LAWFINANCE LIMITED For personal use only
Rule 4.7B
Appendix 4C
Quarterly cash flow report for entities subject to Listing Rule 4.7B
Name of entity
LawFinance Limited | |
ABN | Quarter ended ("current quarter") |
72 088 749 008 | 30 June 2022 |
Consolidated statement of cash flows | Current quarter | Year to date | ||
$USD'000 | (6 months) | |||
$USD'000 | ||||
1. | Cash flows from operating activities | |||
1.1 | Receipts from customers | |||
(a) | PFG book - Medical Liens Settled | 2,326 | 4,026 | |
(b) | PFG book - Lines of Credit | |||
- Interest / Returns Received | - | - | ||
- Principal Repaid | 3 | 3 | ||
(c) | EFI book - Medical Liens Settled | 1,423 | 2,341 | |
1.2 | New origination payments | |||
(a) Medical Lien Claims acquired | (938) | (2,242) | ||
(b) Lines of Credit Funding | (5,353) | (5,954) | ||
1.3 | Payments for | |||
(a) | research and development | - | - | |
(b) product manufacturing and operating | - | - | ||
costs | ||||
(c) | advertising and marketing | (9) | (27) | |
(d) | leased assets | - | - | |
(e) | staff costs | (1,321) | (2,376) | |
(f) administration and corporate costs | (608) | (1,221) | ||
1.4 | Dividends received (see note 3) | - | - | |
1.5 | Income taxes paid | - | - | |
1.6 | Government grants and tax incentives | - | - | |
1.7 | PFG Working Capital Facility | |||
(a) Interest Payments | (510) | (1,006) | ||
(b) Net Debt Movement | 3,454 | 2,648 | ||
1.8 | EFI Working Capital Facility | |||
(a) Interest Payments | (750) | (1,502) | ||
(b) Principal Payments | (303) | (303) |
ASX Listing Rules Appendix 4C (01/12/19) | Page 1 |
+ See chapter 19 of the ASX Listing Rules for defined terms. |
For personal use only
Appendix 4C
Quarterly cash flow report for entities subject to Listing Rule 4.7B
Consolidated statement of cash flows | Current quarter | Year to date | ||
$USD'000 | (6 months) | |||
$USD'000 | ||||
1.9 | Net cash from / (used in) operating | (2,586) | (5,613) | |
activities | ||||
2. | Cash flows from investing activities | |||
2.1 | Payments to acquire: | |||
(a) | entities | - | - | |
(b) | businesses | - | - | |
(c) | property, plant and equipment | (4) | (5) | |
(d) | investments | - | - | |
(e) | intellectual property | - | - | |
(f) | other non-current assets | - | - | |
2.2 | Proceeds from disposal of: | |||
(a) | entities | - | - | |
(b) | businesses | - | - | |
(c) | property, plant and equipment | - | - | |
(d) | investments | - | - | |
(e) | intellectual property | - | - | |
(f) | other non-current assets | - | - | |
2.3 | Cash flows from loans to other entities | - | - | |
2.4 | Dividends received (see note 3) | - | - | |
2.5 | Other - Payments for Litigation Case | - | - | |
Funding (net of co-funders contribution) | ||||
2.5 | Other - Cash balance transfers associated | - | - | |
with the sale of the Disbursement Funding | ||||
and Litigation Case Funding businesses | ||||
2.6 | Net cash from / (used in) investing | (4) | (5) | |
activities |
3. Cash flows from financing activities
3.1 Proceeds from issues of equity securities
(excluding convertible debt securities) | 4,502 | 4,502 | |
3.2 | Proceeds from issue of convertible debt | - | - |
securities | |||
3.3 | Proceeds from exercise of options | - | - |
3.4 | Transaction costs related to issues of | (522) | (522) |
equity securities or convertible debt | |||
securities | |||
3.5 | Proceeds from borrowings - corporate | 71 | 71 |
3.6 | Repayment of borrowings - corporate | (119) | (302) |
ASX Listing Rules Appendix 4C (01/12/19) | Page 2 |
+ See chapter 19 of the ASX Listing Rules for defined terms. |
Appendix 4C Quarterly cash flow report for entities subject to Listing Rule 4.7B
For personal use only
Consolidated statement of cash flows | Current quarter | Year to date | |
$USD'000 | (6 months) | ||
$USD'000 | |||
3.7 | Transaction costs related to loans and | (3) | (7) |
borrowings (including interest) | |||
3.8 | Dividends paid | - | - |
3.9 | Other - Repayment of Lease Liabilities | (9) | (18) |
3.10 | Net cash from / (used in) financing | (3,920) | 3,724 |
activities |
4. Net increase / (decrease) in cash and cash equivalents for the period
4.1 Cash and cash equivalents at beginning of
period | 2,631 | 5,509 | |
4.2 | Net cash from / (used in) operating | (2,586) | (5,613) |
activities (item 1.9 above) | |||
4.3 | Net cash from / (used in) investing activities | (4) | (5) |
(item 2.6 above) | |||
4.4 | Net cash from / (used in) financing activities | 3,920 | 3,724 |
(item 3.10 above) | |||
4.5 | Effect of movement in exchange rates on | (90) | 256 |
cash held | |||
4.6 | Cash and cash equivalents at end of | 3,870 | 3,870 |
period |
5. | Reconciliation of cash and cash | Current quarter | Previous quarter |
equivalents | $USD'000 | $USD'000 | |
