Latest AIM Breakfast

AIM Breakfasts

AIM BREAKFAST – 22nd May 2017

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 963

Total number of AIM Companies trading: 938*
* As at 22 May 2017

Dish of the Day:

Grand Fortune High Grade (GFHG.L) due to join Standard List Today. Raising £4.3m at 10p. Intends to establish itself as a provider of financial training courses in China. £17.9m mkt cap assuming warrant conversion.

Off the Menu:

No AIM Leavers Today

Set Menu ISDX Growth:

Total number of ISDX Growth Market Companies (Incl Susp): 84*

Total number of ISDX Growth Market Companies trading: 80*
* As at 22 May 2017

Dish of the Day:

No NEX Growth Market Joiners Today

Off the Menu:

No NEX Growth Market Leavers Today

What’s Cooking in the IPO Kitchen?

AIM I3 Energy –Schedule 1. Independent oil and gas company with assets and operations in the UK. Offer TBC, 26 May admission.
Opera Investments –Reverse Takeover of Kibo Mining’s subsidiary Kibo Gold. Raising £1.5m. Expected mkt Cap £6.5m. 23 May.
Verditek— Schedule 1 update. On Admission, the Company’s subsidiaries will be involved in advanced solar photovoltaic, filtration and absorption technologies specialising in providing environmental services. Issue price 10p. Admission in late May.
Tiso Blackstar Group—Schedule 1 update. Media, entertainment and marketing solutions group/ £160m mkt cap. Admission only. Expected late June.
Main Market Premium Listing Flying Brands (FBDU.L)—Prospectus approved by FCA. RTO of Stone Checker Software, supplier of technology solutions in the field of kidney stone analysis and prevention. Has raised £550k at 3p. Subject to GM on 15 Jun.
AEW UK Long Lease REIT—Intention to Float. Up to £150m raise. Admission early June. UK specialist and alternative property
Alfa Financial Software –Intention to float. Mission-critical software platform purpose-built for asset finance enterprises. Vendor sale of 25% plus. FYDec16 rev £73.3m (CAGR of 24% from 2012). Adjusted EBIT £32.8m.
Kuwait Energy— $150m raise plus vendor offer. Admission due June. 2p reserves 810.0 mmboe Main Market Standard Listing
ADES International— Provider of offshore and onshore oil and gas drilling and production services in the Middle East and Africa, seeking raise up to $170m plus vendor sale under a Standard Listing of the Main Market. Admission due May 2017. Main Market Specialist Funds Tufton Oceanic Assets– Extended to 9 May on specialist funds segment of Main Market to enable further due diligence.
PRS REIT—Private rental sector REIT raising up to £250m. Admission due 31 May

Breakfast Buffet

I n n o v a D e r m a * (IDP.L) 227.5p £26.95m

Launch of new haircare product range and entry into the UK skincare market for the UK developer of life sciences, beauty & personal care products. The haircare range will initially comprise five products, including uniquely formulated shampoos and conditioners, in attractive packaging and will be available in Superdrug’s top 400 stores throughout the UK from August 2017. The Company expects to launch the new haircare range on its UK Direct to Consumer channel at the same time, and elsewhere in Europe later in the year. “Body Glow”, a brand extension of Skinny Tan, has launched with the release of an everyday body moisturizer. Body Glow is stocked in the skincare section in more than 500 Superdrug stores and is performing ahead of m a n a g e m e n t ‘ s expectations. FYJun17E rev £6.95m, PBT £0.7m.

Cerillion (CER.L) 141.5p £41.76m

HYMar17 results from the billing, charging and customer relationship management software solutions provider. Revenue up by 10% to £7.5m. Software revenue up 47% to £4.1m. New orders, up by 37% to £9.4m. Adjusted profit before tax up by 31% to £0.9m. Cash £1.1m. Divi up 8% to 1.4p. “The strong level of new orders won in the first half is very encouraging and will help to underpin ongoing growth in the second half of the year and beyond. Accordingly, the Board looks forward to reporting on further progress and believes that Cerillion remains well positioned to meet its expectations for the full year.” We could see no market forecasts.

Restore (RST.L) 421p £474.7m

AGM Statement from the support services company providing services to offices and workplaces in the private and public sectors. “I am pleased to report that 2017 trading has started well across the Group, with the benefits of the acquisition of PHS Data Solutions in August 2016 being delivered in line with expectations.”
Document Management division trading well enjoying the scale PHS brings. Relocation division in-line.
“ITP, our toner cartridge recycling business, is showing improvement following its poor performance in 2016. The year has started well and we look forward to delivering another year of strong progress in 2017.” FYDec17E rev, £169.11m, PBT £29.66m, div 4.89p.

