Cover
Cover | 12 Months Ended |
Dec. 31, 2022 shares | |
Entity Addresses [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Document Period End Date | Dec. 31, 2022 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2022 |
Current Fiscal Year End Date | --12-31 |
Entity File Number | 001-37652 |
Entity Registrant Name | BIODEXA PHARMACEUTICALS PLC |
Entity Central Index Key | 0001643918 |
Entity Incorporation, State or Country Code | D5 |
Entity Address, Address Line One | 1 Caspian Point |
Entity Address, Address Line Two | Caspian Way |
Entity Address, City or Town | Cardiff |
Entity Address, Country | GB |
Entity Address, Postal Zip Code | CF10 4DQ |
Title of 12(b) Security | American Depositary Shares, each representing five ordinary shares |
Trading Symbol | BDRX |
Security Exchange Name | NASDAQ |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Emerging Growth Company | false |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 5,417,137 |
Auditor Name | Mazars LLP |
Auditor Location | London, United Kingdom |
Auditor Firm ID | 1401 |
Business Contact [Member] | |
Entity Addresses [Line Items] | |
Entity Address, Address Line One | 1 Caspian Point |
Entity Address, Address Line Two | Caspian Way |
Entity Address, City or Town | Cardiff |
Entity Address, Country | GB |
Entity Address, Postal Zip Code | CF10 4DQ |
Country Region | +44 |
City Area Code | 29 |
Local Phone Number | 2048 0180 |
Contact Personnel Name | Stephen Stamp |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Profit or loss [abstract] | |||
Revenue | £ 699 | £ 578 | £ 180 |
Grant revenue | 163 | ||
Total revenue | 699 | 578 | 343 |
Other income | 22 | 24 | 12 |
Research and development costs | (5,111) | (4,654) | (6,068) |
Administrative costs | (4,542) | (2,946) | (4,958) |
Impairment of intangible assets | (12,369) | ||
Loss from operations | (8,932) | (6,998) | (23,040) |
Finance income | 497 | 936 | 1 |
Finance expense | (53) | (44) | (431) |
Loss before tax | (8,488) | (6,106) | (23,470) |
Taxation | 832 | 646 | 1,281 |
Loss for the year attributable to the owners of the parent | (7,656) | (5,460) | (22,189) |
Items that will or may be reclassified subsequently to profit or loss: | |||
Exchange gains arising on translation of foreign operations | 508 | ||
Total other comprehensive income net of tax | 508 | ||
Total comprehensive loss attributable to the owners of the parent | £ (7,656) | £ (5,460) | £ (21,681) |
Loss per share | |||
Basic and diluted loss per ordinary share - £ | £ (1.55) | £ (1.36) | £ (10.36) |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Non-current assets | |||
Property, plant and equipment | £ 831 | £ 1,152 | £ 542 |
Intangible assets | 6 | ||
Total Non-Current Assets | 837 | 1,152 | 542 |
Current assets | |||
Trade and other receivables | 1,006 | 1,034 | 572 |
Taxation | 846 | 670 | 1,157 |
Cash and cash equivalents | 2,836 | 10,057 | 7,546 |
Total Current Assets | 4,688 | 11,761 | 9,275 |
Total assets | 5,525 | 12,913 | 9,817 |
Non-current liabilities | |||
Borrowings | 463 | 620 | 60 |
Provisions | 50 | ||
Total Non-Current Liabilities | 463 | 620 | 110 |
Current liabilities | |||
Trade and other payables | 1,447 | 1,092 | 1,230 |
Borrowings | 161 | 146 | 200 |
Provisions | 207 | 50 | |
Derivative financial liability | 85 | 553 | 1,559 |
Total current Liabilities | 1,900 | 1,841 | 2,989 |
Total liabilities | 2,363 | 2,461 | 3,099 |
Issued capital and reserves attributable to owners of the parent | |||
Share capital | 1,108 | 1,098 | 1,063 |
Share premium | 83,667 | 83,434 | 74,364 |
Merger reserve | 53,003 | 53,003 | 53,003 |
Warrant reserve | 720 | 720 | 720 |
Accumulated deficit | (135,336) | (127,803) | (122,432) |
Total equity | 3,162 | 10,452 | 6,718 |
Total equity and liabilities | £ 5,525 | £ 12,913 | £ 9,817 |
CONSOLDATED STATEMENTS OF CASH
CONSOLDATED STATEMENTS OF CASH FLOWS - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities | |||
Loss for the year | £ (7,656) | £ (5,460) | £ (22,189) |
Adjustments for: | |||
Depreciation of property, plant and equipment | 174 | 213 | 1,089 |
Depreciation of right of use asset | 166 | 190 | 118 |
Amortisation of intangible fixed assets | 3 | 10 | |
Loss/(Profit) on disposal of fixed assets | 14 | (39) | (226) |
Impairment of intangible assets | 12,369 | ||
Impairment of loan | 207 | ||
Finance income | (497) | (936) | (1) |
Finance expense | 53 | 44 | 431 |
Share-based payment charge/(credit) | 123 | 89 | (404) |
Taxation | (832) | (646) | (1,281) |
Foreign exchange (gains)/losses | (1) | (3) | 387 |
Cash flows from operating activities before changes in working capital | (8,246) | (6,548) | (9,697) |
Decrease/(Increase) in trade and other receivables | 7 | (487) | 493 |
Increase/(Decrease) in trade and other payables | 356 | (130) | (2,004) |
Increase/(Decrease) in provisions | (157) | (47) | |
Cash used in operations | (7,726) | (7,165) | (11,255) |
Taxes received | 678 | 1,157 | 1,954 |
Net cash used in operating activities | (7,048) | (6,008) | (9,301) |
Investing activities | |||
Purchases of property, plant and equipment | (62) | (320) | (209) |
Proceeds from disposal of fixed assets | 20 | 42 | 143 |
Long term deposit for guarantee for Government loan | 2,639 | ||
Loan granted | (207) | ||
Interest received | 29 | 1 | |
Net cash (used in)/generated from investing activities | (220) | (278) | 2,574 |
Financing activities | |||
Interest paid | (18) | (15) | (34) |
Receipts from sub-lessee on onerous lease | 45 | ||
Amounts paid on lease liabilities | (178) | (112) | (258) |
Repayment of Government grants on closure of Spanish operation | (229) | ||
(Repayment)/Proceeds from Government loan | (103) | (6,182) | |
Share issues including warrants, net of costs | 243 | 9,035 | 9,742 |
Net cash generated from financing activities | 47 | 8,805 | 3,084 |
Net increase/(decrease) in cash and cash equivalents | (7,221) | 2,519 | (3,643) |
Cash and cash equivalents at beginning of year | 10,057 | 7,546 | 10,928 |
Exchange (losses)/gains on cash and cash equivalents | (8) | 261 | |
Cash and cash equivalents at end of year | £ 2,836 | £ 10,057 | £ 7,546 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - GBP (£) £ in Thousands | Share Capital [Member] | Share premium [member] | Merger reserve [member] | Warrant reserve [member] | Foreign Exchange Reserve [Member] | Retained earnings [member] | Total |
At 1 January 2020 at Dec. 31, 2019 | £ 1,023 | £ 65,879 | £ 53,003 | £ (508) | £ (99,839) | £ 19,558 | |
IfrsStatementLineItems [Line Items] | |||||||
Loss for the year | (22,189) | (22,189) | |||||
Foreign exchange translation | 508 | 508 | |||||
Total comprehensive loss | 508 | (22,189) | (21,681) | ||||
Transactions with owners | |||||||
Shares issued with warrants on 18 May 2020 – notes 16,23 | 16 | 2,527 | 720 | 3,263 | |||
Costs associated with shares issued with warrants on 18 May 2020 | (544) | (544) | |||||
Share-based payment credit | (404) | (404) | |||||
Total contribution by and distributions to owners | 40 | 8,485 | 720 | (404) | 8,841 | ||
Costs associated with share issue on 27 July 2020 | (489) | (489) | |||||
Shares issued on 27 July 2020 | 21 | 5,729 | 5,750 | ||||
Shares issued on 19 August 2020 | 3 | 1,278 | 1,281 | ||||
Costs associated with share issue on 19 August 2020 | (16) | (16) | |||||
At 31 December 2020 at Dec. 31, 2020 | 1,063 | 74,364 | 53,003 | 720 | (122,432) | 6,718 | |
IfrsStatementLineItems [Line Items] | |||||||
Loss for the year | (5,460) | (5,460) | |||||
Foreign exchange translation | |||||||
Total comprehensive loss | (5,460) | (5,460) | |||||
Transactions with owners | |||||||
Share-based payment credit | 89 | 89 | |||||
Total contribution by and distributions to owners | 35 | 9,070 | 89 | 9,194 | |||
Shares issued on 19 February 2021 | 161 | 161 | |||||
Costs associated with share issue on 19 February 2021 | (10) | (10) | |||||
Shares issued on 6 July 2021 | 35 | 9,965 | 10,000 | ||||
Costs associated with share issue on 27 July 2020 | (1,046) | (1,046) | |||||
At 31 December 2020 at Dec. 31, 2021 | 1,098 | 83,434 | 53,003 | 720 | (127,803) | 10,452 | |
IfrsStatementLineItems [Line Items] | |||||||
Loss for the year | (7,656) | (7,656) | |||||
Foreign exchange translation | |||||||
Total comprehensive loss | (7,656) | (7,656) | |||||
Transactions with owners | |||||||
Exercise of warrants on 22 March 2022 | |||||||
Shares issued with warrants on 18 May 2020 – notes 16,23 | 10 | 311 | 321 | ||||
Costs associated with shares issued with warrants on 18 May 2020 | (78) | (78) | |||||
Share-based payment credit | 123 | 123 | |||||
Total contribution by and distributions to owners | 10 | 233 | 123 | 366 | |||
At 31 December 2020 at Dec. 31, 2022 | £ 1,108 | £ 83,667 | £ 53,003 | £ 720 | £ (135,336) | £ 3,162 |
Accounting policies
Accounting policies | 12 Months Ended |
Dec. 31, 2022 | |
Accounting policies | 1 Accounting policies General information Biodexa Pharmaceuticals plc (the ‘Company’) is a company registered and domiciled in England and Wales. The Company was incorporated on 12 September 2014. The Company is a public limited company, whose ordinary shares have been admitted to trading on AIM (‘AIM’), which is a submarket of the London Stock Exchange, since 8 December 2014 until the admission of the Company’s ordinary shares to trading on AIM was cancelled on 26 April 2023. In addition, since 4 December 2015 the Company has American Depository Receipts (‘ADRs’) registered with the US Securities and Exchange Commission (‘SEC’) and is listed on the NASDAQ Capital Market. The financial statements were approved and authorised for issue by the Board of Directors on 28 April 2023. On 27 March 2023 the Company changed its name to Biodexa Pharmaceuticals plc from Midatech Pharma plc. Basis of preparation The Group was formed on 31 October 2014 when the Company entered into an agreement to acquire the entire share capital of Midatech Limited and its wholly owned subsidiaries through the issue equivalent of shares in the Company which took place on 13 November 2014. The financial statements have been prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (IASB). The principal accounting policies adopted in the preparation of the financial statements are set out below. The policies have been consistently applied to all the periods presented. The consolidated financial statements have been prepared on a historical cost basis, except for the following item (refer to individual accounting policies for details): - Certain financial instruments – fair value through profit or loss. Adoption of new and revised standards New standards, interpretations and amendments effective from 1 January 2022 The Group reviewed the new standards, interpretations and amendments effective from 1 January 2022 and deemed none were applicable to the annual financial statements for the year ended 31 December 2022. New standards, interpretations and amendments not yet effective There are a number of standards, amendments to standards, and interpretations which have been issued by the IASB that are effective in future accounting periods that the group has decided not to adopt early. The Group reviewed the new standards, interpretations and amendments effective from 1 January 2023 and 1 January 2024 and deemed none have an impact on the group. Basis for consolidation The Group financial statements consolidate those of the parent company and all of its subsidiaries. The parent controls a subsidiary if it has power over the investee to significantly direct the activities, exposure, or rights to variable returns from its involvement with the investee, and the ability to use its power over the investee to affect the amount of the investor’s returns. All subsidiaries have a reporting date of 31 December. All transactions and balances between Group companies are eliminated on consolidation, including unrealised gains and losses on transactions between Group companies. Where unrealised losses on intra-Group asset sales are reversed on consolidation, the underlying asset is also tested for impairment from a Group perspective. Amounts reported in the financial statements of subsidiaries have been adjusted where necessary to ensure consistency with the accounting policies adopted by the Group. The consolidated financial statements consist of the results of the following entities: Schedule of entities Entity Summary description Biodexa Pharmaceuticals plc Ultimate holding company Midatech Limited Trading company Midatech Pharma (Espana) SL (formerly Midatech Biogune SL) Liquidated - 2021 PharMida AG Dormant Midatech Pharma (Wales) Limited (formerly Q Chip Limited) Trading company Midatech Pharma Pty Dissolved - 2020 Biodexa Limited (formerly Bioadexa Pharmaceuticals Limited) Dormant – incorporated October 2022 Going concern The Group and Company are subject to a number of risks similar to those of other development and early-commercial stage pharmaceutical companies. These risks include, amongst others, generation of revenue from the development portfolio and risks associated with research, development, testing and obtaining related regulatory approvals of our pipeline products. Ultimately, the attainment of profitable operations is dependent on future uncertain events which include obtaining adequate financing to fulfill our commercial and development activities and generating a level of revenue adequate to support our cost structure. We have experienced net losses and significant cash outflows from cash used in operating activities over the past years as we develop our portfolio. For the year ended 31 December 2022, the Group incurred a consolidated loss from operations of £7.7 million and negative cash flows from operating activities of £7.0 million. As of 31 December 2022, the Group had an accumulated deficit of £135.3 million. Our future viability is dependent on our ability to raise cash from financing activities to finance our development plans until commercialisation, generate cash from operating activities and to successfully obtain regulatory approval to allow marketing of our development products. Our failure to raise capital as and when needed could have a negative impact on our financial condition and ability to pursue its business strategies. Our consolidated financial statements have been presented on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As at 31 December 2022, we had cash and cash equivalents of £2.8 million. On 9 February 2023 the Company completed a Private Placement in which it raised US$5.2 million (approximately £4.3 million), after deducting the placement agent’s fees and other estimated expenses. We forecast that the Group currently has enough cash to fund its planned operations into the fourth quarter of 2023. We believe we currently have enough cash to fund our planned operations into the fourth quarter of 2023. Failure to secure additional funding before the fourth quarter of 2023 could result in the Company being placed into administration. We have prepared cash flow forecasts and considered the cash flow requirement for the Group for the next three years including the period twelve months from the date of approval of the consolidated financial statements. These forecasts show that further financing will be required during the course of the next 12 months assuming, inter alia, that certain development programs and other operating activities continue as currently planned. In our opinion, the environment for financing of small and micro-cap biotech companies is as challenging as it has been since the financial crisis of 2008-2010. While this may present acquisition and/or merger opportunities with other companies with limited or no access to financing, any attendant financings by Biodexa are likely to be dilutive. We and our advisors continue to evaluate financing options, including those connected to acquisitions and/or mergers, potentially available to the Group, including fundraising and the partnering of assets and technologies of the Company. The alternatives being considered are all at an early stage and are contingent upon the agreement of counterparties and accordingly, there can be no assurance that any of the alternative courses of action to finance the Company will be successful. This requirement for additional financing in the short term represents a material uncertainty that may cast significant doubt about our ability to continue as a going concern. Should it become evident in the future that there are no realistic financing options available to the Company which are actionable before its cash resources run out then the Company will no longer be a going concern. In such circumstances, we would no longer be able to prepare financial statements under paragraph 25 of IAS 1. Instead, the financial statements would be prepared on a liquidation basis and assets would be stated at net realizable value and all liabilities would be accelerated to current liabilities. As a result of the foregoing, our independent registered public accounting firm included an explanatory paragraph in its report on our financial statements as of and for the year ended 31 December 2022 with respect to this uncertainty. We believe there are adequate options and time and available to secure additional financing for the Company and after considering the uncertainties, we considered it is appropriate to continue to adopt the going concern basis in preparing these financial information. Our ability to continue as a going concern is dependent upon our ability to obtain additional capital and/or dispose of assets, for which there can be no assurance we will be able to do on a timely basis, on favourable terms or at all. Revenue Revenue is accounted for in line with principles of IFRS 15 ‘Revenue from contracts with customers’ Supply of Research and Development Services Revenue from the supply of services is subject to specific agreement. This is recognised over the contract term, proportionate to the progress in overall satisfaction of the performance obligations (the services performed by the Group), measured by cost incurred to date out of total estimate of costs. The primary input of substantially all work performed under these arrangements is labour. There is normally a direct relationship between costs incurred and the proportion of the contract performed to date. Where the Group supplies services to a client it generally bills an agreed percentage in advance of the commencement of any work and the balance on completion. Invoices to clients are payable under normal commercial terms. Grant revenue Where grant income is received, which is not a direct re-imbursement of related costs, revenue is recognised at the point at which the conditions have been met, this has been recognised within grant revenue. Where grants are received as a re-imbursement of directly related costs they are credited to research and development expense in the same period as the expenditure towards which they are intended to contribute. The Group previously received government loans that had a below-market rate of interest. These loans were recognised and measured in accordance with IFRS 9. The benefit of the below-market rate of interest was measured as the difference between the initial carrying value of the loan discounted at a market rate of interest and the proceeds received. The difference was held within deferred revenue as a government grant and released as a credit to grant income or to research and development expense in line with the expenditure to which it related. In a situation where the proceeds were invested in plant and equipment, the deferred revenue was credited to research and development within the income statement in line with the depreciation of the acquired asset. Business combinations and externally acquired intangible assets Business combinations are accounted for using the acquisition method at the acquisition date, which is the date at which the Group obtains control over the entity. The cost of an acquisition is measured as the amount of the consideration transferred to the seller, measured at the acquisition date fair value, and the amount of any non-controlling interest in the acquiree. The Group measures goodwill initially at cost at the acquisition date, being: · the fair value of the consideration transferred to the seller, plus; · the amount of any non-controlling interest in the acquiree, plus; · if the business combination is achieved in stages, the fair value of the existing equity interest in the acquiree re-measured at the acquisition date, less; · the fair value of the net identifiable assets acquired and assumed liabilities. Acquisition costs incurred are expensed and included in administrative costs. Any contingent consideration to be transferred by the acquirer is recognised at fair value at the acquisition date. Subsequent changes to the fair value of the contingent consideration, whether it is an asset or liability, will be recognised through the consolidated statement of comprehensive income. If the contingent consideration is classified as equity, it is not re-measured. An intangible asset, which is an identifiable non-monetary asset without physical substance, is recognised to the extent that it is probable that the expected future economic benefits attributable to the asset will flow to the Group and that its cost can be measured reliably. The asset is deemed to be identifiable when it is separable or when it arises from contractual or other legal rights. Externally acquired intangible assets other than goodwill are initially recognised at cost and subsequently amortised on a straight-line basis over their useful economic lives where they are in use. Goodwill is stated at cost less any accumulated impairment losses. The amounts ascribed to intangibles recognised on business combinations are arrived at by using appropriate valuation techniques. In-process research and development (‘IPRD’) programmes acquired in business combinations are recognised as assets even if subsequent expenditure is written off because the criteria specified in the policy for development costs below are not met. IPRD is subject to annual impairment testing until the completion or abandonment of the related project. No further costs are capitalised in respect of this IPRD unless they meet the criteria for research and development capitalisation as set out below. As per IFRS 3, once the research and development of each defined project is completed, the carrying value of the acquired IPRD is reclassified as a finite-lived asset and amortised over its useful life. The significant intangibles recognised by the Group and their useful economic lives are as follows: Schedule of intangibles assets useful economic lives Goodwill – Indefinite life IPRD – In process, not yet amortising IT and website costs – 4 years The useful economic life of IPRD will be determined when the in-process research projects are completed. Internally generated intangible assets (development costs) Expenditure on the research phase of an internal project is recognised as an expense in the period in which it is incurred. Development costs incurred on specific projects are capitalised when all the following conditions are satisfied: · completion of the asset is technically feasible so that it will be available for use or sale; · the Group intends to complete the asset and use or sell it; · the Group has the ability to use or sell the asset and the asset will generate probable future economic benefits (over and above cost); · there are adequate technical, financial and other resources to complete the development and to use or sell the asset; and · the expenditure attributable to the asset during its development can be measured reliably. All internal activities related to the research and development of new projects are continuously monitored by the Directors. The Directors consider that the criteria to capitalise development expenditure are not met for a product prior to that product receiving regulatory approval in at least one country. Development expenditure not satisfying the above criteria, and expenditure on the research phase of internal projects are included in research and development costs recognised in the Consolidated Statement of Comprehensive Income as incurred. No projects have yet reached the point of capitalisation. Impairment of non-financial assets Assets that have an indefinite useful life, for example goodwill, or intangible assets not ready for use, such as IPRD, are not subject to amortisation and are tested annually for impairment. Assets that are subject to amortisation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (cash-generating units). The Group at 31 December 2022 had only one cash generating unit (2021: one, 2020: one), as set out in note 12. Non-financial assets other than goodwill that suffered impairment are reviewed for possible reversal of impairment at each reporting date. Impairment charges are included in profit or loss, except, where applicable, to the extent they reverse gains previously recognised in other comprehensive income. An impairment loss recognised for goodwill is not reversed. Patents and trademarks The costs incurred in establishing patents and trademarks are either expensed in accordance with the corresponding treatment of the development expenditure for the product to which they relate or capitalised if the development expenditure to which they relate has reached the point of capitalisation as an intangible asset. Foreign currency Transactions entered into by subsidiary entities in a currency other than the currency of the primary economic environment, in which they operate, are recorded at the rates ruling when the transactions occur. Foreign currency monetary assets and liabilities are translated at the rates ruling at the reporting date. Exchange differences arising on the retranslation of unsettled monetary assets and liabilities are recognised immediately in profit or loss. The presentational currency of the Group is Pounds Sterling. Foreign subsidiaries use the local currencies of the country where the operate. On consolidation, the results of overseas operations are translated into Pounds Sterling at rates approximating to those ruling when the transactions took place. All assets and liabilities of overseas operations, including goodwill arising on the acquisition of those operations, are translated at the rate ruling at the reporting date. Exchange differences arising on translating the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income and accumulated in the foreign exchange reserve. Exchange differences recognised in the profit or loss of Group entities on the translation of long-term monetary items forming part of the Group’s net investment in the overseas operation concerned are reclassified to other comprehensive income and accumulated in the foreign exchange reserve on consolidation. On disposal of a foreign operation, the cumulative exchange differences recognised in the foreign exchange reserve relating to that operation up to the date of disposal are transferred to the consolidated statement of comprehensive income as part of the gain or loss on disposal. Financial assets and liabilities Assets at amortised cost The Group does not have any financial assets which it would classify as fair value through profit or loss. Therefore, all financial assets are classed as assets at amortised cost as defined below. These assets are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They arise principally through the provision of goods and services to customers (e.g. trade receivables), but also incorporate other types of contractual monetary asset. They are initially recognised at fair value plus transaction costs that are directly attributable to their acquisition or issue, and are subsequently carried at amortised cost using the effective interest rate method, less provision for impairment. For impairment provisions, the Group applies the IFRS 9 simplified approach to measure expected credit losses using a lifetime expected credit loss provision for trade receivables to measure expected credit losses on a collective basis. Trade receivables are grouped based on a similar credit risk and ageing The expected loss rates are based on the Group’s historic credit losses experienced over the three-year period prior to the period end. The historic loss rates are then adjusted for current and forward-looking information on macroeconomic factors. The Group’s assets at amortised costs comprise trade and other receivables and cash and cash equivalents in the consolidated statement of financial position. Cash and cash equivalents include cash in hand, deposits held at call with original maturities of three months or less. Financial liabilities The Group classifies its financial liabilities into one of two categories, depending on the purpose for which the liability was acquired. Fair value through profit and loss (‘FVTPL’) The Group has outstanding warrants in the ordinary share capital of the company. The number of ordinary shares to be issued when exercised is fixed, however the exercise price is denominated in US Dollars being different to the functional currency of the parent company. Therefore, the warrants are classified as equity settled derivative financial liabilities recognised at fair value through the profit and loss account. The financial liability is valued using the either the Monte Carlo model or the Black-Scholes option pricing model. Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on re-measurement recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any interest paid on the financial liability and is included in the ‘finance income’ or ‘finance expense’ lines item in the income statement. Fair value is determined in the manner described in note 19. Other financial liabilities include the following items: · Borrowings are initially recognised at fair value net of any transaction costs directly attributable to the issue of the instrument. Such interest-bearing liabilities are subsequently measured at amortised cost using the effective interest rate method, which ensures that any interest expense over the period to repayment is at a constant rate on the balance of the liability carried in the consolidated statement of financial position. Interest expense in this context includes initial transaction costs and premium payable on redemption, as well as any interest or coupon payable while the liability is outstanding. · Government loans received on favourable terms below market rate are discounted at a market rate of interest. The difference between the present value of the loan and the proceeds is held as a government grant within deferred revenue and is released to research and development expenditure or grant income in line with when the asset or expenditure is recognised in the income statement. · Trade payables and other short-term monetary liabilities are initially recognised at fair value and subsequently carried at amortised cost using the effective interest method. Share capital Financial instruments issued by the Group are classified as equity only to the extent that they do not meet the definition of a financial liability or financial asset. The Group has two classes of share in existence: · ordinary shares of £ 0.001 · deferred shares of £1 each are classified as equity instruments. Retirement benefits: defined contribution schemes Contributions to defined contribution pension schemes are charged to the consolidated statement of comprehensive income in the year to which they relate. Provisions Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event; it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Share-based payments The Group operates a number of equity-settled, share-based compensation plans, under which the entity receives services from employees as consideration for equity instruments (options) of the Group. The fair value of the employee services received in exchange for the grant of the options is recognised as an expense. The total amount to be expensed is determined by reference to the fair value of the options granted: · including any market performance conditions (including the share price); · excluding the impact of any service and non-market performance vesting conditions (for example, remaining an employee of the entity over a specified time period); and · including the impact of any non-vesting conditions (for example, the requirement for employees to save). Non-market performance and service conditions are included in assumptions about the number of options that are expected to vest. The total expense is recognised over the vesting period, which is the period over which all of the specified vesting conditions are to be satisfied. Where vesting conditions are accelerated on the occurrence of a specified event, such as a change in control or initial public offering, such remaining unvested charge is accelerated to the income statement. In addition, in some circumstances employees may provide services in advance of the grant date and therefore the grant date fair value is estimated for the purposes of recognising the expense during the period between service commencement period and grant date. At the end of each reporting period, the Group revises its estimates of the number of options that are expected to vest based on the non-market vesting conditions. It recognises the impact of the revision to original estimates, if any, in the income statement, with a corresponding adjustment to equity. When the options are exercised, the Company issues new shares. The proceeds received net of any directly attributable transaction costs are credited to share capital (nominal value) and share premium. Leases Identifying Leases The Group accounts for a contract, or a portion of a contract, as a lease when it conveys the right to use an asset for a period of time in exchange for consideration. Leases are those contracts that satisfy the following criteria: (a) There is an identified asset; (b) The Group obtains substantially all the economic benefits from use of the asset; and (c) The Group has the right to direct use of the asset. The Group considers whether the supplier has substantive substitution rights. If the supplier does have those rights, the contract is not identified as giving rise to a lease. In determining whether the Group obtains substantially all the economic benefits from use of the asset, the Group considers only the economic benefits that arise from the use of the asset, not those incidental to legal ownership or other potential benefits. In determining whether the Group has the right to direct use of the asset, the Group considers whether it directs how and for what purpose the asset is used throughout the period of use. If there are no significant decisions to be made because they are pre-determined due to the nature of the asset, the Group considers whether it was involved in the design of the asset in a way that predetermines how and for what purpose the asset will be used throughout the period of use. If the contract or portion of a contract does not satisfy these criteria, the Group applies other applicable IFRSs rather than IFRS 16. All leases are accounted for by recognising a right-of-use asset and a lease liability except for: · Leases of low value assets; and · Leases with a duration of 12 months or less. Lease liabilities are measured at the present value of the contractual payments due to the lessor over the lease term, with the discount rate determined by reference to the group’s incremental borrowing rate on commencement of the lease. Right of use assets are initially measured at the amount of the lease liability, reduced for any lease incentives received, and increased for lease payments made at or before commencement of the lease. The Group has taken advantage of the practical expedient to ignore the requirement to separate non-lease components and instead account for the entire contract as a single lease. Subsequent to initial measurement lease liabilities increase as a result of interest charged at a constant rate on the balance outstanding and are reduced for lease payments made. Right-of-use assets are amortised on a straight-line basis over the remaining term of the lease. When the group revises its estimate of the term of any lease (because, for example, it re-assesses the probability of a lessee extension or termination option being exercised), it adjusts the carrying amount of the lease liability to reflect the payments to make over the revised term, which are discounted using a revised discount rate. An equivalent adjustment is made to the carrying value of the right-of-use asset, with the revised carrying amount being amortised over the remaining (revised) lease term. If the carrying amount of the right-of-use asset is adjusted to zero, any further reduction is recognised in profit or loss. Nature of leasing activities (in the capacity as lessee) As at 31 December 2022 the Group had one property lease in place in the UK. Taxation Tax is recognised in the Comprehensive Statement of Income, 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 credit is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the country where the Company operates and generates income. Deferred taxation Deferred tax assets and liabilities are recognised where the carrying amount of an asset or liability in the consolidated statement of financial position differs from its tax base, except for differences arising on: · the initial recognition of goodwill; · the initial recognition of an asset or liability in a transaction which is not a business combination and at the time · investments in subsidiaries and jointly controlled entities where the Group is able to control the timing of the reversal of the difference and it is probable that the difference will not reverse in the foreseeable future. Recognition of deferred tax assets is restricted to those instances where it is probable that taxable profit will be available against which the difference can be utilised. The amount of the asset or liability is determined using tax rates that have been enacted or substantively enacted by the reporting date and are expected to apply when the deferred tax assets or liabilities are recovered or settled. Property, plant and equipment Property, plant and equipment is stated at cost, net of accumulated depreciation and accumulated impairment losses. Depreciation is provided on all items of property, plant and equipment so as to write off their carrying value over their expected useful economic lives. It is provided at the following rates: Schedule of depreciation rates of property, plant and equipment Fixtures and fittings – 20%- 25% per annum straight line Leasehold improvements – the shorter of 10% per annum straight line or over the lease term Computer equipment – 25% per annum straight line Laboratory equipment – 15% – 25% per annum straight line Right of use asset – Economic life of contractual relationship |
Critical accounting estimates a
Critical accounting estimates and judgements | 12 Months Ended |
Dec. 31, 2022 | |
Critical Accounting Estimates And Judgements | |
Critical accounting estimates and judgements | 2 Critical accounting estimates and judgements The preparation of these consolidated financial statements requires the Group to make estimates, assumptions and judgments that can have a significant impact on the reported amounts of assets and liabilities, revenue and expenses and related disclosure of contingent assets and liabilities, at the respective dates of our financial statements. The Group bases its estimates, assumptions and judgments on historical experience and various other factors that we believe to be reasonable under the circumstances. Actual results may differ from these estimates under different assumptions or conditions. Management evaluates estimates, assumptions and judgments on a regular basis and makes changes accordingly, and discusses critical accounting estimates with the board of Directors. The following are considered to be critical accounting estimates: Impairment of goodwill and intangible assets not yet ready for use Goodwill and intangibles not yet ready for use are tested for impairment at the cash generating unit level on an annual basis at the year end and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a cash generating unit below its carrying value. These events or circumstances could include a significant change in the business climate, legal factors, operating performance indicators, competition, or sale or disposition of a significant portion of a reporting unit. The fair value of each cash generating unit or asset is estimated using the income approach, on a discounted cash flow methodology. This analysis requires significant judgments, including estimation of future cash flows, which is dependent on internal forecasts, including for revenues and development costs, estimation of the long term rate of growth for the business, estimation of the useful life over which cash flows will occur and determination of our weighted-average cost of capital. The carrying value of goodwill was £Nil (2021: £Nil; 2020: £Nil) and intangibles not yet ready for use was £Nil (2021: £Nil; 2020:£Nil) as at 31 December 2022 (note 11). The estimates used to calculate the fair value of a cash generating unit change from year to year based on operating results and market conditions. Changes in these estimates and assumptions could materially affect the determination of fair value and goodwill impairment for each such unit. In March 2020 the Group undertook a Strategic Review to re-evaluate its priorities in the context of available resources. The Board concluded that the Company was unlikely to conclude a license transaction or raise sufficient funds to continue the required remaining investment in MTD201 on a timely basis. The Board therefore decided to terminate further in-house development of the MTD201 programme with immediate effect and, in line with that decision, to close the Company’s MTD201 dedicated manufacturing facilities in Bilbao and offer redundancy to all 42 employees. As a result of the decision to terminate this program the Group recognised an impairment charge of £2.3m in the year to 31 December 2020 against goodwill and an impairment charge against the IPRD of the Midatech Pharma (Wales) Ltd cash generating unit of £9.3m. See note 12. In June 2020 the Group received a letter from Secura Bio Inc., the licensor of Panobinostat, the active ingredient in the Group’s MTX110 development program, purporting to terminate our license. As a result of this purported termination an impairment charge of £0.8m was recognised in the year to 31 December 2020 against the acquired IPRD in relation to MTX110. See note 11. Share-based payments The Group accounts for share-based payment transactions for employees in accordance with IFRS 2 Share-based Payment, which requires the measurement of the cost of employee services received in exchange for the options on our ordinary shares, based on the fair value of the award on the grant date. The Directors selected the Black-Scholes-Merton option pricing model as the most appropriate method for determining the estimated fair value of our share-based awards without market conditions. For performance-based options that include vesting conditions relating to the market performance of our ordinary shares, a Monte Carlo pricing model was used in order to reflect the valuation impact of price hurdles that have to be met as conditions to vesting. The resulting cost of an equity incentive award is recognised as expense over the requisite service period of the award, which is usually the vesting period. Compensation expense is recognised over the vesting period using the straight-line method and classified in the consolidated statements of comprehensive income. The assumptions used for estimating fair value for share-based payment transactions are disclosed in note 25 to our consolidated financial statements and are estimated as follows: · volatility is estimated based on the average annualised volatility of a number of publicly traded peer companies in the biotech sector; · the estimated life of the option is estimated to be until the first exercise period, which is typically the month after the option vests; and · the dividend return is estimated by reference to our historical dividend payments. Currently, this is estimated to be zero as no dividend has been paid in the prior periods. Financial liabilities Fair value through profit and loss (‘FVTPL’) The Group has outstanding warrants in the ordinary share capital of the Company. The number of ordinary shares to be issued when exercised is fixed, however the exercise price is denominated in US Dollars being different to the functional currency of the parent company. Therefore, the warrants are classified as equity settled derivative financial liabilities recognised at fair value through the profit and loss account. The financial liability is valued using the either the Monte Carlo model or the Black-Scholes option pricing model. Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on re-measurement recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any interest paid on the financial liability and is included in the ‘finance income’ or ‘finance expense’ lines item in the income statement. Fair value is determined in the manner described in note 19. The following are considered to be critical accounting judgments: Revenue Supply of Research and Development Services There are significant management judgements and estimates involved in the recognition of revenue from the supply of services. Revenue on services is recognised over the contract term, proportionate to the progress in overall satisfaction of the performance obligations (the services performed by the Group), measured by cost incurred to date out of total estimate of costs. The Company’s R&D collaboration agreements require the delivery of services within 12 months. Income taxes Deferred tax assets are recognised for unused tax losses to the extent that it is probable that taxable profit will be available against which the losses can be utilised. Judgment is required to determine the amount of deferred tax assets that can be recognised based upon the likely timing and the level of future taxable profits together with future tax planning strategies. In 2022, there were approximately £ 71.6 67.2 63.2 Going Concern We have has experienced net losses and significant cash outflows from cash used in operating activities over the past years as it develops its portfolio. For the year ended 31 December 2022, the Group incurred a consolidated loss from operations of £ 7.7 7.0 135.3 Our future viability is dependent on our ability to raise cash from financing activities to finance our development plans until commercialisation, to generate cash from operating activities and to successfully obtain regulatory approval to allow marketing of our development products. Our failure to raise capital as and when needed could have a negative impact on our financial condition and ability to pursue our business strategies. Our consolidated financial statements have been presented on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As at 31 December 2022, we had cash and cash equivalents of £ 2.8 We have prepared cash flow forecasts and considered the cash flow requirement for the Company for our next three years including the period twelve months from the date of the approval of the financial statements. These forecasts show that further financing will be required during the course of the next 12 months assuming, inter alia, that certain development programs and other operating activities continue as currently planned. In our opinion, the environment for financing of small and micro-cap biotech companies is as challenging as it has been since the financial crisis of 2008-2010. While this may present acquisition and/or merger opportunities with other companies with limited or no access to financing, any attendant financings by Biodexa are likely to be dilutive. We and our advisors continue to evaluate financing options, including those connected to acquisitions and/or mergers, potentially available to the Group, including fundraising and the partnering of assets and technologies of the Company. The alternatives being considered are all at an early stage and are contingent upon the agreement of counterparties and accordingly, there can be no assurance that any of the alternative courses of action to finance the Company will be successful. This requirement for additional financing in the short term represents a material uncertainty that may cast significant doubt about our ability to continue as a going concern. Should it become evident in the future that there are no realistic financing options available to the Company which are actionable before its cash resources run out then the Company will no longer be a going concern. In such circumstances, we would no longer be able to prepare financial statements under paragraph 25 of IAS 1. Instead, the financial statements would be prepared on a liquidation basis and assets would stated at net realizable value and all liabilities would be accelerated to current liabilities. As a result of the foregoing, our independent registered public accounting firm included an explanatory paragraph in its report on our financial statements as of and for the year ended 31 December 2022 with respect to this uncertainty. We believe there are adequate options and time and available to secure additional financing for the Company and after considering the uncertainties, we considered it is appropriate to continue to adopt the going concern basis in preparing these financial information. Our ability to continue as a going concern is dependent upon our ability to obtain additional capital and/or dispose of assets, for which there can be no assurance we will be able to do on a timely basis, on favourable terms or at all. |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2022 | |
Revenue | 3 Revenue Revenue from contracts with customers Geographical analysis of revenue by destination of customer Schedule of revenue by geographical analysis 2022 £’000 2021 £’000 2020 £’000 Revenue: United Kingdom – – 4 Belgium 699 578 114 Rest of the World – – 62 699 578 180 All revenue came from the sale of services in 2022, 2021 and 2020. It is derived entirely from the Company’s R&D collaboration agreements. It is recognised over the contract term proportionate to the progress in overall satisfaction of the performance obligations. Schedule of performance obligations Contractual Assets Contractual Liabilities 2022 £’000 2021 £’000 2020 £’000 2022 £’000 2021 £’000 2020 £’000 At 1 January – 71 – – (68 ) – Transfers in the period from contract assets to trade receivables – (71 ) – – – – Amounts included in contract liabilities that was recognised as revenue during the period – – – – (68 ) – Excess of revenue recognised over cash – – 71 – – – Cash received in advance of performance and not recognised as revenue during the period – – – (197 ) – (68 ) At 31 December – – 71 (197 ) – (68 ) The Company’s R&D collaboration agreements are for the delivery of services within the next 12 months for which the practical expedient in paragraph 121 (a) of IFRS15 applies. In 2022, all revenue came from 1 customer (2021: 1 customer; 2020: 3 customers). Schedule of commercial segment 2022 £’000 2021 £’000 2020 £’000 Customer A 100 % 100 % 64 % Customer B – – 34 % Customer C – – 2 % The Group contains one reportable operating segment, Pipeline Research and Development (‘Pipeline R&D’). This segment seeks to develop products using the Group’s nanomedicine and sustained release technology platforms. All the reconciliations required for segmental reporting can be found in the primary statements. The accounting policies of the reportable segments are consistent with the Group’s accounting policies described in note 1. |
Loss from operations
Loss from operations | 12 Months Ended |
Dec. 31, 2022 | |
Loss from operations | 4 Loss from operations Schedule of loss from operations Note 2022 £’000 2021 £’000 2020 £’000 Loss from operations is stated after charging/(crediting): Depreciation of property, plant and equipment - Research and development costs 9 162 198 1,064 - Administrative costs 9 12 15 25 Depreciation of right of use asset - Research and development costs 9 151 165 110 - Administrative costs 9 15 25 8 Amortisation of intangible assets – software - Research and development costs 11 3 – 8 - Administrative costs 11 – – 2 Impairment of intangible assets 11 – – 12,369 Impairment of financial asset 14 207 – – Provision against future loss on loan agreement 18 207 – – Fees payable to the Company’s auditor for the audit of the parent Company financial statements 106 88 87 Fees payable to the Company’s auditors for the audits of the subsidiary financial statements 44 44 43 Fees payable to the Company’s auditor for: – Audit related services 70 – 7 Fees payable to the Company’s previous auditor for the audit of the parent Company financial statements – – 15 Fees payable to the Company’s previous auditor for: - Audit related services 67 41 171 Foreign exchange loss 9 12 96 Profit/(Loss) 14 (42 ) (226 ) Equity settled share-based payment* 123 89 (404 ) * credit recognised in 2020 due to employees leaving the company and the subsequent reversal of the cumulative share based payment charge relating to share options under the 2014 Biodexa Pharmaceuticals plc Enterprise Management Incentive Scheme. |
Staff costs
Staff costs | 12 Months Ended |
Dec. 31, 2022 | |
Staff Costs | |
Staff costs | 5 Staff costs Staff costs (including Directors) comprise: Schedule of staff costs 2022 £’000 2021 £’000 2020 £’000 Wages and salaries 2,033 1,354 2,727 Defined contribution pension cost (note 24) 98 71 75 Social security contributions and similar taxes 269 152 397 Share-based payment charge/(credit) 123 89 (404 ) Staff costs gross 2,523 1,666 2,795 Employee numbers The average number of staff employed by the Group during the financial year amounted to: Schedule for average number of employed staff 2022 2021 2020 Research and development 22 15 31 General and administration 5 5 9 27 20 40 Key management personnel compensation Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Group, including the Directors of the Company listed on page 25, including the Chief Executive Officer and Chief Scientific Officer. Schedule of Management Personnel Compensation 2022 £’000 2021 £’000 2020 £’000 Short term employee benefits 668 658 472 Post-employment benefits 21 27 24 Termination benefits – – 30 Share-based payment 53 61 (472 ) Total 742 746 54 None of the Directors have exercised share options during the year (2021: nil, 2020: nil). During the year no Directors (2021:1; 2020: 2) participated in a defined contribution pension scheme. Pension contributions in the above note include those of the Chief Scientific Officer. |
Finance income and expense
Finance income and expense | 12 Months Ended |
Dec. 31, 2022 | |
Finance income and expense | 6 Finance income and expense Schedule of finance income 2022 £’000 2021 £’000 2020 £’000 Finance income Interest received on bank deposits 29 – 1 Gain on equity settled derivative financial liability 468 936 – Total finance income 497 936 1 2022 £’000 2021 £’000 2020 £’000 Finance expense Interest expense on lease liabilities 43 36 20 Other loans 10 8 14 Loss on equity settled derivative financial liability – – 397 Total finance expense 53 44 431 The gain/(loss) on the equity settled derivative financial liability in 2022, 2021 and 2020 arose as a result of the movement in share price (note 19). |
Taxation
Taxation | 12 Months Ended |
Dec. 31, 2022 | |
Taxation | 7 Taxation Schedule of components of income tax expense (benefit) 2022 £’000 2021 £’000 2020 £’000 Current tax credit Current tax credited to the income statement 825 646 1,144 Taxation payable in respect of foreign subsidiary – – (21 ) Adjustment in respect of prior year 7 – 158 Current tax credit 832 646 1,281 Deferred tax credit Reversal of temporary differences – – – Total tax credit 832 646 1,281 The reasons for the difference between the actual tax charge for the year and the standard rate of corporation tax in the United Kingdom applied to losses for the year are as follows: Schedule of difference between actual tax charge and the standard rate of corporation tax 2022 £’000 2021 £’000 2020 £’000 Loss before tax (8,488 ) (6,106 ) (23,470 ) Expected tax credit based on the standard rate of United Kingdom corporation tax at the domestic rate of 19% (2021: 19%; 2020: 19%) (1,613 ) (1,160 ) (4,459 ) Expenses not deductible for tax purposes 392 75 596 Income not taxable (4 ) (2 ) (75 ) Adjustment in respect of prior period (7 ) – (158 ) Surrender of tax losses for R&D tax refund (357 ) (280 ) (491 ) Deferred tax not recognised 757 721 3,306 Total tax credited to the income statement (832 ) (646 ) (1,281 ) The taxation credit arises on the enhanced research and development tax credits accrued for the respective periods. An adjustment has been recognised in 2022 in respect of the prior period of £7k (2021: £Nil; 2020: £158k), this is as a result of a more detailed review of cost classification prior to the submission of tax returns to HMRC. |
Loss per share
Loss per share | 12 Months Ended |
Dec. 31, 2022 | |
