AIM Breakfasts

AIM BREAKFAST – 31st March 2017

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 966

Total number of AIM Companies trading: 941*
* As at 30 March 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 30 March 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?

AppBox Media— Intention to Float— UK based developer of mobile applications and video games, considering LSE or NASDAQ   listing in 2018

Integumen— Intention to Float from the personal health company developing and commercialising technology and products for the human integumentary system. Raising £2.25m at 5p. Expected market cap £8.25m. Admission expected 5 April.

Franchise Brands—Schedule 1 detailing £28m reverse takeover of Metro Rod. Admission expected 11 April.

Alpha FX Group— Schedule 1 from the foreign exchange provider focused on managing exchange rate risk for UK corporates that trade internationally.  Fundraise TBC. Admission expected 7 April.

K3 Capital Group—Schedule 1 from the Group of business and company sales specialists across business transfer, business brokerage and corporate finance. Admission date and fundraise details TBC.

Tufton Oceanic Assets– Offer extended to 9 May to enable investors to complete further due diligence.

 

Breakfast Buffet

Trafalgar New Homes (TRAF.L) 0.88p £2.09m

Trading update from the residential property developer operating in SE England for FYMar2017. Not yet completed sales of units at Burnside Tunbridge wells and is not expecting to record H217 revenue. However, the Board is confident of realising sales on these developments during 2017. Revenues from the sales of units at these two sites is therefore expected to contribute to the financial year ending 31 March 2018. Also anticipates that sales from other developments at Hildenborough Kent,  Speldhurst-Tunbridge Wells, and Sheerness, Kent, which are due for completion from May 2017 onwards, will also contribute to revenues for the financial year ending 31 March 2018. There are no market forecasts.

 

Safestay (SSTY.L) 48.5p £16.6m

The owner and operator of a new brand of contemporary hostel,  has agreed an £18.4 million debt restructuring and refinancing. This will replace the existing convertible and bank debt with a single banking facility with HSBC. The net effect of this will be to significantly reduce cost of debt and repay all outstanding convertible loans when they become due. Safestay has also completed sale and leaseback transactions on its hostels in Edinburgh and Elephant & Castle raising gross cash proceeds of £12.6 million.  The £12.6 million being realised equates to a net asset increase of 37p per share. FYDec17 £8.2m rev and £0.35m loss.

 

RedT Energy (RED.L) 8.75p £57.22m

The energy storage technology company, announced that today, a Gen 2 energy storage machine is being delivered to its customer, University of Strathclyde. The 5kW, 20kWh liquid energy storage machine will be used alongside the grid and connected renewables as part of a joint project between the University and Gaia Wind at a site in Glasgow, Scotland and will be used to demonstrate the  commercial case for storage in the UK for Gaia Wind’s customers. redT also notes that its manufacturing partner Jabil Circuit Inc (NYSE:JBL) will be closing its Livingston manufacturing plant. The Company wishes to make it clear that Jabil’s recent announcement does not have a material effect on the redT business and the fulfilment of orders.  FYDec17E £15,93m rev and £5.58m loss.

 

NetScientific (NSCI.L) 54.5p £27.84m

The transatlantic healthcare IP commercialisation Group, announces that its portfolio company, Vortex Biosciences, today announced the publication of two recent papers that further validate its circulating tumour cell (CTC) capture technology. The papers, published on 23 March, 2017 in Nature Communications and at the forthcoming American Association for Cancer Research (AACR) Annual Meeting 2017 (April 1-5 2017, Washington D.C.), add to a growing body of literature on the patented microfluidic technology, underscoring the role it can play in enhancing our understanding of cancer biology.

 

Independent Oil & Gas (IOG.L) 16.25p £17.76m

“The development and production focused Oil and Gas Company, is now close to signing the Sale and Purchase Agreement (“SPA”) for the UK Southern North Sea (“SNS”) pipeline which is expected to be used to deliver IOG’s gas to shore. The document is in near final form and should be signed by all parties shortly. Accordingly, the Memorandum of Understanding (“MOU”) which includes exclusivity provisions has been extended by 2 weeks to 13th April 2017. All parties are working hard to get this document signed as soon as possible and more details will be released then.”

 

ECO (Atlantic) Oil & Gas (ECO.L) 17.62p £14.67m

The oil and gas exploration company with licences in Guyana and Namibia, notes the announcement made overnight by ExxonMobil Corporation in relation to another new oil discovery in Guyana on its Snoek Oil Prospect, of 82 feet of high quality  oil-bearing sandstone reservoir on the Stabroek Block, just 5 miles southeast of the Liza 1 discovery and in very close proximity to Eco Atlantic’s 1,800 km2 Orinduik Block. The Company continues its enhanced work programme on the Orinduik Block in partnership with Tullow (Eco Guyana 40%, Tullow 60% – Operator) and will update the market in due course on developments in respect of its ongoing operations in Guyana.

 

Numis Corporation (NUM.L) 235.5p £267.17m

HYMar16 trading update. Rising UK equity markets are helping institutional commissions and trading outperform. ‘Conversely, we have seen a paucity of primary equity issuance in the UK market as a whole and the increase in M&A activity has yet to fully benefit our top line.  Whilst we are not immune to such conditions, the corporate side of our business has experienced higher transaction volumes in non-primary activity than the same period last year, reflecting the quality of our client base.’ ‘Total income will be moderately below the first half of last year. We have a number of corporate transactions which are due to complete in April 2017 and based on the strength of our pipeline, we remain confident in the outturn for the full year.’ FYSep17E rev of £113.08m and £38.93m PBT.

