Small Cap Feast
Small Cap Feast – 24 June 2020
Dish of the Day:
No Joiners Today
No Joiners Today
Off the Menu:
Management Consulting Group has left the Main Market
Management Consulting Group has left the Main Market
What’s Cooking in the IPO Kitchen?
The pantry is bare!
Mirada 90p £8m (MIRA.L)
Mirada plc, a leading provider of integrated software solutions for digital TV operators and broadcasters, releases global data from their data analytics platform, LogIQ, showing an unprecedented rise in worldwide TV content consumption since the beginning of the COVID-19 lockdown.
Between 1 February and 30 April, total linear TV (traditional, scheduled TV) consumption increased by 24%, with an 18% increase in average linear consumption between Monday and Friday. As expected during a global pandemic, part of this increase comes from the huge growth in consumption of linear news channels, which escalated by over 80% during the period. Meanwhile, the selection of premium linear channels opened up by Mirada’s customers, to which consumers newly subscribed, saw more than a 170% increase in consumption.
Video on Demand (VoD) consumption across the pay TV operators’ platforms increased by 41%, with a 32% increase in average VoD consumption between Monday and Friday. The data also revealed a significant increase in VoD consumption of children’s content, which rose by 56%.
Blue Star Capital 0.205p £7.7m (BLU.L)
The investing company with a focus on esports, payments, technology and its applications within media and gaming, provides an update regarding its investee company Dynasty eSports Pte Ltd. Dynasty has today announced that it has signed a five year exclusive partnership agreement with Malaysia ESports Federation, via its Kuala Lumpur based subsidiary Dynasty eSports (M) Sdn Bhd, to provide its eSports Portal Management (“EPM”) platform to enable effective management and control of the eSports ecosystem within Malaysia.
Dynasty’s EPM platform will be fully white-labelled, customised and branded for MESF and will bring together the main elements of the eSports ecosystem being the players, the organisations and the tournaments, under one single integrated digital platform with the intention of providing a shared national and global view of the eSports industry.
Ixico 68p £32m (IXI.L)
Expected strengthening FY20 financial performance of at least £9.1m revenues, £0.9m EBITDA and positive operating cash.
The data analytics company delivering insights in neuroscience, announces a trading update, confirming that the impact of COVID-19 has been modest and that IXICO expects to maintain double-digit revenue growth across FY21.
The Board is now pleased to confirm that the impact of COVID-19 on the Company’s expected financial performance for FY20 has been modest, and it is confident of achieving at least £9.1m revenues and £0.9m earnings before interest, tax, depreciation and amortisation (‘EBITDA’) with positive operating cash for the year ended 30 September 2020. This would represent a fourth consecutive year of revenue growth of 20% or more and an increase in EBITDA margin from 6% to 10% compared to the prior year, despite COVID-19 disruptions to clinical trial timelines.
The Board also expects the Company to continue to maintain double-digit revenue growth across FY21 whilst continuing to invest to ensure the Company is ready to scale as those clinical trials delayed due to the COVID-19 crisis are initiated.
Escape Hunt 9.5p £2.5m (ESC.L)
The operator of escape rooms in the fast-growing experiential leisure sector, has launched remote versions of its most popular 5* rated escape room experiences Doctor Who: Worlds Collide and The Fourth Samurai via remote platforms.
In this brand-new remote experience, friends, families and colleagues can come together via Zoom and play Escape Hunt’s physical escape rooms – Doctor Who: Worlds Collide and The Fourth Samurai – from their own homes. Customers will take control of a real-life expert games master, move them around the physical room, find hidden clues, solve puzzles and battle to escape before time runs out.
Both games are charged per game on an hourly basis and are suitable for 1 to 6 players over eight years old. For more information access: https://escapehunt.com/uk/play-at-home-games/
Serinus Energy 7.5p £17.9m (SENX.L)
The Company and the European Bank of Reconstruction and Development have agreed to defer the debt repayment due on 30 June 2020.
In connection with the current COVID-19 and the short-term effects on economic activity generally, the Company had requested that the scheduled repayment of principal due to made by 30 June 2020, under the Convertible Loan Agreement, be deferred. Under the terms of the deferral the Company will pay US$2.0 million of the debt payment obligation due on 30 June 2020, with the remaining US$6.44 million of the debt obligation deferred for 12 months. Under the deferral agreement, the Company will undertake with the EBRD to restructure the terms and conditions of the Convertible Loan Agreement, and of the Financing Agreements, no later than 18 December 2020.
The Company has also received a formal waiver from the EBRD in relation to the debt service covenant on its Convertible Loan for the period ending 30 June 2020.
Serinus is an international upstream oil and gas exploration and production company that owns and operates projects in Tunisia and Romania.
Sunrise Resources 0.17p £5.6m (SRES.L)
Sunrise Resources has announced the positive outcome of the public comment period on the Environmental Assessment (EA) for its CS Perlite-Pozzolan Project in Nevada, USA,
Officially the 30-day public comment period closed on 15 June 2020 and the lead regulatory agency, the Bureau of Land Management, allowed a further 7-day period for the receipt of postal submissions made on or before that date. This 7-day period closed 22 June 2020.
Only three comments were received. All three comments were federal and state agency comments of a minor nature that will be addressed by minor edits to the EA. Responses to the comments will also be provided as an appendix to the Final EA. There were no public comments or comments from Non-Governmental Organisations (NGOs). Once these comments on the EA are addressed and an updated EA submitted, the Company then awaits the issuance of the Decision Record and Finding of No Significant Impact (FONSI) from the BLM, being the final approvals in the BLM permitting process.
