Small Cap Feast
Small Cap Feast – 26th April 2022
Dish of the Day:
No joiners today.
No joiners today.
Off the Menu:
No leavers today.
No leavers today.
What’s Cooking in the IPO Kitchen?
According to Proactive Investors, Bridgepoint is said to preparing to list Burger King UK on the London Stock Exchange as early as this spring. A valuation of £600m is expected.
Lift Global Ventures plc to join AQSE Growth Market. The Company’s investment strategy is to operate as an enterprise company seeking acquisition or investment opportunities within the financial media and technology industries. Within these broad industries, areas of focus may include: Financial news websites and other forms of “new media”, Investment research providers, Financial PR, IR, design and marketing agencies, Production studios and visual content providers and Technology platforms which facilitate capital raising and/or lending. Mkt Cap and Capital to be raised TBC, expected 29 April.
Shellraise plc, to join AQSE Growth Market. The Company will focus on identifying investment opportunities in companies operating in the viticulture sector which require funding to increase output. Mkt Cap and Capital to be raised TBC, expected later in April.
Advanced Oncotherapy 23.5p £109.5m (AVO.L)
The developer of LIGHT, the next-generation proton therapy system for cancer treatment, today provides an operational update on its LIGHT system. Since the last operational update published by the Company on 1 March 2022, Advanced Oncotherapy has made significant progress, including: LIGHT system beam optimised to a sub-millimetre size, with a beam current of about 50 μA; and 20 of the 21 accelerating modules have been radio-frequency (RF) conditioned.
Chariot 21.5p £162.4m (CHAR.L)
The Africa focused transitional energy company, announced, following the recent successful gas drilling campaign on the Anchois gas project offshore Morocco, the appointment of Societe Generale, London Branch to the role of financial advisor to develop debt funding options for the Anchois gas development. Julian Maurice-Williams, CFO of Chariot, commented: “We are very pleased to be bringing Societe Generale on board to assist with the debt project financing of our flagship gas project offshore Morocco. We had a very successful gas drilling campaign earlier in the year and are keen to progress the development of the project to cashflows as quickly as possible.”
Clean Invest Africa 0.19p £3.5m (AQSE:CIA)
The Company advised shareholders of the completion of the trial and testing phase of its thermal coal commercial project in Colombia. Trial production pellets made from coal fine samples received from a coal mine in Colombia, have now been sent by the Company and received by the client in Colombia. This step follows the Colombian mine having shipped coal fine waste to the Company production plant at Bulpan in South Africa, where the full batch was pelletised by the Company and the pellets then shipped back to the mine in Columbia, a process that has taken a number of months in terms of labour and resources. The arrival in Colombia of the completed sample produced to the client specification is to be followed up now by further commercial negotiations. These negotiations are based on a financial model for a 5,000 tonnes per month on site thermal coal plant, which model has previously been submitted to our Colombian partner for review. An off-take agreement for the 5,000 tonnes per month output is under discussion as part of the negotiations and these commercial discussions are expected to be finalised in about 8 weeks. It is worth noting that coal is much in demand. Recent research by Rystad Energy states “coal prices are soaring, hitting US$462/t on 10 March 2022, up from US$186/t on 23 February 2022 and likely to pass US$500/t this year.”
Egdon Resources 3.25p £17.1m (EDR.L)
Egdon Resources plc advises that Shell U.K. Limited has informed Egdon and the North Sea Transition Authority (NSTA) of its intention to withdraw from licences P1929 and P2304 containing the Resolution and Endeavour gas discoveries. Egdon will now consider its options, including its ongoing commitment to the licences and will discuss this with the NSTA Egdon will update shareholders once our preferred option and the NSTA position is known.
