Kasei Digital Assets Plc - Half year results and strategic review

Kasei Digital Assets Plc - Half year results and strategic review

PR Newswire

LONDON, United Kingdom, April 30

Half year results, outcome of strategic review

and proposed voluntary winding up

The Board of Kasei Digital Assets PLC is pleased to announce its half year results as well as the outcome of its strategic review.

Outcome of strategic review

On 17th January, the Board announced that it intended to conduct a full strategic review of the future of the Company. The Board has now completed its review and has considered in particular the cost burden that shareholders bear as a result of the Company's status as a public quoted company.

After much consideration, the Board has concluded that the costs involved with being a publicly quoted Company are a significant burden. These costs include maintaining the Company's presence on the Aquis Stock Exchange, the associated costs of advisers and auditors and the AIFMD regulatory costs involved with managing funds on behalf of investors, which involve either an external third party or investment in significant resources to bring in-house.

Given the size of the Company, these combined costs have represented a substantial proportion of the returns that the Directors have generated from the Company's investment activities and, as a result, they have decided that the interests of shareholders will be best served if the Company ceases to be a publicly quoted company.

The Board has therefore resolved to seek to wind the Company up by means of a members' voluntary liquidation process and to return the net assets of the Company to shareholders in the form of cash.

The Company is solvent, has positive net assets and given that the bulk of the Company's assets are in the form of readily realisable crypto currencies or cash, the Board expects the process of distributing the Company's assets to shareholders to be a straightforward process, subject to the approval of shareholders.

Shareholders need take no action at this point and nothing will change in the short term. The Company will maintain its quotation on the Aquis Stock Exchange until the time that the Company's assets are distributed to shareholders in cash. The Board plans to start a process of winding down the Company's portfolio of crypto-assets in an orderly fashion over the next few months, taking profits where appropriate and being mindful of opportunities to maintain or create value for shareholders. The Board will, in parallel, commence the legal process of winding the Company up with a view to having completed the process by no later than 30 September 2025.

The winding up of the Company will require shareholders' approval by means of a special resolution which will be proposed at a general meeting to be convened in due course. Shareholders will be kept up to date by means of further announcements as appropriate.

Half year results

Kasei Digital Assets PLC (KASH) today releases their interim accounts for the period August 24-Jan 25. During the period we continued to sell down some of the investment holdings recording a profit on disposal of £580,669. The intangible assets increased during the period to £3,373,272 and the company held cash of £865,494 at the 31st January 2025.

Since the period end the value of the Company's intangible assets has dropped due to a sell off in risk assets triggered by US trade policy. Recently however volatility has subsided and the Company intends to prudently manage portfolio risk in line with its objectives as set out above.

As of the 31st March the investment portfolio comprised of

Underlying	Quantity	Price	Valuation
BTC	17.50	83,415.00	1,459,775.01
ETH	175.70	1,845.00	324,159.42
QNT	1,750.00	68.50	119,875.00
ADS	1,000,000.00	0.10	95,000.00
SOL	750.00	126.50	94,875.00
DAG	1,750,000.00	0.0435	76,125.00
LINK	3,750.00	13.55	50,812.50
AR	2,500.00	6.50	16,250.00
AVAX	1,000.00	18.75	18,750.00
TAO	150.00	225.00	33,750.00
REALITY			100,000.00

STATEMENTOFCOMPREHENSIVEINCOME FORTHEPERIODENDED31JANUARY2025
		6 months ended31	AUDITED
	Note	January 2025 £	Yearended 31July2024 £
Turnover		17,915	54,327
Grossprofit		17,915	54,327
Profit / (loss) on investment asset		-	134,881
Profit / (loss) on disposal of digital asset		580,669	84,744
Administrative expenses		(150,184)	(273,319)
Operatingprofit		448,400	633
Profitforthefinancialperiod		448,400	633
Othercomprehensiveincome:
Itemsthatwillnotbereclassifiedtoprofitorloss:
Fair value movements		802,508	1,106,409
Othercomprehensiveincomefortheperiod		802,508	1,106,409
Totalcomprehensiveincomefortheperiod/year		1,250,908	1,107,042
The notes on pages 5 to 10 form part of these financial statements.

