Papyrus Australia Ltd
ABN 63 110 868 409
Annual Financial Report
For the Year Ended 30 June 2021
Papyrus Australia Ltd
ABN 63 110 868 409
Contents
Corporate Information ..............................................................................................................................2
Corporate Governance Statement .........................................................................................................3
Directors’ Report ........................................................................................................................................9
Auditor’s independent Declaration .................................................................................................... 18
Consolidated Statement of Profit or Loss and Other Comprehensive Income ...................... 19
Consolidated Statement of Financial Position ................................................................................ 20
Consolidated Statement of Change in Equity ................................................................................. 21
Consolidated Statement of Cash Flows............................................................................................ 22
Notes to the Financial Statements ..................................................................................................... 23
Directors’ Declaration ............................................................................................................................ 52
Independent Audit Report .......................................................................................................................... 53
1
Papyrus Australia Ltd
ABN 63 110 868 409
Corporate Information
This annual report covers Papyrus Australia Ltd (ABN 63 110 868 409), and its subsidiaries (the consolidated group or
‘Group’). The Group's functional and presentation currency is Australian dollars.
A description of the Group's operations and of its principal activities is included in the review of operations and activities in the
directors' report on pages 9 to 17. The directors' report is not part of the financial report.
Directors
Mr Edward Byrt (Chairman)
Mr Ramy Azer (Managing Director)
Mr Steve Howe (Appointed 7 September 2020, Resigned 1January 2021)
Mr David Attrias (Appointed 13 November 2020)
Mr Vincent Peter Rigano
Company Secretary
Mr Vincent Peter Rigano
Registered Office
C/‑ V P Rigano & Co Pty Ltd
Level 2, 2 Peel Street
ADELAIDE SA 5000
Principal place of business
C/‑ V P Rigano & Co Pty Ltd
Level 2, 2 Peel Street
ADELAIDE SA 5000
Share Registry
Computershare Investor Services Pty Ltd
Level 5, 115 Grenfell Street
ADELAIDE SA 5000
Auditors
BDO Audit (SA) Pty Ltd
Level 7, BDO Centre
420 King William Street
ADELAIDE SA 5000
2
Papyrus Australia Ltd
ABN 63 110 868 409
Corporate Governance Statement
30 June 2021
Introduction
Papyrus Australia Limited (the Company) and the Board are committed to achieving and demonstrating the highest
standards of corporate governance. The Board continues to review the framework and practices to ensure they meet the
interests of shareholders. The Company and its controlled entities together are referred to as the Group in this statement.
The Group details below the corporate governance practices in place at the end of the financial year, all of which comply with
the principles and recommendations of the ASX corporate governance council unless otherwise stated. Some of the charters
and policies that form the basis of the corporate governance practices of the Group may be located on the Group’s website,
http://www.papyrusaustralia.com.au/
On 27 February 2019, the ASX Corporate Governance Council released the 4th Edition of its Corporate Governance
Principles and Recommendations (4th Edition Recommendations). The Group reviewed its corporate governance and
reporting practices under these principles and the disclosures in this Corporate Governance Statement reflect this. As at the
date of this statement, the Group complies with the 4th Edition Recommendations (unless otherwise stated).
Principle 1: Lay solid foundations for management and oversight
The relationship between the Board and senior management is critical to the Group’s long-term success. The Directors are
responsible to the shareholders for the performance of the group in both the short and the longer term and seek to balance
objectives in the best interests of the group as a whole. Their focus is to enhance the interests of shareholders and other key
stakeholders and to ensure the Group is properly managed.
The responsibilities of the Board include:
providing strategic guidance to the Group including contributing to the development of and approving the corporate
strategy;
reviewing and approving business plans, the annual budget and financial plans including available resources and
major capital expenditure initiatives;
overseeing and monitoring the organisational performance and the achievement of the Group’s strategic goals and
objectives;
monitoring financial performance including approval of the annual and half-year financial reports and liaison with the
Company’s auditors;
appointment and performance assessment of the Managing Director (MD);
ratifying the appointment and/or removal and contributing to the performance assessment for the members of the
senior management team, including the Company Secretary;
ensuring there are effective management processes in place and approving major corporate initiatives;
enhancing and protecting the reputation of the organisation;
overseeing the operation of the Group’s system for compliance and risk management reporting to shareholders;
and
ensuring appropriate resources are available to senior management.
Due to the size of the Group, the day to day management of the Group’s affairs and the implementation of the corporate
strategy and policy initiatives are managed by the Board.
The Board has not publicly disclosed a statement of matters reserved for the Board, or the Board charter. Given the size of
the Company at this time, the Board does not consider the formation of a Board charter necessary.
The Board is presently responsible for evaluating Board candidates and recommending individuals for appointment to the
Board. The Board evaluates prospective candidates against a range of criteria including the skills, experience, expertise and
diversity that will best complement Board effectiveness at the time. The Board undertakes appropriate background and
screening checks prior to nominating a director for election by shareholders, and provides to shareholders all material
information in its possession concerning the director standing for election or re-election in the explanatory notes
accompanying the notice of meeting.
A written agreement has not been executed with each director setting out the terms of their appointment; therefore the Group
does not comply with recommendation 1.3 of the Corporate Governance Principles and Recommendations. The Company
believes that due to their size and nature of operations that this is acceptable, however will ensure written agreements are
executed with future directors and senior executives.
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Papyrus Australia Ltd
ABN 63 110 868 409
Corporate Governance Statement
30 June 2021
The Company Secretary is accountable directly to the Board, through the Chair, on all matters to do with the proper
functioning of the Board. The Company Secretary is responsible for maintaining the information systems and processes that
are appropriate for the Board to fulfill its role and to achieve the objective of the Company. The Company Secretary is also
responsible for ensuring that the Board procedures are complied with and advising the Board on governance matters. All
Directors and Committees have access to the Company Secretary for advice and services. Independent advisory services
are retained by the Company Secretary at the request of the Board or Committees.
The Company does not have a diversity policy, which formally documents the principles and commitment in relation to
maintaining a diverse group of employees within the Company, and therefore has not complied with recommendation 1.5(b)
of the Corporate Governance Principles and Recommendations. However the Board continually assesses the composition of
the Board. The Company believes this to be appropriate at this time, but notes it uses diversity as a driver for staff
recruitment.
The total proportion of men and women on the board, in senior positions (being Key Management Personal and decision
makers of the Company) and across the whole organisation is listed below:
Category
Board
Senior Management
Whole Organisation
Men
4
1
5
Women
-
-
-
The Group has not disclosed in this Corporate Governance Statement its measureable objectives for achieving gender
diversity and therefore has not complied with recommendation 1.5(a) of the Corporate Governance Principles and
Recommendations. Due to the size of the Company and its number of employees, the Board does not consider it
appropriate, at this time, to formally set measurable objectives for gender diversity.
The Board will at least annually evaluate its performance and the performance of its committees and individual directors to
determine whether or not it is functioning effectively by reference to the current best practices. The Board continually
evaluates the composition of the Board, however a formal evaluation of its performance and the performance of its
committees and individual directors is yet to be conducted. Due to the size of the Company, the Board has determined that
this is appropriate at Company’s stage to date, however it does recognise that ongoing performance evaluation is important
to ensure that the Board, committees and individual director’s remain relevant and committed to the Company’s business
operations and changing business requirements. At the date of this report, the Company has not complied with
recommendation 1.6(b) of the Corporate Governance Principles and Recommendations.
The Group currently has no senior executives and therefore has no formal process for evaluating the performance of its
senior executives.
Principle 2: Structure the board to add value
The Board has not established a nomination committee, and thus not complied with recommendation 2.1(a) of the Corporate
Governance Principles and Recommendations. The Directors takes ultimate responsibility in addressing board succession
issues and to ensure the Board has the appropriate balance of skills, knowledge, experience, independence and diversity to
enable it to discharge its duties and responsibilities effectively. The Board closely assesses diversity criteria when
considering Board candidates.
The Group’s desired mix of skills and competence is listed below. The Board considers its current composition adequately
meets these required competencies.
Area
Leadership
Business, Finance and Legal
Sustainability and Stakeholder
Management
Engineering and Technical
Competence
Business Leadership, Public Listed Company Experience
Accounting, Audit, Business Strategy, Competitive Business Analysis, Corporate
Financing, Financial Literacy, Legal, Mergers and Acquisitions, Risk Management,
Tax – International
Community Relations, Corporate Governance, Health & Safety, Human Resources,
Remuneration
Engineering qualifications
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Papyrus Australia Ltd
ABN 63 110 868 409
Corporate Governance Statement
30 June 2021
At the date of this statement the Board consists of the following directors:
Mr Edward Byrt, Non-Executive Chairman, Mr Ramy Azer, Managing Director, Mr David Attrias Non-Executive Director, Mr
Vincent Rigano, Non-Executive Director/Company Secretary.
The Board considers this to be an appropriate composition given the size and development of the Group at the present time
and continually assesses the composition of the Board to ensure its membership maintains a combination of skills and
experience that ensure the Board has the expertise to meet both its responsibilities to stakeholders and its strategic
objectives. The names of directors including details of their qualifications and experience are set out in the Directors’ Report
of the Annual Report and also available on the Company’s website: www.papyrusaustralia.com.au
Independence
The Board is conscious of the need for independence and ensures that where a conflict of interest may arise, the relevant
Director(s) leave the meeting to ensure a full and frank discussion of the matter(s) under consideration by the rest of the
Board. Those Directors who have interests in specific transactions or potential transactions do not receive Board papers
related to those transactions or potential transactions, do not participate in any part of a Directors’ meeting which considers
those transactions or potential transactions, are not involved in the decision making process in respect of those transactions
or potential transactions, and are asked not to discuss those transactions or potential transactions with other Directors.
Directors of the Company are considered to be independent when they are independent of management and free from any
business or other relationship that could materially interfere with, or could reasonably be perceived to materially interfere
with, the exercise of their unfettered and independent judgment.
The Board has accepted the following definition of an independent Director:
An independent director is a director who is not a member of management, is a Non-Executive Director and who:
•
•
•
•
•
•
is not, or has not been, employed in an executive capacity by the Group and there has been a period of at least
three years between ceasing such employment and serving on the Board;
is not, or has not within the last three years been, a partner, director or senior employee of a provider of material
professional services to the Group;
is not, or has not within the last three years been, in a material business relationship (eg as a supplier or customer)
with the Group , or an officer or, or otherwise associated with, someone with such a relationship;
is not a substantial security holder of the entity or an officer of , or otherwise associated with, a substantial security
holder of the entity;
does not have a material contractual relationship with the Group other than as a director; or
has not been a director of the entity for such a period that his or her independence may have been compromised.
Mr David Attrias and Mr Vincent Rigano are Non-Executive Directors and have no other material relationships with the Group
other than their directorship. Mr Rigano has some shareholding in the Group, he is not a substantial security holder. As such,
the Group assesses that it has two independent directors during the year as those relationships are defined.
The Board considers its current structure to be an appropriate composition of the required skills and experience, given the
experience of the individual Directors and the size and development of the Company at the present time. Each individual
member of the Board is satisfied that whilst the Company may not comply with Recommendation 2.4, all Directors bring an
independent judgment to bear on Board decisions.
The Company’s Chairman, Mr Edward Byrt is not an independent director, due to his shareholding, but he does not fulfill the
role of CEO. The Company therefore has not complied with recommendation 2.5 of the Corporate Governance Principles
and Recommendations. The Company believes this to be appropriate at this time given the size and nature of the Company’s
operations, but will continue to consider the composition of the board in the future.
The Company does not maintain a formal program for inducting new Directors, however the Company Secretary ensures all
new directors receive adequate information and documentation on appointment. The Company also ensures that appropriate
professional development opportunities are provided to directors to ensure they develop and maintain the skills and
knowledge needed to perform their role as directors effectively.
Principle 3: Act lawfully, ethically and responsibly
The Company has developed a Code of conduct (the Code) which has been fully endorsed by the Board and applies to all
directors and employees. The Code is regularly reviewed and updated as necessary to ensure it reflects the highest
standards of behaviour and professionalism and the practices necessary to maintain confidence in the group’s integrity and
to take into account legal obligations and reasonable expectations of the Company’s stakeholders.
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Papyrus Australia Ltd
ABN 63 110 868 409
Corporate Governance Statement
30 June 2021
In summary, the Code requires that at all times all Company personnel act with the utmost integrity, objectivity and in
compliance with the letter and the spirit of the law and company policies.
Principle 4: Safeguard integrity in corporate reporting
Audit Committee (the Committee)
The Committee consists of the following directors:
Mr Vincent Rigano (Committee Chair) (Non-Executive Director) Mr Edward Byrt (Non-Executive Chairman), and Mr Ramy
Azer (Managing Director)
Mr Vincent Rigano is an independent member as discussed above in Principle 4 and the Chair of the Committee. The chair of
the Committee is not the chair of the Board; however, the independent members do not comprise the majority of the
Committee, therefore the Group does not comply with recommendation 4.1(a) (1) of the Corporate Governance Principles
and Recommendations. As three out of four Directors are members of the audit committee, and given the size of the
Company, the Board deems the composition of the Committee appropriate at this time.
The relevant qualifications and experience of each of the members of the Committee can be found in the director profiles
contained within the Company’s Annual Report and on the Company’s website at: www.papyrusaustralia.com.au. All
members of the Audit Committee are financially literate and have an appropriate understanding of the industries in which the
group operates.
The number of times the Committee met throughout the period and the individual attendance of the members at those
meetings are outlined within the Annual Report.
The Audit Committee does not have a formal charter and has therefore not complied with recommendation 4.1(3) of the
Corporate Governance Principles and Recommendations. The Board believes this is appropriate given the size of the
Company and the composition of the Committee.
The Audit Committee has authority, within the scope of its responsibilities, to seek any information it requires from any
employee or external party.
The Managing Director and Company Secretary have certified to the Board that the financial statements are founded on a
sound system of risk management and internal control and that the system is operating efficiently and effectively in all
material respects. This declaration is provided to the Board before it approves the Company’s financial statements for a
financial period, and declares that in their opinion, the financial records of the Company have been properly maintained and
that the financial statements comply with the appropriate accounting standards and give and true and fair view of the financial
position and performance of the entity.
External auditors
The Company and Board Policy, is to appoint external auditors who clearly demonstrate quality and independence. The
performance of the external auditor is reviewed annually and applications for tender of external audit services are requested
as deemed appropriate, taking into consideration assessment of performance, existing value and tender costs. Following the
resignation of Grant Thornton Audit Pty Ltd (‘Grant Thornton’) on 26 May 2021, the Company appointed BDO Audit (SA) Pty
Ltd (‘BDO’) as the external auditor, subject to confirmation at the Company’s 2021 AGM. It is BDO’s policy to rotate audit
engagement partners on listed companies in accordance with the requirements of the Corporations Act 2001, which is
generally after five years, subject to certain exceptions.
