Small Cap Feast

Small Cap Feast – 16/09/21

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What’s Cooking in the IPO Kitchen?

Peel Hunt, a UK mid and small-cap specialist investment bank, announces its intention to seek admission of its ordinary shares to trading on AIM. Admission is expected to take place on or around 29 September. In conjunction with a placing of Ordinary Shares the Company will be conducting an intermediaries offer.
Oxford Nanopore Tech—expected intention to float on the LSE (Standard). The company behind a new generation of nanopore-based sensing technology, whose first products enable the real-time, high-performance, scalable analysis of DNA and RNA. Timing and offer TBA.
Fruugo.com which owns and operates a high growth and profitable global cross-border marketplace employing its own proprietary technology and data science, announces its intention to seek admission of its shares to trading on AIM. Due early Oct. Timing and offer TBA.
Optima Health is the UK’s leading provider by size of technology enabled corporate health and wellbeing solutions. To join AIM late Sep. Offer TBA.
Petershill Partners, Expected Intention to Float on the London Stock Exchange. Petershill Partners, a leading investment group providing bespoke capital and strategic solutions to some of the world’s best performing alternative asset management firms. Petershill Partners today comprises minority investments in 19 high-quality Partner-firms, previously held in private funds managed by Goldman Sachs Asset Management (GSAM). The Partner-firms have US$187 bln of aggregated assets under management. The Ordinary Shares would be admitted to the Premium Segment of the Official List of the FCA and to trading on the Main Market of the LSE. The Offer would comprise (i) the issue of new Ordinary Shares, raising Gross Primary Offer Proceeds of approximately US$750m to fund ongoing expenses and acquire further Alternative Asset Manager Stakes and (ii) the sale of existing Ordinary Shares in order to achieve a free float of 25%.Timing TBA
GreenRoc Mining to join AIM. Established in March 2021 as a UK public limited company for the purpose of acquiring all of the Greenlandic mining assets of Alba Mineral Resources plc and progressing the exploration and development of those assets. The assets in question are the Thule Black Sands Ilmenite Project, the Amitsoq Graphite Project, the Melville Bay Iron Project and the Inglefield Multi-Element Project. Greenland will be the main country of operation. Gross funds raised on admission: £5.12m. Anticipated Mkt Cap on Admission: £11.120m. Due mid-September
Responsible Housing REIT to join the Main Market (Premium) in late September raising up to £250m. The Company’s investment objective is to generate a consistent and sustainable income-based return from the provision of Supported Housing accommodation assets and aligned sectors.
Blackfinch Renewable European Income Trust plc, a closed-end investment trust established to invest in a diversified portfolio of mixed renewable energy infrastructure assets, is considering proceeding with an initial public offering and has published a registration document. Raising up to £300m. Due on the Main Market (Premium) in October.
Central Copper Resources, a company focused on delivering a high grade copper project into production and exploration of assets in the Democratic Republic of the Congo (DRC) and in the Republic of Zambia to join AIM. By 2022, CCR intends to be ready to commence the project financing of its Mbamba Kilenda copper project. Offer TBA. Due Late September.
Euro Sun Mining Inc (TSX:ESM) seeking to join the Main Market in Q3 2021. The Company’s main asset, the Rovina Valley Project, which contains the Rovina, Colnic and Ciresata deposits, is one of the largest undeveloped copper-gold projects in Europe, holding approximately 400Mt of confirmed resources containing 7.0m ounces of gold and 1.4 bn lbs of copper.

Breakfast Buffet

AFC Energy 54.25p £398m (AFC.L)

The provider of hydrogen power generation technologies announced the signing of a Hydrogen Fuel Cell Supply and Collaboration Agreement with partner, Urban-Air Port Limited. Urban-Air Port is a leading UK designer, developer and operator of innovative ground infrastructure for the growing demand in autonomous airborne drones and electric take-off and landing (“eVTOL”) passenger vehicles. In partnership with Hyundai Motor Group announced today, Urban-Air Port plans to develop 65 electric urban air ports worldwide, adopting sustainable energy solutions. AFC Energy to lease a zero emission hydrogen power generator to Urban-Air Port’s world first deployment, “Air-One”, in Coventry, to support the power needs of vehicle charging infrastructure. “Air-One” is the first of more than 200 discreet sites identified for prospective development by Urban-Air Port in the next five years. Urban-Air Port and AFC Energy will evaluate the deployment opportunities of zero emission, hydrogen fuelled off-grid power to future sites within the portfolio of projects under development.

