30 Sep 2010 07:00
NORTHWEST INVESTMENT GROUP Ltd.
1500784
INCORPORATED IN THE BRITISH VIRGIN ISLANDS
UNAUDITED INTERIM FINANCIAL STATEMENT
FOR THE 6 MONTHS ENDED 30 JUNE 2010
Northwest Investment Group Ltd. ("NWIG" or the "Company") today announces its unaudited Interim Results for the period from 1 January 2010 to 30 June 2010.
A copy of the Interim Report will also be available on the Company's website shortly (http://www.northwestinv.com).
Contact Details:
| Northwest Investment Group Ltd. Kevin Lee, Chairman
| +86-(0)10-6510 1882 |
| ZAI Corporate Finance Ltd. Nomad and Broker Ray Zimmerman | +44-(0)20-7060 2220 |
CHAIRMAN'S STATEMENT
On 9 June 2010, the Company was admitted to trading on the AIM market of the London Stock Exchange after successfully raising £3 Million. The Company has been reviewing a number of potential high-quality hydropower assets in the western area of China. We will give an update as soon as an opportunity has been identified and agreed.
Hereupon I would like to extend my sincere thanks to our advisors, my staff for their zeal, vision and dedication.
Chairman
For and on behalf of the Board of
Northwest Investment Group Ltd.
STATEMENT OF COMPREHENSIVE INCOME
|
|
|
6 months to 30 June 2010 |
6 months to 30 June 2009 |
Period to 31 December 2009 |
|
|
| Unaudited | Unaudited | Audited |
|
| Notes | £ | £ | £ |
|
|
|
|
|
|
|
|
|
|
|
|
| Revenue |
| - | - | - |
|
|
|
|
|
|
| Cost of sales |
| - | - | - |
|
|
|
|
|
|
| Gross profit |
| - | - | - |
|
|
|
|
|
|
| Administrative expenses | 7 | (18,150) | - | - |
| Listing costs |
| - | (18,043) | (29,149) |
| Operating loss |
| (18,150) | (18,043) | (29,149) |
| Interest income |
| 35 | 13 | 63 |
| Finance costs |
| - | - | - |
|
|
|
|
|
|
| Loss before tax |
| (18,115) | (18,030) | (29,086) |
|
|
|
|
|
|
| Income tax expense |
| - | - | - |
|
|
|
|
|
|
| Profit/(Loss) the period |
| (18,115) | (18,030) | (29,086) |
|
|
|
|
|
|
| Total comprehensive income for the period |
|
(18,115) |
(18,030) |
(29,086) |
|
|
|
|
|
|
| Attributable to: |
|
|
|
|
| Shareholders of the Company |
| (18,115) | (18,030) | (29,086) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Loss per share |
|
|
|
|
| Basic and diluted loss per share |
8 |
# | (0.04) |
(0.06) |
|
|
|
|
|
|
|
|
|
|
|
|
# denotes a figure which is less than £0.01
STATEMENT OF FINANCIAL POSITION
|
|
| Unaudited | Unaudited | Audited |
|
|
| 30 June 2010 | 30 June 2009 | 31 December 2009 |
|
| Notes | £ | £ | £ |
|
|
|
|
|
|
| Current assets |
|
|
|
|
| Cash and cash equivalents | 3 | 3,101,528 | 990,013 | 978,957 |
|
|
| 3,101,528 | 990,013 | 978,957 |
|
|
|
|
|
|
| Total assets |
| 3,101,528 | 990,013 | 978,957 |
|
|
|
|
|
|
| Equity and Liabilities |
|
|
|
|
|
|
|
|
|
|
| Current liabilities |
|
|
|
|
|
|
|
|
|
|
| Trade and other payables | 4 | 119,033 | 980,848 | 980,848 |
|
|
| 119,033 | 980,848 | 980,848 |
|
|
|
|
|
|
|
|
|
|
|
|
| Equity |
|
|
|
|
| Share capital | 5 | 665,000 | 25,000 | 25,000 |
| Share premium | 5 | 2,364,696 | 2,195 | 2,195 |
| Retained earnings |
| (47,201) | (18,030) | (29,086) |
|
|
| 2,982,495 | 9,165 | (1,891) |
|
|
|
|
|
|
| Total liability and equity |
| 3,101,528 | 990,013 | 978,957 |
|
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|
|
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|
STATEMENT OF CHANGES IN EQUITY
|
|
| Unaudited |
| Unaudited |
| Unaudited |
| Unaudited |
|
|
| Share premium |
| Share capital |