The amount of fees paid to the external auditors is provided in a note to the financial statements. It is the policy of the
external auditors to provide an annual declaration of their independence to the Committee.
The external auditor will attend the Annual General Meeting and be available to answer shareholder questions about the
conduct of the audit and the preparation and content of the audit report.
Principle 5: Make timely and balanced disclosure
Continuous disclosure
The Company has a policy that all the Company Shareholders and investors have equal access to the Company’s
information. The Board will ensure that all price sensitive information is disclosed to the ASX in accordance with the
continuous disclosure requirements of the Corporations Act and the ASX Listing Rules.
The Board strives to ensure that security holders are provided with sufficient information to assess the performance of the
Group and its Directors and to made well-informed investment decisions. The Company provides all information about itself
and its corporate governance via its website at: www.papyrusaustralia.com.au
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Papyrus Australia Ltd
ABN 63 110 868 409
Corporate Governance Statement
30 June 2021
Principle 6: Respect the rights of security holders
Investor relations and member participation
The Company does not have a formal shareholder communication policy which is not in compliance with recommendation
6.2 of the Corporate Governance Principles and Recommendations.
Shareholders are encouraged to participate at all Annual General Meetings and other General Meetings of the Company.
Upon the dispatch of any notice of meeting to Shareholders, the Company Secretary shall send out material with that notice
of meeting stating that all Shareholders are encouraged to participate at the meeting. The meetings shall also be conducted
to allow questions and feedback to the Board and management of the Company.
The Company aims to promote effective communication to and from shareholders. At this time Members of the Company
cannot register to receive email notifications when an announcement is made by the Company to the ASX, which is a
departure from recommendation 6.3 of the Corporate Governance Principles and Recommendations; however Members are
encouraged to contact the company via their website or directly to the registered office. Members are also encouraged to
register with the Company’s share register to communicate electronically.
Principle 7: Recognise and manage risk
The Board has identified the significant areas of potential business and legal risk of the Company.
The identification, monitoring and, where appropriate, the reduction of significant risk to the Company is the responsibility of
the Board. The Board has also established an Audit, Risk and Compliance Committee which addresses the risks to the
Company.
The Board will review and monitor the parameters under which such risks will be managed. Management accounts will be
prepared and reviewed at Board meetings. Budgets will be prepared and compared against actual results.
The Board is responsible for satisfying itself annually, or more frequently as required, that management has developed and
implemented a sound system of risk management and internal control, a review took place during the reporting period.
The Company does not have an internal audit function due to the size and nature of the Group, however the Audit, Business
Risk and Compliance Committee is responsible for ensuring there are adequate policies in relation to risk management,
compliance and internal control systems. They monitor the Company’s risk management by overseeing management’s
actions in the evaluation, management, monitoring and reporting of material operational, financial, compliance and strategic
risks. In providing this oversight, the Audit Committee and the Board:
•
•
•
•
•
reviews the framework and methodology for risk identification, the degree of risk the Company is willing to accept, the
management of risk and the processes for auditing and evaluating the Company’s risk management system;
reviews group-wide objectives in the context of the abovementioned categories of corporate risk;
reviews and, where necessary, approves guidelines and policies governing the identification, assessment and
management of the Company’s exposure to risk;
reviews and approves the delegations of financial authorities and addresses any need to update these authorities on
an annual basis, and
reviews compliance with agreed policies.
The Committee recommends any actions it deems appropriate to the board for its consideration.
Management is responsible for designing, implementing and reporting on the adequacy of the Company’s risk management
and internal control system and has to report to the Board on the effectiveness of:
•
•
the risk management and internal control system during the year, and
the company’s management of its material business risks.
Securities Trading Policy
The Company has established a policy concerning trading in the Company’s shares by the Company’s officers, employees
and contractors and consultants to the Company while engaged in work for the Company (“Representatives”).
This policy provides that it is the responsibility of each Representative to ensure they do not breach the insider trading
prohibition in the Corporations Act. Breaches of the insider trading prohibition will result in disciplinary action being taken by
the Company.
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Papyrus Australia Ltd
ABN 63 110 868 409
Corporate Governance Statement
30 June 2021
Management is responsible for designing, implementing and reporting on the adequacy of the Company’s risk management
and internal control system and has to report to the Board on the effectiveness of:
•
•
the risk management and internal control system during the year, and
the company’s management of its material business risks.
Securities Trading Policy
The Company has established a policy concerning trading in the Company’s shares by the Company’s officers, employees
and contractors and consultants to the Company while engaged in work for the Company (“Representatives”).
This policy provides that it is the responsibility of each Representative to ensure they do not breach the insider trading
prohibition in the Corporations Act. Breaches of the insider trading prohibition will result in disciplinary action being taken by
the Company.
Representatives must also obtain written consent from the Chairman (or, in the case of the Chairman, from the Board) prior
to trading in the Company’s securities.
Subject to these restrictions, the policy provides that Directors, the Company Secretary and employees of, or contractors to,
the Company that have access to the Company’s financial information are permitted to trade in the Company’s securities
throughout the year except during the following periods:
a)
the period between the end of the March and September quarters and the release of the Company’s quarterly report
to ASX for so long as the Company is required by the Listing Rules to lodge quarterly reports;
b)
the period between the end of the June quarter and the release of the Company’s annual report to ASX; and
c)
the period between the end of the December quarter and the release of the Company’s half year report to ASX.
In exceptional circumstances the Board may waive the requirements of the Share Trading Policy to allow Representatives to
trade in the shares of the Company, provided to do so would not be illegal.
Directors must advise the Company Secretary of changes to their shareholdings in the Company within two business days of
the change.
The Securities Trading Policy can be viewed on the ASX announcements tab at www.asx.com.au.
Exposure to material economic, environmental and social sustainability risk
The Company’s policy is to identify and manage potential or apparent business, economic, environmental and social
sustainability risks (if appropriate). The Company at present has not identified specific material risk exposure in these
categories. Review of the Company’s risk management policy is conducted at least annually and reports are continually
created by management on the efficiency and effectiveness of the Company’s risk management framework and associated
internal compliance and control procedures.
Principle 8: Remunerate fairly and responsibly
The Chairman and the Directors are entitled to draw Directors fees and receive reimbursement of reasonable expenses for
attendance at meetings. The Company is required to disclose in its annual report details of remuneration to Directors. The
maximum aggregate annual remuneration which may be paid to Non-Executive Directors is $300,000. This amount cannot
be increased without Shareholder approval.
The Board has not established a Remuneration Committee, as given the size of the Group and number of employees, it is
not considered that this is required at this time. The Board therefore fulfils the duties of the committee.
Every employee of the Group signs a formal employment contract at the time of their appointment covering a range of
matters including their duties, rights, responsibilities and any entitlements on termination.
Further information on directors’ and executives’ remuneration, including principles used to determine remuneration, is set
out in the directors’ report under the heading ‘Remuneration report’ included within the Annual Report. In accordance with
Group policy, participants in equity-based remuneration plans are not permitted to enter into any transactions that would limit
the economic risk of options or other unvested entitlements.
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Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
The Directors present their report, together with the financial statements of the Group, being Papyrus Australia Ltd (the
Group) and its controlled entities, for the financial year ended 30 June 2021.
DIRECTORS
The names and details of the company’s directors in office during the financial year and until the date of this report are as
follows. Directors were in office for this entire period unless otherwise stated.
Mr Edward Byrt, Chairman
Mr Ramy Azer, Managing Director
Mr Steve Howe (Appointed 7 September 2020, Resigned 1January 2021)
Mr David Attrias, Non-Executive Director (Appointed 13 November 2020)
Mr Vincent Peter Rigano, Non-Executive Director
Edward Byrt, LLB (Non-Executive Chairman)
Ted Byrt is a company director with over 30 years’ experience in commerce, corporate governance and international
business. He is a specialist strategic advisor for major development and infrastructure projects within Australia and offshore.
Ted is a business advisor and Board member of several leading organisations in South Australia. He was until March 2017
Presiding Member of the Development Assessment Commission, he is Chairman of the China Cluster, The Australian
Advanced Manufacturing Centre Pty Ltd, Red Chip Photonics Pty Ltd and Arkwright Technologies Pty Ltd, he was until
December 2017 a Director of Treyo Leisure & Entertainment Ltd (ASX listed) and he is a Board member of the Aboriginal
Foundation of South Australia Inc. He is also a member of the Company’s Audit committee and has been a Director of
Papyrus since 2004.
Ted is not (currently or in the previous 3 years) a director of any other listed companies.
Ramy Azer, MSTC, MSc (Eng), Grad Dip Bus, Bachelor of Engineering (Mechanical), (Managing Director)
Ramy Azer is the founder and developed the Company's technology. He has been a regular guest lecturer and speaker on
issues including sustainable business development and innovation. Ramy has been Managing Director since 2005 and prior
to that had 10 years’ experience with Papyrus Technology Pty Ltd.
Ramy is not (currently or in the previous 3 years) a director of any other listed companies.
Steve Howe, (Non-Executive Director)
Steve Howe has over 50 years’ management experience in commerce, information technology and international business.
He is respected for his innovation, business acumen and achievement record and has consulted to corporate clients such as
Elders Ltd, Coopers Brewery Ltd and Adelaide Brighton Ltd.
Steve has been a director and chairman of a number of companies and is passionate about corporate governance. He
understands business processes from an operational, executive management and board level perspective, in particular their
impact on the bottom line.
Steve is not (currently or in the previous 3 years) a director of any other listed companies.
Steve resigned from the Board on 1 January 2021.
David Attrias, MBA Banking and Finance (Non-Executive Director) Appointed on 13 November 2020)
Driven by business opportunity, David brings a solid financial, analytical and technological background to the Papyrus Team.
David is a serial entrepreneur, having founded and successfully managed e-commerce and hospitality businesses.
He is currently a director of L39 Capital, a non-executive director of Creative Food Australia, and has held a prior funds
management position in a Blockchain Technology Investment Fund. David’s experience is ultimately a reflection of his
passion for property investment and portfolio management.
David is not (currently or in the previous 3 years) a director of any other listed companies.
9
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
Vincent Peter Rigano, BA Accounting, CPA (Non-Executive Director and Company Secretary)
Vince is a CPA with over 25 years’ experience in corporate accounting, management consulting and company secretarial.
Vince was company secretary for a number of years for Papyrus.
Vince provides management accounting and consulting services to a variety of industry sectors including start-ups.
He is also a member of the Company’s Audit Committee.
Vince is not (currently or in the previous 3 years) a director of any other listed companies.
PRINCIPAL ACTIVITIES AND SIGNIFICANT CHANGES IN NATURE OF ACTIVITIES
The Group’s commercialisation strategy remains focused on being a technology licensing Group assisting suitable entities to
establish banana veneering and panel production factories in locations worldwide where bananas are grown.
There have been no significant changes in the nature of those activities during the year.
OPERATING RESULTS
The loss of the consolidated group after providing for income tax amounted to $90,783 (2020: $366,915).
INTERESTS IN THE SHARES AND OPTIONS OF THE COMPANY AND RELATED BODIES CORPORATE
As at the date of this report, the interests of the directors in the shares and options of Papyrus Australia Ltd were:
Number of Ordinary Shares
Number of Options over
Ordinary Shares
Mr Edward Byrt
Mr Ramy Azer
Mr Steve Howe (appointed 7
September 2020, resigned 1 Jan 2021)
Mr David Attias (appointed 13
November 2020)
Mr Vincent Peter Rigano*
Indirect interest
140,000
Direct interest
25,799,481
48,685,253
183,864
-
12,830,445
642,884
*
Mr Rigano was issued 1,000,000 shares as a result of the conversion of options.
DIVIDENDS
-
-
750,000
-
-
No dividends were paid or declared since the start of the financial year. No recommendation for payment of dividends has
been made.
OPERATIONS REVIEW
The Company’s essential activities for the financial year 2020/2021 were to support the Egyptian Fibre Company (EBFC) to
further develop and grow the banana fibre business being undertaken by the corporate JV entity Papyrus Egypt in Sohag, In
line with this plan, in early 2020 the Company entered into negotiations with EBFC to unwind the exclusive IP License
Agreement (ASX announcement 15 April 2020) and revert back to the original joint venture arrangements. This ensured that
the Company maintained at least a 50% direct interest in the joint venture company (Papyrus Egypt). In support of this
direction, the Company subsequently embarked on a program for the acquisition of addition equity in EBFC to take control of
Papyrus Egypt. The Company has since the 30 April 2021 secured 25.46% shareholding in EBFC. At the date of this report,
a further 13% shareholding in EFBC is in the process of being transferred to the Group.
In addition to the production of banana veneer and banana fibre for subsequent processing and manufacture to produce
saleable products, the Company through the direction of the Managing Director, Ramy Azer, has guided and undertaken the
development of three new valuable agricultural products derived from the waste banana tree trunks (BTT), the first being a
dense block of fibre product equivalent to “peat” otherwise imported into Egypt and the Middle East for use in deficient sandy
soils (known as “Cairo Peat”), the second being a less dense fibrous product used in agriculture (known as “Bokashi”), and
another new agricultural liquid fertilizer being extracted of the liquid in the BTT (known as “Musa”). This latter product is a
nutrient rich fertilizer drawn from the liquid naturally occurring in the BTT. Acceptance and market demand for these
agricultural products is strong and demand continues to grow.
10
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
OPERATIONS REVIEW (Continued)
The plan is that the Company’s future primary revenue will be generated from technology licensing fees, machinery sales,
support services and dividends from any joint venture undertaken starting with the project in Egypt which is now being
achieved. The Company acknowledges that it may be required to first participate collaboratively with others as it is doing in
Egypt to get the initial fiber production facilities operational and fully commissioned to satisfy concerns about risks believed to
be associated with being the first to undertake the manufacture of banana products.
An additional significant cornerstone investor become a shareholder in the Company, namely, L39 Capital (ASX
Announcement 16 November 2020) with the funds raised applied towards the Company strategy to strengthen the situation
and opportunity in Egypt, and to explore the application of the Company’s patented technology and “know how” and place the
Company on a strong financial footing.
With the support of UPE and L39 Capital, the Company in December 2020 raised a further $3,000,000 (before transaction
costs) from sophisticated investors (ASX announcement 4 December 2020), which has enabled the Company to purchase
and install additional processing equipment and increase labor resources at the Sohag factory to meet the growing demand
for its products, expand human resource needs in Australia and enter into a salary package arrangement with the Managing
Director.
In November 2020, the Company appointed Mr David Attias, a member of the L39 team, as a director.
On 1 January 2021, Mr Steve Howe resigned from the Company Board.
