REG - Alpha Growth PLC - Annual Financial Report

Alpha GrowthAnnouncement

30/04/2024 13:00

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RNS Number : 6421M  Alpha Growth PLC  30 April 2024

 

The information communicated within this announcement is deemed to constitute
inside information as stipulated under the Market Abuse Regulation (EU) No.
596/2014 (as in force in the United Kingdom pursuant to the European Union
(Withdrawal) Act 2018). Upon the publication of this announcement, this inside
information is now considered to be in the public domain.

 

Alpha Growth Plc

("Alpha", the "Company" or the "Group")

 

Release of 2023 Annual Report

 

Alpha Growth Plc (LSE: ALGW and OTCQB: ALPGF), a leading financial services
specialist in the growing longevity asset class and insurance linked asset
management business, is pleased to announce the release of its Annual Report
& Financial Statements for the twelve months ended 31 December 2023 (the
'2023 Annual Report'). The 2023 Annual Report is available at www.algwplc.com
(http://www.algwplc.com) .

 

As at 31 December 2023, the Group had significant cash reserves of c.£7.42
million (excluding amounts held within life policies).

 

The Board has adopted new Key Performance Indicators (KPIs) as detailed on
page 14 of the 2023 Annual Report, which demonstrated stability following the
acquisitions at the end of 2022. The Group's assets under administration and
management reached $619 million, a small advance towards the Board's $2
billion goal, whilst the surplus in net current assets over regulatory capital
requirements amounted to £2.7 million, reflecting a healthy financial
position.

 

In further positive news, the Company has fully repaid its borrowings and is
now debt free.

 

The Company anticipates no current need for further equity capital as it
advances towards its established goal of managing over $2 billion in assets by
2025. Both Alpha International Life Assurance Company (Guernsey) Ltd ("AILAC")
and Providence Life Assurance Company Ltd ("PLAC") achieved credit ratings in
the past year, positioning these entities as potential financing vehicles for
acquisitions, if required. This development marks a substantial leap forward
for the Company, bolstering its M&A strategy significantly.

 

The Company's path forward includes adding to Alpha's core management team in
the positions of fund and life insurance marketing. The Company is encouraged
by independent feedback in the industry of the life insurance linked wealth
management "ecosystem" it has assembled. The updated Alpha website
(www.algwplc.com (http://www.algwplc.com) ) has also received many compliments
regarding how it explains the "ecosystem" the Company is building. The
Directors are confident that this recognition will, in due course, translate
into increased market value as a wider audience becomes more acquainted with
Alpha and its offerings.

 

The Board draws shareholders' attention to the Audit Report contained in the
2023 Annual Report issued by PKF Littlejohn LLP ("PKF"), which includes a
disclaimer of opinion due to PKF being unable to assess the potential impact
of IFRS 17 on the accounts. Management's view is that the treatment of all
contracts issued by AILAC and PLAC as investment contracts in accordance with
IFRS 9 is both consistent with prior years and has no material impact on the
reported loss or net assets. Accordingly, the financial statements are
consistent with UK adopted International Accounting Standards.

 

The Company continues to actively evaluate and pursue a number of acquisition
opportunities and the board looks forward to updating shareholders in due
course.

 

Gobind Sahney, Executive Chairman, commented, "I am proud of our team for what
has been accomplished in 2023. In particular, achieving an investment grade
rating for our insurance companies is a significant step forward for the
organisation and will play an important role as we accelerate our buy and
build strategy.  Additionally, the integration of AILAC into our Group and
the ongoing development of our organisation further reinforce our trajectory
for sustained growth."

 

The 2023 Annual Report will in due course also be available for inspection at:
https://data.fca.org.uk/#/nsm/nationalstoragemechanism
(https://data.fca.org.uk/#/nsm/nationalstoragemechanism) .

 

 

** ENDS **

For more information, please visit www.algwplc.com (http://www.algwplc.com) or
contact the following:

 

 Alpha Growth plc                                   +44 (0) 20 3959 8600
 Gobind Sahney, Executive Chairman                  info@algwplc.com (mailto:info@algwplc.com)
                                                    +44 (0) 20 3328 5656

 Allenby Capital Limited
 Amrit Nahal (Sales and Corporate Broking)
 Nick Athanas / Piers Shimwell (Corporate Finance)
                                                    ir@algwplc.com (mailto:ir@algwplc.com)

 UK Investor Relations - Mark Treharne

 

About Alpha Growth plc

Specialist in Longevity Assets

Alpha Growth plc is a financial advisory business providing specialist
consultancy, advisory, and supplementary services to institutional and
qualified investors globally in the multi-billion dollar market of longevity
assets. Building on its well-established network, the Alpha Growth group has a
unique position in the longevity asset services and investment business, as a
listed entity with global reach. The group's strategy is to expand its
advisory and business services via acquisitions and joint ventures in the UK
and the US to attain commercial scale and provide holistic solutions to
alternative asset institutional investors who are in need of specialised
skills and unique access to deploy their financial resource in longevity
assets.

Longevity Assets and Non-correlation

As a longevity asset, it is non-correlated to the real estate, equity capital
and commodity markets.  Its value is a function of time because as time
passes the value gets closer to the face value of the policy. Hence creating a
steady increase in the net asset value of the investment. This makes it highly
attractive to investors wishing to counteract volatility within an investment
portfolio and add yield.

Note: The Company only advises on and manages Longevity Assets that originate
in the USA where the structured and life settlement market is highly
regulated.

Forward Looking Statements Disclaimer

Certain statements, beliefs and opinions in this document are forward-looking,
which reflect the Company's or, as appropriate, the Company's directors'
current expectations and projections about future events. By their nature,
forward-looking statements involve a number of risks, uncertainties and
assumptions that could cause actual results or events to differ materially
from those expressed or implied by the forward-looking statements. These
risks, uncertainties and assumptions could adversely affect the outcome and
financial effects of the plans and events described herein. Forward-looking
statements contained in this document regarding past trends or activities
should not be taken as a representation that such trends or activities will
continue in the future. The Company does not undertake any obligation to
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise. You should not place undue reliance
on forward- looking statements, which speak only as of the date of this
document.  Readers should not treat the contents of this document as advice
relating to legal, taxation or investment matters, and are to make their own
assessments concerning these and other consequences, including the merits of
information and the risks.  Readers of this announcement are advised to
conduct their own due diligence and agree to be bound by the limitations of
this disclaimer.

Important Notice

The content of this announcement has not been approved by an authorised person
within the meaning of the Financial Services and Markets Act 2000 (FSMA). This
announcement has been issued by and is the sole responsibility of the Company.
The information in this announcement is subject to change.

 

 

 

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