proventec plc
annual report and accounts 2008
08
proventec plc
49 rodney street
liverpool
l1 9ew
t 44 0151 706 0626
f 44 0151 706 0627
e infoproventecplccom
wwwproventecplccom
proventec plc annual report and accounts 2008 overview
governance
financial statements
proventec plc annual report and accounts 2008
proventec’s strategy is to be the leading 
provider of cutting edge hygiene solutions
based on steam technologies and preventative 
coatings which are both environmentally friendly 
and cost effective the market sectors requiring the 
highest hygiene and safety standards will be targeted 
the company will pursue this strategy by organic 
growth the development of new and compatible 
technologies and by strategic commercial acquisitions
contents
01  highlights
02   chairman’s statement
03  business overview
08   chief executive’s report
10 board of directors
01
11  director’s report
14   statement of directors’ responsibilities
15   independent auditors’ report to the members of proventec plc
11
16  consolidated balance sheet
17  consolidated income statement
18   consolidated statement of recognised income and expense
19  consolidated cash flow statement
20  accounting policies
25  notes to the consolidated financial statements
37   company balance sheet
38   notes to the financial statements
41  directors and advisers
42  french translation of chairman’s statement
43  french translation of chief executive’s report
45  french translation of directors’ report
47 french translation of consolidated balance sheet
48 french translation of consolidated income statement
49 french translation of consolidated statement of recognised income and expense
50 french translation of consolidated cash flow statement
51 notice of annual general meeting
16
overview
governance
financial statements 01
proventec plc annual report and accounts 2008
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group turnover
£million
ebitda
£million
profit after tax
£million
turnover up to £143 million 2007 £496 million
ebitda up to £251 million 2007 £226 million 
 profit after tax increased to £132 million  
2007 £107 million
acquisition of contico manufacturing limited
expansion of osprey network
 first aim group to dual list on nyse  
euronext’s alternext






highlights
£1432m
2008
£251m
2008
£132m
2008
percentage increase 20072008 188
percentage increase 20072008 11
percentage increase 20072008 23
2008
143
2007
49
2006
34
2008
251
2007
226
2006
112
2008
132
2007
107
2006
047 overview
governance
financial statements
02
proventec plc annual report and accounts 2008
overview
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financial statements
the roll out of our osprey 
operations in other 
countries is a major part 
of our strategic plan for 
growth and continues 
apace with new routes  
to market
chairman’s statement
peter teerlink
this has been a significant year for proventec and i 
am pleased to report the continued expansion of the 
group particularly following the acquisition of an 
80 stake in contico manufacturing limited 
“contico” in june 2007 
operations
the demand for the technology developed by 
ospreydeepclean limited “osprey” continues to 
grow around the world the company has designed  
a range of proprietary dry steam cleaning equipment 
and tooling specifically for the healthcare sector 
which has positioned osprey as a recognised leader 
in this field and brought significant expansion 
opportunities to the group osprey’s unique 
equipment is the only validated technology that has 
the full data to substantiate that we can achieve a 
viable method of surface disinfection to support 
proactive infection prevention and control yet which 
allows patients to remain on the wards the roll out 
of our osprey operations in other countries is a major 
part of our strategic plan for growth and continues 
apace with new routes to market 
in our coatings division the magma flame 
retardant business is continuing its work with  
other manufacturers to develop new products 
in particular discussions are under way for a 
commercial collaboration with a european  
timber treatment company a division of a major 
european conglomerate which will distribute 
magma’s products
alternext
in december last year after conversations with some 
of our major mainland european investors we took 
the decision to dual list the group on alternext a 
market operated by nyse euronext in paris with our 
shareholders’ support the listing was completed and 
proventec was admitted to trading on 22 may 2008 
proventec was the first aim company to dual list  
on alternext and the group has already witnessed 
increased investor interest from outside the uk we 
believe this listing will continue to give proventec 
access to mainland european capital markets which 
in turn gives the group greater flexibility
as part of this exercise proventec raised £406 million  
in january by an issue of 85 convertibleredeemable 
loan notes these funds will be used to further expand 
the group’s trading activities during 2008 we are 
seeking to acquire the controlling interest in a 
complementary small equipment manufacturing 
company in germany we are also looking at other 
specialist cleaning technologies in the benelux countries 
as part of our dual listing it is our intention to list the 
loan notes on the alternext market
the group’s share price is now quoted both in 
pounds sterling on aim and euros on alternext  
our website wwwproventecplccom carries direct 
stock market feeds from both markets
appointment
in september last year nick whiteley an experienced 
commercial lawyer joined proventec as company 
secretary nick is an important addition to our 
management team and his experience in european 
business legislation has already proved invaluable to 
the group 
finally i would like to thank the group’s employees 
for their hard work in driving the group forward 
during the last year the board is pleased with the 
group’s development and i look forward to reporting 
further growth in 2008 and 2009 
peter teerlink
chairman overview
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overview
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financial statements
03
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proventec by division
hygiene solutions 34
coating 4
contico 45
business overview
from our offices in the uk  
and holland we are supplying  
products across the globe to  
europe north america australia  
and the middle east
83
employees
our geographic presence
cleaning supplies
ownership
8 0
from mopping systems to dust control 
trigger sprayers to pump dispensers 
washroom to window cleaning contico 
supply high quality products utilising 
the very latest designs innovations and 
technology to ensure that when you order 
from contico you will receive the very best 
products that money can buy
turnover
£05m
ownership
100
the range of magma coatings for timber 
thatch and related products has passed  
the appropriate european classification  
for flame retardancy and innoshield has 
been successfully trialed as a speciality 
marine coating
percentage of group turnover 3
fire retardants
turnover
£138m
ownership
100
the effective use of steam cleaning 
equipment and specialist accessories result 
in the highest standard of hygienic cleaning 
combating the spread of bacteria and hai 
healthcare acquired infections
percentage of group turnover 97
hygiene solutions overview
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04
proventec plc annual report and accounts 2008
overview
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business overview continued
nhs
“ the conclusion is that the ospreydeepclean 
healthcarecleaning system provides a consistent 
evidence based tool that can be successfully 
integrated into the cleaning and infection control 
practices recommended for the healthcare 
environment” 
university college london hospitals uclh
“ steam cleaning in combination with vacuum 
extraction andor microfibre absorption using the 
correct cleaning technique demonstrated successful 
removal and reduction of spores from the challenge 
surfaces to a standard equal to or better than 
current manual cleaning methods with detergent 
chlorine agents and disposable janitorial  
type clothes”  
nhs cleaning standards 2006 
‡ in 2005 there were 
 –  3807 deaths caused 
by cdifficile
 – 2083 deaths caused by mrsa 
‡  from october 2005 to september 
2006 there were
 –  53925 cases of cdifficile 
reported
✝
 –  6916 cases of mrsa reported
✝
   national statistics report february 2007
✝
    health protection agency report 2006 overview
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overview
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“ weston area health nhs trust commenced a 60
day trial of steam cleaning on the wards of weston 
general hospital using steam  vac pro machines 
from ospreydeepclean the result has seen a 
dramatic reduction in instances of both mrsa and 
c diff taken with other measures the rate of c diff 
has dropped by 25 so far while incidences of 
mrsa have fallen by 34 since 20034 when 
improved hygiene measures were put into place 
this makes weston general one of the best 
performing hospitals so much so that a recent 
inspection accredited the hospital as a “site of 
excellence” 
“ we started this trial for eight weeks and have now 
decided to extend it feedback from patients says 
that it gives them greater confidence to see that 
they are getting into a cleaned bed and they like to 
see our housekeeping staff undertaking such 
thorough cleaning on the wards every patient that 
becomes infected as a result of their hospital stay 
or as a result of their treatment is one too many 
but in this hospital we have seen a reduction in the 
number of patients becoming infected with c diff 
so far this year which is encouraging this success 
has been achieved through constant vigilance and 
high standards of hygiene and cleanliness” 
carolyn moore nursing director overview
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06
proventec plc annual report and accounts 2008
overview
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business overview continued
contico
contico report sales of microfibre cleaning 
equipment have doubled year on year as customers 
come to understand the benefits and values of 
moving away from traditional cleaning methods to 
the innovative microfibre product
 microfibre products significantly reduce the cleaning 
time and energy spent on hard floors and surfaces 
whilst at the same time bring higher levels of 
hygiene sounds too good to be true but 
independent tests have proven microfibre products 
are able to hold up to eight times their weight in  
dirt dust and moisture the use of chemicals in 
cleaning operations can be dramatically reduced  
or eradicated completely in some areas helping  
to protect our environment
‡  tests have proven microfibre can 
remove 99 of bacteria from a 
surface compared to 30 using 
conventional methods
‡  reduced fatigue and labour costs 
from more effective and increased 
productivity
‡  reduction in cleaning chemicals 
usage easily achieved by up to 
50 per day
‡  reduction in water usage by 90 
‡  cost effective and energy saving 
microfibre is longer lasting than 
traditional mops and cloths 
and can be laundered easily overview
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overview
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 “ in an industry not readily recognised for  
innovation microfibre cleaning technology  
is one remarkable exception 
 with powerful cleaning action lightweight 
ergonomic tool design microfibre delivers  
improved results in less time without the use 
of environmentally damaging chemicals 
 
in commercially competitive times compounded by 
challenges of environmental sensitivity microfibre is a 
winwin greenclean performance solution”
presentation to cleaning industry research institute 
ciri symposium maryland university washington 
dc june 2008 overview
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08
proventec plc annual report and accounts 2008
overview
governance
financial statements
the last year has seen 
considerable consolidation 
within the group and the 
laying of solid foundations 
for our development and 
future growth 
i am pleased to report the results for the year ended 
31 march 2008 in what has been an extremely busy 
12 month period
financial highlights
group turnover up 188 to £143 million 2007 
£496 million following acquisition of contico 
osprey group turnover has increased by over 35
ebitda increased to £251 million  
2007 £226 million
raised £406 million by an issue of 85 convertible 
redeemable loan notes in january 2008
the group’s cash balances at 31 march 2008 
stood at £404 million 
ospreydeepclean
ospreydeepclean limited “osprey” specialises in dry 
steam cleaning technology which effectively sanitises 
an area without the use of chemicals instantly 
removing all germs and bacteria including mrsa 
clostridium difficile and ecoli the technology 
provides higher standards of cleanliness compared  





chief executive’s report
david chestnutt
to conventional methods and it is also more 
environmentally and economically friendly providing 
considerable savings in water and chemical usage 
in november 2007 the most detailed and complete 
healthcare report to date on hygienic cleaning 
without the use of chemicals was prepared by 
university college hospital london this study into 
the efficacy of bactericidal cleaning in conjunction 
with osprey’s dry steam equipment and specialist 
tooling has set new standards for hospital hygiene 
and redefined “clean” 
following peer review by tno a european testing 
house based in amsterdam this report was signed 
off in march 2008 and is due to be published later 
this year the results have already been welcomed  
by all parties in the healthcare sector that have an 
interest in bactericidal cleaning 
the results of the report have been presented at a 
number of healthcare conferences presentations have 
also been made to some of the leading advocates  
in the infection control arena including professors 
and directors at major hospitals in the uk holland 
france canada united states of america and saudi 
arabia these presentations have led to a number of 
commercial discussions in all these countries 
at the same time early in 2008 osprey was 
nominated as the sole supplier of specialist steam 
cleaning equipment by the nhs purchase and supply 
agency as a result the sales of machines into the 
healthcare sector have increased dramatically in  
the first quarter of 2008 largely helped by the uk 
government making additional funding available for 
deep cleaning of hospitals across the country 
legislative pressures and performance targets in the 
uk are encouraging hospitals and trusts to recognise 
the importance of maintaining high standards of 
cleanliness such levels can be achieved by dry steam 
cleaning on a regular and daily basis the new osprey 
specialist tooling accessories together with the 
company’s standard operating procedures and 
manuals have enabled osprey to establish itself 
as the leading provider in this sector 
osprey continues to seek new markets in the 
healthcare sector in europe and the middle east 
in march this year the group signed a licence with  
a private japanese hospital group that we believe 
will lead to substantial orders over the next four 
to five years in central europe and japan 
beyond the healthcare sector the sale of our dry 
steam cleaning machines continues in the multitude 
of countries in which we have distribution channels  overview
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overview
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financial statements
09
proventec plc annual report and accounts 2008
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industries such as hospitality food manufacturing 
and retail are looking for cost effective means of 
superior cleaning in particular we continue to 
achieve success in the us commercial food factory 
market where standards of hygiene are increasingly 
being driven by consumer concerns 
contico manufacturing
contico manufacturing limited “contico” in which 
the group acquired an 80 stake in june 2007 has 
provided a significant contribution to the group’s 
financial results contico is a manufacturer and 
distributor of cleaning and hygiene equipment and 
has an excellent reputation in its field although  
the cleaning market including janitorial supplies 
is typically conservative contico has developed its 
business over the past 12 months and during this 
time has shown steady growth 
like many businesses in the uk the company has seen 
considerable cost pressures due to the high cost of 
fuel which affects transport distribution and the raw 
material cost of plastic products additionally the 
strength of the euro against sterling has increased the 
cost of many imported products however contico is 
continually sourcing new and innovative products and 
intends to expand its business into europe using the 
connections and relationships within the group 
biocote
biocote limited “biocote” a company in which the 
group has a 31 stake offers a coating technology 
based on a silver additive biocote treated products 
have a higher resistance to the development of 
bacteria and biocote can be seen as a second line of 
defence against community acquired infections after 
cleaning biocote took part in a study with the heart 
of england nhs foundation to compare two out
patient wards the first ward contained furniture  
and equipment incorporating biocote’s antibacterial 
protection the second ward contained standard and 
nontreated items the results from the trials show 
that the facility using biocote had 958 less 
bacteria in the environment than the ward with no 
silver based products biocote’s silver additive gives 
the product builtin antibacterial protection and can 
be incorporated into a variety of materials including 
plastics fabrics paints powder coatings and papers
as a group we are developing a number of other 
products to further our comprehensive bactericidal 
cleaning offering to the specialist hygiene sector 
preventative coatings
the magma coatings division based in rotterdam has 
continued to develop its range of magma firestop 
products in conjunction with firestop chemicals 
limited “firestop” an investment held by the 
group it now has an extensive range of flame 
retardant products that are applied as a post
manufacturing treatment to products such as 
christmas trees roofing thatch and timbers including 
plywood the company has also developed a range 
of flame retardant paints including latex paint the 
company is seeking to distribute its products through 
companies and groups that already have established 
routes to market magma is also working on a flame 
retardant system for a programme of renovation and 
newbuild for schools in scandinavia 
firestop has sourced alternative manufacture  
of noflan the flame retardant for fabrics from  
an indian manufacturer the development of 
manufacturing facilities for bizon our flame  
retardant for polymers is continuing 
innoshield an ultraviolet preventative coating 
is being trialled as a protective and restorative 
treatment for fibreglass in the marine sector it also 
in conjunction with another product has properties 
as a paint system for inhibiting rust a valuable 
property for multiple large industries we expect  
this to lead to commercial developments in 2009 
conclusion
the last year has seen considerable consolidation 
within the group and the laying of solid foundations 
for our development and future growth 
over the next 12 months we expect to see continued 
growth in the group especially with our proven dry 
steam cleaning technology as it receives further 
credence and acceptance from the key decision 
makers in the healthcare and food industry markets
 