The Non-Executive Directors continued to forego their remuneration during the year.
The Annual General Meeting of the Company was held on 11 November 2020, where the Chairman and Managing Director
gave a comprehensive review of Company’s operations and strategic activities including the introduction of UPE director
Siew Hong Koh and the team from L39 Capital.
In summary the financial year 2020/2021 has been a rewarding and progressive year underpinned by significant new
investment from UPE and L39 Capital.
SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
There have been no significant changes in the state of affairs of the Company during the year ended 30 June 2021.
LIKELY DEVELOPMENTS AND EXPECTED RESULTS
The Company continues to investigate new opportunities for approval by the Company’s shareholders and the ASX if
required. The outcome of these investigations cannot be predicted at this time. The Group may require further capital to
sustain its activities.
ENVIRONMENTAL REGULATION
The Group’s operations are not subject to any significant environmental regulations under either Commonwealth or State
legislation. The Group however believes that it has adequate systems in place for the management of any future
environmental regulations.
MATTERS SUBSEQUENT TO THE END OF THE FINANCIAL YEAR
On 30 August 2021 the Company entered into a deed with Sydney based BPE Investments Pty Ltd and Union Pacific
Investments Pty Ltd to promote the Company to potential users of its environmentally friendly technology, improve the
Company’s opportunities and profile in Australia and internationally and increase value to shareholders. As a result of the
deed execution, the Company issued 20,000,000 unlisted options at a purchase price of $0.0005, exercisable at $0.06 per
option, and expiring in 12 months from the date of issue.
11
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
MATTERS SUBSEQUENT TO THE END OF THE FINANCIAL YEAR (Continued)
The Company lodged an Australian patent application for its innovative banana fibre production process which produces a
cost-efficient environmentally friendly fibre ideal for use in moulded food packaging products (ASX announcement 22
September 2021). This Australian patent application is an important first step in the Company acquiring broad-ranging
international patent protection for this state-of-the-art zero waste process. The significant commercial value of this process
was recently proven in a series of trials in which the Company successfully produced commercial quantities of high-quality
biodegradable moulded food packaging using off-the-shelf moulding machines.
There have been no other significant matters subsequent to the end of the financial year.
Shares under option
At the date of this report, the following options to acquire ordinary shares in the Company were on issue:
Issue Date
Expiry Date
Exercise Price
Vesting date
24/06/2020
20/08/2020
11/11/2020
17/11/2020
4/05/2021
4/05/2021
30/08/2021
24/06/2022
20/8/2022
11/11/2020
17/05/2022
4/05/2026
4/05/2026
30/08/2022
$0.01
$0.01
$0.05
$0.015
$0.20
$0.40
$0.06
4/05/2022
4/05/2023
Net Issued
/(Exercised or
expired) during year
Number under
option at the
date of this
report
(2,000,000)
-
750,000
41,666,667
250,000
250,000
20,000,000
-
-
750,000
41,666,667
250,000
250,000
20,000,000
Shares issued as a result of the exercise of options
As a result of the exercise of options, 23,000,000 shares were issued on 17 November 2020 (8,713,084 options were
exercised during 2020 financial year). This includes 2,000,000 unlisted options issued on 24 June 2019 and 21,000,000
unlisted option issued on 17 November 2020.
Options Expired
No options expired during the year.
New options issued
750,000 unlisted options exercisable at $0.5 per option were issued with an expiry date of two years from the date of issue,
being 11 November 2020 when the shareholder approval was obtained.
21,000,000 unlisted options exercisable at $0.01 per option and with an expiry date of 20 December 2022 were issued to
sophisticated investors, these options were converted to shares on 17 November 2020.
41,666,667 unlisted options exercisable at $0.015 per option and with an expiry date of 16 May 2022 were issued to
sophisticated investors.
500,000 unlisted options under a contract of employment were issued 4 May 2021, of these 250,000 will vest on 4 May 2022,
have an exercise price of $0.20 per option and expire on 4 May 2026, the remaining 250,000 options will vest on 4 May 2023,
have an exercise price of $0.40 per option and an expiry date of 4 May 2026.
On 30 August 2021 the Company entered into a deed with Sydney based BPE Investments Pty Ltd and Union Pacific
Investments Pty Ltd to promote the Company to potential users of its environmentally friendly technology, improve the
Company’s opportunities and profile in Australia and internationally and increase value to shareholders. As a result of the
deed execution, the Company issued 20,000,000 unlisted options at a purchase price of $0.0005, exercisable at $0.06 per
option, and expiring in 12 months from the date of issue.
Option holders do not have any rights to participate in any issues of shares or other interests of the company or any other
entity. There have been no other options granted over unissued shares or interests of any control entity within the Group
during or since the end of the reporting period. For details of options issued to directors and executives as remuneration,
refer to the remuneration report.
12
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
INDEMNIFICATION AND INSURANCE OF DIRECTORS AND OFFICERS
To the extent permitted by law, the Company has not indemnified (un-insured) each director and the secretary of the
Company. The liabilities insured include costs and expenses that may be incurred in defending civil or criminal proceedings
(that may be brought) against the officers in their capacity as officers of the Company or a related body, and any other
payments arising from liabilities incurred by the officers in connection with such proceedings, other than where such liabilities
arise out of conduct involving a wilful breach of duty by the officers or the improper use by the officers of their position or of
information to gain advantage for themselves or someone else or to cause detriment to the Company.
REMUNERATION REPORT - AUDITED
This report outlines the remuneration arrangements in place for key management personnel of Papyrus Australia Ltd.
Remuneration philosophy
The Board is responsible for determining remuneration policies applicable to Directors and senior executives of the entity.
The broad policy is to ensure that remuneration properly reflects the individuals' duties and responsibilities and that
remuneration is competitive in attracting, retaining and motivating people with appropriate skills and experience. At the time
of determining remuneration, consideration is given by the Board to the Group's financial performance.
Employment contracts
The employment conditions of the Managing Director, Mr Ramy Azer, are formalised in a one year service contract between
his related entity Ramy Azer (an incorporated Egyptian entity BRN 4294) and Papyrus Australia Ltd and his fee is $250,000
per annum (exclusive of GST) and a displacement allowance of $50,000 payable by the joint venture company Papyrus
Egypt. The Company may termin ate the services contract without cause by providing one (1) month’s written notice or
making payment in lieu of notice, based on the annual fee. Termination payments are generally not payable on resignation or
dismissal for serious misconduct. In the instance of serious misconduct the Company can terminate employment at any time.
It is noted that this contract commenced on the 1 December 2020 and that prior to this date, Mr Azer had agreed to forgo any
remuneration due to the available working capital of the Company. A bonus might be payable upon achievement to an
outstanding level of the Performance Indicators, and the Board may determine, in its absolute discretion, whether Mr Azer is
entitled to be paid a bonus, and if so, the amount payable. The performance targets and objectives to determine
Performance Indicators for 30 June 2021 were not determined and no bonus has been provided for Mr Azer.
The Company has an employment contract with Mr Peter Rostig, Manager – Engineering & Business Development with a
remuneration of $135,000 per annum plus superannuation. The contract has no fixed term with each party can terminate the
contract with 3 months’ notice in writing.
Key management personnel remuneration and equity holdings
The Board currently determines the nature and amount of remuneration for key management personnel of the Group. The
policy is to align key management personnel objectives with shareholder and business objectives by providing a fixed
remuneration component and offering specific long-term incentives.
The non-executive directors and other executives receive a superannuation guarantee contribution required by the
government, which is currently 9.5%, and do not receive any other retirement benefits. Some individuals, however, may
choose to sacrifice part of their salary to increase payments towards superannuation. All remuneration paid to key
management personnel is expensed as incurred. Executives are also entitled to participate in the Group share option
scheme. Options are valued using the Black-Scholes methodology.
The Board policy is to remunerate non-executive Directors at market rates based on comparable companies for time,
commitment and responsibilities. The Board determines payments to non-executive directors and reviews their remuneration
annually, based on market practice, duties and accountability. Independent external advice is sought when required.
Non-executive Directors’ fees are determined within an aggregate director’s fee pool limit, which is periodically
recommended for approval by shareholders. The pool does not include the remuneration payable to the Managing Director
Mr Ramy Azer. The maximum currently stands at $300,000 per annum and was approved by shareholders prior to the
Company listing in April 2005. It should be noted that other than the Managing Director, no other directors have received any
remuneration during the 2021 financial year.
USE OF REMUNERATION CONSULTANTS
During the financial year, there were no remuneration recommendations made in relation to key management personnel for
the Company by any remuneration consultants. The Company did not use any remuneration consultation during financial
year 2021.
13
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
REMUNERATION REPORT CONTINUED- AUDITED
VOTING AND COMMENTS MADE AT THE COMPANY’S 2020 ANNUAL GENERAL MEETING
Papyrus Australia Ltd’s motion in relation to the approval of 2020 remuneration report passed with a vote total of more than
95%. The Company did not receive any specific feedback at the AGM on its remuneration report.
DETAILS OF REMUNERATION
Amounts of remuneration
Detail of the remuneration of key management personnel of the Group are set out in the following tables.
They key management personnel of the Group consisted of the following directors Papyrus Australia Limited:
Mr Edward Byrt, Chairman
Mr Ramy Azer, Managing Director
Mr Steve Howe (Appointed 7 September 2020, Resigned 1January 2021)
Mr David Attrias, Non-Executive Director (Appointed 13 November 2020)
Mr Vincent Peter Rigano, Non-Executive Director
And the following person:
Mr Peter Rostig (Appointed 3 May 2021) – Manager – Engineering & Business Development
There has been no change to the key management personnel of the group since the end of the reporting period.
Table 1: Directors’ remuneration for the year ended 30 June 2021 and 30 June 2020
Post
Employment
Superannuation
Share-based
Payments
Options
Primary
Benefit
Salary &
Fees
$
145,833
-
-
-
-
-
-
-
-
-
145,833
-
Mr Ramy Azer
2021(*)
2020
Mr Edward Byrt
2021
2020
Mr Steve Howe (appointed
7 September 2020, resigned
1 January 2021)
2021 (**)
2020
Mr David Attrias (appointed
13 November 2020)
2021
2020
Mr Vincent Rigano
Total
2021
2020
2021
2020
$
-
-
-
-
-
-
-
-
-
-
-
-
Total
$
145,833
-
-
-
$
-
-
-
-
34,664
-
34,664
-
-
-
-
-
-
-
-
-
34,664
-
180,497
-
(*) Represents remuneration to Mr Azer under the service contract discussed above from December 2020.
(**) Represents the incentive package remunerated to Mr Howes upon his appointment as Director of the Company in
November 2020, over which shareholder approval was obtained at 2020 AGM.
14
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
REMUNERATION REPORT CONTINUED- AUDITED
DETAILS OF REMUNERATION CONTINUED
Table 2: Remuneration of key management personnel for the year ended 30 June 2021 and 30 June 2020
Primary
Benefit
Salary &
Fees
$
17,318
-
17,318
-
Post
Employment
Superannuation
$
1,645
-
1,645
-
Share-based
Payments
Options
Total
$
$
2,192
-
2,192
-
21,155
-
21,155
-
Mr Peter Rostig (appointed
3 May 2021)
Total
2021 (***)
2020
2021
2020
(***) Represents remuneration to Mr Rostig under the service contract discussed above from May 2021. Sign-on incentive
was provided to Mr Rostig as part of his appointment with the Company. 500,000 unlisted options under a contract of
employment were issued 4 May 2021, of these 250,000 will vest on 4 May 2022 if Mr Rostig remains in employment with
the Company, have an exercise price of $0.20 per option and expire on 4 May 2026. The remaining 250,000 options will
vest on 4 May 2023 if Mr Rostig remains in employment with the Company, have an exercise price of $0.40 per option and
an expiry date of 4 May 2026.
All remuneration for both 2021 and 2020 for key management personnel was fixed and not linked to performance.
Options holdings of Directors and Key Management Personnel
Balance at
1 July 2020
Granted as
remuneration
Other Changes
- Exercised
Other Changes
- Issued
R Azer
E Byrt
-
-
-
-
-
-
(1,000,000)
-
-
-
Balance at
30 June 2021
Vested and
Exercisable at
30 June 2021
-
-
-
-
-
750,000
500,000
1,250,000
V Rigano (*)
S Howes (**)
P Rostig (***)
Total
1,000,000
-
-
1,000,000
-
-
(1,000,000)
(*) During the year, Mr Rigano converted 1,000,000 options to shares.
(**) 750,000 unlisted options exercisable at $0.5 per option were issued to Mr Howes with an expiry date of two years from
the date of issue, being 11 November 2020 when the shareholder approval was obtained. The options had a fair value of
$34,664 at the grant date, determined using Black Scholes valuation model.
(***) 500,000 unlisted options under a contract of employment were issued 4 May 2021, of these 250,000 will vest on 4 May
2022 if Mr Rostig remains in employment with the Company, have an exercise price of $0.20 per option and expire on 4 May
2026. The remaining 250,000 options will vest on 4 May 2023 if Mr Rostig remains in employment with the Company, have
an exercise price of $0.40 per option and an expiry date of 4 May 2026. The options had a fair value of $8,868 and $8,573 at
the grant date, determined using Black Scholes valuation model respectively.
-
-
-
-
750,000
500,000
1,250,000
-
750,000
-
750,000
Key Management Personnel Shareholdings
R Azer
E Byrt
D Attrias
V Rigano*
Balance at 1 July
2020
Other Changes
Balance at 30 June
2021
48,685,253
25,779,481
-
11,830,445
86,295,179
-
-
-
1,000,000
1,000,000
48,685,253
25,779,481
-
12,830,445
87,295,179
15
Papyrus Australia Ltd
ABN 63 110 868 409
(*) During the year, Mr Rigano converted 1,000,000 options to shares.
Directors’ Report
30 June 2021
REMUNERATION REPORT CONTINUED- AUDITED
DETAILS OF REMUNERATION CONTINUED
Other transactions with key management personnel
The Company has an unsecured loan representing a draw down facility provided by Talisker (SA) Pty Ltd (“Talisker”), an entity
associated with the Company’s Managing Director, Mr Ramy Azer. The loan is unsecured and repayable from future revenues
or proceeds from future equity raisings, subject to not materially prejudicing the ability of the Company to repay its creditors.
The balance of the loan at 30 June 2021 is $0 (2020: $39,462). As at 30 June 2021, the accrued interest of $61,700 associated
with the loan historically is still outstanding. The interest was agreed between the parties to be paid only when the group makes
sufficient profit. This interest portion was presented in the financial statement of the Group within the ‘Trade and other payables’
a current liability.
