Small Cap Feast

Small Cap Feast – 01 July 2019

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 893

Total number of AIM Companies trading: 813*
* As at 01 June 2019

Set Menu NEX Growth:

Total number of NEX Growth Market Companies (Incl Susp): 89*

Total number of NEX Growth Market Companies trading: 87*
* As at 01 June 2019

Set Menu Standard List:

Total number of Standard List Companies (Incl Susp): 163*

Total number of Standard List Companies trading: 141*
* As at 01 June 2019

Dish of the Day:

No Joiners Today

Off the Menu:

No Leavers Today

Dish of the Day:

No Joiners Today

Off the Menu:

No Leavers Today

What’s Cooking in the IPO Kitchen?

NEX Exchange

Clean Invest Africa (NEX:CIA)—readmission and all share RTO of CoalTech (South Africa) engaged in agglomerating coal fines into coal pellets through the commercialisation o f its proprietary binding technology. Due early Aug.

Main Market (Premium)

ReAssure Group plc  –  The Group is a leading closed book life insurance consolidator in the United Kingdom with 4.3m policies, £68.7 billion of assets under administration on a Post-L&G Illustrative Basis. It is considering a premium listing segment of the main market.

Main Market (Specialist Funds)

Voyager AIR  The Company will focus on the acquisition, leasing and management of primarily widebody aircraft, with asset management services to be provided by Amedeo Limited   he IPO will comprise a Placing and Offer for Subscription of Shares to raise up to approximately US$200m·

Main Market (Standard)

IMC Exploration Group (NEX: IMCP), focused on acquiring and exploring prospecting licence areas which have high potential for natural resource, is looking to admit its shares to the standard list and will withdraw for the NEX Exchange. TBC

AIM

Uniphar, a diversified healthcare services business with a workforce of over 2,000, is looking to join AIM. Raise TBC, expected mid-July 2019

Rumours & Speculation

Neptune Surf Technology plc*, a vertically integrated lifestyle accessory group focused on the surf market, designing its own high-performance wetsuits and surfing hardware and distributing these together with third party brands globally with key markets being Europe, Australia and USA and Brazil, is looking to join AIM and ‘is planning an £11m float’ according to The Sunday Telegraph.

Breakfast Buffet

Kromek (KMK.L) 25p £83.56m

Kromek, a worldwide supplier of detection technology focusing on the medical, security screening and nuclear markets, announced that it has been awarded three contracts, in the UK, US and Europe, for its D3S platform for nuclear radiation detection.

These new awards consist of:

a £1.1m contract from a UK government-related company to provide D3S-related technologies;

a $389k contract from the US government’s Joint Program Executive Office for Chemical, Biological, Radiological and Nuclear Defense (JPEO-CBRND) to provide D3S-related customisation for military operational transition, which will leverage the DARPA SIGMA Program sensor and technology; and

a €180k contract from the European Commission’s Directorate-General for Migration and Home Affairs for the D3S-ID and drone-mounted D3S for wide-area monitoring.

RA International (RAI.L) 50p £84.18m

RA International, a leading provider of services to remote locations in Africa and the Middle East, has been awarded a new contract by a global humanitarian organisation to supply and install modified shipping containers as accommodation and offices in an East African country.

RA’s services are required to upgrade the security of existing accommodation and office units from prefab units to steel containers with overhead protection. This contract award follows smaller similar projects undertaken for the same client.

The contract will run for one year, commencing immediately, and is valued at $7.8m.

Eckoh (ECK.L) 49p £119.27m

Eckoh, the global provider of secure payment products and customer contact solutions, announced it has secured a three-year contract to provide Coral (the contact centre agent desktop product), to a US Fortune 100 telecommunications company. This is a significant extension to an existing client relationship.

Eckoh has an exclusive contract to sell Coral, and over the last two years the telecommunications company, who is one of Eckoh’s largest clients, has deployed the market-leading desktop into parts of its contact centre estate, as well as other Eckoh services. This new contract represents the next phase of their process to implement Coral, and their commitment to three years of support suggests Coral is their long-term desktop of choice.

The contract is worth a minimum of $3.8m to Eckoh, comprising $2.1m in licences and $1.7m for maintenance and support over the three-year period. 

Gfinity (GFIN.L) 5.3p £18.3m

Gfinity, a world-leading esports business, announced a trading update for the year ended 30 June 2019.

The Company leadership has refocused the business on a Strategic Client Management model which has delivered strong revenue and EBITDA growth. This encouraging performance has been driven by:

Growth in strategic partnerships, highlighting Gfinity’s position as one of the world leaders in the esports and competitive gaming sector:

New strategic partners, further demonstrating Gfinity’s growing reputation as a provider of unique esports solutions:

GAN (GAN.L) 74p £59.65m

GAN, an award-winning developer and supplier of enterprise-level B2B Internet gambling software and services in the United States and Europe, provided an update on trading for the second calendar quarter period ending June 30, 2019.

In the second calendar quarter period ending June 30, 2019 trading was ahead of expectations with the seasonal decline in Internet gambling volumes typically experienced during the early months of Summer mitigated by various factors including:

High demand in Q2 for Internet sports betting on both basketball and baseball in New Jersey, despite the cessation in Q1 of the primary U.S. sports season relating to American Football; and

Higher than expected casino cross-selling from Internet sports bettors into internet casino gaming in New Jersey during the Q2 period.