david chestnutt
chief executive  10
proventec plc annual report and accounts 2008
financial statements
governance
overview
board of directors
peter teerlink
chairman
peter teerlink has extensive experience in merchant 
banking and venture capital after working in the 
financial services sector for 10 years he joined 
novem international in 1999 as managing director  
in 2001 he became managing director of ipac 
technologies nv
david chestnutt fca
chief executive
david chestnutt qualified as a chartered accountant 
in 1974 he was a partner in pkf in liverpool until 
1997 when he joined liverpool football club as 
finance director in january 2000 he joined the 
predecessor company of proventec becoming  
chief executive in march 2001
thomas stuecken
commercial director
thomas stuecken has extensive experience in the 
international cleaning industry he was an export 
director at premiere products limited for 12 years and 
oversaw the opening of over 30 new export markets 
since april 2003 thomas has been a director of 
ospreydeepclean he holds a degree in european 
business studies specialising in international marketing
glyn hirsch
nonexcecutive director
after qualifying as a chartered accountant with peat 
marwick mitchell  co now kpmg glyn hirsch 
joined the corporate finance department of phillips  
drew latterly ubs limited in 1985 he became a 
corporate finance director of ubs limited in 1990 
and an executive director in 1995 in 1995 he left 
ubs to become chief executive of cls holdings plc 
where he stayed until he resigned to pursue other 
opportunities in 2001 he is also a director of the 
raven group plc and a nonexecutive director of 
liontrust asset management plc as well as a number 
of other public and private companies
michael hough
nonexecutive director
michael hough is a partner of iceni capital a uk 
private equity investment firm he is also a director  
of aurora investment advisors limited a private 
equity investment firm investing in russia he was 
previously managing director of altium capital 
limited formerly apax partners  co capital limited 
which he helped establish in 1990 prior to this he 
worked for goldman sachs in new york and london 
he holds an mba from the university of virginia’s 
darden school 11
proventec plc annual report and accounts 2008
directors’ report
the directors present their annual report on the affairs of the group together with the financial statements and auditors’ report 
for the year ended 31 march 2008
principal activities of the group
as at 31 march 2008 the particular activity of the group is to provide leadingedge hygiene solutions based on steam cleaning 
technologies the manufacture and distribution of janitorial equipment vacuums industrial sprayers and pump dispensers and 
preventative coatings in market sectors requiring the highest hygiene and safety standards and to carry out related research and 
development to source and develop new technologies for commercial purposes
business review
the review of the business is covered in the chief executive’s report on pages 8 and 9
principal risks
the directors consider the main risk to the growth and development of the business to be the timely and adequate supply of 
equipment for resale to fulfil demand the directors are taking reasonable steps to minimise the impact of this risk to the business 
financial results and dividend
the retained profit for the year is £1318000 the directors do not recommend the payment of a dividend
directors
details of each of the directors who served throughout the year are shown in the table below all directors are subject to 
retirement by rotation under the group’s articles of association 
the director retiring by rotation is david chestnutt
directors’ interest in share options
the group has share option schemes under the terms of which directors are able to subscribe for ordinary shares in the group 
the directors who held office at 31 march 2008 had the following beneficial interest in the options to subscribe for shares
   ordinary    exercise 
   shares  expiry  price per 
   under date of date of date ordinary 
   options grant options cancelled share
d chestnutt   240000 19062002 19062012 – 33p
   800000 27052004 27052014 – 6p
g hirsch   400000 19062002 19062012 – 33p
   550000 27052004 27052014 – 6p
m hough   550000 27052004 27052014 – 6p
t stuecken   1000000 24082005 24082015 – 14p
p teerlink   550000 24082005 24082015 – 14p
on 13 may 2008 the group’s ordinary shares were consolidated into new ordinary shares on the basis of one new ordinary share 
for every 20 existing ordinary shares on this date new share options were granted and the exercise prices of the existing options 
were converted in accordance with the consolidation of the ordinary shares  overview
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12
proventec plc annual report and accounts 2008
overview
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financial statements
directors’ interest in share options continued
the directors’ interest in the options to subscribe for shares as at the date of signing this report are as follows
   ordinary    exercise 
   shares  expiry  price per 
   under date of date of date ordinary 
   options grant options cancelled share
d chestnutt   12000 19062002 19062012 – 660p
   40000 27052004 27052014 – 120p
   150000 13052008 13052018 – 1375p
g hirsch   20000 19062002 19062012 – 660p
   27500 27052004 27052014 – 120p
m hough   27500 27052004 27052014 – 120p
t stuecken   50000 24082005 24082015 – 280p
   300000 13052008 13052018 – 1375p
p teerlink   27500 24082005 24082015 – 280p
   150000 13052008 13052018 – 1375p
substantial shareholdings
as at 18 july 2008 the group had notification that the following were interested in 3 or more of the group’s issued  
share capital
       percentage  
       shareholding at 
name of shareholder       18 july 2008 
innocleaning concepts holding bv       369
schroder uk smaller companies       63
euroclear nominees ltd eocef acct       52
rbs as trustee for the rathbone special situation fund      32
abn amro       32
clearstreamlux re half pct clearstream clearstream banking sa     32
ing bank global custody nv       30
charitable and political donations in the united kingdom
no charitable or political donations were made during the year 2007 nil
payment to suppliers
the group’s policy is normally to pay suppliers according to agreed terms of business these terms are agreed with suppliers  
upon entering into contracts and the group’s policy is to adhere to the payment terms providing the supplier meets its obligations 
the creditor days for the group is 101 days this is exaggerated by the increase in selling activity during the last quarter of the 
financial year 
uk research and development
during the year the group has continued to invest in innovative ideas in steam technologies the group has continued its research 
and development into the production of specialist accessories and tools to help combat against healthcare and community 
acquired infections
disabled persons
the group operates a nondiscriminatory employment policy and proper consideration is given to all applications for employment 
from disabled persons who after employment receive training and career development consistent with both the needs of the 
group and their particular abilities
employment involvement
employee involvement in the overall performance of the group is encouraged through both formal and informal meetings which 
deal with a whole range of issues from the group’s financial performance and future developments to health and safety issues 
copies of both the annual report and interim report are made available to all employees
directors’ report continued overview
governance
financial statements
overview
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13
proventec plc annual report and accounts 2008
information given to auditors
each of the persons who is a director at the date of approval of this annual report confirms that
so far as the director is aware there is no relevant audit information of which the group’s auditors are unaware and
the director has taken all steps that he ought to have taken as a director to make himself aware of any relevant audit 
information and to establish that the auditors are aware of that information
auditors
a resolution to reappoint pkf uk llp as auditor to the group and to authorise the directors to determine their remuneration  
will be proposed at the annual general meeting
annual general meeting
the annual general meeting of the company is to be held at 30 st james’s square london sw1y 4al on 15 september 2008  
at 1130am
the notice of meeting appears in the document accompanying the report and accounts one resolution will be proposed as  
a special resolution at the meeting and an explanation of this resolution is given in the accompanying letter 
by order of the board
d chestnutt
director
18 july 2008

 overview
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14
proventec plc annual report and accounts 2008
overview
governance
financial statements
the directors are responsible for preparing the annual report and the financial statements in accordance with applicable law  
and regulations 
company law requires the directors to prepare financial statements for each financial year under that law the directors have  
as required by the aim rules of the london stock exchange prepared the group financial statements in accordance with 
international financial reporting standards as adopted by the european union and have elected to prepare the company financial 
statements in accordance with united kingdom generally accepted accounting practice united kingdom accounting standards 
and applicable law the financial statements are required to give a true and fair view of the state of affairs of the company  
and the group and of the profit or loss of the group for that period in preparing these financial statements the directors are 
required to
select suitable accounting policies and then apply them consistently
make judgements and estimates that are reasonable and prudent
state in the parent company financial statements whether applicable accounting standards have been  
followed subject to any material departures disclosed and explained in the financial statements and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that  
the group will continue in business
the directors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the 
financial position of the company and the group and enable them to ensure that the financial statements comply with the 
companies act 1985 they are also responsible for safeguarding the assets of the group and hence for taking reasonable steps  
for the prevention and detection of fraud and other irregularities
the directors are responsible for the maintenance and integrity of the corporate and financial information included on the group’s 
website legislation in the united kingdom governing the preparation and dissemination of the financial statements and other 
information included in annual reports may differ from legislation in other jurisdictions




statement of directors’ responsibilities overview
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overview
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15
proventec plc annual report and accounts 2008
independent auditors’ report to the members of  
proventec plc
we have audited the group and parent company financial statements “the financial statements” of proventec plc for the year 
ended 31 march 2008 which comprise the consolidated and company balance sheets the consolidated income statement the 
consolidated statement of recognised income and expense the consolidated cash flow statement and the related notes the 
financial statements have been prepared under the accounting policies set out therein
this report is made solely to the group’s members as a body in accordance with section 235 of the companies act 1985 our 
audit work has been undertaken so that we might state to the group’s members those matters we are required to state to them in 
an auditors’ report and for no other purpose to the fullest extent permitted by law we do not accept or assume responsibility to 
anyone other than the company and the company’s members as a body for our audit work for this report or for the opinions 
we have formed
respective responsibilities of directors and auditors
the directors’ responsibilities for preparing the annual report and the financial statements in accordance with applicable law and 
for preparing the group financial statements in accordance with international financial reporting standards “ifrss” as adopted 
by the european union and the parent company financial statements in accordance with united kingdom accounting standards 
“united kingdom generally accepted accounting practice” are set out in the statement of directors’ responsibilities
our responsibility is to audit the financial statements in accordance with relevant legal and regulatory requirements and 
international standards on auditing uk and ireland
we report to you our opinion as to whether the financial statements give a true and fair view and have been properly prepared in 
accordance with the companies act 1985 we also report to you whether in our opinion the information given in the directors’ 
report is consistent with the financial statements the information in the directors’ report includes that specific information 
presented in the chief executive’s report that is cross referenced from the business review section of the directors’ report
in addition we report to you if in our opinion the group has not kept proper accounting records if we have not received all the 
information and explanations we require for our audit or if information specified by law regarding directors’ remuneration and 
other transactions is not disclosed
we read other information contained in the annual report and consider whether it is consistent with the audited financial 
statements the other information comprises only the directors’ report the chairman’s statement and the chief executive’s report 
we consider the implications for our report if we become aware of any apparent misstatements or material inconsistencies with 
the financial statements our responsibilities do not extend to any other information
basis of audit opinion
we conducted our audit in accordance with international standards on auditing uk and ireland issued by the auditing practices 
board an audit includes examination on a test basis of evidence relevant to the amounts and disclosures in the financial 
statements it also includes an assessment of the significant estimates and judgements made by the directors in the preparation of 
the financial statements and of whether the accounting policies are appropriate to the group’s and company’s circumstances 
consistently applied and adequately disclosed
we planned and performed our audit so as to obtain all the information and explanations we considered necessary in order to 
provide us with sufficient evidence to give reasonable assurance that the financial statements are free from material misstatement 
whether caused by fraud or other irregularity or error in forming our opinion we also evaluated the overall adequacy of the 
presentation of information in the financial statements
opinion
in our opinion
the group financial statements give a true and fair view in accordance with ifrss as adopted by the european union  
of the state of the group’s affairs as at 31 march 2008 and of its profit for the year then ended
the parent company financial statements give a true and fair view in accordance with united kingdom generally  
accepted accounting practice of the state of the parent company’s affairs as at 31 march 2008 
the financial statements have been properly prepared in accordance with the companies act 1985 and
the information given in the directors’ report is consistent with the financial statements
pkf uk llp
registered auditors
liverpool uk
24 july 2008



