Small Cap Feast
Small Cap Feast – 26/10/21
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What’s Cooking in the IPO Kitchen?
ATOM headquartered in Leeds, focussed on the large-scale production of green hydrogen and ammonia intends to join AIM towards the end of the year. ATOME intends to be spun-out from AIM-listed President Energy Plc, an oil and gas company which has incubated and financially supported ATOME to date, by way of a dividend in specie and flotation.
Devolver Digital to join AIM, an award-winning digital video games publisher and developer in the indie games space. Recently awarded indie ‘Publisher of the Year 2021’ by GamesIndustry.biz. Offer TBA. Due early Nov.
Life Science REIT to join AIM raising up to £100m. This will be the first London listed real estate investment trust (REIT) focused on UK life science properties. Due mid Nov.
Alinda Capital Infrastructure Investments to join the Specialist Fund Segment of the Main Market of the London Stock Exchange raising up to £350m. Due Late November.
Nu-Oil and Gas to acquire Guardian Maritime Ltd and Guardian Barriers IP Ltd and become Guardian Global Security plc and join the Main Market (Standard). Guardian is a technology group that supplies products to prevent unauthorised entry into areas that are deemed to have value, with maritime security being the main focus initially. Q4 2021.
ProCook, the UK’s leading direct-to-consumer specialist kitchenware brand, is considering applying for admission of the Shares to the Main Market (Premium). ProCook’s revenue grew by 37% to £53.4m in FY21 (ending 4 April 2021), with Adjusted EBITDA growing by 246% to £13.3m in the same period. Timing TBA.
Silverwood Brands, an investing company established to identify investment opportunities including, but not limited to, in the foods, organic food, wellness, lifestyle and leisure sectors, targeting admission on the to join the AQSE Growth (Access). Due November 2021. Offer TBA.
Kasei Holdings, a technology specialist investor that focuses on cryptocurrencies and blockchain technologies, due to join the AQSE Growth Market 27 Oct. No funds being raised.
Following the previously announced intention to demerge trading on the LSE’s Main Market on 2 November, Hostmore plc from Electra Private Equity PLC, it is expected that the Demerger will be completed and the Hostmore shares will be admitted to the Premium Segment. Hostmore is a growing hospitality business with its current operations focused on the American-themed casual dining brand, Fridays, and the cocktail-led bar and restaurant brand, 63rd+1st.
Rubix Group Holdings, the market leading pan-European distributor of industrial maintenance, repair and overhaul products and services is considering an IPO on the Main Market (Premium). In the six months ended 30 June 2021, Rubix generated revenue from ongoing operations of EUR1,312m and adjusted EBITDA of EUR123m (9.4% adjusted EBITDA margin from ongoing operations), an increase of 10.6% and 19.3% compared to the six months ended 30 June 2020, respectively. Raising EUR850m, potential sale of existing ordinary shares by current shareholders. Timing TBA.
Firering Strategic Minerals to join AIM, a holding company for a group of exploration and development companies set up to focus on developing assets towards the ethical production of critical metals. The Company’s portfolio of assets is located in Côte d’Ivoire and contains projects that the Directors believe to be prospective for lithium and columbite-tantalite. Due Early Nov. Offer TBA.
Harmony Energy Income Trust to join the Specialist Fund Segment of the Main Market raising up to £230m. The Company’s investment objective is to invest in commercial scale energy storage and renewable energy generation projects, with an initial focus on a diversified portfolio of battery energy storage systems located in Great Britain. The Company has contracted with Tesla Motors Limited in respect of its initial portfolio of battery storage projects, to be acquired on IPO. Due Early Nov.
Stelrad Radiator Group, the specialist manufacturer and distributor of steel panel radiators in the UK, Europe and Turkey, is considering an IPO on the Main Market (Premium). Secondary and primary (c.£25m) offer. Early Nov.
Pantheon Infrastructure to join the Main Market (Premium). PINT will make investments in private infrastructure assets. Due Mid Nov.
Quantum Exponential to join AQSE. The Company intends to identify investment opportunities in the quantum technology sector. The Company has identified over 175 start-ups which potentially meet their investment strategy with a focus on seed funding for start-ups with second stage funding plans in preparation. Offer and timing TBA.
Pod Point, one of the United Kingdom’s leading providers of Electric Vehicle charging solutions is considering a Main Market (Premium) listing. As at 30 June 2021, Pod Point had installed more than 89,000 home charge points and over 13,000 commercial units, including those located at workplaces and destination locations. Timing and offer TBA.
