BNN Technology PLC Annual Report & Accounts and cash position update (9221C)
21 April 2017 - 4:00PM
UK Regulatory
TIDMBNN
RNS Number : 9221C
BNN Technology PLC
21 April 2017
21 April 2017
BNN Technology PLC
("BNN" or the "Company")
Posting of Annual Report and Accounts and Update on Group Cash
Position
BNN Technology (AIM: BNN), a London-listed Chinese technology,
content and services company, confirms that the fully audited
Annual Report and Accounts for the year ended 31 December 2016 were
posted to shareholders today.
A copy of the Annual Report & Accounts is also available on
the Company's website: http://bnntechnology.com/financial.php
A Notice of AGM will be sent to Shareholders shortly and a
separate announcement confirming the date of the AGM will be made
in this regard.
The report describes, inter alia, our strategic vision and key
business areas. Our vision is to be a leading Chinese technology
portal with three key business areas: payments, content and value
added services. Recent announcements have outlined a clear
portfolio of sectors and revenue streams in which BNN will continue
to grow and invest over the coming months and years.
Group Cash & Debt Position
In the Annual Report and Accounts, cash balances comprise an
unrestricted balance of GBP28m and a restricted balance of GBP14.2m
(see the group consolidated balance sheet and note 21 to the
financial statements) at 31 December 2016. Accordingly, cash and
cash equivalents at the year end were GBP42.2m in total, which
exceeded our short and long term of borrowings of GBP19.7m by
GBP22.5m. The directors were of the opinion that this represented
sufficient cash resources to expedite the Group's strategy prior to
the student platform and credit services initiatives, and the
associated fundraising to execute on these opportunities, announced
on 13 April 2017.
Loans at the year end of GBP19.7m in total comprised secured
bank loans of GBP11.6m and unsecured loans of GBP8.1m (principally
the convertible loan notes, of which GBP2.4m has since been
converted in to equity in January 2017) (notes 23 and 32 to the
accounts). The secured bank loans are secured by restricted cash
deposits (note 21) and reflect the mechanisms through which cash is
transferred from the parent company to our operating companies in
China. This funding model, where onshore loans in China are secured
by offshore deposits, is a common funding model for foreign
incorporated companies operating in China.
Since the year end, GBP8m of cash has been utilised in the first
four months of the year reflecting annual provincial Xinhua
payments, as part of the Xinhuatong/Xinhua News Agency agreement,
working capital for the mobile phone business, NASDAQ listing
advisory costs, year-end audit fees and ongoing company
administrative and capital expenses.
The placing announced on 13 April 2017 raised a further GBP25m
(before expenses), subject in part to shareholder approval,
specifically to fund new initiatives in a student platform and
credit services. Those funds, together with existing funds, are
anticipated to be sufficient to deliver on all of the initiatives
announced to date.
As stated in earlier announcements, we expect the motorist
platform to launch in the second half of 2017, and thus, along with
our mobile top up business, support cash generation for the
business.
END
For further information, please contact:
+44 (0) 1565
BNN Technology plc 872990
Darren Mercer, Chief Executive
Scott Kennedy, Chief Financial Officer
Stephen Benzikie, Communications
+44 (0) 20
Brunswick Group (Public Relations) 7404 5959
Brian Buckley / Diana Vaughton
Strand Hanson Limited (Nominated +44 (0) 20
& Financial Adviser) 7409 3494
Andrew Emmott / Ritchie Balmer
Mirabaud Securities LLP (Broker) +44 (0) 20
Peter Krens 3167 7221
About the Group
BNN Technology plc is a Chinese technology, content and services
company that builds long-term partnerships to deliver China's
citizens with value-added services, content and evolving
opportunities.
Listed on AIM since 2014 the Group principally engages in
providing technology to partners to facilitate fulfilment of
payments and services online and on mobile apps through
partnerships or affiliate agreements with corporate and key
government partners, and, developing digital content, both online
and mobile. Through its partnership with Xinhuatong and NewNet, BNN
facilitates mobile payments, through its technology platform, on
the Xinhua News mobile app in 12 provinces in China. The Chinese
consumer shift to 'life on mobile' is only just beginning and BNN's
platform technology enables urban and rural communities across
China to access exclusive content and pay for more services
online.
The Group employs nearly 300 professionals throughout China.
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCFMGZDLGMGNZM
(END) Dow Jones Newswires
April 21, 2017 02:00 ET (06:00 GMT)
BNN Technology (LSE:BNN)
Historical Stock Chart
From Apr 2024 to May 2024
BNN Technology (LSE:BNN)
Historical Stock Chart
From May 2023 to May 2024