 | (25,868,050 | ) |
Cash flows from financing activities |
New loans in year | - | 35,003,506 |
Loan repayments in year | (118,177,604 | ) | (4,043,952 | ) |
Amount withdrawn by directors | 1,286,955 | (1,219,788 | ) |
Equity dividends paid | (10,870,000 | ) | - |
Capital received from non-contr interest | 259,610 | 6,980,517 |
Net cash from financing activities | (127,501,039 | ) | 36,720,283 |
Increase in cash and cash equivalents | 6,624,240 | 91,555 |
Cash and cash equivalents at beginning of year |
29 |
2,987,430 |
3,279,875 |
Effect of foreign exchange rate changes | 483,379 | (384,000 | ) |
Cash and cash equivalents at end of year |
29 |
10,095,049 |
2,987,430 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
1. | STATUTORY INFORMATION |
PP Asset Management Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These consolidated and separate financial statements are prepared on a going concern basis, under the historical cost convention, as modified by the recognition of certain financial assets and liabilities measured at fair value. |
The director has considered a period of at least 12 months from the date of signing of the balance sheet in making his assessment on the going concern of the Group. |
Advantage has been taken of the reduced disclosure regime for ultimate parents, and thus the company has not presented its statement of cash flows as allowed by FRS 102 Section 1.12 (b). |
Basis of consolidation |
The Group consolidated financial statements include the financial statements of the Company and associates and all of its material subsidiary undertakings together with the Group’s share of the results of joint ventures and associates made up to 31 December 2022. |
A subsidiary is an entity controlled by the Group. Control is the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. |
Where a subsidiary has different accounting policies to the Group, adjustments are made to those subsidiary financial statements to apply the Group’s accounting policies when preparing the consolidated financial statements. |
Any subsidiary undertakings sold or acquired during the year are included up to, or from, the dates of change of control. |
Where control of a subsidiary is lost, the gain or loss is recognised in the consolidated profit and loss statement. The cumulative amounts of any exchange differences on translation, recognised in equity, are not included in the gain or loss on disposal and are transferred to retained earnings. The gain or loss also includes amounts included in other comprehensive income that are required to be reclassified to profit or loss but excludes those amounts that are not required to be reclassified. |
All intra-Group transactions, balances, income and expenses are eliminated on consolidation. Adjustments are made to eliminate the profit or loss arising on transactions with joint ventures to the extent of the Group’s interest in the entity. |
Joint ventures and associates |
Investments in joint ventures and associates' undertakings are initially recognised at cost. After initial recognition, joint venture and associates' undertakings are measured at cost plus the Group's share of any accumulated profits or losses. |
Refer to note 14 for details of the group. |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Revenue is measured at the fair value of the consideration received or receivable and represents the amount receivable for goods supplied or services rendered, net of returns, discounts and rebates allowed by the Group and value added taxes |
The Group bases its estimate of returns on historical results, taking into consideration the type of customer, the type of transaction and the specifics of each arrangement. |
Where the consideration receivable in cash or cash equivalents is deferred, and the arrangement constitutes a financing transaction, the fair value of the consideration is measured as the present value of all future receipts using the imputed rate of interest. |
The Group recognises revenue when (a) the significant risks and rewards of ownership have been transferred to the buyer; (b) the Group retains no continuing involvement or control over the assets; (c) the amount of revenue can be measured reliably; (d) it is probable that future economic benefits will flow to the entity and (e) when the specific criteria relating to each of the Group's sales channels have been met, as described below. |
i. Sale of assets |
The Group sells assets including properties and electricity generating assets. Revenue is recognised on sale to the buyer at the date specified in the sales contract. |
