Small Cap Feast
Small Cap Feast – 27 July 2020
Dish of the Day:
Revolution Bars (RBG.L) has moved from the Main Market to AIM.
Revolution Bars (RBG.L) has moved from the Main Market to AIM.
Off the Menu:
No Leavers Today
No Leavers Today
What’s Cooking in the IPO Kitchen?
AEX Gold (TSXV:AEV) is intending to admit its shares to AIM alongside a £45m placing. The Company, led by CEO Eldur Ólafsson, has established the largest land package of gold assets in Greenland with a current portfolio of licences covering 3,356 square kilometres, in the two known gold belts in Southern Greenland, the Nanortalik and Tartoq gold belts. Nalunaq is a high-grade gold asset with an updated Inferred Mineral Resource covering 422,770 tonnes at 18.5 grams per tonne of gold, or 250,970 ounces of gold, which covers the area in and around the historical mine. Due July. Current mkt cap C$66.7m.
Location Sciences 0.475p £2.7m (LSAI.L)
HY Jun 20 trading update. Unaudited revenues (including X-Mode securitisation) for the six months ended 30 June 2020 are expected to be approximately £0.65 million, an increase of approximately 43% on the corresponding period last year (H1 2019: £454,872) with core revenues (excluding X-Mode securitisation) of approximately £0.46 million, which is slightly ahead of H1 2019 despite the impact of COVID-19.
To mitigate the impact of COVID-19, the Company’s directors implemented a cost reduction programme and report this has seen cash administrative expenses being reduced to approximately £0.95 million for the period (H1 2019: £1.11 million), a reduction of 15%. This in turn has led to an improved adjusted cash EBITDA loss of approximately £0.68 million in the period, a decrease of approximately 17% compared to 2019 (H1 2019: EBITDA loss £0.82 million).
Powerhouse Energy 3.625p £127.4m (PHE.L)
The UK technology company commercialising hydrogen production from waste plastic, announced the appointment of Allan Vlah as a non-executive director of the Company with immediate effect.
With twenty years’ experience in the investment industry, Allan is a director in Aviva Investors’ infrastructure group where he started and continues to lead Aviva Investors’ Energy from Waste equity strategy.
Prior to joining Aviva Investors in 2012, Allan was a vice president at the Macquarie European Infrastructure Fund with a focus on transportation and renewable energy. He was previously a research analyst and portfolio manager covering energy and infrastructure trusts for TD Waterhouse Investment Advice.
Immupharma 15.025p £27.5m (IMM.L)
The specialist drug discovery and development company, announces an important regulatory milestone in preparation for the new optimised international Phase III trial of Lupuzor™ for systemic lupus erythematosus a potentially life-threatening auto-immune disease.
ImmuPharma’s licensing partner for Lupuzor™, Avion Pharmaceuticals LLC , has submitted a Special Protocol Assessment (“SPA”) request to the US Food & Drug Administration . SPA is a process in which sponsors reach agreement with the FDA on the design and size of clinical trials such that they adequately address scientific and regulatory requirements for a study that could support marketing approval. The previous Phase III clinical trial of Lupuzor™ in SLE was also carried out under ImmuPharma’s SPA. The review period for an SPA request is up to 45 days.
Hurricane Energy 6.06p £120.7m (HUR.L)
Thee UK based oil and gas company focused on hydrocarbon resources in naturally fractured basement reservoirs, provides an update on the Lancaster Early Production System .
Commissioning of the Electric Submersible Pumps has been completed successfully on both Lancaster EPS producing wells. Following the successful ESP commissioning programme, the 205/21a-6 well has been returned to natural flow, while the 205/21a-7z well will continue being produced using an ESP.
Following the Company’s most recent update on 8 July 2020, a period of ESP testing has seen Lancaster EPS production increase from c.15,000 bopd to c.17,000 bopd as oil and water production from the 205/21a-7z well has stabilised .
Oilex 0.11p £4.2m (OEX.L)
Substantial progress has been made towards the Company’s strategic objective to regain a participating interest in the West Kampar PSC in Indonesia, which is expected to lead, subject to financing, to recommencing production from the Pendalian Oilfield.
