Small Cap Feast

Small Cap Feast – 10 December 2019

Set Menu AIM:

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Set Menu NEX Growth:

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Set Menu Standard List:

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Dish of the Day:

Octopus Renewables – Raising £350m.  Will seek to provide investors with an attractive and sustainable level of income returns, with an element of capital growth by investing in a geographically and technologically diversified spread of renewable energy assets

 

Off the Menu:

Elegant Hotels has left AIM following a takeover by Marriott International.

 

Dish of the Day:

Off the Menu:

What’s Cooking in the IPO Kitchen?

AIM

MJ Hudson Group PLC, the financial services support provider to Alternatives fund managers and asset owners, is planning an AIM IPO. Deal details TBC.

NEX Exchange

 SulNOx Group  – The Group has developed a methodology and process capable of emulsifying hydrocarbon fuels such as diesel and heavy fuel oil . By January 2014, following preliminary laboratory testing, SulNOx was in a position to suggest that its products resulted in up to a 50% reduction of Nitrogen Oxide (NOx) and a 90% reduction in particulate matter Due 17 Dec, mkt cap £42.3m.

 

Breakfast Buffet

Entertainment AI (EAI.L) 44.5p £21.7m

 Technology update with respect to the recent Rugby World Cup pilot as promised in the Company’s Q3 Trading Update announced on 16 October 2019.

Key results from the pilot :

E-Commerce Implication: highly successful merchandising event for JSports with the pilot providing an effective bridge between audiences and JSports e-commerce merchandising; Micro-moments Implementation: successful embedding of the Group’s technology in JSports videos to extract video highlights and create “micro-moments” for publication – opportunities for audiences to learn, explore and buy.  Examples of micro-moments included fan highlights such as “tries”, .Digital Advertising Revenue Implication: strong yield on published micro-moments. 500 micro-moments resulted in approximately one million fresh views on JSports team pages.

   Brand Implication: significant contribution to jump starting a new marketing campaign (Rugby World Cup) in terms of improving click through rates.

 

Falcon Oil & Gas (FOG.L) 11.9p £108.5m

Drilling of the horizontal section of the Kyalla 117 N2-1H appraisal well in the Beetaloo Sub-Basin, Australia has commenced, along with the advancement of the vertical well evaluation.

Drilling of the Kyalla 117 N2-1H horizontal well has commenced

The JV has elected to land the horizontal well within the Lower Kyalla shale, at a depth of ~1800mTVD.

The horizontal section will be drilled for approximately 1,000-2,000 metres.

On completion of drilling, the horizontal section will be fracture stimulated and production tested.

Evaluation of the Kyalla 117 N2-1 vertical well advances

Three source rock reservoir (“SRR”) sections are identified within the Kyalla Shale Formation, characterised as the Lower, Middle and Upper Kyalla.

The thickness of the entire Kyalla Shale Formation measured almost 900 metres.

Gross thickness of each SRR interval is between 75 and 125 metres.

Each SRR exhibited elevated gas shows with relatively high C3, C4 and C5 components.

 

Erris Resources (ERIS.L) 3.6p £1.1m

Option Agreement signed with GreenOre to explore for gold on the area covered by the Loch Tay Licence in Perthshire, central Scotland, conditional on the conclusion of due diligence by Erris Resources

  • Project area comprises 237 square kilometres of highly prospective ground within the Grampian Gold Belt
  • Two priority target areas, Ardtalnaig and Glen Almond, identified as having excellent gold potential based on the presence of historic workings, mineralised outcrops and alluvial gold occurrences

o  10 gram nugget in the Glen Almond river within the Glen Almond target area discovered in July 2019 by a team from the University of Leeds

  Erris Resources maintains its robust cash position with approximately €1.6 million cash held at end November 2019

 

 

Zytronic (ZYT.L) 202.5p £32.5m

The leading specialist manufacturer of touch sensors, announces its preliminary results for the year ended 30 September 2019.

Overview

Group revenue of £20.1m (2018: £22.3m), impacted by a reduction in revenues in the gaming market

Gross margin reduced to 33.7% (2018: 37.0%) due to the change in product mix sold, with fewer large format sensors being invoiced in the year

Profit before tax of £3.1m (2018: £4.2m), reflecting reduced revenue and lower gross margin

Basic earnings per share of 16.8p (2018: 22.7p)

Final dividend of 15.2p proposed (2018: 15.2p), bringing total dividends for the year to 22.8p.

Commenting on the outlook, Chairman, Tudor Davies said:

“On the basis of the first two months of trading being at lower levels than last year, we are cautious about the short term.  However, as we have seen in prior years, trading results in the second half can improve as the year progresses and the level of enquiries for new projects are higher than last year.”

 

Journeo (JNEO.L) 52.5p £3.06m

The information systems and transport technical services group, is pleased to announce the following trading update and detail of a placing of new ordinary shares to raise up to £1.2 million.   

Trading in the second half has been satisfactory and the overall result for the year ending 31 December 2019 is expected to be in line with market expectations. Pleasingly and consistent with the strategic positioning of the Company, the second half has seen considerable interest for the Company’s products and services and has resulted in some potentially significant contract awards and confirmations.  In total approximately £9 million of new business has been confirmed in Q4 for delivery in 2020 and beyond.

 

Mind Gym (MIND.L) 162.5p £162m

Results for the six months ended 30 September 2019 the global provider of human capital and business improvement solutions .

Revenue up 24% to £23.9 million (1H FY19: £19.4 million); ahead of expectations as announced previously, driven by both higher repeat revenue and new client wins. On a constant currency basis revenue grew 20%.  Adjusted PBT 3.6% below the same period past year as the Group invested surplus profits in talent, innovation and infrastructure.  Cash £10.7m.   Interim dividend of 0.9 pence per share will be paid in January 2020 (H1 FY19: 0.8 pence.

“We remain confident that the Company will deliver on its short and medium-term expectations whilst building solid foundations for the future as a global leader in its space.   “

 

Futura Medical (FUM.L) 13p £26.6m

Futura Announces Top Line Results from MED2005 Phase 3 study

  • In FM57, all arms met all primary endpoints against baseline, showing strong efficacy, excellent safety, rapid speed of onset
  • However, in FM57, MED2005 did not meet primary endpoints versus placebo
  • Surprising but highly statistically significant, results compared against baseline provides the company the possibility of a simpler regulatory pathway, as a medical device
  • New patent application filed which has the potential, if successful, to extend protection until 2039

 

Kingswood Holdings (KWG.L) 20.9p £45.3m

Kingswood ends transformative year with senior promotions and appointments

Ø Leigh Philpot assumes the role of Head of Wealth, Rupert Thompson promoted to Managing Director and Chief Investment Officer and David Winckler becomes Associate Director

Ø Paul Surguy joins Kingswood from Kleinwort Hambros to lead the investment management business

Ø Further senior appointments to the management team will be completed in the New Year as the Group continues its transformative journey

 

Zinc Media (ZIN.L) 0.28p £4.1m

The TV and multimedia content producer, is pleased to announce new commissions secured since its 10 September 2019 announcement totalling £4.3m across its portfolio of television production labels, with new commissions anticipated to deliver improved margins more in-line with industry standards.

 

OnTheMarket (OTMP.L) 78.5p £50.88m

As at 2 December 2019, over 3,000 more offices had been signed under new paying contracts to list all their residential properties at OnTheMarket. The progress builds on the support from thousands of firms already on long-term paying contracts at the time of admission to AIM in February 2018. This announcement signals continuing rapid progress from 30 September 2019 when OnTheMarket had 2,346 more offices signed under paying contracts

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

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