 overview
16
proventec plc annual report and accounts 2008
overview
governance
financial statements
consolidated balance sheet
for the year ended 31 march 2008
      2008 2007 
     notes £000 £000
assets
noncurrent assets
property plant and equipment     1 689 157
goodwill     3 37144 29873
other intangible assets     4 3855 3292
available for sale investments     5 2816 2816
investments accounted for using the equity method     19 –
      44485 36138
current assets
inventories     6 2232 495
trade and other receivables     7 11448 5148
cash and cash equivalents     8 4042 5442
      17722 11085
non current assets held for sale     9 100 100
      17822 11185
total assets      62307 47323
equity and liabilities
equity attributable to equity holders of the parent
share capital     11 12170 11565
other reserves     11 27458 22329
retained earnings     11 855 2173
      38773 31721
minority interest      32 –
total equity      38805 31721
noncurrent liabilities
long term borrowings     12 16774 10354
deferred tax     14 517 773
total noncurrent liabilities      17291 11127
current liabilities
trade and other payables     13 5937  1841
current portion of long term borrowings     12 59 2634
current tax payable      215 –
total current liabilities      6211 4475
total liabilities      23502 15602
total equity and liabilities      62307 47323
the financial statements were approved and authorised for issue by the board on 18 july 2008 and were signed on its behalf 
by d chestnutt
  overview overview
17
proventec plc annual report and accounts 2008
governance
financial statements
consolidated income statement
for the year ended 31 march 2008
      year ended year ended 
      31 march 31 march 
      2008 2007 
     notes £000 £000
revenue     15 14027 4963
cost of sales      7658 1751
gross profit      6369 3212
profit on sale of investments     17 1125 1615
distribution and administrative expenses      5117 2619
finance costs     16 1020 894
share of associates’ operating loss      19 –
profit before taxation     17 1338 1314
tax expense     18 7 238
profit for the year      1331 1076
profit attributable to the minority interest      13 –
profit attributable to the equity holders of the parent undertaking    1318 –
      1331 1076
earnings per share pence
– basic     19 109 93
– diluted     19 109 93 overview
18
proventec plc annual report and accounts 2008
overview
financial statements
governance
consolidated statement of recognised income and expense
for the year ended 31 march 2008
      year ended year ended 
      31 march 31 march 
      2008 2007 
     notes £000 £000
profit for the year      1331 1076
net exchange differences on translating foreign operations    11 4663 569
total recognised income for the year      5994 507
profit attributable to the minority interest      13 –
profit attributable to the equity holders of the parent undertakings    5981 507
      5994 507 overview overview
19
proventec plc annual report and accounts 2008
financial statements
governance
consolidated cash flow statement
for the year ended 31 march 2008
      2008 2007 
     notes £000 £000
cash flows from operating activities
cash generated from operations     22 1411 1096
interest received      352 233
interest paid      1140 1272
tax paid      116 7
net cash flow from operating activities      2315 2142
cash flows from investing activities
acquisition of subsidiaries net of cash acquired     5474 –
acquisition of investments      – 551
proceeds from sale of tangible assets      3 –
proceeds from sale of investments      –  3743
purchase of property plant and equipment     23 285 112
purchase of intangible assets      97 96
share capital acquired by minority interest      20 –
net cash flow from investing activities      5833 2984
cash flows from financing activities
proceeds from new loans      1826 –
proceeds from issue of equity instruments      5096 –
payments in respect of hire purchase      18 4
costs in issuing equity instruments      156 –
net cash flow from financing activities      6748 4
net decreaseincrease in cash and cash equivalents     1400 838
cash and cash equivalents at beginning of the year     5442 4604
cash and cash equivalents at end of the year    8 4042 5442 overview
20
proventec plc annual report and accounts 2008
overview
financial statements
governance
accounting policies
the principal accounting policies adopted in the preparation of these financial statements are set out below these policies have 
been consistently applied to all the years presented unless otherwise stated 
basis of preparation
these consolidated financial statements of the group have been prepared in accordance with international financial reporting 
standards ifrs 
group accounting
subsidiaries are those entities in which the group has an interest of more than one half of the voting rights or otherwise has 
power to govern the financial and operating policies the existence and effect of potential voting rights that are presently 
exercisable or presently convertible are considered when assessing whether the group controls another entity
subsidiaries are consolidated from the date on which control is transferred to the group and are no longer consolidated from  
the date that control ceases 
where necessary the accounting policies of subsidiaries have been changed in order to ensure consistency with the policies 
adopted by the group
intercompany transactions balances and unrealised gains on transactions between group companies are eliminated 
business combinations
the purchase method of accounting is used to account for the acquisition of subsidiaries the cost of an acquisition is measured as 
the fair value of the assets given equity instruments issued and liabilities incurred or assumed at the date of exchange plus costs 
directly attributable to the acquisition identifiable assets acquired and liabilities and contingent liabilities assumed in a business 
combination are measured initially at their fair values at the acquisition date the excess of the cost of the acquisition over the fair 
value of the group’s share of the identifiable net assets acquired is recorded as goodwill if the cost of acquisition is less than the 
fair value of the net assets of the subsidiary acquired the difference is recognised directly in the income statement 
foreign currency translation
functional currency
items included in the financial statements of each entity in the group are measured using the currency of the primary economic 
environment in which the entity operates “the functional currency” the consolidated financial statements are presented in 
sterling which is the functional and presentation currency of the parent
transactions and balances
foreign currency translations are translated into the functional currency using the exchange rates prevailing at the dates of the 
transactions foreign exchange gains and losses resulting from the settlement of such transactions and from the translation of 
monetary assets and liabilities denominated in foreign currencies are recognised in the income statement 
group companies
income statements and cash flow of foreign entities are translated into the group’s functional currency at average exchange rates 
for the year and their balance sheets are translated at the exchange rates ruling at the period end 
goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign 
entity and translated at the closing rate
property plant and equipment
all property plant and equipment are stated at historical cost less depreciation cost includes the original purchase price of the 
asset and the costs attributable to bringing the assets to its working condition for its intended use finance costs are not included
depreciation is calculated on the straightline method to write off the cost of assets to their residual values over their estimated 
useful lives as follows
fixtures fittings and equipment       25 per annum
plant and machinery       25 per annum
computer equipment       25 per annum
where the carrying amount of an asset is greater than its estimated recoverable amount it is written down immediately to its 
recoverable amount 
gains and losses on disposals are determined by comparing proceeds with carrying amount and are included in operating profit
repairs and maintenance are charged to the income statement during the financial period in which they are incurred  overview overview
21
proventec plc annual report and accounts 2008
financial statements
governance
goodwill
goodwill represents the excess of the cost of an acquisition over the fair value of the group’s share of the net assets of the 
acquired subsidiary at the date of acquisition 
prior to 1 april 2004 the date of transition to ifrs goodwill was amortised over its estimated useful life such amortisation 
ceasing on 31 march 2004 goodwill is subject to impairment review both annually and when there are indicators that the 
carrying value may not be recoverable a write down is made if the carrying amount exceeds the recoverable amount 
intangible assets
intangible assets are stated at cost less accumulated amortisation and impairment losses intangible assets with indefinite useful 
lives are not amortised but are tested for impairment annually
impairment of nonfinancial assets
property plant and equipment and other noncurrent assets including goodwill and other intangible assets are reviewed on an 
annual basis to determine whether events or changes in circumstances indicate that the carrying amount of the assets may not  
be recoverable if any such indication exists the recoverable amount of the asset is estimated as either the higher of the fair  
value less costs to sell or value in use the resultant impairment the amount by which the carrying amount of the asset exceeds  
its recoverable amount is recognised as a charge in the consolidated income statement
the value in use is calculated as the present value of estimated future cash flows expected to result from the use of assets and 
their eventual disposal proceeds in order to calculate the present value of estimated future cash flows the group uses a discount 
rate based on the group’s estimated weighted average cost of capital together with any risk premium determined appropriate 
estimated future cash flows used in the impairment calculation represents management’s best view of the likely future market 
conditions and current decisions on the use of each asset or asset group
for the purpose of assessing impairment assets are grouped at the lowest levels at which there are separately identifiable  
cash flows
leases
finance leases where the group is the lessee
leases of property plant and equipment where the group is subject to substantially all the risks and rewards of ownership are 
classified as finance leases finance leases are capitalised at the inception of the lease at the lower of the fair value of the leased 
property or the present value of the minimum lease payments each lease payment is allocated between the liability and finance 
charges so as to achieve a constant rate on the finance balance outstanding the corresponding rental obligations net of finance 
charges are included in other payables the interest element of the finance cost is charged to the income statement over the  
lease period so as to produce a constant periodic rate of interest on the remaining balance of the liability for each period the 
property plant and equipment acquired under finance leases are depreciated over the shorter of the useful life of the asset  
or the lease term 
where reference is made in the report and financial statements to finance leases this includes hire purchase agreements
operating leases where the group is the lesee
leases where a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating 
leases payments made under operating leases net of any incentives received from the lessor are charged to the income 
statement on a straightline basis over the period of the lease incentives received are recorded as deferred income and spread  
over the term of the lease on a straightline basis 
operating leases where the group is the lessor
lease income is recognised over the term of the lease using the net investment method which reflects a constant period  
rate of return
inventories
inventories are stated at the lower of cost or net realisable value cost of inventory represents material and a proportion of 
procurement overheads net realisable value represents the estimated selling price less all estimated costs of completion and costs 
to be incurred in marketing selling and distribution 
provisions are made for slow moving and obsolete inventory the amount of the provision is the difference between the carrying 
amount and the directors’ best estimate of the amount recoverable overview
22
proventec plc annual report and accounts 2008
overview
governance
financial statements
accounting policies
cash and cash equivalents 
cash and cash equivalents are carried in the balance sheet at cost for the purpose of the cash flow statement cash and cash 
equivalents comprise cash on hand and deposits held at call with banks 
employee benefits
defined contribution schemes
a defined contribution plan is a pension plan under which the group pays fixed contributions into a separate entity a fund and 
will have no legal or constructive obligations to pay further contributions if the fund does not hold sufficient assets to pay all 
employees benefits relating to employee service in the current and prior periods contributions are charged to the profit and loss 
account in the year in which they arise 
sharebased payments
the fair values of employees’ share option and share performance plans are calculated using the blackscholes model in 
accordance with ifrs 2 “sharebased payments” the resulting cost is charged to the income statement over the vesting period of 
the options the value of the charge is adjusted to reflect expected and actual levels of options vesting for changes in nonmarket 
vesting criteria 
deferred tax
deferred tax is provided in full using the liability method on temporary differences arising between the tax bases of assets and 
liabilities and their carrying amounts in the consolidated financial statements however the deferred tax is not accounted for if it 
arises from initial recognition of an asset or liability in a transaction other than a business combination that at the time of the 
transaction affects neither accounting nor taxable profit or loss deferred tax is determined using tax rates and laws that have 
been enacted or substantially enacted by the balance sheet date and are expected to apply when the related deferred tax asset is 
realised or the deferred income tax liability is settled
deferred tax assets are recognised to the extent that it is probable that future taxable profit will be available against which the 
temporary differences can be utilised
deferred tax is provided on temporary differences arising on investments in subsidiaries and associates except where the timing of 
the reversal of the temporary difference is controlled by the group and it is probable that the temporary difference will not reverse 
in the foreseeable future 
revenue recognition
revenue comprises the invoiced value for the sale of goods and services net of valueadded tax rebates and discounts and after 
eliminating sales within the group revenue from the sale of goods is recognised when significant risks and rewards of ownership 
of the goods are transferred to the buyer which is usually on dispatch 
revenue in respect of licences granted is recognised on the granting of the licence
sales of services are recognised in the accounting period in which the services are rendered by reference to completion of the 
specific transaction assessed on the basis of the actual service provided as a proportion of the total services to be performed 
interest 
interest income is recognised on a time proportion basis taking account of the principal outstanding and the effective rate over 
the period of maturity when it is determined that such income will accrue to the group 
financial assets
the group classifies its financial assets in the following categories investments held for sale trade and other receivables and 
available for sale investments the classification depends on the purpose for which the financial assets were acquired 
management determines the classification of the group’s financial assets at initial recognition and reevaluates this designation at 
every reporting date 
a investments held for sale
a financial asset is classified in this category if designated by management as expected to be realised within 12 months of the 
balance sheet date
investments are classified as held for sale in accordance with ifrs 5 if their carrying amount will be recovered principally through a 
sale transaction rather than through continuing use such assets are measured at the lower of their carrying amount and fair value 
less costs to sell
gains or losses arising from changes in the fair value of these investments including interest and dividend income are presented in 
the income statement within “other lossesgains – net” in the period in which they arise overview overview
23
proventec plc annual report and accounts 2008
governance
financial statements
b trade and other receivables
trade receivables are recognised initially at fair value and subsequently measured at amortised cost using the effective interest 
method less provision for impairment a provision for impairment of trade receivables is established when there is objective 
evidence that the group will not be able to collect all amounts due according to the original terms of receivables significant 
financial difficulties of the debtor probability that the debtor will enter bankruptcy or financial reorganisation and default or 
delinquency in payments are considered indicators that the trade receivable is impaired the amount of the provision is the 
difference between the asset’s carrying amount and the present value of the estimated future cash flows discounted at the 
effective interest rate
c available for sale financial assets
available for sale financial assets are nonderivatives that are either designated in this category or not classified in any of the other 
categories they are included in noncurrent assets unless management intends to dispose of the investment within 12 months of 
the balance sheet date 
when investments classified as available for sale are sold or impaired the accumulated fair value adjustments recognised in equity 
are included in the income statement as “gains and losses from investment” interest on available for sale investments calculated 
using the effective interest method is recognised in the income statement dividends on available for sale investments are 
recognised in the income statement when the group’s right to receive payments is established
regular purchases and sales of investments are recognised on the date on which the group commits to purchase or sell the asset 
investments are initially recognised at fair value plus transaction costs for all financial assets not carried at fair value through profit 
or loss financial assets carried at fair value through profit and loss are initially recognised at fair value and transaction costs are 
expensed in the income statement investments are derecognised when the rights to receive cash flows from the investments have 
expired or have been transferred and the group has transferred substantially all risks and rewards of ownership available for sale 
investments and investments held for sale are subsequently carried at fair value 
if the market for a financial asset is not active and for unlisted securities the group establishes fair value by using valuation 
techniques these include the use of recent arm’s length transactions reference to other instruments that are substantially  
the same discounted cash flow analysis and the option pricing models making maximum use of market inputs and relying  
as little as possible on entity specific inputs if the fair value of an unquoted equity instrument cannot be measured reliably  
it is measured at cost 
impairment
the group assesses at each balance sheet date whether there is objective evidence that a financial asset or group of financial 
assets is impaired in the case of equity securities classified as available for sale a significant or prolonged decline in the fair value 
of the security below its cost is considered an indicator that the securities are impaired if any such evidence exists for available for 
sale financial assets the cumulative loss is measured as the difference between the acquisition cost and the current fair value less 
any impairment loss on that financial asset previously recognised 
share capital
ordinary shares are classified as equity
incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction net of tax from 
the proceeds 
borrowings
borrowings are recognised initially at fair value net of transaction costs incurred borrowings are subsequently stated at amortised 
cost any difference between the proceeds net of transaction costs and the redemption value is recognised in the income 
statement over the period of the borrowings using the effective interest method 
borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at 
least 12 months after the balance sheet date 
trade payables are recognised at fair value overview
24
proventec plc annual report and accounts 2008
overview
financial statements
governance
financial risk management
financial risk factors
the group’s activities expose it to currency interest rate and credit risk
the group incurs currency risk as a result of transactions that are denominated in a currency other than british pounds the group 
does not enter into any forward exchange contracts in order to hedge its exposure to such risk
the group is exposed to credit risk in its accounts receivable and bank balances the group has a credit risk policy in place and the 
exposure to credit risk is monitored on an ongoing basis the group is exposed to credit risk in relation to licence income and sale 
proceeds from investments included in other debtors the directors constantly monitor this risk and have procedures to only enter 
into transactions of this nature with reputable companies bank balances are all maintained at reputable financial institutions 
accounts receivable and accounts payable arising from normal trade transactions are expected to be settled within normal  
credit terms
fair value estimation
financial instruments recognised on the balance sheet include bank balances and cash investments accounts receivable accounts 
payable and borrowings the carrying values of financial instruments are considered to approximate their fair value 
credit accounting estimates and judgements
estimates and judgments are continually evaluated and are based on historical experience and other factors including expectations 
of future events that are believed to be reasonable under the circumstances 
critical accounting estimates and assumptions
the group makes estimates and assumptions concerning the future the resulting accounting estimates will by definition seldom 
equal the related actual results the estimates and assumptions that have a significant risk of causing a material adjustment to the 
carrying amounts of assets and liabilities within the next financial year are discussed below
a estimated impairment of goodwill and intangible assets 
the group tests annually whether goodwill and intangible assets have suffered any impairment in accordance with the accounting 
policy stated the recoverable amounts of cash generating units have been determined based on value in use calculations these 
calculations require the use of estimates as disclosed in notes 3 and 4 to the financial statements 
b premium on redemption of loan notes
the group has assumed the loan notes will be converted in full and so no provision has been made for the premium due  
on redemption
c licence income receivable 
the group has estimated the amounts recoverable on licence income due based on the net present value of the cash flows using 
an appropriate discount rate
accounting policies overview overview
25
proventec plc annual report and accounts 2008
financial statements
governance
notes to the consolidated financial statements
for the year ended 31 march 2008
1 property plant and equipment
   plant   plant 
   machinery   machinery 
  rental and 2008 rental and 2007 
  assets equipment total assets equipment total 
  £000 £000 £000 £000 £000 £000
cost
at 1 april  18 171 189 13 109 122
additions  1 284 285 9 103 112
acquisitions via business combination  – 357 357 – – –
disposals  1 7 8  4  41  45
at 31 march  18 805 823 18 171 189
depreciation
at 1 april  5 27 32 4 22 26
charge for the year  4 103 107 3 36 39
disposals  1 4 5  2  31  33
at 31 march  8 126 134 5 27 32
net book value
at 31 march  10 679 689 13 144 157
the net book value of plant and machinery includes £104489 2007 £23535 2006 £23088 in respect of assets held under 
finance leases
2 subsidiaries
a list of the significant investments in subsidiaries including the name country of incorporation proportion of ownership interest 
is given in note 2 to the company’s separate financial statements 
3 goodwill
      goodwill goodwill 
      2008 2007 
      £000 £000
cost
at 1 april      29873 30374
additions      3430 –
acquisitions      – –
exchange rate movement       3841  501
net carrying amount at 31 march      37144 29873
goodwill is carried at cost less any impairment impairment testing has been carried out by comparing goodwill plus associated 
operating assets with the value in use calculated as the net present value of discounted future cash flows
key assumptions used in goodwill impairment reviews are based on previous experience and are
cash flow forecasts for a three year period have been used for the cash generating unit which comprises  
the acquired businesses
growth in net revenue assumptions amount to 30 to 2009 30 to 2010 30 to 2011 10 thereafter
the cash flows have been discounted using the estimated wacc of 75