The Company had unsecured loans with E Byrt, R Azer and V Rigano. The loans were short-term in nature and no interest is
payable. The balances of the loans are as follows:
Balance at
30 June
2020
Balance at
30 June
2021
4,879
90
2,029
-
-
-
R Azer
E Byrt
V Rigano
END OF AUDITED REMUNERATION REPORT
DIRECTORS’ MEETINGS
The number of meetings of directors (including meetings of committees of directors) held during the year and the number of
meetings attended by each director were as follows:
Number of meetings
held
Number of meetings
attended:
Mr Edward Byrt
Mr Ramy Azer
Mr Steve Howe
Mr David Attrias
Mr Vincent Rigano
Directors' Meetings
Audit Committee
29
Number eligible to
attend
29
29
19
11
29
Number
attended
29
16
17
11
29
2
Number eligible to
attend
2
2
-
-
2
Number
attended
2
-
-
-
2
Members acting on the audit committee of the Board are:
Vincent Rigano
Edward Byrt
Ramy Azer
Non-executive director
Non-executive director
Managing director
PROCEEDINGS ON BEHALF OF THE COMPANY
The claim that had been raised against the Group in 2020 was settled under a confidentiality agreement on 17 September
2020.
The Group was not a party to any other such proceedings during the year.
16
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Report
30 June 2021
NON AUDIT SERVICES
BDO Audit (SA) Pty Ltd, in its capacity as auditor for Papyrus Australia Ltd, has not provided any non-audit services
throughout the reporting period.
AUDITOR’S INDEPENDENCE DECLARATION
The auditor’s independence declaration for the year ended 30 June 2021 as required under section 307C of the Corporations
Act 2001 has been received and can be found on page 18.
Signed in accordance with a resolution of the directors.
Mr Ramy Azer Managing Director
Dated this 29
th day of October 2021
17
Tel: +61 8 7324 6000
Fax: +61 8 7324 6111
www.bdo.com.au
BDO Centre
Level 7, 420 King William Street
Adelaide SA 5000
GPO Box 2018 Adelaide SA 5001
Australia
DECLARATION OF INDEPENDENCE
BY ANDREW TICKLE
TO THE DIRECTORS OF PAPYRUS AUSTRALIA LTD
As lead auditor of Papyrus Australia for the year ended 30 June 2021, I declare that, to the best of my
knowledge and belief, there have been:
1. No contraventions of the auditor independence requirements of the Corporations Act 2001 in
relation to the audit; and
2. No contraventions of any applicable code of professional conduct in relation to the audit.
This declaration is in respect of Papyrus Australia Ltd and the entities it controlled during the period.
Andrew Tickle
Director
BDO Audit (SA) Pty Ltd
Adelaide, 29 October 2021
BDO Audit (SA) Pty Ltd ABN 33 161 379 086 is a member of a national association of independent entities which are all members of BDO
Australia Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit (SA) Pty Ltd and BDO Australia Ltd are
members of BDO International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent
member firms. Liability limited by a scheme approved under Professional Standards Legislation.
Papyrus Australia Ltd
ABN 63 110 868 409
Consolidated Statement of Profit or Loss and Other Comprehensive Income
For the Year Ended 30 June 2021
2 (a)
2 (b)
10(a)
2 (c)
8
3
Other income
Share based payment expense
Consultancy expenses / Salaries and Wages
Employee benefits expenses
Loss on settlement of liabilities with entities own equity
Other expenses
Finance Costs
Share of net profits of associate and joint venture
Loss before income tax benefit
Income tax benefit
Loss for the period
Other compressive income
Total comprehensive income for the year
Loss attributable to the parent
Loss for the year
Total comprehensive income attributable to the parent
Total comprehensive income attributable to members
of the parent entity
Consolidated Group
30 June
30 June
2020
2021
(restated)
$
$
-
(36,856)
(149,483)
(18,963)
-
(311,680)
-
426,199
(90,783)
-
(90,783)
-
(90,783)
(90,783)
(90,783)
(90,783)
4,599
-
-
(1,890)
(115,436)
(250,612)
(3,576)
-
(366,915)
-
(366,915)
-
(366,915)
(366,915)
(366,915)
(366,915)
(90,783)
(366,915)
Earnings per share:
Basic earnings per share
Diluted earnings per share
4
4
Cents
(0.02)
(0.02)
Cents
(0.14)
(0.14)
The accompanying notes form part of these financial statements.
19
Papyrus Australia Ltd
ABN 63 110 868 409
Consolidated Statement of Financial Position
For the Year Ended 30 June 2021
CURRENT ASSETS
Cash and cash equivalents
Trade and other receivables
Prepayment
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Property, plant and equipment
Investments accounted for using the equity method
TOTAL NON-CURRENT ASSETS
TOTAL ASSETS
CURRENT LIABILITIES
Trade and other payables
Short-term borrowings
Other current liabilities
TOTAL CURRENT LIABILITIES
NON-CURRENT LIABILITIES
Other non-current liabilities
TOTAL NON-CURRENT LIABILITIES
TOTAL LIABILITIES
Consolidated Group
30 June
30 June
2020
2021
(restated)
$
$
30 June
2019
(restated)
$
Note
5
6
7
8
9
10
2,071,640
452,634
9
2,524,283
-
1,299,578
1,299,578
3,823,861
121,916
-
-
121,916
-
-
121,916
28,142
33
260,000
288,175
-
-
-
288,175
122,843
46,460
-
169,303
-
-
169,303
34,072
1,147
-
35,219
-
-
-
35,219
66,358
319,834
-
386,192
-
-
386,192
NET ASSETS / (LIABILITIES)
3,701,945
118,872
(350,973)
EQUITY
Issued capital
Reserves
Accumulated losses
Total attributable to owners of parent
11
12
25,032,581
952,578
(22,283,214)
3,701,945
21,395,581
915,722
(22,192,431)
118,872
20,558,821
915,722
(21,825,516)
(350,973)
TOTAL EQUITY / (DEFICIT)
3,701,945
118,872
(350,973)
The accompanying notes form part of these financial statements.
20
Papyrus Australia Ltd
ABN 63 110 868 409
Consolidated Statement of Change in Equity
For the Year Ended 30 June 2021
Balance at 1 July 2019 (Restated)
Comprehensive income
Loss for the year (Restated)
Total comprehensive income for the period (restated)
transactions with owners, in their capacity as owners, and
other transactions
Shares issued via exercise of options on 24 August 2019
Shares issued via private placement on 12 November 2019
Shares issued as a result of 2019 AGM resolution on 12
December 2019
Shares issued via exercise of options on 19 December 2019
Shares issued via private placement on 26 February 2020
Shares issued via private placement on 29 June 2020
Total transactions with owners and other transactions
Balance at 30 June 2020 (Restated)
Balance at 1 July 2020 (Restated)
Comprehensive income
Loss for the year
Total comprehensive income for the period
transactions with owners, in their capacity as owners, and
other transactions
Shares Issued via exercise of options on 20 August 2020
Shares issued via private placement on 17 October 2020
Shares issued via exercise of options on 17 November 2020
Shares issued as a result of 2020 AGM resolution on 17
November 2020
Shares issued via private placement on 4 December 2020
Shares issued via private placement on 10 December 2020
Issue of Share options
Total transactions with owners and other transactions
Consolidated Group
Retained
Earnings/
Share
(Accumulated Option
Reserve
$
915,722
losses)
$
(21,825,516)
Issued
Capital
$
20,558,821
Note
-
-
(366,915)
(366,915)
-
-
-
-
-
-
-
-
-
-
-
(22,192,431)
-
-
-
-
-
915,722
35,000
60,000
389,629
52,131
100,000
200,000
836,760
21,395,581
11
Total
$
(350,973)
(366,915)
(366,915)
35,000
60,000
389,629
52,131
100,000
200,000
836,760
118,872
21,395,581
(22,192,431)
915,722
118,872
-
-
(90,783)
(90,783)
30,000
132,900
230,000
367,100
735,000
2,142,000
11
3,637,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
36,856
36,856
(90,783)
(90,783)
30,000
132,900
230,000
367,100
735,000
2,142,000
36,856
3,673,856
Balance at 30 June 2021 (Restated)
25,032,581
(22,283,214)
952,578
3,701,945
The accompanying notes form part of these financial statements.
21
Papyrus Australia Ltd
ABN 63 110 868 409
Consolidated Statement of Cash Flows
For the Year Ended 30 June 2021
Consolidated Group
30 June
30 June
2020
2021
(restated)
$
$
Note
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers
Payments to suppliers and employees
-
(498,381)
4,599
(198,479)
NET CASH USED IN OPERATING ACTIVITIES
13
(498,381)
(193,880)
CASH FLOWS FROM INVESTING ACTIVITIES
Prepayment for investment
Purchase of investment in equity accounting investments
Loans made to joint venture entity
-
(613,379)
(449,232)
(260,000)
-
NET CASH PROVIDED BY/(USED IN) INVESTING ACTIVITIES
(1,062,611)
(260,000)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issue of shares
Proceeds from borrowings
Repayment of borrowings
3,637,000
-
(32,510)
447,131
819
-
NET CASH PROVIDED BY FINANCING ACTIVITIES
3,604,490
447,950
Net (decrease)/increase in cash and cash equivalents
Cash at the beginning of the financial year
2,043,498
28,142
(5,930)
34,072
CASH AT THE END OF THE FINANCIAL YEAR
5(a)
2,071,640
28,142
The accompanying notes form part of these financial statements.
22
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
This financial report covers the consolidated financial statements and notes of Papyrus Australia Ltd ('the Company') as an
individual entity and the consolidated Group comprising Papyrus Australia Ltd and it’s Controlled Entities ('the Group').
Papyrus Australia Ltd is a for‑ profit Group limited by shares, incorporated and domiciled in Australia, whose shares are
publicly traded on the Australian Securities Exchange. The financial statements were authorised for issue by the Board of
Directors on 28 October 2021.
Each of the entities within the Group prepare their financial statements based on the currency of the primary economic
environment in which the entity operates (functional currency). The consolidated financial statements are presented in
Australian dollars which is the parent entity’s functional and presentation currency.
The separate financial statements and notes of the parent entity, Papyrus Australia Ltd, have not been presented within this
financial report as permitted by amendments made to the Corporations Act 2001.
1
Summary of Significant Accounting Policies
(a)
Basis of Preparation
The financial statements are general purpose financial statements that have been prepared in accordance with
Australian Accounting Standards, Australian Accounting Interpretations, other authoritative pronouncements of
the Australian Accounting Standards Board and the Corporations Act 2001. The Group is a for-profit entity for
financial reporting purposes under Australian Accounting Standards.
These financial statements and notes comply with International Financial Reporting Standards as issued by the
International Accounting Standards Board.
The significant accounting policies used in the preparation and presentation of these financial statements are
provided below and are consistent with prior reporting periods unless otherwise stated.
Except for the cash flow information, the financial statements are prepared on an accruals basis and are based
on historical costs, except for the measurement at fair value of selected non-current assets, financial assets and
financial liabilities.
(b)
Prior Period Errors
During the financial year ended 30 June 2021, the Directors formed the view that the BUV Plant which had
previously been recognised as an asset had not been accounted for correctly in prior years. The Plant was
transported to Egypt to the care of Egyptian Banana Fibre Company ('EBFC') in 2011 and at that point in time the
Group had lost control of the machine and it should have been derecognised. As a consequence, the assets and
associated Government grant income deferred, depreciation and grant income have been overstated. The error
has been corrected by restating each of the affected financial statement line items for prior periods. The following
tables summarise the impacts on the Group's consolidated financial statements.
23
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1
Summary of Significant Accounting Policies (continued)
(b)
Prior Period Errors (continued)
Extract of consolidated statement of financial position
30/06/2020
Correction
of error
Previously
reported
Restated
Previously
reported
30/06/2019
Correction
of error
Restated
TOTAL ASSETS
91,034
($91,034)
91,034
($91,034)
91,034
($91,034)
-
-
-
88,546
($88,546)
88,546
($88,546)
88,546
($88,546)
-
-
-
-
-
-
-
-
200,948
($200,948)
200,948
($200,948)
200,948
($200,948)
233,180
($233,180)
233,180
($233,180)
198,460
($198,460)
198,460
($198,460)
431,640
($431,640)
i.
NON-CURRENT
ASSETS
Property, plant and
equipment
TOTAL
NON-CURRENT
ASSETS
CURRENT
LIABILITIES
Other current
liabilities
TOTAL CURRENT
LIABILITIES
NON-CURRENT
LIABILITIES
Other non-current
liabilities
TOTAL
NON-CURRENT
LIABILITIES
TOTAL
LIABILITIES
NET ASSETS /
(LIABILITIES)
EQUITY
Accumulated losses
TOTAL EQUITY /
(DEFICIT)
2,488
($2,488)
-
230,692
230,692
-
($22,189,943)
($2,488)
($22,192,431)
($22,056,208)
$230,692
($21,825,516)
($22,189,943)
($2,488)
($22,192,431)
($22,056,208)
$230,692
($21,825,516)
24
-
-
-
-
-
-
-
-
-
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1
Summary of Significant Accounting Policies (continued)
(b)
Prior Period Errors (continued)
ii.
Extract of consolidated statement of profit or loss and other comprehensive income
Other Income
Grant income
Depreciation expense
Employee benefits expenses
Loss on settlement of liabilities with
entities own equity
Other expenses
Finance Costs
Loss before income tax benefit
Income tax benefit
Loss for the period
Other comprehensive income
Total comprehensive income for the
year
30/06/2020
Previously
reported
Correction of
error
Restated
237,779
($233,180)
4,599
109,914
($109,914)
($109,914)
109,914
-
-
($1,890)
($115,436)
($250,612)
($3,576)
($133,735)
-
($1,890)
-
($115,436)
-
($250,612)
-
($233,180)
($3,576)
($366,915)
($133,735)
($233,180)
($366,915)
-
-
-
-
($133,735)
($233,180)
($366,915)
There is no material impact on the Group's basic or diluted earnings per share and no impact on the total operating, investing
or financing cash flows for the years ended 30 June 2020 and 2019.
25
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1 Summary of Significant Accounting Policies (continued)
(c)
Principles of Consolidation
The consolidated financial statements include the financial position and performance of controlled entities from
the date on which control is obtained until the date that control is lost.
Intragroup assets, liabilities, equity, income, expenses and cash flows relating to transactions between entities in
the consolidated entity have been eliminated in full for the purpose of these financial statements.
Appropriate adjustments have been made to a controlled entity’s financial position, performance and cash flows
where the accounting policies used by that entity were different from those adopted by the consolidated entity.
All controlled entities have a June financial year end.
A list of controlled entities is contained in Note 17 to the financial statements.
Subsidiaries
Subsidiaries are all entities (including structured entities) over which the parent has control. Control is
established when the parent is exposed to, or has rights to variable returns from its involvement with the entity
and has the ability to affect those returns through its power to direct the relevant activities of the entity.
