Braveheart Investment Group plc Annual Report and … Investment Group plc Annual Report and...

Braveheart Investment Group plc Annual Report and Accounts 2016

KEY POINTS | Strategic Report | 01

Highlights• Operatingcostsreducedbyapproximately£570,000overafullyear;• Cashatbankof£1.3masat31March2016;• Operatinglossof£370,000;• SuccessfuldisposalofinterestinWhiteRockCapitalPartners;• PurchaseofremaininginterestinRidingsHoldingsLtd;• Vikingawardedacontractextensiontoinvestafurther£5.1mtotopupthe£40mFinanceYorkshireEquityFund,andafurther£3.8mmadeavailableinJanuary2016;

• Completionofreorganisationandrestructuringefforts,withremainingexceptionalchargesnowaccountedfor;and

• BoardnowfocusedonGroup’sfuturewithanemphasisonensuringpositiveearningsareachievedinthecurrentyear.

Strategic Report Governance Accounts and notes

01Keypoints02 ChiefExecutiveOfficer’sreport

06Directors’report09Boardofdirectors10Corporategovernance

statement13Directors’remunerationreport16Independentauditors’report

17Consolidatedstatement ofcomprehensiveincome

18Consolidatedstatement offinancialposition

19 Companystatement offinancialposition

20Consolidatedstatement ofcashflows

21Companystatement ofcashflows

22 Consolidatedandcompanystatementofchangesinequity

23Notestothefinancialstatements

49Noticeofannual generalmeeting

52Companyinformation

DisclaimerThisAnnualReportcontainscertainforward-lookingstatements,whichreflecttheknowledgeof,andinformationavailableto,thedirectorsatthedateofpreparationofthisAnnualReport.Bytheirnature,thesestatementsinvolveriskanduncertaintybecausetheyrelatetoeventsanddependoncircumstancesthatmayormaynotoccurinthefutureandthereareanumberoffactorsthatcouldcauseactualresultsordevelopmentstodiffermateriallyfromthoseexpressedorimpliedbytheseforward-lookingstatements.


02 |CHIEF EXECUTIVE OFFICER’S REPORT | Strategic Report

I am pleased to report to shareholders for the 12 months ended 31 March 2016.

OverviewThroughoutthecourseoftheyear,wecontinuedtoreviewalloperationswiththeobjectiveofidentifyingwhichactivitieswecanbestconcentrateourresourcesupon,tothemostproductiveeffectforourshareholders.Asaresultofthatreviewandrelatedactionstakenbyyourboard,wehavesucceededinreducingoperatingcostsoftheGroupbyapproximately£570,000perannum.

ThetargetthattheboardhassetitselfforthecurrentyearistoensurethattheoperatingcostsoftheGroupwillbelessthanoperatingincome,allowingustobudgetforasurplusforthefullyear.

Akeypartoftheoperationalreviewwehaveundertakenhasbeentotakethedifficultdecisiontoscaleback,sellorclosethosepartsoftheGroupthatthereviewhasidentifiedasunlikelytobecomeprofitableinthenearfutureand/orhavingarequirement forsignificantcapitalexpenditure.

Tothisendwehavetakenthefollowingactions:

1.Soldour33%participationinWhiteRocktothemanagementteamforthesumof£100,000(asannouncedon8January2016)2.ExitedfromtheinvestmentpartnerparticipationwithSEEDRS3.ClosedourStrathtayprivateclientbusiness

BraveheartGroupcontinuestoownandmanageasmallprivateequityportfolioonitsownaccount.Attheendoftheperiodunderreviewthenumberofdirectlyheldinvestmentstotalled18(2015:18).

Wearepleasedtohavebeenabletoannounce,duringtheyearunderreview,thesuccessfulexitforbothourowndirectlyheldinvestmentandforthemanyclientsthatwehavehistoricallyadvised,oftheinvestmentsinBloxxLtdandBioptaLtd.

AnimportantpartofthefocusonachievingtheseexitshasbeentoundertakeadetailedreviewoftheexitopportunitiesforeachinvestmentandthelikelyvaluethatsuchanexitwouldgenerateforBraveheart.Thisreviewhasledustoconcludethatsomeofthevaluationsofthedirectlyheldportfolioneededtobeadjusted,withtheaggregateadjustmentforthewholeportfoliobeingareductioninvalueof£1,026,000(excludingBloxxLtdandBioptaLtd)to£468,000(2015:£2,478,000).Thereductioninvaluationhasbeentakenthroughtheprofitandlossaccountbutis,ofcourse,anon-cashadjustmentandsohasnotimpactedthecashheldonourbalancesheet.

Asattheendofthefinancialyearthecashheldonourbalancesheetstoodat£1,263,000(2015:£503,000).ThesignificantincreaseinthecashpositionofBraveheartisduetoacombinationofthesaleofparticipationsandinvestmentsduringtheyearunderreview,togetherwiththedeterminationofyourboardtoreducetheoperationalcostsoftheGroup.

ThemostimportantoperationalactivityoftheGroupisourfundmanagementbusiness,VikingFundManagers(‘Viking’).Vikinghadanothersuccessfulyear,workingthroughouttheYorkshireandHumberregion.ItmanagestheFinanceYorkshireEquityFund(‘FYEF’)whichinvestsbothdebtandequityinstrumentsindevelopmentcapitalsituationsandunitsizesrangefrom£50,000to£2million.

During2015,Vikingwasawardedacontractextensiontoinvestafurther£5.1milliontotopupthe£40millionFYEF,withafurther£3.8millionbeingmadeavailableinJanuarythisyear.Intheperiod,theVikingteaminvested£16.4million,bringingthetotalinvestedat31March2016to£46.3million(2015:£29.9million)intoatotalof53SMEs(2015:44).Vikinganticipatesinvestingtheremaining£2.64millionduringthefirstquarterof2016/17sothatfundwillbefullyinvestedby30June2016.

Thereafter,VikingiscontractedtocontinueintotheportfoliomanagementphaseuntilDecember2019.Throughoutlastyeartheteamwereresponsibleforsecuringseveralexitsforthefund.Theportfoliocontinuestolookpromisingasitmovesintogrowthandrealisationphase,withseveralinvestmentshavingsignificantpotentialvaluetobereturned.

Anew,£400millionNorthernPowerhouseInvestmentFund(‘NPIF’)isbeingplannedbytheBritishBusinessBankasasuccessortotheJEREMIEfundsinTeeside,YorkshireandHumberandtheNorthWest,withanticipatedlaunchdatesinautumn2016.VikinglooksforwardtobiddingtowinaplaceontheframeworkforfundmanagementservicesanditsexperiencedteamiskeentowinamandateforrunninganNPIFfundwithasimilarremitanddurationtoFYEF.

InDecember2015,VikingboughtouttheremainingshareholdersofRidingsHoldingsLimited(‘RHL’),whichhasaportfolioofremaininginvestmentsfrompreviousfundstoberealised.


CHIEF EXECUTIVE OFFICER’S REPORT | Strategic Report | 03

Financial Review Duringtheyearwecontinuedthecomprehensivereviewofourcostbase,andimplementedarestructuringofheadofficeoperations.Thisexercisehascontinuedpostyear-endandweexpecttofurtherreduceourannualcentralcostsduringthecourseofthefinancialyearending31March2017.

Income StatementFee-basedrevenueisgeneratedbybothStrathtayVenturesLtd(‘SVL’)andVikingFundManagersLtd(‘VFM’).TheprincipalrevenuefromtheGroup’soperationsprincipallycomprisesinvestmentmanagementfees,withtotalrevenueduringtheyearbeing£1,133,000(2015:£1,864,000).

Financeincomewas£7,000(2015:£13,000),thisbeinginterestonoutstandingloannoteswithinthedirectlyheldportfolio.

Asat31March2015,thefairvalueoftheGroup’sdirectlyheldportfolioof18companieswas£2,478,000.DuringtheyeartheGroupmadeinvestmentsof£16,500intotwoexistingportfoliocompaniesand£45,000topurchasetheremainingshareholdinginRidingsHoldingsLtd.Aspreviouslynoted,investmentsinBloxxandBioptawererealisedshowingareturnof£1,074,000.Asat31March2016thefairvalueoftheinvestmentportfoliooftheremaining18companieswas£468,000,resultinginanaggregateunrealisedrevaluationlossof£1,026,000(2015:unrealisedrevaluationlossof£1,080,000).

TheGroup’sdirectlyheldportfoliosareheldeitherbytheCompany,StrathclydeInnovationFundLP,CaledoniaPortfolioRealisationsLtd(‘CPR’)orRidingsHoldingsLtd.Thereisanincreaseincontingentconsiderationof£57,000(2015:decreaseincontingentconsiderationof£136,000)payableonfutureexitvaluesofCPRportfoliocompanieswhichhasnowbeenagreedandpartlypaid.

Totalincomefortheyearended31March2016,includingrealisedgainsandunrealisedrevaluationgainsandlosses,was£196,000,adecreasefrom£1,143,000in2015.

Theaveragenumberofemployeesdecreasedby5duringtheperiodunderreview.Employeebenefitsexpensewas£1,001,000(2015:£1,394,000),includingredundancyandlossofofficecostsof£178,000.Otheroperatingandfinancecostswerebroadlythesameat£516,000(2015:£518,000).Agoodwillimpairmentlossof£372,000(2015:£nil)wasrecordedagainstVikingFundManagers.

Excludingunrealisedportfoliomovementsandcontingentconsideration,thelossbeforetaxwas£610,000(2015:profitof£177,000).Thetotallossaftertaxandamountsattributabletonon-controllinginterestsincreasedto£1,693,000(2015:lossof£768,000),equivalenttoalosspershareof6.23pence(2015:losspershareof2.78pence).


04 | CHIEF EXECUTIVE OFFICER’S REPORT | Strategic Report

Financial PositionNetassetsat31March2016were£1,705,000(2015:£3,388,000),equivalentto6.30pencepershare(2015:12.52pence)thedecreasereflectingtradingresults.

TheGroup’snetassetsincludegoodwillof£380,000(2015:£752,000).ThecarryingvalueofgoodwillwasreviewedduringtheyearandinlightofcurrentprojectionsoffutureperformancetheDirectorshaveimpairedgoodwillby£372,000.

AttheyearendtheGrouphadcashbalancesof£1,263,000(2015:£503,000).Therewerenomaterialborrowings.

AsummaryanalysisoftheGroup’sperformanceisasfollows:

2016 2015

£’000 £’000

Investmentmanagementrevenue 1,133 1,864

Financeincome 7 13

Incomebeforeportfoliomovements 1,140 1,877

Changeinfairvalueofinvestmentsandmovementincontingentconsideration (944) (734)

Totalincome 196 1,143

Employeebenefitsexpense(includingsharebasedpayments) (1,001) (1,394)

Goodwillimpairment (372) -

Otheroperatingandfinancecosts (516) (517)

Totalcosts (1,889) (1,911)

Lossbeforetax (1,693) (768)

Totallossandtotalcomprehensivelossfortheyear (1,693) (768)

Openingcashbalance 503 159

Increaseinportfolioinvestments (17) (60)

ProceedsfromsaleofequityinvestmentsandLLP 1,163 414

Otheractivities (382) (140)

Netcashacquiredonacquisition (4) -

Newshareissue - 130

Closingcashbalance 1,263 503

Netassets 1,705 3,388

Netassetspershare 6.30 pence 12.52pence


CHIEF EXECUTIVE OFFICER’S REPORT | Strategic Report | 05

Outlook and StrategyWewillcontinuetotightlycontroltheoperationalcostbaseoftheGroup,whilstatthesametimetryingtoincreasetheactivitiesandrevenuesofVFM.WealsohopetoidentifynewprivateequityinvestmentswithgoodgrowthpotentialwhereourinvestmentwillproducegoodreturnsforBraveheartshareholders.

OurexpectationisthatthecompletionoftherestructuringandoperationalreviewwillresultinanimprovedoutlookfortheGroupbecomingprofitableoverthefullyear.Ilookforwardtoupdatingshareholdersonprogressastheyearunfolds.

Key Performance Indicators (KPIs)TheKPIsweusetomonitorbusinessperformance,whichgiventhenatureofourbusinessareprimarilyfinancialmeasures,are:

2016 2015

Netassets(‘£000) 1,705 3,388

Cashbalance(£’000) 1,263 503

Lossaftertaxattributabletoequityholders(£’000) (1,685) (739)

InvestmentsmadebyGroup(£’000) 61 60

InvestmentsmadebyGroup(numberofcompanies) 2 2

RealisedgainonsaleofGroupinvestments(£’000) 139 211

NetunrealisedmovementonrevaluationofGroupinvestments(£’000) (1,026) (1,080)

Fundsundermanagement(£m) 77 125

Principal Risks and Uncertainties

ThroughitsoperationstheGroupisexposedtoanumberofrisks.TheGroup’sriskmanagementobjectivesandpoliciesaredescribedintheCorporateGovernanceStatementonpage10.

OurcurrentChairman,JeremyDelmar-Morgan,hasconcludedthatitisnowanappropriatetimeforhimtoretirefromtheBoardoftheCompany,withhisleavingtakingeffectonthe31stJuly2016.JeremyhasbeenChairmanofBraveheartsince2008andhassteeredtheGroupthroughsomedifficulttimesasweadjustedandre-focusedtheoperationsoftheGroup.IwouldliketotakethisopportunitytothankhimfortheconsiderableeffortthathehasputintoBraveheartoverthelast8yearsandwishhimwellinhisretirement.

Trevor E Brown ChiefExecutiveOfficer 22June2016


06 | DIRECTORS’ REPORT | Governance

Thedirectorspresenttheirreporttogetherwiththeauditedfinancialstatementsfortheyearended31March2016.

Principal ActivitiesTheGroupprovidesdebt/equityandadvisoryservicestoSMEsandservicestheinvestmentrequirementsofbusinessangels, highnetworthindividuals,familyofficesandpublicsectororganisations.

Results and DividendsThefinancialstatementsoftheGroupandtheCompanyfortheyearto31March2016aresetoutonpages17to48. TheGroup’sconsolidatedlossfortheyearwas£1,693,000(2015:loss£768,000). Thedirectorsdonotrecommendpaymentofadividendfortheyear(2015:£nil).

Corporate Governance StatementInformationregardingthecorporategovernancestatementcanbefoundintheCorporateGovernancestatementonpages10to12.

Directors and their InterestsThenamesofthedirectorswhoheldofficeduringthefinancialyeararelistedonpage52. Biographicaldetailsofthedirectorswhoheldofficeattheendofthefinancialyearareshownonpage9. Nodirectorhadamaterialinterestinanycontract,otherthantheircontractforservices,duringorattheendofthefinancialyearthatwassignificanttotheGroup’sbusiness.

Directors’ Interests in SharesThedirectorsat31March2016andtheirinterestsinthesharecapitalintheCompanyareasfollows:

At 31 March 2016 At31March2015

Directors Ordinary shares

Options over ordinary shares

Ordinaryshares

Optionsoverordinaryshares

JHDelmar-Morgan 50,000 - 50,000 -

TEBrown 7,805,934 - 7,290,233 -

JDFreeman (appointed 21 August 2015) - - - -

ATGBurton(appointed 24 September 2015) 659,460 178,379 - -

MABowles(resigned 2 March 2016) n/a n/a - -

GCBThomson(resigned 21 August 2015) n/a n/a 2,350,890 529,637

CSmith(resigned 6 May 2015) n/a n/a 247,204 357,049

ABrown(resigned 20 April 2015) n/a n/a 15,524 136,165

Nonotificationofanyotherchangeintheaboveinterestshasbeenreceivedintheperiodfrom31March2016tothedateofthisreport.

Share CapitalDetailsofthestructureoftheCompany’ssharecapitalandtherightsattachingtothesharesaresetoutinnote20tothefinancialstatements.

At31March2016theCompanyhad27,055,491allotted,calledupandfullypaidordinarysharesof2penceeach.

TheCompanyhasoneclassofordinaryshares.Allsharescarryequalvotingrights,equalrightstoincomeanddistributionofassetsonliquidationorotherwise,andnorighttofixedincome.

Therearenospecificrestrictionsonthesizeofaholdingoronthetransferofshares,whicharebothgovernedbythegeneralprovisionsoftheCompany’sArticlesofAssociation(theArticles)andprevailinglegislation.

PowertopurchasetheCompany’sownsharesisprovidedintheCompany’sArticlessubjecttostatutoryprovisions.ThedirectorshavenoexistingauthoritytopurchasetheCompany’sownshares.

Financial InstrumentsTheGroup’sfinancialinstrumentscompriseinvestmentsdesignatedatfairvaluethroughprofitorloss,cashandvariousitemssuchastradeandotherreceivables,andtradepayables,allofwhicharisedirectlyfromitsnormaloperations.ThemainpurposesofthesefinancialinstrumentsaretoprovidereturnsfrominvestmentandfinancefortheGroup’soperations.

FurtherinformationregardingtheGroup’sfinancialriskmanagementobjectivesandpolicies,includingthoseinrelationtocreditrisk,liquidityriskandmarketrisk,isprovidedinnote25tothefinancialstatements.


DIRECTORS’ REPORT | Governance | 07

Articles of AssociationTheCompany’sArticlesmaybeamendedbyaspecialresolutionoftheshareholders.

Appointment and Replacement of DirectorsTheCompanymaybyordinaryresolutionappointapersonwhoiswillingtoacttobeadirector,eithertofillavacancyorasanadditiontotheexistingdirectorsandmayalsodeterminetherotationinwhichanyadditionaldirectorsaretoretire.AnypersonsoappointedbythedirectorsshallholdofficeonlyuntiltheconclusionofbusinessatthenextAnnualGeneralMeetingandshallbeeligibleforreappointmentbyordinaryresolutionatthatmeeting.TheCompanymayalsobyordinaryresolutionremoveadirectorfromoffice.

AteachAnnualGeneralMeetingoftheCompany,directorseligibletoretireshallretirefromofficebyrotation.NodirectorshallcontinuetoholdofficeasadirectorafterthethirdAnnualGeneralMeetingfollowinghiselectionorre-election,withoutsubmittingthemselvesforre-electionatthesaidthirdAnnualGeneralMeeting.