ii. Sale of services |
The Group sells management services to other companies. Revenue is recognised in the accounting period in which the services are rendered when the outcome of contract can be estimated reliably. The company uses the percentage of completion method based on the actual service performed as a percentage of the total services to be provided. |
iii. Lease income |
The Group generates income from project leases. Revenue is recognised on a straight-line basis over the expected lease period. |
iv. Interest income |
Interest income is recognised using the effective interest rate method. |
Goodwill |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Equipment | - |
Computer equipment | - |
Tangible fixed assets represent the cost of construction of solar plants, civil/structural, planning and professional fees capitalised throughout the life of the project. As some the assets are still in development no depreciation is charged for those assets during the financial period. |
Tangible assets are derecognised on disposal or when no future economic benefits are expected. On disposal, the difference between the net disposal proceeds and the carrying amount is recognised in profit or loss and included in ‘Other income’. |
Grid capex relates to the expenditure incurred in the development of renewable energy project sites to a ready to build stage. |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Investments in associates |
Investments in associate undertakings are recognised at cost. |
Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
Stocks |
Stock and work in progress are stated at the lower of cost and estimated selling price less costs to sell. Stock and work in progress are recognised as an expense in the period in which the related revenue is recognised. |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
The Group has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments. |
i. Financial assets |
Basic financial assets, including trade and other debtors, cash and bank balances and investments in commercial paper, are initially recognised at transaction price, 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. |
Such assets are subsequently carried at amortised cost using the effective interest method. |
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. |
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. |
Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment. |
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. |
ii. Financial liabilities |
Basic financial liabilities, including trade and other 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 receipts discounted at a market rate of interest. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates. |
Trade payables 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 payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. |
iii. Offsetting |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Financial assets and liabilities are offset and 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. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Profit and Loss Account, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
The trading results of Group undertakings are translated into sterling at the average exchange rates for the year. The assets and liabilities of overseas undertakings, including goodwill and fair value adjustments arising on acquisition, are translated at the exchange rates ruling at the year-end. Exchange adjustments arising from the retranslation of opening net investments and from the translation of the profits or losses at average rates are recognised in ‘Other comprehensive income’ and allocated to non-controlling interest as appropriate. |
Provisions |
Provisions are recognised when the Group has a legal or constructive present obligation as a result of a past event. It is probable that the Group 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 reporting end date, taking into account the rises and uncertainties surrounding the obligation. |
Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit and loss in the period in which it arises. |
Dividends |
Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual meeting. |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Significant judgements and estimates |
In the application of the Group's accounting policies, the director is 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. |
Other debtors |