(d) Revenue and other income
Revenue is recognised when the amount of the revenue can be measured reliably, it is probable that economic
benefits associated with the transaction will flow to the entity and specific criteria relating to the type of revenue
has been satisfied.
Revenue is measured at the fair value of the consideration received or receivable and is presented net of returns,
discounts and rebates.
All revenue is stated net of the amount of goods and services tax (GST).
Interest revenue
Interest is recognised using the effective interest method.
Grant revenue
Government grants are recognised at fair value where there is reasonable assurance that the grant will be
received and all grant conditions will be met. Grants relating to expense items are recognised as income over the
periods necessary to match the grant to the costs they are compensating. Grants relating to assets are credited
to deferred income at fair value and are credited to income over the expected useful life of the asset on a
straight‑ line basis.
(e)
Finance costs
Finance costs directly attributable to the acquisition, construction or production of assets that necessarily take a
substantial period of time to prepare for their intended use or sale, are added to the cost of those assets, until
such time as the assets are substantially ready for their intended use or sale.
All other finance costs are recognised in income in the period in which they are incurred.
26
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1 Summary of Significant Accounting Policies (continued)
(f)
Cash and cash equivalents
Cash and cash equivalents comprises cash on hand, demand deposits and short‑ term investments which are
readily convertible to known amounts of cash and which are subject to an insignificant risk of change in value.
Bank overdrafts also form part of cash equivalents for the purpose of the consolidated statement of cash flows
and are presented within current liabilities on the consolidated statement of financial position.
(g)
Trade and other receivables
For trade receivables, the Group applies a simplified approach in calculating Expected Credit Losses (‘ECLs’) as
allowed in accordance with AASB 9 Financial Instruments.
Therefore the Group does not track changes in credit risk, but instead recognises a loss allowance based on
lifetime ECLs at each reporting date.
(h)
Income Tax
The tax expense recognised in the consolidated statement of profit or loss and other comprehensive income
relates to current income tax expense plus deferred tax expense (being the movement in deferred tax assets and
liabilities and unused tax losses during the year).
Current tax is the amount of income taxes payable (recoverable) in respect of the taxable profit (tax loss) for the
year and is measured at the amount expected to be paid to (recovered from) the taxation authorities, using the
tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.
Deferred tax is provided on temporary differences which are determined by comparing the carrying amounts of
tax bases of assets and liabilities to the carrying amounts in the financial statements.
Deferred tax is not provided for the following:
The initial recognition of an asset or liability in a transaction that is not a business combination and at the time of
the transaction, affects neither accounting profit nor taxable profit (tax loss).
Taxable temporary differences arising on the initial recognition of goodwill.
Temporary differences related to investment in subsidiaries, associates and jointly controlled entities to the
extent that the Company is able to control the timing of the reversal of the temporary differences and it is
probable that they will not reverse in the foreseeable future.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the period when the
asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or
substantively enacted by the end of the reporting period.
Deferred tax consequences relating to a non‑ monetary asset carried at fair value are determined using the
assumption that the carrying amount of the asset will be recovered through sale.
Deferred tax assets are recognised for all deductible temporary differences and unused tax losses to the extent
that it is probable that taxable profit will be available against which the deductible temporary differences and
losses can be utilised.
27
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1
Summary of Significant Accounting Policies (continued)
(h)
Income Tax (continued)
The carrying amount of deferred income tax assets is reviewed at each reporting date and reduced to the extent
that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income
tax asset to be utilised.
Unrecognised deferred income tax assets are reassessed a each reporting date and are recognised to the extent
that it has become probable that future taxable profit will allow the deferred tax asset to be recovered.
Current tax assets and liabilities are offset where there is a legally enforceable right to set off the recognised
amounts and there is an intention either to settle on a net basis or to realise the asset and settle the liability
simultaneously.
Deferred tax assets and liabilities are offset where there is a legal right to set off current tax assets against current
tax liabilities and the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same
taxation authority on either the same taxable entity or different taxable entities which intend either to settle current
tax liabilities and assets on a net basis, or to realise the assets and settle the liabilities simultaneously in each
future period in which significant amounts of deferred tax liabilities or assets are expected to be settled or
recovered.
Current and deferred tax is recognised as income or an expense and included in profit or loss for the period
except where the tax arises from a transaction which is recognised in other comprehensive income or equity, in
which case the tax is recognised in other comprehensive income or equity respectively.
Tax consolidation legislation
Papyrus Australia Ltd and its wholly-owned Australian subsidiaries have formed an income tax consolidated
group.
Each entity in the tax consolidated group accounts for their own current and deferred tax amounts. These tax
amounts are measured using the ‘stand-alone taxpayer’ approach to allocation.
Current tax liabilities (assets) and deferred tax assets arising from unused tax losses and tax credits in the
subsidiaries are immediately transferred to the parent entity.
(i)
Goods and Services Tax (GST)
Revenue, expenses and assets are recognised net of the amount of goods and services tax (GST), except where
the amount of GST incurred is not recoverable from the Australian Taxation Office (ATO).
Receivables and payable are stated inclusive of GST.
The net amount of GST recoverable from, or payable to, the ATO is included as part of receivables or payables in
the consolidated statement of financial position.
Cash flows in the consolidated statement of cash flows are included on a gross basis and the GST component of
cash flows arising from investing and financing activities which is recoverable from, or payable to, the taxation
authority is classified as operating cash flows.
Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the
taxation authority.
28
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1 Summary of Significant Accounting Policies (continued)
(j)
Plant and Equipment
Each class of plant and equipment are measured using the cost model as specified below.
Where the cost model is used, the asset is carried at its cost less any accumulated depreciation and any
impairment losses. Costs include purchase price, other directly attributable costs and the initial estimate of the
costs of dismantling and restoring the asset, where applicable.
Depreciation
The depreciable amount of all plant and equipment is depreciated on a straight‑ line and diminishing value basis
from the date that management determine that the asset is available for use.
Assets held under a finance lease and leasehold improvements are depreciated over the shorter of the term of
the lease and the assets useful life.
The estimated useful lives used for each class of depreciable asset are shown below:
Fixed asset class
Plant and Equipment
Useful life
2.5 ‑ 20 years
At the end of each annual reporting period, the depreciation method, useful life and residual value of each
asset is reviewed. Any revisions are accounted for prospectively as a change in estimate.
Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These
gains and losses are included in the statement of profit or loss and other comprehensive income.
(k)
Financial instruments
Initial recognition and measurement
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or
equity instrument of another entity.
(i) Financial assets
Initial recognition and measurement
Financial assets are classified, at initial recognition, as subsequently measured at amortised cost, fair value
through other comprehensive income (OCI), and fair value through profit or loss.
The classification of financial assets at initial recognition depends on the financial asset’s contractual cash
flow characteristics and the Group’s business model for managing them.
In order for a financial asset to be classified and measured at amortised cost or fair value through OCI, it
needs to give rise to cash flows that are ‘solely payments of principal and interest (SPPI)’ on the principal
amount outstanding. This assessment is referred to as the SPPI test and is performed at an instrument level.
The Group’s business model for managing financial assets refers to how it manages its financial assets in
order to generate cash flows. The business model determines whether cash flows will result from collecting
contractual cash flows, selling the financial assets, or both.
29
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1 Summary of Significant Accounting Policies (continued)
(k)
Financial instruments (continued)
Purchases or sales of financial assets that require delivery of assets within a time frame established by
regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the
date that the Group commits to purchase or sell the asset.
Subsequent measurement of financial assets at amortised cost
The Group measures financial assets at amortised cost if both of the following conditions are met:
• The financial asset is held within a business model with the objective to hold financial assets in order to
collect contractual cash flows; and
• The contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding
Financial assets at amortised cost are subsequently measured using the effective interest method and are
subject to impairment. Gains and losses are recognised in profit or loss when the asset is derecognised,
modified or impaired.
Derecognition
A financial asset (or, where applicable, a part of a financial asset or part of a group of similar financial assets) is
primarily derecognised (i.e., removed from the Group’s consolidated statement of financial position) when:
The rights to receive cash flows from the asset have expired; or
The Group has transferred its rights to receive cash flows from the asset or has assumed an obligation to
pay the received cash flows in full without material delay to a third party under a ‘pass-through’
arrangement; and either (a) the Group has transferred substantially all the risks and rewards of the asset, or
(b) the Group has neither transferred nor retained substantially all the risks and rewards of the asset, but
has transferred control of the asset
When the Group has transferred its rights to receive cash flows from an asset or has entered into a
pass-through arrangement, it evaluates if, and to what extent, it has retained the risks and rewards of
ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset,
nor transferred control of the asset, the Group continues to recognise the transferred asset to the extent of its
continuing involvement. In that case, the Group also recognises an associated liability. The transferred asset
and the associated liability are measured on a basis that reflects the rights and obligations that the Group has
retained.
Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the lower
of the original carrying amount of the asset and the maximum amount of consideration that the Group could be
required to repay.
Impairment of financial assets
The Group recognises an allowance for expected credit losses (ECLs) for all debt instruments not held at fair
value through profit or loss. ECLs are based on the difference between the contractual cash flows due in
accordance with the contract and all the cash flows that the Group expects to receive, discounted at an
approximation of the original effective interest rate. The expected cash flows will include cash flows from the
sale of collateral held or other credit enhancements that are integral to the contractual terms.
ECLs are recognised in two stages. For credit exposures for which there has not been a significant increase in
credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are
possible within the next 12-months (a 12-month ECL). For those credit exposures for which there has been a
significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected
over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL).
The Group considers a financial asset in default when contractual payments are 90 days past due. However, in
certain cases, the Group may also consider a financial asset to be in default when internal or external
information indicates that the Group is unlikely to receive the outstanding contractual amounts in full before
taking into account any credit enhancements held by the Group. A financial asset is written off when there is no
reasonable expectation of recovering the contractual cash flows.
30
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1
Summary of Significant Accounting Policies (continued)
(k)
Financial instruments (continued)
(ii) Financial liabilities
Financial liabilities are initially measured at fair value, and, where applicable, adjusted for transaction costs
unless the Group designated a financial liability at fair value through profit or loss. Subsequently, financial
liabilities are measured at amortised cost using the effective interest method except for derivatives and financial
liabilities designated at FVTPL, which are carried subsequently at fair value with gains or losses recognised in
profit or loss (other than derivative financial instruments that are designated and effective as hedging
instruments).
A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires.
When an existing financial liability is replaced by another from the same lender on substantially different terms,
or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the
derecognition of the original liability and the recognition of the new liability. The difference in the respective
carrying amounts is recognised in the statement of profit or loss.
(l)
Impairment of non-financial assets
At the end of each reporting period, the Group determines whether there is an evidence of an impairment
indicator for non-financial assets.
Where this indicator exists and regardless for goodwill, indefinite life intangible assets and intangible assets
not yet available for use, the recoverable amount of the assets is estimated.
Where assets do not operate independently of other assets, the recoverable amount of the relevant
cash‑ generating unit (CGU) is estimated.
The recoverable amount of an asset or CGU is the higher of the fair value less costs of disposal and the
value in use. Value in use is the present value of the future cash flows expected to be derived from an
asset or cash‑ generating unit.
Where the recoverable amount is less than the carrying amount, an impairment loss is recognised in profit
or loss.
Reversal indicators are considered in subsequent periods for all assets which have suffered an impairment
loss, except for goodwill.
(m)
Trade and other payables
Trade and other payables are carried at amortised costs and represent liabilities for goods and services
provided to the Group prior to the end of the financial year that are unpaid and arise when the Group
becomes obliged to make future payments in respect of the purchase of these goods and services.
(n)
Interest bearing loans and borrowings
All loans and borrowings are initially recognised at the fair value of the consideration received less directly
attributable transaction costs.
After initial recognition, interest‑ bearing loans and borrowings are subsequently measured at amortised
cost.
31
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
1 Summary of Significant Accounting Policies (continued)
(o)
Equity settled compensation
The Group provides benefits to employees of the Group in the form of share‑ based payments, whereby
employees receive options incentives (equity‑ settled transactions).
There is currently one plan in place to provide these benefits, the Employee Share Option Plan (ESOP)
which provides benefits to employees.
The cost of these equity‑ settled transactions with employees is measured by reference to the fair value at
the date at which they were granted. The fair value is determined using the Black‑ Scholes option pricing
model.
The cost of equity‑ settled transactions is recognised as an expense in the consolidated statement of profit
or loss and other comprehensive income, together with a corresponding increase in the share option
reserve, when the options are issued. However, where options have vesting terms attached, the cost of the
transaction is amortised over the vesting period.
Upon the exercise of options, the balance of share based payments reserve relating to those options is
transferred to issued capital.
(p) Share capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary
shares and share options which vest immediately are recognised as a deduction from equity, net of any tax
effects.
(q)
Earnings per share
The Group presents basic and diluted earnings per share information for its ordinary shares.
Basic earnings per share is calculated by dividing the profit attributable to members of the Group by the
weighted average number of ordinary shares outstanding during the year.
Diluted earnings per share adjusts the basic earnings per share to take into account the after income tax
effect of interest and other financing costs associated with dilutive potential ordinary shares and the
weighted average number of additional ordinary shares that would have been outstanding assuming the
conversion of all dilutive potential ordinary shares.
In accordance with AASB 133 ‘Earnings per Share’, as potential ordinary shares may only result in a
situation where their conversion results in an increase in loss per share or decrease in profit per share from
continuing operations, no dilutive effect has been taken into account in 2020 and 2021.
(r) Critical accounting estimates and judgments
The preparation of financial reports requires management to make judgements, estimates and assumptions
that affect the application of accounting policies and the reported amounts of assets, liabilities, income and
expenses. Actual results may differ from these estimates.
Except as described below, in preparing this report, the significant judgements made by management in
applying the Group’s accounting policies and the key sources of estimation uncertainty were the same as
those applied to the consolidated financial report for the year ended 30 June 2021.
Key estimates ‑ Impairment of assets
The Group assesses impairment at each reporting date by evaluating conditions specific to the Group that
may lead to an impairment of assets. Where an impairment trigger exists, the recoverable amount of the
32
Papyrus Australia Ltd
ABN 63 110 868 409
asset is determined.
Notes to the Financial Statements
For the Year Ended 30 June 2021
1 Summary of Significant Accounting Policies (continued)
(s)
Investment in associate and joint venture
An associate is an entity over which the Group has significant influence. Significant influence is the power to
participate in the financial and operational policy decisions of the investee, but is not control or joint control
over those policies.
A joint venture is a type of joint agreement whereby the parties that have joint control of the arrangement have
rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an
arrangement, which exists only when decisions about the relevant activities require the unanimous consent of
the parties sharing control.
