Small Cap Feast

Small Cap Feast – 23rd August 2016

Dish of the Day:

No primary today

Off the Menu:

No Leavers Today

What’s Cooking in the IPO Kitchen?

LoopUp—The provider of conference calls and online meetings is seeking to join AIM. 2015 revs of £9.2m and EBITDA of £1.02m

Bacanora Lithium— To list on AIM around 28 Sep as holding company for TSX listed Bacanora Minerals at £100m market cap

Aura Energy—ASX listed uranium developer (ASX:AEE) expected to join AIM 6 September


Breakfast Buffet

Electric Word (ELE.L) 3.13p £12.8m

The specialist information business with divisions operating in the Sport and Education sectors  has reported H1 May 2016 interims during which time it disposed its 70% stake in iGaming Business Ltd for gross cash consideration of £14.5m leaving £11.5m net cash. Results from continuing operations showed flat revenues of £3.3m and adjusted EBITA losses of £992k. The company is seeking ways to add scale as the Sports and Education businesses are not sufficient to support central costs and overheads.


Harvest Minerals (HMI.L) 17.75p £16.7m

Arapua Fertiliser Project Update:  positive results for the latest agronomic and metallurgical testwork conducted at the Maximus prospect, part of its Arapua Fertiliser Project  in Brazil. All results were well within the required specifications. Notably, no toxic elements are present. Excellent solubility levels. The significance of this work, is in part, the option to be able to produce and products with different grades in order to service different market sectors as commercial production develops.


Rare Earth Minerals (REM.L) 0.87p £64.5m

Rare Earth’s 15.5% investee company, Macarthur Minerals has applied for an additional exploration licence in the Pilbara region of Western Australia , to extend the contiguous area to 367 square kilometres. The Company now has total tenement acreage under application in the Pilbara region of 1,449 square kilometres, in addition to its Yalgoo, Edah Hill, Ravensthorpe, Sulphur Springs, Whim Creek interests in Western Australia and Nevada Stonewall interests in the United States of America.


Circle Property (CRC.L) 148p £41.88m

Maiden results for the four months to March 2016 from the specialist regional UK property investment, development and management company. In the period from incorporation, profit before tax £1.1m, which reflects basic earnings per share of 3.8p. Maiden divi of 2.4p paid in May. NAV/Share was £1.53 at the period  end. Post Brexit the company now sees a gradual resumption of normal working with occupiers continuing to sign leases and investors competing to buy buildings with a living yield


ITM Power (ITM.L) 23p £49.9m

The energy storage and clean fuel company  announced a fuel contract to supply hydrogen at £10/kg with Commercial Group, a pioneer in hydrogen fuelled fleet logistics. The contract covers fuel dispensed across ITM Power’s hydrogen refuelling network, including the station recently opened in London. ITM Power currently has £16.19m of projects under contract and a further £1.79m of contracts in the final stages of negotiation, making a total of £17.98m.  FYApr17E forecasts project £3.7m sales and a £3.4m loss before Tax.


Orosur Mining (OMI.L) 17.75p £17.56m

A director share purchase  from the South American focused gold producer, developer and explorer, with non-exec Pablo Marcet picking up one million shares at CA$0.315 or 18.8p. He owns 1.23% of the company.


Tlou Energy (TLOU.L) 7p £14.39m

The AIM and ASX listed company focused on delivering power in Botswana and Southern Africa through the development of coal bed methane has renewed a Co-operation Agreement with General Electric International and IK Holdings for the delivery of a proposed gas to power solution for Botswana, supporting  a new 50MW power generation facility for which Tlou has been approved   to negotiate gas supply, construction and operation .


Vast Resources (VAST.L) 0.325p £10.2m

The mining company with operations in Romania and Zimbabwe has updated for the quarter to June 2016. 62% increase in gold production to 4,542 ounces  at Pickstone. Manaila increase in ore but decrease in concentrate produced. Further testwork being implemented. Exploration drilling underway at Baita Plai. Funding update includes a repayment to Darwin Capital. Latest placing on 11 August raising £365k at 0.285p.


Telit Communications (TCM.L) 247.75p £284.69m

The global enabler of the Internet of Things (IoT), announces a new portfolio of LTE IoT modules. The portfolio includes four LTE Cat M1 modules for the American market and one LTE Cat NB1 module for the European market. The modules begin sampling later this year with commercial availability expected in early 2017, in alignment with the current service launch timelines of American operators.   The shares are on 13.7 x current year earnings with a 2.3% yield.


Jersey Oil & Gas (JOG.L) 37p £3.1m

The independent upstream oil and gas company ‎focused on the UK Continental Shelf region of the North Sea, announced that alongside its co-venturer, CIECO Exploration, has  agreed a farmout  of 70% of certain North Sea blocks to Statoil. Total up-front cash consideration of US$2 million, of which US$1.2 million will be payable to Jersey Oil & Gas. Statoil will fund all costs up to US$25 million in respect of the first exploration well to be drilled on the P.2170 Licence.


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Derren Nathan
0203 764 2344

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