The Group makes an estimate of the recoverable value of other debtors. When assessing impairment of other debtors, management considers factors such as earn-out agreement and historical experience. See note 17 for the present value of other debtors. |
Provision |
The group makes provision for the associated expense for other debtors. See note 22 for total associated provisions. |
3. | TURNOVER |
The turnover and profit (2021 - loss) before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by geographical market is given below: |
2022 | 2021 |
£ | £ |
United Kingdom | 1,522,254 | 4,635,287 |
United States of America | 55,878 | 2,644,751 |
1,578,132 | 7,280,038 |
4. | OTHER OPERATING INCOME |
2022 | 2021 |
£ | £ |
Rents received | 176,817 | 180,602 |
Government grants | - | 574,471 |
Exchange gains | 5,080,909 | - |
Profit on sale of fixed asset investments | 245,804,527 | 3,855,221 |
251,062,253 | 4,610,294 |
5. | EMPLOYEES AND DIRECTORS |
2022 | 2021 |
£ | £ |
Wages and salaries | 118,102,291 | 1,116,369 |
The average number of employees during the year was as follows: |
2022 | 2021 |
Management & administration staff |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
5. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees for the company during the year was 2 (2021 - 0). |
2022 | 2021 |
£ | £ |
Director's remuneration | 6,825 | 31,167 |
Significant movement in the number of employees is the result of disposal of subsidiaries during the accounting period. |
Additionally, the total wages and salaries cost includes the provision of expense due on disposal of subsidiaries. |
Key management personnel |
Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Group. The Group regards the director as its key management personnel. |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2022 | 2021 |
£ | £ |
Depreciation - owned assets | - | 18,824 |
Profit on disposal of fixed assets | (245,804,527 | ) | (3,855,221 | ) |
Goodwill amortisation | 145,202 | 145,202 |
Lease costs amortisation | - | 1,409 |
Foreign exchange differences | (5,080,909 | ) | 244,548 |
Formation costs | 234 | 975 |
7. | AUDITORS' REMUNERATION |
2022 | 2021 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
39,710 |
35,240 |
Total audit fees | 39,710 | 35,240 |
Included within auditors' remuneration, the amount of £32,710 (2021: £28,740) is for the audit of subsidiary companies. |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2022 | 2021 |
£ | £ |
Interest and fees | 1,367,441 | 7,759,003 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
9. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2022 | 2021 |
£ | £ |
Current tax: |
UK corporation tax | - | 182 |
Tax on profit/(loss) | - | 182 |
UK corporation tax has been charged at 19 % . |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2022 | 2021 |
£ | £ |
Profit/(loss) before tax | 134,315,107 | (5,674,982 | ) |
Profit/(loss) multiplied by the standard rate of corporation tax in the UK of 19 % (2021 - 19 %) |
25,519,870 |
(1,078,247 |
) |
Effects of: |
Expenses not deductible for tax purposes | 37,981 | 57,916 |
Income not taxable for tax purposes | (47,731,769 | ) | - |
Losses carried forward | 22,173,918 | 1,020,513 |
Total tax charge | - | 182 |
Tax effects relating to effects of other comprehensive income |
2022 |
Gross | Tax | Net |
£ | £ | £ |
Cumulative translation adjustment | 817,785 | - | 817,785 |
Disposal of subsidiary | (819,363 | ) | - | (819,363 | ) |
Impairment of fixed asset investment | 175,000 | - | 175,000 |
173,422 | - | 173,422 |
2021 |
Gross | Tax | Net |
£ | £ | £ |
Cumulative translation adjustment | (384,000 | ) | - | (384,000 | ) |
10. | INDIVIDUAL PROFIT AND LOSS ACCOUNT |
As permitted by Section 408 of the Companies Act 2006, the Profit and loss account of the parent company is not presented as part of these financial statements. |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
11. | DIVIDENDS |
2022 | 2021 |
£ | £ |
Ordinary shares of £1 each |
Final | 10,870,000 | - |
12. | INTANGIBLE FIXED ASSETS |
Group |
Lease |
Goodwill | costs | Totals |
£ | £ | £ |
COST |
At 1 January 2022 | 1,452,022 | 61,333 | 1,513,355 |
Disposals | - | (61,370 | ) | (61,370 | ) |
Exchange differences | - | 37 | 37 |
At 31 December 2022 | 1,452,022 | - | 1,452,022 |
AMORTISATION |
At 1 January 2022 | 435,606 | 4,955 | 440,561 |
Amortisation for year | 145,202 | - | 145,202 |
Eliminated on disposal | - | (4,960 | ) | (4,960 | ) |
Exchange differences | - | 5 | 5 |
At 31 December 2022 | 580,808 | - | 580,808 |
NET BOOK VALUE |
At 31 December 2022 | 871,214 | - | 871,214 |
At 31 December 2021 | 1,016,416 | 56,378 | 1,072,794 |
13. | TANGIBLE FIXED ASSETS |
Group |
Development | Grid | Computer |
