Small Cap Feast

Small Cap Feast – 27 November 2018

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 920

Total number of AIM Companies trading: 850*
* As at 26 November 2018

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 26 November 2018

Set Menu Standard List:

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

Total number of Standard List Companies trading: *
* As at 26 November 2018

Dish of the Day:

No Joiners Today

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)

SEEIT will be the first UK-listed investment fund of its kind to invest exclusively in the energy efficiency sector. Looking to raise £150m. Due 11 Dec

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.

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 5 Dec

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 £5m new capital, £400k sell-down, market cap of £30m, expected late 4 Dec 2018.

Breakfast Buffet

President Energy (PPC.L) 9.35p £98.7m

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

The PFO 1005 development well at the Puesto Flores field, being the last of the recent three well sequence, has now been spudded. With a provisional target depth of 2,700 metres, it is estimated that the well will be drilled in approximately 21 days.

The recently drilled PFE 1001 well is expected to be completed with a work over rig and be on stream by the end of next week.

Inland Homes (FRR.L) 0.35p £57.98m

Inland Homes, a leading housebuilder, Partnership Housing developer and regeneration specialist, provides the following statement ahead of its AGM , 27 Nov 2018, at 11am.

The Group’s strategy to focus on affordably priced, good quality homes for sale in the South East of England, Partnership Housing and land trading is providing a platform for strong operational and financial performance during the rest of the financial year.

Our most recent initiatives, Rosewood Housing and Hugg Homes, will enable us to further reinforce our affordable housing offering and capture additional value from our assets. Both are expected to begin delivering recurring income later this financial year.

The first five months of the current financial year have been in line with our expectations.

 

OPG (OPG.L) 30.5p £13.94m

OPG, the developer and operator of power generation plants in India, announces its unaudited results for the six months ended 30 Sept 2018.

H1 FY19 total generation of 1.55 billion units up 9 per cent from 1.42 billion units in H1 FY18

Robust operational performance – PLF at Chennai 85% in H1 FY19; 73% in H1 FY18

Chennai average tariff in H1 FY19 was Rs5.20, Rs4.92 in FY18

Profit from continuing operations was £6.5m compared with £2.1m in H1 FY18

Average tariff increase of 7% to Rs5.58 effective from Oct 2018 for captive consumers

Coal prices have reduced by 23% since end of Sept 2018

£10.3m term loan principal repayment in H1 FY19; Gross debt £85.9m, incl. term loans of £76.5m and working capital loans of £9.4m

 

Novacyt (NCYT.L) 53.5p £45.08m

Novacyt, an international specialist in clinical diagnostics, announced its molecular testing division, Primerdesign Ltd., has signed an exclusive supply agreement worth a minimum of $3m with Genesis Diagnostics, a US-based full service diagnostic laboratory that offers clinical diagnostic testing, oral fluid drug testing and services focused on drug monitoring, substance abuse programmes, infectious disease, and personalised medicine.

Primerdesign will develop and supply 384 well plate molecular assay panels for respiratory, women’s health, sexually transmitted, wound and urinary tract infections for Genesis Diagnostics to use in its clinical service laboratory based in Langhorne, Pennsylvania.

Under the terms of the agreement, Primerdesign will be appointed the exclusive product manufacturer of the panel for a minimum of five years. The supply of product is expected to commence in early 2019 and Genesis Diagnostics will purchase minimum quantities of product to the value of $600,000 per year.

 

Allergy Therapeutics (AGY.L) 15.75p £100.2m

Allergy Therapeutics, the fully integrated commercial biotechnology company specialising in allergy vaccines, provided an AGM trading and regulatory update ahead of its Half Year Results to be announced in March 2019.

The Group continues to perform well with revenues up strongly from the prior year in most markets and sales in line with market expectations for the year. The Group continues to gain market share in Europe, particularly in Germany.

The Group continues to prepare for the upcoming PQ Grass pivotal Phase III trial that can allow for US registration. An end of Phase II meeting with the FDA has now been confirmed for Jan 2019 and good progress is being made regarding the Phase III trial protocol. Further to previous updates, top line results from the PQ Birch (B301) Phase III trial for Europe are now expected in Q1 2019. Allergy Therapeutics remains blinded to the data package and looks forward to the disclosure of the data.

The Worthing site recently completed a successful MHRA audit with no critical findings illustrating the quality of the Group’s supply chain.