 overview
26
proventec plc annual report and accounts 2008
overview
financial statements
governance
4 other intangible assets
  development development intellectual intellectual 
  and and property property 
  patents patents rights rights total total 
  2008 2007 2008 2007 2008 2007 
  £000 £000 £000 £000 £000 £000
cost
at 1 april  128 81 3178 3184 3306 3265
additions  162 47 2 49 164 96
disposals  46 – 22 – 68 –
exchange rate variance  28 – 434  55 462  55
net carrying amount at 31 march  272 128 3592 3178 3864 3306
amortisation
at 1 april   8 – 6 – 14 –
charge for year  47  8 – 6 47 14
disposals  46 – 6 – 52 –
at 31 march  9 8 – 6 9 14
net book value at 31 march  263 120 3592 3172 3855 3292
the reasons and factors that played a role in determining that development and patents have an indefinite life are that they are in 
the early stages and so the group cannot determine reliably how long they will generate cash flows for
key assumptions used in intangible asset impairment reviews are based on
cash flow forecasts for a three year period have been used for the cash generating unit which comprises  
the acquired businesses
growth in net revenue assumptions amount to 30 to 2009 30 to 2010 30 to 2011 10 thereafter
the cash flows have been discounted using the estimated wacc of 75
5 available for sale investments
      2008 2007 
      £000 £000
at cost
at 1 april      2816 2265
additions      – 551
net carrying value at 31 march      2816 2816
details of the investments held are as follows
    share 
 no of type of capital cost   nature of 
 shares shares held  £000   business
biocote limited 696693 ordinary 315 704 powder coating
firestop chemicals limited 6651456 ordinary 441 1072 fire retardant chemicals and processes 
  loan notes – 1035
the investments in biocote limited and firestop chemicals limited are classified as held for sale because the group does not have 
significant influence over these entities as other board members are significant shareholders who if they vote together have 
control of the company 
the loan notes held in firestop chemicals limited are repayable on 30 september 2012 the interest is receivable at a rate of 2 
above base with a minimum rate of 6
these investments are held at cost because their fair value cannot be determined reliably because there is no active market 



notes to the consolidated financial statements continued
for the year ended 31 march 2008 overview overview
27
proventec plc annual report and accounts 2008
financial statements
governance
6 inventories
finished goods inventories of £2232000 2007 495000 comprise entirely goods for resale 
7 trade and other receivables
      2008 2007 
      £000 £000
trade receivables      5914 1699
other receivables      1457 488
prepayments and accrued income      4077 2961
      11448 5148
aged analysis of trade receivables is as follows
  