Ariana Resources 4.7p £51.3m (AAU.L)

The mineral exploration and development company with joint-venture gold mining operations in Europe announced recent resource drilling results obtained from the Kepez North area of the Kiziltepe Sector. Kepez North is part of the Zenit Madencilik San. ve Tic. A.S. Joint Venture with Proccea Construction Co. and Ozaltin Holding A.S. and is 23.5% owned by Ariana. New intercepts from surface for the Kepez North scree returned: 3.2m @ 11.53g/t Au + 168.7g/t Ag and 5.3m @ 3.06g/t Au + 62.0g/t Ag. Infill resource drilling results from the Kepez North vein include: 8.8m @ 6.23g/t Au + 26.0g/t Ag and 6.4m @ 6.23g/t Au + 57.8g/t Ag.

Corcel 1.55p £6m (CRCL.L)

The natural resource exploration and development company with interests in battery metals and flexible energy generation and storage, announces that, further to the announcement on 5th May 2021, Corcel has been notified that the freehold of the Burwell industrial site at 70 Reach Road has now been sold to an investment company. The site constitutes an existing brownfield industrial development as well as an adjacent plot where the Company intends to construct a 50MW battery energy storage system. Discussions with the new site owners are underway and the Company will make further updates as appropriate.

Galileo Resources 1.38p £14.4m (GLR.L)

Further to its announcements on 26 January 2021, 2 August 2021 and 1 September 2021, the Company announces that all the conditions precedent have been met in relation to its conditional licence sale agreement with ASX listed Sandfire Resources Limited (ASX:SFR) entered into on 22 January 2021 and varied on 30 July 2021 and 1 September 2021. Unless indicated to the contrary defined terms in Galileo’s announcement dated 26 January 2021 in relation to the Licence Sale Agreement have the same meaning. Completion of the Licence Sale Agreement is anticipated to occur on or around 22 September 2021. Sandfire will: at Completion pay to the group US$1.5M in cash for the 9 Kalahari Copper Belt licenses being sold ; and following Completion issue 370,477 Sandfire ordinary shares to the Company with a current market value A$2.43M (approx. US$1.79M) based on the closing Sandfire share price of A$6.55 per Sandfire share on 14 September 2021 (being the last trading date before the date of this announcement) for a right of first refusal in relation to the 13 Kalahari Copper Belt licences retained by the Company.

Kibo Energy* 0.265p £6.6m (KIBO.L)

The renewable energy focused development company, has signed a Heads of Terms with EQTEC plc (AIM: EQT), a world-leading gasification solutions company, to acquire a 54.54% interest in the proposed 25 MWe Billingham waste gasification and power plant at Haverton Hill, Teesside, UK. It is expected that Kibo will acquire a 54.54% equity stake in the Project SPV;· EQTEC will retain 45.46% equity in the Project SPV; The Project is at advanced stages of development with a concept design for the full plant produced, planning permission approved, grid connection offer secured & technical due diligence with technology insurance providers completed. The Project is expected to annually process 200,000 metric tonnes of non-recyclable everyday Municipal Solid Waste into 25 Mwe of green electricity, enough to power 50,000 homes. Kibo’s initial funding contribution will be £3m paid as an equity subscription, plus convertible shareholder loan facilities in accordance with the Agreement. In accordance with the Agreement, Kibo will have the option to provide additional convertible shareholder loan facilities to the Project SPV and/or convert future project development fees into further equity in the Project in the future; Project rights, held by the Project SPV, include all technology license agreements, all equipment supply and maintenance agreements with EQTEC and all rights to the site under the existing agreements with Scott Bros. Enterprises Limited. Following completion of the transaction, EQTEC and Kibo will invoice for their respective project development services to the Project SPV; EQTEC will remain as the lead development manager on the Project, providing the design and core Advanced Gasification Technology and subsequently retaining the maintenance portion of the O&M contract upon commissioning. The Company is pleased with the progress it has already made to secure the funding required for this transaction.

