Small Cap Feast

Small Cap Feast – 03 September 2019

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 878

Total number of AIM Companies trading: 797*
* As at 02 September 2019

Set Menu NEX Growth:

Total number of NEX Growth Market Companies (Incl Susp): 87*

Total number of NEX Growth Market Companies trading: 85*
* As at 02 September 2019

Set Menu Standard List:

Total number of Standard List Companies (Incl Susp): 166*

Total number of Standard List Companies trading: 144*
* As at 02 September 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?

AIM

SEC S.p.A. Admission is following a reverse takeover under Rule 14 by SEC S.p.A of Porta Communications plc, another AIM quoted company. No funds being raised. Due 4 September. Mkt cap c £9.9m. The merger will create a business with global fee income of around €80m and a host of PR agencies, including Newgate, Publicasity and Newington.

NEX

Bracken Trading — The Group undertakes its main trade of lending as well as electricity generation through the operation of two solar farms. Admission on the 09/09/2019

Breakfast Buffet

1PM PLC (OPM) 26.25p £23m

1pm plc, the AIM listed independent specialist provider of finance facilities to UK SMEs, announces a further issue of equity to satisfy the achieved earn-out consideration for Positive Cashflow Finance Limited key dates in the 2019 financial calendar  and details of the Group’s proposed final dividend payment.

Issue of Equity

As announced on 18 June 2019, following the successful achievement of profit targets, the share-based consideration in relation to the second of three earn-out payments is payable to the vendors of Positive. (1,388,888 Shares) vendors.

Proposed Dividend

It is anticipated that at the AGM, the Board will seek shareholder approval to declare a final dividend of 0.56p per ordinary share for the year ended 31 May 2019.

0.84p for the year.  Yield of c.3% PE c.4x.

ProPhotonix Limited (PPIX) 3.15p £2.93m

ProPhotonix Limited, a high technology designer and manufacturer of LED illumination systems and laser diode modules, with operations in Ireland and the United Kingdom, announces the addition of a new red laser diode to its product range, the HL63520HD. This 638nm laser diode has been designed to be highly durable and to perform reliably at extreme temperatures.

The high powered, multi-mode HL63520HD is particularly well suited to industrial and projector applications. HL63520HD has optical output power of up to 2.4W in continuous wave (“CW”) mode and reaches 3.5W when pulsed, an ideal solution as a light source for optical equipment.

The self-contained red laser diode operates exceptionally well under demanding environmental conditions in temperatures as high as 55°C. The HL63520HD, at 638nm, is an energy efficient laser diode. The highly durable red laser diode is ideally suited for integration into laser modules, laser projector and laser show applications.

Petro Matad Ltd (MATD) 7.38p £43.87m

Petro Matad Limited, the AIM quoted Mongolian oil explorer, announces its unaudited interim results for the six months ended 30 June 2019.

Highlights

The Group posted a loss of USD 4.41m for the six-month period ended 30 June 2019, which compares to a loss of USD 6.65m for the comparable period in 2018. The Company’s cash balance at 30 June 2019 was USD 16.12m (USD 3.79m in cash and USD 12.33m in Financial Assets), which compares to a cash balance of USD 15.55m (USD 12.54m in cash and USD 3.01m in Financial Assets) on 30 June 2018.

The Heron 1 exploration well in the Tamsag Basin of Block XX spudded with the DQE International 40105 rig on 19 July 2019. Land permits for Heron (and Gazelle) have been received and drilling operations continue towards a planned total depth (TD) of 3,050 metres. The well is an appraisal of the T19-46 oil field immediately to the north in Block XIX and is targeting a prospect with 25 MMbo of Mean Prospective Recoverable Resource. The Company expects to be in a position to announce the results of the drilling and logging of the well during the week commencing 9 September 2019.

Renalytix AI PLC (RENX) 242p £130m

Renalytix AI plc, the AIM listed developer of artificial intelligence-enabled diagnostics for kidney disease, announces its inaugural final results for the period ended June 30, 2019.

