Company registration number 13230538 (England and Wales)
ATHERA HEALTHCARE GROUP LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2023
PAGES FOR FILING WITH REGISTRAR
ATHERA HEALTHCARE GROUP LIMITED
CONTENTS
Page
Group balance sheet
1
Company balance sheet
2
Notes to the financial statements
3 - 19
ATHERA HEALTHCARE GROUP LIMITED
GROUP BALANCE SHEET
AS AT
31 OCTOBER 2023
31 October 2023
- 1 -
2023
2022
as restated
Notes
£
£
£
£
Fixed assets
Intangible assets
4
5,544,567
1,007,862
Tangible assets
5
39,198
1,204
5,583,765
1,009,066
Current assets
Stocks
39,830
-
Debtors
8
578,858
185,067
Cash at bank and in hand
1,743,429
1,425,679
2,362,117
1,610,746
Creditors: amounts falling due within one year
9
(1,296,725)
(442,122)
Net current assets
1,065,392
1,168,624
Total assets less current liabilities
6,649,157
2,177,690
Creditors: amounts falling due after more than one year
10
(1,826,361)
(848,960)
Provisions for liabilities
12
(442,000)
(18,208)
Net assets
4,380,796
1,310,522
Capital and reserves
Called up share capital
578
100
Share premium account
5,120,851
1,374,917
Profit and loss reserves
(740,633)
(64,495)
Total equity
4,380,796
1,310,522

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

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

The financial statements were approved by the board of directors and authorised for issue on 26 September 2024 and are signed on its behalf by:
26 September 2024
Mr G  Cooper
Director
Company registration number 13230538 (England and Wales)
ATHERA HEALTHCARE GROUP LIMITED
COMPANY BALANCE SHEET
AS AT 31 OCTOBER 2023
31 October 2023
- 2 -
2023
2022
as restated
Notes
£
£
£
£
Fixed assets
Investments
6
793,001
1
Current assets
Debtors
8
4,167,560
318,087
Cash at bank and in hand
160,508
1,056,929
4,328,068
1,375,016
Creditors: amounts falling due within one year
9
(2,010)
(2,010)
Net current assets
4,326,058
1,373,006
Net assets
5,119,059
1,373,007
Capital and reserves
Called up share capital
578
100
Share premium account
5,120,851
1,374,917
Profit and loss reserves
(2,370)
(2,010)
Total equity
5,119,059
1,373,007

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s loss for the year was £360 (2022 - £1,200 loss).

These financial statements have been prepared 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 26 September 2024 and are signed on its behalf by:
26 September 2024
Mr G  Cooper
Director
Company registration number 13230538 (England and Wales)
ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2023
- 3 -
1
Accounting policies
Company information

Athera Healthcare Group Limited previously known as Halcyon Group (Holdings) Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is 14 Brooks Mews, London, United Kingdom, W1K 4DG.

 

The group consists of Athera Healthcare Group Limited previously known as Halcyon Group (Holdings) Limited and all of its subsidiaries.

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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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.

1.2
Business combinations

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

1.3
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Athera Healthcare Group Limited previously known as Halcyon Group (Holdings) Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 October 2023. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 4 -
1.4
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group 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.

1.5
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue from contracts for the provision of services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.

1.6
Research and development expenditure

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

1.7
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

1.8
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

 

Costs associated with the development of internally generated intangible assets are recognised once:

• The technical feasibility of completing the asset for use or sale has been confirmed;

• There is intention and ability to use or sell the asset;

• Future economic benefits are probable;

• There is certainty regarding the ability to complete the development for use or sale; and

• The costs attributable to the development of the asset can be reliably measured.

 

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 5 -

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Development costs
10% to 25% straight line method
1.9
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Plant and machinery etc.
25% to 33% straight line method

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

1.10
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

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

1.11
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 6 -

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.12
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.13
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.

1.14
Financial instruments

The group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

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.

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.

Other financial assets

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.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 7 -
Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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 group 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.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 8 -
Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.15
Equity instruments

Equity instruments issued by the group 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 group.

1.16
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.17
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.

