AIM Breakfasts

AIM BREAKFAST – 21st February 2017

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 970

Total number of AIM Companies trading: 950*
* As at 20 February 2017

Dish of the Day:

No AIM Joiners Today

Off the Menu:

No AIM Leavers Today

Set Menu ISDX Growth:

Total number of ISDX Growth Market Companies (Incl Susp): 85*

Total number of ISDX Growth Market Companies trading: 82*
* As at 20 February 2017

Dish of the Day:

No NEX Growth Market Joiners Today

Off the Menu:

No NEX Growth Market Leavers Today

What’s Cooking in the IPO Kitchen?

GBGI—Schedule One update from integrated provider of international benefits insurance. Raising £32m at 150p. Admission expected tomorrow.

Anglo African Oil & Gas— Admission expected early March. Acquiring stake in producing near offshore field in the Republic of the Congo.

Saffron Energy—Schedule One update. Raising £2.5m, expected Mkt Cap £7.7m. Admission due 24 Feb. Italian Oil & Gas Play

Guinness Oil & Gas Exploration—Publication of prospectus. Seeking to raise £50m and invest in 15 exploration companies at launch, with plans to grow the portfolio to 30 positions during its lifetime.  Issue closing 23 Feb.

 

Breakfast Buffet

GoTech Group (GOT.L) 2.75p £3.72m

The sports and wellbeing focused technology Company, is in discussions with the NHS which is looking to support a potential pilot with circa 200 schools nationwide to assess the impact of skills2achieve (“S2A”) in the health education of 4-11 year olds in the fight against childhood obesity. As part of the discussions, it is proposed that Sportsdata Limited, a subsidiary of GoTech, will work closely with the NHS to develop evidence based and associated case study material, which may be used by the NHS to endorse a national roll-out of S2A. The pilot will be subject to the Company and the NHS (or one of its subsidiaries) entering into a formal agreement and a further announcement will be made in due course.

 

dotDigital Group (DOTD.L) 59p 174£m

HYDec16 results from the provider of intuitive software as a service (“SaaS”) and managed services to digital marketing professionals. Revenue from operations up 17% to £15.0m. Profit before tax up 30% to £4.3m.  Recurring revenues have increased from 78% to 81% of group revenues. Strong net cash position of £18.9m. “Based on dotdigital’s strong performance at the half year to 31 December 2016, the continued demand for marketing automation, the newly released product features and connectors and our investment strategy for further expansion into international markets, the Board remains confident of continuing to deliver strong growth, underlying profitability and increasing shareholder value for the remainder of this financial year in line with market expectation.” 26.5x PE FYJun17E.

 

Artilium (ARTA.L) 6.75p £20.99m

The provider of innovative telecommunication software and solutions, has secured an expanded mobile virtual network enabler (MVNE) platform agreement with its largest customer, Telenet Group BVBA, securing the relationship for the next five years. As part of the extension Artilium has secured a cash payment to be effected this month of 5.3 million for revenue which will be recognised in equal instalments over the next five years. There are no forecasts in the market.

 

Image Scan Holding (IGE.L) 5.62p £7.07m

The specialists in the field of real-time X-ray imaging for the security and industrial inspection markets, provided a trading update ahead of its AGM today. Strong first quarter trading as remaining units from the large portable X-ray order were delivered ahead of schedule. New orders received maintain orderbook of over £1m. “With the Precision Linescan Detector making good progress also, 2017 is likely to be a strong year for new products. At this early stage of the year the business is trading in line with market expectations.”  FYSep17E revenues £3.7m and £0.2m PBT.

 

Arbuthnot Banking (ARBB.L) 1,465p £218m

FYDec16 trading update. The Group continued its development as anticipated in the fourth quarter of 2016 and therefore expects to report pre-tax profits in line with market expectations. Duncan Lawrie loan portfolio now transferred successfully into the Group. Renaissance Asset Finance acquisition expected to complete in Q1 subject to further regulatory approval. FYDec16E revenue of £40.87m and EPS of 24.4p. Div 31p.

 

Ortac Resources (OTC.L) 0.03p £2.09m

The mineral exploration Company operating in Europe and Africa, announced an update in respect of its exploration partner in Eritrea, Andiamo Exploration Ltd, in which Ortac held a 26.99% equity interest. $0.5million raised by Andiamo through a non-brokered placement. Andiamo share Issue in consideration for the termination of Andiamo’s Joint Venture arrangement with Environminerlas East Africa Limited. Following the placement and share issue, Ortac’s shareholding in Andiamo represents 18.48% of the shares in Andiamo. “We welcome this development which enables Andiamo to continue exploration to the South of the very successful Bisha mine and brings a strong private equity group on to the share register.”

 

Utilitywise (UTW.L) 183p £143.3m

HYJan17 trading update from independent utility cost management consultancy. The Group has performed in line with management expectations during the period, with double-digit revenue growth compared to the same period last year. Net debt at 31 January 2017 was £4.1m (31 January 2016: £10.2m, 31 July 2016: £0.2m). Enterprise Division (SMEs) performing strongly more than offsetting slower trading at the Corporate Division (larger organisations). FYJul17e rev of £95.17m and £18.93PBT, div of 7.04p.

 

Airea (AIEA.L) 38.75p £16.02m

HYDec16 results. The principal activity of the group is the manufacturing, marketing and distribution of floor coverings. 51% increase in operating profit. Revenue for the period was £12.8m (2015: £12.7m). The operating profit was £1,149,000 (2015: £759,000). After charging pension related finance costs of £305,000 (2015: £246,000) and incorporating the appropriate tax charge the net profit for the period was £696,000 (2015: £372,000). Basic earnings per share were 1.51p (2015: 0.86p). No interim dividend. To be determined based on FY performance. FX positive but cautions over input price pressure and volatile demand.

 

Gresham House (GHE.L) 303p £30.86m

The specialist asset manager, announced that The Royal Borough of Windsor and Maidenhead acting as the Administering Authority for The Royal County of Berkshire Pension Fund intends to become a strategic investor in Gresham House. Up to £8.3m at  325p. A 7.3% premium to yesterday’s close. The Company is also announcing its intention to launch the Gresham House British Strategic Investment Fund as part of an alternative investment platform to support the investment objectives of longer term institutional investors, including local government pension schemes endowments and family offices.

 

GTI Finance (GLIF.L) 20.5p £63.4m

GLIF is exploring the potential for a secondary placing of its total holding in SMEF (The SME Loan Fund) at 90p per share (a discount of 3.2% to SMEF’s closing share price of 93p on 20 February 2017), valuing its total holding at  £22.7 million. Amberton Asset Management (GLIF 50%) is in discussions with SMEF and SQN Capital Management, LLC (“SQN”) regarding: –         the potential transfer of the provision of investment management services to SMEF from Amberton to SQN; and  the potential appointment by SQN of Amberton as its sub-investment adviser in relation to SMEF’s existing portfolio of loans.

 

Head Chef:

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

*A corporate client of Hybridan LLP

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