at the end of the quarter (as shown in the | |||
consolidated statement of cash flows) to the | |||
related items in the accounts | |||
5.1 | Bank balances | 1,937 | 955 |
5.2 | Call deposits | - | - |
5.3 | Bank overdrafts | - | - |
5.4 | Other: | ||
(a) Term Deposits for Bank Guarantees | 687 | 751 | |
(b) Third Party LockBox Accounts | 1,246 | 925 | |
5.5 | Cash and cash equivalents at end of | 3,870 | 2,631 |
quarter (should equal item 4.6 above) |
ASX Listing Rules Appendix 4C (01/12/19) | Page 3 |
+ See chapter 19 of the ASX Listing Rules for defined terms. |
only
Appendix 4C
Quarterly cash flow report for entities subject to Listing Rule 4.7B
6. | Payments to related parties of the entity and their | Current quarter |
associates | $USD'000 | |
6.1 | Aggregate amount of payments to related parties and their | (322) |
associates included in item 1 | ||
6.2 | Aggregate amount of payments to related parties and their | - |
associates included in item 2 |
Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments
use
7. Financing facilities
Note: the term "facility' includes all forms of financing arrangements available to the entity.
Add notes as necessary for an understanding of the sources of finance available to the entity.
- Loan facilities
- Credit standby arrangements
- Other (please specify)
- Total financing facilities
Total facility | Amount drawn at |
amount at quarter | quarter end |
end | $USD'000 |
$USD'000 | |
72,477 | 59,057 |
- | - |
- | - |
72,477 | 59,057 |
For personal
7.5 | Unused financing facilities available at quarter end | 13,420 |
7.6 Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well.
Refer to Attachment 'A' at the end of this Appendix 4C for details of the above financing facilities, and the 'unused financing facilities available at quarter end'.
8. | Estimated cash available for future operating activities | $USD'000 |
8.1 | Net cash from / (used in) operating activities (Item 1.9) | (2,586) |
8.2 | Cash and cash equivalents at quarter end (Item 4.6) | 3,870 |
8.3 | Unused finance facilities available at quarter end (Item 7.5) | 13,420 |
8.4 | Total available funding (Item 8.2 + Item 8.3) | 17,290 |
8.5 | Estimated quarters of funding available (Item 8.4 divided by | 6.68 |
Item 8.1) |
8.6 If Item 8.5 is less than 2 quarters, please provide answers to the following questions:
1. Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not?
Answer: If unavailable/trapped cash of $1.933m is excluded from Item 8.2, then the estimated quarters of funding available reduces to 5.94.
2. Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful?
ASX Listing Rules Appendix 4C (01/12/19) | Page 4 |
+ See chapter 19 of the ASX Listing Rules for defined terms. |
For personal use only
Appendix 4C
Quarterly cash flow report for entities subject to Listing Rule 4.7B
Answer: As announced to the market on 5 May 2022, LAW raised gross proceeds of A$6.4m from it's Capital Raise, with a shortfall from the Entitlement Offer of A$3.3m. LAW is currently progressing discussions with a number of potential funders to provide capital required to implement Phase 2 growth plans.
3. Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?
Answer: Collections from the PFG book of receivables and successful completion of the current funding discussions.
Compliance statement
- This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
- This statement gives a true and fair view of the matters disclosed.
Date: | 27 July 2022 |
Authorised by: "By the Board"
(Name of body or officer authorising release - see note 4)
Notes
- This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity's activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.
- If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standard applies to this report.
- Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.
-
If this report has been authorised for release to the market by your board of directors, you can insert here: "By the board".
If it has been authorised for release to the market by a committee of your board of directors, you can insert here: "By the [name of board committee - eg Audit and Risk Committee]". If it has been authorised for release to the market by a disclosure committee, you can insert here: "By the Disclosure Committee". - If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council's Corporate Governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.
ASX Listing Rules Appendix 4C (01/12/19) | Page 5 |
+ See chapter 19 of the ASX Listing Rules for defined terms. |
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Lawfinance Ltd. published this content on 27 July 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 July 2022 00:11:06 UTC.
