Small Cap Feast

Small Cap Feast – 26 April 2019

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What’s Cooking in the IPO Kitchen?

Main Market

Finablr plc— global platform which provides Cross-Border Payments and Consumer Solutions, Consumer Foreign Exchange Solutions and B2B and Payment Technology Solutions to consumers and businesses in the large and growing payments and foreign exchange market is looking to list on the Main Market plans to raise $200m

Main Market (Standard)

IMC Exploration Group (NEX: IMCP), focused on acquiring and exploring prospecting licence areas which have high potential for natural resource, is looking to admit its shares to the standard list and will withdraw for the NEX Exchange. Expected 11 June 2019


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.

Loungers plc—the operator of 146 café/bar/restaurants across England and Wales under the Lounge and Cosy Club brands, announces its intention to seek admission on AIM, offer to raise £83.3m at 200p with market cap of £185m, expected 29 April 2019.

SDX Energy plc—a North Africa focused oil and gas company, announces its intention to complete a Canadian plan of arrangement under section 192 of the Canada Business Corporations Act and will have shares de-listed from the TSX-V and admitted to trading on AIM. Expected 28 May 2019, anticipated market cap of £76m

Renold plc—a leading international supplier of industrial chains and related power transmission products, announced that it will cancel the listing of the Company from the premium segment and apply for admission on AIM. Expected 06 June 2019.

Distribution Finance Capital Holdings plc — specialist lender which builds relationships with manufacturers and then provides working capital solutions up and down their supply chains to drive their growth is looking to join AIM. No raise, secondary offering of £19.8m at 90p, expected market cap of £95.98m. Expected 09 May 2019.

Alumasc Group plc, the premium building products, systems and solutions group, has announced its intention to move from the Premium Segment of the main market to AIM. Expected 25 June 2019


Breakfast Buffet

Serinus Energy (SENX.L) 10.4p £24.4m

Serinus Energy announced  production has commenced at the Moftinu  Gas Plant in Romania.

Gas from the Moftinu 1003 production well has been flowed through the gas plant into the sales gas pipeline. The processed gas meets the water dew point and hydrocarbon dew point specifications set by the Romanian National Gas Transportation Company, Transgaz.

The Company will follow a conventional start-up program whereby production parameters and plant performance will be stabilized, after which gas from the Moftinu 1007 well will also be brought onto production and flowed through the gas plant.  During the start-up and stabilization period gas will be sold on a daily basis. Following the start-up period, and once gas volumes are more regular, gas will be sold on a monthly basis as per the previously announced Gas Sales Agreement.


High Growth Capital (NEX:HASH) 1.525p £66.1m

Appointment of Mark Robert Angele De Smedt as Chief Executive and Director. Mark (Belgian national, aged 57) brings a wealth of experience from senior executive management roles at some of the world’s leading global businesses. Mark was until very recently an executive committee member at The Adecco Group, the HR services industry leader where he held various roles including those of Chief HR Officer and Head of Northern Europe.

Hitherto, Mark held executive positions in sales, operations and general management at Apple, Citibank and Scoot in Europe. Mark graduated as a Commercial Engineer from Solvay Business School  and completed executive programs at Harvard Business School, INSEAD and the London Business School. High Growth Capital engages in seeking complementary disruptive investments in technology, content and internet investments that, over time, have the ability to emerge as market leaders in their areas of focus and application.


EU Supply (EUSP.L) 11p £7.28m

FYDec18 results from the e-procurement software provider.

Revenue up 10% to £5.1m

70% of revenues estimated to be of recurring or repeatable nature at year-end (2017: 66%)

PBT of £0.4m (2017: loss of £0.2m)

Cash balance of £0.9m at 31 Dec 2018 (2017: £0.7m)

New routes to the German market opened and expected to generate additional revenue

Successful fundraising provided liquidity to develop new services in the medium-term.

“Our highest ever rate of increase in annual recurring revenue run rate has been secured already in 2019 with annualised values of contracts in aggregate of approximately £620k being signed this year, and this without any higher staffing levels.”


Xeros Tech Group (XSG.L) 11p £25.04m

The developer and provider of water saving technologies with multiple commercial applications, signed an exclusive agreement to develop and license the Group’s domestic and commercial washing machine technologies to IFB Industries Limited (‘IFB’). IFB is the leading domestic appliance and commercial laundry equipment supplier in South Asia and is listed on the National Stock Exchange of India.

The Development and Licensing Agreement has a 10 year duration and covers the incorporation and commercialisation of Xeros’ water saving XOrb™ and XDrum™ technologies into selected ranges of IFB’s domestic and commercial sized washing machines.

Xeros will receive immediately a one-off exclusivity fee and during the development phase further payments when various milestones are reached.


