Company: BDRX
Filing Date: 2025-04-11
Form Type: 20-F
Source: 0001214659-25-005742
Chunk: 10

Company: Biodexa Pharmaceuticals Plc
Filing Date: 2025-04-11
Form: 20-F
Item: Item 11
Chunk 10
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 banks and seek to mitigate this risk by holding deposits with banks with high
credit status.

Foreign Exchange Risk

Foreign exchange risk also
arises when our individual entities enter into transactions denominated in a currency other than our functional currency. Our transactions
outside the United Kingdom to Europe and the United States of America drive foreign exchange movements where suppliers invoice in currency
other than British pounds sterling. We do retain some cash balances in US Dollars from our US Dollar denominated equity raises to reduce
the foreign exchange exposure on US$ denominated suppliers related to our NASDAQ listing and US based clinical studies. To the extent
other assets and/or consumables are purchased in foreign currencies, the requisite currency is purchased immediately upon invoice.

Interest Rate Risk

We do not hold any derivative
instruments, or other financial instruments, that expose us to material interest rate risk.

Liquidity Risk

Liquidity risk arises from
our management of working capital. It is the risk that we will encounter difficulty in meeting our financial obligations as they fall
due.

It
is our aim to settle balances as they become due.

Our
future viability is dependent on its ability to raise cash from financing activities to finance its development plans until milestones
and/or royalties can be secured from partnering our assets. Our failure to raise capital as and when needed could have a negative impact
on its financial condition and ability to pursue its business strategies.

As
noted herein, we believe there are adequate options and time available to secure additional financing for the Company and after considering
the uncertainties, we consider it is appropriate to continue to adopt the going concern basis in preparing the financial information.
Our consolidated financial information have therefore been presented on a going concern basis, which contemplates the realization of assets
and the satisfaction of liabilities in the normal course of business.

We have prepared cash flow
forecasts and considered the cash flow requirement for the next three years, including the period 12 months from the date of approval
of the financial statements included in this this annual report. Our forecasts show that further financing will be required before the
fourth quarter 2025 assuming, inter alia, that certain development programs and other operating activities continue as currently planned.
In January 2025, we entered into a $35.0 million ELOC with the Investor, whereby we may direct such investor from time to time to purchase
Depositary Shares (subject to certain limitations) and receive proceeds from the sale thereof for a period of up to 36 months from the
commencement