Significant ShareholdingsAsat31March2016,thefollowingbeneficialownerseachheld3%ormoreoftheCompany’sissuedsharecapital:

Name Number Percentage

VidacosNomineesLimited1 4,201,840 15.53

HargreaveHaleNomineesLimited2 3,978,176 14.70

LynchwoodNomineesLimited2 3,493,855 12.91

GCBThomson 2,350,890 8.69

DCThomsonLimited 2,258,490 8.35

ChaseNomineesLimited3 1,105,440 4.09

WavePowerTechnologiesLimited 972,385 3.591BeneficialownerbeingANorris2BeneficialownerbeingTEBrown.TEBrownownsafurther68,202sharespersonallyandafurther265,701throughFreeAssociationBooksLtd,acompanyofwhichheisadirector

3BeneficialownerbeingWRehman

Directors’ Indemnity and liability Insurance

Duringtheyear,theCompanyhasmaintainedliabilityinsuranceinrespectofitsDirectors.SubjecttotheprovisionsoftheCompaniesAct2006,theArticlesprovidethattotheextentthattheproceedsofanyliabilityinsuranceareinsufficienttomeetanyliabilityinfull,everyDirectorisentitledtobeindemnifiedoutofthefundsoftheCompanyagainstanyliabilitiesincurredintheexecutionordischargeofhisorherpowersorduties.AcopyoftheindemnityisavailableforinspectionasrequiredbytheCompaniesAct2006.

Disclosure in Strategic Report

AspermittedbyParagraph1AofSchedule7totheLargeandMedium-sizedCompaniesandGroup’s(AccountsandReports)Regulations2008certainmatterswhicharerequiredtobedisclosedinthedirectors’reporthavebeenomittedastheyareincludedinthestrategicreportonpages2to5.Thesemattersrelatetobusinessreviewandoutlookandstrategy.


08 | DIRECTORS’ REPORT | Governance

Directors’ Responsibilities

ThedirectorsareresponsibleforpreparingtheAnnualReportandthefinancialstatementsinaccordancewithapplicablelawandregulations.

Companylawrequiresthedirectorstopreparefinancialstatementsforeachfinancialyear.UnderthatlawthedirectorshaveelectedtopreparethefinancialstatementsinaccordancewithInternationalFinancialReportingStandards(IFRS)asadoptedbytheEuropeanUnionandapplicablelaw.Undercompanylawthedirectorsmustnotapprovethefinancialstatementsunlesstheyaresatisfiedthattheygiveatrueandfairviewofthestateofaffairsandprofitorlossofthecompanyandgroupforthatperiod.Inpreparingthosefinancialstatements,thedirectorsarerequiredto:

• selectsuitableaccountingpoliciesandthenapplythemconsistently;• makejudgementsandestimatesthatarereasonableandprudent;• statewhetherapplicableIFRS,asadoptedbytheEuropeanUnion,havebeenfollowed,subjecttoanymaterialdeparturesdisclosedandexplainedinthefinancialstatements;

• provideadditionaldisclosureswhencompliancewithspecificrequirementsinIFRSisinsufficienttoenableuserstounderstandtheimpactofparticulartransactions,othereventsandconditionsontheentity’sfinancialpositionandfinancialperformance;and

• preparethefinancialstatementsonagoingconcernbasisunlessitisinappropriatetopresumethatthecompanywillcontinue inbusiness.

Thedirectorsareresponsibleforkeepingadequateaccountingrecordswhicharesufficienttoshowandexplainthecompany’stransactionsanddisclosewithreasonableaccuracyatanytimethefinancialpositionoftheGroupandoftheCompanyandenablethemtoensurethatthefinancialstatementscomplywiththeCompaniesAct2006.TheyarealsoresponsibleforsafeguardingtheassetsoftheCompanyandhencefortakingreasonablestepsforthepreventionanddetectionoffraudandotherirregularities.

FinancialstatementsarepublishedontheGroup’swebsiteinaccordancewithlegislationintheUnitedKingdomgoverningthepreparationanddisseminationoffinancialstatements,whichmayvaryfromlegislationinotherjurisdictions.ThemaintenanceandintegrityoftheGroup’swebsiteistheresponsibilityoftheDirectors.

Political and Charitable Donations

ItistheBoard’spolicynottomakeanypoliticaldonationsnorcharitabledonationswhichexceed£200.TheGroupdidnotmakeanysuchdonationsintheyear(2015:£nil).

Disclosure of Information to Auditors

Thedirectorsconfirmthat:

• sofaraseachdirectorisaware,thereisnorelevantauditinformationofwhichthecompany’sauditorisunaware;and• thedirectorshavetakenallthestepsthattheyoughttohavetakenasdirectorsinordertomakethemselvesawareofanyrelevantauditinformationandtoestablishthattheauditorsareawareofthatinformation.

Auditor

DuringtheyearGrantThorntonUKLLPresignedasauditorandMazarsLLPwereappointedtofillthecasualvacancy.Inaccordancewithsection489oftheCompaniesAct2006,aresolutionproposingthereappointmentofMazarsLLPwillbeputtotheshareholdersattheforthcomingAnnualGeneralMeeting.

OnbehalfoftheBoard

Jeremy H Delmar-Morgan Director 22June2016


BOARD OF DIRECTORS | Governance| 09

Jeremy H Delmar-Morgan MA MSIChairman JeremyisaDirectoroftheLondonSymphonyOrchestraEndowmentTrustandDaylightInnovationInvestmentSupportCorporationLtd.PreviouslyJeremywasapartnerinHoblyn,Dix&MauriceandaDirectorofVickersDaCostabeforejoiningTeather&Greenwoodin1979wherehewentontobecomeChairman.HesubsequentlyjoinedHichens,Harrison&CoasChairmanin2004,andwaspreviouslyChairmanofAllenbyCapitalandTheBrendoncareFoundation.JeremyjoinedtheBoardin2008.

Trevor E BrownChief Executive Officer (from 21 August 2015, previously a Non-executive Director)Trevoriscurrentlyadirectorof:PeterhouseCapitalLimited,FlyingBrandsplc,Non-executiveDirectorofFeedbackplc,andwaspreviouslyNon-executiveDirectorofAdvancedOncotherapyplc.TrevorjoinedtheBoardofBraveheartasaNon-executiveDirectorwitheffectfrom1April2014andbecametheChiefExecutiveOfficeron21August2015.

Andrew T G Burton BSc Executive Director (appointed on 24 September 2015)AndrewisManagingDirectorofVikingFundManagersLtd.Andrewhasbeeninvolvedinearlystagetechnologyinvestingsince1986.BeforesettingupVikingFundManagersLtdin2002herantheYorkshireAssociationofBusinessAngels(whichhenowchairs)andpreviouslyworkedforUniVenturesInternationalatLeedsMetropolitanUniversitywherehewasresponsibleforhighgrowthprogrammesandincubators.

Jonathan D Freeman BA Hons MBANon-executive Director (appointed 21 August 2015)Jonathanisanexperiencedcorporatefinancierandcompanydirector.Hehasextensiveexperienceofquotedcompanies,financialservicesandofFCAregulatedentities.JonathanisseniorindependentNon-executiveDirectorofFuturaMedicalplcandalsochairstheirAuditCommitteeandRemunerationCommittee.HeisalsotheChairmanofPhotonStarLEDGroupplc.JonathanjoinedtheBoardasanExecutiveDirectorwitheffectfrom21August2015andbecameaNon-executiveDirectoron3March2016.


10 | CORPORATE GOVERNANCE STATEMENT | Governance

Thedirectorsrecognisetheimportanceofsoundcorporategovernance.AsacompanywhosesharesaretradedonAIM,theCompanyisnotobligedtocomplywiththecorporategovernanceregimeassetoutintheUKCorporateGovernanceCode.WedonotcomplywiththeUKCorporateGovernanceCode,however,wehavereportedonourCorporateGovernancearrangementsbydrawinguponbestpracticeavailable,includingthoseaspectsoftheUKCorporateGovernanceCodeweconsidertoberelevanttothecompanyandbestpractice.ItintendstocomplywiththeQuotedCompaniesAlliance’sCorporateGovernanceGuidelinesforSmallerQuotedCompaniesinsofarasitisreasonablypracticableforapubliccompanyofitssizeandnature.ThedirectorshaveadoptedacodeofconductfordealingsbydirectorsandemployeeswhichcomplieswiththeAIMRulesandarecommittedtomaintainingthehigheststandardsofcorporategovernance.

The Board of Directors

Asat31March2016theBoardcomprisedthenon-executiveChairman,JeremyDelmar-Morgan,theCEOTrevorBrown,oneexecutivedirector,AndrewBurtonandonenon-executivedirector,JonathanFreeman.Duringtheyearunderreviewthefollowingdirectorsresignedfromtheboard:AileenBrown(resigned20April2015),CarolynSmith(resigned6May2015),GeoffreyThomson(resigned21August2015)andMartinBowles(resigned2March2016).Biographicaldetailsofthecurrentdirectorsaresetoutonpage9.Executiveandnon-executivedirectorsaresubjecttore-electionatintervalsofnomorethanthreeyears.ThelettersofappointmentofalldirectorsareavailableforinspectionattheCompany’sregisteredofficeduringnormalbusinesshours.

TheBoardmeetsatleasteighttimesperannum.IthasestablishedanAuditandComplianceCommitteeandaRemunerationCommittee,particularsofwhichappearhereafter.TheboardconcludedduringtheyearunderreviewthatappointmentstotheboardshouldbemadebytheboardasawholeandsohasdisbandedtheNominationsCommittee.

Non-executive Directors

TheBoardhasadoptedguidelinesfortheappointmentofnon-executivedirectorswhichhavebeeninplaceandwhichhavebeenobservedthroughouttheyear.TheseprovidefortheorderlyandconstructivesuccessionandrotationoftheChairmanandnon-executivedirectorsinsofarasbothChairmanandnon-executivedirectorswillbeappointedforaninitialtermofthreeyearsandmay,attheBoard’sdiscretionbelievingittobeinthebestinterestsoftheCompany,beappointedforsubsequentterms.TheChairmanmayserveasanon-executivedirectorbeforecommencingafirsttermasChairman.

InaccordancewiththeCompaniesAct2006,thedirectorscomplywith:adutytoactwithintheirpowers;adutytopromotethesuccessoftheCompany;adutytoexerciseindependentjudgement;adutytoexercisereasonablecare,skillanddiligence;adutytoavoidconflictsofinterest;adutynottoacceptbenefitsfromthirdpartiesandadutytodeclareanyinterestinaproposedtransactionorarrangement.

Delegation of Responsibilities by the Board of Directors

UltimateauthorityforallaspectsoftheGroup’sactivitiesrestswiththeBoard,therespectiveresponsibilitiesoftheChairmanandChiefExecutiveOfficerarisingasaconsequenceofdelegationbytheBoard.TheBoardhasadoptedtwostatements;thefirstsetsoutmatterswhicharereservedtotheBoardandthesecondestablishesthedivisionofresponsibilitiesbetweentheChairmanandtheChiefExecutiveOfficer.TheChairmanisresponsiblefortheeffectivenessoftheBoardandforensuringcommunicationwithshareholders,whilemanagementoftheGroup’sbusinesshasbeendelegatedbytheBoardtotheChiefExecutiveOfficer.

Audit and Compliance Committee

FortheperiodunderreviewtheAuditandComplianceCommitteecomprisedJonathanFreeman(Chairman),MartinBowles(untilhisresignationon2March2016)andAndrewBurton.ThiscommitteehasprimaryresponsibilityformonitoringthequalityofinternalcontrolsandensuringthatthefinancialperformanceoftheGroupisproperlymeasuredandreported.ItreceivesreportsfromtheexecutivemanagementandauditorsrelatingtotheinterimandannualaccountsandtheaccountingandinternalcontrolsystemsinusethroughouttheGroup.TheAuditandComplianceCommitteemeetsnotlessthantwiceineachfinancialyearandhasunrestrictedaccesstotheGroup’sauditors.


CORPORATE GOVERNANCE STATEMENT | Governance| 11

InadditiontheAuditandComplianceCommitteeareresponsibletotheBoardforensuringthatproceduresareinplace,andarebeingeffectivelyimplementedtoidentify,evaluateandmanagethesignificantrisksfacedbytheGroup.Ariskassessmentmatrixsetsoutthoserisks,andidentifiestheirownershipandthecontrolsthatareinplace.Thismatrixisupdatedaschangesariseinthenatureofrisksorthecontrolsthatareimplementedtomitigatethem.TheAuditandComplianceCommitteereviewstheriskmatrixandtheeffectivenessofscenariotestingonaregularbasis.Thefollowingprincipalrisks,andcontrolstomitigatethem,havebeenidentified:

Activity Risk Impact Control(s)

Management Recruitmentandretentionofkeystaff

Reductioninoperatingcapability

StimulatingandsafeworkingenvironmentBalancingsalarywithlongertermincentiveplans

Regulatory adherence Breachofrules Censureorwithdrawalofauthorisation Strongcomplianceregime

StrategicDamagetoreputationInadequatedisasterrecoveryprocedures

InabilitytosecurenewcapitalorclientsLossofkeyoperationalandfinancialdata

EffectivecommunicationswithshareholdersRobustcomplianceSecureoff-sitestorageofdata

Financial Liquidity,marketand creditriskInappropriatecontrolsandaccountingpolicies

InabilitytocontinueasgoingconcernReductioninassetvaluesIncorrectreportingofassets

RobustcapitalmanagementpoliciesandproceduresAppropriateauthorityandinvestmentlevelsassetbyTreasuryandInvestmentPoliciesAuditandRiskManagementCommittee

Furtherdetailsofthefinancialrisks,includingquantitativeconsiderationsoftheirpotentialimpacts,aresetoutinnote25tothefinancialstatements.

Thedirectorshaveestablishedprocedures,asrepresentedbythisstatement,forthepurposeofprovidingasystemofinternalcontrol.AninternalauditfunctionisnotconsiderednecessaryorpracticalduetothesizeoftheGroupandtheclosedaytodaycontrolexercisedbytheexecutivedirectors.However,theBoardwillcontinuetomonitortheneedforaninternalauditfunction.

Remuneration Committee

FortheperiodunderreviewtheRemunerationCommitteecomprisedTrevorBrown,whochairedtheCommittee,andMartinBowles.TheRemunerationCommitteereviewstheperformanceoftheexecutivedirectorsandemployeesandmakesrecommendationstotheBoardonmattersrelatingtotheirremunerationandtermsofemployment.TheRemunerationCommitteealsoconsidersandapprovesthegrantingofshareoptionspursuanttotheshareoptionplan.

Attendance at Board and Committee Meetings

Thefollowingtablesummarisesthenumberofboardandcommitteemeetingsheldduringtheyearandtheattendancerecordofindividualdirectors:

Board

Audit and Risk Management

Remuneration

(now disbanded) Nominations

Attended

Eligible to attend

Attended

Eligible to attend

Attended

Eligible to attend

Attended

Eligible to attend

JHDelmar-Morgan 9 11 1 1

TEBrown 11 11 1 1 1 1

JDFreeman 7 7 2 2

ATGBurton 4 4 2 2

MABowles 10 11 1 1 1 1

GCBThomson 4 4


12 | CORPORATE GOVERNANCE STATEMENT | Governance

Share DealingsTheCompanyhasadopted,witheffectfromthedateonwhichitsshareswereadmittedtoAIM,acodefordirectors’andemployees’dealingsinsecuritieswhichisappropriateforacompanywhosesecuritiesaretradedonAIM,andisinaccordancewithrule21oftheAIMrules.

Investment Authorities InvestmentauthoritiesarereviewedinMarchofeachyearandmorefrequentlyasdeterminedbytheBoard.TheseauthoritiesrelatetothemaximumamountthattheexecutivedirectorsmayinvestfromtheGroup’sownresourcesinanyoneportfolioinvestment.Investmentsoutwiththeagreedparametersmaybemadewiththeagreementofanon-executivedirectororbytheBoard.

Going ConcernThedirectorshavingreviewedtheGroup’sandCompany’sbudgetsandplans,takingaccountofreasonablypossiblechangesintradingperformance,haveareasonableexpectationthattheGroupandtheCompanyhaveadequateresourcestocontinueinoperationalexistencefortheforeseeablefutureandthatitisthereforeappropriatetocontinuetoadoptthegoingconcernbasisinpreparingthefinancialstatements.

Communication with ShareholdersTheBoardiscommittedtomaintaininggoodcommunicationandhavingconstructivedialoguewithitsshareholders.TheCompanyhascloseongoingrelationshipswithitsprivateshareholders.InstitutionalshareholdersandanalystshavetheopportunitytodiscussissuesandprovidefeedbackatmeetingswiththeCompany.Inaddition,allshareholdersareencouragedtoattendtheCompany’sAnnualGeneralMeeting.

InvestorsalsohaveaccesstocurrentinformationontheCompanythoughitswebsite,www.braveheartgroup.co.uk,andviaTrevorBrown,CEOwhoisavailabletoanswerinvestorrelationsenquiries.


DIRECTORS’ REMUNERATION REPORT | Governance| 13

Thedirectorsrecognisetheimportanceofsoundcorporategovernance.AsaCompanywhosesharesaretradedonAIM,theCompanyisnotobligedtocomplywiththecorporategovernanceregimeassetoutintheUKCorporateGovernanceCodeandtheDirectorsRemunerationReportispreparedonavoluntarybasis.Thereforeonlyrelevantdisclosureshavebeenincluded.

Remuneration CommitteeDuringtheyearunderreview,theRemunerationCommitteewaschairedbyTrevorBrownandMartinBowleswasalsoamemberoftheCommittee.TheCommitteemetonceduringtheyear.

Remuneration PolicyTheRemunerationCommitteerecognisesandhasacceptedtheFCA’sRemunerationCode.TheCommitteeisresponsibleforimplementingandmaintainingaremunerationpolicywhichensuresthatExecutiveDirectors,otherGroupcompanydirectors,seniormanagementandotheremployeesareremuneratedinsuchamannerastoensurethat(i)theyarefairlyrewardedinamannerwhichsecuresandretainstheskilledandexperiencedindividualstheGrouprequirestoensureitscorporateobjectives,includinganincreaseinshareholdervalue;(ii)conflictsofinterestareminimisedandthattheinterestsofstaffarealignedwiththelongterminterestsoftheGroup;and(iii)remunerationisconsistentwithandpromotessoundandeffectiveriskmanagementanddoesnotencouragerisktakingthatexceedstheleveloftoleratedrisksetbytheBoardandisinlinewiththebusinessstrategy,objectives,valuesandlong-terminterestsoftheGroup.TheCommitteeiscommittedtoensuringcompliancewiththeFCA’sRemunerationCode.

Determination of Directors’ and Senior Management’s SalariesTheRemunerationCommitteebelievesthattheinterestsoftheExecutiveDirectors,otherGroupcompanydirectors,seniormanagementandstaffandthoseoftheshareholdersandotherstakeholdersarebestalignedbyaremunerationpolicythatprovidesabasesalarytogetherwithawardsundertheGroup’sShareOptionScheme(the“Scheme”).TheRemunerationCommitteereviewsanddeterminesannuallydirectors’andseniormanagement’ssalariesinrelationtothetasksandresponsibilitiesinvolvedandthelevelofcomparablesalariesinthemarketplace.Inparticular,theCommitteeseekstoensurethatsalariesarecompetitive.Initsfinaldeterminationofsalaries,theCommittee’sconclusionsaresetwithinwhatisaffordable.DuringtheyearcontributionscontinuedinrespectofpensionarrangementsforoneDirectorofViking.

