Small Cap Feast
Small Cap Feast – 28th June 2022
Dish of the Day:
No Joiners Today
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Off the Menu:
Raven Property Group has left the Main Market.
Raven Property Group has left the Main Market.
What’s Cooking in the IPO Kitchen?
Immediate acquisitions (IME.L) is to re-join AIM via a Reverse Takeover of Fiinu Holdings Limited. Once complete the Company is proposing to change its name to Fiinu Group plc. Fiinu intends to be a provider of a consumer banking product, the Plugin Overdraft ®, which is designed to provide customers with an overdraft facility without having to change their current account or request an overdraft from their existing bank. Fiinu’s technology arm manages and develops the platform, using open banking, and once the platform is fully operational will also look to develop secondary revenue streams by licensing Fiinu’s intellectual property rights. Capital to be raised £8.01m. Target Mkt Cap c.£53m. Due 8 July
Visum Technologies seeking admission to The AQSE Growth Market. The Company’s business is to own and operate an “on-ride” video and photographic camera system that it sells and/or licenses to customers (being theme parks, ride manufacturers, souvenir imaging providers, and other leisure operators). Due 30 June.
LifeSafe Holdings, a fire safety technology business with innovative fire safety products, intends to join AIM. LifeSafe has developed what the Directors believe to be market disrupting, eco-friendly fire safety protection products to both protect (via fire extinguishers) and detect (via carbon monoxide, smoke and heat alarms) fires. At the centre of the Group’s product range is the FER1000 extinguishing fluid, which has been developed by LifeSafe to extinguish five different types of fire: electrical, paper, textiles, cooking oil, and petrol and diesel. The Group’s best-selling product using this patent pending extinguishing fluid is the StaySafe 5-in-1 fire extinguisher. It was launched on Amazon Prime in the UK in August 2021 and subsequently became Amazon Prime’s top selling fire extinguisher in the UK in the same month. In n the year ended 31 December 2021, the Group generated revenues of £670k and a loss post taxation of £1.5m. £3m to be raised. Due early July 2022.
Altona Rare Earths, the AQSE listed mining exploration Company focused on the evaluation, acquisition and development of Rare Earth Elements mining projects in Africa, intends to join the Main Market. Admission to trading of the Company’s Ordinary Shares on the AQSE Growth Market will be cancelled simultaneously with Admission. It is also proposed that on Admission, the Company will change its EPIC from AQSE:ANR to REE. The Company also seeks to raise funds to finance its current and future rare earths mining projects in Southern and Eastern Africa. Due June 2022.
Ceres Power 590.8p £1,131.8m (CWR.L)
Ceres, a global leader in fuel cell and electrochemical technology, has signed an agreement with Shell to deliver a megawatt scale solid oxide electrolyser (SOEC) demonstrator in 2023. Shell and Ceres are building this partnership to utilise SOEC technology to deliver high-efficiency, low-cost green hydrogen; now widely viewed as a credible route to decarbonise hard-to-abate parts of the energy system that rely on fossil fuels today. Shell is targeting to become a net-zero energy business by 2050, by reducing emissions from its operations and from the fuels and other energy products it sells to its customers. Ceres aims to produce hydrogen at efficiencies around 20% greater than other technologies, in the range of mid-80s to 90% efficiency where it is possible to make use of waste heat in industrial processes to drive high efficiency. Ceres has committed £100m for the development of its SOEC technology – with the aim of achieving a market-leading levelised cost of hydrogen of $1.5/kg by 2025. The agreement with Shell aligns with Ceres’ business strategy and provides a pathway to the commercialisation and development of new markets.
Crossword Cybersecurity* 28p £21.1m (CCS.L)
The cybersecurity solutions company focused on cyber strategy and risk, has announced the creation of a new integrated Supply Chain Cyber practice. In response to client demand and the substantial increase in supply chain cyber threat levels, the integrated practice provides a set of controls, processes and tools, along with a range of managed services, advice and training to massively reduce the risk of direct cyber-attacks as well as threats via third parties across a company’s supply chain. The practice provides an end-to-end approach to supply chain cybersecurity and includes a standard operating model (SOM) and a substantially updated version of Rizikon Assurance, Crossword’s SaaS platform used by supplier management and cybersecurity teams and across an organisation to underpin the controls, tools and data needed to reduce supply chain risk. Updated Rizikon features include automated assurance, flexible reporting and new dashboards that improve supply chain cyber assurance, risk and compliance strategy, policy and operations. Experienced cybersecurity consultant, Ryan King, has been appointed as Practice Lead and is supported by a dedicated team of experts specialising in supply chain cyber risk.
DeepMatter Group 0.12p £4.6m (DMTR.L)
The digital chemistry data and software company, has acquired ChemIntelligence SAS in a transaction valuing the business at up to £0.42m. ChemIntelligence (https://chemintelligence.com/) has artificial intelligence (AI) that is used to develop chemical products and reactions faster. The business is based in Lyon, a city known as a digital centre and its strong links to France’s Chemistry Valley. The acquisition brings intellectual property and expertise that complements the Group’s chemical reaction data, data collection platform and AI capabilities. It will also broaden Deepmatter’s technical expertise in chemical formulation, which will enable the Group to expand its offering and address a broader customer base. The two businesses will benefit from combined sales and marketing, operations, customer support and research resources. ChemIntelligence enables the prediction of the properties of molecules, materials and formulations, suggesting the most relevant experiments to perform in a secure, certified end-to-end cloud environment. ChemIntelligence unaudited revenue for the financial year ended 31 December 2021 was EUR0.12m, with profit before tax of EUR0.02m. The gross assets of the Company as at 31 December 2021 were EUR0.12m.