Loss per share | 8 Loss per share Schedule of loss per share 2022 £’000 2021 £’000 2020 £’000 Numerator Loss used in basic EPS and diluted EPS: Continuing operations (7,656 ) (5,460 ) (22,189 ) Denominator Weighted average number of ordinary shares used in basic EPS: 4,941,793 4,027,345 2,142,000 Basic and diluted loss per share: Continuing operations – £ (1.55 ) (1.36 ) (10.36 ) At a General Meeting on 24 March 2023, shareholders approved a consolidation of the Company’s Ordinary Shares on a one for 20 basis. As a result the par value of the Ordinary Shares was changed from £0.001 per share to £0.02 per share. The denominator has been calculated to reflect the share consolidation. The Group has made a loss in the current and previous years presented, and therefore the options and warrants are anti-dilutive. As a result, diluted earnings per share is presented on the same basis for all periods shown. |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property, plant and equipment | 9 Property, plant and equipment Schedule of detailed information about property, plant and equipment Fixtures and fittings £’000 Leasehold improvements £’000 Computer equipment £’000 Laboratory equipment £’000 Right of use asset £’000 Total £’000 Cost At 1 January 2020 248 2,038 403 3,738 1,124 7,551 Additions – 58 16 135 – 209 Effect of modification to lease terms – – – – (678 ) (678 ) Disposal (202 ) (2,184 ) (185 ) (2,323 ) (316 ) (5,210 ) Exchange differences 7 92 2 112 58 271 At 31 December 2020 53 4 236 1,662 188 2,143 Additions 57 53 16 194 720 1,040 Transfer – – – (155 ) 155 – Effect of modification to lease terms – – – – (24 ) (24 ) Disposal (50 ) (4 ) (10 ) (138 ) (164 ) (366 ) At 31 December 2021 60 53 242 1,563 875 2,793 Additions 3 – 14 45 – 62 Transfer to intangibles – – (122 ) – – (122 ) Disposal – – (46 ) (174 ) (51 ) (271 ) At 31 December 2022 63 53 88 1,434 824 2,462 Fixtures and fittings £’000 Leasehold improvements £’000 Computer equipment £’000 Laboratory equipment £’000 Right of use asset £’000 Total £’000 Accumulated depreciation At 1 January 2020 235 1,794 332 2,740 296 5,397 Charge for the year 9 310 50 720 118 1,207 Disposal (202 ) (2,183 ) (185 ) (2,300 ) (316 ) (5,186 ) Exchange differences 7 81 2 79 14 183 At 31 December 2020 49 2 199 1,239 112 1,601 Transfer – – – (74 ) 74 – Charge for the year 8 5 22 178 190 403 Disposal (50 ) (3 ) (8 ) (138 ) (164 ) (363 ) At 31 December 2021 7 4 213 1,205 212 1,641 Transfer to intangibles – – (113 ) – – (113 ) Charge for the year 12 11 12 139 166 340 Disposal – – (41 ) (155 ) (41 ) (237 ) At 31 December 2022 19 15 71 1,189 337 1,631 Net book value At 31 December 2022 44 38 17 245 487 831 At 31 December 2021 53 49 29 358 663 1,152 At 31 December 2020 4 2 37 423 76 542 As at 31 December right of use asset consisted of leasehold improvements of £485k (2021: £619k; 2020: £76k) and laboratory equipment of £2k (2021: £44k; 2020: £nil). On 1 January 2022 software previously disclosed within computer equipment was transferred to intangible assets. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Leases | 10 Leases Schedule of market rental rates Lease Liabilities 2022 £’000 2021 £’000 2020 £’000 At 1 January 766 76 907 Additions – 720 – Transfer – 77 – Effect of modification to lease terms – (24 ) (788 ) Interest expenses 36 29 15 Lease payments (178 ) (112 ) (105 ) Exchange differences – – 47 At 31 December 624 766 76 The right of use asset is disclosed in note 9. In April 2021 the Group signed an agreement to lease new premises in Cardiff, Wales, to house its corporate offices and laboratories. The agreement to lease allowed the Group to carry out the Cat A works and fit out prior to completion of the lease and its occupation in August 2021. The lease agreed was for a 5 year period with no break clause. The lease was recognised as a right of use asset in 2021. The recognition in 2021 of the right of use asset and corresponding lease liability were a non cash investing and financing transaction. In May 2021 the Group provided notice to terminate its property lease on its historical building in Cardiff. The lease required 6 month’s notice. During 2020 as a result of the closure of the Group’s operations in Spain two property leases were terminated early, this impacted both the right of use asset and the lease liability. Low value leases expensed in year: Low value leases expensed in year 2022 £’000 2021 £’000 2020 £’000 Low value leases expensed 3 2 10 3 2 10 Total cash outflow for leases in 2022 was £181k (2021: £114k; 2020: £115k). |
Intangible assets
Intangible assets | 12 Months Ended |
Dec. 31, 2022 | |
Intangible assets | 11 Intangible assets Schedule of reconciliation of changes in intangible assets and goodwill In-process £’000 Goodwill £’000 IT/Website £’000 Total £’000 Cost At 1 January 2020 13,378 2,291 35 15,704 Disposal – – (36 ) (36 ) Foreign exchange – – 1 1 At 31 December 2020 13,378 2,291 – 15,669 At 31 December 2021 13,378 2,291 – 15,669 Transfer from property, plant and equipment – – 122 122 Disposal – – (12 ) (12 ) At 31 December 2022 13,378 2,291 110 15,779 In-process research and development £’000 Goodwill £’000 IT/Website Costs £’000 Total £’000 Accumulated amortisation and impairment At 1 January 2020 3,300 – 25 3,325 Amortisation charge for the year – – 10 10 Disposal – – (36 ) (36 ) Impairment 10,078 2,291 – 12,369 Foreign exchange – – 1 1 At 31 December 2020 13,378 2,291 – 15,669 At 31 December 2021 13,378 2,291 – 15,669 Amortisation charge for the year – – 3 3 Transfer from property, plant and equipment – – 113 113 Disposal – – (12 ) (12 ) At 31 December 2022 13,378 2,291 104 15,773 Net book value At 31 December 2022 – – 6 6 At 31 December 2021 – – – – At 31 December 2020 – – – – In 2020 an impairment charge of £0.8m was recorded in relation to the acquire IPRD on MTX110. The impairment was as a result of the termination of a License Agreement between the Company and Secura Bio Inc. Pursuant to the License Agreement, Midatech Limited was granted a non-exclusive worldwide, sub-licensable license to certain patents of Panobinostat, the active pharmaceutical ingredient of the Company’s development product MTX110. |
Impairment testing
Impairment testing | 12 Months Ended |
Dec. 31, 2022 | |
Impairment testing | 12 Impairment testing As a result of the Board’s decision to terminate its MTD201 program in March 2020 an impairment charge of £ 11.6 9.3 2.3 |
Subsidiaries
Subsidiaries | 12 Months Ended |
Dec. 31, 2022 | |
Subsidiaries | 13 Subsidiaries The subsidiaries of the Company, all of which are 100% owned as at 31 December 2022, either directly or through subsidiaries where indicated, and have been included in these financial statements in accordance with the details set out in the basis of preparation and basis of consolidation note 1, are as follows: Schedule of subsidiaries Name Registered Office Nature of Business Notes Midatech Limited 1 Caspian Point, Caspian Way, Cardiff, Trading company PharMida AG c/o Kellerhals, Hirschgässlein 11, 4051 Basel, Switzerland Dormant (a) (b) Midatech Pharma (Wales) Limited 1 Caspian Point, Caspian Way, Cardiff, Trading company Biodexa Limited (formerly Biodexa Pharmaceuticals Limited) 1 Caspian Point, Caspian Way, Cardiff, Dormant Notes: (a) Wholly owned subsidiary of Midatech Limited. (b) PharMida AG became dormant in January 2016. |
Trade and other receivables
Trade and other receivables | 12 Months Ended |
Dec. 31, 2022 | |
Trade and other receivables | 14 Trade and other receivables Schedule of trade and other receivables 2022 £’000 2021 £’000 2020 £’000 Trade receivables 329 33 95 Prepayments 376 607 258 Other receivables 301 394 219 Total trade and other receivables 1,006 1,034 572 Less: non-current portion – – – Current portion 1,006 1,034 572 The Group has applied the practical expedient permitted by IFRS 15 to not disclose the transaction price allocated to performance obligations unsatisfied (or partially unsatisfied) as of the end of the reporting period as contracts typically have an original expected duration of a year or less. Book values approximate to fair value at 31 December 2022, 2021 and 2020. Expected Credit Loss Given the short-term nature of the Group’s trade receivables and accrued income, which are mainly due from large national or multinational companies, the Group's assessment of expected credit losses includes provisions for specific clients and receivables where the contractual cash flow is deemed at risk. Considerations include the current economic environment along with historical and forward-looking information. No assumptions or estimating techniques are applied in considering these. Additional provisions are made based on the assessment of recoverability of aged receivables over one year where sufficient evidence of recoverability is not evident. Trade and other receivables contain one impaired asset in 2022, as detailed below. In 2021 and 2020 Trade and other receivables did not contain an impaired asset. The Group does hold security in 2022 as detailed above against one asset, in 2021 and 2020 it did not hold any collateral as security. The maximum exposure to credit risk at the consolidated statement of financial position date is the fair value of each class of receivable. The Company recognises a default on a financial asset when the counter party announces they have limited resources to satisfy the debt. Bioasis Loans On 13 December 2022 the Company entered into an Arrangement Agreement with Bioasis Technologies Inc (‘Bioasis’) under which the Company would acquire the entire issued share capital of Bioasis, the agreement entered into was subject to shareholder approval. In addition to this, on 19 December 2022 the Company entered into a Promissory Note and Security Agreement with Bioasis to assist in the short term with Bioasis’ working capital requirements. Under the agreement the Company agreed to advance Bioasis up to US$750,000 in 3 tranches payable on 19 December 2022, 3 January 2023 and 6 February 2023. The loan is repayable on the earliest of the following: a) The occurrence of an event of default; b) The closing date (as defined in the Arrangement Agreement for the proposed acquisition of Bioasis); or c) 30 June 2023. The promissory note is subject to interest at a rate equal to 2% per month or, from and after the Bioasis maturity date, at a default rate of 15% per annum. Under the Security Agreement the Company was made a secured creditor. The Company advanced US$250,000 to Bioasis in the year to 31 December 2022. A further advance of US$250,000 was made to Bioasis on 3 January 2023. Management considers recovery of the debt to be uncertain and have therefore recognised an impairment provision of £207,000 in the year against the advance made to Bioasis in December 2022. On 3 February 2023 Bioasis announced they were ‘urgently exploring and evaluating all financing and strategic alternatives that may be available to address its liquidity requirements’ which triggered an event of default. As a result of this the 3rd payment under the agreement was not made in the post year end period. On 5 March 2023 Bioasis were served with notice of an event of default. |
Cash and cash equivalents and c
Cash and cash equivalents and cash flow supporting notes | 12 Months Ended |
Dec. 31, 2022 | |
Cash and cash equivalents and cash flow supporting notes | 15 Cash and cash equivalents and cash flow supporting notes Cash and cash equivalents for purposes of the consolidated statement of cash flows comprises: Schedule of cash and cash equivalents 2022 £’000 2021 £’000 2020 £’000 Cash at bank available on demand 2,836 10,057 7,546 During 2022, 2021 and 2020, cash inflows arose from equity financing transactions, included within financing activities on the face of the cash flow statement. As part of the equity transaction in December 2022 warrants to the value of £Nil (July 2021: £nil; May 2020: £1.0m;) were issued as disclosed in note 19. Schedule of cash inflows from an equity financing transaction 2022 £’000 2021 £’000 2020 £’000 Gross proceeds 321 10,091 10,792 Transaction costs (78 ) (1,056 ) (1,050 ) Proceeds from issuing shares 243 9,035 9,742 The following changes in loans and borrowings arose as a result of financing activities during the year: Schedule of changes in bank loan liabilities Non-current £’000 Current £’000 Total £’000 At 1 January 2022 620 699 1,319 Cash flows – (178 ) (178 ) Non-cashflows: – – – Loans and borrowings classified as non-current 31 December 2021 becoming current in 2022 (178 ) 178 – Gain/(loss) in finance income within the consolidated statement of comprehensive income – (468 ) (468 ) Interest accruing in period 21 15 36 At 31 December 2022 463 246 709 Non-current £’000 Current £’000 Total £’000 At 1 January 2021 60 1,759 1,819 Cash flows – (215 ) (215 ) Non-cashflows: Foreign Exchange – (4 ) (4 ) New leases 715 5 720 Effect of modification to lease term – IFRS 16 – (24 ) (24 ) Loans and borrowings classified as non-current 31 December 2020 becoming current in 2021 (178 ) 178 – Transfer to share premium on exercise of warrants – (70 ) (70 ) Gain/(loss) recognised in finance income within the consolidated statement of comprehensive income – (936 ) (936 ) Interest accruing in period 23 6 29 At 31 December 2021 620 699 1,319 Non-current £’000 Current £’000 Total £’000 At 1 January 2020 5,670 1,076 6,746 Cash flows (6,182 ) (258 ) (6,440 ) Non-cashflows: Foreign Exchange 252 23 275 Fair value changes 1,176 – 1,176 Effect of modification to lease term – IFRS 16 (877 ) 89 (788 ) Reclassification portion government loan to non-current 51 (51 ) – Warrants issued – 997 997 Transfer to share premium on exercise of warrants – (499 ) (499 ) Gain/(loss) recognised in finance income within the consolidated statement of comprehensive income – 397 397 Interest accruing in period (30 ) (15 ) (45 ) At 31 December 2020 60 1,759 1,819 |
Trade and other payables
Trade and other payables | 12 Months Ended |
Dec. 31, 2022 | |
Trade and other payables | 16 Trade and other payables Schedule of trade and other payables Current 2022 £’000 2021 £’000 2020 £’000 Trade payables 339 485 337 Other payables 17 5 26 Accruals 817 546 768 Total financial liabilities, excluding loans and borrowings, 1,173 1,036 1,131 Tax and social security 77 56 31 Deferred revenue 197 – 68 Total trade and other payables 1,447 1,092 1,230 Book values approximate to fair value at 31 December 2022, 2021 and 2020. All current trade and other payables are payable within 3 months of the period end date shown above. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2022 | |
Borrowings | 17 Borrowings Schedule of borrowings 2020 £’000 2021 £’000 2020 £’000 Current Lease liabilities 161 146 93 Government and research loans – – 107 Total 161 146 200 Non-current Lease liabilities 463 620 60 Total 463 620 60 During 2021 a euro denominated government and research loan of £103k (2020: £6.2m) was repaid. This amount includes £ nil (2020: £1.2m) of government grants, which is included in the amounts disclosed in note 16. This amount translated at year end rate was £107k (2020: £4.8m). Book values approximate to fair value at 31 December 2022, 2021 and 2020. Obligations under finance leases are secured by a fixed charge over the fixed assets to which they relate. Government loans in Spain MPE previously had four Spanish government loans, three were repaid in 2020 with the final loan repaid in February 2021 prior to the liquidation of MPE. Three of the loans were provided for the finance of research, technical innovation and the construction of their laboratory. The loans were term loans which carried an interest rate below the market rate and were repayable over periods through to 2024. As a result of the Group’s decision on 31 March 2020 to terminate further in-house development of MTD201 and the subsequent closure of its dedicated manufacturing facilities in Bilbao two of these loans were repaid in 2020, with the final loan being repaid in 2021. The fourth loan received by MPE in September 2019 for € 6.6 2.9 The loans carried default interest rates in the event of scheduled repayments not being met. On initial recognition, the loans are discounted at a market rate of interest with the credit being classified as a grant within deferred revenue. The deferred grant revenue is released to the consolidated statement of comprehensive income within research and development costs in the period to which the expenditure is recognised. The deferred revenue element of the government loans is designated within note 16 as deferred revenue and Government grants, the gross contractual repayment of the loans is disclosed in note 20. As a result of the repayment of the loans these were fully amortised during 2020. |
Provisions
Provisions | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Provisions Abstract | |
Provisions | 18 Provisions Schedule of provisions 2022 £’000 2021 £’000 2020 £’000 Opening provision at 1 January 50 50 97 Utilisation of provision (43 ) – (97 ) Provision recognised in the year 200 – 50 At 31 December 207 50 50 Less: non-current portion – – (50 ) Current portion 207 50 – The provision as at 31 December 2021 and 2020 represents management’s best estimate of the ‘making good’ clause on the Cardiff office which was vacated during the fourth quarter of 2021. This liability was settled during 2022. Bioasis Loans On 19 December 2022 the Company entered into a Promissory Note and Security Agreement with Bioasis to assist in the short term with Bioasis’ working capital requirements. Under the agreement the Company agreed to advance Bioasis up to US$750,000 in three tranches payable on 19 December 2022, 3 January 2023 and 6 February 2023. The terms of the agreement are set out in note 14. The Company advanced US$250,000 to Bioasis in the year to 31 December 2022. A further advance of US$250,000 was made to Bioasis on 3 January 2023. Management considers recovery of the debt to be uncertain and have therefore recognised an impairment provision of £207,000 in the year against advance made to Bioasis in December 2022, see note 14. A further provision has been of £207,000 against the future credit losses resulting from the Promissory Note. On 3 February 2023 Bioasis announced they were ‘urgently exploring and evaluating all financing and strategic alternatives that may be available to address its liquidity requirements’ which triggered an event of default. As a result of this the 3rd payment under the agreement was not made in the post year end period. On 5 March 2023 Bioasis were served with a notice of an event of default. |
Derivative financial liability
Derivative financial liability – current | 12 Months Ended |
Dec. 31, 2022 | |
Derivative financial liability – current | 19 Derivative financial liability – current Schedule of derivative financial liability 2022 £’000 2021 £’000 2020 £’000 Equity settled derivative financial liability At 1 January 553 1,559 664 Warrants issued – – 997 Transfer to share premium on exercise of warrants – (70 ) (499 ) (Gain)/loss recognised in finance (income)/expense within the consolidated statement of comprehensive income (468 ) (936 ) 397 At 31 December 85 553 1,559 Equity settled derivative financial liability is a liability that is not to be settled for cash. May 2020 warrants In May 2020 the Company issued 477,255 warrants in the ordinary share capital of the Company as part of a registered direct offering in the US. The number of ordinary shares to be issued when exercised is fixed, however the exercise price is denominated in US Dollars being different to the functional currency of the Company. Therefore, the warrants are classified as equity settled derivative financial liabilities recognised at fair value through the profit and loss account (‘FVTPL’). The financial liability is valued using the Monte Carlo model. Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on re-measurement recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any interest paid on the financial liability and is included in the ‘finance income’ or ‘finance expense’ lines item in the income statement. Fair value is determined in the manner described in note 20. A key input in the valuation of the instrument is the Company share price. October 2019 warrants In October 2019 the Company issued 157,495 warrants in the ordinary share capital of the Company as part of a registered direct offering in the US. The number of ordinary shares to be issued when exercised is fixed, however the exercise price is denominated in US Dollars. The warrants are classified equity settled derivative financial liabilities and accounted for in the same way as those issued in May 2020. The financial liability is valued using the Monte Carlo model. Warrant re-price On 13 December 2022 the Company entered into a Securities Purchase Agreement with Armistice Capital Master Fund Ltd (‘Armistice’) to re-price previously issued ADR warrants issued to Armistice to $4 per ADR. The impact of the re-pricing is shown in the table below: The warrant exercise price per ADR for the remaining warrants remains unchanged as follows: October 2019 warrants at $125.00 per ADR; May 2020 warrants at $41.00 and $41.25 per ADR. Schedule of warrant exercise price ADR Warrants Equivalent Ordinary Number* Original Price New Price per Number October 2019 ADR warrants 30,000 $ 125.00 $ 4.00 150,000 May 2020 ADR warrants 32,550 $ 41.00 $ 4.00 162,750 Number and original price of warrants have been adjusted to reflect the share consolidation and ratio change of ADR’s to ordinary shares that occurred on 2 March 2020, the ratio change of ADR’s to ordinary shares on 26 September 2022 and the share consolidation and ratio change of ADR’s to ordinary shares that occurred on 24 March 2023. DARA warrants and share options The Group also assumed fully vested warrants and share options on the acquisition of DARA Biosciences, Inc. (which took place in 2015). The number of ordinary shares to be issued when exercised is fixed, however the exercise prices are denominated in US Dollars. The warrants are classified equity settled derivative financial liabilities and accounted for in the same way as those detailed above. The financial liability is valued using the Black-Scholes option pricing model. The exercise price of the warrants and options is $61.03 and $95.17 respectively. During 2022 all remaining warrants expired. The following table details the outstanding warrants over ordinary shares as at 31 December and also the movement in the year: Schedule of warrants outstanding At 1 Granted Exercised At 31 Lapsed Exercised At 31 Lapsed At 31 May 2020 grant – 477,255 (125,000 ) 352,255 – (15,340 ) 336,915 – 336,915 October 19 grant 157,495 – – 157,495 – – 157,495 – 157,495 DARA Warrants 231 – – 231 (27 ) – 204 (204 ) – DARA Options 138 – – 138 – – 138 – 138 Number of warrants have been adjusted to reflect the share consolidation and ratio change of ADR’s to ordinary shares that occurred on 2 March 2020, the ratio change of ADR’s to ordinary shares on 26 September 2022 and the share consolidation and ratio change of ADR’s to ordinary shares that occurred on 24 March 2023. |
Financial instruments _ risk ma
Financial instruments – risk management | 12 Months Ended |
Dec. 31, 2022 | |
Financial instruments – risk management | 20 Financial instruments – risk management The Group is exposed through its operations to the following financial risks: · Credit risk · Foreign exchange risk · Liquidity risk This note describes the Group’s policies and processes for managing those risks. The policy for managing these risks is reviewed and agreed with the Board, however it has delegated the authority for designing and operating processes that ensure the effective management of the risks to the Group’s management. . Principal financial instruments The principal financial instruments used by the Group, from which financial instrument risk arises, are as follows: · Trade and other receivables · Cash and cash equivalents · Trade and other payables · Accruals · Loans and borrowings · Derivative financial liability A summary of the financial instruments held by category is provided below: Financial assets – amortised cost Schedule of consolidated derivative financial instruments 2022 £’000 2021 £’000 2020 £’000 Cash and cash equivalents 2,836 10,057 7,546 Trade receivables 329 33 95 Other receivables – – – Total financial assets 3,165 10,090 7,641 Financial liabilities – amortised cost 2022 £’000 2021 £’000 2020 £’000 Trade payables 339 485 337 Other payables 17 5 26 Accruals 817 546 768 Borrowings 624 766 260 Total financial liabilities – amortised cost 1,797 1,802 1,391 Financial liabilities – fair value through profit and loss – current 2022 £’000 2021 £’000 2020 £’000 Equity settled derivative financial liability 85 553 1,559 Fair value hierarchy The Group uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique: · Level 1: quoted (unadjusted) prices in active markets for identical assets and liabilities; · Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly; and · Level 3: techniques which use inputs that have a significant effect on the recorded fair value that are not based on observable market data. The fair value of the Group’s derivative financial liability is measured at fair value on a recurring basis. The following table gives information about how the fair value of this financial liability is determined, additional disclosure is given in note 19: Schedule of consolidated financial assets and liabilities at fair value Financial Fair value Fair Valuation Significant unobservable Relationship of Equity settled financial derivative liability £ 48,000 Level 3 Monte Carlo simulation model Volatility rate of 70.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 2.88 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 4.22% determined using the expected life assumptions. The higher the risk-free rate Equity settled financial derivative liability £ 37,000 Level 3 Monte Carlo simulation model Volatility rate of 70.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 2.5 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 4.32% determined using the expected life assumptions. The higher the risk-free rate Total £ 85,000 Financial Fair value Fair Valuation Significant unobservable Relationship of Equity settled financial derivative liability £ 467,000 Level 3 Monte Carlo simulation model Volatility rate of 95.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 3.88 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.31% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability £ 86,000 Level 3 Monte Carlo simulation model Volatility rate of 85.0% determined using historical volatility of comparable companies The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 3.5 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.71% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability – Level 3 Black-Scholes option pricing model Volatility rate of 85.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.10 and 0.9 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.71% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Total £ 553,000 Financial Fair value Fair Valuation Significant unobservable Relationship of Equity settled financial derivative liability £ 1,187,000 Level 3 Monte Carlo simulation model Volatility rate of 105.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 4.49 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.07% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability £ 372,000 Level 3 Monte Carlo simulation model Volatility rate of 105.0% determined using historical volatility of comparable companies The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 4.888 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.08% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability – Level 3 Black-Scholes option pricing model Volatility rate of 105.