Company: BDRX
Filing Date: 2025-01-17
Form Type: F-1
Source: 0001214659-25-000922
Chunk: 344

Company: Biodexa Pharmaceuticals Plc
Filing Date: 2025-01-17
Form: F-1
Chunk 344
---
 the future that there are no realistic financing options available to the Group which
are actionable before its cash resources run out then the Group will no longer be a going concern. In such circumstances, we would no
longer be able to prepare financial statements under paragraph 25 of IAS 1. Instead, the financial statements would be prepared on a liquidation
basis and assets would be stated at net realizable value and all liabilities would be accelerated to current liabilities.

The Directors believe
there are adequate options and time available to secure additional financing for the Group and after considering the uncertainties, the
Directors consider it is appropriate to continue to adopt the going concern basis in preparing these financial statements.

Our forecast of
the period of time through which our financial resources will be adequate to support our operations is a forward-looking statement and
involves risks and uncertainties, and actual results could vary as a result of a number of factors, including the timing of clinical trials.
We have based this estimate on assumptions that may prove to be wrong, and we could utilize our available capital resources sooner than
we currently expect. If we lack sufficient capital to expand our operations or otherwise capitalize on our business opportunities, our
business, financial condition and results of operations could be materially adversely affected.

| 2. | Accounting for eRapa and CPRIT grant |

The LCA entered
into with Emtora meets the definition of a Joint Arrangement under IFRS 11, specifically related to the FAP program.

A jointly controlled escrow account was established
on completion of the LCA. All FAP program transactions are processed through the escrow account, including the Company’s deposits
of matching funds, as set out in the agreement, the receipt of grant funding from CPRIT and the payment of eligible R&D expenses.
Although the CPRIT grant and R&D supplier contracts are with Emtora, the joint arrangement nature of the LCA results in Emtora being
deemed to be acting as the Company’s agent. Accordingly, the Company recognises 100% of the grant and 100% of the R&D expenditure.
The CPRIT grant recognized is on a 1 for 2 match. In accordance with the Company’s accounting policy, the grant, as it is the re-imbursement
of directly related costs, is credited to R&D costs in the same period in The Statements of Comprehensive Income. The escrow account
is recognised within prepayments, CPRIT grant received in advance is recognised within deferred revenue and