Executive Director Service AgreementsEachoftheexecutivedirectorshasaserviceagreementwiththeCompany.Theseagreementscanbeterminatedbyeitherpartygivingtheotherwrittennoticeatanytime.Paymentsonterminationarerestrictedtothevalueofthesalaryforthenoticeperiod.

Non-executive DirectorsThefeespayabletotheChairmanandthenon-executivedirectorsarefirstreviewedbytheCommittee,takingintoaccountmarketrates,followingwhichitsubmitsrecommendationstotheBoardforapproval.TheChairmanandeachnon-executivedirectorhaveagreedaletterofappointmentwhichsetsouttheirduties,responsibilitiesandfees.

Directors’ Remuneration Thetotalamountofdirectors’remuneration(includingcompensationforlossofoffice)issetoutbelow:

Total 2016

£

Total 2015

£

Executive directors:

TEBrown(appointed CEO 21 August 2015) 17,223 -

JDFreeman (appointed 21 August 2015) 26,600 -

ATGBurton(appointed 24 September 2015) 77,250 -

GCBThomson(resigned 21 August 2015) 234,721 154,666

CSmith(resigned 6 May 2015) 84,413 117,333

ABrown(resigned 20 April 2015) 69,682 117,333

Non-executive directors:

JHDelmar-Morgan 23,175 30,833

TEBrown(until change of appointment to CEO 21 August 2015) 6,281 17,937

JDFreeman(appointed 3 March 2016) 1,500 -

MABowles(resigned 2 March 2016) 14,995 9,012

555,840 447,114

TheCompanycontributed£3,203(2015:£nil)tothedefinedcontributionpensionschemeofonedirector,anddidnotpayanybonusestodirectorsduringthecurrentorpreviousyear.TheCompanypaidprivatemedicalinsurancepremiumsof£1,585,£176and£143(2015:£1,183,£560and£560)inrespectofGeoffreyThomson,CarolynSmithandAileenBrown.


14 | DIRECTORS’ REMUNERATION REPORT | Governance

Share Option SchemeTheCompanyoperatestheBraveheartInvestmentGroupplcExecutiveShareOptionScheme2006(theScheme),whichcomprisesPartA,ashareoptionschemeapprovedbyHMRC(theApprovedScheme)andPartB,anunapprovedshareoptionscheme(theUnapprovedScheme).

Historically,theSchemewasopentoalldirectorsandemployeesoftheGroup,althoughnon-executivedirectorscouldonlyparticipateinPartB.TheSchemeisnowopenonlytoallexecutivedirectorsandemployees.

OptionsaregrantedbytheBoardtakingintoaccounttheneedtomotivate,retainandrecruithighcalibreemployeesandwithregardtothecontributionthatsuchemployeesareexpectedtomakeinachievingtheCompany’sobjectives.

OptionsgrantedundertheSchemearecategorisedasEmploymentOptions,PerformanceOptionsorOtherOptions.EmploymentOptionsmaybegrantedundereitherPartAorPartB.AllPerformanceOptionsandOtherOptionsaregrantedunderPartB.

EmploymentOptionsvestandbecomeexercisableonthethirdanniversaryofdateofgrant,andgenerallylapseontheearlierofcessationofemployment(or6monthsthereafterifoptionshavevestedatcessationdate)orthe10thanniversaryofdateofgrant.

PerformanceOptionshavetodatehadvestingconditionslinkedtothegrowthintheCompany’smarketcapitalisationfromthedateofgrant(PerformanceConditions).IfaPerformanceConditionisnotmet,therelatedPerformanceOptionlapsesattheendoftherelevantmeasurementperiod.

Otherwise,PerformanceOptionsvestonattainmentofthePerformanceConditionandbecomeexercisableonthe1stanniversaryofthedateofthePerformanceConditionbeingmet,andlapseonthe10thanniversaryofdateofgrant.

Optionsweregrantedandlapsedduringtheyearasfollows:

Share Options Theinterestsofthedirectorsinshareoptionswereasfollows:

Date of Grant

At 1 April

2015

No of Options granted in year

No of Options

exercised in year

No of Options

lapsed in year

At 31 March

2016Exercise

PriceDate first

exercisable Expiry date

Employment Options granted under Part A

GThomson25May20123September

2012

74,852

10,346

- -

- -

- -

74,852

10,346

£0.120

£0.160

25May20153September

2015

24May20222September

202285,198 - - - 85,198

CSmith25May20123September

2012

54,823

7,849

- -

- -

(54,823)

(7,849)

- -

£0.120

£0.160

25May20163September

2015

24May20222September

202262,672 - - (62,672)

ABrown25May20123September

2012

25,951

7,849

- -

- -

(25,591)

(7,849)

-

-

£0.120

£0.160

25May20163September

2015

24May20222September

2022

33,800 - - (33,800) -

ABurton

18June20095July2010

25May20123September

201219August

2014

24,12827,74220,761

7,135

11,977

---

-

-

---

-

-

---

-

-

24,12827,74220,761

7,135

11,977

£0.295£0.255£0.120

£0.160

£0.105

18June20125July2013

25May20163September

20155November

2015

17June20194July2020

24May20222September

202218August

202491,743 - - - 91,743

Employment Options granted under Part B

GThomson18June20095July2010

42,75349,155

- - -42,75349,155

£0.295£0.255

18June20125July2014

17June20194July2020

91,908 - - - 91,908

CSmith18June20095July2010

31,66936,411

- -(31,669)(36,411)

--

£0.295£0.255

18June20125July2014

17June20194July2020

68,080 - - (68,080) -


DIRECTORS’ REMUNERATION REPORT | Governance| 15

Date of Grant

At 1 April

2015


No of Options

exercised in year

No of Options

lapsed in year

At 31 March

2016Exercise

PriceDate first


Performance Options granted under Part B

GThomson

5July201025May2012

19August2014

76,92362,500

108,108

--

-

--

-

--

-

76,92362,500

108,108

£0.255£0.120

£0.105

5October201125August2014

5November2016

4July202024May2022

19August2024

247,531 - - - 247,531

CSmith

5July201025May2012

19August2014

46,15437,500

64,865

--

-

--

-

(46,154)(37,500)

(64,865)

--

-

£0.255£0.120

£0.105


5November2016

4July202024May2022

19August2024

148,519 - - (148,519) -

ABrown25May2012

19August2014

37,500

64,865

-

-

-

-

(37,500)

(64,865)

-

-

£0.120

£0.105

25August20145November

2016

24May202219August

2024102,365 - - (102,365) -

ABurton

5July201025May2012

19August2014

26,92321,875

37,838

--

-

--

-

--

-

26,92321,875

37,838

£0.255£0.120

£0.105


5November2016

4July202024May2022

19August2024

86,636 - - - 86,636

Date of Grant

At 1 April

2015


No of Options

exercised in year

No of Options

lapsed in year

At 31 March

2016Exercise

PriceDate first


Performance Options granted under Part BGThomson 5July2010 105,000 - - - 105,000 £0.255 5July2010 4July2020CSmith 5July2010 77,778 - - (77,778) - £0.255 5July2010 4July2020

ThePerformanceConditionsattachedtothePerformanceOptionsareasfollows:

Date of Grant Performance Condition Percentage of the Grant to which the Performance

Condition applies to

5July2010 TheCompany’smarketcapitalisationexceedsthebenchmarkpriceby25%for5consecutivebusinessdaysatanytimebeforethe5October2011.

100.00%

25May2012 TheCompany’smarketcapitalisationexceedsthebenchmarkpriceby25%for5consecutivebusinessdaysatanytimebeforethe25August2013.

100.00%

19August2014 TheCompany’smarketcapitalisationexceedsthebenchmarkpriceby25%for5consecutivebusinessdaysatanytimebeforethe5November2015.

100.00%

Thebenchmarkpriceistheoptionexercisepricemultipliedbythenumberofordinarysharesof2penceeachintheissuedsharecapitaloftheCompanyonthedateofgrantoftherelatedoption.

Thechargemadeinrespectofthefairvalueofoptionsgrantedtodirectorswas:

2016 £

2015 £

Expensearisingfromequity-settledshare-basedpaymentstransactions 3,924 5,047


16 INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF | Governance BRAVEHEART INVESTMENT GROUP PLC

WehaveauditedthefinancialstatementsofBraveheartInvestmentGroupplcfortheyearended31March2016whichcomprisetheConsolidatedStatementofComprehensiveIncome,theConsolidatedandCompanyStatementsofFinancialPosition,theConsolidatedandCompanyStatementsofCashFlows,theConsolidatedandCompanyStatementsofChangesinEquityandtherelatednotes.ThefinancialreportingframeworkthathasbeenappliedintheirpreparationisapplicablelawandInternationalFinancialReportingStandards(IFRSs)asadoptedbytheEuropeanUnionand,asregardstheparentcompanyfinancialstatements,asappliedinaccordancewiththeprovisionsoftheCompaniesAct2006.

Respective responsibilities of directors and auditors

AsexplainedmorefullyintheDirectors’ResponsibilitiesStatementonpage8,thedirectorsareresponsibleforthepreparationofthefinancialstatementsandforbeingsatisfiedthattheygiveatrueandfairview.

OurresponsibilityistoauditandexpressanopiniononthefinancialstatementsinaccordancewithapplicablelawandInternationalStandardsonAuditing(UKandIreland).ThosestandardsrequireustocomplywiththeAuditingPracticesBoard’sEthicalStandardsforAuditors.ThisreportismadesolelytotheCompany’smembers,asabody,inaccordancewithChapter3ofPart16oftheCompaniesAct2006.OurauditworkhasbeenundertakensothatwemightstatetotheCompany’smembersthosematterswearerequiredtostatetotheminanauditors’reportandfornootherpurpose.Tothefullestextentpermittedbylaw,wedonotacceptorassumeresponsibilitytoanyoneotherthantheCompanyandtheCompany’smembersasabody,forourauditwork,forthisreport,orfortheopinionswehaveformed.

Scope of the audit of the financial statements

AdescriptionofthescopeofanauditoffinancialstatementsisprovidedontheFinancialReportingCouncil’swebsiteatwww.frc.org.uk/auditscopeukprivate.

Opinion on financial statements

Inouropinion:

• thefinancialstatementsgiveatrueandfairviewofthestateoftheGroup’sandoftheparentCompany’saffairsasat31March2016andoftheGroup’slossfortheyearthenended;

• theGroupfinancialstatementshavebeenproperlypreparedinaccordancewithIFRSsasadoptedbytheEuropeanUnion;• theparentCompanyfinancialstatementshavebeenproperlypreparedinaccordancewithIFRSsasadoptedbytheEuropeanUnionandasappliedinaccordancewiththeprovisionsoftheCompaniesAct2006;and

• thefinancialstatementshavebeenpreparedinaccordancewiththerequirementsoftheCompaniesAct2006.

Opinion on other matter prescribed by the Companies Act 2006

InouropiniontheinformationgivenintheStrategicReportandDirectors’Reportforthefinancialyearforwhichthefinancialstatementsarepreparedisconsistentwiththefinancialstatements.

Matters on which we are required to report by exception

WehavenothingtoreportinrespectofthefollowingmatterswheretheCompaniesAct2006requiresustoreporttoyouif,inouropinion:

• adequateaccountingrecordshavenotbeenkeptbytheparentcompany,orreturnsadequateforouraudithavenotbeenreceivedfrombranchesnotvisitedbyus;or

• theparentcompanyfinancialstatementsarenotinagreementwiththeaccountingrecordsandreturns;or• certaindisclosuresofdirectors’remunerationspecifiedbylawarenotmade;or• wehavenotreceivedalltheinformationandexplanationswerequireforouraudit.

Richard Metcalfe (SeniorStatutoryAuditor) ForandonbehalfofMazarsLLP CharteredAccountantsandStatutoryAuditor 90StVincentStreet GLASGOW G25UB 22June2016


Notes 2016 £

2015 £

Revenue 3 1,132,739 1,863,662

Changeinfairvalueofinvestments 11 (1,025,718) (1,080,442)

Movementoncontingentconsideration 18 (57,362) 135,726

Gainondisposalofinvestments 7 138,561 211,174

Financeincome 4 7,393 13,639

Total income 195,613 1,143,759

Employeebenefitsexpense 5 (1,001,427) (1,393,712)

Impairmentofintangibleassets 14 (371,944) -

Otheroperatingcosts (501,849) (507,268)

Total operating costs (1,875,220) (1,900,980)

Financecosts 6 (13,799) (10,592)

Total costs (1,889,019) (1,911,572)

Loss before tax 7 (1,693,406) (767,813)

Tax 8 - -

Total loss and total comprehensive income for the year (1,693,406) (767,813)

Loss attributable to:

Equityholdersoftheparent (1,685,853) (739,081)

Non-controllinginterest (7,553) (28,732)

(1,693,406) (767,813)

Earningspershare Pence Pence

-basicanddiluted 10 (6.23) (2.78)

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME fortheyearended31March2016 | 17

Theaccompanyingaccountingpoliciesandnotesformpartofthesefinancialstatements.


Notes 2016 £

2015 £

ASSETS

Non-current assets

Goodwill 14 380,000 751,944

Investmentsatfairvaluethroughprofitorloss 11 467,609 2,478,065

Investmentinlimitedliabilitypartnership 12 - 5,000

Otherreceivables 15 293,290 91,308

1,140,899 3,326,317

Current assets

Tradeandotherreceivables 15 211,760 247,739

Cashandcashequivalents 16 1,262,786 502,630

1,474,546 750,369

Total assets 2,615,445 4,076,686

LIABILITIES

Current liabilities

Tradeandotherpayables 17 (544,350) (422,019)

Contingentconsideration/liability 18 (216,711) (204,995)

Deferredincome 19 (47,090) (18,620)

(808,151) (645,634)

Non-current liabilities

Borrowings 23 (43,392) (43,392)

Otherpayables 17 (58,898) -

(102,290) (43,392)

Total liabilities (910,441) (689,026)

Net assets 1,705,004 3,387,660

EQUITY

Calledupsharecapital 20 541,109 541,109

Sharepremiumreserve 1,564,095 1,564,095

Mergerreserve 523,367 523,367

Retainedearnings (887,552) 787,551

Equity attributable to owners of the ParentNon-controllinginterest

1,741,019(36,015)

3,416,122(28,462)

Total equity 1,705,004 3,387,660

Registerednumber:SC247376ApprovedforissuebytheBoardofDirectors22June2016andsignedonitsbehalfby:

Jeremy H Delmar-MorganChairman


18 | CONSOLIDATED STATEMENT OF FINANCIAL POSITIONasat31March2016


Notes 2016 £

2015 £

ASSETS

Non-current assets

Investmentsatfairvaluethroughprofitorloss 11 230,543 1,779,545

Investmentinsubsidiaries 12 938,127 1,766,630

Investmentinlimitedliabilitypartnership 12 - 5,000

Otherreceivables 15 58,885 -

1,227,555 3,551,175

Current assets

Tradeandotherreceivables 15 210,785 466,168

Cashandcashequivalents 16 948,562 446,342

1,159,347 912,510

Total assets 2,386,902 4,463,685

LIABILITIES

Current liabilities

Tradeandotherpayables 17 (2,295,601) (1,804,265)

Contingentconsideration 18 - (204,995)

(2,295,601) (2,009,260)

Non-current liabilities

Otherpayables 17 (58,898) -

Total liabilities (2,354,499) (2,009,260)

Net assets 32,403 2,454,425

EQUITY

Calledupsharecapital 20 541,109 541,109

Sharepremiumreserve 1,564,095 1,564,095

Mergerreserve 523,367 523,367

Retaineddeficit (2,596,168) (174,146)

Equity attributable to owners of the Parent 32,403 2,454,425

Registerednumber:SC247376ApprovedforissuebytheBoardofDirectorson22June2016andsignedonitsbehalfby:

Jeremy H Delmar-MorganChairman


COMPANY STATEMENT OF FINANCIAL POSITION asat31March2016 | 19


20 | CONSOLIDATED STATEMENT OF CASH FLOWS fortheyearended31March2016

2016 £

2015 £

Operating activities

Lossbeforetax (1,693,406) (767,813)

Adjustments to reconcile loss before tax to net cash flows from operating activities

Share-basedpaymentsexpense 10,750 12,479

Decreaseinthefairvaluemovementsofinvestments 1,025,718 1,080,442

Gainondisposalofequityinvestments (54,644) (211,174)

GainondisposalofLLP (83,917) -

Impairmentlosses 371,944 -

Interestincome (7,393) (13,639)

(Increase)/decreaseintradeandotherreceivables (106,433) 172,345

Increase/(decrease)intradeandotherpayables 800 (451,469)

Cash flow from operating activities (536,581) (178,829)

Investing activities

Proceedsfromsaleofequityinvestments 1,074,218 414,652

ProceedsfromsaleofLLP 88,917 -

Purchaseofinvestments (16,500) (60,000)

Repaymentofloannotes 147,218 23,147

Acquisitionofsubsidiary,netofcashacquired (4,509) -

Interestreceived 7,393 13,639

Net cash flow from investing activities 1,296,737 391,438

Financing activities

Proceedsfromissueofnewshares - 130,587

Net cash flow from financing activities - 130,587

Netincreaseincashandcashequivalents 760,156 343,196

Cashandcashequivalentsatthebeginningoftheyear 502,630 159,434

Cash and cash equivalents at the end of the year 1,262,786 502,630



COMPANY STATEMENT OF CASH FLOWSfortheyearended31March2016 | 21

2016 £

2015 £

Operating activities

Lossbeforetax (2,432,772) (810,912)

Adjustments to reconcile loss before tax to net cash flows from operating activities

Decreaseinthefairvaluemovementsofinvestments 948,436 488,661

Loss/(gain)ondisposalofequityinvestments 73,819 (211,174)

GainondisposalofLLP (83,917) -

Decreaseinthefairvalueofsubsidiaries 839,253 -

Interestincome (7,382) (13,571)

Decreaseintradeandotherreceivables 196,498 209,469

Increaseintradeandotherpayables 345,239 166,503

Net cash flow from operating activities (120,826) (171,024)

Investing activities

Proceedsfromsaleofequityinvestment 396,029 414,652

Purchaseofinvestments (16,500) (60,000)

ProceedsfromsaleofLLP 88,917 -

Repaymentofloannotes 147,218 23,147

Interestreceived 7,382 13,571

Net cash flow from investing activities 623,046 391,370

Financing activities

Proceedsfromissueofnewshares - 130,587

Net cash flow from financing activities - 130,587

Netincreaseincashandcashequivalents 502,220 350,933

Cashandcashequivalentsatthebeginningoftheyear 446,342 95,409

Cash and cash equivalents at the end of the year 948,562 446,342



22 | CONSOLIDATED AND COMPANY STATEMENT OF CHANGES IN EQUITYfortheyearended31March2016

GROUPShare

Capital £

Share Premium

£

Merger Reserve

£

Retained Earnings

£Total

£

Non-controlling

interest £

Total Equity £

At 1 April 2014 517,409 1,457,208 523,367 1,514,153 4,012,137 270 4,012,407

Issueofnewsharecapital 23,700 106,887 - - 130,587 - 130,587

Share-basedpayments - - - 12,479 12,479 - 12,479

Transactionswithowners 23,700 106,887 - 12,479 143,066 - 143,066

Lossandtotalcomprehensiveincomefortheyear - - - (739,081) (739,081) (28,732) (767,813)

At 1 April 2015 541,109 1,564,095 523,367 787,551 3,416,122 (28,462) 3,387,660

Share-basedpayments - - - 10,750 10,750 - 10,750

Transactionswithowners - - - 10,750 10,750 - 10,750

Lossandtotalcomprehensiveincomefortheyear - - - (1,685,853) (1,685,853) (7,553) (1,693,406)

At 31 March 2016 541,109 1,564,095 523,367 (887,552) 1,741,019 (36,015) 1,705,004

COMPANY Share Capital

£

Share Premium

£

Merger Reserve

£

Retained Earnings

£Total

£

At 1 April 2014 517,409 1,457,208 523,367 624,287 3,122,271

Issueofnewsharecapital 23,700 106,887 - - 130,587

Share-basedpayments - - - 12,479 12,479

Transactionswithowners 23,700 106,887 - 12,479 143,066

Lossandtotalcomprehensiveincomefortheyear - - - (810,912) (810,912)

At 1 April 2015 541,109 1,564,095 523,367 (174,146) 2,454,425

Share-basedpayments - - - 10,750 10,750

Transactionswithowners - - - 10,750 10,750

Lossandtotalcomprehensiveincomefortheyear - - - (2,432,772) (2,432,772)

At 31 March 2016 541,109 1,564,095 523,367 (2,596,168) 32,403



NOTES TO THE FINANCIAL STATEMENTS fortheyearended31March2016 | 23

1 Corporate informationTheGroupandCompanyfinancialstatementsofBraveheartInvestmentGroupplc(theCompany)fortheyearended31March2016wereauthorisedforissuebytheBoardofDirectorson22June2016andthestatementsoffinancialpositionweresignedontheBoard’sbehalfbyJeremyDelmar-Morgan.