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 1.0 and 1.9 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.8% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Total £ 1,559,000 Changing the unobservable risk free rate input to the valuation model by 10% higher while all other variables were held constant, would not impact the carrying amount of shares (2021: nil ; 2020: nil). There were no transfers between Level 1 and 2 in the period. The financial liability measured at fair value on Level 3 fair value measurement represents consideration relating to warrants issued in May 2020 and October 2019 as part of Registered Direct offerings and also a business combination. Credit risk The Group is exposed to credit risk from amounts due from collaborative partners and from cash and cash equivalents and deposits with banks and financial institutions. The risk from collaborative partners is deemed to be low. For banks and financial institutions, only independently rated parties with high credit status are accepted. The Group does not enter into derivatives to manage credit risk. The gross carrying amount of a financial asset is written off (either partially or in full) to the extent that there is no realistic prospect of recovery. The total exposure to credit risk of the Group is equal to the total value of the financial assets held at each year end as noted above. Foreign exchange risk Foreign exchange risk arose because the Group had a material operation located in Bilbao, Spain. Given the levels of materiality, the Group did not hedge its net investments in overseas operations as the cost of doing so would be disproportionate to the exposure. The table below shows analysis of the Pounds Sterling equivalent of year-end cash and cash equivalent balances by currency: Schedule of foreign exchange risk 2022 £’000 2021 £’000 2020 £’000 Cash and cash equivalents: Pounds Sterling 2,588 10,057 7,247 US Dollar 248 – 120 Euro – – 179 Total 2,836 10,057 7,546 The table below shows the foreign currency exposure that gives rise to net currency gains and losses recognised in the consolidated statement of comprehensive income. As at 31 December, these exposures were as follows: 2022 £’000 2021 £’000 2020 £’000 Net Foreign Currency Assets/(Liabilities): US Dollar 248 – 120 Euro 17 22 54 Other – – 1 Total 265 22 175 Foreign exchange risk also arises when individual Group entities enter into transactions denominated in a currency other than their functional currency; the Group’s transactions outside the UK to the US and Europe drive foreign exchange movements where suppliers invoice in currency other than sterling. These transactions are not hedged because the cost of doing so is disproportionate to the risk. Foreign currency sensitivity analysis The most significant currencies in which the Group transacts, other than Pounds Sterling, are the US Dollar and the Euro. The Group also trades in other currencies in small amounts as necessary. The following table details the Group’s sensitivity to a 10% change in year-end exchange rates, which the Group feels is the maximum likely change in rate based upon recent currency movements, in the key foreign currency exchange rates against Pounds Sterling: Schedule of foreign currency exchange rates Year ended 31 December 2022 US Dollar £’000 Euro £’000 Other £’000 Loss before tax 25 (1 ) – Total equity 25 (1 ) – Year ended 31 December 2021 US Dollar £’000 Euro £’000 Other £’000 Loss before tax – 2 – Total equity – 2 – Year ended 31 December 2020 US Dollar £’000 Euro £’000 Other £’000 Loss before tax 12 (293 ) (4 ) Total equity 12 (293 ) (4 ) Liquidity risk Liquidity risk arises from the Group’s management of working capital. It is the risk that the Group will encounter difficulty in meeting its financial obligations as they fall due. It is the Group’s aim to settle balances as they become due. In December 2022, the Company completed a Registered Direct Offering in the US which raised £0.3 million before expenses. In February 2021, previously issued warrants were exercised resulting in the Company receiving £0.13 million before expenses. In July 2021, the Company completed a UK placing which raised £10.0 million before expenses. The Directors have prepared cash flow forecasts and considered the cash flow requirement for the Company for the next three years including the period twelve months from the date of approval of the consolidated financial statements. These forecasts show that further financing will be required during the fourth quarter of 2023 assuming, inter alia, that certain development programs and other operating activities continue as currently planned. This requirement for additional financing in the short term represents a material uncertainty that may cast significant doubt upon the Group and parent company’s ability to continue as a going concern. In our opinion, the environment for financing of small and micro-cap biotech companies is as challenging as it has been since the financial crisis of 2008-2010. While this may present acquisition and/or merger opportunities with other companies with limited or no access to financing, any attendant financings by Biodexa are likely to be dilutive. We and our advisors continue to evaluate financing options, including those connected to acquisitions and/or mergers, potentially available to the Group, including fundraising and the partnering of assets and technologies of the Company. The alternatives being considered are all at an early stage and are contingent upon the agreement of counterparties and accordingly, there can be no assurance that any of the alternative courses of action to finance the Company will be successful. This requirement for additional financing in the short term represents a material uncertainty that may cast significant doubt about our ability to continue as a going concern. Should it become evident in the future that there are no realistic financing options available to the Company which are actionable before its cash resources run out then the Company will no longer be a going concern. In such circumstances, we would no longer be able to prepare financial statements under paragraph 25 of IAS 1. Instead, the financial statements would be prepared on a liquidation basis and assets would stated at net realizable value and all liabilities would be accelerated to current liabilities. As a result of the foregoing, our independent registered public accounting firm included an explanatory paragraph in its report on our financial statements as of and for the year ended 31 December 2022 with respect to this uncertainty. We believe there are adequate options and time and available to secure additional financing for the Company and after considering the uncertainties, we considered it is appropriate to continue to adopt the going concern basis in preparing these financial information. The following table sets out the contractual maturities (representing undiscounted contractual cash-flows) of financial liabilities: Schedule of contractual maturities of financial liabilities 2022 Up to 3 £’000 Between 3 and 12 months £’000 Between years £’000 Between £’000 Over £’000 Trade and other payables 1,173 – – – – Lease liabilities 49 140 188 254 – Total 1,222 140 188 254 – 2021 Up to 3 £’000 Between 3 and 12 months £’000 Between years £’000 Between £’000 Over £’000 Trade and other payables 1,036 – – – – Lease liabilities 46 171 195 442 – Total 1,082 171 195 442 – 2020 Up to 3 £’000 Between 3 and 12 months £’000 Between years £’000 Between £’000 Over £’000 Trade and other payables 1,131 – – – – Lease liabilities 25 75 61 8 – Government research loans 107 – – – – Total 1,263 75 61 8 – More details with regard to the line items above are included in the respective notes: Trade and other payables – note 16 Borrowings – note 17 As a result of the Strategic Review undertaken in March 2020 the Group repaid all Government Research loans during 2020 and 2021. Capital risk management The Group monitors capital which comprises all components of equity (i.e. share capital, share premium, foreign exchange reserve and accumulated deficit). The Group’s objectives when maintaining capital are: · to safeguard the entity’s ability to continue as a going concern; and · to have sufficient resource to take development projects forward towards commercialisation. The Group continues to incur substantial operating expenses. Until the Group generates positive net cash inflows from the commercialisation of its products it remains dependent upon additional funding through the injection of equity capital and government funding. The Group may not be able to generate positive net cash inflows in the future or to attract such additional required funding at all, or on suitable terms. In such circumstances the development programmes may be delayed or cancelled, and business operations cut back. The Group seeks to reduce this risk by keeping a tight control on expenditure, avoiding long term supplier contracts (other than clinical trials), prioritising development spend on products closest to potential revenue generation, obtaining government grants (where applicable), maintaining a focussed portfolio of products under development and keeping shareholders informed of progress. There have been no changes to the Group’s processes for managing capital risk since the previous year. |
Deferred tax
Deferred tax | 12 Months Ended |
Dec. 31, 2022 | |
Deferred tax | 21 Deferred tax Deferred tax is calculated in full on temporary differences under the liability method using tax rates applicable in the tax jurisdictions where the tax asset or liability would arise. The movement on the deferred tax account in 2022 is £nil (2021: £nil, 2020: £nil) as the net credit arising on the amortisation of intangible assets and other timing differences has been matched by a reduction in the deferred tax asset recognised on the losses offsetting the liability remaining. Unused tax losses carried forward, subject to agreement with local tax authorities, were as follows: Schedule of unused tax losses carried forward Gross losses £’000 Potential £’000 31 December 2022 71,139 17,867 31 December 2021 67,210 16,925 31 December 2020 63,183 13,076 During 2020 the remaining deferred tax asset and liability arising on the business combination of Midatech Pharma (Wales) Ltd (2019: £ 1.6 The remaining potential deferred tax asset of £17.9m (2021: £16.9m, 2020: £13.1m) has not been provided in these accounts due to uncertainty as to whether the asset would be recovered. The losses have arisen as a result of accumulated trading losses. Deferred tax asset balances disclosed as at 31 December 2022 have been calculated at 25%. The Finance Bill 2021 enacted an increase in the tax rate to 25% from 1 April 2023. |
Share capital
Share capital | 12 Months Ended |
Dec. 31, 2022 | |
Share capital | 22 Share capital Schedule of detailed information about share capital Authorised, allotted and fully 2022 Number 2022 £ 2021 Number 2021 £ 2020 Number 2020 £ At 31 December Ordinary shares of 5,417,137 108,343 4,923,420 98,468 3,153,694 63,074 Deferred shares of £1 each 1,000,001 1,000,001 1,000,001 1,000,001 1,000,001 1,000,001 Total 1,108,344 1,098,469 1,063,075 At a General Meeting on 24 March 2023, shareholders approved a consolidation of the Company’s Ordinary Shares on a one for 20 basis. As a result the par value of the Ordinary Shares was changed from £0.001 per share to £0.02 per share. At the same time, the ratio of the Company’s Ordinary Shares to ADSs was changed from each ADS representing 25 Ordinary Shares to each ADS representing 5 Ordinary Shares. The above table reflects the share consolidation. In accordance with the Articles of Association for the Company adopted on 13 November 2014, the share capital of the Company consists of an unlimited number of ordinary shares of nominal value £0.001 each. Ordinary and deferred shares were recorded as equity. Rights attaching to the shares following the incorporation of Biodexa Pharmaceuticals plc Shares classified as equity The holders of ordinary shares in the capital of the Company have the following rights: (a) to receive notice of, to attend and to vote at all general meetings of the Company, in which case shareholders shall have one vote for each share of which he is the holder; and, (b) to receive such dividend as is declared by the Board on each share held. The holders of deferred shares in the capital of the Company: (a) shall not be entitled to receive notice of or to attend or speak at any general meeting of the Company or to vote on any resolution to be proposed at any general meeting of the Company; and (b) shall not be entitled to receive any dividend or other distribution of out of the profits of the Company. In the event of a distribution of assets, the deferred shareholders shall receive the nominal amount paid up on such share after the holder of each ordinary share shall have received (in cash or specie) the amount paid up or credited as paid up on such ordinary share together with an additional payment of £100 per share. The Company has the authority to purchase the deferred shares and may require the holder of the deferred shares to sell them for a price not exceeding 1p for all the deferred shares. Schedule Of Ordinary and Deferred Shares Ordinary Number Deferred Number Share £ Total £’000 At 1 January 2020 1,174,752 1,000,001 2020 18 May 2020 Placing & Registered Direct Offering 787,878 5.4000 4,255 27 July 2020 Placing 1,064,814 5.4000 5,750 19 August 2020 Exercise of warrants 125,000 6.2642 783 30 September 2020 Share issue to SIPP trustee (see note 25) 1,250 0.0200 – At 31 December 2020 3,153,694 1,000,001 19 February 2021 Exercise of warrants 15,340 5.9600 91 6 July 2021 Placing 1,754,386 5.7000 10,000 At 31 December 2021 4,923,420 1,000,001 22 March 2022 Exercise of warrants 1 200.0000 – 3 May 2022 Share issue to SIPP trustee (see note 25) 1,250 0.0200 – 19? December 2022 Registered Direct Offering 492,466 0.6660 321 At 31 December 2022 5,417,137 1,000,001 |
Reserves
Reserves | 12 Months Ended |
Dec. 31, 2022 | |
Reserves | 23 Reserves The following describes the nature and purpose of each reserve within equity: Schedule of reserves Reserve Description and purpose Share capital Nominal value of subscribed share capital Share premium Amount subscribed for share capital in excess of nominal value. Merger reserve Represents the difference between the fair value and nominal value of shares issued on the acquisition of subsidiary companies where the Company has elected to take advantage of merger accounting. Foreign exchange reserve Gains/losses arising on retranslating the net assets of overseas operations into sterling. Warrant reserve Represents the fair value of warrants denominated in £ at the date of grant. The number and price is fixed at the date of grant. The warrants expire in November 2025. Accumulated deficit All other net gains and losses and transactions with owners (e.g. dividends) not recognised elsewhere. |
Retirement benefits
Retirement benefits | 12 Months Ended |
Dec. 31, 2022 | |
Retirement benefits | 24 Retirement benefits The Group operates a defined contribution pension scheme for the benefit of its employees. The assets of the scheme are administered by trustees in funds independent from those of the Group. The annual charge for the year was £ 98,000 71,000 |
Share-based payments
Share-based payments | 12 Months Ended |
Dec. 31, 2022 | |
Share-based payments | 25 Share-based payments Share Options The Group has issued options over ordinary shares under the 2014 Biodexa Pharmaceuticals plc Enterprise Management Incentive Scheme, the Biodexa Pharmaceuticals plc 2016 U.S. Option Plan, which is a sub-plan of the approved UK plan, and unapproved share options awarded to non-UK or non-US staff. In addition, certain share options originally issued over shares in Midatech Limited under the Midatech Limited 2008 unapproved share option scheme or Midatech Limited 2013 approved Enterprise Incentive scheme were reissued in 2015 over shares in Biodexa Pharmaceuticals plc under the 2014 Biodexa Pharmaceuticals plc Enterprise Management Incentive Scheme. Exercise of an option is subject to continued employment. At a General Meeting on 24 March 2023, shareholders approved a consolidation of the Company’s Ordinary Shares on a one for 20 basis. As a result the par value of the Ordinary Shares was changed from £0.001 per share to £0.02 per share. The following tables reflects the share consolidation. The options granted in 2022 were made under the 2014 Biodexa Pharmaceuticals plc Enterprise Management Incentive Scheme. Details of all share options granted under the Schemes are set out below: Details of all share options granted under the Schemes are set out below: Date of grant At 1 January Granted in Lapsed in Forfeited in At 31 December Exercise Price 20 April 2012 79 – (79 ) – – £ 1,676.00 9 May 2014 500 – (500 ) – – £ 30.00 30 June 2014 25 – – – 25 £ 30.00 31 October 2016 352 – (352 ) – – £ 1,072.00 19 December 2016 396 – (383 ) – 13 £ 484.00 15 December 2017 59 – – (19 ) 40 £ 184.00 24 April 2019 625 – – (313 ) 312 £ 29.20 2 October 2019 1,500 – – – 1,500 £ 21.00 17 April 2020 5,000 – – – 5,000 £ 4.80 17 June 2020 43,175 – (5,625 ) (3,950 ) 33,600 £ 4.04 15 July 2021 71,450 – – (7,100 ) 64,350 £ 5.55 2 August 2021 2,500 – – – 2,500 £ 5.30 1 September 2021 6,000 – – – 6,000 £ 5.10 7 February 2022 – 18,750 – – 18,750 £ 3.05 12 August 2022 – 12,500 – – 12,500 £ 2.10 131,661 31,250 (6,939 ) (11,382 ) 144,590 Options exercisable at 31 December 2022 55,932 Weighted average exercise price of outstanding options at 31 December 2022 £ 4.836 Weighted average exercise price of options exercised in 2022 n/a Weighted average exercise price of options lapsed in 2022 £ 105.612 Weighted average exercise price of options forfeited in 2022 £ 5.974 Weighted average exercise price of options granted in 2022 £ 2.670 Weighted average remaining contractual life of outstanding options at 31 December 2022 8.1 Date of grant At 1 January Granted in Lapsed in Forfeited in At 31 December Exercise Price 13 September 2011 8 – (8 ) – – £ 1,676.00 20 April 2012 79 – – – 79 £ 1,676.00 9 May 2014 500 – – – 500 £ 30.00 30 June 2014 25 – – – 25 £ 30.00 31 October 2016 397 – – (45 ) 352 £ 1,072.00 19 December 2016 499 – – (103 ) 396 £ 484.00 15 December 2017 164 – – (105 ) 59 £ 184.00 24 April 2019 2,275 – – (1,650 ) 625 £ 29.20 2 October 2019 1,500 – – – 1,500 £ 21.00 17 April 2020 5,000 – – – 5,000 £ 4.80 17 June 2020 63,700 – – (20,525 ) 43,175 £ 4.04 15 July 2021 – 85,450 – (14,000 ) 71,450 £ 5.55 2 August 2021 – 2,500 – – 2,500 £ 5.30 1 September 2021 – 6,000 – – 6,000 £ 5.10 74,147 93,950 (8 ) (36,428 ) 131,661 Options exercisable at 31 December 2021 8,982 Weighted average exercise price of outstanding options at 31 December 2021 £ 10.759 Weighted average exercise price of options exercised in 2021 n/a Weighted average exercise price of options lapsed in 2021 £ 1,676.000 Weighted average exercise price of options forfeited in 2021 £ 8.955 Weighted average exercise price of options granted in 2021 £ 5.515 Weighted average remaining contractual life of outstanding options at 31 December 2021 9.0 Date of grant At 1 January Granted in Lapsed in Forfeited in At 31 December Exercise Price 1 April 2010 63 – (63 ) – – £ 1,600.00 20 August 2010 104 – (104 ) – – £ 1,676.00 13 September 2011 8 – – – 8 £ 1,676.00 20 April 2012 79 – – – 79 £ 1,676.00 9 May 2014 500 – – – 500 £ 30.00 30 June 2014 925 – – (9,000 ) 25 £ 30.00 11 July 2014 6 – (3 ) (3 ) – £ 30.00 31 October 2016 815 – (43 ) (375 ) 397 £ 1,072.00 14 December 2016 20 – (20 ) – – £ 620.00 14 December 2016 25 – (25 ) – – £ 680.00 14 December 2016 100 – (100 ) – – £ 748.00 14 December 2016 81 – (81 ) – – £ 752.00 15 December 2016 230 – (230 ) – – £ 484.00 19 December 2016 1,118 – (78 ) (541 ) 499 £ 484.00 15 December 2017 1,478 – (666 ) (648 ) 164 £ 184.00 2 April 2018 50 – (50 ) – – £ 332.00 2 April 2018 225 – (225 ) – – £ 484.00 24 April 2019 8,475 – – (6,200 ) 2,275 £ 29.20 2 October 2019 2,500 – – (1,000 ) 1,500 £ 21.00 17 April 2020 – 5,000 – – 5,000 £ 4.80 17 June 2020 – 68,150 – (4,450 ) 63,700 £ 4.04 16,802 73,150 (1,688 ) (14,117 ) 74,147 Options exercisable at 31 December 2020 9,759 Weighted average exercise price of outstanding options at 31 December 2020 £ 16.698 Weighted average exercise price of options exercised in 2020 n/a Weighted average exercise price of options lapsed in 2020 £ 523.411 Weighted average exercise price of options forfeited in 2020 £ 72.975 Weighted average exercise price of options granted in 2020 £ 4.092 Weighted average remaining contractual life of outstanding options at 31 December 2020 9.2 The following information is relevant in the determination of the fair value of options granted during the year 2022 under the equity share based remuneration schemes operated by the Group. Schedule of fair value of options granted February 2022 August 2022 August 2022 Number of options 18,750 5,000 7,500 Option pricing models used Black-Scholes Black-Scholes Black-Scholes Share price £ 3.05 £ 2.10 £ 2.10 Exercise price of options issued in year £ 3.05 £ 2.10 £ 2.10 Contractual life 10 10 10 Expected life 5 5 5 Volatility 87.88 %** 91.78 %** 91.66 %** Expected dividend yield 0 % 0 % 0 % Risk free rate 1.28 % 1.92 % 1.92 % The share price used in the determination of the fair value of the options granted in 2022 was the share price on the date of grant. ** Volatility was calculated with reference to the historic share price volatility of comparable companies measured over a five-year period. The following information is relevant in the determination of the fair value of options granted during the year 2021 under the equity share based remuneration schemes operated by the Group. July 2021 August 2021 September 2021 Number of options 85,450 2,500 6,000 Option pricing models used Black-Scholes Black-Scholes Black-Scholes Share price £ 5.55 * £ 5.30 * £ 5.10 * Exercise price of options issued in year £ 5.55 £ 5.30 £ 5.10 Contractual life 10 10 10 Expected life 5 5 5 Volatility 88.63 %** 88.59 %** 88.11 %** Expected dividend yield 0 % 0 % 0 % Risk free rate 0.38 % 0.26 % 0.32 % * The share price used in the determination of the fair value of the options granted in 2021 was the share price on the date of grant. ** Volatility was calculated with reference to the historic share price volatility of comparable companies measured over a five-year period. The following information is relevant in the determination of the fair value of options granted during the year 2020 under the equity share based remuneration schemes operated by the Group. April 2020 June 2020 Number of options 5,000 68,150 Option pricing models used Black-Scholes Black-Scholes Share price £ 4.80 * £ 4.04 * Exercise price of options issued in year £ 4.80 £ 4.04 Contractual life 10 10 Expected life 5 5 Volatility 84.76 %** 92.55 %** Expected dividend yield 0 % 0 % Risk free rate 0.11 % 0.10 % * The share price used in the determination of the fair value of the options granted in 2020 was the share price on the date of grant. ** Volatility was calculated with reference to the historic share price volatility of comparable companies measured over a five-year period. All other share options relate to the Midatech Limited 2008 unapproved share option scheme. Share Incentive Plan In April 2017 the Group set up the Biodexa Pharmaceuticals Share Incentive Plan (MPSIP). Under the BPSIP, Group employees and Directors can acquire ordinary shares in the Company via a salary sacrifice arrangement. Biodexa grants matching shares for every share bought. In order to retain these shares, scheme participants must remain employed by the Group for three years from the date of acquisition. All shares purchased by the BPSIP are held by an Employee Benefit Trust that is not under the control of Biodexa. Shares must be left in the plan for 5 years to qualify for full income tax and NIC relief. |
Capital commitments
Capital commitments | 12 Months Ended |
Dec. 31, 2022 | |
Capital Commitments | |
Capital commitments | 26 Capital commitments The Group had no capital commitments at 31 December 2022, 31 December 2021 and 31 December 2020. |
Related party transactions
Related party transactions | 12 Months Ended |
Dec. 31, 2022 | |
Related party transactions | 27 Related party transactions Trading Transactions The Directors consider BioConnection BV to be a related party by virtue of the fact that there is a common Director with the Company and the Director is identified as having significant influence over the entity. 2019 was the first year where this relationship existed. During the year Group companies entered into the following transactions with related parties who are not members of the Group. Schedule of related party transactions Purchase of good Amounts owed by related parties 2022 €’000 2021 €’000 2020 €’000 2022 €’000 2021 €£’000 2020 €’000 BioConnection BV – – 296 – – – During 2019 Midatech Pharma (Espana) SL entered into a commercial contract with BioConnection BV in connection with the Group’s MTD201 program, this contract was subsequently terminated in 2020 as a result of the termination of the program. The Group has not made any allowances for bad or doubtful debts in respect of related party debtors nor has any guarantee been given or received during 2022, 2021 or 2020 regarding related party transactions. |
Contingent liabilities
Contingent liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Contingent liabilities | 28 Contingent liabilities The Company entered into an Arrangement Agreement with Bioasis on 13th December 2022 as amended on 18 December 2022. Under the agreement the Company agreed to acquire the entire issued share capital of Bioasis for consideration of, in aggregate, approximately C$ 7.4 225,000 225,000 On 23 January 2023 at the General Meeting to approve the Arrangement Agreement none of the special resolutions were passed and, accordingly, the acquisition of Bioasis did not proceed. On 23 January Bioasis terminated the Arrangement Agreement and requested reimbursement of US$225,000 expenses relating to the transaction, to date these expenses have not been paid. The Group had no contingent liabilities at 31 December 2021 and 31 December 2020. |
Ultimate controlling party
Ultimate controlling party | 12 Months Ended |
Dec. 31, 2022 | |
Ultimate Controlling Party | |
Ultimate controlling party | 29 Ultimate controlling party The Directors do not consider that there is an ultimate controlling party. |
Results of Midatech Pharma (Esp
Results of Midatech Pharma (Espa?a) SL | 12 Months Ended |
Dec. 31, 2022 | |
Results Of Midatech Pharma Espaa Sl | |
Results of Midatech Pharma (Espa?a) SL | 30 Results of Midatech Pharma (España) SL Included within the Group Consolidated Statements of Comprehensive Income for the year to 31 December 2020 are the results of the Group’s Spanish operation that was closed on 3 June 2020. The Group appointed a Liquidator to liquidate the company with documentation submitted to the Spanish Authorities in February 2021. Management assessed whether Midatech Pharma (España) SL should be accounted for as a discontinued operation under IFRS 5 and concluded that it did not meet the criteria as it did not meet the definition of a cash generating unit. The unaudited results of Midatech Pharma (España) SL for the year to 31 December are as follows: Schedule Of Unaudited Results Explanatory Year ended 31 £’000 Grant revenue 163 Total revenue 163 Research and development costs (2,820 ) Administrative costs (1,146 ) Loss from operations (3,803 ) Finance expense (11 ) Loss before tax (3,814 ) Taxation (21 ) Loss from operations after tax (3,835 ) |
Post Balance Sheet Events
Post Balance Sheet Events | 12 Months Ended |
Dec. 31, 2022 | |
Post Balance Sheet Events | |
Post Balance Sheet Events | 31 Post Balance Sheet Events On 3 January 2023 the Company provided a further advance to Bioasis under the Promissory Note and Security Agreement it entered into on 19 December 2022 of US$ 250,000 On 5 January 2023 the Company issued a Circular containing details of the Company’s proposed acquisition of Bioasis, an equity raise of US$ 9.6 225,000 On 9 February 2023 the Company announced it had entered into definitive binding agreements with institutional US investors to raise aggregate gross proceeds of US$ 6.0 10,344,822 On 8 March 2023 the Company announced that it sent a circular to shareholders convening a General Meeting to effect a share consolidation on a one for 20 basis, give the Directors authority to allot shares, disapply pre-emption rights, adopt new Articles, cancel the admission of the Company’s Ordinary Shares to trading on the AIM market and change the name of the Company to Biodexa Pharmaceuticals PLC. The Company also notified shareholders that the Ordinary Share to ADS ratio was being changed from 25 Ordinary Shares per ADS to 5 Ordinary Shares per ADS. At the General Meeting on 24 March 2023, all resolutions were duly passed. The share consolidation will have an impact on the ordinary shares, any employee share option plans as well as warrants. As a result of share consolidation: Schedule of share consolidation Pre-Split Post-Split Weighted average number of shares outstanding - basic and diluted 98,835,849 4,941,793 Ordinary shares outstanding 108,342,738 5,417,137 Outstanding employee share options over ordinary shares 2,891,875 144,590 Outstanding DARA options over ordinary shares 2,822 138 Outstanding warrants over ordinary shares 17,221,973 861,075 The financial statements reflect the effects of the reverse stock split (share consolidation) for all periods presented. On 26 April 2023, the admission of the Company’s Ordinary Shares to trading on AIM was cancelled. |
Accounting policies (Policies)
Accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Basis for consolidation | Basis for consolidation The Group financial statements consolidate those of the parent company and all of its subsidiaries. The parent controls a subsidiary if it has power over the investee to significantly direct the activities, exposure, or rights to variable returns from its involvement with the investee, and the ability to use its power over the investee to affect the amount of the investor’s returns. All subsidiaries have a reporting date of 31 December. All transactions and balances between Group companies are eliminated on consolidation, including unrealised gains and losses on transactions between Group companies. Where unrealised losses on intra-Group asset sales are reversed on consolidation, the underlying asset is also tested for impairment from a Group perspective. Amounts reported in the financial statements of subsidiaries have been adjusted where necessary to ensure consistency with the accounting policies adopted by the Group. The consolidated financial statements consist of the results of the following entities: Schedule of entities Entity Summary description Biodexa Pharmaceuticals plc Ultimate holding company Midatech Limited Trading company Midatech Pharma (Espana) SL (formerly Midatech Biogune SL) Liquidated - 2021 PharMida AG Dormant Midatech Pharma (Wales) Limited (formerly Q Chip Limited) Trading company Midatech Pharma Pty Dissolved - 2020 Biodexa Limited (formerly Bioadexa Pharmaceuticals Limited) Dormant – incorporated October 2022 |
