Small Cap Feast
Small Cap Feast – 19 July 2019
Set Menu AIM:
Total number of AIM Companies (Incl Susp): 888
Total number of AIM Companies trading: 807*
* As at 15 July 2019
Set Menu NEX Growth:
Total number of NEX Growth Market Companies (Incl Susp): 88*
Total number of NEX Growth Market Companies trading: 86*
* As at 15 July 2019
Set Menu Standard List:
Total number of Standard List Companies (Incl Susp): 165*
Total number of Standard List Companies trading: 143*
* As at 15 July 2019
Dish of the Day:
No Joiners Today
No Joiners Today
Off the Menu:
No Leavers Today
No Leavers Today
Dish of the Day:
No Joiners Today
No Joiners Today
Off the Menu:
No Leavers Today
No Leavers Today
What’s Cooking in the IPO Kitchen?
Main Market (Specialist Funds)
Voyager AIR The Company will focus on the acquisition, leasing and management of primarily widebody aircraft, with asset management services to be provided by Amedeo Limited the IPO will comprise a Placing and Offer for Subscription of Shares to raise up to approximately US$200m.
Roxi Music UK music streaming service plans London IPO as it goes up against Spotify. They have appointed investment bank Arden Partners for an initial public offering (IPO) on the London Stock Exchange later this year.
Freyherr International Group PLC the Medicinal Cannabis holding company established in 2016, is planning to list on the NEX exchange on the 30th July
Cora Gold Limited (CORA) 4.60p £4.04m
Cora Gold, the West African focused gold exploration company, announced the presence of high grade gold mineralisation at depth at the Sanankoro Gold Project, beneath the shallow oxide gold. The project is located in the highly prospective Yanfolila Gold Belt, Southern Mali.
Initial results from Central Selin Prospect targeting sulphide mineralisation at depth in sulphides:
22m @ 2.68g/t gold from 51m
A newly discovered oxide gold zone
9m @ 3.07g/t gold from 117m hole depth (hole ended in mineralisation)
8m @ 3.12g/t gold from 114m hole depth
SRK’s exploration target of 1-2 million ounces of gold (announced on 15th October 2018) was exclusively based on mineralisation to 100m depth and did not take into account further mineralisation at depth
Five reverse circulation holes drilled targeting gold sulphide mineralisation beneath known gold oxide mineralisation. This is the first time such work has been undertaken at the Selin Prospect at Sanankoro
6,096m of aircore and RC drilling completed, in conjunction with 463m of core drilling
Highland Gold Mining (HGM) 222p £782m
Highland Gold Mining today reported its operating results for the three months ended 30 June 2019 and for the first half of 2019.
Highland Gold produced a total of 70,293 oz of gold and gold equivalent in Q2 2019, a slight increase from 69,610 oz in Q2 2018.
Total production in H1 2019 was 142,254 oz of gold and gold equivalent, an increase of 10% from 128,921 in H1 2018.
Production at Mnogovershinnoye (MNV) in Q2 2019 was stable year-on-year, while H1 2019 output was up 23% over the previous year.
Belaya Gora and Novoshirokinskoye (Novo) saw year-on-year declines in output during both the second quarter and the first half of the year, although grades at Novo improved substantially in Q2 2019 compared to the previous quarter.
Construction work at Kekura and an exploration drilling programme at Klen continued during Q2 2019, as both projects were officially granted residency in the Chukotka special economic zone.
The average realised gold price was $1,309 per ounce in the second quarter and $1,308 in the first half of the year.
The Company affirms its forecast for total 2019 production of 290,000-300,000 oz of gold and gold equivalent.
SolGold PLC (SOLG) 28.90p £533.59m
The Board of SolGold provided an update on the work program and recent drilling at the Company’s Cascabel Project in Northern Ecuador.
Large additional tonnage targeted to be brought into Indicated category at Alpala Deposit due to an additional 68,354m of drilling now completed since the release of MRE#2. Over 201,930m of resource drilling now assayed ahead of the upcoming third Mineral Resource update (MRE#3) this year
Resource extension drilling at Alpala Deposit continues targeting extensions to high-grade outliers peripheral to the main deposit.
Ongoing growth to the existing mineralised system and targeted increases to the resource base at Alpala continues at Alpala Northwest, Trivinio, Alpala North, and Alpala Southeast.