Softline, the global solutions and services provider in digital transformation and cybersecurity, with its headquarters in London, is considering proceeding with a potential IPO of GDRs to the Standard listing segment of the Official List, and on the Moscow Exchange. The Group had a turnover of US$1.8bn for the year ended 31 March 2021, employs c.6,000 people globally, and operates in more than 50 countries across emerging markets. Primary proceeds from the Offer are expected to be around US$400m. Due Late Oct.
Marks Electrical, a fast growing online electrical retailer, announced its intention to proceed with an initial IPO and to seek admission to trading on AIM. Marks Electrical sells, delivers, installs and recycles a wide range of household electrical products. In the year to 31 March 2021 revenue grew to £56m, up 78% against the previous financial year, while EBITDA increased to £7.45m, at a 13.3% EBITDA margin. The Group has made a strong start to its current financial year to 31 March 2022, with revenue growth of 78% in H1 FY2022, versus 47% growth in H1 FY2021. Offer TBA Admission is expected to take place in early Nov 2021.
M7 Regional E-Warehouse REIT intends to apply for admission onto The Property Stock Exchange (Wholesale Segment). On Admission, the company plans to acquire a portfolio of UK retail warehouses worth £120m from M7 Real Estate Investment Partners VIII. The portfolio currently comprises 18 retail warehouse properties across the UK totalling 978,317 sq ft and fully let to 53 occupiers. Rent collections for Q2 2021 stand at 93% and are expected to revert to 100% in the coming quarters.
Central Copper Resources, a company focused on delivering a high grade copper project into production and exploration of assets in the 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. It pushed back its AIM float on 30th September to late October. The amount to be raised is still yet to be confirmed.
Agronomics 27.35p £m (ANIC.L)
The listed company focused on the field of cellular agriculture has participated for EUR3m in the EUR6m Bridge Round for investee company Solar Foods Oy in the form of a Convertible Loan Note. This follows the announcement that the State-owned Finnish Climate Fund has invested EUR10m to aid the build out of Solar Food’s demonstration facility. Also joining this round are existing investors CPT Capital and Happiness Capital Limited and new investor, LOSA Group. The CLN is expected to convert to give Agronomics an approximate equity ownership of 5.80%, inclusive of its prior investment announced in September 2020. In the past year, Solar Foods has made strong R&D progress and is now focused on building its new demonstration facility that is set to be operational early 2023. Solar Foods’ novel technology has recently been recognised by NASA as part of their Deep Space Food Challenge – looking for new solutions to feed astronauts.
eEnergy Group 16p £55.1m (EAAS.L)
The energy Efficiency-as-a-Service and Energy Management-as-a-Service business in the UK and Ireland, announced the appointment of Simon Smith as Managing Director of its Energy Efficiency Division, effective 1 November 2021. Simon has a proven track record of creating high-performing teams and delivering above-target sales growth through innovative solutions across a range of industries including energy, telecoms, procurement and IT. In this newly created role, Simon will be responsible for growing the Energy Efficiency-as-a-Service division, an integral part of the business which includes its Light as a Service offering for its enterprise and public sector clients. Simon will report directly to Harvey Sinclair, CEO of eEnergy. Simon’s most recent role was at Yu Energy plc, where he was on the Executive Management team and held the position of Group Sales and Marketing Director.
Harvest Minerals 3.85p £7.15m (HMI.L)
HML has exceeded its total FY21 sales target of 80,000 tonnes of KP Fértil®, over two months ahead of schedule. KP Fértil® is an organic, multi-nutrient, direct application natural remineraliser , produced by the Company from its 100% owned Arapuá Fertiliser Project in Brazil. Accumulated sales orders of KP Fértil® of 80,701 tonnes from 1 January to 16 October 2021: 104% higher versus the same period in 2020.
Maestrano Group 13.25p £22.5m (MNO.L)
The Artificial Intelligence platform for transport corridor analytics, today announces the launch of the Next-Generation Lumos Series LiDAR sensor, designed and manufactured by its wholly owned subsidiary, Nextcore. First launched in 2018, Nextcore’s RN Series of high performance LiDAR sensors offered a breakthrough in terms of weight and delivering high performance. The Lumos is a new generation of sensor that is lighter, more accurate and faster, and powered by Maestrano’s proprietary software it delivers best in class performance, greater affordability and ease of use for customers. The improvements increase the addressable market size for Lumos.