Going concern | Going concern The Group and Company are subject to a number of risks similar to those of other development and early-commercial stage pharmaceutical companies. These risks include, amongst others, generation of revenue from the development portfolio and risks associated with research, development, testing and obtaining related regulatory approvals of our pipeline products. Ultimately, the attainment of profitable operations is dependent on future uncertain events which include obtaining adequate financing to fulfill our commercial and development activities and generating a level of revenue adequate to support our cost structure. We have experienced net losses and significant cash outflows from cash used in operating activities over the past years as we develop our portfolio. For the year ended 31 December 2022, the Group incurred a consolidated loss from operations of £7.7 million and negative cash flows from operating activities of £7.0 million. As of 31 December 2022, the Group had an accumulated deficit of £135.3 million. Our future viability is dependent on our ability to raise cash from financing activities to finance our development plans until commercialisation, generate cash from operating activities and to successfully obtain regulatory approval to allow marketing of our development products. Our failure to raise capital as and when needed could have a negative impact on our financial condition and ability to pursue its business strategies. Our consolidated financial statements have been presented on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As at 31 December 2022, we had cash and cash equivalents of £2.8 million. On 9 February 2023 the Company completed a Private Placement in which it raised US$5.2 million (approximately £4.3 million), after deducting the placement agent’s fees and other estimated expenses. We forecast that the Group currently has enough cash to fund its planned operations into the fourth quarter of 2023. We believe we currently have enough cash to fund our planned operations into the fourth quarter of 2023. Failure to secure additional funding before the fourth quarter of 2023 could result in the Company being placed into administration. We have prepared cash flow forecasts and considered the cash flow requirement for the Group for the next three years including the period twelve months from the date of approval of the consolidated financial statements. These forecasts show that further financing will be required during the course of the next 12 months assuming, inter alia, that certain development programs and other operating activities continue as currently planned. In our opinion, the environment for financing of small and micro-cap biotech companies is as challenging as it has been since the financial crisis of 2008-2010. While this may present acquisition and/or merger opportunities with other companies with limited or no access to financing, any attendant financings by Biodexa are likely to be dilutive. We and our advisors continue to evaluate financing options, including those connected to acquisitions and/or mergers, potentially available to the Group, including fundraising and the partnering of assets and technologies of the Company. The alternatives being considered are all at an early stage and are contingent upon the agreement of counterparties and accordingly, there can be no assurance that any of the alternative courses of action to finance the Company will be successful. This requirement for additional financing in the short term represents a material uncertainty that may cast significant doubt about our ability to continue as a going concern. Should it become evident in the future that there are no realistic financing options available to the Company which are actionable before its cash resources run out then the Company will no longer be a going concern. In such circumstances, we would no longer be able to prepare financial statements under paragraph 25 of IAS 1. Instead, the financial statements would be prepared on a liquidation basis and assets would be stated at net realizable value and all liabilities would be accelerated to current liabilities. As a result of the foregoing, our independent registered public accounting firm included an explanatory paragraph in its report on our financial statements as of and for the year ended 31 December 2022 with respect to this uncertainty. We believe there are adequate options and time and available to secure additional financing for the Company and after considering the uncertainties, we considered it is appropriate to continue to adopt the going concern basis in preparing these financial information. Our ability to continue as a going concern is dependent upon our ability to obtain additional capital and/or dispose of assets, for which there can be no assurance we will be able to do on a timely basis, on favourable terms or at all. |
Revenue | Revenue Revenue is accounted for in line with principles of IFRS 15 ‘Revenue from contracts with customers’ Supply of Research and Development Services Revenue from the supply of services is subject to specific agreement. This is recognised over the contract term, proportionate to the progress in overall satisfaction of the performance obligations (the services performed by the Group), measured by cost incurred to date out of total estimate of costs. The primary input of substantially all work performed under these arrangements is labour. There is normally a direct relationship between costs incurred and the proportion of the contract performed to date. Where the Group supplies services to a client it generally bills an agreed percentage in advance of the commencement of any work and the balance on completion. Invoices to clients are payable under normal commercial terms. Grant revenue Where grant income is received, which is not a direct re-imbursement of related costs, revenue is recognised at the point at which the conditions have been met, this has been recognised within grant revenue. Where grants are received as a re-imbursement of directly related costs they are credited to research and development expense in the same period as the expenditure towards which they are intended to contribute. The Group previously received government loans that had a below-market rate of interest. These loans were recognised and measured in accordance with IFRS 9. The benefit of the below-market rate of interest was measured as the difference between the initial carrying value of the loan discounted at a market rate of interest and the proceeds received. The difference was held within deferred revenue as a government grant and released as a credit to grant income or to research and development expense in line with the expenditure to which it related. In a situation where the proceeds were invested in plant and equipment, the deferred revenue was credited to research and development within the income statement in line with the depreciation of the acquired asset. |
Business combinations and externally acquired intangible assets | Business combinations and externally acquired intangible assets Business combinations are accounted for using the acquisition method at the acquisition date, which is the date at which the Group obtains control over the entity. The cost of an acquisition is measured as the amount of the consideration transferred to the seller, measured at the acquisition date fair value, and the amount of any non-controlling interest in the acquiree. The Group measures goodwill initially at cost at the acquisition date, being: · the fair value of the consideration transferred to the seller, plus; · the amount of any non-controlling interest in the acquiree, plus; · if the business combination is achieved in stages, the fair value of the existing equity interest in the acquiree re-measured at the acquisition date, less; · the fair value of the net identifiable assets acquired and assumed liabilities. Acquisition costs incurred are expensed and included in administrative costs. Any contingent consideration to be transferred by the acquirer is recognised at fair value at the acquisition date. Subsequent changes to the fair value of the contingent consideration, whether it is an asset or liability, will be recognised through the consolidated statement of comprehensive income. If the contingent consideration is classified as equity, it is not re-measured. An intangible asset, which is an identifiable non-monetary asset without physical substance, is recognised to the extent that it is probable that the expected future economic benefits attributable to the asset will flow to the Group and that its cost can be measured reliably. The asset is deemed to be identifiable when it is separable or when it arises from contractual or other legal rights. Externally acquired intangible assets other than goodwill are initially recognised at cost and subsequently amortised on a straight-line basis over their useful economic lives where they are in use. Goodwill is stated at cost less any accumulated impairment losses. The amounts ascribed to intangibles recognised on business combinations are arrived at by using appropriate valuation techniques. In-process research and development (‘IPRD’) programmes acquired in business combinations are recognised as assets even if subsequent expenditure is written off because the criteria specified in the policy for development costs below are not met. IPRD is subject to annual impairment testing until the completion or abandonment of the related project. No further costs are capitalised in respect of this IPRD unless they meet the criteria for research and development capitalisation as set out below. As per IFRS 3, once the research and development of each defined project is completed, the carrying value of the acquired IPRD is reclassified as a finite-lived asset and amortised over its useful life. The significant intangibles recognised by the Group and their useful economic lives are as follows: Schedule of intangibles assets useful economic lives Goodwill – Indefinite life IPRD – In process, not yet amortising IT and website costs – 4 years The useful economic life of IPRD will be determined when the in-process research projects are completed. |
Internally generated intangible assets (development costs) | Internally generated intangible assets (development costs) Expenditure on the research phase of an internal project is recognised as an expense in the period in which it is incurred. Development costs incurred on specific projects are capitalised when all the following conditions are satisfied: · completion of the asset is technically feasible so that it will be available for use or sale; · the Group intends to complete the asset and use or sell it; · the Group has the ability to use or sell the asset and the asset will generate probable future economic benefits (over and above cost); · there are adequate technical, financial and other resources to complete the development and to use or sell the asset; and · the expenditure attributable to the asset during its development can be measured reliably. All internal activities related to the research and development of new projects are continuously monitored by the Directors. The Directors consider that the criteria to capitalise development expenditure are not met for a product prior to that product receiving regulatory approval in at least one country. Development expenditure not satisfying the above criteria, and expenditure on the research phase of internal projects are included in research and development costs recognised in the Consolidated Statement of Comprehensive Income as incurred. No projects have yet reached the point of capitalisation. |
Impairment of non-financial assets | Impairment of non-financial assets Assets that have an indefinite useful life, for example goodwill, or intangible assets not ready for use, such as IPRD, are not subject to amortisation and are tested annually for impairment. Assets that are subject to amortisation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (cash-generating units). The Group at 31 December 2022 had only one cash generating unit (2021: one, 2020: one), as set out in note 12. Non-financial assets other than goodwill that suffered impairment are reviewed for possible reversal of impairment at each reporting date. Impairment charges are included in profit or loss, except, where applicable, to the extent they reverse gains previously recognised in other comprehensive income. An impairment loss recognised for goodwill is not reversed. |
Patents and trademarks | Patents and trademarks The costs incurred in establishing patents and trademarks are either expensed in accordance with the corresponding treatment of the development expenditure for the product to which they relate or capitalised if the development expenditure to which they relate has reached the point of capitalisation as an intangible asset. |
Foreign currency | Foreign currency Transactions entered into by subsidiary entities in a currency other than the currency of the primary economic environment, in which they operate, are recorded at the rates ruling when the transactions occur. Foreign currency monetary assets and liabilities are translated at the rates ruling at the reporting date. Exchange differences arising on the retranslation of unsettled monetary assets and liabilities are recognised immediately in profit or loss. The presentational currency of the Group is Pounds Sterling. Foreign subsidiaries use the local currencies of the country where the operate. On consolidation, the results of overseas operations are translated into Pounds Sterling at rates approximating to those ruling when the transactions took place. All assets and liabilities of overseas operations, including goodwill arising on the acquisition of those operations, are translated at the rate ruling at the reporting date. Exchange differences arising on translating the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income and accumulated in the foreign exchange reserve. Exchange differences recognised in the profit or loss of Group entities on the translation of long-term monetary items forming part of the Group’s net investment in the overseas operation concerned are reclassified to other comprehensive income and accumulated in the foreign exchange reserve on consolidation. On disposal of a foreign operation, the cumulative exchange differences recognised in the foreign exchange reserve relating to that operation up to the date of disposal are transferred to the consolidated statement of comprehensive income as part of the gain or loss on disposal. |
Financial assets and liabilities | Financial assets and liabilities Assets at amortised cost The Group does not have any financial assets which it would classify as fair value through profit or loss. Therefore, all financial assets are classed as assets at amortised cost as defined below. These assets are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They arise principally through the provision of goods and services to customers (e.g. trade receivables), but also incorporate other types of contractual monetary asset. They are initially recognised at fair value plus transaction costs that are directly attributable to their acquisition or issue, and are subsequently carried at amortised cost using the effective interest rate method, less provision for impairment. For impairment provisions, the Group applies the IFRS 9 simplified approach to measure expected credit losses using a lifetime expected credit loss provision for trade receivables to measure expected credit losses on a collective basis. Trade receivables are grouped based on a similar credit risk and ageing The expected loss rates are based on the Group’s historic credit losses experienced over the three-year period prior to the period end. The historic loss rates are then adjusted for current and forward-looking information on macroeconomic factors. The Group’s assets at amortised costs comprise trade and other receivables and cash and cash equivalents in the consolidated statement of financial position. Cash and cash equivalents include cash in hand, deposits held at call with original maturities of three months or less. Financial liabilities The Group classifies its financial liabilities into one of two categories, depending on the purpose for which the liability was acquired. Fair value through profit and loss (‘FVTPL’) The Group has outstanding warrants in the ordinary share capital of the company. The number of ordinary shares to be issued when exercised is fixed, however the exercise price is denominated in US Dollars being different to the functional currency of the parent company. Therefore, the warrants are classified as equity settled derivative financial liabilities recognised at fair value through the profit and loss account. The financial liability is valued using the either the Monte Carlo model or the Black-Scholes option pricing model. Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on re-measurement recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any interest paid on the financial liability and is included in the ‘finance income’ or ‘finance expense’ lines item in the income statement. Fair value is determined in the manner described in note 19. Other financial liabilities include the following items: · Borrowings are initially recognised at fair value net of any transaction costs directly attributable to the issue of the instrument. Such interest-bearing liabilities are subsequently measured at amortised cost using the effective interest rate method, which ensures that any interest expense over the period to repayment is at a constant rate on the balance of the liability carried in the consolidated statement of financial position. Interest expense in this context includes initial transaction costs and premium payable on redemption, as well as any interest or coupon payable while the liability is outstanding. · Government loans received on favourable terms below market rate are discounted at a market rate of interest. The difference between the present value of the loan and the proceeds is held as a government grant within deferred revenue and is released to research and development expenditure or grant income in line with when the asset or expenditure is recognised in the income statement. · Trade payables and other short-term monetary liabilities are initially recognised at fair value and subsequently carried at amortised cost using the effective interest method. |
Share capital | Share capital Financial instruments issued by the Group are classified as equity only to the extent that they do not meet the definition of a financial liability or financial asset. The Group has two classes of share in existence: · ordinary shares of £ 0.001 · deferred shares of £1 each are classified as equity instruments. |
Retirement benefits: defined contribution schemes | Retirement benefits: defined contribution schemes Contributions to defined contribution pension schemes are charged to the consolidated statement of comprehensive income in the year to which they relate. |
Provisions | Provisions Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event; it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. |
Share-based payments | Share-based payments The Group operates a number of equity-settled, share-based compensation plans, under which the entity receives services from employees as consideration for equity instruments (options) of the Group. The fair value of the employee services received in exchange for the grant of the options is recognised as an expense. The total amount to be expensed is determined by reference to the fair value of the options granted: · including any market performance conditions (including the share price); · excluding the impact of any service and non-market performance vesting conditions (for example, remaining an employee of the entity over a specified time period); and · including the impact of any non-vesting conditions (for example, the requirement for employees to save). Non-market performance and service conditions are included in assumptions about the number of options that are expected to vest. The total expense is recognised over the vesting period, which is the period over which all of the specified vesting conditions are to be satisfied. Where vesting conditions are accelerated on the occurrence of a specified event, such as a change in control or initial public offering, such remaining unvested charge is accelerated to the income statement. In addition, in some circumstances employees may provide services in advance of the grant date and therefore the grant date fair value is estimated for the purposes of recognising the expense during the period between service commencement period and grant date. At the end of each reporting period, the Group revises its estimates of the number of options that are expected to vest based on the non-market vesting conditions. It recognises the impact of the revision to original estimates, if any, in the income statement, with a corresponding adjustment to equity. When the options are exercised, the Company issues new shares. The proceeds received net of any directly attributable transaction costs are credited to share capital (nominal value) and share premium. |
Leases | Leases Identifying Leases The Group accounts for a contract, or a portion of a contract, as a lease when it conveys the right to use an asset for a period of time in exchange for consideration. Leases are those contracts that satisfy the following criteria: (a) There is an identified asset; (b) The Group obtains substantially all the economic benefits from use of the asset; and (c) The Group has the right to direct use of the asset. The Group considers whether the supplier has substantive substitution rights. If the supplier does have those rights, the contract is not identified as giving rise to a lease. In determining whether the Group obtains substantially all the economic benefits from use of the asset, the Group considers only the economic benefits that arise from the use of the asset, not those incidental to legal ownership or other potential benefits. In determining whether the Group has the right to direct use of the asset, the Group considers whether it directs how and for what purpose the asset is used throughout the period of use. If there are no significant decisions to be made because they are pre-determined due to the nature of the asset, the Group considers whether it was involved in the design of the asset in a way that predetermines how and for what purpose the asset will be used throughout the period of use. If the contract or portion of a contract does not satisfy these criteria, the Group applies other applicable IFRSs rather than IFRS 16. All leases are accounted for by recognising a right-of-use asset and a lease liability except for: · Leases of low value assets; and · Leases with a duration of 12 months or less. Lease liabilities are measured at the present value of the contractual payments due to the lessor over the lease term, with the discount rate determined by reference to the group’s incremental borrowing rate on commencement of the lease. Right of use assets are initially measured at the amount of the lease liability, reduced for any lease incentives received, and increased for lease payments made at or before commencement of the lease. The Group has taken advantage of the practical expedient to ignore the requirement to separate non-lease components and instead account for the entire contract as a single lease. Subsequent to initial measurement lease liabilities increase as a result of interest charged at a constant rate on the balance outstanding and are reduced for lease payments made. Right-of-use assets are amortised on a straight-line basis over the remaining term of the lease. When the group revises its estimate of the term of any lease (because, for example, it re-assesses the probability of a lessee extension or termination option being exercised), it adjusts the carrying amount of the lease liability to reflect the payments to make over the revised term, which are discounted using a revised discount rate. An equivalent adjustment is made to the carrying value of the right-of-use asset, with the revised carrying amount being amortised over the remaining (revised) lease term. If the carrying amount of the right-of-use asset is adjusted to zero, any further reduction is recognised in profit or loss. Nature of leasing activities (in the capacity as lessee) As at 31 December 2022 the Group had one property lease in place in the UK. |
Taxation | Taxation Tax is recognised in the Comprehensive Statement of Income, 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 credit is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the country where the Company operates and generates income. |
Deferred taxation | Deferred taxation Deferred tax assets and liabilities are recognised where the carrying amount of an asset or liability in the consolidated statement of financial position differs from its tax base, except for differences arising on: · the initial recognition of goodwill; · the initial recognition of an asset or liability in a transaction which is not a business combination and at the time · investments in subsidiaries and jointly controlled entities where the Group is able to control the timing of the reversal of the difference and it is probable that the difference will not reverse in the foreseeable future. Recognition of deferred tax assets is restricted to those instances where it is probable that taxable profit will be available against which the difference can be utilised. The amount of the asset or liability is determined using tax rates that have been enacted or substantively enacted by the reporting date and are expected to apply when the deferred tax assets or liabilities are recovered or settled. |
Property, plant and equipment | Property, plant and equipment Property, plant and equipment is stated at cost, net of accumulated depreciation and accumulated impairment losses. Depreciation is provided on all items of property, plant and equipment so as to write off their carrying value over their expected useful economic lives. It is provided at the following rates: Schedule of depreciation rates of property, plant and equipment Fixtures and fittings – 20%- 25% per annum straight line Leasehold improvements – the shorter of 10% per annum straight line or over the lease term Computer equipment – 25% per annum straight line Laboratory equipment – 15% – 25% per annum straight line Right of use asset – Economic life of contractual relationship |
Accounting policies (Tables)
Accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of entities | Schedule of entities Entity Summary description Biodexa Pharmaceuticals plc Ultimate holding company Midatech Limited Trading company Midatech Pharma (Espana) SL (formerly Midatech Biogune SL) Liquidated - 2021 PharMida AG Dormant Midatech Pharma (Wales) Limited (formerly Q Chip Limited) Trading company Midatech Pharma Pty Dissolved - 2020 Biodexa Limited (formerly Bioadexa Pharmaceuticals Limited) Dormant – incorporated October 2022 |
Schedule of intangibles assets useful economic lives | Schedule of intangibles assets useful economic lives Goodwill – Indefinite life IPRD – In process, not yet amortising IT and website costs – 4 years |
Schedule of depreciation rates of property, plant and equipment | Schedule of depreciation rates of property, plant and equipment Fixtures and fittings – 20%- 25% per annum straight line Leasehold improvements – the shorter of 10% per annum straight line or over the lease term Computer equipment – 25% per annum straight line Laboratory equipment – 15% – 25% per annum straight line Right of use asset – Economic life of contractual relationship |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of revenue by geographical analysis | Schedule of revenue by geographical analysis 2022 £’000 2021 £’000 2020 £’000 Revenue: United Kingdom – – 4 Belgium 699 578 114 Rest of the World – – 62 699 578 180 |
Schedule of performance obligations | Schedule of performance obligations Contractual Assets Contractual Liabilities 2022 £’000 2021 £’000 2020 £’000 2022 £’000 2021 £’000 2020 £’000 At 1 January – 71 – – (68 ) – Transfers in the period from contract assets to trade receivables – (71 ) – – – – Amounts included in contract liabilities that was recognised as revenue during the period – – – – (68 ) – Excess of revenue recognised over cash – – 71 – – – Cash received in advance of performance and not recognised as revenue during the period – – – (197 ) – (68 ) At 31 December – – 71 (197 ) – (68 ) |