Everyman Media 136p £124m (EMAN.L)
Everyman Media Group PLC, the independent, premium cinema group announced that its venues will start to reopen from 4th July 2020.
Following the government announcement yesterday (Tuesday 23rd June), Everyman will reopen its venues in phases and in line with recommended safety guidelines. The Company’s intention is for all of its 33 venues to be open by 24th July 2020.
As well as reopening its existing estate, Everyman will also be the first cinema to open an all new venue post the pandemic; the flagship cinema on the iconic King’s Road, Chelsea, on 24th July.
Brooks Macdonald Group 1660p £267m (BRK.L)
Binding agreement to acquire the Channel Islands wealth management and funds business of Lloyds Bank International Limited. Funds under Management (FUM) of £1.0 billion all managed on a discretionary basis, comprising:
o An investment management business with c.£500 million in FUM serving c.1,200 portfolio clients
o A funds business with c.£500 million in FUM, predominantly distributed through c.50 independent financial advisers, and serving c.10,500 mainly personal clients.
The total consideration is expected to be up to £9.63 million, including £2.5 million of regulatory capital, with initial consideration being up to £9.30 million. The full consideration will be paid in cash from Brooks Macdonald’s existing financial resources. A contingent cash consideration of up to £0.33 million will be payable two years after completion depending upon the acquired business meeting certain pre-agreed performance targets relating to the retention of portfolio clients. Completion is expected to take place in the fourth quarter of 2020 subject to regulatory approval.
Pelatro 65p £21.2m (PTRO.L)
The telecom Customer Engagement software specialist, today announces that an existing customer has expanded a Business Consultancy engagement to a full Managed Services contract. This deepens the engagement between that customer and Pelatro, while Pelatro expect to add more value to the operations of the telco. This long term Managed Services contract will generate approximately US$2 million of revenue for the Group over the next five years, and underpins the Board’s confidence in this year’s market expectations. The new contract starts with immediate effect.
Futura Medical 18.5p £45.4m (FUM.L)
- Limited impact from COVID-19
- As disclosed on 6 April 2020, following receipt of the formal FDA meeting minutes from 24th February, the US FDA has agreed to a De Novo medical device application for MED3000 and invited Futura to pursue another pre-submission meeting once the Company was in receipt of the final clinical study report (CSR) for FM57.
- On 20th April it was announced that the company had filed for a further pre-submission meeting with FDA in the coming months. This meeting date has now been set with the FDA and will be used to further discuss clinical sufficiency following completion of FM57’s CSR.
- If successful, this could lead to a US submission filing by the end of Q3 2020 to enable FDA review for pre-marketing clearance.
0203 764 2344
*A corporate client of Hybridan LLP
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 any such action. This document has no regard for the specific investment objectives, financial situation or needs of any specific person or entity and is not a personal recommendation to any such person or entity. Recipients should reach an individual investment decision, based upon their respective 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, such information has not been independently verified and therefore it is not possible to confirm such information 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, officers, employees, agents or associated undertakings in relation to the accuracy, completeness or reliability of the information contained in this document, nor should it be relied upon as such.
The content of this document includes market commentary and other information which we have prepared in relation to the company referred to in this document, which is our broking client. The provision of this document to you constitutes a minor non-monetary benefit which is capable of enhancing the quality of service provided by Hybridan LLP and which is of a scale and nature which could not be judged to impair the duty of Hybridan LLP to act in the best interest of its client falling within article 24(7)(b) of Regulation 600/2014/EU (MIFID II Regulation).
Any and all opinions expressed are current as of the date appearing on this face of 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, 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, constitutes non-independent research (as such term is defined in the Financial Conduct Authority’s Conduct of Business Sourcebook to reflect the requirements of the MIFID II Regulation and Directive 2014/65/EU (known as MIFID II)). The individuals who prepared this document may be interested in shares in the company concerned and/or other companies within its sector, 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, 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 United Kingdom, 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 (SI 2005/1529) (as amended) or (ii) persons who are each a professional client or eligible counterparty (as those terms are defined in the Financial Conduct Authority’s Conduct of Business Sourcebook) 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 any person who would be classified as a retail client under the Financial Conduct Authority’s Conduct of Business Sourcebook.
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 territorial and/or extra-territorial securities laws, whether in the United Kingdom, the United States or any other jurisdiction in any part of the world.
Where possible this document is made available to all relevant recipients at the same time. Dissemination of research by Hybridan LLP is monitored to ensure that it is only provided to relevant persons. Research prepared by Hybridan LLP is not intended to be received and/or used by any person who is a retail client.
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, 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.
This document may not be copied, redistributed, resent, forwarded, disclosed or duplicated in any form or by any means, whether in whole or in part other than with the prior written consent of Hybridan LLP.
MIFID II status of Hybridan LLP research
The cost of production of our corporate research is met by retainers from our corporate broking clients. In addition, from time to time we issue further communications as market commentary (such as our daily newsletter, Small Cap Breakfast), which we consider to constitute a minor non-monetary benefit which is capable of enhancing the quality of service provided by Hybridan LLP and which is of a scale and nature which could not be judged to impair the duty of Hybridan LLP to act in the best interest of its client falling within article 24(7)(b) of the MIFID II Regulation.
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 email@example.com with “unsubscribe me”.