costs | capex | Equipment | equipment | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 January 2022 | 106,174,634 | 3,036,893 | 92,429 | 7,290 | 109,311,246 |
Additions | 479,035 | 260,837 | - | - | 739,872 |
Disposals | (106,756,886 | ) | (3,300,682 | ) | (91,164 | ) | - | (110,148,732 | ) |
Exchange differences | 103,217 | 2,952 | 89 | - | 106,258 |
At 31 December 2022 | - | - | 1,354 | 7,290 | 8,644 |
DEPRECIATION |
At 1 January 2022 | - | - | 63,842 | 7,290 | 71,132 |
Eliminated on disposal | - | - | (62,549 | ) | - | (62,549 | ) |
Exchange differences | - | - | 61 | - | 61 |
At 31 December 2022 | - | - | 1,354 | 7,290 | 8,644 |
NET BOOK VALUE |
At 31 December 2022 | - | - | - | - | - |
At 31 December 2021 | 106,174,634 | 3,036,893 | 28,587 | - | 109,240,114 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
13. | TANGIBLE FIXED ASSETS - continued |
Company |
Computer |
Equipment | equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2022 |
and 31 December 2022 |
DEPRECIATION |
At 1 January 2022 |
and 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
14. | FIXED ASSET INVESTMENTS |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Shares in group undertakings | - | - |
Participating interests | 12,143,274 | 1,705,720 |
Other investments not loans | 1,241,219 | 36,252 |
Other loans | 8,009,023 | - |
21,393,516 | 1,741,972 |
Additional information is as follows: |
Group |
Interest |
Interest | Interest | in other |
in joint | in | participating |
venture | associate | interests |
£ | £ | £ |
COST |
At 1 January 2022 | (6,168 | ) | 1,711,888 | - |
Additions | - | 3,132 | 175,000 |
Share of profit/(loss) | 5,493 | 10,428,929 | - |
Impairments | - | - | (175,000 | ) |
At 31 December 2022 | (675 | ) | 12,143,949 | - |
NET BOOK VALUE |
At 31 December 2022 | (675 | ) | 12,143,949 | - |
At 31 December 2021 | (6,168 | ) | 1,711,888 | - |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
14. | FIXED ASSET INVESTMENTS - continued |
Group |
Listed | Unlisted |
investments | investments | Totals |
£ | £ | £ |
COST |
At 1 January 2022 | - | 36,252 | 1,741,972 |
Additions | 1,079,792 | 200,000 | 1,457,924 |
Disposals | (74,825 | ) | - | (74,825 | ) |
Share of profit/(loss) | - | - | 10,434,422 |
Impairments | - | - | (175,000 | ) |
At 31 December 2022 | 1,004,967 | 236,252 | 13,384,493 |
NET BOOK VALUE |
At 31 December 2022 | 1,004,967 | 236,252 | 13,384,493 |
At 31 December 2021 | - | 36,252 | 1,741,972 |
Company |
Shares in | Interest | Interest |
group | in joint | in |
undertakings | venture | associate |
£ | £ | £ |
COST |
At 1 January 2022 | 450 |
Additions |
Reclassification/transfer | ( |
) |
At 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
Interest |
in other |
participating | Listed | Unlisted |
interests | investments | investments | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2022 | - | 37,602 |
Additions | 175,000 | 1,255,024 |
Disposals | - | ( |
) | (74,825 | ) |
Impairments | (175,000 | ) | (175,000 | ) |
Reclassification/transfer | - | (350 | ) |
At 31 December 2022 | - | 1,042,451 |
NET BOOK VALUE |
At 31 December 2022 | - | 1,042,451 |
At 31 December 2021 | - | 37,602 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
14. | FIXED ASSET INVESTMENTS - continued |
Group |
Other |
loans |
£ |
New in year | 8,009,023 |
At 31 December 2022 | 8,009,023 |
Company |
Other |
loans |
£ |
New in year |
At 31 December 2022 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
14. | FIXED ASSET INVESTMENTS - continued |
Other loans investments are convertible loans which will automatically convert into shares. |
The group or the company's investments at the balance sheet date in the share capital of companies include the following: |
Subsidiaries |
Each of the following has the same registered address: First Floor, Winston House, 349 Regents Park Road, London, United Kingdom, N3 1DH |
Name of Subsidiary | Nature of business | Share class | % Holding |
PP Real Estate Holdings Limited | Property | Ordinary | 100 |
The Park Property Group (Chalfont) Limited | Property | Ordinary | 100 |
The Park Property Group (Sevenoaks) Limited | Property | Ordinary | 100 |
The Park Property Group (Warlingham) Limited | Property | Ordinary | 100 |
INRG Solar Parks Limited | Renewable energy | Ordinary | 100 |
Solargise Solar Parks Limited | Renewable energy | Ordinary | 100 |
PP US Solar Projects Limited | Renewable energy | Ordinary | 100 |
Sammy Real Estate Investments Limited | Property | Ordinary | 100 |
PP Online Estate Agent Holdings Limited | Property | Ordinary | 90 |