The considerations made in determining significant influence or joint control are similar to those necessary to
determine control over subsidiaries. The Group’s investment in its associate and joint venture are accounted
for using the equity method.
Under the equity method, the investment in an associate or joint venture is initially recognised at cost. The
carrying amount of the investment is adjusted to recognise changes in the Group’s share of the net assets of
the associate or joint venture since the acquisition date. Goodwill relating to the associate or joint venture is
included in the carrying amount of the investment and is not tested for impairment separately.
The Statement of profit or loss reflects the Group’s share of the results of operations of the associate or joint
venture. Any change in OCI of those investees is presented as part of the Group’s OCI. In addition, when
there has been a change recognised directly in the equity of the associate or joint venture, the Group
recognises its share of any changes, when applicable, in the statement of changes in equity. Unrealised gains
or losses resulting from transactions between the Group and associate or joint venture are eliminated to the
extent of the interest in the associate or joint venture.
The aggregate of the Group’s share of the profit or loss of an associate and a joint venture is shown on the
face of the statement of profit or loss outside operating profit and represents profit or loss after tax and
non-controlling interest in the subsidiaries of the associate or joint venture.
The financial statements of the associate or joint venture are prepared for the same reporting period as the
Group. When necessary, adjustments are made to bring to account policies in line with those of the Group.
(t)
New Accounting Standards and Interpretations
New Accounting Standards issued but not yet effective and not been adopted early by the Group
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 has
reviewed and assessed that none of these new accounting standards, used but not yet effective, are expected to
have material impact on the group.
33
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
2 REVENUE AND EXPENSES
REVENUE
(a) Other income
Other income
EXPENSES
Note
Consolidated Group
30 June
2021
$
30 June
2020
(restated)
$
-
-
4,599
4,599
(b) Employee benefit expenses
Wages, salaries and other remuneration expenses
Total employee benefit expenses
18,963
18,963
1,890
1,890
(c) Other expenses
Audit and accounting fees
Legal fees
Professional services
Travel and accommodation
Governance and secretarial costs
Intellectual property expenses
Information technology
Share registry and ASX expenses
Other expenses
59,997
35,017
57,292
28,746
6,080
11,395
6,300
101,141
5,712
311,680
40,260
117,847
6,430
10,000
6,300
-
-
52,352
17,423
250,612
34
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
3
Income Tax Expense
The major components of tax expense (income) comprise:
Income tax expense
$
-
Consolidated Group
30 June
2021
30 June
2020
(restated)
$
-
A reconciliation between tax expense and the product of accounting Loss before income tax multiplied by the Group’s
applicable income tax
Loss before income tax
(90,783)
(366,915)
At the Group's income tax rate of 26% (2020: 27.5%)
Share-based payments expensed during the year
Expenditure not allowable for income tax purposes
Tax losses not recognised due to not meeting recognition criteria
(23,603)
9,583
489
13,531
-
(100,902)
-
100,902
-
The Group has tax losses arising in Australia of $12,767,269 (2020: $12,715,227).
No deferred tax asset has been recognised because it is not likely future assessable income is derived of a nature and
of an amount sufficient to enable the benefit to be realised.
4
Earnings per Share
Basic earnings per share amounts are calculated by dividing net loss for the year attributable to ordinary equity holders
of the Group by the weighted average number of ordinary shares outstanding during the year.
Diluted earnings per share amounts are calculated by dividing the net loss attributable to ordinary equity holders of the
Group by the weighted average number of ordinary shares outstanding during the year plus the weighted average
number of ordinary shares that would be issued on the conversion of all the dilutive potential ordinary shares into
ordinary shares.
In accordance with AASB 133 ‘Earnings per Share’, as potential ordinary shares may only result in a situation where
their conversion results in an increase in loss per share or decrease in profit per share from continuing operations, no
dilutive effect has been taken into account in 2021 or 2020.
The following reflects the income and share data used in the basic and diluted earnings per share computations:
(a) Reconciliation of earnings to profit or loss from continuing operations
Net loss attributable to ordinary equity holders of the parent
(90,783)
(366,915)
Consolidated Group
2020
2021
(restated)
$
$
35
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
4
Earnings per Share (continued)
(b) Weighted average number of ordinary shares outstanding during the year used in calculating basic EPS
Weighted average number of ordinary shares for basic earnings per
share
Effect of dilution
Share options
Weighted average number of ordinary shares adjusted for the effect of
dilution
2021
2020
(restated)
382,482,257
263,566,458
-
-
382,482,257
263,566,458
5 Cash and cash equivalents
Cash at bank and in hand
Note
5(a)
Consolidated Group
2021
2020
2,071,640
2,071,640
28,142
28,142
Cash at bank earns interest at floating rates based on daily bank deposit rates.
Short‑term deposits are made for varying periods of between one day and six months, depending on the immediate
cash requirements of the Group, and earn interest at the respective short-term deposit rates.
(a) Reconciliation of cash
Cash and Cash equivalents reported in the consolidated statement of cash flows are reconciled to the equivalent items
in the consolidated statement of financial position as follows:
Cash at bank and in hand
2,071,640
2,071,640
28,142
28,142
6
Trade and other receivables
CURRENT
Other receivables
GST recoverable
Consolidated Group
2020
2021
(restated)
$
$
449,273
3,361
452,634
-
33
33
Other Receivable represent receivable from Papyrus Egypt, this amount is interest free and repayable on demand.
7 Prepayments
Prepayment for the investment in equity in
Egypt Banana Fibre Company and Papyrus
Egypt
Total
Note
36
Consolidated Group
2020
2021
(restated)
$
$
9
9
260,000
260,000
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
8 Investments accounted for using the equity method
Name
Classification
Place of
Business/
Incorporation
Proportion of
Ordinary Share
Interests/
Participating
Shares
2021
2020
Measurement
Method
Carrying amount
2021
2020
Egyptian Banana
Fibre Company
Associate
Sohag, Egypt
25.46%
- Equity method
1,299,578
Papyrus Egypt
Joint Venture Sohag, Egypt
50%
- Equity method
-
-
-
Effective on 1 July 2020, Papyrus Australia Limited relinquished its entitlement to licencing fees and royalties in
Papyrus Egypt in consideration for the reacquisition of 50% equity in Papyrus Egypt from Egyptian Banana Fibre
Company. The Company also completed the transaction for the purchase of 13.11% equity in Egyptian Banana Fibre
Company for a consideration of $319,202 (EGP $3,306,055), which resulted in an indirect interest in Papyrus Egypt by
6.56%.
During the year, the Group progressively acquired in total, additional 12.35% shareholding in Egyptian Banana Fibre
Company for a consideration of $554,177. The goodwill balance relating to these transactions were included in the
carrying amount of the investment.
As a result of the above transaction, Papyrus Egypt is a joint arrangement that is structured as an incorporated entity
(company) with two principal shareholders, Papyrus Australia Limited and Egyptian Banana Fibre Company. The
primary purpose of the company is to operate the factory in Sohag, Egypt with Papyrus technology and explore Egypt
and the Middle East market. The Group's intention is to acquire further shareholding in Egyptian Banana Fibre
Company in the future to gain control over Papyrus Egypt. The Group has 50% economic interest in Papyrus Egypt and
50% of the voting rights in relation to the joint venture.
In the Group's half-year report for the period ended 31 December 2020, the Group had provisionally accounted for
acquisition of its interest in Papyrus Egypt as a business combination within the scope of AASB 3 Business
Combinations on the preliminary assessment that due to the total shareholding, direct and indirectly, of over 50%, the
Group had control of Papyrus Egypt. The Group also adopted a 'see-through' accounting approach in relation to
Egyptian Banana Fibre Company as this is purely a holding company that holds investment in Papyrus Egypt.
During the preparation of the accounts for the full year ended 30 June 2021, the Group revisited this assessment and
concluded that the Group has joint control, not control in relation to Papyrus Egypt with the other party sharing the joint
control being Egyptian Banana Fibre Company. As a result, Papyrus Egypt should have been accounted for using the
equity method in accordance with AASB 128 Investments in Associates and Joint Ventures rather than the acquisition
method under AASB 3 Business Combinations.
The impacts of this re-assessment on the half-year accounts are as follow:
37
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
8
Investments accounted for using the equity method (Continued)
The impact on the reported statement of profit or loss and other comprehensive income
Revenue from operating activities
Costs of sales
Gross profits
Other income [*]
Gain on bargain purchase of Papyrus Egypt
Depreciation expenses
Consultancy expense
Share based payment expense - director options
Finance costs
Legal fees
Other expenses [*]
Share of net profit of associate and joint venture
Profit/ (loss) before income tax benefit
Income tax expense
Profit/ (loss) for the period
Other comprehensive Income
Total comprehensive income for the period
Profit/(loss) attributable to the parent
Profit/(loss attributable to non-controlling interest
Reported 31
December
2020
$
Adjustments
Restated
Half-year
ended 31
December
2020
197,899
(73,729)
124,170
88,545
455,577
(21,508)
(186,740)
(15,000)
(287)
(25,542)
(238,680)
-
180,535
-
180,535
(4,197)
176,338
148,835
31,700
(197,899)
73,729
(124,170)
(88,545)
(455,577)
21,508
9,848
-
-
-
110,458
631,298
104,820
-
104,820
4,197
-
-
-
-
-
-
(176,892)
(15,000)
(287)
(25,542)
(128,222)
631,298
285,355
-
285,355
-
136,520
(31,700)
285,355
-
Total comprehensive income attributable to the parent
Total comprehensive income attributable to non-
controlling interest
144,638
140,717
285,355
31,700
(31,700)
-
38
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
8
Investments accounted for using the equity method (Continued)
The impact on the reported statement of financial position:
Current assets
Cash and cash equivalents
Trade and other receivables
Inventories
Prepayments
Total current assets
Non-current assets
Property, plant and equipment
Other financial assets
Investments accounted for using the equity method
Total non-current assets
Total assets
Current Liabilities
Trade and other payables
Total current liabilities
Non-Current liabilities
Total Liabilities
Net Assets
Reported 31
December
2020
$
Adjustments
Restated
Half-year
ended 31
December
2020
3,308,344
145,895
113,099
13,688
3,581,026
1,373,336
413
-
1,373,749
4,954,775
118,249
118,249
-
118,249
4,836,526
(143,632)
62,536
(113,099)
(13,688)
(207,883)
(1,373,336)
(413)
950,500
(423,249)
(631,131)
(13,809)
(13,809)
-
(13,809)
(617,322)
3,164,712
208,431
-
-
3,373,143
-
-
950,500
950,500
4,323,644
104,440
104,440
-
104,440
4,219,204
Equity
Issued capital
Reserves
Accumulated losses [*]
Total equity attributed to owners of the parent
25,190,581
926,525
(22,041,108)
4,075,998
-
4,197
139,009
143,206
25,190,581
930,722
(21,902,099)
4,219,204
Equity attributable to non-controlling interests
Total Equity
760,528
4,836,526
(760,528)
(617,322)
-
4,219,204
[*] - The adjustment impacts included the effect of prior period errors as disclosed at Note 1(b).
Furthermore, the group's share of the net fair value of the Papyrus Egypt's identifiable assets and liabilities at the date it
became a joint venture have been restated as below:
39
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
8
Investments accounted for using the equity method (Continued)
Cash and cash equivalents
Inventories
Trade receivables
Prepayments
Property, plant and equipment
Other financial assets
Trade and other payables
Net assets acquired
Group's share of net fair value
Reported 31
December
2020
$
210,855
123,128
-
14,902
1,517,199
449
(502,654)
1,363,879
774,779
Adjustments
(208,500)
(112,153)
5,133
(14,454)
319,720
(449)
289,252
278,548
154,096
Restated
Half-year
ended 31
December
2020
2,355
10,975
5,133
448
1,836,919
-
(213,402)
1,642,427
928,875
Cost of investment
319,202
-
319,202
Excess of the Group's share of the net fair value of the
association and joint venture's identifiable assets and
liabilities over the cost of investment
455,577
154,096
609,673
The above excess was included as income in the determination of the Group's share of the associate and joint venture's
profit or loss during the year when the investment was acquired.
During the year, the Group progressively acquired in total, additional 12.35% shareholding in Egyptian Banana Fibre
Company for a consideration of $554,177. The goodwill balance relating to these transactions were included in the
carrying amount of the investment.
Summarised Financial Information of Joint Venture
Set out below is the summarised financial information for Papyrus Egypt. Unless otherwise stated, the disclosed
information reflects the amounts presented in the Australian Accounting Standards financial statement of Papyrus Egypt.
The following summarised financial information, however reflects the adjustments made by the Group when applying the
equity method.
Papyrus Egypt applied to change the financial year end from 31 December to 30 June during the year, and as such has
the same financial year-end as Papyrus Australia limited as at the reporting date.
Summarised Financial Position
Cash and cash equivalents
Total current assets
Total non-current assets
Current financial liabilities (excluding trade and other
payables, and provisions)
Total current liabilities
Non-current financial liabilities (excluding trade and other
payables and provisions
Total non-current liabilities
Net assets
Group's share (%)
Direct shareholding
Indirect shareholding
Group share of joint venture's net assets
30 June 2021
$
177,564
256,984
1,663,417
558,817
558,817
-
-
1,361,584
50.00%
12.73%
854,108
40
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
8 Investments accounted for using the equity method (Continued)
Summarised financial performance
Revenue
Depreciation
Loss for the year before income tax
Income tax expense
Loss for the year
Other comprehensive income
Total comprehensive income
Group's share (%)
Direct shareholding
Indirect shareholding
Group share of joint venture's net assets
Reconciliation to Carrying Amounts
Investments during the year
Excess of the entity's shares of net fair value of investee's
identifiable assets and liabilities at transaction date
Share of the JV for the year
Closing carrying amount of investment
Group's share of joint venture's closing net assets
Goodwill included in carrying amount of investment
9 Trade and other payables
30 June 2021
$
201,341
78,561
(292,486)
-
(292,486)
-
(292,486)
50.00%
12.73%
(183,474)
873,379
609,673
(183,474)
1,299,578
854,108
445,470
CURRENT
Trade payables
Sundry payables and accrued expenses
Note
9 (a)
9 (b)
Consolidated Group
2020
2021
(restated)
$
$
3,224
118,693
15,699
107,144
121,917
122,843
(a) Trade payables
Trade payables are non-interest bearing and normally settled on 60 day terms.
Information regarding the risks associated with current payables is set out in Note 18.
(b) Sundry payables and accrued expenses
Within Sundry payables and accrued expenses, $61,700 relates to accrued interest on the loan provided by
Talisker (SA) Pty Ltd (an entity associated with the Managing Director Ramy Azer) repayable from future
revenues or proceeds from future equity raisings, subject to not materially prejudicing the ability of the
Company to repay its creditors ( Refer Note 10(a)).
