Small Cap Feast

Small Cap Feast – 05 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:

finnCap Group— has joined AIM today raising £5m (£3.75m of new money and £1.25m for selling shareholders) with an expected market cap of £47.1m

The Panoply Holdings—joined AIM yesterday raising £5m at 74p with market cap on admission  of £30m


Off the Menu:

Produce Investment PLC—cancelled its AIM quote yesterday after being acquired by Promethean Investments LLP for around £53m

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. POSTPONED

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.


Litigation Capital Management—provider of litigation financing and ancillary services, moving from ASX (ASX:LCA) to AIM. Offer TBC.  Due 18 Dec. Mkt Cap A$64m.

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.

Breakfast Buffet

YOLO Leisure (YOLO.L) 4.5p £1.99m

The “company focusing on opportunities in the technology, media and leisure sectors, announced that its investee company, Magic Media Works Ltd, has completed a funding round to raise an additional £900,000 of equity to enable it to launch its TV campaign for the ROXI home music entertainment product.

Post this investment round, YOLO will hold 15.8% of Magic Media’s issued share capital.

The largest investor in the round was private investor and Saracens Rugby Club owner Nigel Wray, who is also the largest investor in YOLO. Magic Media’s founder CEO Rob Lewis, the previous CFO of Pandora Jewellery (CPH: PNDORA) Henrik Holmark and Endeavour Ventures also participated in the round.”


Shanta Gold (SHG.L) 4.36p £33.3m

Announced project economics for the Singida Gold Mining Project in central Tanzania.

Average annual production from open pit mining of 26,000 oz for an initial six year period;

Expected to increase Shanta Gold’s total gold production to over 100,000 oz pa from first full year of production;

Pre-production capex requirement of US$16 million (“m”) and US$3 m for working capital;

NPV of US$31 m and IRR of 67%, at an 8% discount rate and using the current gold forward curve;

Life of Project Cash Cost of US$794 /oz;

“We are making steady progress with the Singida funding plan, which as we have stated previously, will be completed at the asset level and not through Shanta Gold shareholders. I look forward to providing a more detailed update in Q1 2019, with a target to complete the funding during the course of 2019.”


Itaconix (ITX.L) 5.3p £13.73m

The “innovator in sustainable specialty polymers, is pleased to announce that it has signed a licence agreement with New Wave Global Services Inc. (“New Wave”) of Mississauga, Ontario, Canada for a new proprietary non-phosphate automatic dishwasher (“ADW”) detergent formula based on its Itaconix® CHT™ polymer. New Wave will use the formula to market and produce a new triple-chamber ADW detergent sachet for North American retailers in the private label market.

Itaconix’s advanced detergent laboratory develops new product formulations for potential customers based on the unique properties and value of Itaconix’s polymers. Under the arrangement with New Wave, Itaconix developed and licensed a proprietary formula for New Wave’s exclusive use.  Itaconix will receive revenues from this formula through the sale of its polymer to produce the new detergent.”


Patisserie Holdings (CAKE.L) SUSPENDED

Announced that the Company has retained Nick Perrin as Interim Chief Financial Officer.

Nick is an experienced and successful Finance Director, most recently of AIM-quoted CVS plc, the leading integrated veterinary services provider in the UK, which saw revenues grow from £110m to £350m during his tenure.

Nick has been retained on an interim basis while the Board undertakes a process to appoint a permanent Chief Financial Officer. Mr Perrin is not a member of the Board.

Steve Francis, CEO, said:  “I am pleased to welcome Nick to Patisserie Holdings. He brings with him the necessary experience to help strengthen the team as the Company works tirelessly to put the events of the past months behind it and look forward to the future.”


Versarien (VRS.L) 122p £184.24m

The advanced materials engineering group, “is pleased to announce that it has signed a Memorandum of Understanding (“MOU”) with China Tiesiju Civil Engineering Group Co Ltd. (“CTCE”), a subsidiary of China Railway Group Limited (“CRG”).

CRG is one of the world’s largest construction and engineering contractors and is listed on the Shanghai and Hong Kong Stock Exchanges.  CTCE is specifically focused on railway, bridge, tunnel and highway infrastructure engineering and has over 23,000 employees.  It is active in China and overseas, including in Asia, Africa, Latin America and the Middle East.

The cooperation between the parties is intended to explore the applications for graphene specific to CTCE’s needs and the options to jointly establish manufacturing capability in China for graphene enhanced products. 


EU Supply (EUSP.L) 11.2p £8.03m

“The e-procurement software provider, is pleased to announce that it has signed two contracts, both with leading European nuclear research organisations for the provision of CTMTM and related services. The contracts are, in aggregate, worth approximately 200k (mostly of recurring nature) and will contribute to the Company’s revenue over the course of the next 12 months.

Thomas Beergrehn, CEO of EU Supply plc, commented: “These two contracts are of particular significance to the Company as they highlight the demand for CTMTM, an advanced competitive tendering service platform. They also highlight our ability to configure our platform online to very different procedures and workflows required by clients with different regulatory and internal process requirements.” “


Enteq Upstream (NTQ.L) 22p £13.8m

The oilfield services technology and equipment supplier, announces the filing of a new UK patent application relating to a “real- time” azimuth and inclination measurement tool.

This patent filing is a result of the work done by Enteq’s UK based development team that was set up by following the grant obtained from the Technology Strategy Board of Innovate UK, which was announced on 2 May 2017.

The intellectual property and related future product development will broaden the range of Enteq’s oil and gas drilling products, as well as having applications in geothermal wells.


FIH Group (FIH.L) 273p £33.99m

FIH “has exchanged contracts on the purchase of the freehold of a 2.5 acre industrial estate in Leyton, East London. The site consists solely of five warehouses operated by Momart, the Group’s art handling subsidiary, and is located 5 miles north of London’s Canary Wharf financial centre near the Queen Elizabeth Olympic Park.

The freehold purchase effectively exchanges the Group’s former leasehold interest and associated escalating property rents (currently of c.£0.8 million per annum) for the security of tenure offered by ownership of the land and specialist buildings located on the site.”

 The purchase price of the freehold (including stamp duty land tax) was £19.4 million.

“We are pleased to have acquired the Leyton property as this will result in significant savings of annual rent for the Group and removes the prospect of a continuing escalation in future operating costs.”


Joules Group (JOUL.L) 226p £181.7m

Joules, the premium British lifestyle brand, today provides a trading update covering the 26-week period to 25 November 2018, the first half of the Group’s 2019 financial year (the ‘Period’ or ‘first half’).  Group revenue for the Period increased by 17.6% to £113.1 million (H1 FY18: £96.2m).  This result, in what has been a well-documented challenging period for the sector, reflects the strength of the Joules brand, the appeal of our products, the flexibility of the Group’s ‘total retail’ model in the UK and the rapid growth of our international business, which now represents approximately 16% of Group revenue (H1 FY18: 11.3%).

UK trading expected to remain challenging. Contingency  plans in place for ‘hard Brexit’.


Bluebird Merchant (BMV.L) 2p £4.2m

The Asian focused resource development group, is pleased to announce excellent results relating to initial metallurgical test work conducted on a composite ore sample from Kochang Mine. 


The average grade of the composite sample is almost 5 g/t gold and 19 g/t silver, confirming the results obtained from the underground programme

A simple gravity circuit yields gold recoveries of up to 80% with silver recoveries of around 60%

  • Additional test work is in progress ·      Potential for a low-cost process is excellent.

“ This will certainly improve the economics of production following the reopening of the Kochang mine. “


Head Chef:

Derren Nathan
0203 764 2344

*A corporate client of Hybridan LLP


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