Cauta Capital files accounts; £7 million of creditors, £70 million of investments parachuted in?

Cauta Capital issues unregulated bonds paying 7-11% interest with a 10 year term.

The company has recently filed its accounts for the year ending April 2018. Due to Cauta's small size, they were unaudited and did not include a profit and loss account.

The accounts show net assets of £70 million, consisting predominantly of £70 million of investments under "Fixed assets" (described later as "a portfolio of listed shares"), a further £7 million of current assets, minus £7 million of creditors (i.e. bondholders). Which seems like a pretty healthy financial position.

The accounts however immediately raise the question; where did this £70 million in investments come from?

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