Blue Star Regulatory News (BLU)

29 Jun 2006 07:00

Blue Star Capital plc29 June 2006 29 June 2006 BLUE STAR CAPITAL PLC ("Blue Star" or "the Company") Interim results for the period ended 31st March 2006 Blue Star Capital plc (AIM: BLU), the Company created to provide seed capitalfor early stage companies, is pleased to announce its interim results, for theperiod ended 31st March 2006. Highlights: • Blue Star currently holds a diverse investment portfolio of seven companies which offer significant potential capital growth. It is pursuing its strategy aggressively and is actively reviewing opportunities as they arise. • The Balance Sheet remains strong with net cash of GBP2.627 million at 31st March 2006. • Substantial additional investments (GBP0.815 million), in line with the corporate strategy, have been made in the period. • Teather & Greenwood has been appointed as the Company's sole nominated adviser and broker. • A pre and post-tax loss of GBP0.238 million has been made in the period. Nigel Robertson, Blue Star's Chairman, said: "We continue to pursue our strategyof building investments in an exciting and diverse portfolio of investmentswhich promise substantial capital growth and would point to our recentinvestment in Trithor Holdings Limited and Venteco plc as a demonstration ofthis. As the year unfolds, we look forward to reporting our progress to you." For further information: Blue Star Capital plcNigel Robertson, Chairman Tel: 020 7297 0010 Teather & GreenwoodMark Dickenson Tel: 020 7426 9000 Holborn Public Relations LimitedDavid Bick Tel: 020 7929 5599 Chairman's Statement Since flotation the Company has actively pursued its corporate strategy ofidentifying growth opportunities across a variety of sectors. The sectorsinclude property, oil and gas, outsourcing, telecoms and e-marketing. To thisend, the Company has invested in five AIM-traded investing companies (or "cashshells") and two privately held companies. During the period under review, the London Stock Exchange introduced newregulations concerning investing companies, particularly in relation to theamount of money a cash shell is required to raise for admission to AIM and tothe timescale during which a cash shell should complete an appropriatetransaction or substantially implement its investment strategy. As a result ofthe regulation changes a number of AIM companies were suspended on April 3rd2006. One of these companies was Gasol plc. Gasol plc will seek re-admission toAIM once it has completed an appropriate transaction. The period under review, and since the period end, reveals a significant levelof activity, as the following brief review of the Company's portfolio of keyinvestments demonstrates. INDIA OUTSOURCING SERVICES PLC India Outsourcing Services plc (AIM: IOS) is a company formed to capitalise onacquisition and investment opportunities primarily in the Indian businessprocess outsourcing market. As reported, IOS raised an additional GPB3 millionbefore expenses in February 2006 from new and existing investors. IOS was alsopleased to announce on 21st March 2006 that Wheddon Limited an investmentvehicle associated with Consensus, Vincent Tchenguiz' venture capital arm, hadsubscribed for an additional 1 million shares - a strong endorsement of thestrategy of the company. Wheddon now has 13.85% of IOS' issued share capital. BLACK RAVEN PROPERTIES PLC Black Raven Properties plc (AIM: BRP) has since flotation in February 2005pursued its strategy of identifying opportunities in the property sector. It hasacquired a prestigious residential development near Lisbon, Portugal. BRP has,given its experience in the Portuguese property market, decided to focus on itfor development. They are currently evaluating a number of opportunities. In May2006, BRP appointed Michael Friend as a Director of the company. Michael hassubstantial relevant experience and will assist the company in reaching itsgoals. GASOL PLC Gasol plc (AIM: GAS) joined AIM in March 2005 with the strategy of seekingacquisition and investment opportunities in the Oil and Gas sector. It hasconcentrated its strategic focus on the exploitation of liquefied natural gasopportunities in the Gulf of Guinea region of West Africa. GAS successfullyraised an additional GBP3 million before expenses in a placing in February 2006.As a result of the London Stock Exchange rule changes with regards to the AIMmarket, trading in the shares of GAS, along with a number of other cash shells,was suspended on 3rd April 2006. In the meantime, GAS continues to seek tocomplete an appropriate transaction. ALL NEW VIDEO PLC ALL NEW VIDEO PLC (AIM: ANV) joined AIM as a result of the reverse takeover ofGordian Investments plc in August 2005. Blue Star had invested in GordianInvestments plc when it joined AIM in March 2005. ANV is a managed servicescompany offering live multi-party 3G video calling, PC to videophone calling andvideo mail, allowing mobile content providers and network operators to promoteand develop their content over 3G mobile, IP and ISDN connections. ANV hassigned a number of contracts with network operators and content providersincluding Orange and GMTV. MEDCENTER HOLDINGS INC Blue Star has a minority shareholding in this private company which is leader inthe provision of e-marketing and relationship marketing solutions to thepharmaceutical industry. Medcenter's clients include