Small Cap Feast

Small Cap Feast – 12 March 2019

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 905

Total number of AIM Companies trading: 835*
* As at 11 March 2019

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 11 March 2019

Set Menu Standard List:

Total number of Standard List Companies (Incl Susp): 161*

Total number of Standard List Companies trading: 142*
* As at 11 March 2019

Dish of the Day:

No Joiners Today

Off the Menu:

Flybe Group plc (FLYB.L) has cancelled its listing on the main market following an offer from Connect Airways Limited.

HaloSource Corporation has cancelled its quote on AIM after having its assets acquired by Strix Group (KETL.L)

Dish of the Day:

No Joiners Today

Off the Menu:

No Leavers Today

What’s Cooking in the IPO Kitchen?

Main Market (Premium)

US Solar Fund, a newly-established investment company focused on investing in solar power assets mainly in the US, looking to raise $250m at $1. Expected 20 March


Techniplas –global  producer and support services company providing highly engineered and technically complex components, making the supply chain to original equipment manufacturers more efficient.  FYDec17 rev $515m.

Diaceutics, a data analytics and implementation services company which services the global pharmaceutical industry, is looking to join AIM late March, offer TBC.

Breakfast Buffet

Arena Events (ARE.L) 33.5p £50.89m

Arena Events, announced the appointment of Chris Morris as CEO of UK and Europe.  Chris has over 20 years’ experience in the Sports, Leisure and Hospitality sectors and will join Arena on 19th March.

Chris was most recently Managing Director of the Events and Destinations Division of CH & Co, a leading catering and hospitality group, and was responsible for revenues of approximately £80m. He also spent nine years working with the Rugby Football Union as Managing Director of Twickenham Experience Ltd, where he was responsible for the sales and management of all match day hospitality services and non-match day events at Twickenham Stadium.  Prior to that Chris was Managing Director of the Sports and Events Division of Compass Group plc, the leading multi-service provider of hospitality and associated services for many well-known sports venues and events across the UK.


Mineral & Financial (MAFL.L) 9.1p £3.05m

Mineral and Financial announced its unaudited interim results for the six months ended 31 Dec 2018.

Unaudited net earnings for the first 6 months of 2019 period were £0.72m or 2p per share

NAV per share at Dec 31, 2018 up 72.5% to an all-time high of 12.5p against the same period last year

The Company remains debt free and with a cash balance of £750,000

Completed accretive acquisition of TH Crestgate GmbH, which is now a wholly owned subsidiary

Doubling of the resource at Redcorp’s Lagoa Salgada Zinc project to 20.7Mt with gross Zinc Equivalent metal content +89.5% during the period

Board strengthened with the Appointment of Jamie Lesser as COO


Hydrogen Group (HYDG.L) 68.5p £22.3m

Hydrogen Group, the global specialist recruitment group, announced that it has signed an extension for a further 5 years as a supplier of Change Management staff to a FTSE100 Retail Bank. The supply will now be through a third-party vendor appointed by the bank to streamline their processes.

Hydrogen has been providing these services for approximately ten years and is pleased to continue to support the bank in achieving its objectives.

“We are delighted to have extended supplying our largest client, which demonstrates both the strength of our relationships and our ability to deliver high-quality solutions. The contract renewal supports the continued trading momentum within the business.”


Forbidden Technologies (FBT.L) 6.85p £22.90m

Forbidden Technologies, the developer and seller of cloud video platform technology using its patented Blackbird technology, announced its audited full year results for the year ended 31 Dec 2018.

Invoiced sales up 34% to £0.96m (2017: £0.71m)

Revenue up 15% to £0.87m (2017: £0.76m)

Deferred revenue increased 57% to £0.23m (2017: £0.15m)

Contracted order book increased 40% to £0.34m (2017: £0.24m)

Year-on-year operational spend, including capital expenditure, of £3m (2017: £2.7m)

EBITDA loss of £1.99m (2017: £1.8m)

Net loss of £2.57m (2017: £2.33m

Equity funds raised during the year £5.44m (net of expenses)

The Company is debt-free with cash of £5.03m as at 31 Dec 2018 (as at 31 Dec 2017: £1.75m)


SimplyBiz Group (SBIZ.L) 200p £147.90m

SimplyBiz Group, a leading independent provider of compliance and business services to financial advisers and financial institutions in the UK, announced that Zest, its state-of-the-art, next generation employee benefits technology platform, has signed a five year contract with Aviva plc.

Aviva, a leading multinational insurance company and a member of the FTSE 100 Index, has selected Zest to deliver a new benefits solution designed to meet modern workplace requirements at an affordable cost for their small and mid sized clients.