BraveheartInvestmentGroupplcisacompanyincorporatedintheUnitedKingdomundertheCompaniesAct2006.Theaddressoftheregisteredofficeisdetailedatthebackofthisreport.ThenatureoftheGroup’soperationsanditsprincipalactivitiesaresetoutintheStrategicReportandDirectors’Report.TheCompanyisregisteredinScotland.TheCompany’sordinarysharesaretradedontheAIMmarketoftheLondonStockExchange.

2 Accounting policies(a) Basis of preparationTheGroupandCompanyfinancialstatementshavebeenpreparedinaccordancewithInternationalFinancialReportingStandards(IFRS)asadoptedbytheEuropeanUnionastheyapplytofinancialstatementsfortheyearended31March2016andasappliedinaccordancewiththeprovisionsoftheCompaniesAct2006.TheprincipalaccountingpoliciesadoptedbytheGroupandbytheCompanyaresetoutinthefollowingnotes.

TheCompanyhastakenadvantageoftheprovisionofsection408oftheCompaniesAct2006nottopublishitsownStatementofComprehensiveIncome.TheamountoflossforthefinancialyeardealtwithinthefinancialstatementsoftheCompanyissetoutinnote9tothefinancialstatements.

Thefinancialstatementshavebeenpreparedonahistoricalcostbasis,exceptwhereotherwiseindicated.Thefinancialstatementsarepresentedinsterlingandallvaluesareroundedtothenearestpound(£)exceptwhereotherwiseindicated.

TheGroup’sbusinessactivities(togetherwiththefactorslikelytoaffectitsfuturedevelopment,performanceandposition)anditsfinancialpositionissetoutintheChiefExecutiveOfficer’sReport.TheGroup’sriskmanagementobjectivesandpoliciesaredescribedintheCorporateGovernanceStatement.FurtherinformationregardingtheGroup’sfinancialriskmanagementobjectivesandpolicies,includingthoseinrelationtocreditrisk,liquidityriskandmarketrisk,isprovidedinnote25tothefinancialstatements.TheGroup’scapitalmanagementobjectivesarestatedonpage29,note(o).

ThedirectorshavereviewedtheGroup’sandtheCompany’sbudgetsandplans,takingaccountofreasonablypossiblechangesintradingperformanceandthelevelofcurrentlyavailablebutundrawnbankfacilities,haveareasonableexpectationthattheGroupandtheCompanyhaveadequateresourcestocontinueinoperationalexistencefortheforeseeablefutureandthatitisthereforeappropriatetocontinuetoadoptthegoingconcernbasisinpreparingthefinancialstatements.

(b) Changes in accounting policy and disclosuresTherearenonewadditionalstandards,interpretationsandamendmentsthathadamaterialimpactontheGroup’sfinancialstatementsduringtheyear.

(c) New standards and interpretations not yet effectiveTheInternationalAccountingStandardsBoardhasissuedthefollowingstandardswithaneffectivedateafterthedateofthesefinancialstatements:

IFRS15wasissuedon28May2014andprovidesasingleglobalstandardonrevenuerecognitionwhichalignstheIFRSandUSGAAPguidance.Itreplacesexistingrevenuerecognitionguidance,includingIAS18revenue,IAS11ConstructionContractsandIFRIC13CustomerLoyaltyProgrammes.TheGrouphasassessedthepotentialimpactonitsconsolidatedfinancialstatementsresultingfromtheapplicationofIFRS15anddoesnotforeseeanymaterialeffectwhentheStandardisapplied.Whileearlyadoptionispermitted,IFRS15hasaneffectivedateof1January2018withtheyearending31March2019beingthefirstannualfinancialstatementstowhichthestandardapplies.

IFRS9willeventuallyreplaceIAS39initsentirety.Theprocesshasbeendividedintothreemaincomponents,beingclassificationandmeasurement;impairment;andhedgeaccounting.TheGroupprovisionallyassessesthepotentialeffecttobeimmaterialgiventhemajorityofitsfinancialassetsarecurrentlyheldatfairvaluethroughprofitorloss.Thecurrentproposedeffectivedateis1January2018.

Noneoftheothernewstandards,interpretationsandamendmentsnotyeteffectiveisexpectedtohaveamaterialeffectontheGroup’sfuturefinancialstatements.

(d) Basis of consolidation TheGroup’sfinancialstatementsconsolidatetheresultsofBraveheartInvestmentGroupplcanditssubsidiaries(togetherreferredtoasthe‘Group’)drawnupto31Marcheachyear.Thefinancialstatementsofthesubsidiariesusedinthepreparationoftheconsolidatedfinancialstatementsarepreparedforthesamereportingyearastheparentcompanyusingconsistentaccountingpolicies.Allintra-groupbalances,transactions,incomeandexpensesareeliminatedinfullonconsolidation.


24 | NOTES TO THE FINANCIAL STATEMENTS fortheyearended31March2016

– SubsidiariesThesubsidiarieshavebeenconsolidatedfromthedateoftheiracquisition,beingthedateonwhichtheGroupobtainedcontrol,andwillcontinuetobeconsolidateduntilthedatethatsuchcontrolceases.AsperIFRS10anentityisclassedasunderthecontroloftheGroupwhenallthreeofthefollowingelementsarepresent:powerovertheentity,exposuretovariablereturnsfromtheentityandtheabilityoftheGrouptouseitspowertoaffectthosevariablereturns.Controlisreassessedwheneverfactsandcircumstancesindicatethattheremaybeachangeinanyoftheseelementsofcontrol.

Achangeintheownershipinterestofasubsidiary,withoutalossofcontrol,isaccountedforasanequitytransaction.

IftheGrouplosescontroloverasubsidiary,itderecognisestherelatedassets,liabilities,non-controllinginterestandanyothercomponentsofequitywhileanyresultantgainorlossisrecognisedinprofitorloss.Anyinvestmentretainedisrecognisedatfairvalue.

TheGroupismadeupofseveraldifferenttypesofsubsidiaries.TheGroupassessesthefunctionperformedbyeachtypeofsubsidiarytodetermineitstreatmentundertheIFRS10exceptionfromconsolidation.ThetypesofsubsidiariesandtheirtreatmentunderIFRS10areasfollows:

• Investmentmanagers–Consolidated

Theseentitiesprovideinvestmentrelatedservicesthroughtheprovisionofinvestmentmanagementoradvice.Theydonotholdanydirectinvestmentsinportfolioassets.Theseentitiesarenotinvestmententities.

• GeneralPartners(GPs)–Consolidated

GeneralPartnersprovideinvestmentmanagementservicesanddonotholdanydirectinvestmentsinportfolioassets.Theseentitiesarenotinvestmententities.

• Subsidiariesheldatfairvalue

InaccordancewithIFRS,asBraveheartInvestmentGroupisaninvestmententityStrathclydeInnovationFundLP(SIF)isnotconsolidatedandheldatfairvaluegiventhesubsidiarydoesnotprovideservicesthatrelatetoBraveheartInvestmentGroup’sinvestmentactivities.

WheretheGrouphasnostakeinaLP,theDirectorsconsiderthattheGroupdoesnothavethepowertogoverntheseoperationssoastoobtainbenefitsfromtheiractivitiesandaccordinglydonotmeetthedefinitionofasubsidiaryunderIFRS10ConsolidatedFinancialStatements.

Non-controllinginterestsrepresenttheportionofprofitorlossandnetassetsthatisnotheldbytheGroupandarepresentedseparatelyintheconsolidatedstatementofcomprehensiveincomeandwithinequityintheconsolidatedstatementoffinancialpositionseparatelyfromparentshareholders’equity.

(e) Use of estimates and assumptionsThepreparationofthefinancialstatementsinconformitywithIFRSrequiresmanagementtomakejudgements,estimatesandassumptionsthataffecttheapplicationofpoliciesandreportedamountsofassetsandliabilities,incomeandexpenses.Theestimatesandassociatedassumptionsarebasedonhistoricalexperienceandotherfactorsthatarebelievedtobereasonableunderthecircumstances,theresultsofwhichformthebasisofmakingthejudgementsaboutcarryingvaluesofassetsandliabilitiesthatarenotreadilyapparentfromothersources.Actualresultsmaydifferfromtheseestimates.Wheremanagement’sjudgementhasbeenapplied,thisisnotedintherelevantaccountingpolicy.

Thekeyassumptionsconcerningthefutureandotherkeysourcesofestimatinguncertaintyatthereportingdatethathaveasignificantriskofcausingamaterialadjustmenttothecarryingamountsofassetsandliabilitieswithinthenextfinancialyeararediscussedbelow:

– Fair value of unquoted investmentsUnquotedinvestmentshavebeenvaluedbythedirectorsincompliancewiththeprinciplesoftheInternationalPrivateEquityandVentureCapitalGuidelinesasendorsedbytheEuropeanVentureCapitalAssociation(EVCA).Theuseofsuchvaluationtechniquesrequiresthedirectorstomakecertainjudgementsincludingmakingassessmentsoffuturerevenueandearningsofportfoliocompanies,appropriatemultiplestoapply,andmarketabilityandotherriskdiscountsandprovisions,andhencetheyaresubjecttouncertainty.Thefairvalueofunquotedinvestmentsat31March2016was£302,055(2015:£2,478,065).FurtherinformationregardingtheGroups’fairvalueofunquotedinvestmentsisprovidedinnote11.

– Share-based paymentsTheGroupmeasuresthecostofequity-settledtransactionsbyreferencetothefairvalueoftheequityinstrumentsatthedateatwhichtheyweregranted.Judgementisrequiredindeterminingthemostappropriatevaluationmodelforagrantofequityinstrumentsdependingonthetermsandconditionsofthegrant.Managementarealsorequiredtousecertainassumptionsindeterminingthemostappropriateinputstothevaluationmodelincludingexpectedlifeoftheoption,volatility,riskfreerateanddividendyield.Theassumptionsandmodelsusedarefullydisclosedinnote21.

– Contingent considerationUnderIFRS3:Businesscombinationscontingentconsiderationisincludedinthecostofabusinesscombinationtotheextentthatitisdeemedprobableandcanbemeasuredreliably.Thisrequiresmanagementtoassesstheprobabilityandtoestimatethefinancialimpactofeventsonwhichconsiderationiscontingent.

– Intangible assetsIntangibleassetsthatareacquiredasaresultofabusinesscombinationareseparatelyrecognisedonacquisitionattheirfairvalue,andamortisedovertheirexpectedusefullife.Thisrequiresmanagementtomakeanassessmentofanasset’sseparability,revenuestreamandlife,andapplysuitablevaluationmethodologiesthereto.



– Impairment of goodwill Goodwillissubjecttoanimpairmenttestonanannualbasisorearlierwhereanyeventorchangeincircumstanceisidentifiedthatindicatesthatthecarryingvaluemaynotberecoverable.Testingforimpairmentrequiresacomparisonofthecarryingvalueamountofgoodwillagainsttherecoverableamount,whichisthevalue-in-useofthecash-generatingunittowhichthegoodwillisallocated.Value-in–userequiresestimationoffuturecashflowsexpectedfromthecash-generatingunitaswellasanappropriategrowthfactoranddiscountratetocalculatethepresentvalueofthecashflows.

– Assessment of investment entitiesAnassessmentisrequiredtodeterminethedegreeofcontrolorinfluencetheGroupexercisesandtheformofanycontroltoensurethatthefinancialtreatmentisaccurate.

(f) Revenue recognition and segmental reportingTheGroupearnsfeeincomefromtheservicesitprovidestoitsclients.Revenueisrecognisedatthefairvalueoftheconsiderationreceivedorreceivable,excludingrebates.Feesearnedfortheprovisionofanongoingservicearerecognisedasthatserviceisprovided.Dealfeesandfacilitationfeesareearnedonindividualtransactionsandrelatedrevenueisrecognisedoncompletionoftheunderlyingtransaction.TheGroupreceivescompensationforitsroleasfundmanager;thesefundmanagementfeesincludefixedfeesandperformancefeesandarerecognisedastherelatedservicesareprovided.

Interestincomeisrecognisedusingtheeffectiveinterestmethod.Interestincomeisinterestearnedonbankdepositaccountsandloannotesandisincludedwithinthestatementofcomprehensiveincome.

Revenueisdeferredwhenitdoesnotmeettherevenuerecognitionpolicyandispresentedasdeferredincomeinthestatementoffinancialposition.

Thebusinessisregardedasonesegmentduetothenatureofservicesprovidedandthemethodsusedtoprovidetheseservices.TheChiefExecutive,whoisconsideredtobethechiefoperatingdecisionmaker,managestheGroupbasedonthecontextofinformationpresentedtohim.AlloperationsareconductedintheUnitedKingdom.

(g) Taxation Thetaxexpenserepresentsthesumofthetaxcurrentlypayable,anddeferredtax.Currenttaxisbasedontaxableprofitfortheyear.Taxableprofitdiffersfromnetprofitasreportedinthestatementofcomprehensiveincomebecauseitexcludesitemsofincomeorexpensesthataredeductibleinotheryearsanditfurtherexcludesitemsthatarenevertaxableordeductible.TheGroup’sliabilityforcurrenttaxiscalculatedusingtaxratesthathavebeenenactedorsubstantivelyenactedbythereportingdate.

Deferredtaxisthetaxexpectedtobepayableorrecoverableondifferencesbetweenthecarryingamountsofassetsandliabilitiesinthefinancialstatementsandthecorrespondingtaxbasesusedinthecomputationoftaxableprofits(‘temporarydifferences’)andisaccountedforusingtheliabilitymethod.

Adeferredtaxassetorliabilityshallberecognisedforalltaxabletemporarydifferences,excepttotheextentthatthedeferredtaxassetorliabilityarisesfrom(a)theinitialrecognitionofgoodwill,(b)theinitialrecognitionofanassetorliabilityinatransactionwhich(i)isnotabusinesscombinationand(ii)atthetimeofthetransaction,affectsneitheraccountingprofit/(loss)nortaxableprofit/(loss)or(c)relatestoaninvestmentinsubsidiary,excepttotheextentthat(i)theparentisabletocontroltimingofreversaland(ii)itisprobablethattemporarydifferenceswillnotreverseintheforeseeablefuture.Deferredtaxassetsarerecognisedtotheextentthatitisprobablethattaxableprofitswillbeavailableagainstwhichdeductibletemporarydifferencescanbeutilised.Deferredtaxiscalculatedatthetaxratesthatareexpectedtoapplyintheperiodwhentheliabilityissettledortheassetisrealisedusingtaxratesandlawsthathavebeenenactedorsubstantivelyenactedbythereportingdate.

(h) Intangible assets– GoodwillGoodwillrepresentstheexcessofthecostofanacquisitionoverthefairvalueofthenetidentifiableassetsoftheacquiredsubsidiaryatthedateofacquisition.Goodwillonacquisitionofsubsidiariesisincludedinintangibleassets.Goodwillistestedannuallyforimpairmentandcarriedatcostlessaccumulatedimpairmentlosses.

– Other intangible assetsIntangibleassetsthatareacquiredasaresultofabusinesscombinationareseparatelyrecognisedonacquisitionattheirfairvalue.Brandsarevaluedusingthe‘relieffromroyalty’methodanddatabasesarevaluedusingthe‘costtorecreate’method.Amortisationischargedona10%straight-linebasistothestatementofcomprehensiveincomeovertheirexpectedusefuleconomiclives,andisincludedwithinotheroperatingcosts.

(i) Impairment of intangible assets Goodwillissubjecttoanimpairmenttestonanannualbasisorearlierwhereanyeventorchangeincircumstanceisidentifiedthatindicatesthatthecarryingvaluemaynotberecoverable.Testingforimpairmentrequiresacomparisonofthecarryingvalueamountofgoodwillagainsttherecoverableamount,whichisthevalue-in-useofthecash-generatingunittowhichthegoodwillisallocated.Value-in-userequiresestimationoffuturecashflowsexpectedfromthecash-generatingunitaswellasanappropriategrowthfactoranddiscountratetocalculatethepresentvalueofthecashflows.

Assetsthataresubjecttoamortisationaretestedforimpairmentwhenevereventsorchangesincircumstancesindicatethatthecarryingamountmaynotberecoverable.Therecoverableamountisthehigherofanasset’sfairvaluelesscoststosellanditsvalueinuse.

Impairmentlossesarerecognisedimmediatelyinthestatementofcomprehensiveincome.