JBM Solar Projects Limited | Renewable energy | Ordinary | 100 |
No 1 The Vine, Sevenoaks Management Limited | Property | Ordinary | 100 |
Associates |
The associates registered address: First Floor, Winston House, 349 Regents Park Road, London, United Kingdom, N3 1DH |
Name of associate | Nature of business | Share class | % Holding |
Dalia Holdings Limited | Renewable energy | Ordinary | 36 |
Susgen Investments Limited | Renewable energy | Ordinary | 45 |
Susgen Limited | Renewable energy | Ordinary | 45 |
JBM Solar Projects 2 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 3 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 5 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 6 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 7 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 8 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 10 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 11 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 12 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 13 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 14 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 15 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 16 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 17 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 19 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 20 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 21 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 22 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 24 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 25 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 26 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 27 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 28 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 29 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 30 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 31 Limited | Renewable energy | Ordinary | 36 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
14. | FIXED ASSET INVESTMENTS - continued |
JBM Solar Projects 32 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 33 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 34 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 35 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 36 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 37 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 38 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 39 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 40 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 41 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 42 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 43 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 44 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Projects 45 Limited | Renewable energy | Ordinary | 36 |
JBM Solar Limited | Renewable energy | Ordinary | 36 |
Alcemi Storage Developments Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 1 Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 2 Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 3 Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 4 Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 5 Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 6 Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 7 Limited | Renewable energy | Ordinary | 45 |
Alcemi Storage Developments 8 Limited | Renewable energy | Ordinary | 45 |
Joint ventures |
The joint ventures registered address: First Floor, Winston House, 349 Regents Park Road, London, United Kingdom, N3 1DH |
Name of joint venture | Nature of business | Share class | % Holding |
The Park Property Group (Construction) Limited | Property | Ordinary | 50 |
The Park Property Group Limited | Property | Ordinary | 50 |
15. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 January 2022 | 6,825,000 |
Additions | 1,734,972 |
At 31 December 2022 | 8,559,972 |
NET BOOK VALUE |
At 31 December 2022 | 8,559,972 |
At 31 December 2021 | 6,825,000 |
16. | STOCKS |
Group |
2022 | 2021 |
£ | £ |
Stocks | 75,000 | 1,217,332 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
17. | DEBTORS |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 1,158,192 | 4,725,399 |
Amounts owed by group undertakings | - | - |
Amounts owed by joint ventures | - | 8,289 |
Amounts owed by associates | 11,216,538 | 7,173,190 |
Other debtors | 116,611,397 | 305,991 |
Directors' current accounts | - | 1,219,015 | - | 1,219,015 |
VAT | - | 13,014 |
Prepayments and accrued income | 4,054,841 | 2,794,352 |