NetScientific 116p £24.3m (NSCI.L)

The active holding company in life sciences and sustainability technology investment, announced an initial £1m investment in Martlet Capital Limited which intends to acquire a portfolio of minority interests in the Cambridge high-tech cluster. NetScientific’s fully-owned subsidiary EMV Capital Limited has co-led a first close of a £12m investment into Martlet Capital, which has yet to start trading, alongside leading private office Saranac Partners. The investment is expected to enable Martlet Capital to complete the acquisition of a portfolio of over 50 minority investments of Marshall of Cambridge Limited, the “Martlet Capital” trading name and the team managing the investments. The investments include companies in life science, healthcare, cleantech, sustainability, industrials and semi-conductors, many with co-investments by some of the leading Cambridge and UK investment groups. Martlet Capital is targeting an eventual total raise of approximately £22m over the next 6 months, which would enable significant further investment into selected portfolio companies and new investment opportunities. Martlet Capital aims to become the leading investment house for early-stage Cambridge technology cluster companies.

PCI PAL 74.5p £48.7m (PCIP.L)

The global cloud provider of secure payment solutions for business communications, notes the press release from its competitor Semafone Limited that it has filed a lawsuit in both the UK and US relating to alleged patent infringements by PCI Pal. The Directors strongly refute the claims being made by Semafone and believe that the Semafone claims have no basis. As a technology company, PCI Pal has consistently obtained specialist patent legal advice (both within the UK and US) and is wholly confident that no patent infringement is taking place. PCI Pal will defend itself robustly against all allegations of patent infringement.

Symphony Environmental Technologies* 25.5p £45.1m (SYM.L)

The a global science-based group that makes plastic and rubber products “smarter, safer and sustainable”, announced its interim financial results for the six-month period ended 30 June 2021. Group revenue of £4.9m (H1-2020: £4.8m) which on a constant-currency basis, would have shown a 13% increase to £5.4m. Gross profit of £1.9m (H1-2020: £2.2m) due to higher proportion of finished goods in the product mix. Loss before tax of £0.6m (H1-2020: profit £0.02m). Basic loss per share of 0.29 pence (H1-2020: earnings per share of 0.01 pence). Cash generated in operations £0.3m (H1-2020 cash used £0.6m). D2p; substantial progress in many product areas including an increase in customer trials and product-tests currently underway. Significant potential sales identified in many of the current pipeline projects with a number expecting to commercialise in the near term. Continued investment in Symphony’s sales team, and new Head of Innovation appointed to accelerate the commercialisation of the Group’s growing portfolio of new and highly innovative products. Budgeted increase in one-off professional fees including legal, communication, advocacy and external specialist technical costs to assist with many key areas of the Group’s activities, alongside £0.05m of non-budgeted increases in distribution and shipping costs owing to short-term supply disruption. Several patent applications filed to protect IP as many new products reach commercialisation. Post period-end highlights. d2p – US FDA further approval for antibacterial plastic technology with greater loading and wider use in bread films. d2p – Canadian Health approval for antibacterial bread films. 4 significant collaboration agreements with Meditech. China distribution agreement for d2w and d2p. Manufacturing and royalty agreement for Nitrile gloves. Marketing agreement for Symphony to sell d2p Nitrile gloves in specified markets. Corporate agreement to acquire not less than 2.5% and not more than 20% of Symphony’s total share capital.

Trellus Health 64.5p £104m (TRLS.L)

Trellus Health 64.5p £104m (TRLS.L)
Trellus Health plc (AIM: TRLS), which is commercialising a scientifically validated, resilience-based, connected health solution for chronic condition management, announces it has established a management services organization agreement with Connected Health Medicine PC, a state licensed Professional Corporation that will provide multidisciplinary patient care services via telehealth. Trellus Health will provide technology and administrative services to Connected Health. The partnership with Trellus Health provides Connected Health with the technology necessary to offer digitally enabled chronic care management services through its licensed multidisciplinary care team, utilizing the patent-pending GRITTTM resilience assessment and methodology via Trellus Health’s telehealth platform, TrellusElevate™. This agreement represents the first in a series of partnerships that will enable Trellus Health’s proprietary technology platform and resilience-building methodology to be scaled geographically for licensed clinical care coordination and delivery across the United States.

ValiRx 21.5p £14m (VAL.L)

The life science company focusing on early-stage cancer therapeutics and women’s health, has entered an Evaluation Agreement with a leading London university to investigate a novel technology designed to treat breast cancer. Under the agreement, the Company will carry out a defined series of preclinical tests on the drug candidate molecule over the next nine months to validate the technology and determine suitability for commercialisation. This preclinical evaluation, the cost of which will be borne by ValiRx up to £75k, will investigate the action of the molecule against Triple Negative Breast Cancer and other indications. At the conclusion of the evaluation period the Company has an option to license the technology on pre-agreed terms.

Head Chef:

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

*A corporate client of Hybridan LLP

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