41
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
10 Borrowings
CURRENT
Unsecured liabilities
Other loans
Total unsecured liabilities
(a) Unsecured loan
10(a)
-
-
46,460
46,460
Talisker (SA) Pty Ltd (“Talisker”) an entity associated with the Company’s Managing Director, Mr Ramy Azer
in 2012 entered into an agreement with the Company to provide a draw down facility of $250,000. The
unsecured loan during the year represents the draw down from the facility as at 30 June 2021: $0 (2020:
$39,462). The loan is unsecured and repayable from future revenues or proceeds from future equity
raisings, subject to not materially prejudicing the ability of the Company to repay its creditors. The is interest
bearing at the rate of interest payable by the National Australia Bank Limited on ‘Usaver savings accounts’
or, ’12 month term deposits’(whichever is greater) plus one percent (1%) and is considered payable at the
time the loan is repaid.
In addition, the Company has unsecured loans as at 30 June 2021: $0 (2020: $90) with E Byrt, $0 (2020:
$2,029) with V Rigano and with R Azer $0 (2020: $4,879).
In prior year, the Company issued 19,481,400 ordinary shares on 12 December 2019 to settle an unsecured
amount of $274,193 provided by Talisker. The fair value of the equity instrument issued was $389,629 which
resulted in a loss of $115,436 recognised in the profit or loss upon the settlement.
11 Issued capital
427,771,666 fully paid ordinary shares (2020: 299,343,999)
25,032,561 21,395,581
Total issued capital
(a) Ordinary shares
2021
Consolidated
2021
25,032,561
21,395,581
2020
(restated)
Number
2020
(restated)
$
At the beginning of the reporting period
Issued via exercise of options 20 August 2020
Issued pursuant to private placement 21
October 2020
Issued via exercise of options 17 November
2020
Issued pursuant to AGM resolution 17
November 2020
issued pursuant to private placement 4
December 2020
Issued pursuant via exercise of options
Issued pursuant to private placement
Shares issued pursuant to private placement
on 10 December 2020
At the end of the reporting period
Number
299,343,999
3,000,000
$
21,395,581
30,000
235,149,515 20,558,821
35,000
3,500,000
11,075,000
132,900
23,000,000
230,000
-
-
-
-
30,591,667
367,100
19,481,400
389,629
14,700,000
-
-
735,000
-
-
6,000,000
5,213,084
10,000,000
60,000
52,131
100,000
46,000,000
427,771,666
2,142,000
25,032,581
20,000,000
200,000
299,343,999 21,395,581
On 20 August 2020, the Company announced it had entered into agreements with new and certain existing
shareholders to raise $30,000 by way of a placement of 3,000,000 ordinary fully paid shares at a price of $0.01 per
new share, and the Company announced the placement was completed.
On 21 October 2020, the Company announced that it had entered into agreements with new and certain existing
shareholders to raise $132,900 by way of a placement of 11,075,000 ordinary fully paid shares at a price of $0.012
per new share, and the Company announced the placement was comple
42
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
11 Issued capital (continued)
On 17 November 2020, the Company announced that it had raised $230,000 by way of a conversion of 23,000,000
options to ordinary fully paid shares at a price of $0.01 per new share, and the Company announced the conversion
was completed, this includes 2,000,000 unlisted options was issued on 24 June 2019 and 21,000,000 unlisted
options issued on 17 November 2021.
On 17 November 2020, the Company announced that in accordance with the resolution adopted at the AGM held on
11 November 2020, It had raised $367,100 by way of a placement of 30,591,667 ordinary fully paid shares at a price
of $0.012 per new share, and the Company announced the placement was completed.
On 4 December 2020, the Company announced that it intended to raise $3,000,000 from sophisticated investors via
a private placement, at a share price of $0.05 cents per share. It also announced that it had received the initial
tranche of the investment which amounted to $700,000, for the issue of 14,000,000 ordinary fully paid share plus the
issue of 700,000 ordinary fully paid shares at $0.05 cents per share as commission for the initial tranche.
On 10 December 2020, the Company announced that it had received the final tranche of $2,300,000 for the issue of
46,000,000 ordinary fully paid shares at $0.05 cents per share, and the Company announced the placement was
completed. Total transaction cost of $158,000 has been debited against the associated share capital raised.
The holders of ordinary shares are entitled to participate in dividends (in the event when a dividend is declared) and
the proceeds on winding up of the Group. Via a poll at meetings of the Group, each holder of ordinary shares has
one vote per share held in person.
The Group does not have authorised capital or par value in respect of its shares.
In the event of winding up the Company, ordinary shareholders rank after all creditors and are fully entitled to any net
proceeds of liquidation.
(b) Capital Management
The Group manages its capital to ensure that entities in the Group will be able to continue as a going
concern while maximising the return to stakeholders.
The capital structure of the Group consists of cash and cash equivalents and equity attributable to equity
holders of the parent, comprising issued capital, reserves and accumulated losses.
Proceeds from share issues are used to maintain and expand the Group’s plant and equipment
requirements, research and development activities and fund operating costs.
12 Reserves
Note
12(a)
Consolidated Group
2021
$
2020
(restated)
$
915,722
36,856
952,578
915,722
-
915,722
Share Option Reserve
Balance at beginning of financial year
Share based payments
Balance at end of the year
(a) Share option reserve
This reserve is used to record the value of equity benefits provided to employees and directors as part of their
remuneration. Refer to Note 15 for further details of these plans. There was $36,856 share based options were
issued to employees or directors during the current year.
43
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
13 Reconciliation of net loss after tax to net cash flows from operations
Net loss
Non-cash flow in loss:
- Share-based payment expense
- Loss on settlement of liabilities with entities own equity
- Share of net profit of associate & joint venture
Changes in assets and liabilities
- Decrease/(Increase) in trade and other receivables
- Decrease/(Increase) in trade and other payables
- Increase/(Decrease) in other current liabilities
- Increase/(Decrease) in other non-current liabilities
Consolidated Group
2021
$
(90,783)
2020
(restated)
$
(366,915)
36,856
-
(426,199)
(3,377)
(14,878)
-
-
-
115,436
-
(1,180)
58,779
-
-
Net cash (used in)/provided by operating activities
(498,381)
(193,880)
14 Share based payments
(i) Employee Share Option Plan
The Group established the Papyrus Australia Ltd Employee Share Option Plan and a summary of the Rules of the Plan
are set out below:
•
•
•
•
•
•
All employees (full and part time) will be eligible to participate in the Plan.
Options are granted under the Plan at the discretion of the Board and if permitted by the Board, may be issued
to an employee's nominee.
If, prior to the expiry date of options, a person ceases to be an employee of the Group for any reason other than
retirement at age 60 or more (or such earlier age as the Board permits), permanent disability, redundancy or
death, the options held by that person (or that person's nominee) automatically lapse on the first to occur of a)
the expiry of the period of 30 days from the date of such occurrence, and b) the expiry date. If a person dies,
the options held by that person will be exercisable by that person's legal personal representative.
Options can’t be transferred other than to the legal personal representative of a deceased option holder.
The Company will not apply for official quotation of any options issued under the plan.
Option holders may only participate in new issues of securities by first exercising their options.
The Board may amend the Plan Rules subject to the requirements of the Listing Rules
44
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
14 Share based payments (continued)
The following table illustrates the number (No.) and weighted average exercise prices (WAEP) and movements in
share options issued during the year:
A summary of the Group options issued is as follows:
2021
Exercise
price WAEP
Start of the
year No.
Granted
during the
year
No.
Exercised during
the year
Expired during the
year
No.
No.
Balance at the
end of the year
No.
Vested and
exercisable at
the end of the
year
No.
0.01
0.05
0.015
0.20
0.40
2020
Exercise
Price
WAEP
0.01
2,000,000
-
(2,000,000)
-
-
-
-
750,000
41,666,667
(*)
250,000
250,000
-
-
-
-
2,000,000
42,916,667
(2,000,000)
-
-
-
-
-
-
-
-
750,000
750,000
41,666,667
41,666,667
250,000
250,000
-
-
42,916,667
42,416,667
Granted
during the
year
No.
Start of the
year
No.
11,213,084
11,213,084
Exercised during
the year
Expired during the
year
Balance at the
end of the year
-
-
No.
(8,713,084)
(8,713,084)
No.
(500,000)
(500,000)
No.
2,000,000
2,000,000
Vested and
exercisable at
the end of the
year
No.
2,000,000
2,000,000
(*) This is unlisted option issued for the investors as part of the November capital raising, and as such this is not share-
based payment within the scope of AASB 2.
The weighted average remaining contractual life of options outstanding at year end was 2.94 years (2020: 1.98 years).
The range of weighted average exercise prices for options outstanding at the end of the year was $0.02 (2020: $0.01)
For the options granted during the current financial year, the valuation model inputs used to determine the fair value at
the grant date, are as follows:
Grant date
Expiry date
11 November
2020
11 November
2022
2 May 2021
2 May 2021
4 May 2026
4 May 2026
Share price
at grant date
$0.057
$0.039
$0.039
Exercise price
Expected volatility
Risk-free rate
Fair value at
grant date
$0.05
$0.02
$0.04
178.3%
174.9%
168%
2.5%
2.5%
2.5%
$0.04622
$0.0355
$0.0343
15 Contingencies
In the opinion of the Directors, the Group did not have any contingencies at 30 June 2021.
In prior year, a claim had been raised against the Group. This claim has been settled during the financial year 2021.
45
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
16 Remuneration of Auditors
During the financial year the following fees paid or payable for services provided by the Group’s auditors and their network
firms:
Grant Thornton Audit Pty Ltd
Fee for the audit and review of the financial report as at 30
June 2020
Fee for the audit and review of the financial report as at 31
December 2020
BDO Audit (SA) Pty Ltd
Fee for the audit and review of the financial report as at 30
June 2021
BDO Khaled & Co (BDO network firm)
Audit of Component financials
Total remuneration of auditors
No non‑ audit services have been provided.
17 Interest in Controlled Entities and Joint Ventures
Consolidated Group
2021
$
-
2020
(restated)
$
40,260
17,300
-
32,500
12,666
62,466
40,260
Name of entity
Parent entity
Papyrus Australia Ltd (a)
Subsidiaries
Papyrus Technology Pty Ltd (b)
PPY Manufacturing Pty Ltd (b)
Australian Advanced Manufacturing Centre Pty Ltd (b)
Yellow Pallet B.V.
Joint Venture
Papyrus Egypt LLC
Associate
Egypt Banana Fibre Company
Principal place of
business / country
of incorporation
Ownership Interest
2021
%
2020
%
Australia
Australia
Australia
Australia
The Netherlands
Egypt
100
100
100
50
50
Egypt
25.46%
100
100
100
50
0
0
*The percentage of ownership interest held is equivalent to the percentage voting rights for all subsidiaries.
a. Papyrus Australia Ltd is the head entity within the tax-consolidated group.
b. These companies are members of the tax-consolidated group.
46
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
18 Financial Risk Management
Categories of financial instruments
The totals for each category of financial instruments, measured in accordance with the Accounting Standards as
detailed in the accounting policies to these financial statements, are as follows:
Financial assets
Cash and cash equivalents
Trade and Other receivables
Total financial assets
Financial Liabilities
Financial liabilities at amortised cost
Trade and other payables
Borrowings
Total financial liabilities
Credit risk
Note
5
6
9
10
Consolidated Group
2020
2021
(restated)
$
$
2,071,640
452,634
2,524,274
121,917
-
121,917
28,142
-
28,142
122,843
46,460
169,303
Credit risk refers to the risk that a counter party will default on its contractual obligations resulting in a financial loss to
the Group.
The Group has adopted a policy of only dealing with creditworthy counterparties as a means of mitigating the risk of
financial loss from activities.
The Group does not have any significant credit risk exposure to any single counterparty or any Group of counterparties
having similar characteristics. The credit risk on liquid funds is limited because the counterparties are banks with high
credit-ratings assigned by international credit-rating agencies.
The carrying amount of financial assets recorded in the financial statements, net of any allowances for losses,
represents the Group’s maximum exposure to credit risk.
Market risk
(i) Cash flow interest rate sensitivity
The Group is exposed to interest rate risk as it holds some bank deposits at floating rates.
The Group's policy is to minimise interest rate cash flow risk exposures on long-term financing. Longer-term deposits
are therefore usually at fixed rates. At the reporting date, the Group is exposed to changes in market interest rates
through its short term bank deposits, which are subject to variable interest rates.
47
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
18 Financial Risk Management (continued)
(i) Financial instrument composition and maturity analysis
The Group's exposure to interest rate risk, which is the risk that a financial instruments value will fluctuate as a result of
changes in market interest rates and the effective weighted average interest rates on classes of financial assets and
financial liabilities, is as follows:
Weighted Average
Effective Interest
Rate
Maturing within 1
year
Non-interest bearing
Total
2021
%
2020
%
2021
$
2020
$
2021
$
2020
$
2021
2020
$
$
Financial
Liabilities:
Borrowings
3.00
3.00
-
-
-
46,460
46,460
-
The Company is not materially exposed to any effects on changes in interest rates.
Liquidity risk
Liquidity risk arises from the Group’s management of working capital and the finance charges and principal repayments
on its debt instruments. It is the risk that the Group will encounter difficulty in meeting its financial obligations as they fall
due.
Ultimate responsibility for liquidity risk management rests with the Board of Directors, whom have built an appropriate
liquidity risk management framework for the management of the Group’s short, medium and long‑term funding and
liquidity management requirements. The Group manages liquidity risk by maintaining adequate reserves.
19 Related Parties
(a)
Transactions with related parties
Transactions between related parties are on normal commercial terms and conditions no more favourable than
those available to other parties unless otherwise stated.
The following transactions occurred with related parties:
Talisker (SA) Pty Ltd (“Talisker”) an entity associated with the Company’s Managing Director, Mr Ramy Azer in
2012 entered into an agreement with the Company to provide a draw down facility of $250,000. The unsecured
loan during the year represents the draw down from the facility as at 2021: $0 (2020: $39,462). The loan is
unsecured and repayable from future revenues or proceeds from future equity raisings, subject to not materially
prejudicing the ability of the Company to repay its creditors. The is interest bearing at the rate of interest payable
by the National Australia Bank Limited on ‘Usaver savings accounts’ or, ’12 month term deposits’(whichever is
greater) plus one percent (1%) and is considered payable at the time the loan is repaid.
The unsecured loan amount of $39,462 provided by Talisker was settled by the Company on 14 December
2020. As at 30 June 2021, the accrued interest of $61,700 associated with the loan historically is still
outstanding. The interest was agreed between the parties to be paid only when the group makes sufficient profit.
This interest portion was presented in the financial statement of the Group within the ‘Trade and other payables’
a current liability as disclosed at note 9(b).