Schedule of commercial segment | Schedule of commercial segment 2022 £’000 2021 £’000 2020 £’000 Customer A 100 % 100 % 64 % Customer B – – 34 % Customer C – – 2 % |
Loss from operations (Tables)
Loss from operations (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of loss from operations | Schedule of loss from operations Note 2022 £’000 2021 £’000 2020 £’000 Loss from operations is stated after charging/(crediting): Depreciation of property, plant and equipment - Research and development costs 9 162 198 1,064 - Administrative costs 9 12 15 25 Depreciation of right of use asset - Research and development costs 9 151 165 110 - Administrative costs 9 15 25 8 Amortisation of intangible assets – software - Research and development costs 11 3 – 8 - Administrative costs 11 – – 2 Impairment of intangible assets 11 – – 12,369 Impairment of financial asset 14 207 – – Provision against future loss on loan agreement 18 207 – – Fees payable to the Company’s auditor for the audit of the parent Company financial statements 106 88 87 Fees payable to the Company’s auditors for the audits of the subsidiary financial statements 44 44 43 Fees payable to the Company’s auditor for: – Audit related services 70 – 7 Fees payable to the Company’s previous auditor for the audit of the parent Company financial statements – – 15 Fees payable to the Company’s previous auditor for: - Audit related services 67 41 171 Foreign exchange loss 9 12 96 Profit/(Loss) 14 (42 ) (226 ) Equity settled share-based payment* 123 89 (404 ) |
Staff costs (Tables)
Staff costs (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Staff Costs | |
Schedule of staff costs | Schedule of staff costs 2022 £’000 2021 £’000 2020 £’000 Wages and salaries 2,033 1,354 2,727 Defined contribution pension cost (note 24) 98 71 75 Social security contributions and similar taxes 269 152 397 Share-based payment charge/(credit) 123 89 (404 ) Staff costs gross 2,523 1,666 2,795 |
Schedule for average number of employed staff | Schedule for average number of employed staff 2022 2021 2020 Research and development 22 15 31 General and administration 5 5 9 27 20 40 |
Schedule of Management Personnel Compensation | Schedule of Management Personnel Compensation 2022 £’000 2021 £’000 2020 £’000 Short term employee benefits 668 658 472 Post-employment benefits 21 27 24 Termination benefits – – 30 Share-based payment 53 61 (472 ) Total 742 746 54 |
Finance income and expense (Tab
Finance income and expense (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of finance income | Schedule of finance income 2022 £’000 2021 £’000 2020 £’000 Finance income Interest received on bank deposits 29 – 1 Gain on equity settled derivative financial liability 468 936 – Total finance income 497 936 1 2022 £’000 2021 £’000 2020 £’000 Finance expense Interest expense on lease liabilities 43 36 20 Other loans 10 8 14 Loss on equity settled derivative financial liability – – 397 Total finance expense 53 44 431 |
Taxation (Tables)
Taxation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of components of income tax expense (benefit) | Schedule of components of income tax expense (benefit) 2022 £’000 2021 £’000 2020 £’000 Current tax credit Current tax credited to the income statement 825 646 1,144 Taxation payable in respect of foreign subsidiary – – (21 ) Adjustment in respect of prior year 7 – 158 Current tax credit 832 646 1,281 Deferred tax credit Reversal of temporary differences – – – Total tax credit 832 646 1,281 |
Schedule of difference between actual tax charge and the standard rate of corporation tax | Schedule of difference between actual tax charge and the standard rate of corporation tax 2022 £’000 2021 £’000 2020 £’000 Loss before tax (8,488 ) (6,106 ) (23,470 ) Expected tax credit based on the standard rate of United Kingdom corporation tax at the domestic rate of 19% (2021: 19%; 2020: 19%) (1,613 ) (1,160 ) (4,459 ) Expenses not deductible for tax purposes 392 75 596 Income not taxable (4 ) (2 ) (75 ) Adjustment in respect of prior period (7 ) – (158 ) Surrender of tax losses for R&D tax refund (357 ) (280 ) (491 ) Deferred tax not recognised 757 721 3,306 Total tax credited to the income statement (832 ) (646 ) (1,281 ) |
Loss per share (Tables)
Loss per share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of loss per share | Schedule of loss per share 2022 £’000 2021 £’000 2020 £’000 Numerator Loss used in basic EPS and diluted EPS: Continuing operations (7,656 ) (5,460 ) (22,189 ) Denominator Weighted average number of ordinary shares used in basic EPS: 4,941,793 4,027,345 2,142,000 Basic and diluted loss per share: Continuing operations – £ (1.55 ) (1.36 ) (10.36 ) |
Property, plant and equipment (
Property, plant and equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of detailed information about property, plant and equipment | Schedule of detailed information about property, plant and equipment Fixtures and fittings £’000 Leasehold improvements £’000 Computer equipment £’000 Laboratory equipment £’000 Right of use asset £’000 Total £’000 Cost At 1 January 2020 248 2,038 403 3,738 1,124 7,551 Additions – 58 16 135 – 209 Effect of modification to lease terms – – – – (678 ) (678 ) Disposal (202 ) (2,184 ) (185 ) (2,323 ) (316 ) (5,210 ) Exchange differences 7 92 2 112 58 271 At 31 December 2020 53 4 236 1,662 188 2,143 Additions 57 53 16 194 720 1,040 Transfer – – – (155 ) 155 – Effect of modification to lease terms – – – – (24 ) (24 ) Disposal (50 ) (4 ) (10 ) (138 ) (164 ) (366 ) At 31 December 2021 60 53 242 1,563 875 2,793 Additions 3 – 14 45 – 62 Transfer to intangibles – – (122 ) – – (122 ) Disposal – – (46 ) (174 ) (51 ) (271 ) At 31 December 2022 63 53 88 1,434 824 2,462 Fixtures and fittings £’000 Leasehold improvements £’000 Computer equipment £’000 Laboratory equipment £’000 Right of use asset £’000 Total £’000 Accumulated depreciation At 1 January 2020 235 1,794 332 2,740 296 5,397 Charge for the year 9 310 50 720 118 1,207 Disposal (202 ) (2,183 ) (185 ) (2,300 ) (316 ) (5,186 ) Exchange differences 7 81 2 79 14 183 At 31 December 2020 49 2 199 1,239 112 1,601 Transfer – – – (74 ) 74 – Charge for the year 8 5 22 178 190 403 Disposal (50 ) (3 ) (8 ) (138 ) (164 ) (363 ) At 31 December 2021 7 4 213 1,205 212 1,641 Transfer to intangibles – – (113 ) – – (113 ) Charge for the year 12 11 12 139 166 340 Disposal – – (41 ) (155 ) (41 ) (237 ) At 31 December 2022 19 15 71 1,189 337 1,631 Net book value At 31 December 2022 44 38 17 245 487 831 At 31 December 2021 53 49 29 358 663 1,152 At 31 December 2020 4 2 37 423 76 542 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of market rental rates | Schedule of market rental rates Lease Liabilities 2022 £’000 2021 £’000 2020 £’000 At 1 January 766 76 907 Additions – 720 – Transfer – 77 – Effect of modification to lease terms – (24 ) (788 ) Interest expenses 36 29 15 Lease payments (178 ) (112 ) (105 ) Exchange differences – – 47 At 31 December 624 766 76 |
Low value leases expensed in year | Low value leases expensed in year 2022 £’000 2021 £’000 2020 £’000 Low value leases expensed 3 2 10 3 2 10 |
Intangible assets (Tables)
Intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of reconciliation of changes in intangible assets and goodwill | Schedule of reconciliation of changes in intangible assets and goodwill In-process £’000 Goodwill £’000 IT/Website £’000 Total £’000 Cost At 1 January 2020 13,378 2,291 35 15,704 Disposal – – (36 ) (36 ) Foreign exchange – – 1 1 At 31 December 2020 13,378 2,291 – 15,669 At 31 December 2021 13,378 2,291 – 15,669 Transfer from property, plant and equipment – – 122 122 Disposal – – (12 ) (12 ) At 31 December 2022 13,378 2,291 110 15,779 In-process research and development £’000 Goodwill £’000 IT/Website Costs £’000 Total £’000 Accumulated amortisation and impairment At 1 January 2020 3,300 – 25 3,325 Amortisation charge for the year – – 10 10 Disposal – – (36 ) (36 ) Impairment 10,078 2,291 – 12,369 Foreign exchange – – 1 1 At 31 December 2020 13,378 2,291 – 15,669 At 31 December 2021 13,378 2,291 – 15,669 Amortisation charge for the year – – 3 3 Transfer from property, plant and equipment – – 113 113 Disposal – – (12 ) (12 ) At 31 December 2022 13,378 2,291 104 15,773 Net book value At 31 December 2022 – – 6 6 At 31 December 2021 – – – – At 31 December 2020 – – – – |
Subsidiaries (Tables)
Subsidiaries (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of subsidiaries | Schedule of subsidiaries Name Registered Office Nature of Business Notes Midatech Limited 1 Caspian Point, Caspian Way, Cardiff, Trading company PharMida AG c/o Kellerhals, Hirschgässlein 11, 4051 Basel, Switzerland Dormant (a) (b) Midatech Pharma (Wales) Limited 1 Caspian Point, Caspian Way, Cardiff, Trading company Biodexa Limited (formerly Biodexa Pharmaceuticals Limited) 1 Caspian Point, Caspian Way, Cardiff, Dormant |
Trade and other receivables (Ta
Trade and other receivables (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of trade and other receivables | Schedule of trade and other receivables 2022 £’000 2021 £’000 2020 £’000 Trade receivables 329 33 95 Prepayments 376 607 258 Other receivables 301 394 219 Total trade and other receivables 1,006 1,034 572 Less: non-current portion – – – Current portion 1,006 1,034 572 |
Cash and cash equivalents and_2
Cash and cash equivalents and cash flow supporting notes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of cash and cash equivalents | Schedule of cash and cash equivalents 2022 £’000 2021 £’000 2020 £’000 Cash at bank available on demand 2,836 10,057 7,546 |
Schedule of cash inflows from an equity financing transaction | Schedule of cash inflows from an equity financing transaction 2022 £’000 2021 £’000 2020 £’000 Gross proceeds 321 10,091 10,792 Transaction costs (78 ) (1,056 ) (1,050 ) Proceeds from issuing shares 243 9,035 9,742 |
Schedule of changes in bank loan liabilities | Schedule of changes in bank loan liabilities Non-current £’000 Current £’000 Total £’000 At 1 January 2022 620 699 1,319 Cash flows – (178 ) (178 ) Non-cashflows: – – – Loans and borrowings classified as non-current 31 December 2021 becoming current in 2022 (178 ) 178 – Gain/(loss) in finance income within the consolidated statement of comprehensive income – (468 ) (468 ) Interest accruing in period 21 15 36 At 31 December 2022 463 246 709 Non-current £’000 Current £’000 Total £’000 At 1 January 2021 60 1,759 1,819 Cash flows – (215 ) (215 ) Non-cashflows: Foreign Exchange – (4 ) (4 ) New leases 715 5 720 Effect of modification to lease term – IFRS 16 – (24 ) (24 ) Loans and borrowings classified as non-current 31 December 2020 becoming current in 2021 (178 ) 178 – Transfer to share premium on exercise of warrants – (70 ) (70 ) Gain/(loss) recognised in finance income within the consolidated statement of comprehensive income – (936 ) (936 ) Interest accruing in period 23 6 29 At 31 December 2021 620 699 1,319 Non-current £’000 Current £’000 Total £’000 At 1 January 2020 5,670 1,076 6,746 Cash flows (6,182 ) (258 ) (6,440 ) Non-cashflows: Foreign Exchange 252 23 275 Fair value changes 1,176 – 1,176 Effect of modification to lease term – IFRS 16 (877 ) 89 (788 ) Reclassification portion government loan to non-current 51 (51 ) – Warrants issued – 997 997 Transfer to share premium on exercise of warrants – (499 ) (499 ) Gain/(loss) recognised in finance income within the consolidated statement of comprehensive income – 397 397 Interest accruing in period (30 ) (15 ) (45 ) At 31 December 2020 60 1,759 1,819 |
Trade and other payables (Table
Trade and other payables (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of trade and other payables | Schedule of trade and other payables Current 2022 £’000 2021 £’000 2020 £’000 Trade payables 339 485 337 Other payables 17 5 26 Accruals 817 546 768 Total financial liabilities, excluding loans and borrowings, 1,173 1,036 1,131 Tax and social security 77 56 31 Deferred revenue 197 – 68 Total trade and other payables 1,447 1,092 1,230 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of borrowings | Schedule of borrowings 2020 £’000 2021 £’000 2020 £’000 Current Lease liabilities 161 146 93 Government and research loans – – 107 Total 161 146 200 Non-current Lease liabilities 463 620 60 Total 463 620 60 |
Provisions (Tables)
Provisions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Provisions Abstract | |
Schedule of provisions | Schedule of provisions 2022 £’000 2021 £’000 2020 £’000 Opening provision at 1 January 50 50 97 Utilisation of provision (43 ) – (97 ) Provision recognised in the year 200 – 50 At 31 December 207 50 50 Less: non-current portion – – (50 ) Current portion 207 50 – |
Derivative financial liabilit_2
Derivative financial liability – current (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of derivative financial liability | Schedule of derivative financial liability 2022 £’000 2021 £’000 2020 £’000 Equity settled derivative financial liability At 1 January 553 1,559 664 Warrants issued – – 997 Transfer to share premium on exercise of warrants – (70 ) (499 ) (Gain)/loss recognised in finance (income)/expense within the consolidated statement of comprehensive income (468 ) (936 ) 397 At 31 December 85 553 1,559 |
Schedule of warrant exercise price | Schedule of warrant exercise price ADR Warrants Equivalent Ordinary Number* Original Price New Price per Number October 2019 ADR warrants 30,000 $ 125.00 $ 4.00 150,000 May 2020 ADR warrants 32,550 $ 41.00 $ 4.00 162,750 |
Schedule of warrants outstanding | Schedule of warrants outstanding At 1 Granted Exercised At 31 Lapsed Exercised At 31 Lapsed At 31 May 2020 grant – 477,255 (125,000 ) 352,255 – (15,340 ) 336,915 – 336,915 October 19 grant 157,495 – – 157,495 – – 157,495 – 157,495 DARA Warrants 231 – – 231 (27 ) – 204 (204 ) – DARA Options 138 – – 138 – – 138 – 138 |
Financial instruments _ risk _2
Financial instruments – risk management (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of consolidated derivative financial instruments | Schedule of consolidated derivative financial instruments 2022 £’000 2021 £’000 2020 £’000 Cash and cash equivalents 2,836 10,057 7,546 Trade receivables 329 33 95 Other receivables – – – Total financial assets 3,165 10,090 7,641 Financial liabilities – amortised cost 2022 £’000 2021 £’000 2020 £’000 Trade payables 339 485 337 Other payables 17 5 26 Accruals 817 546 768 Borrowings 624 766 260 Total financial liabilities – amortised cost 1,797 1,802 1,391 Financial liabilities – fair value through profit and loss – current 2022 £’000 2021 £’000 2020 £’000 Equity settled derivative financial liability 85 553 1,559 |
Schedule of consolidated financial assets and liabilities at fair value | Schedule of consolidated financial assets and liabilities at fair value Financial Fair value Fair Valuation Significant unobservable Relationship of Equity settled financial derivative liability £ 48,000 Level 3 Monte Carlo simulation model Volatility rate of 70.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 2.88 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 4.22% determined using the expected life assumptions. The higher the risk-free rate Equity settled financial derivative liability £ 37,000 Level 3 Monte Carlo simulation model Volatility rate of 70.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 2.5 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 4.32% determined using the expected life assumptions. The higher the risk-free rate Total £ 85,000 Financial Fair value Fair Valuation Significant unobservable Relationship of Equity settled financial derivative liability £ 467,000 Level 3 Monte Carlo simulation model Volatility rate of 95.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 3.88 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.31% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability £ 86,000 Level 3 Monte Carlo simulation model Volatility rate of 85.0% determined using historical volatility of comparable companies The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 3.5 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.71% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability – Level 3 Black-Scholes option pricing model Volatility rate of 85.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.10 and 0.9 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.71% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Total £ 553,000 Financial Fair value Fair Valuation Significant unobservable Relationship of Equity settled financial derivative liability £ 1,187,000 Level 3 Monte Carlo simulation model Volatility rate of 105.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 4.49 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.07% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability £ 372,000 Level 3 Monte Carlo simulation model Volatility rate of 105.0% determined using historical volatility of comparable companies The higher the volatility the higher the fair value. Expected life between a range of 0.1 and 4.888 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.08% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Equity settled financial derivative liability – Level 3 Black-Scholes option pricing model Volatility rate of 105.0% determined using historical volatility of comparable companies. The higher the volatility the higher the fair value. Expected life between a range of 1.0 and 1.9 years determined using the remaining life of the share options. The shorter the expected life the lower the fair value. Risk-free rate of 0.8% determined using the expected life assumptions. The higher the risk-free rate the higher the fair value. Total £ 1,559,000 |
Schedule of foreign exchange risk | Schedule of foreign exchange risk 2022 £’000 2021 £’000 2020 £’000 Cash and cash equivalents: Pounds Sterling 2,588 10,057 7,247 US Dollar 248 – 120 Euro – – 179 Total 2,836 10,057 7,546 The table below shows the foreign currency exposure that gives rise to net currency gains and losses recognised in the consolidated statement of comprehensive income. As at 31 December, these exposures were as follows: 2022 £’000 2021 £’000 2020 £’000 Net Foreign Currency Assets/(Liabilities): US Dollar 248 – 120 Euro 17 22 54 Other – – 1 Total 265 22 175 |
Schedule of foreign currency exchange rates | Schedule of foreign currency exchange rates Year ended 31 December 2022 US Dollar £’000 Euro £’000 Other £’000 Loss before tax 25 (1 ) – Total equity 25 (1 ) – Year ended 31 December 2021 US Dollar £’000 Euro £’000 Other £’000 Loss before tax – 2 – Total equity – 2 – Year ended 31 December 2020 US Dollar £’000 Euro £’000 Other £’000 Loss before tax 12 (293 ) (4 ) Total equity 12 (293 ) (4 ) |
Schedule of contractual maturities of financial liabilities | Schedule of contractual maturities of financial liabilities 2022 Up to 3 £’000 Between 3 and 12 months £’000 Between years £’000 Between £’000 Over £’000 Trade and other payables 1,173 – – – – Lease liabilities 49 140 188 254 – Total 1,222 140 188 254 – 2021 Up to 3 £’000 Between 3 and 12 months £’000 Between years £’000 Between £’000 Over £’000 Trade and other payables 1,036 – – – – Lease liabilities 46 171 195 442 – Total 1,082 171 195 442 – 2020 Up to 3 £’000 Between 3 and 12 months £’000 Between years £’000 Between £’000 Over £’000 Trade and other payables 1,131 – – – – Lease liabilities 25 75 61 8 – Government research loans 107 – – – – Total 1,263 75 61 8 – |
Deferred tax (Tables)
Deferred tax (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of unused tax losses carried forward | Schedule of unused tax losses carried forward Gross losses £’000 Potential £’000 31 December 2022 71,139 17,867 31 December 2021 67,210 16,925 31 December 2020 63,183 13,076 |
Share capital (Tables)
Share capital (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of detailed information about share capital | Schedule of detailed information about share capital Authorised, allotted and fully 2022 Number 2022 £ 2021 Number 2021 £ 2020 Number 2020 £ At 31 December Ordinary shares of 5,417,137 108,343 4,923,420 98,468 3,153,694 63,074 Deferred shares of £1 each 1,000,001 1,000,001 1,000,001 1,000,001 1,000,001 1,000,001 Total 1,108,344 1,098,469 1,063,075 |
Schedule Of Ordinary and Deferred Shares | Schedule Of Ordinary and Deferred Shares Ordinary Number Deferred Number Share £ Total £’000 At 1 January 2020 1,174,752 1,000,001 2020 18 May 2020 Placing & Registered Direct Offering 787,878 5.4000 4,255 27 July 2020 Placing 1,064,814 5.4000 5,750 19 August 2020 Exercise of warrants 125,000 6.2642 783 30 September 2020 Share issue to SIPP trustee (see note 25) 1,250 0.0200 – At 31 December 2020 3,153,694 1,000,001 19 February 2021 Exercise of warrants 15,340 5.9600 91 6 July 2021 Placing 1,754,386 5.7000 10,000 At 31 December 2021 4,923,420 1,000,001 22 March 2022 Exercise of warrants 1 200.0000 – 3 May 2022 Share issue to SIPP trustee (see note 25) 1,250 0.0200 – 19? December 2022 Registered Direct Offering 492,466 0.6660 321 At 31 December 2022 5,417,137 1,000,001 |
Reserves (Tables)
Reserves (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of reserves | Schedule of reserves Reserve Description and purpose Share capital Nominal value of subscribed share capital Share premium Amount subscribed for share capital in excess of nominal value. Merger reserve Represents the difference between the fair value and nominal value of shares issued on the acquisition of subsidiary companies where the Company has elected to take advantage of merger accounting. Foreign exchange reserve Gains/losses arising on retranslating the net assets of overseas operations into sterling. Warrant reserve Represents the fair value of warrants denominated in £ at the date of grant. The number and price is fixed at the date of grant. The warrants expire in November 2025. Accumulated deficit All other net gains and losses and transactions with owners (e.g. dividends) not recognised elsewhere. |
Share-based payments (Tables)
Share-based payments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Details of all share options granted under the Schemes are set out below: | Details of all share options granted under the Schemes are set out below: Date of grant At 1 January Granted in Lapsed in Forfeited in At 31 December Exercise Price 20 April 2012 79 – (79 ) – – £ 1,676.00 9 May 2014 500 – (500 ) – – £ 30.00 30 June 2014 25 – – – 25 £ 30.00 31 October 2016 352 – (352 ) – – £ 1,072.00 19 December 2016 396 – (383 ) – 13 £ 484.00 15 December 2017 59 – – (19 ) 40 £ 184.00 24 April 2019 625 – – (313 ) 312 £ 29.20 2 October 2019 1,500 – – – 1,500 £ 21.00 17 April 2020 5,000 – – – 5,000 £ 4.80 17 June 2020 43,175 – (5,625 ) (3,950 ) 33,600 £ 4.04 15 July 2021 71,450 – – (7,100 ) 64,350 £ 5.55 2 August 2021 2,500 – – – 2,500 £ 5.30 1 September 2021 6,000 – – – 6,000 £ 5.10 7 February 2022 – 18,750 – – 18,750 £ 3.05 12 August 2022 – 12,500 – – 12,500 £ 2.10 131,661 31,250 (6,939 ) (11,382 ) 144,590 Options exercisable at 31 December 2022 55,932 Weighted average exercise price of outstanding options at 31 December 2022 £ 4.836 Weighted average exercise price of options exercised in 2022 n/a Weighted average exercise price of options lapsed in 2022 £ 105.612 Weighted average exercise price of options forfeited in 2022 £ 5.974 Weighted average exercise price of options granted in 2022 £ 2.670 Weighted average remaining contractual life of outstanding options at 31 December 2022 8.1 Date of grant At 1 January Granted in Lapsed in Forfeited in At 31 December Exercise Price 13 September 2011 8 – (8 ) – – £ 1,676.00 20 April 2012 79 – – – 79 £ 1,676.00 9 May 2014 500 – – – 500 £ 30.00 30 June 2014 25 – – – 25 £ 30.00 31 October 2016 397 – – (45 ) 352 £ 1,072.00 19 December 2016 499 – – (103 ) 396 £ 484.00 15 December 2017 164 – – (105 ) 59 £ 184.00 24 April 2019 2,275 – – (1,650 ) 625 £ 29.20 2 October 2019 1,500 – – – 1,500 £ 21.00 17 April 2020 5,000 – – – 5,000 £ 4.80 17 June 2020 63,700 – – (20,525 ) 43,175 £ 4.04 15 July 2021 – 85,450 – (14,000 ) 71,450 £ 5.55 2 August 2021 – 2,500 – – 2,500 £ 5.30 1 September 2021 – 6,000 – – 6,000 £ 5.10 74,147 93,950 (8 ) (36,428 ) 131,661 Options exercisable at 31 December 2021 8,982 Weighted average exercise price of outstanding options at 31 December 2021 £ 10.759 Weighted average exercise price of options exercised in 2021 n/a Weighted average exercise price of options lapsed in 2021 £ 1,676.000 Weighted average exercise price of options forfeited in 2021 £ 8.955 Weighted average exercise price of options granted in 2021 £ 5.515 Weighted average remaining contractual life of outstanding options at 31 December 2021 9.0 Date of grant At 1 January Granted in Lapsed in Forfeited in At 31 December Exercise Price 1 April 2010 63 – (63 ) – – £ 1,600.00 20 August 2010 104 – (104 ) – – £ 1,676.00 13 September 2011 8 – – – 8 £ 1,676.00 20 April 2012 79 – – – 79 £ 1,676.00 9 May 2014 500 – – – 500 £ 30.00 30 June 2014 925 – – (9,000 ) 25 £ 30.00 11 July 2014 6 – (3 ) (3 ) – £ 30.00 31 October 2016 815 – (43 ) (375 ) 397 £ 1,072.00 14 December 2016 20 – (20 ) – – £ 620.00 14 December 2016 25 – (25 ) – – £ 680.00 14 December 2016 100 – (100 ) – – £ 748.00 14 December 2016 81 – (81 ) – – £ 752.00 15 December 2016 230 – (230 ) – – £ 484.00 19 December 2016 1,118 – (78 ) (541 ) 499 £ 484.00 15 December 2017 1,478 – (666 ) (648 ) 164 £ 184.00 2 April 2018 50 – (50 ) – – £ 332.00 2 April 2018 225 – (225 ) – – £ 484.00 24 April 2019 8,475 – – (6,200 ) 2,275 £ 29.20 2 October 2019 2,500 – – (1,000 ) 1,500 £ 21.00 17 April 2020 – 5,000 – – 5,000 £ 4.80 17 June 2020 – 68,150 – (4,450 ) 63,700 £ 4.04 16,802 73,150 (1,688 ) (14,117 ) 74,147 Options exercisable at 31 December 2020 9,759 Weighted average exercise price of outstanding options at 31 December 2020 £ 16.698 Weighted average exercise price of options exercised in 2020 n/a Weighted average exercise price of options lapsed in 2020 £ 523.411 Weighted average exercise price of options forfeited in 2020 £ 72.975 Weighted average exercise price of options granted in 2020 £ 4.092 Weighted average remaining contractual life of outstanding options at 31 December 2020 9.2 |
Schedule of fair value of options granted | Schedule of fair value of options granted February 2022 August 2022 August 2022 Number of options 18,750 5,000 7,500 Option pricing models used Black-Scholes Black-Scholes Black-Scholes Share price £ 3.05 £ 2.10 £ 2.10 Exercise price of options issued in year £ 3.05 £ 2.10 £ 2.10 Contractual life 10 10 10 Expected life 5 5 5 Volatility 87.88 %** 91.78 %** 91.66 %** Expected dividend yield 0 % 0 % 0 % Risk free rate 1.28 % 1.92 % 1.92 % The share price used in the determination of the fair value of the options granted in 2022 was the share price on the date of grant. ** Volatility was calculated with reference to the historic share price volatility of comparable companies measured over a five-year period. The following information is relevant in the determination of the fair value of options granted during the year 2021 under the equity share based remuneration schemes operated by the Group. July 2021 August 2021 September 2021 Number of options 85,450 2,500 6,000 Option pricing models used Black-Scholes Black-Scholes Black-Scholes Share price £ 5.55 * £ 5.30 * £ 5.10 * Exercise price of options issued in year £ 5.55 £ 5.30 £ 5.10 Contractual life 10 10 10 Expected life 5 5 5 Volatility 88.63 %** 88.59 %** 88.11 %** Expected dividend yield 0 % 0 % 0 % Risk free rate 0.38 % 0.26 % 0.32 % * The share price used in the determination of the fair value of the options granted in 2021 was the share price on the date of grant. ** Volatility was calculated with reference to the historic share price volatility of comparable companies measured over a five-year period. The following information is relevant in the determination of the fair value of options granted during the year 2020 under the equity share based remuneration schemes operated by the Group. April 2020 June 2020 Number of options 5,000 68,150 Option pricing models used Black-Scholes Black-Scholes Share price £ 4.80 * £ 4.04 * Exercise price of options issued in year £ 4.80 £ 4.04 Contractual life 10 10 Expected life 5 5 Volatility 84.76 %** 92.55 %** Expected dividend yield 0 % 0 % Risk free rate 0.11 % 0.10 % * The share price used in the determination of the fair value of the options granted in 2020 was the share price on the date of grant. ** Volatility was calculated with reference to the historic share price volatility of comparable companies measured over a five-year period. |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of related party transactions | Schedule of related party transactions Purchase of good Amounts owed by related parties 2022 €’000 2021 €’000 2020 €’000 2022 €’000 2021 €£’000 2020 €’000 BioConnection BV – – 296 – – – |
Results of Midatech Pharma (E_2
Results of Midatech Pharma (Espa?a) SL (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Results Of Midatech Pharma Espaa Sl | |