 not impaired but past due
  total
 not 30 days 3160 6190 91120 120 carrying 
 impaired or less days days  days  days amount
2008 trade receivables 5914 1394 1635 864 67 1954 5914
2007 trade recievables  1699 297 212 172 54 964 1699
8 cash and cash equivalents
      2008 2007 
      £000 £000
cash at bank and in hand      4042 5442
9 non currrent assets held for sale
      2008 2007 
      £000 £000
at 1 april       275 2761
disposals       –  2486
at 31 march      275 275
impairment and amortisation
at 1 april and 31 march      175 175
net carrying amount at 31 march      100 100
    share cost 
 no of type of capital valuation   nature of 
 shares shares held  £000   business
oxis energy limited 12061124 ordinary 4 100 early stage developer  
     of lithium sulphide batteries
the directors have resolved to dispose of their investments in oxis energy limited within the next 12 months
the proceeds of disposal are expected to exceed the net carrying amount of the investments and accordingly no further 
impairment loss has been recognised on the classification of these investments as held for sale overview
28
proventec plc annual report and accounts 2008
overview
governance
financial statements
10 called up share capital
      2008 2007 
      numbers numbers 
      ‘000 ‘000
ordinary shares of 5 pence each
authorised      1000000 500000
issued
at beginning of year      231305 231305
issued in year      12100 –
at end of year      243405 231305
on 13 may 2008 the group’s ordinary shares were consolidated into new ordinary shares on the basis of one new ordinary share 
for every 20 existing ordinary shares 
following the consolidation the group’s ordinary share capital comprises of 12170243 new ordinary shares of nominal value of 
£1 each the rights attached to the new ordinary shares including voting and dividend rights will be the same as the rights 
attached to the ordinary shares
on 28 january 2008 the group increased its authorised share capital from £25000000 to £50000000 by the creation of 
500000000 new ordinary shares
on 23 october 2007 the group issued 600000 ordinary shares the total amount raised amounted to £36000 the shares had a 
nominal value of 5 pence
on 2 july 2007 the group issued 11500000 ordinary shares the total amount raised amounted to £1035000 the shares had a 
nominal value of 5 pence
11 shareholders’ funds and statement of changes in shareholders’ equity
     foreign 
 share share share retained currency share 
 capital premium options earnings reserve warrants total 
 £000 £000 £000 £000 £000 £000 £000
for the year ended 31 march 2008
at 1 april 11565 20641 58  2173 159 1471 31721
profit for the year attributable to  
 equity shareholders – – – 1318 – – 1318
unrealised exchange movement – – – – 4663 – 4663
issue of shares 605 466 – – – – 1071
movement in year 605 466 – 1318 4663 – 7052
at 31 march  12170 21107 58  855 4822 1471 38773
for the year ended 31 march 2007
at 1 april 11565 20641 58  3249 728 1471 31214
profit for the year attributable to  
 equity shareholders – – – 1076 – – 1076
unrealised exchange movement – – – – 569 – 569
movement in year – – – 1076 569 – 507
at 31 march 11565 20641 58  2173 159 1471 31721
notes to the consolidated financial statements continued
for the year ended 31 march 2008 overview overview
29
proventec plc annual report and accounts 2008
governance
financial statements
12 financial liabilities – borrowings
      2008 2007 
      £000 £000
current
loan due within one year      – 2625
finance lease commitments due within one year     59 9
loan notes due within one year      – –
      59 2634
noncurrent
loans due between two and five years      2625 –
loan notes between two and five years      14058 –
loan notes over five years      – 10345
      16683 10345
finance lease commitments
between one and two years      91 9
      16774 10354
      16833 12988
the loan due between two and five years attracts interest at 05 above the lender’s borrowings rate which at 31 march 2008 
was 375 the loan and accumulated interest can be converted into ordinary shares after 31 december 2006 the loan has a 
repayment date of 31 march 2010 
the loan notes comprise 14058000 85 fixed rate convertible guaranteed unsecured loan notes the interest on the loan notes 
recognised in the profit and loss account for the year is £1217000 the effective interest rate on the loan notes is 886 the 
loan notes are repayable in one final payment on 31 december 2012 which attracts a premium of 225 of the principal amount 
outstanding following the share consolidation on 13 may 2008 as referred to in note 10 the loan notes are convertible into 
ordinary shares at the option of the holder at 280 pence per share
the fair value of the loan notes has been calculated on the assumption that they will be converted in full
13 trade and other payables
      2008 2007 
      £000 £000
invoice discounting      1676 –
trade payables      2139 729
other taxes and social security      318 93
other payables      649 239
accruals      1155 780
      5937 1841 overview
30
proventec plc annual report and accounts 2008
overview
financial statements
governance
14 deferred tax
     accelerated 
     capital 
     allowances other total 
     £000 £000 £000
liabilities
at 1 april     – 773 773
profit and loss account     – 382 382
exchange rate variance      – 126  126
at 31 march     – 517 517
      2008 2007 
      £000 £000
net total
at 1 april      773 304
acquisitions      28 –
movement to payable corporation tax      550 –
profit and loss account      140 476
exchange rate variance      126 7
at 31 march      517 773
deferred tax is calculated in full on temporary differences under the liability method using a tax rate of 28 2007 30
no deferred tax is recognised on the unremitted earnings of overseas subsidiaries and associates as the tax rates in the overseas 
subsidiaries’ countries are higher than the rate in the uk
the movements in deferred tax assets and liabilities prior to the offsetting of balances within the same jurisdiction as permitted  
by ias during the period are shown above
15 revenue
revenue analysed by class of turnover is as follows
      2008 2007 
      £000 £000
sale of licences machinery and cleaning consumables      13866 4815
rendering of services      161 148
      14027 4963
16 finance costs 
      2008 2007 
      £000 £000
finance expense
bank overdrafts and short term borrowings      – 63
loans      1309 1062
finance leases      4 2
      1313 1127
finance income
bank and other short term deposits      293 233
      1020 894
notes to the consolidated financial statements continued
for the year ended 31 march 2008 overview overview
31
proventec plc annual report and accounts 2008
financial statements
governance
17 profit before taxation
      2008 2007 
      £000 £000
the following items have been included in arriving at profit before taxation
deprecation of property plant and equipment
– owned assets      116 35
– under finance leases      8 4
amortisation of intangibles       47 14
operating leases on property plant and equipment     52 71
profit on sale of investments      1125 1615
foreign exchange differences      98 15
amounts payable to pkf uk llp and their associates by the company and its subsidiaries amounted to
audit of subsidiaries including overseas      53 30
audit of parent company      35 25
corporate finance services      17 –
the profit on sale of investments relates to the sale of ultra motor limited in october 2006 the group had previously provided 
against the profit as the recoverability of the proceeds was doubtful the proceeds were due over a period of time which have 
been received when they have fallen due and so the directors believe the remaining amounts will be received when due in march 
2009 therefore the provision has been released and the profit has been recorded in the year
18 taxation
      2008 2007 
      £000 £000
current tax      21  8
deferred tax      14 246
taxation      7 238
factors affecting the tax charge for the period
      2008 2007 
      £000 £000
profit before tax      1350 1314
profit on ordinary activities multiplied by standard rate of corporation tax in the uk of 30 2007 30  405 394
effects of
income not chargeable and expenses not deductible for tax purposes     373  478
deferred tax asset not previously recognised      15  16
different tax rates on overseas earnings      4  118
adjustments in respect of previous periods      –  8
current tax losses not utilised      – 464
total taxation       21 238
19 earnings per share
basic
basic earnings per share is calculated by dividing the profit attributable to equity shareholders by the weighted average number of 
ordinary shares in issue during the year
      2008 2007 
      £000 £000
profit attributable to equity holders of the group     1318 1076
weighted average number of ordinary shares in issue thousands    12009 11565
basic earnings per share pence      109 93 overview
32
proventec plc annual report and accounts 2008
overview
financial statements
governance
19 earnings per share continued
diluted
diluted earnings per share is calculated by adjusting the weighted average number of ordinary shares outstanding to assume 
conversion of all dilutive potential ordinary shares the group has two potentially dilutive events namely its share options and 
convertible loan notes for the share options a calculation is done to determine the number of shares that could have been 
acquired at fair value determined as the average annual market share price of the group’s shares based on the monetary value  
of the subscription rights attached to outstanding share options the number of shares calculated as above is compared with the 
number of shares that would have been issued assuming the exercise of the share options the conversion of the outstanding 
warrants and convertible loan notes do not result in a decreased earnings per share or increased loss per share and are therefore 
not treated as dilutive potential ordinary shares
      2008 2007 
      £000 £000
profit attributable to equity holders of the group     1318 1076
weighted average number of ordinary shares for diluted earnings per share thousands   12009 11565
diluted earnings per share pence      109 93
on 13 may 2008 the group’s ordinary shares were consolidated into new ordinary shares on the basis of one new ordinary share 
for every 20 existing ordinary shares following the consolidation the group’s ordinary share capital comprises of 12170243 
new ordinary shares of nominal value of £1 each the rights attached to the new ordinary shares including voting and dividend 
rights will be the same as the rights attached to the ordinary shares
the calculation of earnings per share has been calculated as though this consolidation of shares has always been in effect 
20 financial liabilities 
minimum lease payments
the minimum lease payments under finance leases fall due as follows
      2008 2007 
      £000 £000
not later than one year      43 8
later than one year but not more than five years     87 8
more than five years      – –
      130 16
future finance charges on finance leases      20 2
carrying amount of finance lease liabilities      150 18
21 share based payments
movements on share options and warrants during the year were as follows
exercise      date 
price per 31 march    31 march from which expiry 
share 2007 granted exercised lapsed 2008 exercisable date
executive
33p 815000 – – – 815000 19062002 18062012
6p 3800000 – – – 3800000 27052004 26052014
125p 240000 – – – 240000 01042005 31032015
14p 1550000 – – – 1550000 25082005 24082015
total 6405000 – – – 6405000  
warrants
14p 28125000 – – – 28125000 25082005 24082014
28p 28125000 – – – 28125000 25082005 24082014
42p 28125000 – – – 28125000 25082005 24082014
56p 28125000 – – – 28125000 25082005 24082014
total 112500000 – – – 112500000  
 118905000 – – – 118905000  
notes to the consolidated financial statements continued
for the year ended 31 march 2008 overview overview
33
proventec plc annual report and accounts 2008
financial statements
governance
in accordance with ifrs2 the fair value of equitysettled sharebased payments to employees is determined at the date of grant 
and is expensed on a straightline basis over the vesting period based on the group’s estimate of shares that will eventually vest 
the total charge for the year relating to employee share based payment plans was nil 2007 £nil the fair value is measured using 
the blackscholes model the fair value per option granted and the assumptions used in the calculations are as follows
  executive share options
      issue 1 issue 2
grant date      1 apr 2005 24 aug 2005
share price at grant date pence      125 1075
exercise price pence      125 14
number of shares under option      240000 1550000
vesting period years      – –
expected volatility       30 30
expected option life years      4 6
risk free rate       45 45
expected dividend yield      – –
possibility of ceasing employment before vesting     – –
expectation of meeting performance criteria      fully met fully met
fair value per option pence      004 003
the expected volatility is based on historical volatility over the last three years the expected life is the average expected period to 
exercise the risk free rate of return is the yield on zerocoupon uk government bonds of a term consistent with the assumed 
option life 
a reconciliation of option movements over the year to 31 march 2008 is shown below
     2008  2007 
     weighted  weighted 
     average  average 
    2008 exercise price 2007 exercise price 
    number pence number pence
share option and savings related schemes
outstanding at 1 april    6405000 12p 6405000 12p
granted    – – – –
exercised    – – – –
lapsed    – – – –
outstanding at 31 march    6405000 12p 6405000 12p
exercisable at 31 march    6405000 12p 6405000 12p
the expected volatility is based on historical volatility over the last three years the expected life is the average expected period to 
exercise the risk free rate of return is the yield on zerocoupon uk government bonds of a term consistent with the assumed 
option life
a reconciliation of warrant movements over the year to 31 march 2008 is shown below
     2008  2007 
     weighted  weighted 
     average  average 
    2008 exercise price 2007 exercise price 
    number pence number pence
warrants
outstanding at 1 april    112500000 35p 112500000 35p
granted    – – – –
exercised    – – – –
lapsed    – – – –
outstanding at 31 march    112500000 35p 112500000 35p
exercisable at 31 march    112500000 35p 112500000 35p overview
34
proventec plc annual report and accounts 2008
overview
financial statements
governance
22 cash flow from operating activities
      2008 2007 
      £000 £000
profit before taxation       1338 1314
depreciation of tangible and intangible assets       154 53
exchange rate differences      –  15
finance costs      1020 894
share of loss in joint venture      19 –
profit on disposal of investments       1125  1615
changes in working capital excluding effect of acquisitions and disposals   1406 631
increasedecrease in inventory      176  14
increasedecrease in trade and other receivables     3402  2341
increase in trade and other payables       761 628
cash outflow from operations      1411  1096
23 property plant and equipment
during the year the group acquired property plant and equipment of £285000 2007 £112000 by means of cash payments
24 business combinations
on 7 june 2007 the group acquired 80 of the share capital of contico manufacturing limited a manufacturer and distributor 
of janitorial equipment vacuums industrial sprayers and pump dispensers the acquired business contributed revenues of 
£7526000 and net profit of £384000 to the group for the period from 7 june 2007 to 31 march 2008 these amounts have 
been calculated using the group’s accounting policies
details of net assets acquired and goodwill are as follows
       £000
purchase consideration 
– cash paid       5474
 
total purchase consideration       5474
fair value of net assets acquired       2044
goodwill note 3       3430
the goodwill is attributable to the workforce of the acquired business and the significant synergies expected to arise after the 
group’s acquisition of contico manufacturing limited
the assets and liabilities as of 7 june 2007 arising from the acquisition are as follows
       acquiree’s 
       carrying 
      fair value amount 
      £000 £000
property plant and equipment note 1      357 357
inventories      1561 1561
trade and other receivables      2018 2018
trade and other payables      1872 1872
net assets      2064 2064
  
minority interests 20      20
net assets acquired      2044 
  
purchase consideration settled in cash       5474
cash and cash equivalents in subsidiary acquired      
cash outflow on acquisition       5474
there were no acquisitions in the year ended 31 march 2007
notes to the consolidated financial statements continued
for the year ended 31 march 2008 overview overview
35
proventec plc annual report and accounts 2008
financial statements
governance
25 employees and key management
      2008 2007 
      total total 
      £000 £000
staff costs for the group during the year
wages and salaries      1869 1289
social security costs       210 99
pension costs      56 23
      2135 1411
      2008 2007 
number of employees      number number
average number of employees      66 31
      2008 2007 
directors      £000 £000
aggregate emoluments       405 418
payments to directors consist of basic salaries fees and pension no benefits bonuses or compensation for loss of office have been 
paid
the amounts in respect of the highest paid director are as follows
      2008 2007 
      £000 £000
emoluments      156 110
26 operating lease commitments – minimum lease payments
 