| Retained earnings |
|
Total |
|
|
| £ |
| £ |
| £ |
| £ |
| Balance as at 1 January 2010 |
| 2,195 |
| 25,000 |
| (29,086) |
| (1,891) |
|
|
|
|
|
|
|
|
|
|
| Loss for the period |
| - |
| - |
| (18,115) |
| (18,115) |
|
|
|
|
|
|
|
|
|
|
| Total comprehensive income for the period |
|
- |
|
- |
|
(18,115) |
|
(18,115) |
|
|
|
|
|
|
|
|
|
|
| Issue of shares net of placing costs | 5 | 2,362,501 |
| 640,000 |
| - |
| 3,002,501 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Balance at 30 June 2010 |
| 2,364,696 |
| 665,000 |
| (47,201) |
| 2,982,495 |
|
|
|
|
|
|
|
|
|
|
|
|
| Unaudited |
| Unaudited |
| Unaudited |
| Unaudited |
|
|
| Share premium |
| Share capital |
| Retained earnings |
|
Total |
|
|
| £ |
| £ |
| £ |
| £ |
| Balance as at 26 August 2008 |
| - |
| - |
| - |
| - |
|
|
|
|
|
|
|
|
|
|
| Loss for the period |
| - |
| - |
| (18,030) |
| (18,030) |
|
|
|
|
|
|
|
|
|
|
| Total comprehensive income for the period |
|
- |
|
- |
|
(18,030) |
|
(18,030) |
|
|
|
|
|
|
|
|
|
|
| Issue of shares | 5 | 2,195 |
| 25,000 |
| - |
| 27,195 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Balance at 30 June 2009 |
| 2,195 |
| 25,000 |
| (18,030) |
| 9,165 |
|
|
|
|
|
|
|
|
|
|
|
|
| Audited |
| Audited |
| Audited |
| Audited |
|
|
| Share premium |
| Share capital |
| Retained earnings |
|
Total |
|
|
| £ |
| £ |
| £ |
| £ |
| Balance as at 26 August 2008 |
| - |
| - |
| - |
| - |
|
|
|
|
|
|
|
|
|
|
| Loss for the period |
| - |
| - |
| (29,086) |
| (29,086) |
|
|
|
|
|
|
|
|
|
|
| Total comprehensive income for the period |
|
- |
|
- |
|
(29,086) |
|
(29,086) |
|
|
|
|
|
|
|
|
|
|
| Issue of shares | 5 | 2,195 |
| 25,000 |
| - |
| 27,195 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Balance at 30 December 2009 |
| 2,195 |
| 25,000 |
| (29,086) |
| (1,891) |
|
|
|
|
|
|
|
|
|
|
STATEMENT OF CASH FLOW
|
| Notes | 6 months to 30 June 2010 | 6 months to 30 June 2009 | Period to 31 December 2009 |
|
|
| Unaudited | Unaudited | Audited |
|
|
| £ | £ | £ |
|
Net cash generated from/(used) in operating activities |
6 |
(879,965) |
962,805 |
951,699 |
|
|
|
|
|
|
| Investing activities |
|
|
|
|
|
|
|
|
|
|
| Interest received |
| 35 | 13 | 63 |
| Purchase of property, plant and equipment |
| - | - | - |
|
Net cash from investing activities |
|
35 |
13 |
63 |
|
|
|
|
|
|
| Financing activities |
|
|
|
|
|
|
|
|
|
|
| Proceeds on issue of shares |
| 3,200,000 | 27,195 | 27,195 |
| Placing costs |
| (197,499) | - | - |
|
|
|
|
|
|
| Net cash from financing activities |
| 3,002,501 | 27,195 | 27,195 |
|
|
|
|
|
|
|
Net increase in cash and cash equivalents |
|
2,122,571 |
990,013 |
978,957 |
|
Cash and cash equivalents at beginning of period |
3 |
978,957 |
- |
- |
|
|
3 |
3,101,528 |
990,013 |
978,957 |
NOTES TO THE INTERIM FINANCIAL STATEMENTS
1 GENERAL INFORMATION
Northwest Investment Group Limited is a company incorporated in British Virgin Islands on 26 August 2008 under The BVI Business Companies Act 2004. The company has been established for the purpose of identifying and acquiring, or investing in, energy projects with an initial focus on Western China. The address of the registered office is Sea Meadow House, Blackburne Highway, P. O. Box 116, Road Town, Tortola, British Virgin Islands.
The interim financial statements are presented in Pound Sterling.
The Company's Ordinary shares are traded on AIM, a market operated by the London Stock Exchange.