Inspirit Energy Holdings (INSP.L) 0.05p £0.43m

The developer of micro Combined Heat and Power (“microCHP” or “mCHP”) boilers, updated shareholders following a strategic review of operation and product development.

As set out in the Company’s half year report, the Company has been working to advance its microCHP boiler towards commercialisation.

In Dec 2018, the UK Government introduced legislation which will close the Feed-in Tariff (FIT) scheme to new applicants from 1 April 2019.

To this end, the company has been focusing on improvements to the design of the Company’s Stirling engine technology and creating a strategic plan for future operations, cost efficiencies and product diversification.

Improvements and efficiencies have provided the Charger with peak electrical output in excess of 6.4kW of electricity during a running cycle of 2,000 hours against the unit’s previous output of 3.0kW, whist maintaining 15kW thermal output and a 20% reduction in the size of the appliance to below 800mm.


Van Elle (VANL.L) 44.5p £35.6m

FY Apr 19 update from the geotechnical engineering company offering a wide range of ground engineering techniques and services to customers in a variety of UK construction end markets.

The business continues to make good progress on its transition plan, announced in Jan 2019. In terms of current year performance, the Group has experienced a level of uncertainty in its markets, particularly in the infrastructure sector, in the latter part of the year. This has meant that, despite encouraging progress in winning work, some contract award and start dates have been delayed by customers. As a result, whilst volumes in the fourth quarter have been the strongest of the year to date, sales for the full year are expected to fall short of levels previously expected by circa 3%. This reduction in forecast sales for the current year is expected to result in the Group delivering full year adjusted PBT slightly below the lower end of the range of market expectations.

Reflecting the improved commercial approach, which is focussed on longer term partnerships, the Group has a record current order book of £35m


Reneuron Group (RENE.L) 302p £82.95m

The specialist “in the development of cell-based therapeutics, is pleased to announce updated positive preliminary data in the Company’s ongoing Phase 1/2a clinical trial of its human retinal progenitor cell (hRPC) therapy candidate in the blindness-causing disease, retinitis pigmentosa (RP).  All three subjects in the first cohort of the Phase 2a element of the study have demonstrated a sustained and further improvement in vision compared with their pre-treatment baseline.

These latest results are being presented today by Jason Comander MD, PhD, Associate Director, Inherited Retinal Disorders Service, Massachusetts Eye and Ear, and Assistant Professor, Harvard Medical School, at the sixth annual Retinal Cell and Gene Therapy Innovation Summit in Vancouver, Canada, which precedes the 2019 annual meeting of the Association for Research in Vision and Ophthalmology (ARVO) taking place on 28 April – 2 May.”


Prospex Oil and Gas (PXOG.L) 0.22p £2.5m

Operator, Po Valley Energy Limited, has informed its partners of a substantial upgrade to the resource estimate for the Podere Gallina Exploration Permit and specifically the Selva gas field resources in the Po Valley region of Italy to 14.1bcf contingent resources (‘2C’) and 91.5bcf prospective resources (best estimate).  Previously gross resources for Podere Gallina stood at zero 2C resources and 52.7bcf prospective resources, alongside 13.3bcf of 2P reserves.

Upgraded resources are in addition to gross 2P reserves of 13.3 bcf already assigned to Selva by CGG

Prospex’s 17% interest equates to 2P reserves of 2.26 bcf; 2C resources of 2.40 bcf; and prospective resources of 15.56 bcf net to Prospex – providing significant asset backing

Prospex’s 17% interest equates to 2P reserves of 2.26 bcf; 2C resources of 2.40 bcf; and prospective resources of 15.56 bcf net to Prospex – providing significant asset backing

Production at Selva remains on course to commence in 2020 at a gross rate of up to 150,000 cubic metres per day


PureTech Health (PRTC.L) 182.5p £536.7m

The advanced biopharmaceutical company developing novel medicines for dysfunctions of the Brain-Immune-Gut (BIG) axis, is pleased to note that its affiliate, Karuna Therapeutics, Inc. , today announced that it has previously confidentially submitted a draft registration statement on Form S-1 with the United States Securities and Exchange Commission relating to the proposed initial public offering of its common stock.

Karuna Therapeutics is a clinical-stage company targeting muscarinic cholinergic receptors for the treatment of psychosis and cognitive impairment across central nervous system (CNS) disorders.


Armadale Capital (ACP.L) 1.18p £4.41m

Progress update in respect of its Tanzanian Mahenge Liandu Graphite Project Definitive Feasibility Study.

Received final Environmental and Social Impact Assessment report from external consultants – favourable findings

Completed decommission implementation plan considering options on how to utilise the site after mining is completed

Received Relocation Action Plan (“RAP”), principally to engage with the local community

On schedule to submit final ESIA Report and RAP to the National Environment Management Council of Tanzania by the end of April 2019


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