Small Cap Feast

Small Cap Feast – 10 July 2018

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 937

Total number of AIM Companies trading: 866*
* As at 10 July 2018

Set Menu NEX Growth:

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

Total number of NEX Growth Market Companies trading: 84*
* As at 10 July 2018

Set Menu Standard List:

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

Total number of Standard List Companies trading: *
* As at 10 July 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?

AIM

Ovoca Gold (to be renamed Ovoca Bio PLC) – RTO of IVIX, a Russian company developing a drug candidate for the treatment of female sexual dysfunctions. No monies to be raised, market cap of £8.5m, due 30 July

Nucleus Financial—independent wrap platform provider . FYDec17 revs £40.36m and PBT of £5.1m. Offer TBA. Due late July.

Kropz PLC-Intention to float by the  emerging plant nutrient producer with an advanced stage phosphate mining project in South Africa and exploration assets in West Africa

Immotion Group  – aims to become the market leader in “out of home” Immersive Entertainment Experiences. Offer TBA. Due 12 July

Main Market (Premium)

ASA International— “one of the world’s largest and most profitable international microfinance institutions, which aims to enhance financial inclusion among low-income populations throughout Asia and Africa in a socially responsible manner”.  Secondary sell down. No primary. Due July. Offer TBA

Main Market (Specialist Funds)

Hipgnosis Songs Fund— offering pure-play exposure to Songs and associated musical intellectual property rights. Targeting £200m raise. Due 11 July

Breakfast Buffet

Derriston Capital (DERR.L) 11.4p £2.85m

“The Company announces that S4 Capital Limited has acquired MediaMonks Multimedia Holding B.V., a transaction that seeks to create the digital platform of the future. MediaMonks has revenues of approximately 110 million and operates through 11 offices in 10 countries spanning the United States, the UK, Continental Europe, Asia, Latin America and the Middle East. The combined group has over 750 people and clients including adidas, Amazon, GE, Google, Hyundai, JAB, Johnson & Johnson, Netflix, 3G and Weber. MediaMonks services include digital experiences, product, content and ecommerce.”

 

Emmerson (EML.L) 3.15p £19.72m

The Moroccan focused potash development company, has completed the fieldwork component of a 60-line kilometre seismic survey over 10 lines on the Company’s 100% owned Khemisset Potash Project in Northern Morocco.

Fieldwork component of seismic data completed within six weeks of re-admission to LSE covering the key areas of the Khemisset ore body and margins of the potash bearing basin

Processing and interpretation of results expected to be received by the Company in Q3 2018

Objective of seismic work is to delineate the basin and provide detailed information on geological structures and faulting

Provides valuable information for the Scoping Study which is targeted for Q1 2019 and upcoming drilling programme

 

Photo-Me International (PHTM.L) 113.6p £453.8m

FYApr18 results from the instant-service equipment group. Revenues up 7.1% at £229.8m driven by continued growth in Identification and rapid expansion of Laundry. At constant currency, growth was 5.9%.

EBITDA up 2.8% at £71m, reflecting investment in strategic acquisitions and organic growth, and favourable euro to sterling exchange rates in 2018. EBITDA margin was 30.9%.

Total Ordinary dividend increased by 20% to 8.44 pence per share. (Yield 7.4%)

As previously announced, taking into account the restructuring of our Japanese subsidiary, the Board now believes that profit before tax for the year ending 30 April 2019 will be at least £44m, which includes the reorganisation cost in Japan.

The Board remain confident about the Group’s prospects.

 

PureTech Health (PRTC.L) 146p £412m

The “clinical-stage biopharmaceutical company developing novel medicines focused on the Brain-Immune-Gut (BIG) Axis, today announced that its affiliate, Vedanta Biosciences, has received funding from the Crohn’s & Colitis Foundation to advance a microbiome-derived therapeutic programme for the treatment and potential interception of inflammatory bowel disease (IBD).  This new IBD programme, wholly owned by Vedanta Biosciences, aims to target bacterial strains particularly abundant in Crohn’s disease that may lead to the onset of IBD. Vedanta Biosciences will advance this programme in collaboration with Dr Kenya Honda, MD, PhD, Professor, Keio University School of Medicine and a scientific co-founder of Vedanta Biosciences.

In addition to this new programme, Vedanta Biosciences previously announced a partnership with Janssen Biotech, Inc. for the development of drug candidate VE202 in IBD. VE202 is expected to enter the clinic in the second half of 2018.”