2 SUMMARY OF SIGNIFICANT ACCOUTING POLICIES
2.1 Statement of compliance
The interim financial statements are for the six months ended 30 June 2010. They have been prepared in accordance with IAS34 Interim Financial Reporting as adopted by the European Union. They do not include all of the information required in annual financial statements in accordance with IFRS, and should be read in conjunction with the financial statements of for the period ended 31 December 2009.
2.2 Basis of preparation
These interim financial statements have been prepared in accordance with the accounting policies adopted in the last annual financial statements for the period ended to 31 December 2009 and those to be used for the year ending 31 December 2010.
The unaudited interim financial statement for the six months period ended 30 June 2010 do not constitute statutory accounts and have been draw up using according polices and presentation expected to be adopted in the Company financial statements for the financial period ending 31 December 2010, which are not expected to be significantly different to those set out in note 2 to the Company audited financial statements for the period ended 31 December 2009.
The financial statements for the period ended 31 December 2009 has been extracted from the Admission Document. The accountants' report included in the Admission Document for the period ended 31 December 2009 was unqualified.
These interim financial statements have been approved for issue by the Board of Directors on 29 September 2010.
3 CASH AND CASH EQUIVALENTS
|
|
|
| Unaudited |
| Unaudited |
| Audited |
|
|
|
| 30 June 2010 |
| 30 June 2009 |
| 31 December 2009 |
|
|
|
| £ |
| £ |
| £ |
|
|
|
|
|
|
|
|
|
| Cash at bank |
|
| 3,101,528 |
| 990,013 |
| 978,957 |
| Cash in hand |
|
| - |
| - |
| - |
|
|
|
|
|
|
|
|
|
|
|
|
| 3,101,528 |
| 990,013 |
| 978,957 |
Cash and cash equivalents are denominated in the currency £ Pound Sterling.
Bank balances comprise cash held by the Company and short-term bank deposits with an original maturity of three months or less. The carrying amount of these assets approximates their fair value.
4 TRADE AND OTHER PAYABLES
|
|
|
| Unaudited |
| Unaudited |
| Audited |
|
|
|
| 30 June 2010 |
| 30 June 2009 |
| 31 December 2009 |
|
|
|
| £ |
| £ |
| £ |
|
|
|
|
|
|
|
|
|
| Directors' loan accounts |
|
| - |
| 973,348 |
| 973,348 |
| Directors' fees |
|
| 13,750 |
| - |
| - |
| Staffs' wages and salaries |
|
| 4,400 |
| - |
| - |
| Accrued and deferred income |
|
| 100,883 |
| 7,500 |
| 7,500 |
|
|
|
|
|
|
|
|
|
|
|
|
| 119,033 |
| 980,848 |
| 980,848 |
The directors consider that the carrying amount of trade payables approximates to their fair value.
5 SHARE CAPITAL
5.1 Share capital
|
| 30 June 2010 | 30 June 2009 | 31 December 2009 | |||
|
| Unaudited | Unaudited | Audited | |||
|
| Share Capital | Share premium | Share Capital | Share premium | Share Capital | Share premium |
|
| £ | £ | £ | £ | £ | £ |
| Authorised: |
|
|
|
|
|
|
| 1,000,000,000 Ordinary shares of £0.05 each |
50,000,000 |
- |
50,000,000 |
- |
50,000,000 |
- |
|
|
|
|
|
|
|
|
| Issued and fully paid: |
|
|
|
|
|
|
| Balance at beginning of financial period/year |
|
|
|
|
|
|
| -500,000 Ordinary shares of £0.05 each |
25,000 |
2,195 |
25,000 |
2,195 |
25,000 |
2,195 |
| Issue of 800,000 New Ordinary shares of £0.05 each |
40,000 |
160,000 |
- |
- |
- |
- |
| Issue of 12,000,000 New Ordinary shares of £0.05 each admitted to trading on AIM (note 5.2) |
600,000 |
2,202,501
|
- |
- |
- |
- |
|
| 640,000 | 2,362,501 | - | - | - | - |
|
| 665,000 | 2,364,696 | 25,000 | 2,195 | 25,000 | 2,195 |
On 26 August 2008, the company allotted 500,000 Ordinary shares of with no par value at price per share of US$1 each with an aggregate nominal value of US$50,000 for a total consideration of US$50,000 fully paid.