Greater geological and structural understanding is identifying targets adjacent to main orebody, with drilling now targeting mineralisation at the newly identified Alpala Southwest area.
Cascabel drilling fleet expanding. A total of 15 drill rigs are expected to be active on the project by September 2019 as the Company bolsters its fleet, expediting the planned Alpala Deposit Pre-Feasibility Study (PFS).
Drilling is focussed on continued resource extension and infill drilling along the Alpala trend as well as extensive geotechnical, hydrological, hydrogeological, metallurgical and petrophysical work.
Induction Healthcare (INHC) 118.5p £35.1m
Induction Healthcare, a leading healthcare technology company helping streamline the delivery of care, announced the appointment of Leslie-Ann Reed to the Board as NED with effect from 19 July 2019.
Leslie-Ann adds breadth and depth to the Board as the Group continues to establish a strong and engaged user base and pursue its strategy to acquire new and complementary modules for the Induction Switch app.
Leslie-Ann is a chartered accountant with a diverse background and extensive international experience, having served in both executive and non-executive roles in publicly listed media and professional services companies. Leslie-Ann is currently NED and Chair of the Audit Committee for Learning Technologies Group plc, a market-leading integrated digital services and talent management provider. In addition, she is a NED at Bloomsbury Publishing plc, where she is a member of the Audit and Remuneration Committees. Previously, Leslie-Ann was a NED of the German listed company ZEAL Networks SE where she was Vice Chair of the Supervisory Board and Chaired the Audit Committee. Until May 2018 she was a NED and Chair of the Audit Committee of the London listed publisher Quarto Group, Inc.
Petro Matad Ltd (MATD) 8.75p £57m
Petro Matad, the Mongolian oil explorer, announced the spud today of the Heron-1 exploration well in the Tamsag Basin of Block XX. The well is an appraisal of the T19-46 oil field immediately to the north in Block XIX and is being drilled with the DQE International 40105 rig.
The Heron-1 well is targeting a prospect with 25MMbo of Mean Prospective Recoverable Resource and is planned to drill to a total depth of 3,050 metres. The well is expected to take up to 40 days to complete. In the event of a discovery, the Company will bring in a separate rig for testing. A call-off testing contract has been signed, which ensures testing operations, if warranted, can commence soon after discovery.
Upon completion of drilling operations at Heron-1 the rig will move c. 5 km to the Gazelle-1 location.
Mobilisation of the Company’s second contracted rig to the Red Deer-1 location is ongoing with a targeted spud date before the end of July.
Midatech Pharma (MTPH) 5.38p £20.67m
Midatech Pharma, the R&D company focused on delivering innovative oncology and rare disease products to patients, announced positive results from a first in human study of its MTX102 immuno-tolerising vaccine product candidate in diabetes.
The focus of this Phase I study is to assess the safety of MTX102. Five recently diagnosed Type I diabetes patients, all meeting strict genetic parameters, were recruited onto the study and received the study drug. MTX102 was well tolerated, with asymptomatic local injection site reactions being the only drug-related finding, and no serious adverse events were reported.
This is an important study of systemic injectable administration of Midatech’s gold nanoparticle technology, MidaCore®. It provides promising safety validation of the MidaCore® technology as a platform for the development of medications for use in humans.
DP Poland PLC (DPP) 8.50p £19.36m
DP Poland, through its wholly owned subsidiary DP Polska S.A, has the exclusive right to develop, operate and sub-franchise Domino’s Pizza stores in Poland provided a H1 2019 Trading Update.
System sales up 10%. Like-for-likes returning positive from March. More sub-franchisees in place.
10% increase in System Sales1 H1 2019 on H1 2018
80% of delivery sales ordered online
Like-for-likes building from March 2019:
5% like-for-like growth in System Sales2 March-June 2019 on March-June 2018
6% like-for-like growth in order count3 March-June 2019 on March-June 2018
-1% like-for-like growth in System Sales January-June 2019 on January-June 2018
3 corporate stores acquired/ agreed to be acquired by 2 new sub-franchisees on 1st July 2019:
DP Poland has currently 10 sub-franchisees across Poland
3 corporate stores taken under management contract by 1 existing sub-franchisee
67 stores in 28 towns and cities to-date
4 new stores opened in H1 2019″.