 

Access Intelligence (ACC.L) 5.1p £23.3m

The “supplier of Software-as-a-Service (“SaaS”) solutions for communications and reputation management, has appointed Christopher Satterthwaite, the former Chime PLC chief executive, non-executive Chairman with effect from 1 Sept 2018.  He takes over from Michael Jackson, who will remain on the board as a non-executive director.

Chris spent 15 years as chief executive at Chime where he remains a non-executive director.  During Chris’ tenure as chief executive, Chime grew operating income from £54m (in 2003) to £246m in 2016. In 2015, he oversaw the sale of a majority stake in the business to Providence Equity Partners for £374m.” Interims out today. Revenue £4.3m and adjusted EBITDA loss of £55m.  Annual Contract Value (“ACV”) base increased to £8.9m (2017: £7.9m).  Balance sheet significantly strengthened in period with £2.35m of debt conversion and £2.64m raised gross.

 

MySale (MYSL.L) 69p £106.5m

FYJun18 update from the international online retailer .

The group expects to report underlying EBITDA at least in line with the top end of market expectations of A$11.8m (FY17: A$8.7m). This performance, which represents a significant year-on-year increase in profitability, has been driven by revenue growth of 10%, to approximately A$295m (FY17: A$268m), combined with improvements in the gross margin.

Gross margin improvements have been supported by the planned increase in own-buy inventory within the sales mix, whilst the group’s new international and local strategic partnerships have continued to increase the product range available on the group’s marketplace, on a low risk third party basis, with the available SKU count now exceeding one million.”

 

Imaginatik (IMTX.L) 4.75p £1.57m

The specialist  in “corporate innovation management according to Forrester Research, today announces the appointment to the Board of Angus Forrest as CEO, with immediate effect. Angus is an experienced venture capitalist and investor.

Angus joins Imaginatik with the remit to place the Company on a secure financial footing and to restructure the business to generate growth. He was engaged by the Company last month as a consultant to review the Company’s operations, and he is a key driver behind the restructuring and refocus of the Company’s operations.

Angus has over 25 years’ experience as a venture capitalist and investor, with a particular focus on the technology sector. In 2000 he co-founded Billam plc, an internet incubator, and in 2013 he founded Tern plc, with both companies specialising in making and actively managing technology investments. He has been involved with the IPOs and reconstructions of several AIM companies, delivering increased shareholder value.”

 

Collagen Solutions (COS.L) 3p £9.74m

FY Mar 18 results from the developer and manufacturer of biomaterials and regenerative medicines for the enhancement and extension of human life.

Group revenue and other income decreased by 6% to £3.8mAdjusted LBITDA (before separately identifiable items): £1.58m. Cash balances at 31 March 2018: £5.02m.

“Going into the current year, we recognise the scale of our challenge as we are not expecting our main customer in Korea to order until next year. We believe that revenue, whilst not being replaced, can be substituted by contracts that we have either signed or have sufficient visibility on to make a reasoned judgement of likely success.”  

“We continue to examine sources of non-dilutive funding which, if secured, would be used to increase the scope and pace of our innovation pipeline.”

 

Capital Drilling (CAPD.L) 40p £54.3m

“Capital Drilling, a leading drilling solutions company focused on the African markets, provided its trading update for the period 1 Jan to 30 June 2018.”

Revenue Q2 2018 ($27.8 m) up 4.5% on Q1 2018 due to improved fleet utilisation of the Group’s exploration rigs

Revenue H1 2018 $54.5 million, representing a decrease of 4.6% on H2 2017 ($57.1m) H1 2018 ARPOR (average revenue per available rig) up 1.0% ($200,000) on H2 2017 ($198,000), a continued solid performance

Paid a final dividend of US1.2cps for 2017 financial year in May 2018

The Group provided new guidance on our anticipated revenues for the current financial year to $105-115m, up from $100-110m, on 18 June 2018

Market sentiment remains buoyant and we are seeing further strength in the exploration markets and increasing drilling budgets from major mining companies.

 

Jaywing (JWNG.L) 22.5p £21m

FYMar17 results from the data driven, insight and creative agency.

Acquired Frank Digital PTY to continue growth and development in Australia

Secured new international contracts

Launched new AI powered products including Archetype and Decision

Revenue increased by 6.7% (6.3% increase on a like for like basis) to £47.5m.  

Reduced loss before tax to £1.2m from £3m.

“We have started the year with good new business wins from larger clients where we clearly demonstrated the value of our integrated ‘One Jaywing’ approach in a competitive process.

Whilst there is still caution in the UK market we believe we are well positioned to achieve our market expectation, especially with the continued growth in Australia enhanced by our most recent acquisition.”

 

Head Chef:

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

*A corporate client of Hybridan LLP

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