Small Cap Feast

Small Cap Feast – 22 November 2018

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 920

Total number of AIM Companies trading: 850*
* As at 19 November 2018

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 19 November 2018

Set Menu Standard List:

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

Total number of Standard List Companies trading: *
* As at 19 November 2018

Dish of the Day:

Golden Saint Technologies, an integrated information and communication technology infrastructure solutions provider, has joined the Main Market raising £900k at 0.75p

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?

Main Market (Premium)

AJ Bell—one of the largest investment platforms in the UK—Expects to publish prospectus end Nov. FYSep18—revenues up 19% to £89.7 million, profit before tax up 31% to £28.4 million.  Secondary sell down, Due December.

Nova Ljuublianska banka—financial and banking institution based in Slovenia with a network of 349 branches,  dual listing process in Ljubliana with GDRs in London. For HYJun18 and for FY17 the Group recorded a net profit equal to EUR 104.8 million and EUR 225.1 million, respectively. 50% plus sell down.  Estimated mkt cap EUR1bn to EUR1.3bn. Due 14 Nov

Sirius Aircraft Leasing Fund targeting a raise of US$250m  – objective is to provide investors with an attractive level of regular income and capital returns through investing primarily in used, single-aisle aircraft. Due early Nov

MOD Resources—(ASX:MOD) A$78.7m mkt cap.  Copper exploration and development company focused on the central and western Kalahari Copper Belt in Botswana.  Introduction only. Due c.26 Nov.

Main Market (Specialist Funds)

The Global Sustainability Trust -aiming for attractive risk-adjusted returns by investing primarily in private market investments that are expected to have a positive environmental and social impact raising c.£200m. Due end Nov.

AIM

Kropz, an emerging plant nutrient producer with an advanced stage phosphate mining project in South Africa, a phosphate project in the Republic of Congo and exploration assets in Ghana, is looking to join AIM. Offer TBC, expected late Nov

Titon holdings—international manufacturer and supplier of ventilation systems and window and door hardware. No capital raise. Due 10 Dec. Mkt cap c.£22m.

Greenfields Petroleum (TSX-V:GNF)  production focused company with operated assets in Azerbaijan seeking AIM dual listing including $60m private placement. Mkt cap $12.6m CAD. Expected early December.

Finncap—proposed acquisition of M&A adviser Cavendish Corporate Finance and AIM admission. Offer TBA. Due early Dec

Crossword Cybersecurity PLC* (NEX:CCS)—the technology commercialisation company focusing exclusively on the cyber security sector is investigating the possibility of AIM admission. The Company is proposing to raise up to £2.25 million before the end of December, conditional on Admission.

The Panoply parent company of a digitally native technology services group founded in 2016 with the aim of identifying and acquiring best-of-breed specialist information technology and innovation consulting businesses across Europe, is looking to join AIM. Offer TBC, expected late November 2018.

Nex Exchange

European Lithium—(ASX:EUR)- Introduction to NEX due 26 Nov. mining exploration and development company which wholly owns the Wolfsburg Lithium Project located in Carinthia, 270 km south of Vienna, Austria. Mkt cap c.A$63m

 

Breakfast Buffet

Integumen* (SKIN.L) 0.49p £1.88m

The trading update of 15 Nov 2018 indicated that extra staff and 40% more laboratory space is needed to satisfy the increase in service contracts and production at Labskin. These are having a positive effect on revenues in H2 2018 and there are strong indications that 2019 revenues will continue to improve. Management of short-term cash flow is critical in a fast-growing company and following the cancellation of the second tranche of the fundraising announced on 16 July 2018, the Company announced details of a conditional Placing and Subscription to raise £355,000 for the Company.

In addition to the debt facility provided by Cellulac, announced on the 11 Oct 2018, the Company plans to use the net proceeds of the Subscription and Placing:

to support the accelerating growth of Labskin,

to add more Laboratory space and leasing equipment for increased Labskin production,

to roll out of Labskin Association Workshops,

 to roll out of the Labskin AI platform,

 to promote Algzym Technology as part of the Commercial Technology Agreement with Cellulac, and

for general working capital purposes.

 

Directa Plus (DCTA.L) 47.5p £20.34m

Directa Plus, a producer and supplier of graphene-based products for use in consumer and industrial markets, provided a trading update in respect of its current financial year ended 31 Dec 2018.

The Company has made good progress during the second half of 2018, with orders and agreements signed for Textiles, Environmental and Composites for both 2018 and 2019. Accordingly, the Board is confident of achieving consensus market estimates for the year ended Dec 2018, including revenues of 2.3m.

 

Redcentric (RCN.L) 60p £115.5m

Redcentric, a leading UK IT managed services provider, announced its unaudited interim results for the six months to 30 Sept 2018.

Recurring revenue maintained at 87% of total revenue.

Continued strong cash flows with £9.2m of adjusted operating cash flow in the period (114% cash conversion).

Net debt reduced by £5.1m over the six-month period.

Further efficiencies and cost savings achieved across the operating cost base.

Dividend reinstated with an interim dividend of 0.4p per share.

Renewal and extension of major customer contracts to 2021 and beyond.

 Five health & social care network procurement awards.

Launch of Managed Azure Services enabling customers to make better use of hyper cloud.

Investment in systems, networks and hosting platforms with upgrades to core Redcentric network.

Introduction of new sales CRM system and ongoing implementation of company-wide ERP system.

Strong management of costs and migration of work to Hyderabad, India.