Globalworth Real Estate Investments (GWI) 9.1p £1,585m
Globalworth, the leading office investor in Central and Eastern Europe, confirmed the closing of the acquisition of two high quality office buildings in Poland, as announced on 26 April 2019.
Retro Office House, a newly completed office development offering a gross leasable area of 21.9k sqm, located in central Wroclaw benefitting from excellent connectivity to all parts of the city and a range of public transport options, has been acquired by Globalworth for a total consideration of €58.8m.
Silesia Star, a 29.2k sqm office complex with two interconnecting buildings developed in 2014 and 2016 at the heart of Katowice and located in the immediate vicinity of the city centre, two universities and various transport options, has been acquired by Globalworth for a total consideration of €54.4m.
The total transaction consideration for both buildings has been set at €113.2m, before customary adjustments, and has been funded from existing cash resources.
Van Elle Holdings PLC (VANL) 27.50p £29.20m
Van Elle, the UK’s largest independent ground engineering contractor, issued the following trading update ahead of the announcement of its results for the year ending 30 April 2019.
The Group’s trading performance at the end of FY2019 was largely as anticipated, with profitability in the second half impacted by end-market volatility and project slippages, as set out in the Full Year Trading Update on 25 April 2019. As a result, the Board had expected to report adjusted PBT of slightly over £5m. However, as part of the year end process, the Board has determined it necessary to adjust a small number of specific balance sheet items and contract accruals. Whilst the results remain subject to completion of the audit, these adjustments will adversely impact FY2019 adjusted profit before taxation by a total of c.£0.5m. The Group’s reported year-end net debt position is in line with expectations as at 25 April 2019.
Whilst an update on the outlook for FY2020 will be provided at the time of the results, it should be noted that, despite the encouraging momentum at the end of last year, the Group is continuing to experience customer uncertainty in some of its markets, resulting in a quiet start to the year in some segments and increased volatility in month on month performance. As set out in April, the Group has been successful in securing positions on attractive, long term contracts.
Pennant Int. Group (PEN) 87.50p £31.60m
Pennant International announced that it has acquired the business of Track Access Services Limited (“TAS”). The acquisition is part of the Group’s continuing strategic expansion and further strengthens Pennant’s offering to civilian sectors.
Established in 2002, and based in Cambridgeshire, TAS provides safety-critical services to train operating companies and rail infrastructure providers. TAS’s current capabilities include rail driver training, rail survey services, laser and video scanning, 3D track models, signal siting and a subscription-based route video and mapping service. Customers include Network Rail and DB Cargo.
The TAS business is expected to generate 2019 revenues of circa £230,000 (on an annualised basis). The consideration payable by Pennant for the acquisition was £100,000 (settled in cash on completion).
“Pennant already has over 45 years’ experience of working with rail industry partners and we see the sector as an important area for future growth. We are therefore delighted to welcome the TAS team as an exciting new addition to the Group, which significantly enhances our capabilities in the rail sector and aligns with the Group’s strategy of diversifying into non-defence markets and increasing our services offering”.
“Together, Pennant and TAS will be able to offer comprehensive, added value services through our combined experience, flexibility and expertise.”
0203 764 2344
*A corporate client of Hybridan LLP
This document, which does not constitute research, has been issued by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to any such action. This document has no regard for the specific investment objectives, financial situation or needs of any specific person or entity and is not a personal recommendation to any such person or entity. Recipients should reach an individual investment decision, based upon their respective financial objectives and financial resources and, if any doubt, should seek advice from an investment advisor.
The information contained in this document is based on materials and sources that are believed to be reliable; however, such information has not been independently verified and therefore it is not possible to confirm such information as being accurate. This document is not intended to be a complete statement or summary of any securities, markets, reports or developments referred to herein. No representation or warranty, either express or implied, is made or accepted by Hybridan LLP, its members, officers, employees, agents or associated undertakings in relation to the accuracy, completeness or reliability of the information contained in this document, nor should it be relied upon as such.
The content of this document includes market commentary and other information which we have prepared in relation to the company referred to in this document, which is our broking client. The provision of this document to you constitutes a minor non-monetary benefit which is capable of enhancing the quality of service provided by Hybridan LLP and which is of a scale and nature which could not be judged to impair the duty of Hybridan LLP to act in the best interest of its client falling within article 24(7)(b) of Regulation 600/2014/EU (MIFID II Regulation).