Everyman Media 109p £99.4m (EMAN.L)
The independent, premium cinema group, announces that William (Will) Worsdell ACA, who currently holds the role of finance director at the Company, will continue to oversee the financial activities of the Group, assuming an Executive Director position and joining the Board with immediate effect. Will joined Everyman in early May 2022, having previously held senior financial roles at several leisure and hospitality businesses including Head of Commercial Finance at Côte Brasserie. Previously, Will also worked in financial and operational planning at Heathrow for three years. Will qualified as a chartered accountant in 2014.
Getech 23.5p £15.8m (GTC.L)
Getech, a geoenergy and green hydrogen company, has signed a 5-year extension to a multi-faceted geospatial services contract with a customer of its transitional petroleum division. The new contract has a total value of £1.65m. Services provided by Getech will include the design, implementation and management of geospatial operating systems that are essential for aboveground safety, environmental protection, and security on a large and complex asset. Adjusting the end-2021 order book position for contracts that have since converted to revenue in H1 2022, this new contract delivers significant growth in the value of Getech’s current total order book – adding material recurring revenue over the next five years.
Jadestone Energy 82.5p £384.2m (JSE.L)
The independent oil and gas production company focused on the Asia-Pacific region, announced the appointment of Bert-Jaap Dijkstra as Chief Financial Officer and director of the Company, effective 1 September 2022. Mr Dijkstra joins Jadestone from SBM Offshore, where he held a number of finance and management roles since 2013. Most recently he served as Group Treasurer and Director of Investor Relations. He has been directly responsible for managing all financing activities for SBM Offshore, including structuring c.US$5bln in recent project financings, managing the group’s financial risk (including hedging programmes), optimisation of funding sources and corporate finance. He was voted best investor relations professional for the energy services sector in the 2019 Extel and in the 2020 and 2021 Institutional Investor surveys.
Kibo Energy* 0.1p £3.2m (KIBO.L)
Kibo has reported its results for the Year Ended 31 December 2021. Total revenues were £3,245 (2020: £nil) with an operating loss £24m (2020:6,473,547 loss). There was a £20,705,209 impairment loss on Mbeya Coal to Power and Mabesekwa Coal to Power projects as a result of the continuing global shift to move toward renewable energy and disregard fossil fuel assets, coupled with the Group’s execution of its renewable energy strategy during the 2021 financial period. The Company’s intention to dispose of coal assets in accordance with a disposal strategy that will realise value for shareholders. Renewable projects include an agreement to jointly develop a portfolio of Waste to Energy projects in South Africa with Industrial Green Energy Solutions (Pty) Ltd, which will initially develop a phased c. 8MW project for an industrial client, to be followed by six other projects at different sites, to a total generation of up to 50MW.
Mediazest* 0.08p £1.2m (MDZ.L)
HY Mar 22 results from the creative audio-visual company. Revenue for the Period was £1,402,000, up 66% (2021: £846k) due to covid-19 restrictions easing and client projects resuming. Gross profit was up by 84% accordingly to £756k (2021: £410k). EBITDA was a profit of £138k (2021: loss of £49k). Net profit for the period after taxation was £40k (2021: loss of £160k). Cash and cash equivalents at 31 March 2022 was £46k (2021: £16k). The progress over the last 12 months and the outlook for the remainder of the financial year is encouraging. Long-term clients continue to look to expand the range and number of deployments with the Group, reflective of the high standard of delivery. At a strategic level, the Board believes adding scale to the current operational business via acquisition would unlock shareholder value and the Group continues to evaluate potential targets.
Symphony Environmental Technologies* 18.8p £33.1m (SYM.L)
The global specialist in technologies that make plastic and rubber products smarter, safer and more sustainable announced a supply agreement for its d2p antimicrobial technology with Grupo Bimbo, for its manufacturers. The Agreement represents a major commercial advance in relation to d2p. Grupo Bimbo is the largest bread manufacturer in the western world. Following extensive trials of d2p-enhanced plastic bread packaging, Symphony has agreed to supply its d2p antimicrobial masterbatch to their nominated bread packaging manufacturers across the whole of the American continent for a period of 3 years (extendable by agreement). The supply of d2p in the USA (the western world’s largest bread market), and in Canada, and Mexico will be exclusive, and Grupo Bimbo has first-refusal for other countries in the Americas.
Tribal Group 90p £189.5m (TRB.L)
The leading provider of software and services to the international education market has signed 3 further Cloud contracts for existing customers, University of Sunderland, Birmingham City University and University for the Creative Arts, to migrate their current Tribal Student Management Systems SITS:Vision to the Tribal:Cloud, providing an improved student experience and delivering operational efficiencies for the universities. The contracts range from 3 to 5 years, with a combined total contract value of £5m. Sales momentum has continued to be positive, and the Group now expects revenue for the year ending 31 December 2022 to be marginally ahead of current Board expectations and EBITDA to be broadly in line.
Emily Liu, CFA, CAIA
0203 764 2344
0203 764 2345
*A corporate client of Hybridan LLP
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