Metals Exploration (MT L .L ) 3 .38p £69.9m

FYDec16 results from the natural resources e x p l o r a t i o n a n d development company with assets in the Pacific Rim region. First gold pour milestone achieved June 2016 with first gold sale in November 2016; at Runruno. 16,552 troy ounces contained in gold doré bullion produced as to the end of March 2017. Project expected to achieve design during H2 2017. Cash and cash equivalents of £5.9m. Loss on ordinary activities was £18.033 million (2015: loss of £2.149 million); Due to production delays facing funding squeeze. The C o m p a n y h a s c o m m e n c e d discussions with potential providers of a working capital funding fac ilit y. R e a s o n a b l e expectation that the C o m p a n y w i l l successfully negotiate and implement such a facility prior to 30 June 2017.

IXICO (IXI.L) 30.5p £8.27m

HYMar17 results from the digital technologies company serving neuroscience. Revenue up 41% to £2m. Gross margin 56% from 49%. EBITDA loss reduced to £0.4m (2016: £1.0m). Giulio Cerroni appointed as C h i e f E x e c u t i v e Officer, brings extensive experience in scaling operations to build businesses and supplying sophisticated products and services to pharmaceutical and research life science markets. “Our financial year has started very well and, with strong growth and improved margins, we are making progress on our path to profitability with the Company well positioned to deliver double digit growth for the financial year, in line with market expectations.” We could see no market forecasts.

Safestay (SSTY.L) 49.75p £17.052m

The owner and operator of a new brand of contemporary hostel, has acquired U Hostels Albergues Juveniles for a total cash consideration of €3.0 million. €3.5m in redevelopment and fit out costs. Three lease hold properties in Madrid (2) and Paris. “The U Hostels concept of what makes a modern luxury hostel is similar to ours, in terms of providing guests with the opportunity to stay in unique, stylish buildings, located centrally in gateway European cities. The U Hostels portfolio is therefore an excellent fit with us and will increase the Safestay portfolio to 6 hostels and the number of beds we offer to 2,012, excluding the apartments in Madrid.” FYDec17E rev £8.2m and PBT £0.3m.

Corero Network Security (CNS.L) 8.38p £26.4m

“ F u r t h e r t o t he announcement on 19 April 2017 regarding a Global Tier 1 Internet service provider customer win, Corero Network Security plc (AIM: CNS), the AIM quoted network security company, announces that the customer, GTT Communications, Inc. (NYSE: GTT), has launched its DDoS Mitigation service. This new service utilizes Corero’s SmartWall Threat Defense System, protecting organisations from malicious Internet traffic and ensuring the continuity and security of their business operations. GTT is a leading global cloud networking provider to multinational clients. GTT’s Tier 1 IP network, ranked in the top five worldwide, connects clients to any location in the world and any application in the cloud.” FYDec17E rev £9.5m, £5.6m loss.

F o r b i d d e n Technology (FBT.L) 6.25p £11.3m

Contract with Gfinity (GFIN.L), a leading electronic gaming promoter (eSports). Gfinity will use Forscene to help grow their fan base through faster and improved use of video in social media and improved use of archived video content. eSports market, predicts that in 2017 eSports will generate global revenues of $696 million, up 41 percent. Beyond its own tournaments, Gfinity provides a full turnkey solution for any brand wanting to create their own eSports tournaments and has staged premium eSports events for leading p u b l i s h e r s a n d brands including ‘Call of Duty’, ‘FIFA’, ‘CounterStrike: Global Offensive’, ‘Rocket League’, ‘Street Fighter V’, and ‘Forza Racing Championship’. No market forecasts.

Shanta Gold (SHG.L) 8.38p £48.8m

The East Africa-focused gold producer, developer and explorer, has received US$10.0 million financing from Exim Bank (Tanzania) following the commissioning in March 2017 of its 7.5 Mega Watts Power Station at the New Luika G o l d M i n e (NLGM) located in the Lupa Goldfield SW Tanzania. Four-year term l o a n a m o r t i z i n g quarterly, bearing variable interest at 7.25% per annum (2.75% below the Exim Base Rate). NLGM power capacity has more than doubled to 7.5 MW following the installation of the Power Station. Terms are an improvement to the original agreement with a competing lender previously agreed and announced in Q1 2016. Y17E PE 3.8x.

Condor Gold (CNR.L) 55.5p £34.06m

Drill results from an initial 2,000m drill programme on the Mestiza Vein Set at La India Project, Nicaragua. The objective is to test an historic, relatively shallow, Soviet mineral resource (2,392 kt at 10.2 g/t gold for 785,694 oz gold). Initial results from the Tatiana Vein, one of the constituent veins, are ex ce ll ent . 1 .5 km continuity at 4-5m widths. The programme continues. IDC344 drill width 3.3 m (true width 2.2 m) at 28.3 g/t gold and 38.9 g/t silver including 0.95m@75.6 g/t Au. From 76.7 m depth. LIDC348 drill width 2.65 m (true width 1.7 m) at 12.6 g/t gold and 21.8 g/t silver including 0.6m@27.7 g/t Au. From 91 m depth. 2000m now expanded to 3000m.

Head Chef:

Derren Nathan
0203 764 2344

*A corporate client of Hybridan LLP


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