Igraine Plc - Final Results

Igraine Plc - Final Results

PR Newswire

London, June 30

30 June 2023

Igraine Plc

AQSE: KING

("Igraine" or "the Company")

Audited Financial Statements for the Year Ended 31 December 2022

The full audited annual report can be found on the Company's website https://igraineplc.com.

REVIEW OF BUSINESS

The Directors have been successful in their efforts to minimise the operating costs of the Company, whilst investments mature.

In July 2022 Sir Professor Christopher Evans, Martin Walton, Burns Singh Tennent-Bhohi and Richard Walker all stepped down as Directors of the Company. The Company appreciates all the efforts of the directors who stepped down, especially Burns Singh Tennent-Bhohi who restructured the company in April 2021 and led the recapitalisation of the company in June 2021.

The Company maintains a truly exceptional working relationship with Sir Professor Christopher Evans and Martin Walton. Despite their transition from the board of directors, our partnership remains strong and continues to flourish. Their extensive experience, valuable guidance, and unwavering dedication have made an indelible impact on the Company. We are grateful for their ongoing support.

INVESTEE COMPANY UPDATES

Excalibur Medicines Limited

Excalibur Medicines Limited ("EML") a subsidiary of Excalibur Healthcare Services Ltd. EML has secured exclusive rights to and owns the patents on a drug, AZD1656, which is being developed as a potential therapeutic for diabetics.

Igraine maintains a 2% equity interest in EML and has the rights to co-invest in all healthcare and life-science investment opportunities sourced or invested into by Excalibur Healthcare Services.

In August 2022, EML announced the publication in Lancet eClinicalMedicine of the Phase 2 clinical trial, ARCADIA, which investigated AZD1656 for people with diabetes hospitalised with COVID19.

Patients in the AZD1656 arm were observed to have lower mortality; additionally, AZD1656 was shown to have immunomodulatory capability, as predicted. The paper also details our sub-group analysis of patients considered to be at higher risk of worse COVID-19 outcomes, either with elevated IL-6 or those with low Vitamin D status.

The EML management team have continued to work on their own and through their network including with the clinical charity, St George Street (SGS) in seeking commercial opportunities or interest in taking the development of asset AZD1656 following the phase II clinical trial. EML has also begun to pursue additional potential opportunities where the asset could be tested in other non-respiratory indications. The mechanism of action of AZD 1656 was well observed during the trial and its anti-inflammatory effects and T-Reg mobilisation to the point of disease suggests that it could be effective in other areas or organs such as the heart.

As summarised in the paper: "the evidence presented here suggests that specific activation of T-regs might suppress the inappropriate

inflammation which is the prime cause of tissue damage in autoimmune disease."

Oscillate Plc

During the year the Company purchased 21,475,000 shares in Oscillate Plc, representing approximately 10.2% of Oscillate's issued share capital. Oscillate Plc is an investment issuer listed on the AQSE Growth Market Exchange seeking investment in the medical cannabis sector, special situations and investments in the medical psychedelic industry. In June 2022, the Oscillate invested a further £350,000 in Psych Capital and Psych Capital listed on the AQSE Exchange, at a significantly increased value per share to the initial total investment, resulting in a profit before tax for the Company of £572,366. As at year end Oscillate Plc's cash position was £1,230,961.

Legacy Investment

Following the considerable work associated with the restructure of Igraine, the Board completed an evaluation of the investment interests acquired prior to April 2021, including holding meetings with certain board members of the investees. Upon completing this review, the Board of Directors have deemed them in majority as non-core to the Company in both present material value and in contrast the Company's revised investment strategy.

During the Financial Year, The Company exited its position in Just Bee Honey Limited ("Just Bee"). Just Bee is a private retail business selling high quality honey products that have a positive impact on bees. The Company sold 1,840,000 shares (9.14%) in Just Bee Ltd for a total consideration of £26,680.00.

To the year ending 31 December 2021, the Board of Directors wrote off the value of the loan receivable by a legacy investee, ASSIF Limited ("ASSIF"), whilst the Board remain in contact with this investee the Board were unsatisfied when assessing the realistic recoverability of monies lent to this investee further compounded by ASSIF making no attempt to repay all sums owing to date.

POST-YEAR END REVIEW

The Company continues to monitor the development of its maiden investment with Excalibur under the Co-Investment Agreement. Results to date have been positive as the Excalibur team progress commercialisation discussions with the preference being that of a trade sale.

In February 2023, the Company invested £100,000 into Fixit Medical Ltd ("Fixit"). Fixit, a research and experimental development company focused on social sciences and humanities, is the sole owner, designer and developer of Cingo® ("Cingo"), the next drainage catheter fixation device.