(j) Financial assets

FinancialassetsarerecognisedwhentheGroupbecomespartytothecontractsthatgiverisetothemandareclassifiedatinitialrecognitionaseitherfinancialassetsatfairvaluethroughprofitorlossorloansandreceivables.FinancialassetsarederecognisedwhentherightstoreceivecashflowsfromtheassethaveexpiredortheGrouphastransferredsubstantiallyalltherisksandrewardsoftheasset.

– Investments at fair value through profit or loss Investments,whichincludeequityanddebtinvestments,aredesignatedoninitialrecognitionasfinancialassetsatfairvaluethroughprofitorloss.ThismeasurementbasisisconsistentwiththefactthattheGroup’sperformanceinrespectofitsportfolioinvestmentsisevaluatedonafairvaluebasisinaccordancewithanestablishedinvestmentstrategy.Wheninvestmentsarerecognisedinitially,theyaremeasuredatfairvalue.

Afterinitialrecognitionthefairvalueoflistedinvestmentsisdeterminedbyreferencetobidpricesatthecloseofbusinessonthereportingdate.

UnlistedequityinvestmentsaremeasuredatfairvaluebythedirectorsincompliancewiththeprinciplesoftheInternationalPrivateEquityandVentureCapitalGuidelines,updatedandeffectiveDecember2015,asrecommendedbytheEuropeanVentureCapitalAssociation.Thefairvalueofunlistedequityinvestmentsisdeterminedusingthemostappropriateofthevaluationmethodologiessetoutintheguidelines.Theseincludeusingrecentarm’slengthmarkettransactions;referencetothecurrentmarketvalueofanotherinstrument,whichissubstantiallythesame;earningsorprofitmultiples;indicativeoffers;discountedcashflowanalysisandpricingmodels.

WhereverpossibletheGroupusesvaluationtechniqueswhichmakemaximumuseofobservablemarketbasedinputsandaccordinglythebasisofthevaluationmethodologyusedmostcommonlybytheGroupis‘priceofmostrecentinvestment’.

WhereverpossibletheGroupusesvaluationtechniqueswhichmakemaximumuseofobservablemarketbasedinputsandaccordinglythebasisofthevaluationmethodologyusedmostcommonlybytheGroupis‘priceofmostrecentinvestment’.

Price of recent investmentTheGroupconsidersthatfairvalueestimates,whicharebasedentirelyonobservablemarketdata,willbeofgreaterreliabilitythanthosebasedonassumptionsand,accordingly,wheretherehasbeenanyrecentinvestmentbythirdparties,thepriceofthatinvestmentwillgenerallyprovideabasisofthevaluation.Thelengthofperiodforwhichitremainsappropriatetousethepriceofrecentinvestmentdependsonthespecificcircumstancesoftheinvestmentandthestabilityoftheexternalenvironment.GiventhenatureoftheGroup’sinvestmentsinearly-stagecompanies,wherethereareoftennocurrentandnoshort-termfutureearningsorpositivecashflows,itcanbedifficulttogaugetheprobabilityandfinancialimpactofthesuccessorfailureofdevelopmentorresearchactivitiesandtomakereliablecashflowforecasts.Consequently,themostappropriateapproachtodeterminefairvalueisamethodologythatisbasedonmarketdata,thatbeingthepriceofarecentinvestment.WheretheGroupconsidersthatthepriceofrecentinvestment,unadjusted,isnolongerrelevantandtherearelimitedornocomparablecompaniesortransactionsfromwhichtoinfervalue,theGroupcarriesoutanenhancedassessmentbasedonmilestoneanalysisand/orindustryandsectoranalysis.InapplyingthemilestoneanalysisapproachtoinvestmentsincompaniesinearlyordevelopmentstagestheGroupseekstodeterminewhetherthereisanindicationofchangeinfairvaluebasedonaconsiderationofperformanceagainstanymilestonesthatweresetatthetimeoftheoriginalinvestmentdecision,aswellastakingintoconsiderationthekeymarketdriversoftheinvesteecompanyandtheoveralleconomicenvironment.

WheretheGroupconsidersthatthereisanindicationthatthefairvaluehaschanged,anestimationismadeoftherequiredamountofanyadjustmentfromthelastpriceofrecentinvestment.Whereverpossible,thisadjustmentisbasedonobjectivedatafromtheinvesteecompanyandtheexperienceandjudgementoftheGroup.However,anyadjustmentis,byitsverynature,subjective.Whereadeteriorationinvaluehasoccurred,theGroupreducesthecarryingvalueoftheinvestmenttoreflecttheestimateddecrease.IfthereisevidenceofvaluecreationtheGroupmayconsiderincreasingthecarryingvalueoftheinvestment;however,intheabsenceofadditionalfinancingroundsorprofitgenerationitcanbedifficulttodeterminethevaluethatapurchasermayplaceonpositivedevelopmentsgiventhepotentialoutcomeandthecostsandriskstoachievingthatoutcomeandaccordinglycautionisapplied.FactorsthattheGroupconsidersinclude,interalia,technicalmeasuressuchasproductdevelopmentphasesandpatentapprovals,financialmeasuressuchascashburnrateandprofitabilityexpectations,andmarketandsalesmeasuressuchastestingphases,productlaunchesandmarketintroduction.



Other valuation techniquesIfthereisnoreadilyascertainablevaluefromfollowingthe‘priceofrecentinvestment’methodology,orthereisobjectiveevidencethatadeteriorationinfairvaluehasoccurredsincearelevanttransaction,theGroupconsidersalternativemethodologiessuchasdiscountedcashflows(”DCF”)orprice-earningsmultiples.DCFinvolvesestimatingthefairvalueofabusinessbycalculatingthepresentvalueofexpectedfuturecashflows,basedonthemostrecentforecastsinrespectoftheunderlyingbusiness.Giventhedifficultyofproducingreliablecashflowforecastsforseed,start-upandearly-stagecompaniesasdescribedearlier,thismethodologyisgenerallyusedasaconfirmatoryindicatorofthelevelofanyadjustmentthatmayneedtobemadetothelastpriceofrecentinvestment.

Whenusingtheearningsmultiplemethodology,earningsbeforeinterestandtax(“EBIT”)aregenerallyused,adjustedtoamaintainablelevel.Asuitableearningsmultipleisderivedfromanequivalentbusinessorgroupofbusinesses,forwhichtheaverageprice-earningsmultiplefortherelevantsectorindexcangenerallybeconsideredasuitableproxy.Thismultipleisappliedtoearningstoderiveanenterprisevaluewhichisthendiscountedbyupto60%fornon-marketabilityandotherrisksinherenttobusinessesinearlystagesofoperation.

No reliable estimateWhereafairvaluecannotbeestimatedreliably,theinvestmentisreportedatthecarryingvalueatthepreviousreportingdateunlessthereisobjectiveevidencethattheinvestmenthassincebeenimpaired.

Debtinvestmentsaregenerallyunquoteddebtinstrumentswhichareconvertibletoequityatafuturepointintime.Suchinstrumentsareconsideredtobehybridinstrumentscontainingafixedratedebthostcontractwithanembeddedequityderivative.TheGroupdesignatestheentirehybridcontractatfairvaluethroughprofitorlossoninitialrecognitionandaccordingly,theembeddedderivativeisnotseparatedfromthehostcontractandaccountedforseparately.Giventheirshorttermnature,thefairvalueofdebtinvestmentsisdeemedtobecostlessanyimpairmentprovision.

Thegainsandlossesarisingfromchangesinfairvaluearereflectedintheprofitandlossintheperiodinwhichtheyarise.

– Loans and receivablesLoansandreceivablesarenon-derivativefinancialassetswithfixedordeterminablepaymentsthatarenotquotedinanactivemarket,andcomprisetradeandotherreceivables,otherfinancialassetsandcashandcashequivalents,allofwhichareinitiallyrecognisedatfairvalueandaresubsequentlymeasuredatamortisedcostusingtheeffectiveinterestratemethod.

Theyareincludedincurrentassets,exceptformaturitygreaterthan12monthsaftertheendofthereportingperiod,wherebytheseareclassifiedasnon-currentassets.

– Trade receivablesTradereceivablesareinitiallyrecognisedatfairvaluewhichisnormallytheinvoicevalueinshorttermreceivables.Thereafterthereceivablesarecarriedatamortisedcost.Provisionismadewherethereisobjectiveevidencethatabalancewillnotberecoveredinfullinaccordancewiththeinstrumentsoriginalterms.Animpairmentcalculationisbasedonacomparisonbetweenthecarryingamountandthenetpresentvalueofexpectedfuturecashflows,discountedbytheoriginaleffectiverate.

– Cash and cash equivalentsCashandcashequivalentsintheconsolidatedcashflowcomprisecashinhandandshorttermbankdeposits.

(k) Financial liabilitiesFinancialliabilities,beingtradeandotherpayables,areinitiallyrecognisedatfairvalueandaresubsequentlycarriedatamortisedcost.

(l) The Company’s investment in its subsidiaries and limited liability partnershipIntheCompany’saccounts,investmentinitssubsidiaryundertakingsandlimitedliabilitypartnershiparestatedatcostlessanyprovisionforimpairment.

(m) Contingent considerationContingentconsiderationisrecognisedatfairvalue.UnderIFRS3Revised,contingentconsiderationisfairvaluedatinitialrecognitionevenifitisnotprobable,withsubsequentchangesrecognisedinthestatementofcomprehensiveincome.

(n) Leases Leasepaymentsunderoperatingleases,whereasignificantproportionoftherisksandbenefitsremainwiththelessor,arerecognisedonastraightlinebasisoverthetermofthelease.

(o) Share capitalFinancialinstrumentsissuedbytheGrouparetreatedasequityiftheholdershaveonlyaresidualinterestintheGroup’sassetsafterdeductingallliabilities.TheGroupconsidersitscapitaltocompriseitssharecapital,sharepremium,mergerreserveandretainedearnings.

• Sharepremium—amountsubscribedforsharecapitalinexcessofnominalvalue,netofdirectlyattributableissuecosts;

• Mergerreserve—amountsubscribedforsharecapitalinexcessofnominalvalueinrelationtothequalifyingacquisitionofsubsidiaryundertakings;

• Retainedearnings—cumulativenetgainsandlossesrecognisedintheconsolidatedstatementofcomprehensiveincomenetofassociatedshare-basedpaymentscredits;

• Non-controllinginterest—shareofprofits/(losses)attributabletotheLimitedPartnersofStrathclydeInnovationFundLP.



TheGroup’scapitalmanagementobjectivesare:

• toensuretheGroup’sabilitytocontinueasagoingconcern;• toensureasufficientcashbalanceismaintained;and• tomaximisereturnstoshareholders.

TheGroupcontinuouslymonitorsrollingcashflowforecaststoensuresufficientcashisavailableforanticipatedcashrequirements.TheGroupmayissuenewsharesorrealiseinvestmentstomeetsuchrequirements.TodatetheGrouphasnegligibleborrowingsanddoesnotpayadividend.InvestmentsmadebytheGrouparesubjecttodetailedselectioncriteriaandaremonitoredcarefullybytheBoard.Thegroupconsidersthatithasappropriatelymanageditscapitalrequirementsduringtheyear.

StrathtayVenturesLimited,aGroupinvestmentmanagementsubsidiaryandVikingFundManagersLtd,aGroupfundmanagementsubsidiary,aresubjecttoexternalcapitalrequirementsimposedbytheFinancialConductAuthorityandassuchmustensurethattheyhavesufficientcapitaltosatisfytheserequirements.TheGroupensuresitremainscompliantwiththeserequirementsasdescribedinthefinancialstatementsofeachcompany.

Therehasbeennochangeincapitalmanagementobjectives,policiesandproceduresfromthepreviousyear.

(p) Share-based paymentsThecostofequity-settledtransactionswithemployeesismeasuredbyreferencetothefairvalueoftheinstrumentsissuedatthedateatwhichtheyaregrantedandisrecognisedasanexpenseoverthevestingperiod,whichendsonthedateonwhichtherelevantemployeesbecomefullyentitledtotheaward.Fairvalueisdeterminedusinganappropriatepricingmodel.Invaluingequity-settledtransactions,noaccountistakenofanyvestingconditions,otherthanconditionslinkedtothepriceofthesharesoftheCompany(marketconditions).

Noexpenseisrecognisedforawardsthatdonotultimatelyvest,exceptforawardswherevestingisconditionaluponamarketcondition,whicharetreatedasvestingirrespectiveofwhetherornotthemarketconditionissatisfied,providedthatallotherperformanceconditionsaresatisfied.

Ateachreportingdatebeforevesting,thecumulativeexpenseiscalculated,representingtheextenttowhichthevestingperiodhasexpiredandmanagement’sbestestimateoftheachievementorotherwiseofnon-marketconditionsandofthenumberofequityinstrumentsthatwillultimatelyvestor,inthecaseofaninstrumentsubjecttoamarketcondition,betreatedasvestingasdescribedabove.Themovementincumulativeexpensesincethepreviousreportingdateisrecognisedinthestatementofcomprehensiveincome,withacorrespondingentryinequity.

Wherethetermsofanequity-settledawardaremodifiedoranewawardisdesignatedasreplacingacancelledorsettledaward,thecostbasedontheoriginalawardtermscontinuestoberecognisedovertheoriginalvestingperiod.Inaddition,anyexpenseisrecognisedovertheremainderofthenewvestingperiodfortheincrementalfairvalueofanymodification,basedonthedifferencebetweenthefairvalueoftheoriginalawardandthefairvalueofthemodifiedaward,bothasmeasuredonthedateofthemodification.Noreductionisrecognisedifthisdifferenceisnegative.

Whereanequity-settledawardiscancelled,itistreatedasifithadvestedonthedateofcancellation,andanycostnotyetrecognisedinthestatementofcomprehensiveincomefortheawardisexpensedimmediately.Anycompensationpaiduptothefairvalueoftheawardatthecancellationorsettlementdateisdeductedfromequity,withanyexcessoverfairvaluebeingtreatedasanexpenseinthestatementofcomprehensiveincome.

(q) PensionsschemeareheldseparatelyfromthoseoftheGroupinindependentlyadministeredfunds.TheGrouphasnofurtherobligationsoncethecontributionshavebeenpaid.Thecontributionsarerecognisedasemployeebenefitsexpenseswhentheyaredue.

(r) Business combinationsTheGroupusesthepurchasemethodofaccountingtoaccountforacquisitionofsubsidiaries.Thecostofanacquisitionismeasuredasthefairvalueoftheassetsgiven,equityinstrumentsissuedandliabilitiesincurredorassumedatthedateofexchange,plus,underIFRS3butnolongerunderIFRS3Revised,costsdirectlyattributabletotheacquisition.Identifiableassetsacquiredandliabilitiesandcontingentliabilitiesassumedinabusinesscombinationaremeasuredinitiallyattheirfairvalueattheacquisitiondate,irrespectiveoftheextentofanynon-controllinginterest.TheexcessofthecostofacquisitionoverthefairvalueoftheGroup’sshareoftheidentifiablenetassetsacquiredisrecordedasgoodwill.Ifthecostofacquisitionislessthanthefairvalueofthenetassetsofthesubsidiaryacquired,thedifferenceisrecogniseddirectlyinthestatementofcomprehensiveincome.



3 Revenue

RevenueisattributabletotheprincipalactivitiesoftheGroup.In2016and2015,allrevenuearosewithintheUnitedKingdom.

GROUP 2016 £

2015 £

Investmentmanagement 1,078,851 1,780,658

Consultancy 53,888 83,004

1,132,739 1,863,662

Thebusinessisregardedasonesegmentduetothenatureofservicesprovidedandthemethodsusedtoprovidetheseservices.ThebusinessismanagedandfinancialperformanceisreportedtotheBoardonthisbasis.

4 Finance income

GROUP 2016 £

2015 £

Bankinterestreceivable 53 83

Interestonloannotes 7,340 13,556

7,393 13,639

5 Employee benefits expense

GROUP 2016 £

2015 £

Salaries 882,814 1,225,812

Socialsecuritycosts 91,460 135,716

Pensioncosts 16,403 19,705

Share-basedpayments 10,750 12,479

1,001,427 1,393,712

Theaveragenumberofpersons(includingdirectors)employedbytheGroupduringtheyearwas12(2015:17),allofwhomwereinvolvedinmanagementandadministrativeactivities.Duringthecurrentyear,theCompanyrechargedStrathtay£72,454(2015:£174,508)inrespectofemployeebenefitsexpense.Theremunerationofthedirectors(includinglossofoffice),issetoutbelowinaggregate:

2016 £

2015 £

Short-termemployeebenefits 397,631 447,114

Terminationbenefits 158,209 -

555,840 447,114

Employer’sNIC 38,966 37,421

Post-employmentbenefit 3,203 -


601,933 489,582

FurtherinformationabouttheremunerationofindividualdirectorsisprovidedintheDirectors’RemunerationReportonpages13to15.



Theremunerationofthemanagementboarddetailedonpages13to15,whoareconsideredtobekeymanagementpersonneloftheGroup,issetoutbelowinaggregateinaccordancewithIAS24‘RelatedPartyDisclosures’:

2016 £

2015 £

Short-termemployeebenefits 458,383 615,770

Terminationbenefits 158,209 -

Post-employmentbenefit 3,203 -


623,899 622,157

6 Finance costs

GROUP 2016 £

2015 £

Bankcharges 13,799 10,592

7 Loss before tax

GROUP Loss for the year has been arrived at after charging:

2016 £

2015 £

Impairmentofintangibles 371,944 -Leasepaymentsrecognisedasanoperatinglease(officerent) 21,831 28,408Gainondisposalofinvestments 138,561 211,174Auditor’sremuneration:Auditservices–Feespayablefortheauditoftheconsolidationandtheparentcompanyaccounts 21,000 25,000–Feespayablefortheauditofsubsidiaries,pursuanttolegislation 14,000 16,000Nonauditservices–Assuranceservicefees 4,500 5,000–Taxcompliancefees 5,750 6,500



8 Tax on loss on ordinary activities NoliabilitytoUKcorporationtaxaroseonordinaryactivitiesfortheyearended31March2016orfortheyearended31March2015.

GROUP Reconciliation of total tax:

2016 £

2015 £

Lossbeforetax (1,693,406) (767,813)

Taxatthestatutoryrateof20%(2015:20%) (338,681) (153,563)

Disallowedexpenses (89,095) (23,247)

Unrealisedlossonthefairvaluemovementofinvestments 205,144 19,868

Lossescarriedforward 222,632 156,942

Total tax reported in the statement of comprehensive income - -

TheGrouphaspotentialunrecogniseddeferredtaxassetsinrespectof:

• excessmanagementexpensesof£2,716,113(2015:£2,533,078)arisingfromBraveheartInvestmentGroupplc;• excessmanagementexpensesof£800,772(2015:£923,987)arisingfromCaledoniaPortfolioRealisationsLtd;and• unutilisedtradinglossesof£1,901,931(2015:£1,777,101)inStrathtayVenturesLimited.

