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AIM Breakfasts

AIM BREAKFAST – 23 June 2017

Set Menu AIM:

Total number of AIM Companies (Incl Susp): 957

Total number of AIM Companies trading: 937*
* As at 23 June 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: 80*
* As at 23 June 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?

Tatton Asset Management –Sch 1. Provider if services to FCA authorized financial advisers. Raising £10m at 156p. Secondary offer £41.6m. Due 6 July. GYG—Intention to float by the superyacht painting, supply and maintenance company. Due 5 July. Raising £6.9m new plus vendor sale of £21.5m at 100p. Mkt Cap c. £47m. Revenue of €54.6m in FY16 and adjusted EBITDA of €6.7m. Greencoat Renewables – Schedule 1. Targeting a portfolio of operating renewable electricity generation assets, initially investing in wind generation assets in Ireland. Offer TBC. Due Mid July. FFI Holdings— Specialist in the provision of completion contracts to the entertainment industry for films, television, mini-series and streaming product. Raising £59m at 150p. Expected 30 June. QUIZ— Omni-channel fast fashion womenswear Company intention to float. Due July 2017. Offer TBA Ethernity Networks—Schedule 1 from Israeli based specialist in data processing technology used in high end carrier ethernet applications across the telecom, mobile, security and data centre markets. Expected late June. Offer TBA. Jangada Mines—Sch 1 advanced stage PGM exploration project containing what the Directors understand to be the largest PGM resource, and only pre-development PGM project, in South America. Offer TBA. Expected late June. Phoenix Global Mining— US Brown field copper play. Expected late June. Offer TBA Touchstone Exploration— Oil E&P company active in the Republic of Trinidad and Tobago. Interests of approximately 90k gross acres. Production c. 1.3k boepd. Raising £1.5m. Expected mkt cap £7.5m – 26 June. I3 Energy –Schedule 1. Independent oil and gas company with assets and operations in the UK. Offer TBC, 7 June admission. Verditek— Sch 1 update. The Company’s subsidiaries will be involved in advanced solar photovoltaic, filtration and absorption technologies specialising in providing environmental services. Issue price 10p. Admission late June
Main Market Standard Listing Rockpool Acquisitions—Northern Ireland based Company seeking strong NI acquisition with an international outlook. Raising £1.5m at 10p. Due 5 July. Main Market Premium Listing Hipgnosis Songs Fund investment company offering pure-play exposure to Songs and associated musical intellectual property rights. Prospectus yet to be published.
Impact Investment Trust—Exposure to a diversified portfolio of funds providing SMEs across developing economies with the growth capital they need to have a positive impact on the lives of the world’s poorer populations. Raising up to $150m at $1.00
Residential Secure Income – social housing REIT raising up to £300m Admission due c.12 July. ScotGems—Admission due 26 June. Seeking £50-£100m. To investing in a diversified portfolio of Small Cap Companies listed on global stock markets DP Eurasia—Intention to float from the exclusive master franchisee of the Domino’s Pizza brand in Turkey, Russia, Azerbaijan and Georgia . £20m primary raise plus a partial vendor sale. AIB—Intention to float from AIB, Ireland’s leading retail and commercial bank. The Minister for Finance intends to sell approximately 25% of the Ordinary Shares of AIB. Admission 27 June. Priced at €4.4m. €11.9bn mkt cap. Curzon Energy—Report on Proactive Investors of intended LSE float this year with acquisition of coal bed methane assets in Oregon. Looking to raise £3m plus. NLB Group—financial and banking institution based in Slovenia, with a network of 356 branches. Seeking Ljubliana Stock Exchange listing with GDRs on the LSE. Expected mid June. Kuwait Energy— $150m raise plus vendor offer. Admission due June. 2p reserves 810.0 mmboe Main Market Specialist Funds Supermarket Income REIT– Up to £200m raise to acquire a diversified portfolio of supermarket real estate assets in the UK, providing long-term RPI-linked income. Due 21 July.

Breakfast Buffet

European Wealth Group (EWG.L) 27.5p £7.39m

Gross fundraising of c. £9.2m including an element underwritten by Astoria and Kingswood. Priced at 12.8p. The net proceeds of the Fundraising, being approximately £8.8m,will be used to repay all sums owing under the Kingswood Bridge Facility (as announced on 8 June 2017), approximately £2.0 million of other loans and accrued interest and to settle the potential £1.14m of deferred consideration that is due to be paid out in cash between now and December 2018 to vendors of firms acquired by the Group; leaving the Company debt free with working capital flexibility and balance sheet strength to allow it to pursue its stated strategy. Final results also out today show AUM +25% to £1.5bn. EBITA of £346k vs £68k loss.