Schedule Of Unaudited Results Explanatory | Schedule Of Unaudited Results Explanatory Year ended 31 £’000 Grant revenue 163 Total revenue 163 Research and development costs (2,820 ) Administrative costs (1,146 ) Loss from operations (3,803 ) Finance expense (11 ) Loss before tax (3,814 ) Taxation (21 ) Loss from operations after tax (3,835 ) |
Post Balance Sheet Events (Tabl
Post Balance Sheet Events (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Post Balance Sheet Events | |
Schedule of share consolidation | Schedule of share consolidation Pre-Split Post-Split Weighted average number of shares outstanding - basic and diluted 98,835,849 4,941,793 Ordinary shares outstanding 108,342,738 5,417,137 Outstanding employee share options over ordinary shares 2,891,875 144,590 Outstanding DARA options over ordinary shares 2,822 138 Outstanding warrants over ordinary shares 17,221,973 861,075 |
Accounting policies (Details)
Accounting policies (Details) | 12 Months Ended | |
Dec. 31, 2022 | ||
Biodexa Pharmaceuticalsplc [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity | Biodexa Pharmaceuticals plc | |
Summary description | Ultimate holding company | |
Midatech limited [member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity | Midatech Limited | |
Summary description | Trading company | |
Midatech pharma (espana) SL (formerly midatech biogune SL) [member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity | Midatech Pharma (Espana) SL (formerly Midatech Biogune SL) | |
Summary description | Liquidated - 2021 | |
PharMida AG [member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity | PharMida AG | |
Summary description | Dormant | [1],[2] |
Midatech Pharma Wale Limited [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity | Midatech Pharma (Wales) Limited (formerly Q Chip Limited) | |
Summary description | Trading company | |
Midatech pharma PTY [member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity | Midatech Pharma Pty | |
Summary description | Dissolved - 2020 | |
Biodexa Limited [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity | Biodexa Limited (formerly Bioadexa Pharmaceuticals Limited) | |
Summary description | Dormant – incorporated October 2022 | |
[1]PharMida AG became dormant in January 2016.[2]Wholly owned subsidiary of Midatech Limited. |
Accounting policies (Details 1)
Accounting policies (Details 1) | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill [member] | |
IfrsStatementLineItems [Line Items] | |
Useful economic lives | Indefinite life |
Intangible assets under development [member] | |
IfrsStatementLineItems [Line Items] | |
Useful economic lives | In process, not yet amortising |
IT and website costs [member] | |
IfrsStatementLineItems [Line Items] | |
Useful economic lives | 4 years |
Accounting policies (Details 2)
Accounting policies (Details 2) | 12 Months Ended |
Dec. 31, 2022 | |
Fixtures and fittings [member] | |
IfrsStatementLineItems [Line Items] | |
Description of useful life, property, plant and equipment | 20%- 25% per annum straight line |
Leasehold improvements [member] | |
IfrsStatementLineItems [Line Items] | |
Description of useful life, property, plant and equipment | the shorter of 10% per annum straight line or over the lease term |
Computer equipment [member] | |
IfrsStatementLineItems [Line Items] | |
Description of useful life, property, plant and equipment | 25% per annum straight line |
Laboratory equipment [member] | |
IfrsStatementLineItems [Line Items] | |
Description of useful life, property, plant and equipment | 15% – 25% per annum straight line |
Right of use asset [member] | |
IfrsStatementLineItems [Line Items] | |
Description of useful life, property, plant and equipment | Economic life of contractual relationship |
Accounting policies (Details Na
Accounting policies (Details Narrative) | Mar. 02, 2020 £ / shares |
Ordinary shares [member] | |
IfrsStatementLineItems [Line Items] | |
Share par value (in dollars per share) | £ 0.001 |
Critical accounting estimates_2
Critical accounting estimates and judgements (Details Narrative) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Critical Accounting Estimates And Judgements | |||
Unutilised tax losses | £ 71,600 | £ 67,200 | £ 63,200 |
Loss from operations | 7,700 | ||
Negative cash flows from operations | 7,000 | ||
Accumulated deficit | 135,300 | ||
Cash and cash equivalents | £ 2,800 |
Revenue (Details)
Revenue (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Revenue | £ 699 | £ 578 | £ 180 |
United Kingdom [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenue | 4 | ||
Belgium [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenue | 699 | 114 | |
Belgium [Member] | Continuing operations [member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenue | 578 | ||
Rest of the world [member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenue | £ 62 |
Revenue (Details 1)
Revenue (Details 1) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Contractual assets, beginning | £ 71 | ||
Contractual liabilities, beginning | (68) | ||
Transfers in the period from contract assets to trade receivables | (71) | ||
Transfers in the period from contract assets to trade receivables | |||
Amounts included in contract liabilities that was recognised as revenue during the period | |||
Amounts included in contract liabilities that was recognised as revenue during the period | (68) | ||
Excess of revenue recognised over cash | 71 | ||
Excess of revenue recognised over cash | |||
Cash received in advance of performance and not recognised as revenue during the period | |||
Cash received in advance of performance and not recognised as revenue during the period | (197) | (68) | |
Contractual assets, ending | 71 | ||
Contractual liabilities, ending | £ (197) | £ (68) |
Revenue (Details 2)
Revenue (Details 2) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Customers A [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Percentage of revenue in excess of 10% | 100% | 100% | 64% |
Customers B [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Percentage of revenue in excess of 10% | 34% | ||
Customers C [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Percentage of revenue in excess of 10% | 2% |
Loss from operations (Details)
Loss from operations (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Impairment of intangible assets | £ 12,369 | ||
Impairment of financial asset | 207 | ||
Provision against future loss on loan agreement | 207 | ||
Fee and commission income (expense) | 106 | 88 | 87 |
Fees payable to the Company's subsidiary auditors for the audits of the susidiary accounts | 44 | 44 | 43 |
Other services | 70 | 7 | |
Fee and commission income expense 2 | 15 | ||
Fee payable other services 1 | 67 | 41 | 171 |
Foreign exchange loss | 9 | 12 | 96 |
Profit/(Loss) on disposal of property, plant and equipment | 14 | (42) | (226) |
Equity settled share-based payment* | 123 | 89 | (404) |
Research and Development [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Depreciation of property, plant and equipment | 162 | 198 | 1,064 |
Depreciation of right of use asset | 151 | 165 | 110 |
Amortisation of intangible assets software | 3 | 8 | |
Administrative Costs [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Depreciation of property, plant and equipment | 12 | 15 | 25 |
Depreciation of right of use asset | 15 | 25 | 8 |
Amortisation of intangible assets software | £ 2 |
Staff costs (Details)
Staff costs (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Staff Costs | |||
Wages and salaries | £ 2,033 | £ 1,354 | £ 2,727 |
Defined contribution pension cost (note 24) | 98 | 71 | 75 |
Social security contributions and similar taxes | 269 | 152 | 397 |
Share-based payment charge/(credit) | 123 | 89 | (404) |
Staff costs gross | £ 2,523 | £ 1,666 | £ 2,795 |
Staff costs (Details 1)
Staff costs (Details 1) - Number | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Average number of staff employee | 27 | 20 | 40 |
Research and Development [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Average number of staff employee | 22 | 15 | 31 |
General and Administration [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Average number of staff employee | 5 | 5 | 9 |
Staff costs (Details 2)
Staff costs (Details 2) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Staff Costs | |||
Short term employee benefits | £ 668 | £ 658 | £ 472 |
Post-employment benefits | 21 | 27 | 24 |
Termination benefits | 30 | ||
Share-based payment | 53 | 61 | (472) |
Total | £ 742 | £ 746 | £ 54 |
Staff costs (Details Narrative)
Staff costs (Details Narrative) | 12 Months Ended |
Dec. 31, 2022 | |
Staff Costs | |
Disclosure of information about key management personnel | Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Group, including the Directors of the Company listed on page 25, including the Chief Executive Officer and Chief Scientific Officer. |
Finance income and expense (Det
Finance income and expense (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Finance income | |||
Interest received on bank deposits | £ 29 | £ 1 | |
Gain on equity settled derivative financial liability | 468 | 936 | |
Total finance income | 497 | 936 | 1 |
Finance expense | |||
Interest expense on lease liabilities | 43 | 36 | 20 |
Other loans | 10 | 8 | 14 |
Loss on equity settled derivative financial liability | 397 | ||
Total finance expense | £ 53 | £ 44 | £ 431 |
Taxation (Details)
Taxation (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current tax credit | |||
Current tax credited to the income statement | £ 825 | £ 646 | £ 1,144 |
Taxation payable in respect of foreign subsidiary | (21) | ||
Adjustment in respect of prior year | 7 | 158 | |
Current tax credit | 832 | 646 | 1,281 |
Deferred tax credit | |||
Reversal of temporary differences | |||
Total tax credit | £ 832 | £ 646 | £ 1,281 |
Taxation (Details 1)
Taxation (Details 1) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Loss before tax | £ (8,488) | £ (6,106) | £ (23,470) |
Expected tax credit based on the standard rate of United Kingdom corporation tax at the domestic rate of 19% (2021: 19%; 2020: 19%) | (1,613) | (1,160) | (4,459) |
Expenses not deductible for tax purposes | 392 | 75 | 596 |
Income not taxable | (4) | (2) | (75) |
Adjustment in respect of prior period | (7) | (158) | |
Surrender of tax losses for R&D tax refund | (357) | (280) | (491) |
Deferred tax not recognised | 757 | 721 | 3,306 |
Total tax credited to the income statement | £ (832) | £ (646) | £ (1,281) |
Loss per share (Details)
Loss per share (Details) - GBP (£) £ / shares in Units, £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Loss used in basic EPS and diluted EPS: | |||
Continuing operations | £ (7,656) | £ (5,460) | £ (22,189) |
Denominator | |||
Weighted average number of ordinary shares used in basic EPS: | 4,941,793 | 4,027,345 | 2,142,000 |
Basic and diluted loss per share: | |||
Continuing operations – £ | £ (1.55) | £ (1.36) | £ (10.36) |
Property, plant and equipment_2
Property, plant and equipment (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | £ 1,152 | £ 542 | |
Balance at ending | 831 | 1,152 | £ 542 |
Net book value | 831 | 1,152 | 542 |
Gross Gross Gross Carrying Amount [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 2,793 | 2,143 | 7,551 |
Additions | 62 | 1,040 | 209 |
Effect of modification to lease terms | (24) | (678) | |
Disposals | 271 | (366) | (5,210) |
Exchange differences | 271 | ||
Transfer | (122) | ||
Disposals | (271) | 366 | 5,210 |
Balance at ending | 2,462 | 2,793 | 2,143 |
Net book value | 2,462 | 2,793 | 2,143 |
Accumulated depreciation and amortisation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Exchange differences | 183 | ||
Balance at beginning | 1,631 | 1,641 | 1,601 |
Charge for the year | 340 | 403 | 1,207 |
Disposals | (237) | (363) | (5,186) |
Balance at beginning | 1,641 | 1,601 | 5,397 |
Transfer | (113) | ||
Balance at end | 1,631 | 1,641 | 1,601 |
Fixtures and fittings [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 53 | 4 | |
Balance at ending | 44 | 53 | 4 |
Net book value | 44 | 53 | 4 |
Fixtures and fittings [member] | Gross Gross Gross Carrying Amount [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 60 | 53 | 248 |
Additions | 3 | 57 | |
Effect of modification to lease terms | |||
Disposals | (50) | (202) | |
Exchange differences | 7 | ||
Transfer | |||
Disposals | 50 | 202 | |
Balance at ending | 63 | 60 | 53 |
Net book value | 63 | 60 | 53 |
Fixtures and fittings [member] | Accumulated depreciation and amortisation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Exchange differences | 7 | ||
Balance at beginning | 19 | 7 | 49 |
Charge for the year | 12 | 8 | 9 |
Disposals | (50) | (202) | |
Balance at beginning | 7 | 49 | 235 |
Transfer | |||
Balance at end | 19 | 7 | 49 |
Leasehold improvements [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 49 | 2 | |
Balance at ending | 38 | 49 | 2 |
Net book value | 38 | 49 | 2 |
Leasehold improvements [member] | Gross Gross Gross Carrying Amount [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 53 | 4 | 2,038 |
Additions | 53 | 58 | |
Effect of modification to lease terms | |||
Disposals | (4) | (2,184) | |
Exchange differences | 92 | ||
Transfer | |||
Disposals | 4 | 2,184 | |
Balance at ending | 53 | 53 | 4 |
Net book value | 53 | 53 | 4 |
Leasehold improvements [member] | Accumulated depreciation and amortisation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Exchange differences | 81 | ||
Balance at beginning | 15 | 4 | 2 |
Charge for the year | 11 | 5 | 310 |
Disposals | (3) | (2,183) | |
Balance at beginning | 4 | 2 | 1,794 |
Transfer | |||
Balance at end | 15 | 4 | 2 |
Computer equipment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 29 | 37 | |
Balance at ending | 17 | 29 | 37 |
Net book value | 17 | 29 | 37 |
Computer equipment [member] | Gross Gross Gross Carrying Amount [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 242 | 236 | 403 |
Additions | 14 | 16 | 16 |
Effect of modification to lease terms | |||
Disposals | (46) | (10) | (185) |
Exchange differences | 2 | ||
Transfer | (122) | ||
Disposals | 46 | 10 | 185 |
Balance at ending | 88 | 242 | 236 |
Net book value | 88 | 242 | 236 |
Computer equipment [member] | Accumulated depreciation and amortisation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Exchange differences | 2 | ||
Balance at beginning | 71 | 213 | 199 |
Charge for the year | 12 | 22 | 50 |
Disposals | (41) | (8) | (185) |
Balance at beginning | 213 | 199 | 332 |
Transfer | (113) | ||
Balance at end | 71 | 213 | 199 |
Laboratory equipment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 358 | 423 | |
Balance at ending | 245 | 358 | 423 |
Net book value | 245 | 358 | 423 |
Laboratory equipment [member] | Gross Gross Gross Carrying Amount [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 1,563 | 1,662 | 3,738 |
Additions | 45 | 194 | 135 |
Effect of modification to lease terms | |||
Disposals | (174) | (138) | (2,323) |
Exchange differences | 112 | ||
Transfer | (155) | ||
Disposals | 174 | 138 | 2,323 |
Balance at ending | 1,434 | 1,563 | 1,662 |
Net book value | 1,434 | 1,563 | 1,662 |
Laboratory equipment [member] | Accumulated depreciation and amortisation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Exchange differences | 79 | ||
Balance at beginning | 1,189 | 1,205 | 1,239 |
Charge for the year | 139 | 178 | 720 |
Disposals | (155) | (138) | (2,300) |
Balance at beginning | 1,205 | 1,239 | 2,740 |
Transfer | (74) | ||
Balance at end | 1,189 | 1,205 | 1,239 |
Right-of-use assets [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 663 | 76 | |
Balance at ending | 487 | 663 | 76 |
Net book value | 487 | 663 | 76 |
Right-of-use assets [member] | Gross Gross Gross Carrying Amount [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 875 | 188 | 1,124 |
Additions | 720 | ||
Effect of modification to lease terms | (24) | (678) | |
Disposals | 51 | (164) | (316) |
Exchange differences | 58 | ||
Transfer | 155 | ||
Disposals | (51) | 164 | 316 |
Balance at ending | 824 | 875 | 188 |
Net book value | 824 | 875 | 188 |
Right-of-use assets [member] | Accumulated depreciation and amortisation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Exchange differences | 14 | ||
Balance at beginning | 337 | 212 | 112 |
Charge for the year | 166 | 190 | 118 |
Disposals | (41) | (164) | (316) |
Balance at beginning | 212 | 112 | 296 |
Transfer | 74 | ||
Balance at end | £ 337 | £ 212 | £ 112 |
Leases (Details)
Leases (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Interest expenses | £ 43 | £ 36 | £ 20 |
Lease payments | (178) | (112) | (258) |
Land and buildings [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning | 766 | 76 | 907 |
Additions | 720 | ||
Transfer | 77 | ||
Effect of modification to lease terms | (24) | (788) | |
Interest expenses | 36 | 29 | 15 |
Lease payments | (178) | (112) | (105) |
Exchange differences | 47 | ||
Balance at ending | £ 624 | £ 766 | £ 76 |
Leases (Details 1)
Leases (Details 1) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Low value leases expensed | £ 3 | £ 2 | £ 10 |
Total | £ 3 | £ 2 | £ 10 |
Intangible assets (Details)
Intangible assets (Details) - GBP (£) £ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | ||
Balance at end | 6 | |
Net book value | 6 | |
Gross Gross Gross Carrying Amount [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | 15,669 | 15,704 |
Disposal | (12) | (36) |
Foreign exchange | 1 | |
Balance at end | 15,779 | 15,669 |
Transfer from property, plant and equipment | 122 | |
Net book value | 15,779 | 15,669 |
Accumulated depreciation, amortisation and impairment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | ||
Disposal | (12) | (36) |
Foreign exchange | 1 | |
Balance at end | 6 | |
Transfer from property, plant and equipment | 113 | |
Balance at beginning | 15,669 | 3,325 |
Amortisation charge for the year | 3 | 10 |
Impairment | 12,369 | |
Balance at end | 15,773 | 15,669 |
Net book value | 6 | |
Intangible assets under development [member] | Gross Gross Gross Carrying Amount [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | 13,378 | 13,378 |
Disposal | ||
Foreign exchange | ||
Balance at end | 13,378 | 13,378 |
Transfer from property, plant and equipment | ||
Net book value | 13,378 | 13,378 |
Intangible assets under development [member] | Accumulated depreciation, amortisation and impairment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | ||
Disposal | ||
Foreign exchange | ||
Balance at end | ||
Transfer from property, plant and equipment | ||
Balance at beginning | 13,378 | 3,300 |
Amortisation charge for the year | ||
Impairment | 10,078 | |
Balance at end | 13,378 | 13,378 |
Net book value | ||
Goodwill [member] | Gross Gross Gross Carrying Amount [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | 2,291 | 2,291 |
Disposal | ||
Foreign exchange | ||
Balance at end | 2,291 | 2,291 |
Transfer from property, plant and equipment | ||
Net book value | 2,291 | 2,291 |
Goodwill [member] | Accumulated depreciation, amortisation and impairment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | ||
Disposal | ||
Foreign exchange | ||
Balance at end | ||
Transfer from property, plant and equipment | ||
Balance at beginning | 2,291 | |
Amortisation charge for the year | ||
Impairment | 2,291 | |
Balance at end | 2,291 | 2,291 |
Net book value | ||
IT and website costs [member] | Gross Gross Gross Carrying Amount [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | 35 | |
Disposal | (12) | (36) |
Foreign exchange | 1 | |
Balance at end | 110 | |
Transfer from property, plant and equipment | 122 | |
Net book value | 110 | |
IT and website costs [member] | Accumulated depreciation, amortisation and impairment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning | ||
Disposal | (12) | (36) |
Foreign exchange | 1 | |
Balance at end | 6 | |
Transfer from property, plant and equipment | 113 | |
Balance at beginning | 25 | |
Amortisation charge for the year | 3 | 10 |
Impairment | ||
Balance at end | 104 | |
Net book value | £ 6 |
Loss per share (Details Narrati
Loss per share (Details Narrative) | 12 Months Ended |
Dec. 31, 2022 | |
Description of stock split | Ordinary Shares on a one for 20 basis. As a result the par value of the Ordinary Shares was changed from £0.001 per share to £0.02 per share. The denominator has been calculated to reflect the share consolidation. |
Subsidiaries (Details)
Subsidiaries (Details) | 12 Months Ended | |
Dec. 31, 2022 | ||
Midatech limited [member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity name | Midatech Limited | |
Principal place of business of subsidiary | 1 Caspian Point, Caspian Way, Cardiff, CF10 4DQ | |
Description of nature of entity's operations and principal activities | Trading company | |
PharMida AG [member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity name | PharMida AG | |
Principal place of business of subsidiary | c/o Kellerhals, Hirschgässlein 11, 4051 Basel, Switzerland | [1],[2] |
Description of nature of entity's operations and principal activities | Dormant | [1],[2] |
Midatech pharma (wales) limited [member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity name | Midatech Pharma (Wales) Limited | [1],[2] |
Principal place of business of subsidiary | 1 Caspian Point, Caspian Way, Cardiff, CF10 4DQ | |
Description of nature of entity's operations and principal activities | Trading company | |
Biodexa Limited 1 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Entity name | Biodexa Limited (formerly Biodexa Pharmaceuticals Limited) | |
Principal place of business of subsidiary | 1 Caspian Point, Caspian Way, Cardiff, CF10 4DQ | |
Description of nature of entity's operations and principal activities | Dormant | |
[1]PharMida AG became dormant in January 2016.[2]Wholly owned subsidiary of Midatech Limited. |
Trade and other receivables (De
Trade and other receivables (Details) - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Trade receivables | £ 329 | £ 33 | £ 95 |
Prepayments | 376 | 607 | 258 |
Other receivables | 301 | 394 | 219 |
Total trade and other receivables | 1,006 | 1,034 | 572 |
Less: non-current portion | |||
Current portion | £ 1,006 | £ 1,034 | £ 572 |
Cash and cash equivalents and_3
Cash and cash equivalents and cash flow supporting notes (Details) - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Cash at bank available on demand | £ 2,836 | £ 10,057 | £ 7,546 | £ 10,928 |
Cash and cash equivalents and_4
Cash and cash equivalents and cash flow supporting notes (Details 1) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Gross proceeds | £ 321 | £ 10,091 | £ 10,792 |
Transaction costs | (78) | (1,056) | (1,050) |
Proceeds from issuing shares | £ 243 | £ 9,035 | £ 9,742 |
Cash and cash equivalents and_5
Cash and cash equivalents and cash flow supporting notes (Details 2) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Beginning | £ 1,319 | £ 1,819 | £ 6,746 |
Cash Flows | (178) | (215) | (6,440) |
Loans and borrowings classified as non-current 31 December 2018 becoming current in 2019 | |||
Gain/(loss) in finance income within the consolidated statement of comprehensive income | (468) | (936) | 397 |
Interest accruing in period | 36 | 29 | (45) |
Ending | 709 | 1,319 | 1,819 |
Foreign Exchange | (4) | 275 | |
New leases | 720 | ||
Effect of modification to lease term - IFRS 16 | (24) | (788) | |
Transfer to share premium on exercise of warrants | (70) | (499) | |
Fair value changes | 1,176 | ||
Reclassification portion government loan to non-current | |||
Warrants issued | 997 | ||
Long-term borrowings [member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning | 620 | 60 | 5,670 |
Cash Flows | (6,182) | ||
Loans and borrowings classified as non-current 31 December 2018 becoming current in 2019 | (178) | (178) | |
Gain/(loss) in finance income within the consolidated statement of comprehensive income | |||
Interest accruing in period | 21 | 23 | (30) |
Ending | 463 | 620 | 60 |
Foreign Exchange | 252 | ||
New leases | 715 | ||
Effect of modification to lease term - IFRS 16 | (877) | ||
Transfer to share premium on exercise of warrants | |||
Fair value changes | 1,176 | ||
Reclassification portion government loan to non-current | 51 | ||
Warrants issued | |||
Short-term borrowings [member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning | 699 | 1,759 | 1,076 |
Cash Flows | (178) | (215) | (258) |
Loans and borrowings classified as non-current 31 December 2018 becoming current in 2019 | 178 | 178 | |
Gain/(loss) in finance income within the consolidated statement of comprehensive income | (468) | (936) | 397 |
Interest accruing in period | 15 | 6 | (15) |
Ending | £ 246 | 699 | 1,759 |
Foreign Exchange | (4) | 23 | |
New leases | 5 | ||
Effect of modification to lease term - IFRS 16 | (24) | 89 | |
Transfer to share premium on exercise of warrants | £ (70) | (499) | |
Fair value changes | |||
Reclassification portion government loan to non-current | (51) | ||
Warrants issued | £ 997 |
Trade and other payables (Detai
Trade and other payables (Details) - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Current | |||
Trade payables | £ 339 | £ 485 | £ 337 |
Other payables | 17 | 5 | 26 |
Accruals | 817 | 546 | 768 |
Total financial liabilities, excluding loans and borrowings, classified as financial liabilities measured at amortised cost | 1,173 | 1,036 | 1,131 |
Tax and social security | 77 | 56 | 31 |
Deferred revenue | 197 | 68 | |
Total trade and other payables | £ 1,447 | £ 1,092 | £ 1,230 |
Borrowings (Details)
Borrowings (Details) - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
IfrsStatementLineItems [Line Items] | |||
Current borriwings | £ 161 | £ 146 | £ 200 |
Non current borriwings | 463 | 620 | 60 |
Finance Lease [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Current borriwings | 161 | 146 | 93 |
Non current borriwings | 463 | 620 | 60 |
Government and Research Loans [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Current borriwings | £ 107 |
Impairment testing (Details Nar
Impairment testing (Details Narrative) - GBP (£) £ in Thousands | 1 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||
Impairment charge on non financial assets | £ 2,300 | |
Intangible assets under development [member] | Midatech pharma (wales) limited [member] | ||
IfrsStatementLineItems [Line Items] | ||
Impairment charge on non financial assets | £ 11,600 | £ 9,300 |
Borrowings (Details Narrative)
Borrowings (Details Narrative) - Midatech pharma (espana) SL (formerly midatech biogune SL) [member] - Spanish Government Reindustrialization Programme [Member] £ in Thousands | Sep. 30, 2019 GBP (£) |
IfrsStatementLineItems [Line Items] | |
Government grants | £ 6,600 |
Cash Backed Guarantee [Member] | |
IfrsStatementLineItems [Line Items] | |
Government grants | £ 2,900 |
Provisions (Details)
Provisions (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Provisions Abstract | |||
Opening provision at 1 January | £ 50 | £ 50 | £ 97 |
Utilisation of provision | (43) | (97) | |
Provision recognised/(released) in the year | 200 | 50 | |
At 31 December | 207 | 50 | 50 |
Less: non-current portion | (50) | ||
Current portion | £ 207 | £ 50 |
Derivative financial liabilit_3
Derivative financial liability - current (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Balance at beginning | £ 553 | £ 1,559 | £ 664 |
Warrants issued | 997 | ||
Transfer to share premium on exercise of warrants | (70) | (499) | |
Gain recognised in finance income within the consolidated statement of comprehensive income | (468) | (936) | 397 |
Balance at ending | £ 85 | £ 553 | £ 1,559 |
Derivative financial liabilit_4
Derivative financial liability - current (Details 1) | 12 Months Ended |
Dec. 31, 2022 £ / shares shares | |
Warrant One [Member] | |
IfrsStatementLineItems [Line Items] | |
Adr warrants number | shares | 30,000 |
Original price per ads | £ / shares | £ 125 |
New price per adr | £ / shares | £ 4 |
Equivalent ordinary shares | shares | 150,000 |
Warrant Two [Member] | |
IfrsStatementLineItems [Line Items] | |
Adr warrants number | shares | 32,550 |
Original price per ads | £ / shares | £ 41 |
New price per adr | £ / shares | £ 4 |
Equivalent ordinary shares | shares | 162,750 |
Derivative financial liabilit_5
Derivative financial liability - current (Details 2) - shares | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Warrant One [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Number of shares outstanding | 336,915 | 336,915 | 352,255 | |
Granted | 477,255 | |||
Exercised | (125,000) | |||
Warrant Two [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Number of shares outstanding | 157,495 | 157,495 | 157,495 | 157,495 |
Exercised | (15,340) | |||
D A R A Warrant [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Number of shares outstanding | 204 | 231 | 231 | |
Lapsed | (27) | |||
D A R A Options [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Number of shares outstanding | 138 | 138 | 138 | 138 |
Lapsed | (204) |
Financial instruments - risk ma
Financial instruments - risk management (Details) - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Cash and cash equivalents | £ 2,836 | £ 10,057 | £ 7,546 | £ 10,928 |