Nodeferredtaxassetshavebeenrecognisedinrespectoftheseamountsasitisuncertainthattherewillbesuitabletaxableprofitsfromwhichthefuturereversalofthedeferredtaxcouldbededucted.

9 Loss of the Parent Company

2016 £

2015 £

LossoftheParentCompanyonly (2,432,772) (810,912)

10 Loss per share

Basiclosspersharehasbeencalculatedbydividingthelossattributabletoequityholdersoftheparentbytheweightedaveragenumberofordinarysharesinissueduringtheyear.

Thecalculationsoflosspersharearebasedonthefollowinglossandnumbersofsharesinissue:

2016 £

2015 £

Lossfortheyear (1,685,853) (739,081)

Weightedaveragenumberofordinarysharesinissue: No. No.

Forbasiclossperordinaryshare 27,055,491 26,626,943

Potentiallydilutiveordinaryshares - -

Fordilutedlossperordinaryshare 27,055,491 26,626,943

Therewerenopotentiallydilutiveordinarysharesattheyearendastheaveragepriceoftheordinaryshareswaslessthantheaverageexercisepriceoftheshareoptions.



11 Investments at fair value through profit or loss

Level1 Level2 Level3

Equity investments

in quoted companies

£

Equity investments in unquoted

companies£

Debt investments in unquoted

companies£


companies£


companies£

Total£

GROUP

At 1 April 2014 - - - 3,601,500 123,632 3,725,132

AdditionsatCost - - - - 60,000 60,000

Repayments/Disposals - - - (203,478) (23,147) (226,625)

ChangeinFairValue - - - (1,080,442) - (1,080,442)

At 1 April 2015 - - - 2,317,580 160,485 2,478,065


Acquired 165,554 - - - - 165,554

Repayments/Disposals - - - (1,014,807) (151,985) (1,166,792)

ChangeinFairValue - - - (1,000,718) (25,000) (1,025,718)

At 31 March 2016 165,554 - - 302,055 - 467,609

Level1 Level2 Level3

Equity investments

in quoted companies

£


companies£


companies£


companies£


companies£

Total£

COMPANY

At 1 April 2014 - - - 2,311,199 123,632 2,434,831



ChangeinFairValue - - - (488,661) - (488,661)

At 1 April 2015 - - - 1,619,060 160,485 1,779,545



ChangeinFairValue - - - (923,436) (25,000) (948,436)

At 31 March 2016 - - - 230,543 - 230,543

Asat31March2016,thegrouptotalvalueofequityinvestmentsincompanieswas£467,609(2015:£2,317,580).Ofthis,£71,511(2015:£698,520)relatestosubsidiariesheldatfairvalue.Thegrouptotalchangeinfairvalueduringtheyearwasalossof£1,025,718(2015:loss£1,080,442)ofwhich£77,283(2015:£591,783)relatestosubsidiariesheldatfairvalue.Duringtheyear,VikingFundManagersLtdacquired100%oftheissuedsharecapitalofRidingsHoldingsLtdwhichhasquotedinvestmentsof£165,554.

Investments,whichincludeequityanddebtinvestments,aredesignatedoninitialrecognitionasfinancialassetsatfairvaluethroughprofitorloss.ThismeasurementbasisisconsistentwiththefactthattheGroup’sperformanceinrespectofitsportfolioinvestmentsisevaluatedonafairvaluebasisinaccordancewithanestablishedinvestmentstrategy.Wheninvestmentsarerecognisedinitially,theyaremeasuredatfairvalue.



Afterinitialrecognitionthefairvalueoflistedinvestmentsisdeterminedbyreferencetobidpricesatthecloseofbusinessonthereportingdate.UnlistedequityinvestmentsaremeasuredatfairvaluebythedirectorsincompliancewiththeprinciplesoftheInternationalPrivateEquityandVentureCapitalGuidelines,updatedandeffectiveDecember2015,asrecommendedbytheEuropeanVentureCapitalAssociation.Thefairvalueofunlistedequityinvestmentsisdeterminedusingthemostappropriateofthevaluationmethodologiessetoutintheguidelines.Theseincludeusingrecentarm’slengthmarkettransactions;referencetothecurrentmarketvalueofanotherinstrument,whichissubstantiallythesame;earningsorprofitmultiples;indicativeoffers;discountedcashflowanalysisandpricingmodels.

TheGroupclassifiesitsinvestmentsusingafairvaluehierarchy.Classificationwithinthehierarchyhasbeendeterminedonthebasisofthelowestlevelinputthatissignificanttothefairvaluemeasurementoftherelevantinvestmentasfollows:

• Level1-valuedusingquotedpricesinactivemarketsforidenticalassets;• Level2-valuedbyreferencetovaluationtechniquesusingobservableinputsotherthanquotedpricesincludedwithinLevel1;and

• Level3-valuedbyreferencetovaluationtechniquesusinginputsthatarenotbasedonobservablemarketdata.

Thefairvaluesofquotedinvestmentsarebasedonbidpricesinanactivemarketatthereportingdate.AllunquotedinvestmentshavebeenclassifiedasLevel3withinthefairvaluehierarchy,theirrespectivevaluationshavingbeencalculatedusinganumberofvaluationtechniquesandassumptions,notwithstandingthatthebasisofthevaluationmethodologyusedmostcommonlybytheGroupis‘priceofmostrecentinvestment’.Theuseofreasonablypossiblealternativeassumptionshasnomaterialeffectonthefairvaluationoftherelatedinvestments.Theeffectontheconsolidatedstatementofcomprehensiveincomefortheperiodisalsonotexpectedtobematerial.TherearenoidentifiedunobservableinputstowhichtheLevel3fairvalueswouldbemateriallysensitive.Theimpactonthefairvalueofinvestmentsifthediscountrateandprovisionshiftby1%is£3,269(2015:£12,435).

Methodology Description Inputs Adjustments%ofportfoliovaluedonthisbasis

FundRaising Usedforunquotedinvestmentswheretherehasbeenafundinground,generallywithinthelasttwelvemonths

Thepriceofthemostrecentinvestment

Typicallynodiscountisappliedunlesslastroundoffundingisgreaterthantwelvemonthsthendiscountsrangingbetween10%-100%areapplied

93%

Earnings Usedforinvestmentswhichwecandetermineasetoflistedcompanieswithsimilarcharacteristics

Earningsmultiplesareappliedtotheearningsofthecompanytodeterminetheenterprisevalue

Aliquiditydiscountisapplied,typically15%

7%

Debt/Loannotes

Loaninvestments Thefairvalueofdebtinvestmentisdeemedtobecostlessanyimpairmentprovision

Impairmentprovisionifdeemednecessary

0%

Indicativeoffers

Usedwhereaninvestmentisinasalesprocess,apricehasbeenagreedbutthetransactionhasnotyetsettled

Contractedproceedsorbestestimateofexpectedproceeds

Adiscountbetween5%-10%isappliedtoreflectanyuncertainadjustmentstoexpectedproceeds

0%

Discountedcashflow

Companieswithlong-termcashflows

Longtermcashflowsarediscountedataratewhichisbenchmarkedagainstmarketdata

Nofurtherdiscountisapplied

0%



Change in fair value in the year:

GROUP 2016 £

2015 £

Fairvaluegains 147,559 56,660

Fairvaluelosses (1,173,277) (1,137,102)

(1,025,718) (1,080,442) Detailsofinvestmentswherethenominalvalueoftheholdingintheundertakingis20%ormoreofanyclassofshareareasfollows:

Name of Company Holding % of class of shares held Nature of Business

VerbalisLtd(Verbalis) ‘A’Ordinaryshares 100% Designandproductionofautomatedlanguagetranslationsystems

Theaboveshareholding,whichisheldbyCaledoniaPortfolioRealisationsLtd(’CPR’),representsa20%aggregateshareholdinginVerbalis.NeitherCPRnortheCompanyisrepresentedontheBoardorwithinmanagementofVerbalisandintheopinionofthedirectors,thisshareholdingdoesnotentitletheCompanytoexertasignificantordominantinfluenceoverVerbalis.ThecarryingvalueofVerbalisis£nil(2015:£nil).

12 Investment in subsidiaries and limited liability partnership (i) Investment in subsidiaries

TheCompanyhasthefollowinginterestsinsubsidiaryundertakings:

NameCountry of Incorporation Nature of Business % Interest

StrathtayVenturesLtd(i) Scotland Investmentmanagement 100%

CaledoniaPortfolioRealisationsLtd(i) Scotland Investment 100%

CaledoniaLPLtd(i) Scotland Investmentmanagement 100%

StrathclydeInnovationFundGPLtd(i) Scotland Investmentmanagement 100%

CaledoniaSpecialistFinanceLtd(i) Scotland Dormant 100%

VikingFundManagersLtd(i) England Investmentmanagement&businessadvisoryservices

100%

BraveheartAcademicSeedFundingGPLtd(i) England Investmentmanagement 100%

BraveheartNomineesLtd(ii) Scotland Dormant 100%

FinanceYorkshireEquityGPLtd(ii) England GeneralPartner 100%

RidingsHoldingsLtd(ii) England Investmentmanagement 100%

TheRidingsEarlyGrowthInvestmentCompanyLtd(ii) England Investmentmanagement 100%

COMPANY

Cost £

At 1 April 2014 1,889,877

Increaseininvestmentvaluearisingfromshare-basedpayments 12,479

Decreaseininvestmentvalue:CPR (135,726)

At 1 April 2015 1,766,630

Increaseininvestmentvaluearisingfromshare-basedpayments 10,750

Decreaseininvestmentvalue:CPR (220,866)

Impairmentininvestmentvalue:SVL (131,399)

Impairmentininvestmentvalue:Viking (486,988)

At 31 March 2016 938,127

(i) Direct subsidiary of Braveheart Investment Group plc(ii) Indirect subsidiary of Braveheart Investment Group plc



ThedecreaseintheinvestmentvalueofCPRisindirectrelationtothemovementofthefairvalueofinvestments.DuringtheyearthedirectorsdeterminedtowritedownthecarryingvalueoftheCompany’sinvestmentinbothSVLandViking.TheimpairmentreviewswereconductedinaccordancewithIAS36.TheinvestmentinSVLwasimpairedby£131,399(2015:£nil)toitsnetassetvalueandtheinvestmentinVikingwasfullyimpairedduetothefullimpairmentofgoodwill.Thenetassetvalueofsubsidiariesisconsideredtoequatetotheirfairvalue.TheseimpairmentprovisionsarechargedwithintheCompany’soperatingcosts.

GroupentitiesactasGeneralPartnerto,andhaveaninterestin,thefollowinglimitedpartnerships:

Name Place of Business % Interest

StrathclydeInnovationFund(SIF) Scotland 89.29%

LachesisSeedFund England 0%

FinanceYorkshireEquityFund England 0%

(ii) Investment in limited liability partnership On8January2016,theGroupsoldits33.3%interestinthetotalcapitalcommitmentsofWhiteRockCapitalPartnersLLPtoWhiteRockFinanceLtdfor£100,000.

13 Business Combination On31December2015VikingacquiredtheremainingbalanceoftheissuedsharecapitalofRidingsHoldingsLtd(RHL),havingpreviouslyhelda33%stake.RHLwaspreviouslyclassifiedasaninvestmentheldbyaventurecapitalist,andwasmeasuredatafairvalueof£nilasat31March2015inaccordancewithIAS39FinancialInstruments:RecognitionandMeasurement.Considerationof£45,000wassatisfiedentirelyincash.RHLowns100%oftheissuedsharecapitalofTheRidingsEarlyGrowthInvestmentCompanyLtd(REGIC).BothcompaniesarebasedintheUK.TheacquisitionformspartoftheGroup’sstrategytogrowitscapitalappreciationthroughrealisations.TheallocationoftheacquisitioncosttotheidentifiableassetsandliabilitiesofRHLattheacquisitiondateisasfollows:

Carrying Value £

Fair Value £

Investments 165,554 165,554

Tradeandotherreceivables 59,570 59,570

Cashandcashequivalents 40,491 40,491

Tradeandotherpayables (3,904) (3,904)

Contingentliability - (216,711)

NetAssets 261,711 45,000

Cashpaid - 45,000

In2009,RHLreceiveda£1mgrantfromYorkshireForwardtoprovidetransitionalloanfundingtobusinessesinYorkshireandtheHumberregion.Thefundisnowfullydeployedandisintherealisationphase.FollowingtheacquisitionofRHL,therehasbeenavariationoftheoriginalagreementwithBritishBusinessFinancialServicesLtd(BBFSL),whonowadministerthefund.BBFSLwillnowreceiveacashlumpsumplusanyfuturecashreceiptsarisingfromtradereceivablesplusaspecifiedpercentageofanyfuturerealisationproceeds.BasedonthisvariationthebookvaluesarisingontheacquisitionhavebeenadjustedtoreflectthecontingentliabilitythatisnowduetoBBFSL(seenote18).

RHLowns100%oftheissuedsharecapitalofTheRidingsEarlyGrowthInvestmentCompanyLtd(REGIC).In2002,REGICreceived£5mfromthethenDepartmentofTradeandIndustry’sEarlyGrowthFundintheformofarepayablegrant.Atthedateofacquisition,REGIChadnetliabilitiesof£7.0m.InJanuary2016,avariationtotheoriginalgrantagreementwasreachedwherebyanyshortfallintherepaymentoftheoriginalgrantplusinterestwillbeconsidereddischargedbythetransferofanyremainingassets.TheBoardhavedeemedthelikelihoodoffullrepaymentofthegrantplusinterestastobesoremotethattheyhavefairvaluedthenetassetsto£nil.

Thenetcashoutflowarisingfromthisbusinesscombinationis£4,509,whichcomprisesofthecashandcashequivalentsacquiredof£40,491lesscashconsiderationpaidof£45,000.Fortradeandotherreceivablesacquired,thereisnodifferencebetweenthecontractualamountreceivableandthebookvalue.Fromthedateofacquisition,RHLhascontributed£niltothenetlossoftheGroup.HadtheacquisitionofRHLtakenplaceatthestartoftheperiod,theconsolidatedincomefortheperiodwouldhavebeen£220,539andthelossfortheperiodwouldhavebeen£1,723,988.

14 Goodwill



Viking £

Neon £

Total £

At 1 April 2014 and 1 April 2015 371,944 380,000 751,944

Impairment (371,944) - (371,944)

At 31 March 2016 - 380,000 380,000

TheacquisitionofVikingFundManagersLtdhasbeenaccountedforunderIFRS3.Atinitialrecognition,contingentconsiderationsettled,ortobesettled,inshareswasfairvaluedbyreferencetotheCompany’ssharepriceattheacquisitiondate.TheacquisitionofNeonhasbeenaccountedforunderIFRS3Revised.

Attheendoftheyear,theGroupassessedtherecoverableamountoftheabovegoodwillassociatedwitheachoftheVikingandNeon’scash-generatingunits(bothbeingpartoftheGroup’sonlyoperatingsegment),anddeterminedthatgoodwillwasimpairedforVikingbutnotforNeon.TherecoverableamountofNeonwasassessedbyreferencetothecash-generatingunit’svalueinusebasedoninternallypreparedandapproved3yearcashflowprojectionsandgrowthbasedprojectionsforafurther2years(areasonablemeasurementperiodinthegroup’slineofbusiness)assumingthefollowinggrowthratesandapplyingthefollowingdiscountfactors:

TherecoverableamountofVikingwassimilarlyassessedandduetotheacquisitionofRHLandRegicduringtheyear,managementfeespreviouslypaidfromRHLandRegictoVikinghavenowceasedleavingtheonlyrevenuestreamasbeingLachesisfundmanagementfees.ThefutureleveloffeeincomegeneratedbyLachesiswasdeemedinsufficienttomeettherecoverableamountofgoodwillandhasthereforeresultedinafullimpairmentofVikinggoodwill.

Cashflowprojectionsaremainlybasedoncontractedrevenuesandassociatedcosts,whichcanthereforebepredictedwithreasonablecertaintyandthedirectorsdonotconsidertheretobesignificantassumptionsincludedwithinthesecashflows.

Cash-generating unit Viking Neon

2016 2015 2016 2015

Growthrate(averagep.a.) 2.5% 2.5% 2.5% 2.5%

Discountfactor(p.a.) 12.5% 12.5% 12.5% 12.5% Thesefactorsarebasedonpastexperienceandfutureexpectationswhichthedirectorsconsidertobeappropriate.Valueinuseestimatesarisingfromreasonablypossiblechangestothesefactorsdonotindicatefurtherimpairment.

15 Trade and other receivables

Group 2016

£

Group 2015

£

Company 2016

£

Company 2015

£

Tradereceivables 177,825 79,027 2,828 4,732

Prepaymentsandaccruedincome 33,935 168,712 33,935 117,464

Amountsduefromrelatedparties - - 174,022 343,972

211,760 247,739 210,785 466,168

Non-current:Otherreceiveables 293,290 91,308 58,885 -

505,050 339,047 269,670 466,168

Astradereceivablesaregenerallyofshort-termmaturity,thedirectorsconsiderthecarryingamountstoapproximatetheirfairvalue.Allreceivablesarenon-interestbearingandunsecured.

TheGroup’sotherreceivablesof£293,290relatestoaFinanceYorkshirefundperformancefeeof£91,308whichisexpectedtobepaidinfullduring2019,andexitproceedsfromBloxxLtdof£143,097andBioptaLtdof£58,885whichareexpectedtobepaidinfullduringNovember2017andDecember2018respectively.



16 Cash and cash equivalents

Group 2016

£

Group 2015

£

Company 2016

£

Company 2015

£

Cashatbankandonhand 1,262,786 502,630 948,562 446,342

CashbalancesareheldwithHSBCBankplcandBankofScotlandplcandearninterestatfloatingratesbasedondailybankdepositrates.

17 Trade and other payables

Group 2016

£

Group 2015

£

Company 2016

£

Company 2015

£

Tradepayables 242,406 82,192 209,789 45,602

Amountsduetorelatedparties - - 1,970,638 1,582,963

Payrollliabilities 74,267 43,081 51,749 5,954

Accruals 227,677 296,746 63,425 169,746

Non-current:Otherpayables

544,350 422,019 2,295,601 1,804,265

58,898 - 58,898 -

603,248 422,019 2,354,499 1,804,265

Duetotheshort-termmaturityoftradepayables,thedirectorsconsiderthecarryingamountstoapproximatetheirfairvalue.Tradepayablesarenon-interestbearingandarenormallysettledon30-dayterms.Non-currentotherpayablesistheconsiderationduetoWLVenturesLtdbasedontheexitvalueofBloxxLtd.