Crystal Amber Fund (CRS.L) 202p £198.7m

‘Crystal Amber notes the recent decline in its share price. The Directors believe it primarily reflects the decline in the share price of its largest investment, Hurricane Energy plc (“Hurricane”). The Fund currently holds 150,000,000 shares in Hurricane at an average cost of 23p a share. In addition, the Fund holds warrants over 23.3 million shares exercisable at 20p a share. The Fund has previously realised profits on Hurricane of £15.7 million.’ Sees deep value in Hurricane and is supportive of monetising the assets. Notes the reopening of Hurricane’s data room to a limited number of oil companies that have the requisite development credentials to take the Rona Ridge project to full field development.

Vipera (VIP.L) 6.25p £14.65m

The provider of mobile financial services and digital customer engagement solutions, announced a partnership with Mambu a leading SaaS alternative to traditional core systems powering banking and lending. Vipera is extending its mobile-first banking solution by partnering with Mambu. The combination of Vipera’s Motif platform for managing digital channels and payments and Mambu’s core engine provides the optimal ecosystem for digital-first banking and lending services. This formal partnership comes as a result of the two companies developing a strong collaborative relationship over the last six months. FYDec17E rev £9.14m, PBT £0.22m.

SRT Marine Systems (SRT.L) 49p £61.3m

SRT Marine Systems plc has received a contract from the United Nations Food and Agriculture Organisation (FAO) to supply a package of specialist AIS Class B transceivers and communication devices, satellite AIS data and a vessel tracking display system. The equipment supply element will be completed this financial year with the supply of S -MDA satellite AIS data ongoing. The project is supported by the Counter Piracy Trust Fund to Support Initiatives of States Countering Piracy off the coast of Somalia. The system will be used primarily to enhance safety at-sea and fight piracy activities whilst also to track and monitor small local fishing boats in Somalia and assist with safety and prevention of illegal, unregulated and unlicensed (IUU) fishing. FYSep18E rev £14.99m, PBT £1.54m.

Animalcare Group (ANCR.L) 392p £83.3m

The supplier of generic veterinary medicines and identification products and services to the companion animal veterinary markets, has entered into a conditional share purchase agreement to acquire Ecuphar NV, a European animal health company focused on the development and sale of veterinary pharmaceutical products that provide significant benefits to animal health in the companion animal, equine and production animal markets. The consideration for the Acquisition is structured on a consolidated Animalcare/Ecuphar Enlarged Issued Share Capital ratio of 37:63. Constitutes RTO. Cash element to be part funded by £30m placing by accelerated bookbuild. Ecuphar FY16 rev £68.4m, underlying EBITDA £8.9m.

Flowtech Fluidpower (FLO.L) 136p £70.26m

The specialist technical fluid power products supplier announced the further strengthening of its Power Motion Control (“PMC”) division through the acquisition of Hi-Power and the business and certain assets of Hi-Power Hydraulics. For the year ended 31 December 2016, Hi-Power achieved sales of £6.9 m & EBIT of £0.4 m. Net assets excluding net cash and property at the same date were £1.9 million. Consideration comprises £1.9 million on completion with additional payments expected to be c£0.5 million subject to an earn-out over the 18 month period to 31 December 2018. The maximum consideration payable is £3.5 million. FYDec17E rev £65.4m and PBT £8.1m.

Ncondezi Energy (NCCL.L) 5.38p £13.45m

Ncondezi has raised an additional US$582,000 from existing lenders and senior management to be used to fund the new partner search and to provide working capital for the group. New partner search progressing as planned with update expected in July 2017. The Company intends to release its Full Year Results for the year ended 31 December 2016 on 30 June 2017, subject to Board approval. The Company is developing an integrated thermal coal mine and power plant in phases of 300MW up to 1,800MW in Mozambique.

BMR Group (BMR.L) 3.88p £7.32m

BMR Group has raised £350k at 3.75p. Civil construction works for the Kabwe plant remain on track with construction scheduled to complete in the fourth quarter of 2017, ahead of the start of commissioning by the end of the year, subject to equipment suppliers meeting their delivery schedules. Hopeful for production to commence in Q1 2018. Overall, while the phase 4 assay results for zinc grades were not of the same magnitude as those of phase 3, suggesting a ‘tailing off’ of mineralisation to the south east, the Directors believe that they remain of interest as a potential ore-blending resource.

Falcon Media House (FAL.L) 15.5p £8.59m

The global digital media group focused on the over-the-top (‘OTT’) market, has signed a Memorandum of Understanding with Tata Communications (UK) Limited to collaborate on an OTT service aimed at brands and content rights holders. The MoU is in line with Falcon’s strategy to establish Q-Flow as the leading enabling technology that powers the rapidly expanding OTT streaming market.

Red Rock Resources (RRR.L) 0.93p £4.4m

The natural resource development company with interests in gold, manganese and oil production, has entered into financing agreements under which it will fund Steelmin to complete the refurbishment and recommissioning of a ferrosilicon smelter in Jajce, Bosnia, and acquire an interest in Steelmin. 8mth 13% €3.9m loan note. Conditional 16% stake issued in Steelmin. Steelmin’s targets annual revenues on initial production levels of €36m and EBITDA of €7m .

Head Chef:

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

*A corporate client of Hybridan LLP

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