1.18
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.19
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 9 -
1.20
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.

1.21

Provisions

Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

 

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks 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 or in the period in which it arises.

1.22

Related party exemption

The company 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.

2
Judgements and key sources of estimation uncertainty

In the application of the group’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.

Amortisation of intangibles

The annual amortisation charge for intangible assets is sensitive to changes in relation to the value of works performed on software as these assets relate to capitalised staff costs. The useful economic life is assessed annually and is amended as necessary based on the value of the work the intangible assets relate to.

 

The directors have made key assumptions regarding the useful life of intangible assets and have determined that they have a useful life of 4 to 10 years. The period applied is considered appropriate to match the anticipated future profitability arising from the associated software developed and from continued future growth within the trade of the group.

Capitalisation of software costs

Staff time is incurred in developing software assets. This is then capitalised as the income this will generate is spread over the life of the associated product and service line. The amount of staff cost capitalised is based upon estimate of time incurred in these areas of work and is reviewed annually. This is a subjective area due to estimates of time, as well as nature of internally generated intangible assets.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 10 -
3
Employees

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

Group
Company
2023
2022
2023
2022
Number
Number
Number
Number
Total
26
5
1
1
4
Intangible fixed assets
Group
Goodwill as restated
Development costs
Total
£
£
£
Cost
At 1 November 2022
1,122,653
110,964
1,233,617
Additions
3,176,498
376,467
3,552,965
Business combinations
-
0
2,076,739
2,076,739
At 31 October 2023
4,299,151
2,564,170
6,863,321
Amortisation and impairment
At 1 November 2022
187,621
38,134
225,755
Amortisation charged for the year
376,973
317,914
694,887
Business combinations
-
0
398,112
398,112
At 31 October 2023
564,594
754,160
1,318,754
Carrying amount
At 31 October 2023
3,734,557
1,810,010
5,544,567
At 31 October 2022
935,032
72,830
1,007,862
The company had no intangible fixed assets at 31 October 2023 or 31 October 2022.

All assets of the group are secured by fixed and floating charges relating to the group bank loan facility.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 11 -
5
Tangible fixed assets
Group
Plant and machinery etc
£
Cost
At 1 November 2022
3,018
Additions
108,112
Disposals
(857)
At 31 October 2023
110,273
Depreciation and impairment
At 1 November 2022
1,814
Depreciation charged in the year
11,884
Eliminated in respect of disposals
(53)
Transfers
57,430
At 31 October 2023
71,075
Carrying amount
At 31 October 2023
39,198
At 31 October 2022
1,204
The company had no tangible fixed assets at 31 October 2023 or 31 October 2022.

All assets of the group are secured by fixed and floating charges relating to the group bank loan facility.

6
Fixed asset investments
Group
Company
2023
2022
2023
2022
£
£
£
£
Shares in group undertakings and participating interests
-
-
793,001
1
-
0
-
0
793,001
1
ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
6
Fixed asset investments
(Continued)
- 12 -
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 November 2022
1
Additions
793,000
At 31 October 2023
793,001
Carrying amount
At 31 October 2023
793,001
At 31 October 2022
1

All assets of the group are secured by fixed and floating charges relating to the group bank loan facility.

7
Subsidiaries

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

Name of undertaking
Address
Class of
% Held
shares held
Direct
Indirect
Net Solving Limited
1
Ordinary
-
100.00
Fingerprint Global Limited
2
Ordinary
-
100.00
Fingerprint Medical Limited
1
Ordinary
-
100.00
Medical Standard 1
1
Ordinary
-
100.00
Athera Healthcare Limited
1
Ordinary
100.00
-

Registered office addresses (all UK unless otherwise indicated):

1
14 Brook's Mews, London, W1K 4DG, United Kingdom
2
Abercorn House, 79 Renfrew Road, Paisley, PA3 4DA, United Kingdom

The group acquired 100% of the ordinary share capital of Fingerprint Global Limited on 28 February 2023 . As part of this transaction, the company also obtained an indirect 100% interest in Fingerprint Medical Limited and Medical Standard 1.

