Fishtek Marine
Fishtek Marine has successfully developed a range
of proprietary products for the global commercial fishing industry designed to
be used alongside existing fishing gear. The products are designed
to protect marine species from unintentional capture and injury (known as
bycatch) and also increase catch rates for fishers. Fishing nets and lines are
responsible for the unintentional deaths of over 300,000 dolphins, porpoises
and whales, a further 300,000 seabirds and a minimum of 250,000 turtles every year.
Four of Fishtek’s products are already sold to fishing companies and
distributors in 35 countries worldwide. Fishtek Marine has a further four
products currently in the development phase which will be introduced to the
market in the next three years.
Fishtek Marine is owned
and managed by a team with a successful track record in running engineering,
renewable energy and marine consultancy businesses.
The share offer
To date, Fishtek Marine
has been funded by three director shareholders. The business is now
seeking £900,000 to be used to invest in the sales and marketing of
existing products and in the further development, testing and commercialisation
of the four products currently in the design phase in order to bring them to
market.
This is an investment in
shares in an early stage company. The company has no plans to pay dividends (or
returns) in the short term and there is no agreed timeframe for the shares to
be bought back. Investing in the shares of an unlisted company involves risks,
including potential for loss of capital and future dilution, lack of dividends and lack of
liquidity, and should only be considered as part of a diversified investment portfolio.
SEIS and EIS
In June
2018 HMRC provided advance assurance that this share offer should meet the
qualifying conditions of the seed enterprise investment scheme (SEIS) and the enterprise
investment scheme (EIS).
SEIS and EIS are tax reliefs available to individual UK taxpayers who
invest in qualifying early stage and growth companies established in the UK.
The main benefits of SEIS and EIS for investors are the ability to offset 50%
and 30% respectively of the investment amount against income tax liability for
the current year and an exemption from capital gains tax on the disposal of shares
after the three year qualifying period.
The first £150,000 of
investment will be earmarked for SEIS relief, the remaining shares will be
earmarked for EIS relief (both subject to final approval from HMRC). Shares
will be allocated to SEIS on a strictly first come, first served basis.
The tax treatment
of EIS and SEIS schemes depends on your individual circumstances and may be
subject to change in future.
Key terms
Issuer
Fishtek Marine Limited
Environmental impact
Reducing the number of unintended deaths and injuries to marine species, in particular cetaceans, sharks, turtles and seabirds caused by commercial fishing methods. Reduction in plastic consumables waste in oceans.
Term
This is an investment in the shares of an unlisted company and there is no guarantee over the timing of an exit. Investors should therefore be prepared to hold the shares for the long term.
Repayment
There is no set repayment date. The directors of Fishtek Marine intend to procure an exit opportunity for investors after the three-year SEIS/EIS qualifying period but there is no certainty that they will be successful.
Minimum investment
£1,000 (20 shares)
Return
A return on investment is not guaranteed and is dependent on a successful sale of Fishtek Marine's shares in the future. The company is not planning to pay dividends for at least three years and any dividends payable after this are dependent on Fishtek Marine's financial performance.
Offer price per share
£50
Percentage of issued shared capital represented by the share offer assuming full subscription
15%
Seis/eis
The first £150,000 of investment will be earmarked for SEIS and the remaining shares for EIS (both subject to final formal approval from HMRC). Shares will be allocated to SEIS on a strictly first come, first served basis.
Transferability
The shares are transferable but they are not listed on any recognised investment exchange, which means that investors will be largely reliant on the directors of the company for procuring an exit. An investor who wishes to sell their shares in the meantime will have to find a willing buyer and agree a price with them, which in practice could be difficult.
Minimum raise
The minium raise of £400,000 has been reached. Shares are being issued at regular intervals.
Timetable
The offer is scheduled to close at noon on 31 May 2019, unless the £900,000 target has been reached earlier or the offer is extended by the directors at their sole discretion.
Capital at risk warning
Investing in the shares of an unlisted company involves a high degree of risk, including potential for loss of capital and future dilution, lack of dividends and lack of liquidity, and should only be considered as part of a diversified investment portfolio.