133,040,968 | 16,239,250 |
Amounts falling due after more than one | year: |
Loan receivable | 858,450 | - | 858,450 | - |
Aggregate amounts | 133,899,418 | 16,239,250 |
18. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 20) | 48,300 | 335,793 |
Trade creditors | 51,143 | 3,318,883 |
Amounts owed to group undertakings | - | - |
Amounts owed to joint ventures | - | 491 | - | 491 |
Amounts owed to associates | 450 | 125,106 | 450 | 450 |
VAT | 4,527 | - | 13,790 | 944 |
Other creditors | 1,405,938 | 20,268,457 |
Directors' current accounts | 67,940 | - | 67,940 | - |
Accruals and deferred income | 690,386 | 12,323,452 |
2,268,684 | 36,372,182 |
19. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2022 | 2021 |
£ | £ |
Bank loans (see note 20) | 4,757,550 | 4,830,000 |
Other creditors | - | 117,817,661 |
4,757,550 | 122,647,661 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
20. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 48,300 | 335,793 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 4,757,550 | 4,830,000 |
21. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
2022 | 2021 |
£ | £ |
Bank loans | 4,805,850 | 5,165,793 |
Other creditors more than 1 yr | - | 117,817,661 |
4,805,850 | 122,983,454 |
Bank loans are secured by pledged equity interests, a lease and land and properties held by the Group. |
The security is affected by specific legal charges on the property stock. |
22. | PROVISIONS FOR LIABILITIES |
Group |
2022 | 2021 |
£ | £ |
Other provisions | 63,945,357 | - |
Aggregate amounts | 63,945,357 | - |
The provision made during the year is the administrative expense as a result of the disposal of investment. |
23. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2022 | 2021 |
value: | £ | £ |
Ordinary | £1 | 100 | 100 |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
24. | NON-CONTROLLING INTERESTS |
A non-controlling interest arises on the Group's holding of Urban Grid LLC. Urban Grid LLC is a subsidiary undertaking as the group controls 60% of the voting rights. However, the group's share of the income streams is dependent on the nature of the streams and therefore causes wide variations on the non-controlling interest on a year-by-year basis. |
The subsidiary Urban Grid LLC was disposed during the year. |
25. | DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the years ended 31 December 2022 and 31 December 2021: |
2022 | 2021 |
£ | £ |
P Pels |
Balance outstanding at start of year | 1,219,015 | (773 | ) |
Amounts advanced | - | 1,219,788 |
Amounts repaid | (1,286,955 | ) | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | (67,940 | ) | 1,219,015 |
26. | RELATED PARTY DISCLOSURES |
The Group has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the Group. |
Transactions between Group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
27. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is P Pels. |
100% of the parent company's shares are held by P Pels in the current year as well as the previous year. |
28. | RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2022 | 2021 |
£ | £ |
Profit/(loss) before taxation | 134,315,107 | (5,674,982 | ) |
Depreciation charges | 145,202 | 165,042 |
Profit on disposal of fixed assets | (245,804,527 | ) | (3,855,221 | ) |
Share of operating loss in joint venture | (5,493 | ) | 7,363 |
Share of operating profit in associate | 10,428,929 | (1,711,888 | ) |
Finance costs | 1,367,441 | 7,759,003 |
Finance income | (2,432,040 | ) | (112,080 | ) |
(101,985,381 | ) | (3,422,763 | ) |
Decrease in stocks | 1,142,332 | 2,948,861 |
Increase in trade and other debtors | (118,882,183 | ) | (9,212,578 | ) |
(Decrease)/increase in trade and other creditors | (33,883,945 | ) | 1,226,765 |
Cash generated from operations | (253,609,177 | ) | (8,459,715 | ) |
PP ASSET MANAGEMENT LIMITED (REGISTERED NUMBER: 06794921) |
Notes to the Consolidated Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
29. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 10,095,049 | 2,987,430 |
Year ended 31 December 2021 |
31.12.21 | 1.1.21 |
£ | £ |
Cash and cash equivalents | 2,987,430 | 3,279,875 |
30. | ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS |
At 1.1.22 | Cash flow | At 31.12.22 |
£ | £ | £ |
Net cash |
Cash at bank | 2,987,430 | 7,107,619 | 10,095,049 |
2,987,430 | 7,107,619 | 10,095,049 |
Debt |
Debts falling due within 1 year | (335,793 | ) | 287,493 | (48,300 | ) |
Debts falling due after 1 year | (4,830,000 | ) | 72,450 | (4,757,550 | ) |
(5,165,793 | ) | 359,943 | (4,805,850 | ) |
Total | (2,178,363 | ) | 7,467,562 | 5,289,199 |