Small Cap Feast

Small Cap Feast – 03 December 2018

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 920

Total number of AIM Companies trading: 850*
* As at 26 November 2018

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 26 November 2018

Set Menu Standard List:

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

Total number of Standard List Companies trading: *
* As at 26 November 2018

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?

Main Market (Premium)

SEEIT will be the first UK-listed investment fund of its kind to invest exclusively in the energy efficiency sector. Looking to raise £150m. Due 11 Dec

AJ Bell—one of the largest investment platforms in the UK—Expects to publish prospectus end Nov. FYSep18—revenues up 19% to £89.7 million, profit before tax up 31% to £28.4 million.  Secondary sell down, Due December.

Sirius Aircraft Leasing Fund targeting a raise of US$250m  – objective is to provide investors with an attractive level of regular income and capital returns through investing primarily in used, single-aisle aircraft. Due 5 Dec

MOD Resources—(ASX:MOD) A$78.7m mkt cap.  Copper exploration and development company focused on the central and western Kalahari Copper Belt in Botswana.  Introduction only. Due c.26 Nov.

Main Market (Specialist Funds)

The Global Sustainability Trust -aiming for attractive risk-adjusted returns by investing primarily in private market investments that are expected to have a positive environmental and social impact raising c.£200m. Due end Nov.


Crossword Cybersecurity PLC* (NEX:CCS)—the technology commercialisation company focusing exclusively on the cyber security sector is investigating the possibility of AIM admission. The Company is proposing to raise up to £2.25 million before the end of December, conditional on Admission.

Manolete Partners—leading UK insolvency litigation financing business looking to join AIM raising £16.3m as a placing and £13.1 realised by the selling shareholder at 175p. Market cap £76.3m, expected 14 December

Titon holdings—international manufacturer and supplier of ventilation systems and window and door hardware. No capital raise. Due 10 Dec. Mkt cap c.£22m.

Greenfields Petroleum (TSX-V:GNF)  production focused company with operated assets in Azerbaijan seeking AIM dual listing including $60m private placement. Mkt cap $12.6m CAD. Expected early December.

Finncap—proposed acquisition of M&A adviser Cavendish Corporate Finance and AIM admission. Offer raising £3.75m of new money and £1.25m for selling shareholders, market cap of £47.1m. Due 5 December

The Panoply parent company of a digitally native technology services group founded in 2016 with the aim of identifying and acquiring best-of-breed specialist information technology and innovation consulting businesses across Europe, is looking to join AIM. Offer £5m new capital, £400k sell-down, market cap of £30m, expected late 4 Dec 2018.

Breakfast Buffet

McColl’S Retail (MCLS.L) 113p £138m

Q4 and FYDec18 trading update. Total revenue down (0.5)% in Q4; up 8.3% for the full-year reflecting the annualisation of the 2017 acquisition.

Total like-for-like (LFL)1 sales flat at 0% in Q4, an improvement on Q3 supported by a strong performance in tobacco; with full-year LFL sales down (1.4)%. 59 convenience store refreshes completed in the year, delivering average sales uplifts above 5%. 11 new convenience stores acquired in 2018. Continuation of estate optimisation programme with 66 under-performing newsagents and smaller convenience stores removed in the year. Further sale and leaseback transactions completed in Q4 generating full-year cash proceeds of £25m and significant profits on disposal

Year-end net debt materially lower than expected at around £100m. In light of transitional challenges and continued difficult trading conditions, adjusted EBITDA for FY18 now expected to be around £35m.


RhythmOne (RTHM.L) 180p £141.55m

The “global advertising technology company, announced that it has partnered with Placed – one of the leaders in location-driven insights and ad intelligence – to offer its clients access to a new measurement solution that quantifies the impact of digital and linear TV campaigns in driving consumers to retail stores. RhythmOne’s solution integrates Placed’s TV measurement solution, Placed Attribution for TV, which leverages in-store attribution data to match linear TV ad exposure with desktop, mobile, and connected TV (CTV) ad exposures.”

“By integrating the Placed Attribution for TV with our platform, we have the advantage of offering clients consolidated, easy-to-interpret reports that clearly prove whether their marketing efforts have moved the needle.”


Urban Exposure (UEX.L) 84p £133m

Lending update from the specialist residential development finance firm and asset manager.

 In the period from 31 Oct 2018 to 30 Nov 2018, the Company has successfully closed new loans totalling £110m, bringing total lending commitments since the IPO to c. £340m. The loans cover development projects across the country, including Chelmsford, Brentwood, Horley and Luton. Since the IPO, the Company has committed to the financing of projects representing the construction of 1,531 residential units, of which 208 are affordable housing units, and 45,000 sq ft of commercial real estate (including office space, retail and a hotel). The return profile of the new loans remains in line with expectations at IPO.

The Company is working on a number of other new loans which it expects to close by year-end.


W Resources (WRES.L) 0.52p £28.49m

“The tungsten, copper and gold mining company with assets in Spain and Portugal, is delighted to announce the first shipment of tungsten concentrate from its La Parrilla Mine following the early start-up of production as part of a planned staged build-up to full mine production in H1 2019.