Under the terms of the five-year contract, Zest’s modern, flexible, secure, easy-to-use platform will enable Aviva to offer businesses a means of providing staff with access to a full range of employee benefits, without having to substantially change the way they manage their workforce and operations.


Pennant International (PEN.L) 113.5p £40.19m

Pennant International, the supplier of integrated training and support solutions, products and services which train and assist operators and maintainers in the defence and regulated civilian sectors globally, announced Preliminary Results for the Financial Year Ended 31 Dec 2018.

Group revenues of £21.1m (2017: £18.1m);

Gross profit margin was 39% (2017: 40%);

PBT was £3.2m (2017: £1.8m);

Earnings before interest, tax and amortisation of £3.3m (2017: £2.1m);

Profit for the year attributable to shareholders was £3.15m (2017: £1.53m);

Basic EPS of 9.49p (2017: 4.65p)

Group net assets at year-end of £14.04m (2017: £13.33m);

Net cash at year-end of £1.85m (2017: £1.5m); nil borrowings;

No final dividend recommended (2017: £NIL);

Three-year order book at year-end stood at £37m (2017: £34m).


Rockfire Resources (ROCK.L) 0.8p £3.67m

Rockfire Resources, the copper and gold-focused resource company, announced that initial soil sampling, rock sampling and geological mapping have been completed successfully at the Copper Dome Porphyry Copper Project in Central Queensland. As announced on 26 Nov 2018, Rockfire has an option to acquire Copper Dome, which expires on 23 May 2019.

Malachite and azurite (copper carbonate minerals) were observed in several locations throughout the area tested;

Alteration of rocks, particularly by silica was recorded during mapping;

A total of 176 soil samples and 34 rock samples have been submitted to the laboratory for analysis;

The prospect remains vastly under-explored;

The mineralisation outcrops at surface, providing low-cost, near-surface exploration which, the Company anticipates will result in lower exploration costs;


Amino Technologies (AMO.L) 87.5p £62.64m

Amino Technologies, the global provider of media and entertainment technology solutions to network operators, announced that it has been selected by US telecommunications provider Waverly Utilities to supply Multimedia over Coax Alliance (MoCA)-enabled IPTV devices and Amino OS software that will allow the Iowa multiservice provider to boost efficiency and deliver an enhanced pay-TV video experience. This contract demonstrates progress on the transformation programme announced in February, focussing Amino on software and services and value-add hardware sales.

Waverly selected AminoOS powered Kamai 650M IPTV devices because they enable delivery of the required MoCA connectivity. They will be deployed to seamlessly deliver enhanced IPTV services across Waverly Utilities’ high-speed fiber-optic network. Amino will collaborate with its strategic middleware partner Minerva Networks to facilitate Waverly’s ongoing rollout of video services.


Sirius Minerals (SXX.L) 19.5p £861.07m

Sirius Minerals announced that it has received a conditional proposal from a major global financial institution in respect of its stage 2 financing.

The Company has been pursuing a senior debt financing with a group of prospective lenders since 2016. This was most recently adjusted on 22 Jan 2019 to focus on a $3bn multi-tranche structure. The Alternative Proposal contains an alternative senior debt structure to completely replace that structure.

The Company believes that the Alternative Proposal potentially offers a more flexible and attractive solution to its stage 2 financing requirements and therefore it is pausing discussions with its existing prospective lenders to pursue the Alternative Proposal. 

The Company is working towards obtaining firm commitments for the Alternative Proposal and its additional financing requirements before the end of April 2019. The Alternative Proposal is subject to the finalisation of the Financial Institution’s due diligence and internal approvals.


Surgical Innovations (SUN.L) 3.65p £27.17m

Surgical Innovations, the designer, manufacturer and distributor of innovative medical technology for minimally invasive surgery, reported a strong second half and financial results for the year ended 31 Dec 2018 in line with market expectations.

First half results had been constrained by reduced activity levels in NHS surgery and by the temporary loss of CE mark on a key supplier’s product. However, the strong rebound expected in the second half has been delivered.

Revenues up 25% to £10.97m (2017: £8.75m)

Gross margin steady at 42.6% (2017: 42.5%)

Adjusted EBITDA up 6% to £2.36m, (2017: £2.22m)

Adjusted PBT up 30% to £1.43m (2017: £1.1m), reported PBT up 40.5% to £0.52m (2017: £0.37m)

Adjusted Basic EPS up 10.5% to 0.21p (2017: 0.19p), reported EPS of 0.09p (2017: 0.08p)

Cash generated from operations of £1.65m (2017: £1.61m)

Closing net cash of £0.38m (2017: net debt of £0.73m)


Head Chef:

Derren Nathan
0203 764 2344

*A corporate client of Hybridan LLP


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