Small Cap Feast

Small Cap Feast – 25 February 2019

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 910

Total number of AIM Companies trading: 842*
* As at 18 February 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 18 February 2019

Set Menu Standard List:

Total number of Standard List Companies (Incl Susp): 145*

Total number of Standard List Companies trading: 128*
* As at 18 February 2019

Dish of the Day:

No Joiners Today

Off the Menu:

Patisserie  Holdings plc (CAKE.L) has left AIM today after the sales of Patisserie Valerie and Baker and Spice.

Dish of the Day:

No Joiners Today

Off the Menu:

No Leavers Today

What’s Cooking in the IPO Kitchen?

Main Market (Premium)

DWF, a global legal business,  expects to raise primary gross proceeds of approximately £75m. Due March

AIM

United Oil & Gas (UOG.L) an oil and gas exploration and development company brought to the Official List (Standard Segment) in July 2017 by way of a reverse takeover of Senterra Energy plc. No capital to be raised, expected market cap of £17m and expected 1 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.

Polemos, to be renamed Digitalbox plc, has agreed to acquire Digitalbox Publishing Holdings Limited for c.£10m through a share for share exchange. The acquisition constitutes a RTO. Polemos has also agreed to acquire the entire issued share capital of Mashed Productions Limited, a digital media business which owns the online satirical news website “The Daily Mash”, for a maximum total consideration of up to £1.2m. Market cap on admission £12.4m, expected 28 February

Breakfast Buffet

Totally (TLY.L) 14.35p £8.31m

Totally, the provider of a range of out-of-hospital services to the healthcare sector in the UK, announced that its wholly-owned subsidiary Vocare Limited, one of the UK’s leading national specialist providers of urgent care services, has been awarded a two year contract extension valued at a total of c.£10.6m, by the Central London Clinical Commissioning Group.

Under the terms of the Contract, Vocare will continue to run the urgent care centre at St Mary’s Hospital in Paddington, London, for a further two years until April 2021.

 

Phoenix Global Mining (PGM.L) 19p £7.35m

Phoenix Global Mining, the North American-focused base and precious metals exploration and development company, announced the results from the Company’s 2018 drilling programme at the Empire Copper Project in Idaho, USA.

Drilling Highlights – Empire Resource

Stepout Sulphide Copper Intercepts

Hole KX18-62: 6.1m of 3.78% copper equivalent from 126.5m depth including 1.5m of 12.80% copper equivalent from 129.5m depth

Stepout Oxide Copper Intercepts

Hole KX18-59: 4.6m of 1.10% copper equivalent from 41.4m depth including 1.5m of 1.75% copper equivalent from 42m depth

Infill Oxide Copper Intercepts

Hole KX18-58: 1.5m of 2.11% copper equivalent from 32m depth and 1.5m of 1.1% copper equivalent from 42.7m depth

 

DeepMatter (DMTR.L) 3.15p £22.69m

DeepMatter, the company focusing on digitizing chemistry, announced that it has raised approximately £4m by way of a placing of 159,185,680 new ordinary shares at 2.5p per share. 

The Placing Price represents a discount of 12.3% to the closing mid-market price of 2.85p per share on 19 Dec 2018.

The net proceeds of the Placing will be used to further finance ongoing DigitalGlassware™ technology development, including integration of cheminformatics capabilities, user and partner support, marketing, data science, manufacture and for working capital requirements of the Enlarged Group.

 

Team17 (TM17.L) 197p £262.5m

Team17, a global games label, creative partner and developer of independent (“indie”), premium video games, announced the appointment of Jennifer Lawrence as a NED with immediate effect.

Jennifer joins from Costcutter Supermarkets Group where she has held the role of HR Director since Aug 2016, working with the executive team responsible for the successful financial and operational running of the business. With over 900 people employed nationwide, Jennifer is responsible for ensuring the employment base is aligned with delivering strategic objectives.

Prior to joining Costcutter, Jennifer served as HR Director at TDX Group, overseeing its integration into the core Equifax Business, and spent four years at Boots, the last two of which as Head of HR for Boots Opticians.

 

Sirius Petroleum (SRSP.L) Suspended

Sirius Petroleum, the Nigeria-focused oil and gas development and production company, announced that it has been notified by Shelf Drilling that the Adriatic-1, currently stationed in the adjacent licence to the Ororo field, is approaching Total Well Depth for the incumbent operator. The Board will notify the market when further updates are received by the Company.

As previously disclosed in the AIM Admission Document of 30 Nov 2017, to preserve its current licence, the Company is required to bring the Ororo field into production on or before 1 May 2019. In the unlikely event that there are any unforeseen delays and the licence does approach its expiry date, the Company would seek a further extension to the term of the licence, which has already been granted on two previous occasions. The Company also announced that it is in advanced stages of discussions on funding which will enable it to conclude a funding facility to be deployed towards the execution of a minimum work programme commitment on the Ejulebe field. 