The outlook for 2019 continues to remain highly positive for GAN. The Company now expects to see high double-digit revenue growth for the full year 2019.

OKYO Pharma (OKYO.L) 2.05p £11.21m

OKYO Pharma  announced its final audited results for the year ended 31 March 2019.

Summary of OKYO-0101 studies during the last year

Increase in corneal permeability due to dry eye was reduced significantly by OKYO-0101 compared to vehicle group

Potency of OKYO-0101 in reducing corneal permeability was comparable to cyclosporine, an active ingredient of Restasis® (Allergan)

OKYO‑0101 normalised the dry eye induced loss of goblet cell density

OKYO-0101 reduced the dry eye induced-enhancement of CD4+ T-cells, which are known biomarkers of inflammation

Rabbit Ocular tolerance test using OKYO-0101 showed no adverse signs such as inflammation, chemosis or hyperemia and no signs of local irritation

Clinical ophthalmic exam of rabbit eyes after topical application of OKYO-0101 for 4 days (twice daily) showed no discharge, cloudiness, vascularization, edema, inflammation or retinal hemorrhage

Total comprehensive loss of £3.8m (31 March 2018: £20.2m)

Cash balance at 31 March 2019 of £0.5m (31 March 2018: £2m).

Basic and diluted loss per share decreased to 0.01p per share (31 March 2018: 0.05p)

Proteome Sciences (PRM.L) 3.1p £9.15m

Following the announcement of TMTpro 16plex isobaric mass tags during the American Society for Mass Spectrometry (ASMS) meeting in Atlanta in June, Proteome Sciences is launching upgrades to its core proteomic services (SysQuant®, TMTcalibrator™ and Plasma Super Depletion) with increased multiplexing. Testing has shown that these new reagents perform equivalently to the current 11-plex TMT® in terms of the numbers of quantified peptides and proteins, whilst providing a 50% increase in the number of samples that can be analysed in a single experiment.

TMTpro is a completely re-designed set of isobaric mass tags developed and patented by Proteome Sciences, with multiple benefits over the previous TMT reagents. As well as offering five extra channels, the new chemistry also provides a 9-plex set of single-Dalton resolved tags for use with TMT complement ion quantification. In addition, the reporter ion is more readily fragmented and offers gains in signal-to-noise both in MS2 and MS3 analyses.

Adding TMTpro 16-plex reagents to standard service workflows will provide significant benefits to clients in both the size and speed of biomarker discovery projects.

LightwaveRF (LWRF.L) 7.5p £6.69m

LightwaveRF, the leading smart home solutions provider, announced that it has signed an agreement with Google to jointly market its Lightwave compatible smart speakers, making Lightwave the first installed Smart Lighting manufacturer in the UK to offer the convenience of voice-controlled lighting in one starter kit purchase.

The Google Mini and Google Nest Hub, supplied by Google, are being made available for customers to purchase at an attractive bundle price from Lightwave directly on www.lightwaverf.com or from a selection of Lightwave authorised retailers and stockists, including AO.com.

The starter kit bundles offer launched in Germany on the evening of 28 June 2019, via the dedicated Smart Home online retailer, Tink, whilst the UK is scheduled to follow later this month and other European markets thereafter.

Lightwave will also work closely with Google to educate customers on the benefits of the voice-activated Google Assistant for managing their home. Together they will engage in a range of initiatives to demonstrate Lightwave and Google products working together in-store and online.

Randall & Quilter (RQIH.L) 177.5p £347.7m

Randall & Quilter Investment announced that its wholly owned subsidiary, Randall & Quilter II Holdings Limited, has signed an agreement to acquire, subject to regulatory approval from the Bermuda Monetary Authority, the entire issued share capital of Sandell Holdings Limited along with its 100% owned subsidiary Sandell Re Limited which was incorporated in Bermuda in 2014, and was licensed as a Class 3A segregated account company by the BMA in Feb 2015, to write all classes of general business insurance and reinsurance.

The residual liabilities comprise primarily of contractor’s liability exposures arising in the US. SRL had net technical reserves of $48.3m as at 31 Dec 2018. The cash consideration payable at closing by R&Q is $25m with further amounts payable subject to certain conditions being met. This represents a discount to the Company’s net assets which, at 31 Dec 2018, were $40.8m. In the year to 31 Dec 2018 SHL recorded a loss of $2.7m.

Walker Greenbank (WGB.L) 81.5p £57.85m

Walker Greenbank, the luxury interior furnishings group, announced that it has entered into a distribution agreement with Kravet Inc., the premier US home furnishings resource available exclusively to the trade, for the distribution of its Clarke & Clarke and Studio G brands in the US.

Kravet Inc., a fifth generation family business founded in 1918, owns and distributes Kravet, Lee Jofa, Groundworks, Brunschwig & Fils and the UK’s GP & J Baker brands as well as distributing a series of other high market brands – all specialising in style, luxury and exceptional design.

Walker Greenbank has a track record of working with Kravet Inc. through the Company’s manufacturing operations, which print wallpapers and fabrics for certain Kravet Inc. brands.

Kravet Inc. replaces Robert Allen Duralee Group (RADG), the Company’s previous US distributor of the Clarke & Clarke and Studio G brands.

Head Chef:

Derren Nathan
0203 764 2344
derren.nathan@hybridan.com

*A corporate client of Hybridan LLP

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