|
Registered number:
FOR THE YEAR ENDED 31 MARCH 2026
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
INFORMATION
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
CONTENTS
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
MEMBERS' REPORT
FOR THE YEAR ENDED 31 MARCH 2026
The members present their annual report together with the audited financial statements of Arcator Capital Management LLP (the "LLP") for the ended 31 March 2026.
Principal activities
The principal activity of the LLP in the year under review was that of investment management.
Designated Members
Mr L S Alves, Mr B Goldsmith and Mr G D M Thomas were designated members of the LLP throughout the period.
Results for the period and allocation to members
The profit for the period before members' remuneration and profit shares was £273,506 (2025: £1,402,639).
Members' interests
Members are permitted to make drawings in anticipation of profits which will be allocated to them. The amount of such drawings is set at the beginning of each financial year, taking into account the anticipated cash needs of the LLP.
New members are required to subscribe a minimum level of capital and in subsequent years members are invited to subscribe for further capital, the amounts of which is determined by the performance and seniority of those members. On retirement, capital is repaid to members.
Members' responsibilities statement
The members are responsible for preparing the Report of the Members and the financial statements in accordance with applicable law and regulations.
Legislation applicable to limited liability partnerships requires the members to prepare financial statements for each financial year. Under that law the members have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under legislation applicable to limited liability partnerships the members must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the LLP and of the profit or loss of the LLP for that period.
In preparing these financial statements, the members are required to:
∙select suitable accounting policies and then apply them consistently;
∙make judgments 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 LLP will continue in business.
The members are responsible for keeping adequate accounting records that are sufficient to show and explain the LLP's transactions and disclose with reasonable accuracy at any time the financial position of the LLP and to enable them to ensure that the financial statements comply with the Companies Act 2006 (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of the Companies Act 2006) Regulations 2008). They are also responsible for safeguarding the assets of the LLP and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Page 1
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
MEMBERS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
MIFIDPRU 8 Disclosure
Regulatory Context Menhaden Capital Management LLP ("Menhaden" or the "Firm") is a Limited Liability Partnership incorporated under the laws of England and Wales. Menhaden is authorised and regulated by the Financial Conduct Authority ("FCA") (Firm Reference Number ("FRN") 765762). Menhaden is required to make this Disclosure in accordance with MIFIDPRU 8, the regulatory purpose of which is to provide stakeholders and market participants with insight into how the Firm operates. The Disclosure also aims to help stakeholders make more informed decisions about their relationship with the Firm. This Disclosure covers the period 1 April 2025 to 31 March 2026, and subsequent updates will be made on at least an annual basis as of the Accounting Reference Date ("ARD"), which is 31 March each year. The Disclosure will be publicly disclosed in the Firm's annual reports and accounts. The Firm may choose, at its own discretion, to make more frequent public disclosures where a particular circumstance requires this in the opinion of the Firm's management. The level of detail provided in the qualitative disclosures is proportionate to the size and internal organisation of the Firm and takes into consideration the nature, scope, and complexity of the Firm's business activities. This Disclosure is made in line with the requirements which apply to Menhaden as a MiFID Investment Firm, which is classed as Small and Non-Interconnected Firm ("SNI") with no Additional Tier 1 Capital in issue. The information contained in this document has not been audited by the Firm's external auditors, as no such audit is required, and does not constitute any form of financial statement and must not be relied upon in making any judgement on the Firm. Remuneration Disclosures Distributions to Senior Management and Owners In accordance with the guidance in SYSC 19G.4.4, at the end of each year, the residual profits of the limited liability partnership are distributed among the members. The level of ownership of each member is reflected in the proportion of ownership shares they have. As residual profits are distributed according to the ownership shares and are not linked to work or performance, this is not considered to be remuneration for the purpose of the Firm's Remuneration Policy. However, fixed profit shares, or fixed draws, received by partners in anticipation of the Firm making a profit over the course of the year, though such drawings may have to be paid back in the event of a shortfall in profits, are considered to be fixed remuneration. Discretionary shares of profits received by partners based on performance of he individual or their business unit, are considered to constitute variable remuneration. (a) Qualitative Disclosure Menhaden's Remuneration Policy ("Policy") is designed to recognise and reward good performance which is delivered in a manner consistent with the Firm's values, culture, regulatory obligations and risk profile, as well as the risk profile and objectives of its customers. The objective of the remuneration framework adopted is, therefore, to align individual contributions with their performance objectives, in a manner which gives reasonable and due consideration to the following factors. - the consistent promotion of sound and effective risk management; - ensuring that excessive risk taking is not encouraged; - ensuring compliance with the Firm's conflicts of interest and outside business interests policies and procedures, such that appropriate disclosure and mitigation are achieved, as appropriate; and - alignment with the Firm's business strategy, regulatory obligations, objectives, values and long-term interests.
