Small Cap Feast

Small Cap Feast – 6th September 2016

Dish of the Day:

No Primary Today

Off the Menu:

No AIM Leavers today

What’s Cooking in the IPO Kitchen?

Misys— The press reports that the Banking Technology provider owned by Vista Equity Partners is seeking a £5.5bn float in London

Bacanora Lithium— To list on AIM around 28 Sep as holding company for TSX listed Bacanora Minerals at £100m market cap

Aura Energy—ASX listed uranium developer (ASX:AEE) expected to join AIM 8 September raising up to £2.85m at £8.1m mkt cap


Breakfast Buffet

Instem (INS.L) 259p £40.7m

The provider of IT solutions to the global early development healthcare market, yesterday afternoon announced the acquisition of Notocord®  for up to 4.2m, net of any cash acquired. The Acquisition is expected to be immediately earnings enhancing. Notocord® provides software solutions for data acquisition & analysis & is a highly respected name in the life sciences software industry. FY16E forecasts are looking for £18.3m revenues  & 10.37pEPS. Notocord® had sales of €2.25m and operating profits of €0.7m  in 2015.


OptiBiotix Health* (OPTI.L) 74p £57.8m

The life sciences business developing compounds to tackle obesity, high cholesterol, diabetes and skin care has announced the results of an independent consumer survey of the GoFigure® products. containing the company’s patented SlimBiome®. Weight Management  Formulation. 100% of customers reported a reduction in food intake, and  weight loss for those who used the products over a continued period. 93% reported reduced snacking and 83% felt less hungry.


ReNeuron Group (RENE.L) 2.88p £90.8m

AGM Trading update from The developer of cell-based therapeutics. All patients have been treated in the PISCES II Phase II clinical trial of the CTX cell therapy candidate for patients with motor disability as a result of ischaemic stroke.  Hopes to file a Phase II/III trial application in Q1 2017. The Phase I/II clinical trial of the human Retinal Progenitor   cell therapy candidate for Retinitis Pigmentosa (RP) is also proceeding well and a Phase I trial is underway for critical limb ischaemia. Pre-clinical work continues on the exosome nanomedicine programme.


Mobile Streams (MOS.L) 4p £1.48m

Trading statement from  the emerging markets focused mobile media company  stating that in relation to its Indian Operations its local subsidiary,  has exceeded the important milestone of reaching 50,000 active subscribers. MOS expects to add additional billing connectivity to the next three largest network operators in India before the end of the calendar year. This has the potential to increase the addressable audience from the current c.600 million mobile users to around 900 million such users.


Forbidden Technologies (FBT.L) 9.5p £14.3m

FY Jun 2016 Interims from  cloud video platform owner. Revenues flat at £327k but invoiced sales up 25% to £445k.  EBITDA loss of £1,041k  broadly flat. Liquid funds of £1.8m following share issue. FBT has completed an organisational restructuring saving circa £1.0m in operating and capitalised costs on an annualised basis.  ‘An increase in direct sales capacity has given us a stronger top-line focus, and I look forward to seeing our growth continue in the second half.’


1PM (OPM.L) 65.5p £34.4m

Final results from independent specialist provider of finance facilities to the SME sector  for y/e May2016. Organic revenue at 1PM increased 45% to £8.0m.  Group revenue of £12.5m including £4.5m from acquired companies. Group profit before tax and exceptional items increased to £3.7m (2015: £1.6m). Basic earnings per share up 58% to 5.87 pence.  Dividend declared of 0.50 pence, up 43%. Deferred income of £14.3m. The new financial year has started well, being in line with management’s expectations.


Ebiquity (EBQ.L) 100p £77.2m

The independent marketing analytics specialist, has announced the global rollout of its new Ebiquity Portfolio platform which allows clients to view, sort and analyse competitor advertising creatives and spend, across 15 European countries and up to 80 territories worldwide. The new platform is being rolled out to more than 120 companies with users across every continent, who are able to access the Ebiquity’s database containing over 25million individual ads. The PE is 9.1x  FY2016E EPS.


Draper Esprit (GROW.L) 302.5p £123m

The venture capital investor involved in the creation, funding and development of high-growth digital technology businesses in the UK, the Republic of Ireland and Europe, has accepted, along with other investors, a conditional offer for Dublin based portfolio company Movidius Ltd from Intel Corporation for an undisclosed sum.  The sale is expected to complete before the end of 2016 and is estimated to increase the Group’s total NAV by approximately 21%,  vs NAV reported at admission.


REDX Pharma (REDX.L) 25.5p £23.9m

The drug development company, has entered into an agreement with Quay Pharma to manufacture the clinical trial supplies for Redx’s Porcupine inhibitor (RXC004), which has the potential to tackle hard-to-treat cancers, such as pancreatic, triple negative breast and head and neck cancers. As previously reported, first-in-human studies for the Porcupine inhibitor are expected to commence in the first quarter of 2017.


C4X Discovery (C4XD.L) 101.00p £33.3m

The innovative drug discovery engine, today announces that it has raised £5.0 million (Cornerstoned by Calculas Capital who invested £3m) gross, at 102p a 4.2% discount to yesterday’s close. Proceeds will be used to: Progress the Group’s existing pre-clinical pipeline towards clinical development and a commercially attractive partnering point; Invest in developing new lead compounds against highly valuable drug targets including those identified by Taxonomy3® and provide sufficient working capital to fund the Group’s operations.


Head Chef:

Derren Nathan
0203 764 2344

*A corporate client of Hybridan LLP


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