“We are delighted to have delivered our first shipment of tungsten concentrate to our European customer on 30 November 2018. W has now commenced the first of a three stage production programme which allows the Company to generate revenue and cash flow ahead the move to large scale production in 2019 at a planned run rate of 2,500 tonnes per annum of tungsten concentrate. Export shipment size will build through December and the new year.” “


Mercia Technologies (MERC.L) 29p £89.5m

HYSep18 results from the  national investment group focused on the identification, creation, funding and scaling of innovative technology businesses with high growth potential from the UK regions.

£9.2m net invested in 11 portfolio companies during the period (H1 2017: £9.7m invested in nine portfolio companies). Significant commercial milestones achieved by direct investment portfolio companies include: Oxford Genetics – won its largest multi-million pound contract to date with a global ecommerce provider of reagents and tools to the research and clinical community

nDreams – won its largest multi-million pound contract to date with a high-profile global technology company.

Funds under management at the period end were £394.9m (H1 2017: £336.5m).

33.3% increase in earnings per Ordinary share to 0.64p (H1 2017: 0.48p). NAV per share was 41.3p (H1 2017: 41.1p).


Phoenix Global Mining (PGM.L) 30p £9.5m

The North American-focused base and precious metals exploration and development company, announced further results from the Company’s ongoing drilling programme at the Empire Copper Project in Idaho, USA.

RedStar zone,:  Located 330m north-northwest of the Empire open pit resource shows a transition to a high-grade silver and lead system. Three drill holes in Oct returned assays of 1,111 grams per tonne (“g/t”) (35.7 oz) silver and 20% lead over a 1.5 m intersection at RedStar.

Drilling in and around the Empire Mine oxidation resource envelope, which covers a 1 km strike length and is the subject of the ongoing feasibility study, returned high grade copper and silver assay results and continued to confirm the presence of the underlying sulphide mineralisation. These results “help confirm that the Empire mineralised system extends well beyond the near surface copper-oxide resource which is currently the subject of our Empire Mine Feasibility Study.”


Faron Pharma (FARN.L) 58.5p £18.15m

The clinical stage biopharmaceutical company, today announces that its Clinical Trial Application (CTA) to conduct a Phase I/II study with Clevegen, its wholly-owned novel precision cancer immunotherapy drug, in development for the treatment of selected metastatic or inoperable tumours, has been approved by the Finnish Medicines Agency (FIMEA). Patient recruitment into the Phase I/II MATINS study is expected to commence shortly at Helsinki and Oulu University Hospitals in Finland.

The same CTA is also under review by the UK’s regulatory authority, the Medicines and Healthcare products Regulatory Agency (MHRA) for opening sites in the UK (the Royal Marsden Hospital in London and the Queen Elisabeth Hospital in Birmingham). Clevegen is a novel anti-Clever-1 antibody, which causes changes in the immune environment of solid tumours by switching Clever-1 positive immune suppressive macrophages to immune active macrophages.


ULS Technology (ULS.L) 77.36p £50.08m

The provider of online B2B platforms for the UK conveyancing and financial intermediary markets, announces its half yearly results for the six months to 30 Sept 2018. The Group continued to increase its market share and grow revenue and profits during the period despite housing market transactions being lower year-on-year.

Revenue increased by 3% to £15.79m (H1 2017: £15.28m). Underlying PBT increased by 6% to £2.89m (H1 2017: £2.74m)

Adjusted basic EPS increased by 7% to 3.73p (H1 2017: 3.49p)

“The macro-economic environment for the last few months has been uncertain. This has fed through to a reduction in housing activity. The feeling in the market is that some potential house buyers are sitting on their hands until there is greater clarity over economic prospects and house prices before entering the market.” “The medium-term prospects for technology providers to the housing market remain positive and therefore we will continue to invest in both sales and product to deliver long-term profitable growth.”


BATM (BVC.L) 49.4p £196.5m

The provider of real-time technologies for networking solutions and medical laboratory systems, announces that Telco Systems, a wholly-owned high-end software development and design business within the Group’s Networking & Cyber division, has advanced its strategic partnership with Arm, the industry’s leading supplier of semiconductor IP, in becoming a part of the recently-launched Arm® Neoverse™ ecosystem.

Arm Neoverse is the new brand and roadmap of technologies to enable a new and transformative cloud infrastructure designed to support the demands of a trillion intelligent devices. Telco Systems is a platform provider within the Arm Neoverse ecosystem based on its NFVTime virtualisation technology. “We congratulate Arm on the launch of Arm Neoverse and we look forward to working with them to develop a full ecosystem of virtual network function services  to enable the networks of the future.”


Block Commodities (NEX:BLCC) 0.03p £1.5m

The innovative commodity trader operating in Africa, is pleased to announce the progress in the pilot project being carried out in Uganda in partnership with Pure Grow Africa. The Company’s Head of African Operations, Clinton van Eden, has recently  visited farmers in remote areas in Uganda, along with Bobby Juuko Kimbugwe, CEO at Pure Grow Africa.

The Farmer 3.0 pilot project was launched in Sept 2018 and will aim to supply up to 1,000 Ugandan smallholder farmers with utility token-based loans for farmers selected by Pure Grow Africa to purchase fertiliser and gain access to appropriate technology to enhance production.

The results of the meetings with farmers highlighted the need for alternative funding for fertilisers and pesticides, access to technical training and markets beyond the local level. Remains Suspended pending a potential takeover.


Head Chef:

Derren Nathan
0203 764 2344

*A corporate client of Hybridan LLP


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