Hydrogen Utopia 7p £26.9m (AQSE:HUI)
The Company pioneering non-recyclable waste plastics to hydrogen technology, has reached an agreement with Trifol Resources Limited in the Republic of Ireland which it anticipates will lead to its first operational full scale waste plastic to hydrogen facility in Europe. The Agreement encompasses a suitable site in an EU Just Transition Fund region, potential access to an investment grade plastic feedstock supplier and the potential to agree offtake for the facility’s anticipated hydrogen and syngas outputs with a substantial customer whose covenant would be regarded as of a very high quality. As part of the Agreement, HUI will invest EUR500k in TRL, a company in Co. Tipperary, Ireland in the Irish Midlands, with patented waste plastic to wax technologies that process plastic feedstock using an innovative pyrolysis process under low pressure to transform post-consumer plastic into high grade new slack wax and a fuel. The wax can be used in various applications such as rust proofing, moisture proofing, polishes and emulsions and is used around the world. HUI’s hydrogen production process uses pyrolysis of plastics and the parties believe that the investment offers potential synergies and opportunities for both companies.
Keras Resources 0.11p £7.1m (KRS.L)
Placing and Corporate Update from the development company building a strategic portfolio of value accretive and cash generative resource assets. £1.2m placed with cornerstone investor and Board at a premium to current share price. Broker Option available to raise a further £0.75m to allow new and existing shareholders to participate. Graham Stacey appointed as CEO with Russell Lamming moving to Non-Exec Chairman to ensure key management is based in US. Funds will be utilised to enhance current operations and maximise future potential of the Diamond Creek asset.
Loungers 255p £262m (LGRS.L)
Loungers, the operator of 164 Lounge cafe-bars and 31 Cosy Club restaurant-bars, today announces a trading update for the 52 weeks ending 17 April 2022 . “Our significant outperformance of the market has been maintained over the financial year. Whilst trading during December was subdued as a result of the Omicron variant, it recovered strongly post-Christmas, allowing us to deliver record total revenue for the financial year of £237.3m.The Group has continued to deliver a very strong like for like sales (LFL) performance of +22.1% (net) over the 48 weeks to 17 April 2022. LFL sales in the second half rebounded convincingly post-Christmas, evidencing once again the relevance, resilience and popularity of our brands.”
M P Evans 988p £538.5m (MPE.L)
The board of M.P.Evans Group PLC, the producer of sustainable Indonesian palm oil, announces the appointment of Luke Shaw as the Group’s new chief financial officer, with effect from the start of July 2022. Luke has significant experience in financial and commercial management, having recently held a senior finance position with Spectris plc. M.P.Evans executive chairman, Peter Hadsley-Chaplin, commented: “We are delighted that Luke will be joining as our new chief financial officer. We are confident that he will be a great addition to our senior management team, and we look forward to welcoming him in July.”
Sareum Holdings* 230p £156.5m (SAR.L)
The specialist drug development company, announces that its CEO, Dr Tim Mitchell, will give a Company Showcase presentation at the BioTrinity 2022 conference, being held in London on 26 and 27 April. In his presentation, Dr Mitchell will provide updates on the progress of Sareum’s two proprietary TYK2/JAK1 kinase inhibitor programmes: SDC-1801, targeting autoimmune diseases and the severe inflammatory responses and respiratory symptoms arising from Covid-19 and other viral infections; and SDC-1802, targeting cancers. A video copy of the presentation can be viewed by registered delegates throughout the BioTrinity event and will also be available on Sareum’s website after the event: www.sareum.com.
Sigmaroc 75p £479m (SRC.L)
AGM Statement from the specialist quarried materials group. Group trading in line with management expectations; First quarter in 2022 was strong, with revenue 19% ahead of the same period in 2021 on an adjusted like-for-like basis, supported by good end customer demand in all key Group markets; Headwinds in relation to energy and Ukraine conflict actively managed; UPM strike resolved with catch up volumes expected in Finland; Tailwinds taken advantage of in respect of trading and commercial position; New limestone deposit opened in Poland with planned reserve extensions expected to add a total of 35m tonnes to the Group’s reserves and resources; Full ESG report published outlining strategy and net-zero timeline.
Emily Liu, CFA, CAIA
0203 764 2344
0203 764 2345
*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 firstname.lastname@example.org with “unsubscribe me”.