 

C4X Discovery (C4XD.L) 87p £49.7m

C4X Discovery, a pioneering drug discovery company, announced that it has entered into a discovery partnership with LifeArc®, one of the UK’s leading medical research charities. C4XD and LifeArc will join forces to progress medicinal chemistry efforts on a novel, commercially attractive programme with applicability across oncology and inflammation indications. The undisclosed target originated from LifeArc’s extensive partnerships in early-stage academic research.

The partnership will combine leading drug discovery expertise from both organisations, including application of C4XD’s unique and proprietary ligand-focussed conformational analysis platform, Conformetrix, to LifeArc’s extensive background and experience in the programme. This discovery partnership adds a high value programme to C4XD’s portfolio. Furthermore, it demonstrates continued progress against its stated strategy of utilising its cutting-edge drug discovery engine, and establishing productive partnerships, to develop novel small molecules against targets with high partnering interest.

Terms of the agreement are undisclosed.

 

Ace Liberty and Stone (NEX:ALSP) 105p £43.3m

Ace Liberty and Stone, the active property investment company, capitalising on commercial property investment opportunities across the UK, announced that it has completed the purchase of Mecca Bingo Hall in Chesterfield for a total consideration of £4m; the asset is expected to generate an income of £0.39m per annum.

The property, which is let to Mecca Bingo Ltd for the next 10 years, occupies a large site west of Chesterfield town centre and is close to large blue chip consumer retailer Lidl. Other retail warehouse occupiers within the vicinity include Wickes, Carpetright and Matalan. Furthermore, the principal out of town Retail Park for Chesterfield is situated close by on Ravenside Retail Park, where retailers include Next, B&M, Asda Living and Currys. The new 10 year re-gear of the lease illustrates the strength of the unit’s trading performance and Mecca’s commitment to the property.

Furthermore, Premier Inn is due to open a brand new hotel in Chesterfield in Jan 2019. Situated in the Mock-Tudor former department store and located firmly in the town centre, the hotel will house 92 beds with the development more widely set to showcase seven new bars and restaurants.

 

Altitude Group (ALT.L) 85p £46.92m

Altitude Group, the operator of a leading marketplace for personalised products, provided an operational update for the 9-week period since the Interim Results announcement on 25 Sept 2018, ahead of the Group’s CEO, Nicole Stella, presenting at a Mello investor event at Clayton Hotel, Chiswick, London later today.

AIMPro summary of progress

As at 18 November 2018:

Blended average transaction fees running at 2.4% of sales order value over last 12 weeks (for member control cohort)

75% of Members Processing Orders (“MPO’s”) have placed repeat orders (up from 73%)

47% growth in MPO’s to 240 in the last 9 weeks (up from 164)

41.3% growth in the number of sales orders processed to 15,722 in last 9 weeks (up from 11,123)

35% growth in the value of sales orders processed to $13.4m in last 9 weeks (up from $9.9m)

65% of AIM’s 1,904 members are now actively engaging with our US customer success team

Current sales order value per week (8-week average) $675k (up from $487k)

1,254 live e-commerce websites built (up from 1,000)

AIM membership increased to 1,904 (up from 1,857) representing aggregate annual revenues of approximately US $1.7bn

 

HML Holdings (HMLH.L) 30.5p £13.94m

H

ML Holdings, the property management services group, announced its interim results for the six months to 30 Sept 2018.

Revenue up 7% to £13.6m (2017: £12.7m)

11% increase in profit from operations before interest, amortisation, share based payment charges and taxation to £1.12m (2017: £1.01m)

Cash generated from operations was £1.56m (2017: £1.04m)

Adjusted EPS 2.2p (2017: 1.9p). 

Net debt reduced to £0.96m (2017: £1.47m)

 

Savannah Resources (SAV.L) 6.1p £53.77m

Savannah Resources, the resource development company, announced the appointment of James Leahy as an Independent NED with immediate effect. With more than 32 years’ experience in financial services, Mr Leahy has an extensive understanding of capital markets with a specialisation in commodities. In addition, Mr Leahy has executive experience having acted as Interim Chairman for Bacanora Minerals Ltd, a publically listed company and served on the boards of several listed and private companies. In these positions, he also sat on various committees ranging from audit and remuneration to AIM compliance and special Investigations. Mr Leahy will join Savannah’s Audit and Risk Committee and Remuneration Committee.

 

Head Chef:

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

*A corporate client of Hybridan LLP

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