 property vehicles plant and equipment
  
    2008 2007 2008 2007 
    £000 £000 £000 £000
commitments under noncancellable operating leases expiring
within one year    167 14 132 49
between two and five years    140 32 102 133
after five years    – – 19 –
    307 46 253 182
27 related parties
the group has investments in certain companies the group provides funds to these companies and charges them interest and 
management fees
the group charged £59000 to the group’s available for sale investments for accounting legal and admin services during  
the year the group has transferred £350000 to firestop chemicals limited this is to be converted into equity and loan notes  
in due course 
the group also charged £4025 to medavinci plc for legal and admin services a company that has common directorships 
at the balance sheet date the available for sale investments owed the group £453737 overview
36
proventec plc annual report and accounts 2008
overview
financial statements
governance
28 segmental reporting
the group operates under two primary segments one being the sale of cleaning products the other being the sale of fire 
retarding products the fire retardant segment information is negligible in relation to the group reported figures therefore the 
segmental disclosure requirements are not required to be disclosed in the financial statements however secondary segments are 
by geographical segments and the analysis is as follows
carrying value of segment assets by geographical location
      2008 2007 
      £000 £000
uk      27998 17839
holland      34309 29484
total      62307 47323
total costs incurred during the year to acquire segments assets
      2008 2007 
      £000 £000
uk      3665 139
holland      214 69
total      3879 208
29 contingent liabilities
on 31 march 2006 the group acquired ospreydeepclean international limited formerly innocleaning concepts uk limited the 
consideration amounted to £1 plus deferred consideration of 714279 shares which may be payable in the future the deferred 
consideration of a maximum of 714279 shares has not been provided for as its payment is dependent on a number of factors 
which at the date of these financial statements cannot be determined due to uncertainty and a reliable estimate of the likely 
outcome cannot therefore be estimated
notes to the consolidated financial statements continued
for the year ended 31 march 2008 overview overview
37
proventec plc annual report and accounts 2008
financial statements
governance
      31 march 31 march 
      2008 2007 
     notes £000 £000
fixed assets
investment in subsidiaries     2 31221 31141
current assets
debtors     3 13837 7115
cash at bank and in hand      3623 4233
      17460 11348
creditors amounts falling due within one year    4 3172 3152
net current assets      14288 8196
creditors amounts falling due after one year     5 16839 10345
      28670 28992
capital and reserves
called up share capital     6 12170 11565
share premium reserve     7 20954 20488
profit and loss account     7 4454 3061
shareholders’ funds     8 28670 28992
the financial statements were approved and authorised for issue by the board on 18 july 2008 and signed on behalf of the board 
of directors
d chestnutt
director
company balance sheet
at 31 march 2008 overview
38
proventec plc annual report and accounts 2008
overview
financial statements
governance
1 accounting policies
i basis of preparation
the company’s financial statements have been prepared under the historical cost convention and in accordance with applicable 
united kingdom accounting standards
ii deferred taxation
in accordance with frs 19 deferred tax is recognised in respect of all timing differences that have originated but not reversed at 
the balance sheet date where transactions or events that result in an obligation to pay more or a right to pay less tax in the future 
have occurred at the balance sheet date deferred tax assets are recognised only to the extent that the directors consider that it is 
more likely than not that there will be suitable taxable profit from which the future reversal of the underlying timing differences 
can be deducted
deferred tax is measured on a nondiscounted basis at the tax rates that are expected to apply in the periods in which timing 
differences reverse based on tax rates and laws enacted or substantially enacted at the balance sheet date 
iii  financial instruments
the company does not enter into hedging or speculative derivative contracts
financial assets included within current assets are stated at the lower of cost and net realisable value
2 investments in subsidiaries
       31 march 
       2008 
       £000
cost
at 1 april 2007       31141
additions       80
disposals       –
net book value at 31 march 2008       31221
net book value at 31 march 2007       31141
  no of 
  ordinary  cost    nature of 
directly held  shares held £   business
flintstone management services limited  1 100 1 sourcing and development of new 
      technologies for commercial purposes
ospreydeepclean limited  2 100 5000000 provider of steam cleaning  
     machines and accessories
innocleaning magma holdings bv  18001 100 26141354 provider of steam cleaning machines 
      and accessories and preventive coatings
invescotec limited  80000 80 80000 holding share and other investments 
      and earning investment income
  no of  
  ordinary   cost nature of  
indirectly held  shares held £ business
ospreydeepclean international limited  1000 100 1 provider of steam cleaning  
     machines and accessories
contico manufacturing limited   222758 80 5473581 manufacture and distribution of  
     janitorial equipment vacuums industrial  
     sprayers and pump dispensers
3 debtors
      2008 2007 
      £000 £000
vat recoverable      – 5
amounts due from group undertakings      13473 7038
other debtors and prepayment      364 72
      13837 7115
notes to the financial statements
for the year ended 31 march 2008 overview overview
39
proventec plc annual report and accounts 2008
financial statements
governance
4 creditors amounts falling due within one year
      2008 2007 
      £000 £000
trade creditors and accruals      1129 528
amounts owed to group undertakings      2002 –
vat payable      41 –
      3172 528
5 creditors amounts falling due after one year
      2008 2007 
      £000 £000
loan and loan notes due between one and five years     16839 10345
6 share capital
      2008 2007 
authorsied and issued      £000 £000
authorised
1000000000 2007 500000000 ordinary equity shares of £005 each    50000 25000
allotted called up and fully paid
243404855 2007 231304855 ordinary equity shares of £005 each    12170 11565
on 13 may 2008 the company’s ordinary shares were consolidated into new ordinary shares on the basis of one new ordinary 
share for every 20 existing ordinary shares following the consolidation the company’s ordinary share capital comprises of 
12170243 new ordinary shares of nominal value of £1 each the rights attached to the new ordinary shares including voting 
and dividend rights will be the same as the rights attached to the ordinary shares
on 23 january 2008 the company increased its authorised share capital from £25000000 to £50000000 by the creation of 
500000000 new ordinary shares
on 23 october 2007 the company issued 600000 ordinary shares the total amount raised amounted to £36000 the shares 
had a nominal value of 5 pence
on 2 july 2007 the company issued 11500000 ordinary shares the total amount raised amounted to £1035000 the shares 
had a nominal value of 5 pence
7 reserves
       profit 
      share and loss 
      premium account 
      £000 £000
as at 1 april 2007      20488 3061
loss for the year      – 1393
on issue of shares      466 –
as at 31 march 2008      20954 4454
8 reconciliation of movement in equity shareholders’ funds
      31 march 31 march 
      2008 2007 
      £000 £000
loss for the year      1393 1321
on issue of shares      1071 –
      322 1321
opening shareholders’ funds       28992 30313
closing shareholders’ funds      28670 28992 overview
40
proventec plc annual report and accounts 2008
overview
financial statements
governance
9 employees and key management
      2008 2007 
      total total 
staff costs for the company during the year      £000 £000
wages and salaries      247 205
social security costs       16 11
      263 216
      2008 2007 
number of employees      number number
average number of employees      9 9
      2008 2007 
directors      £000 £000
aggregate emoluments      159 144
payments to directors consist of basic salaries fees and pension no benefits bonuses or compensation for loss of office have  
been paid
notes to the financial statements continued
for the year ended 31 march 2008 overview overview
41
proventec plc annual report and accounts 2008
financial statements
governance
directors and advisers
directors
p teerlink chairman
d chestnutt chief executive
t stuecken commercial director
g hirsch nonexecutive
m hough nonexecutive
 member of audit committee and remuneration committee 
secretary
a n whiteley
registered office
knights quarter
14 st john’s lane
london
ec1m 4aj
registered number
4134409
auditors
pkf uk llp
5 temple square
temple street
liverpool
l2 5rh
bankers
royal bank of scotland
1 dale street
liverpool
l2 2pp
nominated adviser
seymour pierce limited
20 old bailey
london
ec4m 7en
broker
seymour pierce limited
20 old bailey 
london
ec4m 7en
retail broker
dowgate capital stockbrokers limited
talisman house
jubilee walk
three bridges
crawley
west sussex
rh10 1lq overview
42
proventec plc annual report and accounts 2008
overview
governance
financial statements
déclaration du président
proventec a vécu une année importante et je suis ravi de vous faire part de l’expansion continue du groupe particulièrement suite 
à l’acquisition de 80 de contico manufacturing limited “contico” en juin 2007 
opérations
la demande de la technologie développée par ospreydeepclean limited “osprey” continue de progresser dans le monde entier 
la société a conçu une gamme d’équipement exclusif de nettoyage par la vapeur et d’accessoires spécifiquement conçus pour le 
secteur des soins de santé qui fait d’osprey un leader incontesté en la matière et qui a permis au groupe de se développer de 
façon substantielle l’équipement unique d’osprey est la seule technologie validée qui présente toutes les données qui permettent 
d’étayer que notre méthode est viable pour la désinfection de surfaces et pour contrôler et prévenir proactivement les infections 
ce qui permet aux patients de demeurer dans les services hospitaliers en toute sécurité le développement de nos opérations 
osprey dans d’autres pays est l’un des piliers de notre plan stratégique de croissance il se déroule pour le mieux et de nouvelles 
voies s’ouvrent à nous 
la division de revêtements ignifuges magma continue de travailler en collaboration avec d’autres fabricants sur le développement 
de nouveaux produits plus précisément nous sommes actuellement en pourparlers pour une collaboration commerciale avec une 
société européenne de traitement du bois de construction qui est une division d’un prestigieux conglomérat européen et qui 
assurera la distribution des produits magma
alternext
au mois de décembre de l’an dernier après consultation de certains de nos principaux investisseurs basés sur le continent 
européen nous avons opté pour la double cotation du groupe sur alternext un marché créé par nyse euronext à paris forte du 
soutien de nos actionnaires la cotation s’est achevée et proventec a été admise à la négociation le 22 mai 2008 
proventec était la première société à avoir une double cotation alternext aim et le groupe a déjà noté un intérêt accru des 
investisseurs hors royaumeuni 
nous estimons que cette initiative permettra à proventec d’accéder aux marchés de capitaux de l’europe continentale qui pour 
leur part donneront au groupe une plus grande flexibilité
dans cet exercice la société a procédé au mois de janvier à une levée de fonds d’un montant de £406 millions sous forme 
d’emprunt convertible amortissable à un taux de 85 ces fonds seront consacrés à l’expansion en 2008 des activités de trading 
du groupe nous cherchons à acquérir une participation majoritaire dans une petite entreprise complémentaire de fabrication 
d’équipement en allemagne nous considérons également d’autres technologies de nettoyage spécialisé dans les pays du benelux 
dans le cadre de notre double cotation nous avons l’intention d’inscrire nos prêts convertibles à la cote du marché alternext 
le cours des actions de la société est désormais coté en livres sterling sur l’aim et en euros sur alternext notre site web  
wwwproventecplccom suit les cotations en direct des deux marchés
nomination 
l’an dernier au mois de septembre nick whiteley avocat chevronné spécialisé en droit commercial a rejoint notre groupe en tant 
que secrétaire général l’équipe de direction se trouve enrichie par la présence de nick et son expérience en matière de législation 
européenne des affaires a d’ores et déjà été des plus précieuse au groupe 
pour conclure je tiens à remercier tous les membres du personnel du groupe qui ont travaillé sans relâche à la progression du 
groupe tout au long de cette année le conseil se félicite du développement du groupe et je suis impatient de vous communiquer 
notre croissance pour 2008 et 2009 
peter teerlink
président overview overview
43
proventec plc annual report and accounts 2008
governance
financial statements
rapport du directeur exécutif
j’ai le plaisir de vous soumettre les résultats de l’exercice clôturé au 31 mars 2008 de ce qui ont été douze mois particulièrement 
bien remplis 
faits saillants
chiffre d’affaires du groupe en progression 188 à £143 millions 2007 £496 millions suite à l’acquisition de contico 
chiffre d’affaires du groupe osprey en progression de plus de 35
ebitda en progression à £251 millions 2007 £226 millions
en janvier 2008 levée de fonds de £406 millions sous forme d’emprunt convertible  amortissable à un taux de 85 
au 31 mars 2008 les encaisses du groupe s’élevaient à £404 millions 
ospreydeepclean
ospreydeepclean limited “osprey” est spécialisé dans la technologie du nettoyage par vapeur saturée à basse pression qui 
permet de désinfecter sans utilisation de produits chimiques et de façon efficace et d’éliminer instantanément germes et 
bactéries y compris le staphylocoque doré résistant à la méthicilline le clostridium difficile et l’ecoli economique respectueuse 
de l’environnement cette technologie garantit de meilleures normes de propreté que les méthodes de nettoyage conventionnelles 
elle permet de réaliser de substantielles économies d’eau et de produits chimiques 
en novembre 2007 le university college hospital london a élaboré un rapport qui est actuellement le plus complet et le plus 
détaillé du secteur des soins de santé en matière de nettoyage hygiénique sans recours à des produits chimiques cette étude de 
l’efficacité du nettoyage bactéricide menée conjointement avec les accessoires spécialisés et l’équipement de vapeur sèche osprey 
a défini de nouvelles normes en matière d’hygiène hospitalière et redéfini la notion de « propre » 
après son évaluation par les pairs menée par la société européenne de tests tno basée à amsterdam ce rapport a été clôturé 
en mars 2008 et devrait être publié dans le courant de l’année les résultats ont déjà reçu un bon accueil de la part de toutes les 
parties du secteur des soins de santé ayant un intérêt dans le nettoyage bactéricide 
les résultats du rapport a été présentés dans un certain nombre de conférences sur les soins de santé des présentations ont 
également été faites à des sommités du monde du contrôle des infections y compris à des professeurs et à des directeurs de 
services de contrôle des infections de grands hôpitaux de grandebretagne des paysbas de france du canada des etatsunis 
et d’arabie saoudite ces présentations ont débouché sur des négociations commerciales dans tous ces pays 
a la même époque début 2008 osprey a été choisi comme fournisseur exclusif d’équipement de nettoyage spécialisé par la 
vapeur par la nhs purchase and supply agency suite à cette nomination les ventes de machines dans le secteur des soins de 
santé ont bondi au premier trimestre 2008 largement aidées par la décision du gouvernement britannique d’allouer des fonds 
supplémentaires pour un nettoyage en profondeur des hôpitaux du pays 
au royaumeuni les pressions législatives et les objectifs de performance encouragent hôpitaux et fondations à reconnaître 
qu’il est important de maintenir des normes élevées de propreté ces nivaux peuvent être atteints grâce au nettoyage régulier 
quotidien à la vapeur sèche les nouveaux accessoires spécialisés osprey et les manuels et procédures d’utilisation normalisées 
de la société lui ont permis d’asseoir sa position de fournisseur leader du secteur 
osprey poursuit sa recherche de nouveaux marchés dans le secteur des soins de santé en europe et au moyenorient et a signé 
une licence au mois de mars de cette année avec un groupe hospitalier privé japonais nous estimons que cet accord devrait 
déboucher sur des commandes substantielles pour les quatre ou cinq années à venir en europe centrale et au japon 
audelà du secteur de la santé la vente de nos machines de nettoyage par vapeur sèche se poursuit dans une multitude de pays 
où nous avons des réseaux de distribution des industries comme l’horeca l’industrie alimentaire et le détail sont à la recherche de 
nettoyage très performant à moindre coût en particulier nous continuons à remporter un joli succès sur le marché agroalimentaire 
nordaméricain où les normes d’hygiène prennent de plus en plus en considération les préoccupations des consommateurs 
contico manufacturing
contico manufacturing limited “contico” dont nous avons fait l’acquisition en juin 2007 a considérablement contribué à la 
progression des résultats financiers du groupe contico est un fabricant et un distributeur de matériel de nettoyage et d’hygiène 
qui jouit d’une excellente réputation dans son secteur même si le secteur du nettoyage et des fournitures de nettoyage et 
d’entretien est un marché conservateur contico a réussi à développer ses affaires et est en croissance constante depuis ces douze 
derniers mois 
la pression des coûts est comme c’est le cas pour de nombreuses sociétés au royaumeuni considérable elle s’explique par 
l’envolée du prix du pétrole qui affecte le transport la distribution et le coût des matières premières des produits en plastique qui 
plus est la force de l’euro face à la livre sterling a aggravé le coût de nombreux produits importés en dépit de ces circonstances 
contico est constamment à la recherche de nouveaux produits innovants pour le marché de l’hygiène et compte étendre ses 
affaires en europe en utilisant les connexions et les relations du groupe