Any and all opinions expressed are current as of the date appearing on this face of this document only. Any and all opinions expressed are subject to change without notice and Hybridan LLP is under no obligation to update the information contained herein. To the fullest extent permitted by law, none of Hybridan LLP, its members, officers, employees, agents or associated undertakings shall have any liability whatsoever for any direct or indirect or consequential loss or damage (including lost profits) arising in any way from use of all or any part of the information in this document.
This document should not be relied upon as being an independent or impartial view of the subject matter and, for the avoidance of doubt, constitutes non-independent research (as such term is defined in the Financial Conduct Authority’s Conduct of Business Sourcebook to reflect the requirements of the MIFID II Regulation and Directive 2014/65/EU (known as MIFID II)). The individuals who prepared this document may be interested in shares in the company concerned and/or other companies within its sector, may be involved in providing other financial services to the company or companies referenced in this document or to other companies who might be said to be competitors of the company or companies referenced in this document. As a result both Hybridan LLP and the individual members, officers and/or employees who prepared this document may have responsibilities that conflict with the interests of the persons who receive this document. Hybridan LLP and/or connected persons may, from time to time, have positions in, make a market in and/or effect transactions in any investment or related investment mentioned herein and may provide financial services to the issuers of such investments.
In the United Kingdom, this document is directed at and is for distribution only to persons who (i) fall within article 19(5) (persons who have professional experience in matters relating to investments) or article 49(2) (a) to (d) (high net worth companies, unincorporated associations, etc.) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (SI 2005/1529) (as amended) or (ii) persons who are each a professional client or eligible counterparty (as those terms are defined in the Financial Conduct Authority’s Conduct of Business Sourcebook) of Hybridan LLP (all such persons referred to in (i) and (ii) together being referred to as relevant persons). This document must not be acted on or relied up on by persons who are not relevant persons. For the purposes of clarity, this document is not intended for and should not be relied upon by any person who would be classified as a retail client under the Financial Conduct Authority’s Conduct of Business Sourcebook.
Neither this document, nor any copy of part thereof may be distributed in any other jurisdictions where its distribution may be restricted by law and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Distribution of this report in any such other jurisdictions may constitute a violation of territorial and/or extra-territorial securities laws, whether in the United Kingdom, the United States or any other jurisdiction in any part of the world.
Where possible this document is made available to all relevant recipients at the same time. Dissemination of research by Hybridan LLP is monitored to ensure that it is only provided to relevant persons. Research prepared by Hybridan LLP is not intended to be received and/or used by any person who is a retail client.
Hybridan LLP and/or its associated undertakings may from time-to-time provide investment advice or other services to, or solicit such business from, any of the companies referred to in this document. Accordingly, information may be available to Hybridan LLP that is not reflected in this material and Hybridan LLP may have acted upon or used the information prior to or immediately following its publication. In addition, Hybridan LLP, the members, officers and/or employees thereof and/or any connected persons may have an interest in the securities, warrants, futures, options, derivatives or other financial instrument of any of the companies referred to in this document and may from time-to-time add or dispose of such interests.
This document may not be copied, redistributed, resent, forwarded, disclosed or duplicated in any form or by any means, whether in whole or in part other than with the prior written consent of Hybridan LLP.
MIFID II status of Hybridan LLP research
The cost of production of our corporate research is met by retainers from our corporate broking clients. In addition, from time to time we issue further communications as market commentary (such as our daily newsletter, Small Cap Breakfast), which we consider to constitute a minor non-monetary benefit which is capable of enhancing the quality of service provided by Hybridan LLP and which is of a scale and nature which could not be judged to impair the duty of Hybridan LLP to act in the best interest of its client falling within article 24(7)(b) of the MIFID II Regulation.
Hybridan LLP is a limited liability partnership registered in England and Wales, registered number OC325178, and is authorised and regulated by the Financial Conduct Authority and is a member of the London Stock Exchange. Any reference to a partner in relation to Hybridan LLP is to a member of Hybridan LLP or an employee with equivalent standing and qualifications. A list of the members of Hybridan LLP is available for inspection at the registered office, 2 Jardine House, The Harrovian Business Village, Bessborough Road, Harrow, Middlesex HA1 3EX.
If you would like to unsubscribe, please email email@example.com with “unsubscribe me”.