Trade receivables | 329 | 33 | 95 | |
Other receivables | ||||
Total financial assets | 3,165 | 10,090 | 7,641 | |
Trade payables | 339 | 485 | 337 | |
Other payables | 17 | 5 | 26 | |
Accruals | 817 | 546 | 768 | |
Borrowings | 624 | 766 | 260 | |
Total financial liabilities – amortised cost | 1,797 | 1,802 | 1,391 | |
Equity settled derivative financial liability | £ 85 | £ 553 | £ 1,559 | £ 664 |
Financial instruments - risk _2
Financial instruments - risk management (Details 1) - GBP (£) £ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
IfrsStatementLineItems [Line Items] | ||||
Equity settled derivative financial liability | £ 85 | |||
Equity settled derivative financial liability | 85 | £ 553 | £ 1,559 | £ 664 |
Level 3 of fair value hierarchy [member] | Monte Carlo simulation model [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Equity settled derivative financial liability | £ 48 | £ 467 | ||
Valuation technique (s) and key input(s) | Monte Carlo simulation model | Monte Carlo simulation model | Monte Carlo simulation model | |
Significant unobservable input(s) | Volatility rate of 70.0% determined using historical volatility of comparable companies. | Volatility rate of 95.0% determined using historical volatility of comparable companies. | Volatility rate of 105.0% determined using historical volatility of comparable companies. | |
Relationship of unobservable inputs to fair value | The higher the volatility the higher the fair value. | The higher the volatility the higher the fair value. | The higher the volatility the higher the fair value. | |
Significant unobservable input(s) | Expected life between a range of 0.1 and 2.88 years determined using the remaining life of the share options. | Expected life between a range of 0.1 and 3.88 years determined using the remaining life of the share options. | Expected life between a range of 0.1 and 4.49 years determined using the remaining life of the share options. | |
Relationship of unobservable inputs to fair value | The shorter the expected life the lower the fair value. | The shorter the expected life the lower the fair value. | The shorter the expected life the lower the fair value. | |
Significant unobservable input(s) | Risk-free rate of 4.22% determined using the expected life assumptions. | Risk-free rate of 0.31% determined using the expected life assumptions. | Risk-free rate of 0.07% determined using the expected life assumptions. | |
Relationship of unobservable inputs to fair value | The higher the risk-free rate the higher the fair value. | The higher the risk-free rate the higher the fair value. | The higher the risk-free rate the higher the fair value. | |
Equity settled derivative financial liability | £ 1,187 | |||
Level 3 of fair value hierarchy [member] | Number of shares lapsed [Default Label] | ||||
IfrsStatementLineItems [Line Items] | ||||
Equity settled derivative financial liability | £ 37 | £ 86 | £ 372 | |
Valuation technique (s) and key input(s) | Monte Carlo simulation model | Monte Carlo simulation model | Monte Carlo simulation model | |
Significant unobservable input(s) | Volatility rate of 70.0% determined using historical volatility of comparable companies. | Volatility rate of 85.0% determined using historical volatility of comparable companies | Volatility rate of 105.0% determined using historical volatility of comparable companies | |
Relationship of unobservable inputs to fair value | The higher the volatility the higher the fair value. | The higher the volatility the higher the fair value. | The higher the volatility the higher the fair value. | |
Significant unobservable input(s) | Expected life between a range of 0.1 and 2.5 years determined using the remaining life of the share options. | Expected life between a range of 0.1 and 3.5 years determined using the remaining life of the share options. | Expected life between a range of 0.1 and 4.888 years determined using the remaining life of the share options. | |
Relationship of unobservable inputs to fair value | The shorter the expected life the lower the fair value. | The shorter the expected life the lower the fair value. | The shorter the expected life the lower the fair value. | |
Significant unobservable input(s) | Risk-free rate of 4.32% determined using the expected life assumptions. | Risk-free rate of 0.71% determined using the expected life assumptions. | Risk-free rate of 0.08% determined using the expected life assumptions. | |
Relationship of unobservable inputs to fair value | The higher the risk-free rate the higher the fair value. | The higher the risk-free rate the higher the fair value. | The higher the risk-free rate the higher the fair value. | |
Level 3 of fair value hierarchy [member] | Black-Scholes option pricing model [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Valuation technique (s) and key input(s) | Black-Scholes option pricing model | Black-Scholes option pricing model | ||
Significant unobservable input(s) | Volatility rate of 85.0% determined using historical volatility of comparable companies. | Volatility rate of 105.0% determined using historical volatility of comparable companies. | ||
Relationship of unobservable inputs to fair value | The higher the volatility the higher the fair value. | The higher the volatility the higher the fair value. | ||
Significant unobservable input(s) | Expected life between a range of 0.10 and 0.9 years determined using the remaining life of the share options. | Expected life between a range of 1.0 and 1.9 years determined using the remaining life of the share options. | ||
Relationship of unobservable inputs to fair value | The shorter the expected life the lower the fair value. | The shorter the expected life the lower the fair value. | ||
Significant unobservable input(s) | Risk-free rate of 0.71% determined using the expected life assumptions. | Risk-free rate of 0.8% determined using the expected life assumptions. | ||
Relationship of unobservable inputs to fair value | The higher the risk-free rate the higher the fair value. | The higher the risk-free rate the higher the fair value. |
Financial instruments - risk _3
Financial instruments - risk management (Details 2) - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
IfrsStatementLineItems [Line Items] | ||||
Cash and cash equivalents | £ 2,836 | £ 10,057 | £ 7,546 | £ 10,928 |
Net Foreign Currency Assets Liabilities | 265 | 22 | 175 | |
Foreign exchange risk [member] | Pounds Sterling | ||||
IfrsStatementLineItems [Line Items] | ||||
Cash and cash equivalents | 2,588 | 10,057 | 7,247 | |
Foreign exchange risk [member] | US Dollar | ||||
IfrsStatementLineItems [Line Items] | ||||
Cash and cash equivalents | 248 | 120 | ||
Net Foreign Currency Assets Liabilities | 248 | 120 | ||
Foreign exchange risk [member] | Euro | ||||
IfrsStatementLineItems [Line Items] | ||||
Cash and cash equivalents | 179 | |||
Net Foreign Currency Assets Liabilities | 17 | 22 | 54 | |
Foreign exchange risk [member] | Other | ||||
IfrsStatementLineItems [Line Items] | ||||
Net Foreign Currency Assets Liabilities | £ 1 |
Financial instruments - risk _4
Financial instruments - risk management (Details 3) - GBP (£) £ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
IfrsStatementLineItems [Line Items] | ||||
Loss before tax | £ (8,488) | £ (6,106) | £ (23,470) | |
Total equity | 3,162 | 10,452 | 6,718 | £ 19,558 |
Foreign currency sensitivity analysis [member] | US Dollar | ||||
IfrsStatementLineItems [Line Items] | ||||
Loss before tax | 25 | 12 | ||
Total equity | 25 | 12 | ||
Foreign currency sensitivity analysis [member] | Euro | ||||
IfrsStatementLineItems [Line Items] | ||||
Loss before tax | (1) | 2 | (293) | |
Total equity | (1) | 2 | (293) | |
Foreign currency sensitivity analysis [member] | Other | ||||
IfrsStatementLineItems [Line Items] | ||||
Loss before tax | (4) | |||
Total equity | £ (4) |
Financial instruments - risk _5
Financial instruments - risk management (Details 4) - Liquidity risk [member] - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Liquidity risk [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Government and Research Loans [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Not later than three months [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 1,222 | 1,082 | 1,263 |
Not later than three months [member] | Trade and other payables [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 1,173 | 1,036 | 1,131 |
Not later than three months [member] | Finance Lease [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 49 | 46 | 25 |
Not later than three months [member] | Government and Research Loans [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 107 | ||
Later than three months and not later than one year [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 140 | 171 | 75 |
Later than three months and not later than one year [member] | Trade and other payables [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Later than three months and not later than one year [member] | Finance Lease [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 140 | 171 | 75 |
Later than three months and not later than one year [member] | Government and Research Loans [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Later than one year and not later than two years [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 188 | 195 | 61 |
Later than one year and not later than two years [member] | Trade and other payables [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Later than one year and not later than two years [member] | Finance Lease [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 188 | 195 | 61 |
Later than one year and not later than two years [member] | Government and Research Loans [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Later than two years and not later than five years [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 254 | 442 | 8 |
Later than two years and not later than five years [member] | Trade and other payables [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Later than two years and not later than five years [member] | Finance Lease [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | 254 | 442 | 8 |
Later than two years and not later than five years [member] | Government and Research Loans [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Later than five years [member] | Trade and other payables [member] | |||
IfrsStatementLineItems [Line Items] | |||
Total | |||
Later than five years [member] | Finance Lease [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Total |
Deferred tax (Details)
Deferred tax (Details) - GBP (£) £ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Gross losses | £ 71,139 | £ 67,210 | £ 63,183 |
Potential deferred tax asset | £ 17,867 | £ 16,925 | £ 13,076 |
Share capital (Details)
Share capital (Details) - GBP (£) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
IfrsStatementLineItems [Line Items] | |||
Total | £ 1,108,344 | £ 1,098,469 | £ 1,063,075 |
Ordinary shares [member] | |||
IfrsStatementLineItems [Line Items] | |||
Number of shares authorised, allotted and fully paid - classified as equity | 5,417,137 | 4,923,420 | 3,153,694 |
Total | £ 108,343 | £ 98,468 | £ 63,074 |
Deferred Shares [member] | |||
IfrsStatementLineItems [Line Items] | |||
Number of shares authorised, allotted and fully paid - classified as equity | 1,000,001 | 1,000,001 | 1,000,001 |
Total | £ 1,000,001 | £ 1,000,001 | £ 1,000,001 |
Share capital (Details 1)
Share capital (Details 1) - GBP (£) £ / shares in Units, £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Placing & Registered Direct Offering, share price | £ 5.4000 | ||
Consideration for Placing & Registered Direct Offering | £ 4,255 | ||
Placing, share price | £ 5.7000 | £ 5.4000 | |
Consideration for Placing | £ 10,000 | £ 5,750 | |
Exercise of warrants, share price | £ 200 | £ 5.9600 | £ 6.2642 |
Consideration for Exercise of warrants | £ 91 | £ 783 | |
Share issue to SIPP trustee, share price | £ 0.0200 | £ 0.0200 | |
Consideration Share issue to SIPP trustee | |||
Registered Direct Offering Share Price | £ 0.6660 | ||
Consideration for Registered Direct Offering | £ 321 | ||
Ordinary shares [member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance, shares | 4,923,420 | 3,153,694 | 1,174,752 |
Placing & Registered Direct Offering | 787,878 | ||
Placing | 1,754,386 | 1,064,814 | |
Exercise of warrants | 1 | 15,340 | 125,000 |
Share issue to SIPP trustee | 1,250 | 1,250 | |
Registered Direct Offering | 492,466 | ||
Ending balance, shares | 5,417,137 | 4,923,420 | 3,153,694 |
Deferred Shares [member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance, shares | 1,000,001 | 1,000,001 | 1,000,001 |
Ending balance, shares | 1,000,001 | 1,000,001 | 1,000,001 |
Reserves (Details)
Reserves (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Share Capital [Member] | |
IfrsStatementLineItems [Line Items] | |
Description of nature and purpose of reserves within equity | Nominal value of subscribed share capital |
Share premium [member] | |
IfrsStatementLineItems [Line Items] | |
Description of nature and purpose of reserves within equity | Amount subscribed for share capital in excess of nominal value. |
Merger Reserve [member] | |
IfrsStatementLineItems [Line Items] | |
Description of nature and purpose of reserves within equity | Represents the difference between the fair value and nominal value of shares issued on the acquisition of subsidiary companies where the Company has elected to take advantage of merger accounting. |
Reserve of exchange differences on translation [member] | |
IfrsStatementLineItems [Line Items] | |
Description of nature and purpose of reserves within equity | Gains/losses arising on retranslating the net assets of overseas operations into sterling. |
Warrant reserve [member] | |
IfrsStatementLineItems [Line Items] | |
Description of nature and purpose of reserves within equity | Represents the fair value of warrants denominated in £ at the date of grant. The number and price is fixed at the date of grant. The warrants expire in November 2025. |
Retained earnings [member] | |
IfrsStatementLineItems [Line Items] | |
Description of nature and purpose of reserves within equity | All other net gains and losses and transactions with owners (e.g. dividends) not recognised elsewhere. |
Deferred tax (Details Narrative
Deferred tax (Details Narrative) - GBP (£) £ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2020 | |
Net deferred tax assets | £ 1,600 | |
Description of deferred tax asset | Deferred tax asset balances disclosed as at 31 December 2022 have been calculated at 25%. The Finance Bill 2021 enacted an increase in the tax rate to 25% from 1 April 2023. |
Share-based payments (Details)
Share-based payments (Details) | 1 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2022 Number | Aug. 31, 2022 Number | Feb. 28, 2022 Number | Sep. 30, 2021 Number | Aug. 31, 2021 Number | Jul. 31, 2021 Number | Jun. 30, 2020 Number | Apr. 30, 2020 Number | Dec. 31, 2022 Number £ / shares | Dec. 31, 2021 Number £ / shares | Dec. 31, 2020 Number £ / shares | |
IfrsStatementLineItems [Line Items] | |||||||||||
Beginning of the year | 131,661 | 74,147 | 16,802 | ||||||||
Granted | 5,000 | 7,500 | 18,750 | 6,000 | 2,500 | 85,450 | 68,150 | 5,000 | 31,250 | 93,950 | 73,150 |
Lapsed | (6,939) | (8) | (1,688) | ||||||||
Forfeited | (11,382) | (36,428) | (14,117) | ||||||||
Beginning of the year | 144,590 | 131,661 | 74,147 | ||||||||
Options exercisable | 55,932 | 8,982 | 9,759 | ||||||||
Weighted average exercise price of outstanding options | £ / shares | £ 4.836 | £ 10.759 | £ 16.698 | ||||||||
Weighted average exercise price of options lapsed | £ / shares | 105.612 | 1,676 | 523.411 | ||||||||
Weighted average exercise price of options forfeited | £ / shares | 5.974 | 8.955 | 72.975 | ||||||||
Weighted average exercise price of options granted | £ / shares | £ 2.670 | £ 5.515 | £ 4.092 | ||||||||
Weighted average remaining contractual life of outstanding options | 8 years 1 month 6 days | 9 years | 9 years 2 months 12 days | ||||||||
Beginning of the year | 144,590 | 131,661 | 74,147 | ||||||||
Grant 1 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 20 April 2012 | 20 April 2012 | 20 April 2012 | ||||||||
Beginning of the year | 79 | 79 | 79 | ||||||||
Granted | |||||||||||
Lapsed | (79) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | 79 | 79 | |||||||||
Exercise Price | £ / shares | £ 1,676 | £ 1,676 | £ 1,676 | ||||||||
Beginning of the year | 79 | 79 | |||||||||
Grant 2 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 9 May 2014 | 9 May 2014 | 9 May 2014 | ||||||||
Beginning of the year | 500 | 500 | 500 | ||||||||
Granted | |||||||||||
Lapsed | (500) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | 500 | 500 | |||||||||
Exercise Price | £ / shares | £ 30 | £ 30 | £ 30 | ||||||||
Beginning of the year | 500 | 500 | |||||||||
Grant 3 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 30 June 2014 | 30 June 2014 | 30 June 2014 | ||||||||
Beginning of the year | 25 | 25 | 925 | ||||||||
Granted | |||||||||||
Lapsed | |||||||||||
Forfeited | (9,000) | ||||||||||
Beginning of the year | 25 | 25 | 25 | ||||||||
Exercise Price | £ / shares | £ 30 | £ 30 | £ 30 | ||||||||
Beginning of the year | 25 | 25 | 25 | ||||||||
Grant 4 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 31 October 2016 | 31 October 2016 | 31 October 2016 | ||||||||
Beginning of the year | 352 | 397 | 815 | ||||||||
Granted | |||||||||||
Lapsed | (352) | (43) | |||||||||
Forfeited | (45) | (375) | |||||||||
Beginning of the year | 352 | 397 | |||||||||
Exercise Price | £ / shares | £ 1,072 | £ 1,072 | £ 1,072 | ||||||||
Beginning of the year | 352 | 397 | |||||||||
Grant 5 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 19 December 2016 | 19 December 2016 | 19 December 2016 | ||||||||
Beginning of the year | 396 | 499 | 1,118 | ||||||||
Granted | |||||||||||
Lapsed | (383) | (78) | |||||||||
Forfeited | (103) | (541) | |||||||||
Beginning of the year | 13 | 396 | 499 | ||||||||
Exercise Price | £ / shares | £ 484 | £ 484 | £ 484 | ||||||||
Beginning of the year | 13 | 396 | 499 | ||||||||
Grant 6 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 15 December 2017 | 15 December 2017 | 15 December 2017 | ||||||||
Beginning of the year | 59 | 164 | 1,478 | ||||||||
Granted | |||||||||||
Lapsed | (666) | ||||||||||
Forfeited | (19) | (105) | (648) | ||||||||
Beginning of the year | 40 | 59 | 164 | ||||||||
Exercise Price | £ / shares | £ 184 | £ 184 | £ 184 | ||||||||
Beginning of the year | 40 | 59 | 164 | ||||||||
Grant 7 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 24 April 2019 | 24 April 2019 | 24 April 2019 | ||||||||
Beginning of the year | 625 | 2,275 | 8,475 | ||||||||
Granted | |||||||||||
Lapsed | |||||||||||
Forfeited | (313) | (1,650) | (6,200) | ||||||||
Beginning of the year | 312 | 625 | 2,275 | ||||||||
Exercise Price | £ / shares | £ 29.20 | £ 29.20 | £ 29.20 | ||||||||
Beginning of the year | 312 | 625 | 2,275 | ||||||||
Grant 8 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 2 October 2019 | 2 October 2019 | 2 October 2019 | ||||||||
Beginning of the year | 1,500 | 1,500 | 2,500 | ||||||||
Granted | |||||||||||
Lapsed | |||||||||||
Forfeited | (1,000) | ||||||||||
Beginning of the year | 1,500 | 1,500 | 1,500 | ||||||||
Exercise Price | £ / shares | £ 21 | £ 21 | £ 21 | ||||||||
Beginning of the year | 1,500 | 1,500 | 1,500 | ||||||||
Grant 9 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 17 April 2020 | 17 April 2020 | |||||||||
Beginning of the year | 5,000 | 5,000 | |||||||||
Granted | 5,000 | ||||||||||
Lapsed | |||||||||||
Forfeited | |||||||||||
Beginning of the year | 5,000 | 5,000 | 5,000 | ||||||||
Exercise Price | £ / shares | £ 4.80 | £ 4.80 | £ 4.80 | ||||||||
Beginning of the year | 5,000 | 5,000 | 5,000 | ||||||||
Grant 10 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 17 June 2020 | 17 June 2020 | 17 June 2020 | ||||||||
Beginning of the year | 43,175 | 63,700 | |||||||||
Granted | 68,150 | ||||||||||
Lapsed | (5,625) | ||||||||||
Forfeited | (3,950) | (20,525) | (4,450) | ||||||||
Beginning of the year | 33,600 | 43,175 | 63,700 | ||||||||
Exercise Price | £ / shares | £ 4.04 | £ 4.04 | £ 4.04 | ||||||||
Beginning of the year | 33,600 | 43,175 | 63,700 | ||||||||
Grant 11 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 15 July 2021 | 15 July 2021 | |||||||||
Beginning of the year | 71,450 | ||||||||||
Granted | 85,450 | ||||||||||
Lapsed | |||||||||||
Forfeited | (7,100) | (14,000) | |||||||||
Beginning of the year | 64,350 | 71,450 | |||||||||
Exercise Price | £ / shares | £ 5.55 | £ 5.55 | |||||||||
Beginning of the year | 64,350 | 71,450 | |||||||||
Grant 12 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 2 August 2021 | 2 August 2021 | |||||||||
Beginning of the year | 2,500 | ||||||||||
Granted | 2,500 | ||||||||||
Lapsed | |||||||||||
Forfeited | |||||||||||
Beginning of the year | 2,500 | 2,500 | |||||||||
Exercise Price | £ / shares | £ 5.30 | £ 5.30 | |||||||||
Beginning of the year | 2,500 | 2,500 | |||||||||
Grant 13 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 1 September 2021 | 1 September 2021 | 11 July 2014 | ||||||||
Beginning of the year | 6,000 | 6 | |||||||||
Granted | 6,000 | ||||||||||
Lapsed | (3) | ||||||||||
Forfeited | (3) | ||||||||||
Beginning of the year | 6,000 | 6,000 | |||||||||
Exercise Price | £ / shares | £ 5.10 | £ 5.10 | £ 30 | ||||||||
Beginning of the year | 6,000 | 6,000 | |||||||||
Grant 14 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 7 February 2022 | 14 December 2016 | 1 April 2010 | ||||||||
Beginning of the year | 20 | ||||||||||
Granted | 18,750 | ||||||||||
Lapsed | (20) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | 18,750 | ||||||||||
Exercise Price | £ / shares | £ 3.05 | £ 620 | |||||||||
Beginning of the year | 18,750 | ||||||||||
Grant 15 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 12 August 2022 | 14 December 2016 | 20 August 2010 | ||||||||
Beginning of the year | 25 | ||||||||||
Granted | 12,500 | ||||||||||
Lapsed | (25) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | 12,500 | ||||||||||
Exercise Price | £ / shares | £ 2.10 | £ 680 | |||||||||
Beginning of the year | 12,500 | ||||||||||
Grants [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 13 September 2011 | 13 September 2011 | |||||||||
Beginning of the year | 8 | 8 | |||||||||
Granted | |||||||||||
Lapsed | (8) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | 8 | ||||||||||
Exercise Price | £ / shares | £ 1,676 | £ 1,676 | |||||||||
Beginning of the year | 8 | ||||||||||
Grant 21 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Beginning of the year | 63 | ||||||||||
Granted | |||||||||||
Lapsed | (63) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | |||||||||||
Exercise Price | £ / shares | £ 1,600 | ||||||||||
Beginning of the year | |||||||||||
Grant 22 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Beginning of the year | 104 | ||||||||||
Granted | |||||||||||
Lapsed | (104) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | |||||||||||
Exercise Price | £ / shares | £ 1,676 | ||||||||||
Beginning of the year | |||||||||||
Grant 16 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 14 December 2016 | ||||||||||
Beginning of the year | 100 | ||||||||||
Granted | |||||||||||
Lapsed | (100) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | |||||||||||
Exercise Price | £ / shares | £ 748 | ||||||||||
Beginning of the year | |||||||||||
Grant 17 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 14 December 2016 | ||||||||||
Beginning of the year | 81 | ||||||||||
Granted | |||||||||||
Lapsed | (81) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | |||||||||||
Exercise Price | £ / shares | £ 752 | ||||||||||
Beginning of the year | |||||||||||
Grant 18 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 15 December 2016 | ||||||||||
Beginning of the year | 230 | ||||||||||
Granted | |||||||||||
Lapsed | (230) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | |||||||||||
Exercise Price | £ / shares | £ 484 | ||||||||||
Beginning of the year | |||||||||||
Grant 19 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 2 April 2018 | ||||||||||
Beginning of the year | 50 | ||||||||||
Granted | |||||||||||
Lapsed | (50) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | |||||||||||
Exercise Price | £ / shares | £ 332 | ||||||||||
Beginning of the year | |||||||||||
Grant 20 [Member] | |||||||||||
IfrsStatementLineItems [Line Items] | |||||||||||
Grant date | 2 April 2018 | ||||||||||
Beginning of the year | 225 | ||||||||||
Granted | |||||||||||
Lapsed | (225) | ||||||||||
Forfeited | |||||||||||
Beginning of the year | |||||||||||
Exercise Price | £ / shares | £ 484 | ||||||||||
Beginning of the year |
Share-based payments (Details 1
Share-based payments (Details 1) | 1 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2022 Number £ / shares | Aug. 31, 2022 Number £ / shares | Feb. 28, 2022 Number £ / shares | Sep. 30, 2021 Number £ / shares | Aug. 31, 2021 Number £ / shares | Jul. 31, 2021 Number £ / shares | Jun. 30, 2020 Number £ / shares | Apr. 30, 2020 Number £ / shares | Dec. 31, 2022 Number | Dec. 31, 2021 Number | Dec. 31, 2020 Number | |
Number of options | 5,000 | 7,500 | 18,750 | 6,000 | 2,500 | 85,450 | 68,150 | 5,000 | 31,250 | 93,950 | 73,150 |
Option pricing models used | Black-Scholes | Black-Scholes | Black-Scholes | ||||||||
Share price | 2.10 | 2.10 | 3.05 | 5.10 | 5.30 | 5.55 | 4.04 | 4.80 | |||
Exercise price of options issued in year | £ / shares | £ 2.10 | £ 2.10 | £ 3.05 | £ 5.10 | £ 5.30 | £ 5.55 | £ 4.04 | £ 4.80 | |||
Contractual life | 10 years | 10 years | 10 years | 10 years | 10 years | 10 years | 10 years | 10 years | |||
Expected life | 5 years | 5 years | 5 years | 5 years | 5 years | 5 years | 5 years | 5 years | |||
Volatility | 91.78% | 91.66% | 87.88% | 88.11% | 88.59% | 88.63% | 92.55% | 84.76% | |||
Expected dividend yield | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | |||
Risk free rate | 1.92% | 1.92% | 1.28% | 0.32% | 0.26% | 0.38% | 0.10% | 0.11% |
Related party transactions (Det
Related party transactions (Details) - Bio Connection [Member] - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Purchase of good | £ 296 | ||
Amounts owed by related parties |
Retirement benefits (Details Na
Retirement benefits (Details Narrative) - GBP (£) £ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Retirement benefits | £ 98 | £ 71 |
Contingent liabilities (Details
Contingent liabilities (Details Narrative) - GBP (£) | Jan. 23, 2023 | Dec. 18, 2022 |
Aggregate consideration | £ 7,400,000 | |
Contingent liability | £ 225,000 | |
Requested for reimbursement | £ 225,000 |
Results of Midatech Pharma (E_3
Results of Midatech Pharma (Espana) SL (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Grant revenue | £ 163 | ||
Research and development costs | (5,111) | (4,654) | (6,068) |
Administrative costs | (4,542) | (2,946) | (4,958) |
Loss from operations | (8,932) | (6,998) | (23,040) |
Finance expense | (53) | (44) | (431) |
Loss before tax | (8,488) | (6,106) | (23,470) |
Taxation | 832 | 646 | 1,281 |
Loss from operations after tax | £ (7,656) | £ (5,460) | (22,189) |
Discontinued operations [member] | |||
IfrsStatementLineItems [Line Items] | |||
Grant revenue | 163 | ||
Total revenue | 163 | ||
Research and development costs | (2,820) | ||
Administrative costs | 1,146 | ||
Loss from operations | (3,803) | ||
Finance expense | 11 | ||
Loss before tax | (3,814) | ||
Taxation | (21) | ||
Loss from operations after tax | £ (3,835) |
Post Balance Sheet Events (Deta
Post Balance Sheet Events (Details) - shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Ordinary shares outstanding | 4,941,793 | 4,027,345 | 2,142,000 |
Pre Split [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Weighted average number of shares outstanding - basic and diluted | 98,835,849 | ||
Ordinary shares outstanding | 108,342,738 | ||
Outstanding employee share options over ordinary shares | 2,891,875 | ||
Outstanding DARA options over ordinary shares | 2,822 | ||
Outstanding warrants over ordinary shares | 17,221,973 | ||
Post Split [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Weighted average number of shares outstanding - basic and diluted | 4,941,793 | ||
Ordinary shares outstanding | 5,417,137 | ||
Outstanding employee share options over ordinary shares | 144,590 | ||
Outstanding DARA options over ordinary shares | 138 | ||
Outstanding warrants over ordinary shares | 861,075 |
Post Balance Sheet Events (De_2
Post Balance Sheet Events (Details Narrative) - GBP (£) | Feb. 09, 2023 | Jan. 23, 2023 | Jan. 05, 2023 | Dec. 19, 2022 |
Post Balance Sheet Events | ||||
Further advance | £ 250,000 | |||
Equity raise | £ 9,600,000 | |||
Requested for reimbursement | £ 225,000 | |||
Raise gross proceeds | £ 6,000,000 | |||
Units issued | 10,344,822 |