a number of the top-fivepharmaceutical companies. VENTECO PLC VENTECO (AIM: VTO) is a shell company that was listed in March 2006 to investin, or acquire assets in companies involved in environmentally friendly pestcontrol technologies and applications. VTO raised GBP3.1 million and iscurrently evaluating opportunities. Blue Star has acquired 8.99% of the issuedshares of the company. TRITHOR HOLDINGS LIMITED Blue Star recently participated by investing EUR350 thousand in a EUR3.5 millionfundraise by Trithor Holdings Limited and now owns a minority shareholding inthis private company. Trithor, based in Germany, is involved in the developmentof high temperature superconductors ("HTS"). HTS are made up of ceramic andother materials and could replace copper wire and strip windings generally usedin electric motors, generators and transformers. HTS wires have a priceadvantage of between 25% and 50% over the price of copper wires. Outlook As is outlined above, your Company has built an exciting business model based ondelivering capital value growth to its shareholders. The companies that BlueStar has invested in have substantial potential to deliver on the Company'scorporate strategy and I look forward to reporting on future progress. Nigel RobertsonChairman29/06/2006 Blue Star Capital Plc Profit and loss account for the period ended 31 March 2006 6 months ended 6 months ended Period ended 31 March 2006 31 March 2005 30 September 2005 (unaudited) (unaudited) (audited) £ £ £ Turnover - 50,000 75,000Gains on Investments 1,156 - - Administrative expenses (310,333) (209,789) (434,112) Operating Loss (309,177) (159,789) (359,112) Net Interest receivable 70,409 84,521 166,316 Loss on ordinary activities before taxation (238,768) (75,268) (192,796) Tax on loss on ordinary activities - - - Loss on ordinary activities after taxation (238,768) (75,268) (192,796) Loss per share- basic and diluted (0.23)p (0.07)p (0.19)p All amounts relate to continuing activities. All recognised gains and losses for the period have been included in the profitand loss account. Blue Star Capital Plc Balance sheet at 31 March 2006 6 months ended 6 months ended Period ended 31 March 2006 31 March 2005 30 September 2005 (unaudited) (unaudited) (audited) £ £ £ Fixed assets Tangible assets 9,315 10,384 10,811 Investments 2,203,978 1,161,010 1,416,157 2,213,293 1,171,394 1,426,968 Current assets Debtors 25,429 65,181 21,752 Cash at bank and in hand 2,627,701 3,939,544 3,650,065 2,653,130 4,004,725 3,671,817 Creditors falling due within one year (159,962) (128,605) (153,556) Net current assets 2,493,168 3,876,120 3,518,261 Total assets less current liabilities 4,706,461 5,047,514 4,945,229 Capital and reserves Called up share capital 105,500 105,500 105,500 Share premium account 5,032,525 5,017,282 5,032,525 Profit and loss account (431,564) (75,268) (192,796) Shareholders funds - equity 4,706,461 5,047,514 4,945,229 Blue Star Capital Plc Cash flow statement for the period ended 31 March 2006 6 months ended 6 months ended Period ended 31 March 2006 31 March 2005 30 September 2005 (unaudited) (unaudited) (audited) £ £ £ Net cash outflow from operating activities (303,732) (95,914) (223,428) Returns on investments and servicing of finance Interest received 70,460 84,521 167,132 Interest paid (51) - (816) Net cash inflow from returns on investments and servicing of finance 70,409 84,521 166,316 Financial investments and capital expenditure Payments to acquire tangible fixed assets (2,375) (10,835) (14,691) Payments to acquire investments (815,081) (1,161,010) (1,416,157) Proceeds from sale of investments 28,416 - - Net cash outflow from financial investments and capital expenditure (789,040) (1,171,845) (1,430,848) Net cash outflow before financing (1,022,363) (54,877) (1,487,960) Financing Issue of ordinary shares - 5,600,000 5,600,000 Expenses paid in connection with share issues - (477,218) (461,975) Cash inflow from financing - 5,122,782 5,138,025 (Decrease) increase in net cash in the period (1,022,363) 3,939,544 3,650,065 Blue Star Capital Plc Notes to the Interim Report 1. Basis of preparation The interim accounts for the six months ended 31 March 2006 are unaudited and donot constitute statutory accounts in accordance with section 240 of theCompanies Act 1985. The financial statements have been prepared in accordance with currentlyapplicable Accounting Standards in the United Kingdom, which have been appliedconsistently, and under the historical cost convention. Accounting policies consistent with those applied in the financial statementsfor the period ended 30 September 2005 have been used in preparing the unauditedinterim financial statements for the 6 months ended March 2006. 2. Taxation There is no tax charge for the period due to the loss arising. 3. Dividends The Directors are not declaring a dividend for the six months ended 31 March2006. 4. Loss per ordinary share The calculation of basic and diluted loss per share of 0.23 pence is based onthe loss for the period of £238,768 and on 105,500,000 ordinary shares, beingthe weighted average number of ordinary shares in issue during the period ended31 March 2006. 5. Copies of interim results Copies of the interim results are available from the Company's office, 22 SohoSquare, London W1D 4NS. This information is provided by RNS The company news service from the London Stock Exchange