Cingo features best in class catheter fixation through a pull-force dissipating design and an estimated two-week wear time. Cingo also boasts a revolutionary design that protects catheters from twisting and kinking, providing easy access to the catheter exit site for improved visibility and cleaning, and includes a breakthrough integral shower-safe feature. Fixit CEO and Inventor of Cingo, Dr. Robert Ward, MB BS FRCS FRCR, is a specialist in vascular and interventional radiology and has developed the most advanced and patient-centric drainage catheter fixation device available today. Igraine hold 434 ordinary shares in Fixit representing 20 per cent of Fixit's share capital.

Executive Director, Steve Winfield, owns approximately 46% of Larvotto Group Limited. Larvotto Group Limited itself will have a resulting holding of approximately 34% of Fixit and acts as an unpaid operational partner and investor of Fixit Medical Ltd.

ON BEHALF OF THE BOARD:

Mr S Grant-Rennick

Director

DIVIDENDS

The Directors do not propose a dividend in respect of the year ended 31 December 2022 (2021: £nil).

The Directors of the Company accept responsibility for the contents of this announcement.

Igraine plc
Simon Grant-Rennick	Tel: [phone]
Peterhouse Capital Ltd (AQSE Corporate Adviser)	Tel: [phone]
Guy Miller	Tel: [phone]
Brefo Gyasi

Statement of Profit or Loss fortheyearended31December2022
		2022 £		2021 £
CONTINUINGOPERATIONS
Other operating income		-		19,824
Loss on revaluation of investments		(107,375)		(12,798)
Administrative expenses		(241,315)		(407,615)
OPERATINGLOSS		(348,690)		(400,589)

Impairment of loans and trade receivables		-		(93,405)
Interest Income		3,329		-
LOSSBEFOREINCOMETAX		(345,361)		(493,994)
Income tax		-		-
LOSSFORTHEYEAR		(345,361)		(493,994)
Earnings per share expressed in pence per share:
Basic		-0.004		-0.01
Diluted		-0.003		-0.008

Statement of Profit or Loss and Other Comprehensive Income for the year ended 31 December 2022
	2022 £	2021 £
LOSSFORTHEYEAR	(345,361)	(493,994)
Other comprehensive income	-	-
TOTALCOMPREHENSIVEINCOMEFORTHEYEAR	(345,361)	(493,994)

Statement of Financial Position As at 31 December 2022
		2022 £		2021 £
ASSETS
NON-CURRENTASSETS
Property, plant and equipment		-		-
Investments		761,063		615,113
		761,063		615,113
CURRENTASSETS
Trade and other receivables		134,637		154,067
Investments		-		7,205
Cash and cash equivalents		388,412		904,129
		523,049		1,065,401
TOTALASSETS		1,284,112		1,680,514
EQUITY
SHAREHOLDERS'EQUITY
Called up share capital		588,786		588,786
Share premium		1,946,995		1,946,995
Other reserves		46,116		46,116
Retained earnings		(1,518,066)		(1,172,705)
TOTALEQUITY		1,063,831		1,409,192
LIABILITIES
NON-CURRENTLIABILITIES
Financial liabilities - borrowings
Interest bearing loans and borrowings		29,922		38,464
CURRENTLIABILITIES
Interest bearing loans and borrowings		9,768		10,649
Trade and other payables		180,591		222,209
TOTALLIABILITIES		220,281		271,322
TOTALEQUITYANDLIABILITIES		1,284,112		1,680,514

Statement of Changes in Equity for the year ended 31 December 2022
	Calledupsharecapital		Sharepremium		Other reserves		Retainedearnings		Totalequity
	£		£		£		£		£
Balance at 1 January 2021	554,616		26,818		-		(678,711)		(97,277)
Changesin equity
Deficit for the year	-		-		-		(493,994)		(493,994)
Warrant and Option charge	-		-		46,116		-		46,116
Total comprehensive income	-		-		46,116		(493,994)		(447,878)
Transaction cost	-		(178,153)		-		-		(178,153)
Issue of share capital	34,170		2,098,330		-		-		2,132,500
Balanceat 31 December 2021	588,786		1,946,995		46,116		(1,172,705)		1,409,192
Changesin equity
Deficit for the year	-		-		-		(345,361)		(345,361)
Balanceat 31 December 2022	588,786		1,946,995		46,116		(1,518,066)		1,063,831

Statement of Cash Flows for the year ended 31 December 2022		2022 £	2021 £
Cash flows from operating activities
Cash generated from operations		(276,575)	(498,688)
Net cash from operating activities		(276,575)	(498,688)
Cash flows from investing activities
Purchase of fixed asset investments		(268,437)	(600,000)
Sale of fixed asset investments		38,716	13,431
Net cash from investing activities		(229,721)	(586,569)
Cash flows from financing activities
Loan repayments in year		(9,421)	(887)
Share issue (net of share issue costs)		-	1,982,462
Net cash from financing activities		(9,421)	(1,981,575)
(Decrease)/increase in cash and cash equivalents		(515,717)	896,318
Cash and cash equivalents at beginning of year		904,129	7,811
Cash and cash equivalents at end of year		388,412	904,129