 

Oxford Pharmascience (OXP.L) 1.65p £19.89m

The speciality pharmaceutical company that redevelops medicines to make them better, safer and easier to take, confirms that yesterday it received feedback from the FDA in respect of its pre-investigational new drug (‘IND’) meeting package for its OXPzero™ Ibuprofen prescription (‘Rx’) programme. The FDA has not agreed with the with the proposed phase III study design based on endoscopic primary endpoints  provisionally agreed with the MHRA. There are a number of alternatives under consideration. FDA feedback in respect of the Company’s pre-IND meeting package for the OXPzero™ Ibuprofen over-the-counter (‘OTC’) programme remains outstanding but is  expected shortly.

 

Capital For Colleagues (NEX:CFCP) 45p £4.3m

Quarterly investment update from the investment vehicle focused on opportunities in the Employee Owned Business  sector.  Portfolio comprised of 15 unquoted EOBs at the end of the quarter. Net Asset Value (‘NAV’) of GBP 4,190,852 (: GBP 5,205,581). Following the failure of two investee companies the Company has reviewed its investment policy and still believes there are good opportunities in the sector. The Directors propose to raise up to GBP 2.0 million through a pre-emptive issue of new ordinary shares at a price of 42p per share (NAV 43.54p). Reducing cash burn through share based remuneration measures.

 

DHAIS (NEX:DHAP) 17p £10.6m

HYDec16 results. Going through a period of rationalisation with the exit of 5 stores leading to turnover falling from £5.1m to £4.2m. £16k operating profit against a £32k loss.  The directors of the Group are continuing to review options for the Mobility division and focusing on the expansion of the Hearing Aid division, which continues to offer significant growth and profit potential. The advertising activities of the Group are being varied  accordingly.

 

Head Chef:

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

*A corporate client of Hybridan LLP

Disclaimer

This document, which does not constitute research, has been issued by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectives, financial situation or needs of any specific entity and is not a personal recommendation to anyone. Recipients should make their own investment decisions based upon their own financial objectives and financial resources and, if any doubt, should seek advice from an investment advisor.

The information contained in this document is based on materials and sources that are believed to be reliable; however, they have not been independently verified and are not guaranteed as being accurate. This document is not intended to be a complete statement or summary of any securities, markets, reports or developments referred to herein. No representation or warranty, either express or implied, is made or accepted by Hybridan LLP, its members, directors, officers, employees, agents or associated undertakings in relation to the accuracy, completeness or reliability of the information in this document nor should it be relied upon as such.

Any and all opinions expressed are current opinions as of the date appearing on this document only. Any and all opinions expressed are subject to change without notice and Hybridan LLP is under no obligation to update the information contained herein. To the fullest extent permitted by law, none of Hybridan LLP, its members, directors, officers, employees, agents or associated undertakings shall have any liability whatsoever for any direct or indirect or consequential loss or damage (including lost profits) arising in any way from use of all or any part of the information in this document.

This document should not be relied upon as being an independent or impartial view of the subject matter and, for the avoidance of doubt, does not constitute “independent investment research” for the purposes of the Financial Conduct Authority rules. The individuals who prepared this document may be involved in providing other financial services to the company or companies referenced in this document or to other companies who might be said to be competitors of the company or companies referenced in this document. As a result both Hybridan LLP and the individual members, directors, officers and/or employees who prepared this document may have responsibilities that conflict with the interests of the persons who receive this document. Hybridan LLP and/or connected persons may, from time to time, have positions in, make a market in and/or effect transactions in any investment or related investment mentioned herein and may provide financial services to the issuers of such investments.

In the UK, this document is directed at and is for distribution only to persons who (i) fall within Article 19(5) (persons who have professional experience in matters relating to investments) or Article 49(2) (a) to (d) (high net worth companies, unincorporated associations, etc) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) or (ii) are Professional Clients or Eligible Counterparties (as those terms are defined in the rules of the Financial Conduct Authority) of Hybridan LLP (all such persons referred to in (i) and (ii) together being referred to as “relevant persons”). This document must not be acted on or relied up on by persons who are not relevant persons. For the purposes of clarity, this document is not intended for and should not be relied upon by persons who would be classified as Retail Clients (as defined by the rules of the Financial Conduct Authority).

Neither this document nor any copy of part thereof may be distributed in any other jurisdictions where its distribution may be restricted by law and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Distribution of this report in any such other jurisdictions may constitute a violation of UK or US securities law, or the law of any such other jurisdictions.

Hybridan LLP and/or its associated undertakings may from time-to-time provide investment advice or other services to, or solicit such business from, any of the companies referred to in this document. Accordingly, information may be available to Hybridan LLP that is not reflected in this material and Hybridan LLP may have acted upon or used the information prior to or immediately following its publication. In addition, Hybridan LLP, the members, directors, officers and/or employees thereof and/or any connected persons may have an interest in the securities, warrants, futures, options, derivatives or other financial instrument of any of the companies referred to in this document and may from time-to-time add or dispose of such interests.

Neither the whole nor any part of this document may be duplicated in any form or by any means. Neither should this document, or any part thereof, be redistributed or disclosed to anyone without the prior consent of Hybridan LLP.
Hybridan LLP is a limited liability partnership registered in England and Wales, registered number OC325178, and is authorised and regulated by the Financial Conduct Authority and is a member of the London Stock Exchange. Any reference to a partner in relation to Hybridan LLP is to a member of Hybridan LLP or an employee with equivalent standing and qualifications. A list of the members of Hybridan LLP is available for inspection at the registered office, 2 Jardine House, The Harrovian Business Village, Bessborough Road, Harrow, Middlesex HA1 3EX. If you would like to unsubscribe, please email enquiries@hybridan.com with “unsubscribe me”.