On 28 October 2009, by written resolution, the authorised share capital of the company was increased from 50,000 Ordinary shares with no par value to 1,000,000,000 with par value of £0.05 each such that the Ordinary shares held by the existing shareholders should be enlarged from 50,000 Ordinary shares to 500,000 Ordinary shares by the issue and allotment pari passu with shareholders' existing shareholding of 450,000 additional Ordinary shares.
On 16 March 2010, by written resolution, the company allotted an additional 800,000 Ordinary shares of £0.05 each with an aggregate nominal value of £40,000 for a total consideration of £200,000 fully paid.
On 03 June 2010, by written resolution, the company allotted an additional 12, 000,000 Ordinary shares of £0.05 each with an aggregate nominal value of £600,000 for a total consideration of £3,000,000 fully paid.
On 09 June 2010, the Company's enlarged share capital was admitted to trading on AIM, a market operated by the London Stock Exchange.
5.2 Placing costs
According to IAS32, ' Financial Instruments', incremental costs directly attributable to issue of new shares have been recorded as a deduction from the proceeds of such issue.
The proceeds arising from the issuance of shares by the Company and the related placement and directly attributable fees offset against them is as followings
|
| 6 months to 30 June 2010 | 6 months to 30 June 2009 | Period to 31 December 2009 |
|
| Unaudited | Unaudited | Audited |
|
| £ | £ | £ |
|
|
|
|
|
| Proceeds arising from issuance of share admitted to trading on AIM on 09 June 2009 | 3,000,000 | - | - |
| Less: |
|
|
|
| Placement fees and other directly attributable issue costs incurred | (197,499) | (29,086) | (29,149) |
| Net proceeds contributed to equity | 2,802,501 | (29,086) | (29,149) |
| -Share capital (12,000,000 Ordinary share of £0.05 each) | 600,000 | - | - |
| -Share premium | 2,202,501 | - | - |
|
| 2,802,501 | - | - |
Listing expenses for the period of year 2009 were expensed as incurred to the income statement since no capital increase results.
6 NOTES TO THE CASH FLOW STATEMENT
|
| 6 months to 30 June 2010 | 6 months to 30 June 2009 | Period to 31 December 2009 |
|
| Unaudited | Unaudited | Audited |
|
| £ | £ | £ |
|
|
|
|
|
| Loss from operations | (18,150) | (18,043) | (29,149) |
| Adjustments for: |
|
|
|
| Depreciation of property, plant and equipment | - | - | - |
|
Operating cash flows before movements in working capital |
(18,150) |
(18,043) |
(29,149) |
|
|
|
|
|
| Increase in trade and other receivables | - | - | - |
| Increase/(Decrease) in trade and other payables | (861,815) | 980,848 | 980,848 |
|
|
|
|
|
| Net cash generated from operations | (879,965) | 962,805 | 951,699 |
|
|
|
|
|
| Income taxes paid | - | - | - |
| Interest paid | - | - | - |
|
|
|
|
|
| Net cash from operating activities | (879,965) | 962,805 | 951,699 |
7 EXPENSES BY NATURE
|
|
|
| 6 months to 30 June 2010 |
| 6 months to 30 June 2009 |
| Period to 31 December 2009 |
|
|
|
| Unaudited |
| Unaudited |
| Audited |
|
|
|
| £ |
| £ |
| £ |
| Employee benefit expenses |
|
|
|
|
|
|
|
| -Directors' fees |
|
| 13,750 |
| - |
| - |
| -staffs wages and salaries |
|
| 4,400 |
| - |
| - |
|
|
|
|
|
|
|
|
|
|
|
|
| 18,150 |
| - |
| - |
8 EARNING PER SHARE
The calculation of the basic earning per share is based on the profits attributable to ordinary shareholders divided by the weighted average number of shares in issue during the period.
The calculation of diluted earning per share is based on the basic earning per share, adjusted to allow for the issue of shares and the post tax effect of dividends and/or interest, on the assumed conversion of all dilutive options and other dilutive potential ordinary shares.
Reconciliation of the earning and weighted average number of shares used in the calculations are set out blow.
|
| 6 months to June 2010 | 6 months to June 2009 | Period to 31 December 2009 |
|
| Unaudited | Unaudited | Audited |
| Net loss attributable to equity holder of the Company |
£(18,115) |
£(18,030) |
£(29,086) |
|
|
|
|
|
| Weighted average number of ordinary share |
13,300,000 |
500,000 |
500,000 |
|
|
|
|
|
| Basic loss per share | # | £(0.04) | £(0.06) |
|
|
|
|
|
|
|
|
|
|
| # denotes a figure which is less than £0.01 |
|
|
|
There are not potentially dilutive shares in issue.