Page 2
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
MEMBERS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
Menhaden aims to ensure that all members of its staff receive fixed remuneration by way of a salary or fixed draw, which is appropriate to attract and retain skilled and experienced personnel for the specific roles and responsibilities assigned. Staff members are also entitled to receive, at the Firm's discretion, variable remuneration by way of a bonus. All variable remuneration payments will take the form of cash payments. The Firm's Remuneration Policy is reviewed at least annually. Due to its size and the nature of its activities, Menhaden does not believe it is proportionate to have a standalone Remuneration Committee. (b) Quantitative Disclosure As an SNI-MIFIDPRU Investment Firm, Menhaden must disclose the total amount of remuneration awarded to all personnel, divided into fixed and variable remuneration. Total Remuneration £273,506 Fixed Remuneration £204,997 Variable Remuneration £68,509 Going concern Menhaden Capital Management LLP (“MCM”) was established in 2015 in order to provide investment management services to Menhaden Capital PLC (“MPLC”). MPLC remained the partnership’s sole client. MPLC announced a strategic review in September 2024 in order to address the issues it faced prior to its continuation vote in 2025. MPLC’s secondary market liquidity had remained relatively low, which has led to its shares trading at a material discount to its net asset value per share. Following consultation with key shareholders, the Board of MPLC decided to propose an orderly realisation of the company and return the realised capital to shareholders. MPLC held a General Meeting in March 2025, where a resolution to approve the voluntary liquidation was passed. The sale of the quoted equity portfolio followed during April and May 2025, in conjunction with MCM. The sales of two of the private investments were completed on 1 July 205, with the remaining two expected to complete in the remainder of that month. The loss of its sole client means that MCM cannot continue to trade in its current form. The members agreed that G D M Thomas, L S Alves and E Pybus would step down from the LLP and that B Goldsmith would be responsible for taking the LLP forwards with new members, pursuing new business opportunities. The members therefore consider that, whilst the LLP itself is a going concern, the current trade is not a going concern. The financial position as at 31 March 2026 (as shown in these financial statements) reflects that position.
Statement as to disclosure of information to auditors
So far as the members are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the LLP's auditors are unaware, and each member has taken all the steps that he ought to have taken as a member in order to make himself aware of any relevant audit information and to establish that the LLP's auditors are aware of that information.
Page 3
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
MEMBERS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
Auditors
The auditors, Wellers Limited, have indicated their willingness to continue in office. The Designated members will propose a motion re-appointing the auditors at a meeting of the members.
This report was approved by the members and signed on their behalf by:
Page 4
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ARCATOR CAPITAL MANAGEMENT LLP
We have audited the financial statements of Arcator Capital Management LLP (the 'LLP') for the year ended 31 March 2026, which comprise the Profit and Loss Account, the Balance Sheet, the Statement of Cash Flows, the Reconciliation of Members' Interests and the related notes, 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
∙give a true and fair view of the state of the LLP's affairs as at 31 March 2026 and of its result 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, as applied to limited liability partnerships by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008.
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 LLP in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.
In auditing the financial statements, we have concluded that the members' 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 LLP'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 members with respect to going concern are described in the relevant sections of this report.
Page 5
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ARCATOR CAPITAL MANAGEMENT LLP (CONTINUED)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The members are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 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 course of 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.
Page 6
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ARCATOR CAPITAL MANAGEMENT LLP (CONTINUED)
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 an Auditors' Report 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.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Discussions were held with, and enquiries made of, management and those charged with governance with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity. The following laws and regulations were identified as being of significance to the entity: • Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, Company Law, Tax and Pensions legislation. Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: inquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; review of board minutes; testing the appropriateness of entries in the nominal ledger, including journal entries; reviewing transactions around the end of the reporting period; and the performance of analytical procedures to identify unexpected movements in account balances which may be indicative of fraud. No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).
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 Auditors' Report.
Page 7
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ARCATOR CAPITAL MANAGEMENT LLP (CONTINUED)
This report is made solely to the LLP's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, as applied by Part 12 of The Limited Liability Partnerships (Accounts and Audit) (Applications of Companies Act 2006) Regulations 2008. Our audit work has been undertaken so that we might state to the LLP's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the LLP and the LLP's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Statutory Auditors
3rd Floor, The Coade
98 Vauxhall Walk
SE11 5EL
Page 8
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2026
Page 9
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
REGISTERED NUMBER: OC400571
BALANCE SHEET
AS AT 31 MARCH 2026
Page 10
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
REGISTERED NUMBER: OC400571
BALANCE SHEET (CONTINUED)
AS AT 31 MARCH 2026
The financial statements were approved and authorised for issue by the members and were signed on their behalf by:
The notes on pages 14 to 20 form part of these financial statements.