 overview
44
proventec plc annual report and accounts 2008
overview
financial statements
governance
biocote
biocote limited “biocote” est une société dont nous sommes actionnaires à hauteur de 31 elle offre une technologie d’enduit 
antimicrobien à base d’additif d’argent les produits traités au biocote offrent une plus grande résistance au développement de 
bactéries et biocote peut être considéré comme étant une deuxième ligne de défense contre les infections nosocomiales après le 
nettoyage biocote a participé avec la fondation nhs heart of england à une étude comparative de deux services de consultation 
externe hospitalière seuls les meubles et les équipements du premier service ont reçu une protection antibactérienne biocote les 
résultats de ces essais montrent que le service traité au biocote contenait 958 de bactéries de moins que le service non traité 
par des produits à base d’argent l’additif d’argent de biocote confère au produit une protection antibactérienne propre et il peut 
être appliqué sur une grande variété de matériaux plastiques tissus peintures revêtements en poudre et papiers
en tant que groupe nous développons un certain nombre d’autres produits pour élargir et compléter notre offre de nettoyage 
bactéricide au secteur de l’hygiène spécialisée 
revêtements préventifs
la division de revêtements magma basée à rotterdam poursuit le développement de sa gamme de produits ignifuges magma 
firestop en collaboration avec firestop chemicals limited “firestop” un investissement soutenu par le groupe elle offre 
désormais une vaste gamme de produits retardateurs de flamme appliqués en traitement postproduction sur des produits allant du 
sapin de noël aux toits de chaume en passant par le bois de construction dont le contreplaqué la société a également développé 
une gamme de peintures retardatrices de flamme y compris une peinture au latex la société cherche à distribuer ses produits par 
le truchement de sociétés et de groupes à la structure de distribution déjà bien implantée magma travaille également à la mise au 
point d’un système retardateur de flamme dans un programme de construction et de rénovation d’écoles en scandinavie 
firestop s’approvisionne désormais en noflan le produit retardateur de flamme pour tissus auprès d’un fabricant indien le 
développement des installations de production de bizon notre retardateur de flamme pour polymères se poursuit 
innoshield un revêtement protégeant du rayonnement ultraviolet est en phase d’essai comme traitement de protection et de 
restauration de la fibre de verre dans le secteur de la marine mélangé à un autre produit il a également des propriétés de produit 
de peinture antirouille une propriété précieuse pour de nombreuses grandes industries nous prévoyons que ces essais se 
transforment en produits commercialisables en 2009 
conclusion
cette dernière année a été le théâtre d’une formidable consolidation du groupe et de nouvelles bases ont été jetées pour le 
développement et la croissance à venir 
nous estimons que le groupe poursuivra sa progression ces douze prochains mois en particulier pour ce qui concerne notre 
technologie désormais éprouvée de nettoyage par vapeur sèche de plus en plus admise et acceptée par les preneurs de décision 
du marché des soins de santé et de celui de l’industrie alimentaire
david chestnutt
directeur exécutif
rapport du directeur exécutif continué overview overview
45
proventec plc annual report and accounts 2008
financial statements
governance
rapport des directeurs
les directeurs présentent leur rapport annuel sur les affaires du groupe avec les comptes annuels et le rapport des vérificateurs 
pour l’exercice clôturé au 31 mars 2008 
principales activités du groupe 
au 31 mars 2008 le groupe a pour activité particulière de fournir des solutions d’hygiène de pointe basées sur des technologies 
de nettoyage par la vapeur  de fabriquer et de distribuer de l’équipement de service et d’entretien des aspirateurs des 
vaporisateurs industriels des flacons à bouchon gicleur et des revêtements prophylactiques dans des secteurs du marché exigeant 
les normes les plus sévères en matière d’hygiène et de sécurité  et de trouver des fournisseur et de développer de nouvelles 
technologies à des fins commerciales 
 
diagnostic
le diagnostic se trouve aux pages 4 à 7 du rapport du directeur général 
risque principal
les directeurs considèrent que le risque majeur que courent la croissance et le développement des affaires serait de faillir à la 
fourniture correcte et en temps et en heure de l’équipement pour la revente de façon à satisfaire la demande les directeurs 
prennent des mesures raisonnables pour minimiser l’impact de ce risque sur les affaires 
résultats financiers et dividendes
le bénéfice non distribué de l’année s’élève à £1318000 les directeurs ne recommandent pas la distribution des dividendes 
directeurs
des détails sur chaque directeur ayant œuvré cette année se trouvent page 8 conformément aux clauses statutaires tous les 
directeurs doivent se retirer en rotation 
le directeur qui se retirent en rotation est david chestnutt
participation des directeurs en matière d’options d’achat d’actions 
la société a des systèmes d’actionnariat aux termes desquels les directeurs peuvent souscrire des actions ordinaires dans la société 
les directeurs en poste au 31 mars 2008 avaient les participations suivantes sur les options de souscription d’action
       prix 
   actions  date  d’exercice 
   ordinaires date de d’expiration date par action 
   sur options délivrance des options annulation ordinaire
d chestnutt   240000 19062002 19062012 – 33p
   800000 27052004 27052014 – 6p
g hirsch   400000 19062002 19062012 – 33p
   550000 27052004 27052014 – 6p
m hough   550000 27052004 27052014 – 6p
t stuecken   1000000 24082005 24082015 – 14p
p teerlink   550000 24082005 24082015 – 14p
le 13 mai 2008 les actions ordinaires de la société ont été consolidées par de nouvelles actions ordinaires à raison d’une nouvelle 
action ordinaire pour 20 actions ordinaires existantes a cette même date de nouvelles options d’achat d’actions ont été octroyées 
et les prix d’exercice des options existantes ont été convertis conformément à la consolidation des actions ordinaires  overview
46
proventec plc annual report and accounts 2008
overview
governance
financial statements
rapport des directeurs continué
participation des directeurs en matière d’options d’achat d’actions suite
a la date de signature de ce rapport la participation des directeurs en matière d’options d’achat d’action pour souscrire des 
actions est la suivante  
       prix 
   actions  date  d’exercice 
   ordinaires date de d’expiration date par action 
   sur options délivrance des options annulation ordinaire
d chestnutt   12000 19062002 19062012 – 660p
   40000 27052004 27052014 – 120p
   150000 13052008 13052018 – 1375p
g hirsch   20000 19062002 19062012 – 660p
   27500 27052004 27052014 – 120p
m hough   27500 27052004 27052014 – 120p
t stuecken   50000 24082005 24082015 – 280p
   300000 13052008 13052018 – 1375p
p teerlink   27500 24082005 24082015 – 280p
   150000 13052008 13052018 – 1375p
participations substantielles
au18 juillet 2008 la société est informée que les personnes suivantes détiennent 3 ou davantage du capital émis
       pourcentage de  
       participation au  
nom de l’actionnaire       18 juillet 2008 
innocleaning concepts holdings bv       369
schroder uk smaller companies       63
euroclear nominees ltd eocef acct       52
rbs as trustee for the rathbone special situation fund      32
abn amro       32
clear stream – lux re half pct clearstream clearstream banking sa     32
ing bank global custody nv       30
dons de bienfaisance et donations politiques au royaumeuni 
aucun don de bienfaisance ni de don politique n’a été fait pendant l’année 2007 zéro
paiement des fournisseurs
le groupe a normalement pour politique de payer les fournisseurs conformément aux conditions générales de vente convenues 
ces conditions sont convenues avec les fournisseurs en début de contrat et la politique du groupe est de respecter les conditions 
de paiement pour autant que le fournisseur remplisse ses obligations 
information fournie aux vérificateurs
toute personne étant directeur à la date de l’approbation de ce rapport annuel confirme le fait que  
pour autant que le directeur le sache il n’y a aucune information pertinente pour la vérification qui ne soit pas de la 
connaissance des vérificateurs de la société et que
le directeur a pris toutes les mesures nécessaires s’informer de toute information pertinente pour la vérification et pour faire 
en sorte que les vérificateurs aient connaissance de telles informations 
vérificateurs
a l’occasion de l’assemblée générale annuelle une résolution sera proposée pour reengager pkf royaumeuni llp en tant que 
vérificateur de la société et pour autoriser les directeurs à déterminer leur rémunération
assemblée générale annuelle
l’assemblée générale annuelle de la société se tiendra au 810 grosvenor gardens londres sw1w 0dh le 15 septembre 2008 à 1130 
l’avis de convocation est joint au document qui accompagne le rapport et les comptes une résolution sera proposée au titre de 
résolution spéciale lors de l’assemblée une explication de cette résolution est donnée dans la lettre d’accompagnement 
par ordre du conseil
d chestnutt
directeur
le 18 juillet 2008