18 Contingent consideration and contingent liabilityIn2015,theshorttermcontingentconsiderationof£204,995wasthesumdueonfutureexitvaluesoftheCPRportfolio.Movementinthecurrentyearisanincreaseof£57,362(2015:decreaseof£135,726).Duringtheyear,BloxxLtdexitedandthereforecontingentconsiderationhasmovedtobothcurrentandnon-currenttradeandotherpayables.Postyearend,thecurrentamounthasbeensettledandthenon-currentamountwillbepaidinNovember2017.Attheyearend,thecontingentconsiderationrelatingtothefutureexitsoftheCPRportfoliois£nil.ContingentconsiderationrelatingtoCPRisdirectlylinkedtomovementinitsportfolio,a1%increaseinthediscountratewoulddecreasethecontingentconsiderationby£nil(2015:£3,349).

Asattheyearend,theshorttermcontingentliabilityof£216,711isthesumdueonfutureexitvaluesoftheRHLportfolioandcashreceipts.ThecontingentliabilityrelatingtoRHLisdirectlylinkedtomovementinitsportfolio,a1%increaseinthediscountratewoulddecreasethecontingentliabilityby£1,655.

19 Deferred incomeGroupdeferredincomeattheyearendof£47,090(2015:£18,620)relatestomonitoringandarrangementfees.Feesearnedfortheprovisionofthisongoingservicearerecognisedasthatserviceisprovidedandrecognisedatthefairvalueoftheconsiderationreceivedorreceivable.



20 Share capital

2016£

2015£

Authorised

33,645,000ordinarysharesof2penceeach

(2015:33,645,000ordinarysharesof2penceeach) 672,900 672,900

Allotted,calledupandfullypaid

27,055,491ordinarysharesof2penceeach

(2015:27,055,491ordinarysharesof2penceeach) 541,109 541,109

TheCompanyhasoneclassofordinaryshares.Allsharescarryequalvotingrights,equalrightstoincomeanddistributionofassetsonliquidationorotherwise,andnorighttofixedincome.

21 Share-based payments TheGroupoperatestheBraveheartInvestmentGroupplcExecutiveShareOptionScheme2006(theScheme),whichcomprisesPartA,ashareoptionschemeapprovedbyHMRC(theApprovedScheme)andPartB,anunapprovedshareoptionscheme(theUnapprovedScheme).

Historically,theSchemewasopentoalldirectorsandemployeesoftheGroup,althoughnon-executivedirectorscouldonlyparticipateinPartB.TheSchemeisnowonlyopentoallexecutivedirectorsandemployees.

OptionsaregrantedbytheBoardtakingintoaccounttheneedtomotivate,retainandrecruithighcalibreemployeesandwithregardtothecontributionthatsuchemployeesareexpectedtomakeinachievingtheGroup’sobjectives.

OptionsgrantedundertheSchemearecategorisedaseitherEmploymentOptions,PerformanceOptionsorOtherOptions.EmploymentOptionsmaybegrantedundereitherPartAorPartB.AllPerformanceOptionsandOtherOptionsaregrantedunderPartB.

EmploymentOptionsvestandbecomeexercisableonthethirdanniversaryofdateofgrant,andgenerallylapseontheearlierofcessationofemployment(or6monthsthereafterifoptionshavevestedatcessationdate)orthe10thanniversaryofdateofgrant.

PerformanceOptionshavevestingconditionslinkedtothegrowthintheCompany’smarketcapitalisationfromthedateofgrant(PerformanceConditions).IfaPerformanceConditionisnotmet,therelatedPerformanceOptionlapsesattheendoftherelevantmeasurementperiod.Otherwise,PerformanceOptionsvestonattainmentofthePerformanceConditionandbecomeexercisableonthe1stanniversaryofthedateofthePerformanceConditionbeingmet,andlapseonthe10thanniversaryofdateofgrant.

OtherOptionsareimmediatelyexercisableandlapseonthe10thanniversaryofdateofgrant.

Duringthecurrentyear,nooptionsweregranted.304,240EmploymentOptionslapsed,356,009PerformanceOptionslapsedand103,704OtherOptionslapseddueeithertothecessationofemploymentorrelatedPerformanceConditionnothavingbeenmet.

Duringtheyearended31March2015,104,513EmploymentOptionsand589,189PerformanceOptionsweregranted.230,494EmploymentOptionslapsedand223,294PerformanceOptionslapsedduringtheyeareitherduetothecessationofemploymentorrelatedPerformanceConditionnothavingbeenmet.



21 Share-based payments (continued)ThecurrentyearmovementinShareOptionsissummarisedbelow:

Date of Grant

At 1 April 2015

Weighted Average Exercise

Price


No of Options

exercised in year

No of Options

lapsed in year

At 31 March

2016Exercise

Price


PriceDate first



8December2008

16,185 - - (16,185) - £0.350 8December2011

7December2018

18June2009

83,829 - - (28,259) 55,570 £0.295 18June2012 17June2019

5July2010 100,304 - - (36,411) 63,893 £0.255 5July2014 4July2020

25May2012 239,434 - - (108,023) 131,411 £0.120 25May15 24May2022

3September2012

54,472 - - (25,477) 28,995 £0.160 3September2016

2September2022

25September2012

6,422 - - - 6,422 £0.157 25September2012

24September2022

19August2014

97,488 - - (21,805) 75,683 £0.105 5November2016

19August2024

598,134 £0.187 - - (236,160) 361,974 £0.171


18June2009

74,422 - - (31,669) 42,753 £0.295 18June2012 17June2019

5July2010 85,566 - - (36,411) 49,155 £0.255 5July2014 4July2020

159,988 £0.274 - - (68,080) 91,908 £0.274


5July2010 211,537 - - (65,384) 146,153 £0.255 5October2011

4July2020

25May2012 209,375 - - (90,625) 118,750 £0.120 25August2014

24May2022

19August2014

562,162 - - (200,000) 362,162 £0.105 5November2016

19August2024

983,074 £0.186 - - (356,009) 627,065 £0.143

Other Options granted under Part B

5July2010 225,093 £0.255 - - (103,704) 121,389 £0.255 £0.255 5July2010 4July2020



21 Share-based payments (continued)ThepreviousyearmovementinShareOptionsissummarisedbelow:

Date of Grant

At 1 April 2014


Price


No of Options

exercised in year

No of Options

lapsed in year

At 31 March

2015Exercise

Price


PriceDate first



8December2008

16,185 - - - 16,185 £0.350 8December2011

7December2018

18June2009

94,752 - - (10,923) 83,829 £0.295 18June2012 17June2019

5July2010 124,058 - - (23,754) 100,304 £0.255 5July2014 4July2020

5October2010

69,231 - - (69,231) - £0.235 5October2014

4October2020

25May2012 324,553 - - (85,119) 239,434 £0.120 25May15 24May2022

3September2012

82,135 - - (27,663) 54,472 £0.160 3September2016

2September2022

25September2012

13,201 - - (6,779) 6,422 £0.157 25September2012

24September2022

19August2014

- 104,513 - (7,025) 97,488 £0.105 5November2016

19August2024

724,115 £0.187 104,513 - (230,494) 598,134 £0.175


18June2009

74,422 - - - 74,422 £0.295 18June 2012

17June 2019

5July2010 85,566 - - - 85,566 £0.255 5July2014 4July2020

159,988 £0.274 - - - 159,988 £0.274


5July2010 233,844 - - (22,307) 211,537 £0.255 5October2011

4July2020

5October2010

68,121 - - (68,121) - £0.235 5January2012

4October2020

25May2012 275,000 - - (65,625) 209,375 £0.120 25August2014

24May2022

25September2012

40,214 - - (40,214) - £0.157 25December2014

24September2022

19August2014

- 589,189 - (27,027) 562,162 £0.105 5November2016

19August2024

617,179 £0.186 589,189 - (223,294) 983,074 £0.140

Other Options granted under Part B

5July2010 225,093 £0.255 - - - 225,093 £0.255 £0.255 5July2010 4July2020



21 Share-based payments (continued)1,202,336shareswereexercisableat31March2016(2015:1,006,311).Theweightedaverageexercisepriceofthetotalnumberofoptionsgrantedandnotexercisedat31March2016was£0.173(2015:£0.175)andtheweightedaveragecontractuallifeoftheoptionswas1,925days(2015:2,160days).

Thechargemadeinrespectofthefairvalueofoptionsgrantedwas:

2016 £

2015 £

Expensearisingfromequity-settledshare-basedpaymentstransactions 10,750 12,479

ThefairvalueofPerformanceandOtherOptionsareestimatedatthedateofgrantusingaTrinomialoptionpricingmodel.ThefairvalueofEmploymentOptionsisestimatedatthedateofgrantusingaBlack-Scholesoptionpricingmodel.

Thefollowingassumptionshavebeenusedincalculatingthefairvalueofshareoptions:

2016 2015

Employment Options

Performance Options

Employment Options

Performance Options

Valuationmethod Black-Scholes Trinomial Black-Scholes Trinomial

Riskfreeinterestrate 1.5% 1.5% 1.5% 1.5%

Expectedlife(averageyears) 3 2 3 2

Expectedvolatility 42% 42% 42% 42%

Dividendyield 0% 0% 0% 0%

Theexpectedlifeoftheoptionsistheexpectedaveragepointatwhichanoptionbecomesexercisable.TheexpectedvolatilityisbasedonhistoricalvolatilityofthesharepriceoftheCompanyandofquotedcomparablecompaniesoverthemostrecentperiodatthedateofgrantthatiscommensuratewiththeaverageexpectedlifeoftheoption.Theweightedaveragesharepriceusedineachcalculationwasequaltotheoptionexerciseprice.

22 Operating lease commitments TheCompany’scommercialleaseonitsofficepremisesatMerlinHouse,Perth,ceasedinJune2015.TheCompanyenteredintoanew5-yearlease(witha30monthbreakclause)onpremisesat2DundeeRoad,Perth.Renewalsareattheoptionoftheentitythatholdsthelease.Therearenorestrictionsplaceduponthelesseebyenteringintothislease.

Futureminimumrentalspayableunderoperatingleasesareasfollows:

2016 £

2015 £

Futureminimumpaymentsdue:

Notlaterthanoneyear 8,000 14,750

Intwotofiveyears 5,634 32,000

13,634 46,750

23 BorrowingsAt31March2016StrathclydeInnovationFundLPhadreceived£43,392(2015:£43,392)fromlimitedpartnersunrelatedtotheGrouptocoverpartnershipobligations.Suchsumsaretreatedaslongtermsloansfromlimitedpartners.



24 Related party disclosuresTradeandotherreceivables(note15)includethefollowingamountsduefromsubsidiaryundertakings:

2016 £

2015 £

StrathclydeInnovationFundLP 27,679 27,679

CaledoniaPortfolioRealisationsLtd 50 -

CaledoniaLPLtd 146,293 316,293

174,022 343,972

Tradeandotherpayables(note17)includethefollowingamountsduetosubsidiaryundertakings:

2016 £

2015 £

StrathtayVenturesLtd 196,622 294,030

VikingFundManagersLtd 1,212,430 1,262,430

StrathclydeInnovationFundLP 25,000 25,000

CaledoniaPortfolioRealisationsLtd 536,586 1,503

1,970,638 1,582,963

Allaboveamountsareunsecured,interestfreeandhavenofixeddateforrepayment.TransactionsbetweentheCompanyanditssubsidiariesareeliminatedonconsolidation.

Thedirectorshaveagreedthat,whileamountsduetoGroupcompaniesareincludedincreditorsduewithinoneyearastheyaretechnicallypayableondemand,paymentoftheseamountswillnotberequiredunlesstheCompanyisabletodoso.

Duringthecurrentyear,Braveheartrecharged£72,454(2015:£174,508)toStrathtayandVikingrecharged£71,318(2015:£93,918)toStrathtayinrespectofemployeebenefitsexpense.

AndrewBurtonisadirectorofVikingFundManagersLtd.Duringtheyear,Vikingwaschargedrenttotalling£900(2015:£nil)inrespectofbusinesspremisesownedpersonallybyMrandMrsBurton.Asat31March2015and2016,£nilwasduetoMrandMrsBurton.

TheCompanyrechargedcoststoWhiteRockof£4,371(2015:£6,471).Attheyear-end£2,828(2015:£3,688)wasoutstandingandincludedwithindebtors.

Duringtheyear,theCompanywaiveda£170,000inter-companyloantoCaledoniaLPastheDirectorsdeemedtheloanunlikelytoberepaidbasedonthecurrentvaluationsofinvestmentsheldbyCaledoniaLP.

Groupentitieshavealimitedpartnershipinterestin,andactasGeneralPartnertoStrathclydeInnovationFundLP.



25 Financial risk management objectives and policies (Group and Company)GroupandCompany’sfinancialinstrumentscompriseinvestmentsdesignatedatfairvaluethroughprofitorloss,cashandvariousitemssuchastradeandotherreceivables,andtradeandotherpayables,allofwhicharisedirectlyfromitsnormaloperations.

ThecarryingvaluesofalloftheGroupandCompany’sfinancialinstrumentsapproximatetheirfairvaluesat31March2016and31March2015.TheAccountingPoliciesdescribedinnote2outlineshowthefinancialinstrumentsaremeasured.

Ananalysisofthestatementoffinancialposition,relevanttoananalysisofriskmanagement,isasfollows:

Financial instruments

Designated at fair value

though profit or loss

£

Loans and receivables

£

Non-financial assets &

financial assets outwith the

scope of IAS 39£

Total£

GROUP

2016

Investments 467,609 - - 467,609

Tradeandotherreceivables - 471,115 33,935 505,050

Cashandcashequivalents - 1,262,786 - 1,262,786

467,609 1,733,901 33,935 2,235,445

2015

Investments 2,478,065 - - 2,478,065


Cashandcashequivalents - 502,630 - 502,630

2,478,065 581,657 260,020 3,319,742

COMPANY

2016

Investments 230,543 - (*)938,127 1,168,670



230,543 1,184,297 972,062 2,386,902

2015

Investments 1,779,545 - (*)1,771,630 3,551,175



1,779,545 795,046 1,889,094 4,463,685

(*)Investmentsinserviceentities



25 Financial risk management objectives and policies (continued)

Other financial liabilities at

amortised cost£

Financial liabilities at fair value

£Total

£

GROUP

2016

Tradeandotherpayables 603,248 - 603,248

Contingentliability - 216,711 216,711

Borrowings 43,392 - 43,392

646,640 216,711 863,351

2015

Tradeandotherpayables 378,938 - 378,938

Contingentconsideration - 204,995 204,995

Borrowings 43,392 - 43,392

422,330 204,995 627,325

COMPANY

2016

Tradeandotherpayables 2,354,499 - 2,354,499

2,354,499 - 2,354,499

2015

Tradeandotherpayables 1,798,311 - 1,798,311

Contingentconsideration - 204,995 204,995

1,798,311 204,995 2,003,306

OneoftheGroup’sprincipalobjectivesandpoliciesistoachieveincomeandcapitalgainsthroughinvestmentinequitysharesinaportfolioofUKcompanies,themajorityofwhichareunlisted.

ThroughitsnormaloperationstheGroupisexposedtoanumberoffinancialrisks,namelycreditrisk,liquidityriskandmarketrisk.TheBoardreviewsandagreespoliciesformanagingeachoftheserisksassummarisedbelow.




Credit risk

CreditriskarisesfromtheexposuretotheriskoflossifthecounterpartyfailstoperformitsfinancialobligationstotheGroup.TheGroup’sfinancialassetspredominantlycompriseinvestmentsdesignatedatfairvaluethroughprofitorloss,andcash.InaccordancewithitsInvestmentPolicytheGroupseekstomanagecreditriskrelatedtoitsinvestmentsthroughdetailedinvestmentselectioncriteriaanddiversificationandbyplacinglimitsonindividualinvestments.InaccordancewithitsTreasuryPolicy,theGroupseekstomitigatethisriskoncashbyplacingfundsonlywithbankswithhighcredit-ratingsassignedbyinternationalcredit-ratingagencies.

TheGrouphasnosignificantconcentrationofcreditriskwithinanyofitsotherfinancialassets.IncludedwithinsuchotherfinancialassetsarebalanceswhicharepastdueatthereportingdateforwhichtheGrouphasnotprovidedastherehasnotbeenasignificantchangeintheircreditqualityandwhichtheGroupbelievesarefullyrecoverable.TheageprofileoftheGroupandCompany’sotherfinancialassetsisasfollows:

Neither past due nor

impaired £

Less than 3 months

£

3 to 12 months

£

More than 1 year

£Total

£

GROUP

2016

Tradereceivables 121,044 1,916 54,796 69 177,825

Otherreceivables 325,263 - - - 325,263

446,307 1,916 54,796 69 503,088

2015

Tradereceivables 70,431 - 7,948 648 79,027


320,296 - 7,948 648 328,892

COMPANY

2016

Tradereceivables 2,827 - - - 2,827


Amountsduefromrelatedparties 174,022 - - - 174,022

267,707 - - - 267,707

2015

Tradereceivables 4,732 - - - 4,732


Amountsduefromrelatedparties 343,972 - - - 343,972

456,013 - - - 456,013

TheGroupconsidersitsexposuretocreditriskisnegligible.TheGroup’sbankbalanceof£1,262,786attheyear-endisheldinabankwithahighcreditratingandthetradereceivablesof£503,088arecloselymonitoredaspartofthecreditcontrolprocess.

Liquidity risk

LiquidityriskistheriskthattheGroupwillnotbeabletomeetitsfinancialobligationsastheyfalldue.

TheGroupseekstomanageitsliquidityriskbyholdingsufficientcashreservestomeetforeseeableneeds,andbyinvestingcashassetssafely.TheGroupcontinuouslymonitorsrollingcashflowforecaststoensuresufficientcashisavailableforanticipatedcashrequirementsand,inaccordancewithitsTreasuryPolicy,theGrouponlyinvestscashassetswithreputablecounterparties.



25 Financial risk management objectives and policies (continued)ThematurityprofileoftheGroupandCompany’sfinancialliabilitiesisasfollows:

On demand £

Less than 3 months

£

3 to 12 months

£

More than 1 year

£Total

£

GROUP

2016

Tradeandotherpayables 544,350 - - 58,898 603,248

Otherliabilities 47,090 - - 43,392 90,482

591,440 - - 102,290 693,730

2015

Tradeandotherpayables 422,019 - - - 422,019

Otherliabilities 18,620 - - 43,392 62,012

440,639 - - 43,392 484,031

COMPANY

2016

Tradeandotherpayables 324,963 - - 58,898 383,861

Amountsduetorelatedparties 1,970,638 - - - 1,970,638

2,295,601 - - 58,898 2,354,499

2015

Tradeandotherpayables 221,302 - - - 221,302

Amountsduetorelatedparties 1,582,963 - - - 1,582,963

1,804,265 - - - 1,804,265




Market RiskMarketriskistheriskthatchangesinmarketconditionssuchasequityprices,interestratesandforeignexchangerateswillhaveanadverseimpactontheGroup’sfinancialpositionorresults.