 

First Property Group (FPO.L) 51.50p £56.18m

First Property Group, the award winning property fund manager and investor with operations in the United Kingdom and Central Europe, announced its interim results for the six months to 30 Sept 2018.

PBT of £3.82m (2017: £4.98m);

Cash unchanged at £10m (2017: £10m) after cash outflows from investments (over the past year) of £5.17m;

Adjusted NAV per share of 62.21p per share (2017: 51.25p per share);

Interim dividend of 0.44p per share (2017: 0.42p per share).

AUM £730m (2017: £554m);

Third party AUM £551m (2017: £382m);

Weighted average unexpired fund management contract term: 6.30 years (2017: 6.08 years);

Two new funds established (one invested in Poland, the other in Romania, together amounting to some €80m) with investors including a client of Willis Towers Watson and Oxbridge colleges.

 

Sutton Harbour Holdings (SUH.L) 28.5p £30.10m

Sutton Harbour Holdings, the marine and waterfront regeneration specialist, announced its interim results for the six-month period to 30 Sept 2018.

Unanimous planning approval for the Sugar Quay scheme

Planning consent secured for Harbour Arch Quay Scheme and Harbour Car Park extension

Open Offer to raise up to £3m (gross) to fund post planning pre-construction phase project costs, capital maintenance project costs and to provide cash headroom

Adjusted PBT £0.110m (H12017: £0.136m);

PBT of £0.110m (H12017: loss of £0.702m);

Net assets of £39.445m (31 March 2018: £39.328m);

Net debt £23.459m (31 March 2018: £22.956m).

 

Bluejay Mining (JAY.L) 11.65p £93.50m

Bluejay Mining, the  company with projects in Greenland and Finland, to provided a permitting update on its flagship asset the Dundas Ilmenite Project in Greenland, the world’s highest-grade mineral sands ilmenite project.

Environmental Impact Assessment (‘EIA’) three-year field work studies are now complete

Social Impact Assessment (‘SIA’) data collection and collation to be completed Jan 2019 – high degree of support received to date from all stakeholders

The Company will now submit these technical reports in preparation for the final EIA submission to the relevant authorities for review

Optimised Pre-Feasibility Study (‘PFS’) continues and is on track for completion Q1 2019

Exploitation application will be lodged soon thereafter

Additional developmental updates expected before year end

 

President Energy (PPC.L) 9.35p £98.16m

President Energy, the upstream oil and gas company with a diverse portfolio of production and exploration assets focused primarily in Argentina, provided an update on its drilling programme at the Puesto Flores/Estancia Vieja Concession, Rio Negro Province, Argentina (90% President and operator and 10% EDHIPSA, the Provincial energy company).

PFO 1001, the first newly drilled well now tied in and flowing from the Punta Rosada primary target formation at 600 bopd

The secondary Pre Cuyo target, 200 metres lower down in the well which flowed at 240 bopd, has been temporarily isolated and kept in reserve to produce at a later date

PFE 1001, the second new well, has been successfully cased showing total net oil pay of 43 metres in aggregate over both primary and secondary targets

Testing of the second well to commence next week

The drilling rig will be moved next week to drill the third and final well in this year’s program, PFO-1005

 

Idox (IDOX.L) 32p £132.9m

Idox, a leading supplier of specialist information management solutions and services, announced the appointment of Chris Stone as NEC with immediate effect.

Chris is the Chairman of NCC Group plc and was Chairman of CityFibre plc until its recent sale. He has held various non-executive director and chief executive roles of listed and private equity backed technology companies, including being CEO of Northgate Information Solutions plc, a UK listed company, from 1999 to 2011. He led the transformation of this software and services business from a small domestic player to a global leader. From 2013 to 2016, he was CEO of Radius Worldwide, a provider of software and services to support high growth companies establish and manage international operations.

 

Hornby (HRN.L) 32.5p £40.71m

Hornby, the international hobby products Group, today announces its interim results for the six months ended 30 Sept 2018.

Group revenue of £13.8m (2017: £17m)

Underlying Group loss before tax of £3m (2017: loss of £4.6m)

Statutory loss before taxation for the period of £3.2m (2017: loss of £5.7m)

Net debt of £1.8m (2017: £4.7m)

Continued delivery of our plans to transform the Group

A removal of the aggressive discounting strategy, favouring the long-term health of the brands over the short-term sales number

Nearly 200 years of combined model and hobby experience added to the brand teams to optimise product selection and pricing architecture across the ranges

Line plans for next year are now in place 6 months ahead of last year to give us the best chance of getting products to market in the right quantities at the right time

A relentless focus on frugality, making sure we squeeze the maximum amount of benefit out of every penny of cost we incur.

 

Premier African Minerals (PREM.L) 0.14p £9.97m

Premier African Minerals provided this interim update on developments with the proposed resolution of the equity arrangement at RHA Tungsten Private Limited in which Premier holds a 49% interest and is the operator.

Premier was advised on the 19 Nov 2019 by the Ministry of Industry, Commerce and Enterprise Development that our proposal to resolve the equity status at RHA would be tabled for a decision at the Cabinet meeting of the Government of Zimbabwe that was held on 20 Nov 2018. Release of the minutes of this meeting made no reference to RHA’s matter and we have been told subsequently, the matter had not been discussed. Premier now understands from the Ministry that the proposal will be presented in the next cabinet meeting, which we understand is scheduled for the early part of next week.

 

Head Chef:

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

*A corporate client of Hybridan LLP

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