 

Finsbury Food Group (FIF.L) 79.5p £106.9m

Finsbury Food Group, a leading UK speciality bakery manufacturer of cake, bread and morning goods for the retail and foodservice channels, announced its unaudited interim results for the 26 weeks ended 29 Dec 2018.

Group revenue on a like for like basis up 0.5% to £145.5m (H1 2017: £144.8m) with UK Bakery sales up 1.7%.

Total group revenue down 3.5% to £152.3m, reflecting closed businesses partially offset by acquisition.

Group operating profit flat at £8.7m.

Group operating profit margin increased to 5.7% (H1 2017: 5.5%).

Group EBITDA up 2.2% to £12.9m (H1 2017: £12.7m)

PBT of £7.5m (H1 2017: loss (£1.2m)).

Diluted EPS up 2.1% at 4.9p (H1 2017: 4.8p), adjusted EPS, up 2% at 5.1p (H1 2017: 5p).

Interim dividend per share increased 5.5% to 1.16p (H1 2017: 1.1p per share).

Net debt of £36.1m increased to 1.3 times annualised EBITDA of the Group (H1 2017: £16.6m, 0.6 times).

 

Erris Resources (ERIS.L) 5.75p £1.75m

Erris Resources, the European focused mineral exploration company with a portfolio of zinc and base metals projects in Ireland and gold projects in Sweden and Finland, provided an operational and corporate update on its activities, including a change to its board of directors.

Underground and surface drilling at the Abbeytown Project in Q4 2018 demonstrated that mineralisation extends 375 metres south from the old underground workings to ERAB005, the most southerly hole drilled by Erris

Soil sampling programme completed in Feb 2019 to identify new targets and demonstrate that this mineralisation corridor has the potential to extend 900 metres to the Ox Mountains fault south of Abbeytown

Metallurgical test work ongoing on samples taken from Abbeytown underground drilling

Preliminary prospecting of geophysical targets underway on the new Galway Project licences

As part of the Centerra funded programme in Finland, several targets are under review, with a number of Reservation Permit applications already submitted

Maintaining a disciplined approach to expenditure and well-funded for 2019

Identifying and reviewing new opportunities that show synergies and the potential to add value to the Erris portfolio

 

Gulf Investment Fund (GIF.L) 1.15p £81.08m

Gulf Investment Fund’s net asset value per share (NAV) fell by 3.5%; MSCI Emerging Markets Index fell by 9.7%

GIF share price +0.5%

Dividend of 2 cents per share

GCC markets have outperformed global emerging markets

“During the six-month period, GCC markets were influenced by two main negative trends: a decline of 32% in the oil price and a significant fall in global markets during Nov and Dec. On the positive side, easing of foreign corporate ownership limits in Qatar and reclassification to the Emerging Market Index in Saudi Arabia were steadying factors.

We believe that these bearish trends will reverse and expect 2019 to be a year of progress for GCC economies, with all regional governments setting expansive budgets despite softness in oil prices. The GCC is expected to grow at 3% in 2019 led by investment projects in Saudi Arabia, the five-year development plan in Kuwait, ongoing preparations for Expo 2020 in the UAE and FIFA 2022 in Qatar.”

 

Tekcapital (TEK.L) 6.75p £3.17m

Tekcapital, the UK intellectual property investment group focused on creating marketplace value from university technology, announced its preliminary results for the year ending 30 Nov 2018.

Net Assets increased 51% to $16.13m, a record level (2017: $10.68m)

NAV per share $0.30 (2017: $0.25)

Portfolio valuation increased 88% to $13.70m (2017: $7.31m)

Total Revenue $6.83m (2017: $7.26m)

Net increase of $5.79m in fair value of portfolio companies (2017:$6.08m)

Revenue from services increased by 28% to $1.04m (2017: $0.81m) including management fees and R&D related tax refunds

Reduction of operating expenses by 29% to $1.72m (2017: $2.42m)

PBT of $4.55m (2017: $4.15m)

Placing to raise $1.16m completed in Oct 2018

 

Tristel (TSTL.L) 287.5p £134m

Tristel, the manufacturer of infection prevention and contamination control products utilising proprietary chlorine dioxide chemistry, announced its interim results for the six months ended 31 Dec 2018, ahead of guidance at the Dec AGM.

Revenue up 12% to £12m (2017: £10.7m)

Overseas sales up 19% to £6.4m (2017: £5.4m), representing 53% of total sales (2017: 50%)

Gross margin increased to 78% from 75% in 2017

EBITDA before share-based payments up 19% to £3.2m (2017: £2.7m)

PBT before share-based payments up 20% to £2.4m (2017: £2m). Unadjusted PBT of £2.2m (£1.8m)

EPS before share-based payments up 13% to 4.5p (2017: 4p). Unadjusted EPS of 4.05p (2017: 3.62p)

Interim dividend of 2.04p per share (2017: 1.6p), up 28%

Cash of £4.5m (2017: £4.9m), after £2.96m paid in Nov for the Ecomed companies.

 

Head Chef:

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

*A corporate client of Hybridan LLP

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