 

Athera Healthcare Limited changed its name from Halcyon (Bidco) Limited on 30 April 2024.

 

On 1 August 2024. Athera Healthcare Limited acquired 100% of the share capital of Newgate Technology Limited.

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 13 -
8
Debtors
Group
Company
2023
2022
2023
2022
as restated
Amounts falling due within one year:
£
£
£
£
Trade debtors
196,385
76,321
-
0
-
0
Amounts owed by group
-
0
-
0
4,067,373
317,999
Other debtors
365,843
108,746
100,187
88
562,228
185,067
4,167,560
318,087
Amounts falling due after more than one year:
Other debtors
16,630
-
-
-
Total debtors
578,858
185,067
4,167,560
318,087

All assets of the group are secured by fixed and floating charges relating to the group bank loan facility.

9
Creditors: amounts falling due within one year
Group
Company
2023
2022
2023
2022
£
£
£
£
Bank loans
171,398
107,876
-
0
-
0
Trade creditors
72,375
61,740
-
0
-
0
Amounts owed to group undertakings
-
0
-
0
810
810
Corporation tax payable
148,893
440
-
0
-
0
Other taxation and social security
136,646
55,746
-
0
-
0
Other creditors
767,413
216,320
1,200
1,200
1,296,725
442,122
2,010
2,010
10
Creditors: amounts falling due after more than one year
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Bank loans and overdrafts
1,826,361
848,960
-
0
-
0
ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 14 -
11
Loans and overdrafts
Group
Company
2023
2022
2023
2022
£
£
£
£
Bank loans
1,997,759
956,836
-
0
-
0
Payable within one year
171,398
107,876
-
-
Payable after one year
1,826,361
848,960
-
0
-
0

Bank loans of £332,313 bear a fixed interest rate of 8.5% and are repayable by quarterly instalments, with the final payment due August 2026.

 

Bank loans of £516,258 bear a fixed interest rate of 8.5% and are due for repayment August 2026.

 

Bank loans of £430,604 bear a fixed interest rate of 9.5% and are repayable by quarterly instalments, with the final payment due February 2028.

 

Bank loans of £718,584 bear a fixed interest rate of 9.5% and are due for repayment February 2028.

 

All amounts recognised are stated net of applicable arrangement fees.

12
Provisions for liabilities
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Deferred tax liabilities
13
442,000
18,208
-
0
-
0
13
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
Liabilities
2023
2022
Group
£
£
Accelerated capital allowances
11,412
301
Tax losses
(20,153)
-
Other timing differences
450,741
17,907
442,000
18,208
The company has no deferred tax assets or liabilities.
ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
13
Deferred taxation
(Continued)
- 15 -
Group
Company
2023
2023
Movements in the year:
£
£
Liability at 1 November 2022
18,208
-
Charge to profit or loss
3,792
-
Transfer on acquisition
420,000
-
Liability at 31 October 2023
442,000
-

Based on the forecast short-term utilisation of taxable losses, no deferred tax asset has been recognised in relation to the available taxable losses of the company. Accordingly, the group has an unrecognised deferred tax asset in the region of £33,000 (2022: £9,000) based on an anticipated future tax rate of 25%.

14
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.

 

Under the Companies Act 2006, the group and company were exempt from audit for the period ended 31 October 2022. As a consequence, the financial statements of the group for the period ended 31 October 2022, which form the basis for the corresponding figures presented in the current period's financial statements were unaudited. For the year ended 31 October 2023, the directors were no longer able to take advantage of the exemption from audit available under section 477 of the Companies Act 2006.

The auditor's report was unqualified.

The senior statutory auditor was Robert Hull and the auditor was Azets Audit Services.
ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 16 -
15
Acquisition of a business

On 28 February 2023 the group acquired 100 percent of the issued capital of Fingerprint Global Limited, as part of this acquisition, the group acquired in indirect 100 percent interest in Fingerprint Medical Limited and Medical Standard 1.