Highlights

The U.S. Food and Drug Administration (FDA) granted Breakthrough Device designation in May 2019 for KidneyIntelX™, the Company’s artificial intelligence clinical in vitro diagnostic product for identification of fast progressing kidney disease

Secured contract agreements, patient blood samples and de-identified electronic health record data for KidneyIntelX™ expanded clinical validation with University of Pennsylvania, Emory University, and the Icahn School of Medicine at Mount Sinai as participating academic institutions.

Completed successful IPO securing net capital financing of approx. $27m with admission to AIM and trading in the Company’s shares starting on 6 November 2018

In-licensed intellectual property underlying two product technologies, KidneyIntelXTM and FractalDx, for a total of $11.0m in upfront payments

Johnson Service Grp. (JSG) 165p £604m

Full year results expected to be slightly ahead of current expectations with Strong Interim financial performance

Organic growth of 7.5%3 together with the benefits of recent acquisitions

Adjusted operating margin2 increased to 13.5% (June 2018: 13.1%)

Interim dividend increased by 15.0% to 1.15 pence per share (June 2018: 1.00 pence) reflecting the Board’s confidence for the future

Significant capital investment in the period has increased production capacity at selected sites to support the demand from strong organic growth

Leeds plant on time and on budget with opening scheduled for Q2 2020

Performance in the two months since the period end means that full year results are expected to be slightly ahead of current market expectations

Solid State PLC (SOLI) 485p £36.57m

Solid State plc, the AIM listed manufacturer of computing, power and communications products, and value added distributor of electronic components, announced a positive trading update.

As a result of a strong start to the year, the Board is confident that profits for the year ending 31 March 2020 will be significantly ahead of expectations.  Revenue for the year is expected to be in line with current consensus forecasts, albeit the Directors consider there may be opportunities to generate further incremental sales later in the year.

Trading in the first four months of the year has been very strong and is well ahead of budget. Generally, revenues across the Group have been in line with management’s expectations however there has been an acceleration of certain project work into H1 that had been expected in H2 which will benefit reported revenue and profits in H1.

Qannas Investments (QIL) 0.62p £30.83m

Qannas announced that it has entered into conditional agreements to acquire a substantial portfolio of attractive investment assets from a consortium of third party vendors. The independent directors of Qannas (being Chris Ward and Richard Prosser (the “Independent Directors”)) believe that the Transaction represents a compelling opportunity to significantly enhance and broaden the existing investment portfolio of Qannas with the aim of achieving greater scale and enhanced diversification, which is intended in turn to boost liquidity and the investor appeal of Qannas.

Echo Energy PLC (ECHO) 2.5p £12m

Echo Energy, the Latin American-focused upstream oil and gas company, announces an update on its upcoming Tapi Aike drilling programme.

Echo Energy and Compañía General de Combustibles S.A. continue to progress the processing of the 3D seismic survey acquired across the Tapi Aike block in 2019. In the eastern portion of 3D survey area, the Chiripa Oeste, five areas have now been selected for surface location permits and an environmental impact assessment covering these locations has been submitted to the provincial authorities.

Following completion of the currently ongoing seismic analysis, one of these five locations will be selected to drill the La Vanguardia x-1 well, the first well of a proposed four well Tapi Aike exploration drilling programme. It is currently anticipated that the La Vanguardia x-1 will be drilled to an approximate depth of 3,000 metres using the Petreven H-205 rig.

Live Company Group (LVCG) 51.5p £35m

Live Company Group plc announced that its wholly owned subsidiary, Brick Live International Limited, has entered into an agreement with Snowman Enterprises Limited to produce a themed tour of The Snowman and The Snowdog.

Cohort PLC (CHRT) 455p £181m

Cohort, the independent technology group, is announced that its Portuguese subsidiary, EID, has been awarded a 16.7M contract to supply tactical radios and ancillary equipment for the Portuguese Army. Deliveries will start in 2019 and will continue until 2026.

Head Chef:

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

*A corporate client of Hybridan LLP

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