In addition, the Company has unsecured loans as at 30 June 2021: $0 (2020: $90) with E Byrt, $0 (2020: $2,029)
with V Rigano and with R Azer $0 (2020: $4,879 were settled by the Company on) 14 December 20
48
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
19 Related Parties (continued)
(a)
Transactions with related parties (continued)
The Company had an unsecured loan provided by E Byrt. The loan was unsecured and was interest free and was
repaid on 14 December 2020. The balance of the loan at 30 June 2021 is $0 (2020: $90).
The Company had an unsecured loan provided by V Rigano. The loan was unsecured and was interest free and
was repaid on 14 December 2020. The balance of the loan at 30 June 2021 is $0 (2020: $2,029).
The Company had an unsecured loan provided by R Azer. The loan was unsecured and was interest free and was
repaid on 14 December 2020. The balance of the loan at 30 June 2021 is $0 (2001: $4,879).
(b)
Interests of Key Management Personnel (KMP)
Any person(s) having authority and responsibility for planning, directing and controlling the activities of the entity,
directly or indirectly, including any director (whether executive or otherwise) of that entity are considered key
management personnel.
For details of Key Management Personnel’s interests in shares and options of the Company, refer to Key
Management Personnel disclosures in the Remuneration Report contained in the Directors' Report.
20 Key Management Personnel Disclosures
Key Management Personnel
The following individuals are classified as key management personnel in accordance with AASB 124 'Related Party
Disclosures'.
Mr Edward Byrt ‑Chairman
Mr Ramy Azer ‑Managing Director
Mr David Attrias - Non-Executive Director
Mr Vincent Peter Rigano ‑Non-Executive Director and Company Secretary
Mr Peter Rostig – Manager Engineering & Business Development
49
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
20 Key Management Personnel Disclosures (continued)
Totals of remuneration paid
Key management personnel remuneration included within employee expenses for the year is shown below:
Short‑ term employee benefits
Post-employment benefits
Share based payments
Total remuneration paid to key management personnel
2021
$
163,151
1,645
36,856
201,652
2020
$
-
-
-
-
The audited remuneration report contained in the Directors' Report contains details of the remuneration paid or payable
to each member of the Group's key management personnel for the year ended 30 June 2021.
Other key management personnel transactions
For details of other transactions with key management personnel, refer to Note 19: Related Parties.
21 Parent entity
The following information has been extracted from the books and records of the parent, Papyrus Australia Ltd and has been
prepared in accordance with Accounting Standards.
The financial information for the parent entity, Papyrus Australia Ltd has been prepared on the same basis as the
consolidated financial statements except as disclosed below.
Investments in subsidiaries, associates and joint ventures
Investments in subsidiaries, associates and joint venture entities are accounted for at cost in the financial statements of the
parent entity. Dividends received from associates are recognized in the parent entity profit or loss, rather than being
deducted from the carrying amount of these investments,
Statement of Financial position
Assets
Current assets
Non-current assets
Total Assets
Liabilities
Current Liabilities
Non-current liabilities
Total liabilities
Equity
Issued capital
Accumulated losses
Reserves
Total equity (deficit)
Statement of Profit or Loss and
other Comprehensive Income
Total loss for the year
Other comprehensive loss
Total comprehensive loss
50
2021
$
2020
(restated)
$
2,524,283
1,299,578
3,823,861
121,917
-
121,917
288,175
-
288,175
169.303
-
169,303
25,032,581
(22,192,431)
952,578
3,792,727
21,395,581
(22,192,431)
915,722
118,872
(90,783)
-
(90,783)
(366,915)
-
(366.915)
Papyrus Australia Ltd
ABN 63 110 868 409
Notes to the Financial Statements
For the Year Ended 30 June 2021
21 Parent entity (continued)
Contingent liabilities
Contingent liabilities of the parent entity have been incorporated into the Group information in Note 15. The contingent
liabilities of the parent are consistent with that of the Group.
Contractual commitments
There are no contractual commitments of the parent entity at 30 June 2021 (30 June 2020: nil).
22 Matters subsequent to the end of the Financial year
On 30 August 2021 the Company entered into a deed with Sydney based BPE Investments Pty Ltd and Union Pacific
Investments Pty Ltd to promote the Company to potential users of its environmentally friendly technology, improve the
Company’s opportunities and profile in Australia and internationally and increase value to shareholders. As a result of
the deed execution, the Company issued 20,000,000 unlisted options at a purchase price of $0.0005, exercisable at
$0.06 per option, and expiring in 12 months from the date of issue.
The Company lodged an Australian patent application for its innovative banana fibre production process which
produces a cost-efficient environmentally friendly fibre ideal for use in moulded food packaging products (ASX
announcement 22 September 2021). This Australian patent application is an important first step in the Company
acquiring broad-ranging international patent protection for this state-of-the-art zero waste process. The significant
commercial value of this process was recently proven in a series of trials in which the Company successfully produced
commercial quantities of high-quality biodegradable moulded food packaging using off-the-shelf moulding machines.’
There have been no other significant matters subsequent to the end of the financial year.
51
Papyrus Australia Ltd
ABN 63 110 868 409
Directors’ Declaration
The directors of the Group declare that:
1.
the financial statements and notes for the year ended 30 June 2021 are in accordance with the Corporations Act 2001
and:
a.
comply with Australian Accounting Standards, which, as stated in accounting policy Note 1 to the financial
statements, constitutes explicit and unreserved compliance with International Financial Reporting Standards
(IFRS); and
b.
give a true and fair view of the financial position and performance of the consolidated group;
2.
the Managing Director and Company Secretary have given the declarations required by Section 295A that:
a.
the financial records of the Group for the financial year have been properly maintained in accordance with section
286 of the Corporations Act 2001;
b.
the financial statements and notes for the financial year comply with the Accounting Standards; and
c.
the financial statements and notes for the financial year give a true and fair view.
3.
In the directors opinion, there are reasonable grounds to believe that the Group will be able to pay its debts as and when
they become due and payable with the continuing support of creditors.
This declaration is made in accordance with a resolution of the Board of Directors.
Mr Ramy Azer Managing Director
Dated this 29
th day of October 2021
52
Tel: +61 8 7324 6000
Fax: +61 8 7324 6111
www.bdo.com.au
BDO Centre
Level 7, 420 King William Street
Adelaide SA 5000
GPO Box 2018 Adelaide SA 5001
Australia
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF PAPYRUS AUSTRALIA LTD
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Papyrus Australia Ltd (the Company) and its subsidiaries (the
Group), which comprises the consolidated statement of financial position as at 30 June 2021, the
consolidated statement of profit or loss and other comprehensive income, the consolidated statement
of changes in equity and the consolidated statement of cash flows for the year then ended, and notes
to the financial report, including a summary of significant accounting policies and the directors’
declaration.
In our opinion the accompanying financial report of the Group, is in accordance with the Corporations
Act 2001, including:
(i)
Giving a true and fair view of the Group’s financial position as at 30 June 2021 and of its
financial performance for the year ended on that date; and
(ii)
Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under
those standards are further described in the Auditor’s responsibilities for the audit of the Financial
Report section of our report. We are independent of the Group in accordance with the Corporations
Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s
APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code)
that are relevant to our audit of the financial report in Australia. We have also fulfilled our other
ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been
given to the directors of the Company, would be in the same terms if given to the directors as at the
time of this auditor’s report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in
our audit of the financial report of the current period. These matters were addressed in the context of
our audit of the financial report as a whole, and in forming our opinion thereon, and we do not provide
a separate opinion on these matters.
BDO Audit (SA) Pty Ltd ABN 33 161 379 086 is a member of a national association of independent entities which are all members of BDO
Australia Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit (SA) Pty Ltd and BDO Australia Ltd are
members of BDO International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent
member firms. Liability limited by a scheme approved under Professional Standards Legislation.
Prior period errors
Key audit matter
How the matter was addressed in our audit
The financial report of the Group for the year ended 30
Our audit procedures to address the matter
June 2020 included a balance of $91,034 property, plant
and equipment (2019: $200,948) and a balance of $88,456
other liabilities (2019: $198,460) being government grants
received in advance.
included, amongst others:
• Evaluating management’s assessment of
accounting treatments in prior years and the
correction of the errors in this period;
During the financial year ended 30 June 2021, the
directors formed the view that the aforementioned
• Obtaining and reviewing relevant contracts and
agreements associated with these balances to
balances had not been accounted for appropriately in the
determine the appropriate accounting
prior years. As such, the errors have been corrected by
treatment; and
restating each of the affected financial statement lines
for prior periods as disclosed in Note 1(a) to the accounts.
We considered this to be a key audit matter as the
• Assessing the appropriateness and accuracy of
the disclosures to the financial statements in
accordance with the applicable Accounting
amount of errors were material and involved a degree of
Standards.
complexity and management judgments.
Acquisition of investments in Papyrus Egypt (‘PPYEg’) and Egyptian Banana Fibre Company (‘EBFC’)
Key audit matter
How the matter was addressed in our audit
On 1 July 2020, the Group relinquished its entitlement
Our audit procedures to address the matter included,
to licencing fees and royalties in PPYEg in consideration
for the reacquisition of 50% equity in PPYEg from EBFC.
As part of this negotiation, the Group also acquired
amongst others:
• Reviewing investment and shareholder documents;
• Confirming the Group’s interest in each investee
13.1% shareholding in EBFC for $319,202.
During the year the Group progressively acquired an
additional 12.35% shareholding in EBFC for a
consideration of $554,177.
In the half year report for the period ended 31
December 2020, the Group had provisionally accounted
for acquisition of its interest in PPYEg as a business
combination within the scope of AASB 3 Business
Combinations.
entity;
• Evaluating the Group’s accounting for the its
investments for consistency with Australian
Accounting Standards, including the
appropriateness of the equity accounting method
and the determination of the Group’s shares of
the net fair value of the investee’s identifiable
assets and liabilities at initial and subsequent
investment dates ;
During the preparation of the accounts for the full year
• Undertaking audit work on the results and
ended 30 June 2021, the Group revisited this assessment
positions of the investees for the purpose of the
and have concluded that the Group and EBFC have joint
audit of the Group, assessing the accounting
control of PPYEg. As a result, the Group accounted for
policies of investees’ for consistency with group’s
its investments in PPYEg and EBFC using the equity
accounting policies;
method in accordance with AASB 128 Investments in
Associates and Joint Ventures accordingly.
This is a key audit matter as the transactions and its
• Evaluating whether there exists any objective
evidence of impairment as a result of one or more
events that occurred after the initial recognition
consequential accounting are non-routine, complex and
of the net investment; and
involved significant management judgment.
• Assessing the appropriateness and accuracy of the
disclosures to the financial statements in
accordance with the applicable Accounting
Standards.
Other matter
The financial report of Papyrus Australia Ltd, for the year ended 30 June 2020 was audited by another
auditor who expressed an unmodified opinion on that report on 30 September 2020.
Other information
The directors are responsible for the other information. The other information comprises the
information in the Group’s annual report for the year ended 30 June 2021, but does not include the
financial report and the auditor’s report thereon.
Our opinion on the financial report does not cover the other information and we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information
and, in doing so, consider whether the other information is materially inconsistent with the financial
report or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a
true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001
and for such internal control as the directors determine is necessary to enable the preparation of the
financial report that gives a true and fair view and is free from material misstatement, whether due to
fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the group to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to liquidate the Group or to cease
operations, or has no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free
from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with the Australian Auditing Standards will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of this financial report.
A further description of our responsibilities for the audit of the financial report is located at the
Auditing and Assurance Standards Board website (http://www.auasb.gov.au/Home.aspx) at:
https://www.auasb.gov.au/admin/file/content102/c3/ar1_2020.pdf
This description forms part of our auditor’s report.
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in pages 13 to 16 of the directors’ report for the
year ended 30 June 2021.
In our opinion, the Remuneration Report of Papyrus Australia Ltd, for the year ended 30 June 2021,
complies with section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the
Remuneration Report in accordance with section 300A of the Corporations Act 2001. Our responsibility
is to express an opinion on the Remuneration Report, based on our audit conducted in accordance with
Australian Auditing Standards.
BDO Audit (SA) Pty Ltd
Andrew Tickle
Director
Adelaide, 29 October 2021
ASX Additional Information
Additional information required by the Australian Stock Exchange Limited and not shown
elsewhere in the report follows. The information is current as at 14 October 2021.
Distribution of equity securities
Ordinary share capital
•
427,710,666 Fully paid ordinary shares are held by 2,027 individual shareholders.
All issued ordinary shares carry one vote per shares.
Options
• 42,916,667 Options are held by 3 individual option holders.
The number of shareholders, by size of holding, in each class are:
1-1,000
1,001 - 5000
5,000 – 10,000
10,001 – 100,000
100,001 and over
Holding less than a marketable parcel
Substantial shareholders
Fully Paid Unquoted Options
104
262
294
1,048
319
2,027
663
0
0
0
0
2
2
1
Ordinary shareholders
CERTANE CT PTY LTD
BIJO (SA) PTY LTD
RONDELLE PTY LTD
UNION PACIFIC EQUITIES PTY LTD
Fully paid
Number
44,066,667
30,756,400
25,562,497
24,700,000
125,085,564
Percentage
10.30
7.19
5.98
5.77
29.24%
58
ASX Additional Information
Twenty largest holders of quoted equity securities
CERTANE CT PTY LTD
BIJO (SA) PTY LTD
RONDELLE PTY LTD
UNION PACIFIC EQUITIES PTY LTD
MR RAMY AZER
STROUD NOMINEES PTY LTD
MRS MARGARET FAY FULLER
V P RIGANO & CO PTY LTD
MR KARIM MOHAMED HAMDOUH ABBAS
BPE INVESTMENTS PTY LTD
MR STEVO HINIC
STROUD NOMINEES PTY LTD
MR PAUL LAPERE
MR DAVID ROBERT WOODWARD
MR CON TSAKALIS
MR EHAB AMIR NAKHLA HENNES
IRWIN BIOTECH NOMINEES PTY LTD
MR MARIO ALDO ZANDEL + MISS DEIRDRIE ANNE BLOOMFIELD
MRS MARGARET THORPE WOODWARD
HAHA INVESTMENTS (SA) PTY LTD
59
Fully Paid Ordinary
Shares
Number
44,066,667
30,756,400
25,562,497
24,700,000
17,637,489
16,456,061
12,000,000
11,625,445
11,125,000
10,000,000
9,001,000
8,785,768
5,609,751
5,248,000
4,800,000
4,614,973
4,000,000
3,111,827
3,100,000
3,041,364
Percentag
e
10.30
7.19
5.98
5.77
4.12
3.85
2.81
2.72
2.60
2.34
2.10
2.05
1.31
1.23
1.12
1.08
0.94
0.73
0.72
0.71
255,242,242
59.68