Following various meetings and correspondence with the Government of Indonesia (GoI) and with the support of a local Indonesian partner, the GoI has advised that our Proposed Direct Bid, through the Joint Study of the West Kampar Region, is declared administratively complete and have recorded it as a proposal for a Direct Offer through a Joint Study as stipulated in ESDM Regulation No. 35 of 2008.
This confirmation from the GoI, which is exclusive to Oilex, provides a pathway to conduct the Joint Study on the proposed development of West Kampar which will then provide certain preferential rights in the ultimate award of the West Kampar PSC by the GoI. Oilex’s interest in the study and ultimate potential award of the PSC will be on a 50-50 joint basis with its local Indonesian partner, PT Ephindo.
Cora Gold 10.5p £20m (CORA.L)
The West African focused gold company, announced the discovery of a new 1.5km gold zone at its flagship Sanankoro Gold Project in Mali. This follows results from a reconnaissance aircore drilling programme at the Bokoro II permit , which borders the Sanankoro permit to the East. The objective of this reconnaissance exploration was to test for new zones of potentially near surface economic gold mineralisation within a 5km radius of the main focus of the existing Sanankoro deposits. Many similar targets remain to be tested.
- Results include:
o 8m @ 7.4 g/t Au in hole BC0057 ▪ Including 2m @ 27.1 g/t Au 7m @ 1.3 g/t Au in hole BC0020 7m @ 1.5 g/t Au in hole BC0011 3m @ 1.14 g/t Au in hole BC0071 2m @ 2.6 g/t Au in hole BC0074
Sabien Technology SUSPENDED (SNT.L)
Following the announcement on 20 January 2020 regarding the possible acquisition of Ptarmigan Health Destinations SA, the Company’s shares were suspended from trading on AIM with immediate effect. This is because the transaction would be classified as a reverse takeover in accordance with the AIM Rules for Companies. Under the AIM Rules, the Company has six months from the date of suspension to publish an admission document setting out, inter alia, details of the proposed transaction or confirm these discussions have ceased. If neither of these outcomes is achieved, trading in the Company’s shares will be cancelled.
Due to market impact of Covid-19 the Company has been granted an extension from six to twelve months from 20 January 2020 for publishing such an admission document or to confirm discussions concerning a transaction have ceased.
Mission Group 58p £52.3m (TMG.L)
Acquisition of Innovationbubble, the international psychological insights and behavioural solutions consultancy.
Innovationbubble will sit at the heart of the Group’s business model, extending the expertise and capabilities that it provides to its global network of Agencies through the ‘MISSION Advantage.’ The consultancy provides research and advice to a growing portfolio of clients from blue-chips including Asda, Aviva, HSBC and a number of leading pharmaceutical businesses, to high profile brands such as Diesel and SpaceNK, helping them better understand what drives the behaviour of their customers and ultimately how to improve marketing activity.
Van Elle Holdings 31.5p £33.6m (VANL.L)
Van Elle Holdings plc, the UK’s largest ground engineering contractor, announces that since its most recent update on 4 June 2020, the Group continues to trade slightly ahead of the mid-case scenario outlined in the announcement of its equity fundraising on 9 April 2020. Group liquidity remains strong and its cash position as at 24 July was c. £10.0m having paid £2.0m of deferred PAYE payments to HMRC.
Panther Metals 7.4p £3.9m (PALM.L)
Acquisition of 135 mining claim cells, increasing the total area of the Dotted Lake Gold Project by 346%. The Dotted Lake property is approximately 16km north of Barrick Gold Corporation’s renowned Hemlo Gold Mine.
- New claims extend Panther’s coverage of the prospective Dotted Lake pluton geological contact up to 7km. Historical sampling of shears associated with this contact have yielded samples up to 16.95 g/t Au. Historic drill intersections near to the licence area include 8.2g/t Au and 3.2g/t Au, 2.9% and 1.1% Cu.
- Preliminary analysis shows there are multiple gold and base metal targets within the targets within the enlarged project area. Including known hosted massive sulphide mineralisation, banded iron formations and shear hosted gold veining.
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 firstname.lastname@example.org with “unsubscribe me”.