BALANCESHEET ASAT31JANUARY2025
			31January		AUDITED 31 July
	Note		2025 £		2024 £
Fixedassets
Intangible assets	5		3,373,272		2,737,186
			3,373,272		2,737,186
Currentassets
Debtors: amounts falling due within one year	6	610,351		610,441
Cash at bank and in hand	7	865,494		244,863
		1,475,845		855,304
Creditors: amounts falling due within one year		(22,611)		(16,892)
Netcurrentassets			1,453,234		838,412
Totalassetslesscurrentliabilities			4,826,506		3,575,598
Netassets			4,826,506		3,575,598
Capitalandreserves
Called up share capital			332,284		332,284
Share premium account			3,946,878		3,946,878
Capital redemption reserve			(27,992)		(27,992)
Other reserves			1,923,070		1,120,562
Profit and loss account			(1,347,734)		(1,796,134)
			4,826,506		3,575,598

KASEI DIGITAL ASSETS PLC

STATEMENTOFCHANGESINEQUITY FORTHEPERIODENDED31JANUARY2025
	Calledup	Share premium		Capital redemption		Other	Profitand
sharecapital		account		reserve		reserves	lossaccount		Totalequity
	£	£		£		£	£		£
At1August2023	332,284	3,946,878		(27,992)		14,153	(1,796,767)		2,468,556
Profit for the year	- - - -						633		633
Other comprehensive income	- - - 1,106,409						-		1,106,409
At 1August2024	332,284		3,946,878		(27,992)	1,120,562		(1,796,134)	3,575,598
Profit for the period	- - - -						448,400		448,400
Fair value movements in the year	- - - 802,508						-		802,508
At31January2025	332,284		3,946,878		(27,992)	1,923,070		(1,347,734)	4,826,506

The notes on pages 5 to 10 form part of these financial statements.

Page 4

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 JANUARY 2025

1. General information

England. Its registered office is 72 Charlotte Street Ground Floor, London, England, W1T 4QQ, United Kingdom.

The Company's shares are traded on the Aquis Stock Exchange Growth Market under ticker KASH and ISIN number GB00BN950D98.

The Company's aim is to provide investors with exposure to the digital assets ecosystem and an attractive rate of return by levaraging the Board's expertise, experience and networks in the cryptocurrency sector. The Company also intends to invest in venture capital and private equity investments in the blockchain ecosystem.

2. Accounting policies

2.1Basisofpreparationoffinancialstatements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies.

The following principal accounting policies have been applied:

2.2 Foreign currency translation Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non- monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 JANUARY 2025

2. Accounting policies (continued)

2.3Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

2.4 Current and deferred taxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

2.5 Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.6 Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

2.7 Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 JANUARY 2025

3. Turnover
An analysis of turnover by class of business is as follows:
	31January 2025		31July2024
	£		£
Staking Income	11,913		20,072
Option Premium	-		21,022
Interest Income	6,002		13,233
	17,915		54,327

4.	Employees
		2025 £		2024 £
	Wages and salaries	27,000		47,728
	Social security costs	2,484		1,633
		29,484		49,361

Within Wages and Salaries; £27,000 (2024 £47,728) related to Directors remuneration.

The average monthly number of employees, including the directors, during the period was as follows:

	31 January 2025	31 July 2024
	No.	No.
Employees	2	2

.

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 JANUARY 2025

5. Digital assets

Digital Assets

£

Cost

At 1 August 2024 2,737,186

Additions 100,725

Disposals (213,822)

Revaluation surplus 749,183

At 31 January 2025 3,373,272

Net book value

At 31 January 2025 3,373,272

At31July2024 2,737,186

6.	Debtors
		Group		Group AUDITED 31		Company		Company AUDITED 31
		31January		July		31January		July
		2025 £		2024 £		2025 £		2024 £
	Other debtors	-		90		-		90
	Prepayments and accrued income	11,280		11,280		11,280		11,280
	Deferred taxation	599,071		599,071		599,071		599,071
		610,351		610,441		610,351		610,441

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 JANUARY 2025

7. Cashandcashequivalents
	Group		Group AUDITED 31		Company		Company AUDITED 31
	31January		July		31January		July
	2025 £		2024 £		2025 £		2024 £
Cash at bank and in hand	865,494		244,863		865,494		244,863
	865,494		244,863		865,494		244,863

8. Creditors:Amountsfallingduewithinoneyear

		Group		Group AUDITED 31		Company		Company AUDITED 31
		31January		July		31January		July
		2025 £		2024 £		2025 £		2024 £
	Trade creditors	17,019		866		17,019		866
	Amounts owed to group undertakings	-		-		207,201		207,201
	Other taxation and social security	2,392		2,026		2,392		2,026
	Accruals and deferred income	3,200		14,000		3,200		14,000
		22,611		16,892		229,812		224,093
9.	Deferredtaxation
								2025 £
	At beginning of year							599,071
	Atendofyear							599,071
						31January		AUDITED 31 July
						2025 £		2024 £
	Accelerated capital allowances					599,071		599,071
						599,071		599,071

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 JANUARY 2025

10. Sharecapital
	31January	AUDITED 31July
Allotted,calledupandfullypaid	2025 £	2024 £
33,228,360 (2024-33,228,360)Shares of £0.01 each	332,284	332,284

Share Capital consists of 33,228,350 (2023: 33,228,350) subscribed Shares at £0.01 each. Of which 2,799.157 are unsubscribed Treasury Shares.

---

---