Book Value
Adjustments
Fair Value
Net assets acquired
£
£
£
Intangible assets
1,695,579
-
1,695,579
Property, plant and equipment
38,123
-
38,123
Inventories
55,727
-
55,727
Trade and other receivables
1,057,420
-
1,057,420
Cash and cash equivalents
1,304,145
-
1,304,145
Trade and other payables
(673,199)
-
(673,199)
Tax liabilities
(10,484)
-
(10,484)
Provisions
(420,000)
-
(420,000)
Total identifiable net assets
3,047,311
-
3,047,311
Goodwill
3,176,498
Total consideration
6,223,809
The consideration was satisfied by:
£
Cash
5,077,434
Issue of convertible loans
622,325
Associated fees
524,050
6,223,809
Contribution by the acquired business for the reporting period included in the group statement of comprehensive income since acquisition:
£
Turnover
1,449,719
Loss after tax
(30,441)

Loan notes issued as part of the consideration paid were exchanged for ordinary share capital in the parent company, Athera Healthcare Group Limited during the year.

16
Financial commitments, guarantees and contingent liabilities

As at 31 October 2023 the group had total operating lease commitments of £509 (2022: £Nil) and other guarantees, contingencies and commitments of £Nil (2022: £Nil).

 

As at 31 October 2023 the company had total guarantees, contingencies and commitments of £Nil (2022:

£Nil).

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 17 -
17
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

Group
Company
2023
2022
2023
2022
£
£
£
£
509
-
-
-
18
Events after the reporting date

After the balance sheet date but before the date of approval of these financial statements, the company completed a capital reduction whereby the value of its share premium account of £5,120,851 was transferred to retained earnings.

 

The company subsequently purchased 1,273 of its own B Ordinary shares of £0.01 each for total consideration of £120,000 out of available retained earnings and cancelled these shares.

 

On 1 August 2024. the group acquired 100% of the share capital of Newgate Technology Limited.

19
Directors' transactions
Description
% Rate
Opening balance
Amounts advanced
Amounts repaid
Closing balance
£
£
£
£
Unpaid share capital
-
-
104,039
(3,939)
100,100
-
104,039
(3,939)
100,100
20
Controlling party

Aliter Capital II LLP is the company's ultimate controlling party, a limited liability partnership whose registered office is 14 Brook's Mews, London, W1K 4DG.

 

ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 18 -
21
Prior period adjustment
Reconciliation of changes in equity - group
1 November
31 October
2021
2022
£
£
Adjustments to prior year
Goodwill
19,344
75,555
Arrangement fees
30,085
23,785
Total adjustments
49,429
99,340
Equity as previously reported
-
1,211,182
Equity as adjusted
49,429
1,310,522
Analysis of the effect upon equity
Profit and loss reserves
49,429
99,340
Reconciliation of changes in loss for the previous financial period
2022
£
Adjustments to prior year
Goodwill
56,211
Arrangement fees
(6,300)
Total adjustments
49,911
Loss as previously reported
(232,986)
Loss as adjusted
(183,075)
Reconciliation of changes in equity - company
The prior period adjustments do not give rise to any effect upon equity.
Reconciliation of changes in loss for the previous financial period
2022
£
Adjustments to prior year
Total adjustments
-
Loss as previously reported
(1,200)
Loss as adjusted
(1,200)
ATHERA HEALTHCARE GROUP LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
21
Prior period adjustment
(Continued)
- 19 -
Notes to reconciliation
Goodwill

Goodwill recognised had previously been understated due to an overstatement of the net assets at acquisition of £25,942. In addition, amortisaiton of goodwill had been overstated in the prior year by an amount of £58,805. Furthermore, an associated cost of investment had been recognised in the year ended 31 October 2022 as opposed to the year ended 31 October 2022.

 

Accordingly, the carrying value of goodwill has been uplifted by £75,555 as at 31 October 2022 (2021: £84,683).

Bank loan arrangement fees

Arrangement fees in relation to bank loans had previously been expensed to profit or loss at the time that the loans were issued. Accordingly, arrangement fees have been recognised over the duration of the bank loan and set against the bank loan balances recognised.

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