Mosman Oil & Gas 0.16p £5.9m (MSMN.L)
The oil exploration, development and production company, announces that the Stanley-5 well in Polk County, East Texas has now been spudded. Stanley-5 is a development well targeting the Yegua formation, at approximately 5,000 feet. Mosman’s interest in this well is c36.5% and will fund its share of the USD 350k drilling costs from existing cash resources.
NetScientific 106p £22.34m (NSCI.L)
Its corporate finance and venture capital division EMV Capital Ltd advised on a £843k fundraise, made up of £300k direct investment from NetScientific, £343k from private clients and £200k matched funding from the British Business Bank through the future fund initiative, into Sofant Technologies the leading 5G and Satcom antenna developer based in Edinburgh. The Group’s participation included partial match funding secured through the Future Fund initiative implemented by the British Business Bank, which has also backed the investment and participated in a 10% convertible loan financing, alongside funding from Scotland-based NewSpace sector investor, Skyrora Ventures. The investment will provide funding for new patented radio technology solutions which address several major challenges facing wireless communication systems today, including soaring energy costs. The funding also positions Sofant to launch its Series A fund-raise in the coming year, after the demonstration of a commercial antenna module which is currently in development and expected to be completed later this year.
Oxford Metrics 241p £111.56m (OMG.L)
The international software company servicing government, life sciences, entertainment and engineering markets announced that Vicon, a world leader in motion measurement, has secured a new contract with Dimension Studios, a leader in volumetric content and virtual production. Dimension Studio brings extended reality (XR), digital humans and virtual production solutions directly to brands and studios around the world and is the first Microsoft Mixed Reality Capture studio partner. Under the contract, Dimension Studio will be equipped with 56 of Vicon’s Vantage cameras and Vicon’s Shōgun software enabling Dimension Studio production to turn creative visions into reality by offering ground-breaking virtual production capabilities including in-camera VFX (ICVFX) and Simulcam. Vicon’s tracking, of both rigid and full body subjects, will be used alongside Dimension Studio’s volumetric and real-time development capabilities by leading visual effects company DNEG for several high-profile virtual production projects – including a major motion picture and a 10-hour TV series.
Palace Capital 241p £111.56m (PCA.L)
Further to the announcement dated 27 July 2021 announcing Stanley Davis’s retirement from the Board, Palace Capital is providing an update on the Chair recruitment process. The search process is progressing well with several strong candidates in the shortlist. The Board intends to progress its interviews next month and expects to announce the details of the new Chair shortly thereafter. To ensure continuity and minimal disruption during this transition period, Stanley Davis, who was due to stand down on 29 October 2021, has been asked and has agreed to remain on the Board until 31 December with the Chairman elect undertaking their induction into the Company prior to his departure.
SEC Newgate 293.5p £186m (SECN.L)
The insight-driven strategic communications group, has published its inaugural global thought leadership report, the SEC Newgate ESG Monitor, its first global initiative since all Group agencies transitioned to operate under the SEC Newgate brand. As a global business working at the nexus of business, politics, communities, markets and media, SEC Newgate identified ESG as an issue that is critical to the reputations of business and governments globally. The SEC Newgate ESG Monitor is typical of the work the Group conducts for its clients to provide the insights and clear indicators needed to develop impactful campaigns, based on regression modelling to pinpoint specific factors that will have the biggest impact on perceptions. SEC Newgate conducted research in ten countries into 10,000 consumers’ attitudes to ESG (Environmental, Social and Governance) principles for governments and corporates. The report highlights that the public expects governments to lead on issues such as the global response to climate change while expecting companies to demonstrate clear evidence that they practice what they preach. The SEC Newgate ESG Monitor found that in all 10 countries, climate change or the environment was the number one ESG concern. It also identified environmental issues including action on climate change and carbon neutrality as being the most powerful factors in determining public perceptions of governments’ and corporates’ ESG performance.
Simec Atlantis 1.55p £10.5m (SAE.L)
SAE announces that Mr Mark Elborne has resigned his position as a SIMEC nominated Director on the SAE Board and will therefore step down as a non-executive director of SAE, effective immediately. The Chairman and the Board of Directors would like to thank Mr Elborne for his commitment in helping in the continuing development of SAE and its projects. SIMEC has nominated a replacement for Mr Elborne and SAE is currently working to complete the necessary nomination and screening processes. The Company will update the market when this appointment has been finalised.
Emily Liu, CFA, CAIA
0203 764 2344
0203 764 2345
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