BATTLESTAR LIMITED

Executive Summary

Battlestar Limited is a holding company with improving net assets but notable liquidity and debt obligations that warrant cautious monitoring. The absence of revenue disclosures and reliance on financial assets necessitates further investigation into underlying investments and operational subsidiaries. Compliance and governance records are satisfactory, mitigating regulatory concerns at this stage.

BATTLESTAR LIMITED - Analysis Report

Company Number: 13887802

Analysis Date: 2025-07-19 11:53 UTC

1. Risk Rating: MEDIUM
   The company exhibits moderate solvency and liquidity risks. While net assets and shareholders’ funds have improved substantially year-on-year, current liabilities remain significant relative to cash on hand. The presence of secured long-term debt also introduces financial obligations that require monitoring. No overdue filings or governance issues are apparent.

2. Key Concerns:

• Liquidity pressure: Cash reserves (£79.9k) are materially lower than current liabilities (£178.7k), indicating potential cash flow constraints in meeting short-term obligations.
• Debt levels: The company carries significant secured bank loans (£187.2k total, combining current and long-term), which may pressure future cash flows and reduce financial flexibility.
• Limited operational data: The company is a holding company with minimal staff (2 employees) and no revenue or turnover data disclosed, raising questions about the sustainability and nature of its underlying business activities.

3. Positive Indicators:

• Improved net asset position: Net assets nearly doubled from £68.3k to £131.2k in one year, indicating growth in equity and financial resilience.
• No overdue statutory filings: The company is current with both accounts and confirmation statements, suggesting good compliance and governance discipline.
• Stable management control: Directors and persons with significant control have clear, stable ownership and governance roles without adverse records.

4. Due Diligence Notes:

• Verify the nature and valuation basis of “Other financial assets” (£261.3k), as these represent the bulk of company assets and likely relate to investments held by the holding company. Their liquidity and impairment risk should be assessed.
• Review detailed debt terms, repayment schedules, and covenants associated with secured loans to evaluate refinancing risk and potential impact on solvency.
• Investigate underlying operating entities or subsidiaries that the holding company controls, including their financial performance and operational viability.
• Confirm absence of contingent liabilities or off-balance-sheet exposures that could affect financial stability.
• Assess business model and revenue generation methods given the absence of turnover and minimal staff, to understand operational sustainability.