 overview overview
47
proventec plc annual report and accounts 2008
governance
financial statements
bilan consolidé
pour l’exercice cloture au 31 mars 2008
      2008 2007 
      €000 €000
actifs
actifs non courants
immobilisations corporelles      868 231
goodwill      46801 43913
autres immobilisations incorporelles      4858 4839
actifs financiers disponibles à la vente      3548 4140
part de l’actif net associé      27 –
      56048 53123
actifs à court terme
stock      2812 728
clients et autres créances      14424 7567
liquidités      5093 8000
investissements destinés à être cédés      126 147
      22455 16442
total de l’actif      78503 69565
passif
capitaux propres du groupe
capital social      15534 17000
autres réserves      34397 32824
bénéfices non répartis      1077 3194
      48854 46630
intérêts minoritaires      40 –
total capitaux propres      48894 46630
passif non courant
emprunts à long terme      21136 15221
impôts reportés de l’exercice      651 1136
total passif non courant      21787 16357
passif à court terme
fournisseurs et comptes rattachés      7477 2706
portion actuelle des emprunts à long terme      74 3872
impôts courants      271 –
total passif à court terme      7822 6578
total du passif      29609 22935
total capitaux propres et passif      78503 69565
les états financiers ont été approuvés et leur publication a été autorisée par le conseil le 18 juillet 2008 et ils ont été signés en son 
nom par d chestnutt  overview
48
proventec plc annual report and accounts 2008
overview
governance
financial statements
état des résultats consolidé
pour l’exercice cloture au 31 mars 2008
      exercice exercice 
      clôturé au clôturé au 
      31 mars 31 mars 
      2008 2007 
      €000 €000
revenu      19778 7296
coût des produits vendus      10798 2574
bénéfice brut      8980 4722
marge bénéficiaire brute      1586 2374
autres  frais administratifs      7215 3559
frais de crédit      1438 1314
part de la perte d’exploitation des sociétés affiliées     27 –
bénéfice avant impôts      1886 1932
charge d’impôts de l’exercice      10 350
résultat de l’exercice      1876 1582
intérêts minoritaires      18 –
résultat pour la période concernant les capitaux propres     1858 1582
bénéfice par action en pence
avant dilution      154 131
après dilution      154 131 overview overview
49
proventec plc annual report and accounts 2008
governance
financial statements
état consolidé des revenus et des dépenses constatés
pour l’exercice cloture au 31 mars 2008
      exercice exercice 
      clôturé au clôturé au 
      31 mars 31 mars 
      2008 2007 
      €000 €000
résultat de l’exercice      1858 1582
différences nettes de change résultant de la conversion des opérations à l’étranger   7080 836
total des revenus constatés pour l’exercice     8938 746
imputable aux capitaux propres du groupe     8938 746 overview
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proventec plc annual report and accounts 2008
overview
financial statements
governance
état du flux de trésorerie consolidé
pour l’exercice cloture au 31 mars 2008
      2008 2007 
      €000 €000
flux de trésorerie résultant des activités d’exploitation
trésorerie générée par les opérations      2922 1611
intérêts reçus      496 343
intérêts payés      1607 1870
impôts payés      164 10
flux de trésorerie net résultant des activités d’exploitation    4197 3148
flux de trésorerie résultant des activités d’investissement
acquisition de filiales nettes de la trésorerie acquise     7718 –
acquisition d’investissements      – 810
montant de la vente des immobilisations corporelles     4 –
produit de la vente d’investissements      – 5502
achat d’immobilisations corporelles      402 165
achat d’actifs incorporels      137 141
capital social acquis par les intérêts      28 –
flux de trésorerie net résultant des activités d’investissement    8225 4386
flux de trésorerie résultant des activités de financement
produit des nouveaux emprunts      2575 –
produit de l’émission du capital social      7185 –
paiement du créditbail      25 6
frais liés à l’émission de valeur mobilière      220 
flux de trésorerie net résultant des activités de financement    9515 6
augmentation des liquidités      2907 1232
liquidités au début de l’exercice      8000 6768
liquidités à la fin de l’exercice     7 5093 8000 overview overview
51
proventec plc annual report and accounts 2008
financial statements
governance
notice of annual general meeting
notice is hereby given that the 2008 annual general meeting of proventec plc “the company” will be held at  
30 st james’s square london sw1y 4al on 15 september 2008 at 1130am for the following purposes
ordinary business
to consider and if thought fit to pass the following resolutions which will be proposed as ordinary resolutions
1 to receive and consider the company’s annual accounts for the financial period ended 31 march 2008 together with the 
reports of the directors and auditors thereon 
2 to reelect david chestnutt who retires by rotation in accordance with the company’s articles of association as a director
3 to reappoint pkf uk llp as auditors to hold office from the conclusion of this meeting to the conclusion of the next general 
meeting at which accounts are laid before the company at a remuneration to be determined by the directors
special business
to consider and if thought fit pass the following resolutions of which resolutions 4 and 5 will be proposed as ordinary 
resolutions and resolution 6 will be proposed as a special resolution
ordinary resolutions
4 that the authorised share capital of the company be increased from £50000000 to £54000000 by the creation of 
4000000 ordinary shares of £1 each
5 that the directors be and they are generally and unconditionally authorised in accordance with section 80 of the companies 
act 1985 “the act” to exercise all the powers of the company to allot relevant securities within the meaning of section 802 
of the act up to a nominal amount of £41829757 for a period expiring at the conclusion of the annual general meeting of 
the company to be held in 2013 or if earlier upon the fifth anniversary of the passing of this resolution provided that the 
company may pursuant to this authority make offers or agreements before the expiry of this authority which would or might 
require relevant securities be allotted after such expiry and the directors may allot relevant securities in pursuance of such offers 
or agreements as if the authority conferred hereby had not expired and that this authorisation shall be in substitution for all 
previous authorities conferred on the directors in accordance with section 80 of the act 
special resolution
6 that the directors be empowered pursuant to section 95 of the act to allot equity securities as defined in section 942 of  
the act pursuant to the authority conferred by resolution 5 above as if section 891 of the act did not apply to such allotment 
provided that this power shall be limited to 
a the allotment of up to 5357143 ordinary shares of £1 each in the capital of the company “ordinary shares” in connection 
with the conversion of the loan notes issued pursuant to the loan note instrument executed by the company on 24 august 
2005 as amended and restated by amendment and restatement deeds dated 8 march 2006 and 27 march 2008 respectively
b the allotment of up to 1406250 ordinary shares in the capital of the company at a price of £280 per ordinary share  
in connection with the exercise of series 1 warrants issued pursuant to the series 1 warrant instrument executed by the 
company on 24 august 2005 
c the allotment of up to 1406250 ordinary shares in the capital of the company at a price of £560 pence per ordinary share 
in connection with the exercise of series 2 warrants issued pursuant to the series 2 warrant instrument executed by the 
company on 24 august 2005
d the allotment of up to 1406250 ordinary shares in the capital of the company at a price of £840 pence per ordinary 
share in connection with the exercise of series 3 warrants issued pursuant to the series 3 warrant instrument executed  
by the company on 24 august 2005
e the allotment of up to 1406250 ordinary shares in the capital of the company at a price of £1120 pence per ordinary 
share in connection with the exercise of series 4 warrants issued pursuant to the series 4 warrant instrument executed  
by the company on 24 august 2005 
f the grant of options over ordinary shares pursuant to the terms of the company’s share option schemes representing up to 
10 of the issued share capital of the company from time to time and the issue of ordinary shares pursuant to the exercise 
of such options
g the allotment other than pursuant to paragraphs a to f above of equity securities up to a maximum aggregate nominal 
amount of £1217024 being approximately 10 of the issued ordinary share capital of the company at the date hereof  52
proventec plc annual report and accounts 2008
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financial statements
overview
h the allotment other than pursuant to paragraphs a to g above of equity securities up to a maximum aggregate nominal amount 
of £24413566 less the nominal value of any equity securities issuable pursuant to any exercise of the authority referred to in 
paragraph i below at a price per share which is not less than the average closing mid market price of the company’s ordinary 
shares on aim as certified by the company’s nominated brokers for the 10 business days prior to their allotment
i the issue of debt or debt securities convertible into equity securities provided always that
a the debt or debt securities in question must not be convertible into equity securities at a conversion value of less than 
the average closing mid market price of the company’s ordinary shares on aim as certified by the company’s nominated 
brokers for the 10 business days prior to the issue of the debt or debt securities in question
b the maximum nominal value of the equity securities into which such debt or debt securities is convertible shall not 
exceed £24413566 less the nominal value of any equity securities issued pursuant to any exercise of the authority 
referred to in paragraph h above and 
j the allotment other than pursuant to paragraphs a to i above of equity securities up to a maximum aggregate nominal 
amount of £4000000 in connection with the issue of ordinary shares instead of the payment of corresponding cash 
interest to some or all of the holders of the loan notes referred to at paragraph a above in respect of some or all of the 
corresponding cash interest as the holder in question may elect from time to time provided that such shares are issued at a 
price per share or deemed by reference to the corresponding cash interest price per share which is not more than a 15 
discount to the weighted average closing mid market price of the company’s ordinary shares on aim as certified by the 
company’s nominated brokers for such period as may be specified from time to time in the loan note instrument as 
amended and restated from time to time
provided that this power shall expire at the conclusion of the annual general meeting of the company to be held in 2013 or if 
earlier upon the fifth anniversary of the passing of this resolution save that the company may make offers or agreements which 
would or might require equity securities to be allotted in pursuance of such offers or agreements as if the power conferred hereby 
had not expired and that this power shall be in substitution for all powers previously conferred upon the directors pursuant to 
section 95 of the act 
by order of the board
a n whiteley
company secretary
registered office knights quarter 14 st john’s lane london ec1m 4aj 
14 august 2008
notes
1  pursuant to regulation 41 of the uncertificated securities regulations 2001 the company specifies that only those members registered on the company’s 
register of members at 6pm on 13 september 2008 shall be entitled to attend and vote at the meeting
2  if you are a member of the company at the time set out in note 1 above you are entitled to appoint a proxy to exercise all or any of your rights to attend speak 
and vote at the meeting and you should have received a proxy form with this notice of meeting you can only appoint a proxy using the procedures set out in 
these notes and the notes to the proxy form
3  a proxy does not need to be a member of the company but must attend the meeting to represent you details of how to appoint the chairman of the meeting 
or another person as your proxy using the proxy form are set out in the notes to the proxy form 
4  you may appoint more than one proxy provided each proxy is appointed to exercise rights attached to different shares you may not appoint more than one 
proxy to exercise rights attached to any one share to appoint more than one proxy please contact the company’s registrars at the address set out in note 5
5  the notes to the proxy form explain how to direct your proxy how to vote on each resolution or withhold their vote
 to appoint a proxy using the proxy form the form must be
 • completed and signed
 • sent or delivered to capita registrars at capita registrars proxies the registry 34 beckenham road beckenham kent br3 4tu and
 •  received by capita registrars no later than 1130am on 13 september 2008
  in the case of a member which is a company the proxy form must be executed under its common seal or signed on its behalf by an officer of the company  
or an attorney for the company
  any power of attorney or any other authority under which the proxy form is signed or a duly certified copy of such power or authority must be included with 
the proxy form
6  in the case of joint holders where more than one of the joint holders purports to appoint a proxy only the appointment submitted by the most senior holder 
will be accepted seniority is determined by the order in which the names of the joint holders appear in the company’s register of members in respect of the 
joint holding the firstnamed being the most senior
7  as at 600pm on the day immediately prior to the date of posting of this notice of annual general meeting the company’s issued share capital comprised 
12170243 ordinary shares of £1 each each ordinary share carries the right to one vote at a general meeting of the company and therefore the total number  
of voting rights in the company as at 6pm on the day immediately prior to the date of posting of this notice of annual general meeting is 12170243
notice of annual general meeting continued overview
governance
financial statements
proventec plc annual report and accounts 2008
proventec’s strategy is to be the leading 
provider of cutting edge hygiene solutions
based on steam technologies and preventative 
coatings which are both environmentally friendly 
and cost effective the market sectors requiring the 
highest hygiene and safety standards will be targeted 
the company will pursue this strategy by organic 
growth the development of new and compatible 
technologies and by strategic commercial acquisitions
contents
01  highlights
02   chairman’s statement
03  business overview
08   chief executive’s report
10 board of directors
01
11  director’s report
14   statement of directors’ responsibilities
15   independent auditors’ report to the members of proventec plc
11
16  consolidated balance sheet
17  consolidated income statement
18   consolidated statement of recognised income and expense
19  consolidated cash flow statement
20  accounting policies
25  notes to the consolidated financial statements
37   company balance sheet
38   notes to the financial statements
41  directors and advisers
42  french translation of chairman’s statement
43  french translation of chief executive’s report
45  french translation of directors’ report
47 french translation of consolidated balance sheet
48 french translation of consolidated income statement
49 french translation of consolidated statement of recognised income and expense
50 french translation of consolidated cash flow statement
51 notice of annual general meeting
16
overview
governance
financial statements proventec plc
annual report and accounts 2008
08
proventec plc
49 rodney street
liverpool
l1 9ew
t 44 0151 706 0626
f 44 0151 706 0627
e infoproventecplccom
wwwproventecplccom
proventec plc annual report and accounts 2008


Summary:
 overview
governance
financial statements
08
proventec plc annual report and accounts 2008
overview
governance
financial statements
the last year has seen 
considerable consolidation 
within the group and the 
laying of solid foundations 
for our development and 
future growth 
i am pleased to report the results for the year ended 
31 march 2008 in what has been an extremely busy 
12 month period
financial highlights
group turnover up 188 to £143 million 2007 
£496 million following acquisition of contico 
osprey group turnover has increased by over 35
ebitda increased to £251 million  
2007 £226 million
raised £406 million by an issue of 85 convertible 
redeemable loan notes in january 2008
the group’s cash balances at 31 march 2008 
stood at £404 million 
ospreydeepclean
ospreydeepclean limited “osprey” specialises in dry 
steam cleaning technology which effectively sanitises 
an area without the use of chemicals instantly 
removing all germs and bacteria including mrsa 
clostridium difficile and ecoli the technology 
provides higher standards of cleanliness compared  





chief executive’s report
david chestnutt
to conventional methods and it is also more 
environmentally and economically friendly providing 
considerable savings in water and chemical usage 
in november 2007 the most detailed and complete 
healthcare report to date on hygienic cleaning 
without the use of chemicals was prepared by 
university college hospital london this study into 
the efficacy of bactericidal cleaning in conjunction 
with osprey’s dry steam equipment and specialist 
tooling has set new standards for hospital hygiene 
and redefined “clean” 
following peer review by tno a european testing 
house based in amsterdam this report was signed 
off in march 2008 and is due to be published later 
this year the results have already been welcomed  
by all parties in the healthcare sector that have an 
interest in bactericidal cleaning 
the results of the report have been presented at a 
number of healthcare conferences presentations have 
also been made to some of the leading advocates  
in the infection control arena including professors 
and directors at major hospitals in the uk holland 
france canada united states of america and saudi 
arabia these presentations have led to a number of 
commercial discussions in all these countries 
at the same time early in 2008 osprey was 
nominated as the sole supplier of specialist steam 
cleaning equipment by the nhs purchase and supply 
agency as a result the sales of machines into the 
healthcare sector have increased dramatically in  
the first quarter of 2008 largely helped by the uk 
government making additional funding available for 
deep cleaning of hospitals across the country 
legislative pressures and performance targets in the 
uk are encouraging hospitals and trusts to recognise 
the importance of maintaining high standards of 
cleanliness such levels can be achieved by dry steam 
cleaning on a regular and daily basis the new osprey 
specialist tooling accessories together with the 
company’s standard operating procedures and 
manuals have enabled osprey to establish itself 
as the leading provider in this sector 
osprey continues to seek new markets in the 
healthcare sector in europe and the middle east 
in march this year the group signed a licence with  
a private japanese hospital group that we believe 
will lead to substantial orders over the next four 
to five years in central europe and japan 
beyond the healthcare sector the sale of our dry 
steam cleaning machines continues in the multitude 
of countries in which we have distribution channels  overview
governance
financial statements
overview
governance
financial statements
09
proventec plc annual report and accounts 2008
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industries such as hospitality food manufacturing 
and retail are looking for cost effective means of 
superior cleaning in particular we continue to 
achieve success in the us commercial food factory 
market where standards of hygiene are increasingly 
being driven by consumer concerns 
contico manufacturing
contico manufacturing limited “contico” in which 
the group acquired an 80 stake in june 2007 has 
provided a significant contribution to the group’s 
financial results contico is a manufacturer and 
distributor of cleaning and hygiene equipment and 
has an excellent reputation in its field although  
the cleaning market including janitorial supplies 
is typically conservative contico has developed its 
business over the past 12 months and during this 
time has shown steady growth 
like many businesses in the uk the company has seen 
considerable cost pressures due to the high cost of 
fuel which affects transport distribution and the raw 
material cost of plastic products additionally the 
strength of the euro against sterling has increased the 
cost of many imported products however contico is 
continually sourcing new and innovative products and 
intends to expand its business into europe using the 
connections and relationships within the group 
biocote
biocote limited “biocote” a company in which the 
group has a 31 stake offers a coating technology 
based on a silver additive biocote treated products 
have a higher resistance to the development of 
bacteria and biocote can be seen as a second line of 
defence against community acquired infections after 
cleaning biocote took part in a study with the heart 
of england nhs foundation to compare two out
patient wards the first ward contained furniture  
and equipment incorporating biocote’s antibacterial 
protection the second ward contained standard and 
nontreated items the results from the trials show 
that the facility using biocote had 958 less 
bacteria in the environment than the ward with no 
silver based products biocote’s silver additive gives 
the product builtin antibacterial protection and can 
be incorporated into a variety of materials including 
plastics fabrics paints powder coatings and papers
as a group we are developing a number of other 
products to further our comprehensive bactericidal 
cleaning offering to the specialist hygiene sector 
preventative coatings
the magma coatings division based in rotterdam has 
continued to develop its range of magma firestop 
products in conjunction with firestop chemicals 
limited “firestop” an investment held by the 
group it now has an extensive range of flame 
retardant products that are applied as a post
manufacturing treatment to products such as 
christmas trees roofing thatch and timbers including 
plywood the company has also developed a range 
of flame retardant paints including latex paint the 
company is seeking to distribute its products through 
companies and groups that already have established 
routes to market magma is also working on a flame 
retardant system for a programme of renovation and 
newbuild for schools in scandinavia 
firestop has sourced alternative manufacture  
of noflan the flame retardant for fabrics from  
an indian manufacturer the development of 
manufacturing facilities for bizon our flame  
retardant for polymers is continuing 
innoshield an ultraviolet preventative coating 
is being trialled as a protective and restorative 
treatment for fibreglass in the marine sector it also 
in conjunction with another product has properties 
as a paint system for inhibiting rust a valuable 
property for multiple large industries we expect  
this to lead to commercial developments in 2009 
conclusion
the last year has seen considerable consolidation 
within the group and the laying of solid foundations 
for our development and future growth 
over the next 12 months we expect to see continued 
growth in the group especially with our proven dry 
steam cleaning technology as it receives further 
credence and acceptance from the key decision 
makers in the healthcare and food industry markets
 
david chestnutt
chief executive