Registration number:
Bricks Salford 2 Capital Limited
for the Year Ended 31 December 2023
Bricks Salford 2 Capital Limited
Contents
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Company Information |
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Statement of Financial Position |
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Notes to the Financial Statements |
Bricks Salford 2 Capital Limited
Company Information
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Director |
P G Prickett |
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Registered office |
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Auditors |
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Bricks Salford 2 Capital Limited
(Registration number: 12047856)
Statement of Financial Position as at 31 December 2023
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Note |
2023 |
2022 |
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Fixed assets |
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Investments |
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Current assets |
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Debtors |
- |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current liabilities |
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( |
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Net liabilities |
( |
( |
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Capital and reserves |
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Called up share capital |
100 |
100 |
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Retained earnings |
(64,886) |
(53,355) |
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Shareholders' deficit |
(64,786) |
(53,255) |
Approved and authorised by the
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Bricks Salford 2 Capital Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
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General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
England
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Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The presentation currency of the financial statements is Pound Sterling (£) rounded to the nearest Pound.
Bricks Salford 2 Capital Limited
Notes to the Financial Statements for the Year Ended 31 December 2023 (continued)
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2 |
Accounting policies (continued) |
Basis of preparation other than going concern
On 1st September, 2023, Bricks Salford 2 Propco entered in to agreement with Wizard Salford Quay Propco II Limited for sale of its purpose built student accommodation for the consideration of £68m. The proceeds were used for paying secured creditors. The director intended to wind down the operations of the company, and in the prior year, it was anticipated that the company would be struck off within 12 months of the audit report date. As of the date of approval of these financial statements, the strike-off action has not yet occurred, as the director is awaiting to review status of various conditions upon which Bricks Salford 2 Propco Limited is entitled to receive a Top-Up Payment of up to £4 million, contingent upon the Net Operating Income (NOI) of the property for the 2024/2025 academic year. The condition is based on the actual financial performance of the property during the academic year ending 31 August 2025. As at 31 December 2023, the condition had not been met and the outcome remained uncertain. However, director confirm that there are no plans to resume trading and hence, The financial statements have been prepared on a non-going concern basis.
Administration of Holding Company: On 28th January, 2025 the holding company, Redbookinternational Limited, entered into administration due to financial pressure and to streamline the group companies. The appointed administrators are Paul Davies and Sandra Mundy of James Cowper Kreston. The administration process is ongoing, and the administrators are working to realize the assets of the Group and settle its liabilities.
Sale of Subsidiaries: Subsequent to the year-end date, on 29th April, 2025, the administrators completed the sale of the company's subsidiaries, Bricks Leicester Capital Limited, Bricks Salford 2 Capital Limited, Bricks Swansea Capital Limited and LCA Capital Limited, including subsidiaries of these companies to Uniquarters Limited. The sale was part of the strategy to maximize returns to creditors. The financial impact of this transaction will be reflected in the next financial period.
The directors continue to assess the status of parameters upon which the Top-up payment will be based. The director intends to apply to strike off the company within 12 months of date of approval of these financial statements by the time of which, the contingent conditions is expected to materialize. Hence, the financial statements have not been prepared on a going concern basis. Assets have been recognised at the lower of their depreciated cost or recoverable amount and liabilities have been treated as short term.
Bricks Salford 2 Capital Limited
Notes to the Financial Statements for the Year Ended 31 December 2023 (continued)
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2 |
Accounting policies (continued) |
Audit report
The name of the Senior Statutory Auditor who signed the audit report on
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Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Bricks Salford 2 Capital Limited
Notes to the Financial Statements for the Year Ended 31 December 2023 (continued)
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2 |
Accounting policies (continued) |
Trade creditors
Trade creditors 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 the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Financial instruments
Classification
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Staff numbers |
The average number of persons employed by the company (including the director) during the year, was
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Investments |
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2023 |
2022 |
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Investments in subsidiaries |
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Bricks Salford 2 Capital Limited
Notes to the Financial Statements for the Year Ended 31 December 2023 (continued)
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4 |
Investments (continued) |
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Subsidiaries |
£ |
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Cost or valuation |
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At 1 January 2023 |
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Provision |
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At 1 January 2023 |
- |
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At 31 December 2023 |
- |
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Carrying amount |
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At 31 December 2023 |
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At 31 December 2022 |
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Debtors |
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Current |
Note |
2023 |
2022 |
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Amounts owed by group undertakings |
- |
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Other debtors |
- |
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- |
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Creditors |
Creditors: amounts falling due within one year
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Note |
2023 |
2022 |
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Due within one year |
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Amounts owed to group undertakings |
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Taxation and social security |
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- |
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Accruals and deferred income |
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Contingent Liabilities |
The Company has cross-guaranteed group borrowings, meeting the definition of a contingent liability as set out in FRS 102, totalling £142.404m (2022: £130.957m).
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Related party transactions |
As permitted by FRS 102, the company has taken advantage of the exemption from disclosing the transactions entered into between wholly owned group companies and those group company transactions that have been performed on an arm’s length basis.
Bricks Salford 2 Capital Limited
Notes to the Financial Statements for the Year Ended 31 December 2023 (continued)
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Relationship between entity and parents |
The parent of the largest group in which these financial statements are consolidated is
The address of Bricks Group Holdings Limited is:
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Subsequent events after the reporting period |
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Off-balance sheet arrangements |
Charges
There exists charges over the company's assets in favour of Rs Lender Iii, S.A.R.L. as follows:
- Fixed and floating charge with negative pledge relating to land at Phase 2, King William Street, Salford as per supplemental debenture dated 11th February 2022.
- Fixed and floating charge with negative pledge relating to land at Phase 2, King William Street, Salford as per supplemental debenture dated 12th November 2021.