Arcator Capital Management LLP has no equity and, in accordance with the provisions contained within the Statement of Recommended Practice "Accounting by Limited Liability Partnerships", has not presented a Statement of Changes in Equity.
Page 11
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
RECONCILIATION OF MEMBERS' INTERESTS
FOR THE YEAR ENDED 31 MARCH 2026
Page 12
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2026
Page 13
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
Menhaden Capital Management LLP is a limited liability partnership registered in England and Wales. The partnership's registered address is 2nd Floor, Heathmans House, 19 Heathmans Road, London, England, SW6 4TJ. Their principal place of business is 14, Curzon Street, London, England, W1J 5HN.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006 and the requirements of the Statement of Recommended Practice "Accounting by Limited Liability Partnerships".
Menhaden Capital Management LLP (“MCM”) was established in 2015 in order to provide investment management services to Menhaden Capital PLC (“MPLC”). MPLC remained the partnership’s sole client.
MPLC announced a strategic review in September 2024 in order to address the issues it faced prior to its continuation vote in 2025. MPLC’s secondary market liquidity had remained relatively low, which has led to its shares trading at a material discount to its net asset value per share. Following consultation with key shareholders, the Board of MPLC decided to propose an orderly realisation of the company and return the realised capital to shareholders. MPLC held a General Meeting in March 2025, where a resolution to approve the voluntary liquidation was passed. The sale of the quoted equity portfolio followed during April and May 2025, in conjunction with MCM. The sales of two of the private investments were completed on 1 July 205, with the remaining two expected to complete in the remainder of that month. The loss of its sole client means that MCM cannot continue to trade in its current form. The members agreed that G D M Thomas, L S Alves and E Pybus would step down from the LLP and that B Goldsmith would be responsible for taking the LLP forwards with new members, pursuing new business opportunities. The members therefore consider that, whilst the LLP itself is a going concern, the current trade is not a going concern. The financial position as at 31 March 2026 (as shown in these financial statements) reflects that position. Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that expenses recognised are recoverable. Turnover is generated based on the performance of the underlying fund to which the LLP provides investment management services.
Page 14
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment.
Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to the profit and loss account.
Page 15
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
Members' participation rights are the rights of a member against the LLP that arise under the members' agreement (for example, in respect of amounts subscribed or otherwise contributed, remuneration and profits)
Members' participation rights in the earnings or assets of the LLP are analysed between those that are, from the LLP's perspective, either a financial liability or equity, in accordance with Section 22 of FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', and the requirements of the Statement of Recommended Practice 'Accounting by Limited Liability Partnerships'. A member's participation right results in a liability unless the right to any payment is discretionary on the part of the LLP. Amounts subscribed or otherwise contributed by members, for example members' capital, are classed as equity if the LLP has an unconditional right to refuse payment to members. If the LLP does not have such an unconditional right, such amounts are classified as liabilities. Where profits are automatically divided as they arise, so the LLP does not have an unconditional right to refuse payment, the amounts arising that are due to members are in the nature of liabilities. They are therefore treated as an expense in the statement of comprehensive income in the relevant year. To the extent that they remain unpaid at the year end, they are shown as liabilities in the statement of financial position. Conversely, where profits are divided only after a decision by the LLP or its representative, so that the LLP has an unconditional right to refuse payment, such profits are classed as an appropriation of equity rather than as an expense. They are therefore shown as a residual amount available for discretionary division among members in the statement of comprehensive income and are equity appropriations in the statement of financial position. Other amounts applied to members, for example remuneration paid under an employment contract and interest on capital balances, are treated in the same way as all other divisions of profits, as described above, according to whether the LLP has, in each case, an unconditional right to refuse payment. All amounts due to members that are classified as liabilities are presented in the statement of financial position within 'Loans and other debts due to members' and are charged to the statement of comprehensive income within 'Members' remuneration charged as an expense'. Amounts due to members that are classified as equity are shown in the statement of financial position within Members' other interests'.
Page 16
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
Page 17
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
Page 18
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
Loans and other debts due to members rank equally with debts due to ordinary creditors in the event of a winding up.
Page 19
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
ARCATOR CAPITAL MANAGEMENT LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
The ultimate controlling party of the partnership throughout the current year and prior period were Mr B Goldsmith and Mr L S Alves.
Page 20
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||