Equity price riskTheGroupisexposedtoequitypriceriskduetouncertaintiesaboutfuturevaluesofitsportfoliooflistedandunlistedequityinvestments.TheGroupmanagessuchequitypriceriskinasimilarwaytocreditriskthroughdetailedinvestmentselectioncriteriaanddiversificationandbyplacinglimitsonindividualinvestments.InvestmentsaremonitoredcarefullyandtheBoardreviewstheportfolioonaregularbasis.

Interest rate riskTheGroupfinancesitsoperationsthroughequityfundingasopposedtodebtandthereforeminimisesitsexposuretointerestraterisks.TheGroup’sfinancialinstrumentsarenon-interestbearing,withtheexceptionofloannoteswhichattractfixedrateinterest,andcashbalanceswhichattractvariableinterestratesdeterminedwithreferencetothebankinterestrate.

TheinterestrateprofileoftheGroup’sfinancialinstrumentsisasfollows:

GROUP Fixed Rate £

Variable Rate £

Interest free £

Total £

2016

Financial assets

Investments:equity - - 467,609 467,609

Cashandcashequivalents - 1,262,786 - 1,262,786

Otherfinancialassets - - 505,050 505,050

- 1,262,786 972,659 2,235,445

Financial liabilities

Contingentconsideration - - 216,711 216,711

Otherfinancialliabilities - - 693,730 693,730

- - 910,441 910,441

2015

Financial assets

Investments:equity - - 2,317,580 2,317,580

Investments:loannotes 160,485 - - 160,485



160,485 502,630 2,656,627 3,319,742



Otherfinancialliabilities - - 484,031 484,031

- - 689,026 689,026




TheinterestrateprofileoftheCompany’sfinancialinvestmentsisasfollows:

COMPANY Fixed Rate £

Variable Rate £

Interest free £

Total £

2016

Financial assets




- 948,562 1,438,340 2,386,902


Otherfinancialliabilities - - 2,354,499 2,354,499

- - 2,354,499 2,354,499

2015

Financial assets




- 446,342 4,012,343 4,463,685



Otherfinancialliabilities - - 1,804,265 1,804,265

- - 2,009,260 2,009,260

Itisestimatedthatthemaximumeffectofaonepercentagepoint(100basispoints)fallininterestratestowhichtheGroupisexposedwouldbeanincreaseinlossbeforetaxforthetwelvemonthsto31March2016of£12,262(2015:£5,062).

Foreign currency riskTheGrouphasnomaterialexposuretoforeigncurrencyrisk.

26 Ultimate controlling partyThereisnoultimatecontrollingparty.

27 Multilateral guaranteesTheCompanyalongwithallotherUKregisteredundertakingsformingpartofBraveheartInvestmentGroupplchaveprovidedmultilateralguaranteesacrossthebankoverdraft.TheCompaniesobligationsunderthemultilateralguaranteesaresecuredbyFloatingchargesovertheCompanyassets.ThebankoverdraftfacilityexpiresinJuly2016andwillnotberenewed.


NOTICE OF ANNUAL GENERAL MEETING | 49

BRAVEHEART INVESTMENT GROUP PLC

(“The Company”)

NOTICE OF ANNUAL GENERAL MEETING

(registered in Scotland with company number SC247376)

NOTICEISHEREBYGIVENthatanAnnualGeneralMeetingoftheCompanywillbeheldatMazars’officeatTowerBridgeHouse, StKatherine’sWay,LondonE1W1DDon19July2016at11.00amtoconsiderthefollowingresolutions:

Ordinary Business Toconsiderand,ifthoughtfit,passthefollowingresolutionswhichwillbeproposedasOrdinaryResolutionsoftheCompany:

Resolution 1 THATtheauditedaccountsoftheCompanyforthefinancialyearended31March2016andthereportsofthedirectorsandauditorsthereonbereceived.

Resolution 2 THATMazarsLLPbere-appointedasauditorsofthecompanytoholdofficeuntiltheconclusionofthenextgeneralmeetingoftheCompanybeforewhichauditedaccountsarelaid.

Resolution 3 THATthedirectorsbeauthorisedtodeterminetheremunerationoftheauditors.

Resolution 4 THATthedirectorsbegenerallyandunconditionallyauthorisedforthepurposesofSection551oftheCompaniesAct2006(theCA2006)toallotorgrantrightstosubscribeforsharesintheCompanyuptoanaggregatenominalamountof£108,222providedthatthisauthorityshall,unlessreviewedvariedorrevokedbytheCompany,expireontheexpiryofthenextAnnualGeneralMeetingoftheCompanysavethattheCompanymay,beforesuchexpiry,makeoffersoragreementswhichwouldormightrequiresharestobeallottedandthedirectorsmayallotsharesintheCompanyinpursuanceofsuchofferoragreementnotwithstandingthattheauthorityconferredbythisresolutionhasexpired.

Thisresolutionrevokesandreplacesallunexercisedauthoritiespreviouslygrantedtothedirectorstoallotsharespursuanttosection551oftheCA2006butwithoutprejudicetoanyallotmentofsharesorgrantsofrightsalreadymade,offeredoragreedtobemadepursuanttosuchauthorities.

Resolution 5 THAT,subjecttothepassingresolution6above,thedirectors,pursuanttothegeneralauthorityconferredonthem,beempoweredpursuanttosection570oftheCA2006toallotforcashequitysecurities(asdefinedinsection560oftheCA2006)asifsection561oftheCA2006didnotapplytosuchallotmentprovidedthatthispowershallbelimitedtotheallotmentofequitysecuritieswhollyforcashuptoanaggregatenominalvalueof£108,222being20%oftheissuedsharecapitaloftheCompanyandshallexpireontheexpiryofthenextAnnualGeneralMeetingoftheCompany,savethattheCompanymay,beforesuchexpiry,makeoffersoragreementswhichwouldormightrequireequitysecuritiestobeallottedandthedirectorsmayallotequitysecuritiesinpursuanceofsuchofferoragreementnotwithstandingthattheauthorityconferredbythisresolutionhasexpired.

BYORDEROFTHEBOARD Jeremy H Delmar-Morgan Chairman 22June2016

Registeredoffice:2DundeeRoad PerthPH27DW


50 | NOTICE OF ANNUAL GENERAL MEETING

Explanations of the Resolutions proposed:

Explanation of Resolution 1:ThedirectorsarerequiredbylawtopresenttotheshareholdersoftheCompanyatageneralmeetingtheauditedaccountsoftheCompanyforthefinancialyearended31March2016andthereportsofthedirectorsandauditorsthereon.Thereportofthedirectorsandtheauditedaccountshavebeenapprovedbythedirectorsandthereportoftheauditorshasbeenapprovedbytheauditors.AcopyofeachofthesedocumentsmaybefoundintheannualreportoftheCompany.

Explanation of Resolution 2:TheauditorsareresponsibleforexaminingtheannualaccountsoftheCompanyandforminganopinionastowhetherornottheygiveatrueandfairviewofitsresultsandthefinancialposition.ItisarequirementoflawthattheCompanyappointauditorsateachmeetingatwhichaccountsarepresentedtoshareholders,suchappointmenttocontinueuntilthenextauditedaccountsoftheCompany.

Explanation of Resolution 3:TheresolutiongivesthedirectorsoftheCompanytheauthoritytodeterminetheremunerationpaidtotheauditorsforthenextfinancialyear.TheamountoftheremunerationforthenextfinancialyearwillbedisclosedinthenextauditedaccountsoftheCompany.

Explanation of Resolution 4: ItisbeingproposedtoreplacetheexistingauthorityofthedirectorsoftheCompanytoallotsharesintheCompany(orrightsinrespectthereof)inconnectionwithsection551oftheCA2006.Thedirectorsareseekingauthoritytoissueupto2,705,549shareshavinganaggregatenominalvalueof£108,222,representing20%oftheissuedsharecapitaloftheCompany,suchauthoritytoexpireontheexpiryofthenextAnnualGeneralMeetingoftheCompany.

Thelimitationstothedirectors’authoritydonotextendto:

• Theallotmentofshares,orthegrantofarighttosubscribefor,orconvertanysecurityinto,sharesintheCompanypursuanttoanemployee’ssharescheme(asdefinedbysection1166ofCA2006);or

• Theallotmentofsharespursuanttoarighttosubscribefor,orconvertsecuritiesinto,sharesintheCompanypreviouslygrantedinaccordancewithdirectorsauthority.

Explanation of Resolution 5:Thisresolution,willbeproposedasaspecialresolution,supplementsthedirectors’generalauthoritytoallotsharesasconferredonthempursuanttoResolution6.Section561oftheCA2006requiresaCompanyproposingtoallotequitysecuritiestoofferthemfirsttoexistingshareholdersinproportiontotheirexistingshareholdings.Ifpassed,thisrequirementwillnotapplytoallotmentofsharesforcashuptoanominalvalueof£108,222being20%oftheissuedsharecapitaloftheCompany.Thisauthorityenablesthedirectorstoraiseadditionalequitycapitalthroughanissueofsharesforcash.ThisauthoritywillexpireafteroneyearoratthedateofthenextAnnualGeneralMeeting,whicheverisearlier.

Receipt of copies of Annual Report & AccountsTheCompaniesAct2006prescribesthemethodsbywhichacompanyispermittedtocommunicatewithitsshareholders.TheCompany’sArticlesofAssociationincludeprovisionsallowingtheCompanytouseitswebsitetopublishcertainstatutorycommunicationsanddocuments.Accordingly,documentsincludingnoticesofAnnualGeneralMeetingsandtheAnnualReport&Accounts,arepublishedontheCompanywebsiteatwww.braveheartgroup.co.uk.ReducingthenumberofcommunicationssentbypostnotonlyresultsincostsavingstotheCompany,butalsoreducestheimpactthattheunnecessaryprintinganddistributionofdocumentshasontheenvironment.InadditiontoincludingprovisionsintheCompany’sarticlesofassociationsanctioningthiswebsitepublication,companylawrequiresthatshareholdersareindividuallyaskedwhethertheywishtocontinuetoreceivedocumentsotherthanbywebsitepublication.TheCompanyregularlyreviewscommunicationsprovidedtoshareholdersandproposestoaskshareholderswhethertheywishtoreceivedocumentsbywebsitepublication.Pleasenotethat,ifyouconsenttoreceivedocumentsbywebsitepublication,youwillcontinuetobenotifiedeachtimethattheCompanyplacesadocumentonitswebsiteandthisnotificationwillbesenttoyoubypost.Ifyouwishtocontinuetoreceiveahardcopyofnoticesofgeneralmeetings,andotherdocuments,includingtheAnnualReport&Accounts,youwillneedtocompletetheaccompanyingformandreturnitasinstructed.


NOTES | 51

Notes:

1. AmemberentitledtoattendandvoteattheAnnualGeneralMeeting(theMeeting)isentitledtoappointoneormoreproxiestoexercisealloranyofhisrightstoattend,voteandspeakinsteadofhim.AproxyneednotbeamemberoftheCompany.Youmayappointmorethanoneproxyprovidedeachproxyisappointedtoexerciserightsattachedtodifferentshares.Youmaynotappointmorethanoneproxytoexercisetherightsattachedtoanyoneshare.

2. Tobevalid,aformofproxy(otherthananelectroniccommunicationappointingaproxy)togetherwiththepowerofattorneyorotherauthority(ifany)underwhichitissigned(oracopyofsuchauthoritycertifiednotarially)mustbelodgedattheofficeoftheCompany’sregistrars,CapitaAssetServices,PXS,34BeckenhamRoad,Beckenham,Kent,BR34TUby11.00amon15July2016,ornotlessthan48hoursbeforethetimeappointedforholdinganyadjournedmeeting.

3. PursuanttoRegulation41oftheUncertificatedSecuritiesRegulation2001,theCompanyhasspecifiedthatonlythoseshareholdersregisteredintheregisterofmembersoftheCompanyasatcloseofbusinesson15July2016or,intheeventthatthismeetingisadjourned,intheregisterofmembers48hoursbeforethetimeofanyadjournedmeeting,willbeentitledtovote,ortoappointoneormoreproxiestovoteontheirbehalf,atthismeetinginrespectofthenumberofsharesregisteredintheirnamesatthattime.Changestoentriesontheregisterofmembersafter6.00pmon15July2016or,intheeventthatthismeetingisadjourned,intheregisterofmembers48hoursbeforethetimeofanyadjournedmeeting,shallbedisregardedindeterminingtherightsofanypersontoattendorvoteatthemeeting.

4. Completionandreturnofaformofproxywillnotpreventamemberfromattendingthemeetingandvotinginpersonshouldtheywishtodoso.

5. CRESTmemberswhowishtoappointaproxyorproxiesbyutilisingtheCRESTelectronicproxyappointmentservicemaydosofortheMeetingandanyadjournment(s)thereofbyutilisingtheproceduresdescribedintheCRESTManual.CRESTpersonalmembersorotherCRESTsponsoredmembersandthoseCRESTmemberswhohaveappointedavotingserviceprovider(s),shouldrefertotheirCRESTsponsororvotingserviceprovider(s),whowillbeabletotaketheappropriateactionontheirbehalf.

6. InorderforaproxyappointmentmadebymeansofCRESTtobevalid,theappropriateCRESTmessage(a‘CRESTProxyInstruction’)mustbeproperlyauthenticatedinaccordancewithEuroclearUK&IrelandLimited’s(‘EUI’)specificationsandmustcontaintheinformationrequiredforsuchinstructions,asdescribedintheCRESTManual.Themessageregardlessofwhetheritrelatestotheappointmentofaproxyortoanamendmenttotheinstructiongiventoapreviouslyappointedproxymust,inordertobevalid,betransmittedsoastobereceivedbytheissuer’sagent(IDRA10)by11.00amon15July2016.Forthispurpose,thetimeofreceiptwillbetakentobethetime(asdeterminedbythetimestampappliedtothemessagebytheCRESTApplicationsHost)fromwhichtheissuer’sagentisabletoretrievethemessagebyenquirytoCRESTinthemannerprescribedbyCREST.

7. CRESTmembersand,whereapplicable,theirCRESTsponsorsorvotingserviceprovidersshouldnotethatEUIdoesnotmakeavailablespecialproceduresinCRESTforanyparticularmessages.NormalsystemtimingsandlimitationswillthereforeapplyinrelationtotheinputofCRESTProxyInstructions.ItisthereforetheresponsibilityoftheCRESTmemberconcernedtotake(or,iftheCRESTmemberisaCRESTpersonalmemberorsponsoredmemberorhasappointedavotingserviceprovider(s),toprocurethathisCRESTsponsororvotingserviceprovider(s)take(s))suchactionasshallbenecessarytoensurethatamessageistransmittedbymeansoftheCRESTsystembyanyparticulartime.Inthisconnection,CRESTmembersand,whereapplicable,theirCRESTsponsorsorvotingserviceprovidersarereferred,inparticular,tothosesectionsoftheCRESTManualconcerningpracticallimitationsoftheCRESTsystemandtimings.

8. TheCompanymaytreatasinvalidaCRESTProxyInstructioninthecircumstancessetoutinRegulation35(5)(a)oftheUncertificatedSecuritiesRegulations2001.

9. TheCompanymaytreatasinvalidaCRESTProxyInstructioninthecircumstancessetoutinRegulation35(5)(a)oftheUncertificatedSecuritiesRegulations2001excepted).

10. Inordertofacilitatevotingbycorporaterepresentativesatthemeeting,arrangementswillbeputinplaceatthemeetingsothat(i)ifacorporateshareholderhasappointedthechairmanofthemeetingasitscorporaterepresentativetovoteonapollinaccordancewiththedirectionsofalltheothercorporaterepresentativesforthatshareholderatthemeeting,thenonapollthosecorporaterepresentativeswillgivevotingdirectionstothechairmanandthechairmanwillvote(orwithholdavote)ascorporaterepresentativeinaccordancewiththosedirections;and(ii)ifmorethanonecorporaterepresentativeforthesamecorporateshareholderattendsthemeetingbutthecorporateshareholderhasnotappointedthechairmanofthemeetingasitscorporaterepresentative,adesignatedcorporaterepresentativewillbenominated,fromthosecorporaterepresentativeswhoattend,whowillvoteonapollandtheothercorporaterepresentativeswillgivevotingdirectionstothatdesignatedcorporaterepresentative.CorporateshareholdersarereferredtotheguidanceissuedbytheInstituteofCharteredSecretariesandAdministratorsonproxiesandcorporaterepresentatives(www.icsa.org.uk)forfurtherdetailsofthisprocedure.Theguidanceincludesasampleformofappointmentletterifthechairmanisbeingappointedasdescribedin(i)above.


52 | COMPANY INFORMATION

Directors JeremyHDelmar-MorganMAMSI, Chairman (a) (r)

TrevorEBrown,Chief Executive Officer (appointed interim CEO 21 August 2015) (r)

JonathanDFreemanBAHonsMBA,Non-executive Director (a) (appointed 21 August 2015)

AndrewTGBurtonBSc,Executive Director (a) (appointed 24 September 2015)

MartinABowles,Non-executive Director (resigned 2 March 2016) (a)

GeoffreyCBThomson, Chief Executive Officer (resigned 21 August 2015)

CarolynSmithBAHonsACIS, Chief Investment Officer (resigned 6 May 2015)

AileenBrownCA,Chief Financial Officer (resigned 20 April 2015)

(a) Member of Audit and Compliance Committee

(r) Member of Remuneration Committee

Secretary WatsonMorganAssociatesLimited (appointed 1 April 2016) KevinCBrown (resigned 31 March 2016)

Registration Number

SC247376

Registered Office

2DundeeRoadPerthPH27DWTelephone+44(0)1738587555

Website www.braveheartgroup.co.uk

Advisers RegistrarCapitaAssetServicesLimitedTheRegistry34BeckenhamRoadBeckenhamKentBR34TU

AuditorMazarsLLP90StVincentStreetGlasgow G25UB

Principal Bankers HSBCBankplc76HanoverStreetEdinburghEH21HQ

Solicitors MaclayMurray&SpensLLPQuartermileOne15LauristonPlaceEdinburghEH36EP

Nominated Adviser and BrokerAllenbyCapitalLimited3StHelen’sPlaceLondonEC3A6AB

Bankers BankofScotlandplcPentlandHouse8LochsideAvenueEdinburghEH129DJ

Braveheart Investment Group plc Annual Report and … Investment Group plc Annual Report and...

Documents

Transcript of Braveheart Investment Group plc Annual Report and … Investment Group plc Annual Report and...