Small Cap Feast

13th February 2024

Dish of the day
No Joiners today
Off the menu
No leavers today


Dish Of The Day:


Admissions: 



Delistings:
Arix Bioscience (ARIX.L) has left the Standard Segment of the Main Market on the LSE.



Whats baking in the oven?

Potential Initial Public Offerings:

12 February media report: The private equity owners of Shawbrook are seeking to revive plans for a float of the bank in a potential boost to the London stock market. In 2017, Shawbrook was bought by BC Partners and Pollen Street Capital for £868m.

29 January media report: Raspberry Pi, the developer of small single-board computers, is preparing for an IPO when the market is ready. CEO Eben Upton indicated that London is the natural listing location for a company like Raspberry Pi, and it wouldn't be an impediment to attracting US (or other international) investment.

12 January: The London Tunnels PLC announces its intention to seek Admission to the Standard Segment of the Official List and to trading on the Main Market of the LSE. The Company plans to restore, adaptively reuse and bring back to life the Kingsway Exchange Tunnels in Central London, originally built in the early 1940’s, and designed to shelter people during the London Blitz. The Company has successfully raised approximately £10m from investors and aims to admit its Ordinary Shares at a price of £2.00 per share to the Main Market. The Company is expected to have a market capitalisation of approximately £123m on Admission. Delayed: Expected Admission was before the end of January 2024.


Reverse Takeovers:

30 January: Location Sciences Group Plc is proposing to acquire the entire issued share capital of Sorted Holdings Limited (Sorted) for a nominal consideration of £1.00 (Acquisition). Sorted operates a software-as-a-service (SaaS) business model providing delivery experience software which serves ecommerce retailers - from large, global enterprises to smaller, independent start-ups. Pursuant to Rule 14 of the AIM Rules for Companies, the Acquisition constitutes a reverse takeover. Capital to be raised on Admission is approximately £2.0m via a subscription for new Ordinary Shares. Anticipated market capitalisation on Admission is approximately £6.68m. Expected AIM Admission date is 19 February 2024.


Change of Market:


Banquet Buffet

Dekel Agri-Vision 1.25p £7.0m (DKL.L)
The West African agriculture company focused on building a portfolio of sustainable and diversified projects, provides a January 2024 production update for its Ayenouan palm oil project in Côte d'Ivoire (Palm Oil Operation). The Palm Oil Operation has started the 2024 year with an increase of 56.2% in Crude Palm Oil (CPO) production compared to January last year. Like for like 2024 CPO sales volumes were also 38% higher. CPO sales prices in January softened from last month to EUR737 per tonne. The CPO extraction rate of 21% was typical for the month of January but 8.7% lower from last year.

Empyrean Energy 0.4p £3.9m (EME.L)
The oil and gas development company with interests in China, Indonesia and the United States, announces that it has raised £700k through a placing of new ordinary shares at a price of 0.25p per Placing Share (Issue Price). The Issue Price represents a 20.6% discount to the closing price of the Company's shares on 12 February 2024. The proceeds will be used for ongoing prospect, licensing fees and permit costs at Block 29/11, Offshore China, ongoing costs associated with advancing the Mako Gas Field toward production, completing Duyung PSC sell-down process; and for general working capital requirements.

Fadel Partners 144p £29.1m (FADL.L)
The developer of cloud-based brand compliance and rights and royalty management software, announces the appointment of Ian Flaherty (CPA) as Chief Financial Officer with effect from 14th February 2024. Ian is a Certified Public Accountant in the United States and joins the Company from LogicManager, Inc., a SaaS-based Enterprise Risk Management business. Vicary Gibbs has stepped down from his role as Chief Financial Officer (CFO) and has resigned from the Board and all group Directorship roles with immediate effect.

Future Metals NL 1.5p £6.7m (FME.L)
The Australian based exploration company focused on advancing its Panton PGM Project in Western Australia provides an operational update. Multiple magmatic sulphide drill targets identified along ~18km of highly prospective strike (Alice Downs Corridor) within the Company's 100% owned exploration package, located ~12km north-east of Panton. Targets include Eileen Bore, Palamino and Salk, none of which have been effectively drill tested. Drilling is planned for early Q2 2024, targeting material extensions of known near-surface mineralization.

KEFI Gold and Copper 0.66 £33.0m (KEFI.L)
The gold and copper exploration and development company, provides an update on project launch preparation activities at Tulu Kapi Gold Project in Ethiopia. The Company can now report that all the other parties in the funding syndicate, have advised they will go to their respective committees this month to approve the proposed transaction. The Ethiopian Federal Government further reaffirmed its equity capital investment has been fully documented, and already partly invested. The Company is pleased with the long-standing collaboration with all parties involved and the current intensification of effort flowing from the Government's key positive actions towards the end of 2023.

Kistos Holdings 142p £117.7m (KIST.L)
A joint venture partner in the Balder and Ringhorne oil and gas fields in Norway, notes the announcement by Var Energi ASA (the Operator) confirming that the upgrade of the Joutun FPSO is 90% complete and that first oil is now anticipated to be the end of Q4 2024. Kistos is encouraged by recent activity, in particular the progress the Operator has made in working to convert more of the established 2C resources into sanctioned reserves through the ongoing drilling programme.

MediaZest* 0.06p £1.0m (MDZ.L)
The audio-visual solutions provider, announces a substantial new business win with a large, UK based FTSE listed client. MediaZest will provide digital signage solutions for multiple workspace locations for the client over the next two years, with the aggregate contract value expected to be in the region of £200k.

M Winkworth 170p £21.9m (WINK.L)
The franchisor of real estate agencies announces the appointment of Tara Tan as an Executive Director with effect from 12 February 2024. Tara, a qualified solicitor with over 20 years' experience, joined the Winkworth team in 2001 and became a director of Winkworth Franchising Limited in 2004 as Director of Legal and Business Affairs. Tara will provide strategic and transactional guidance to the business development team and to the day-to-day commercial operations team, as well as continuing her work on brand protection, network compliance and training.

Saietta Group 7.25p £10.5m (SED.L)
The multi-national business which designs, engineers and manufactures complete electric drivetrain (eDrive) solutions for electric vehicles, provides a business update. The Company remains in discussions with an OEM customer about the potential sale of its RFT (Radial Flux Technology) eDrive for a 2-wheel vehicle model. Furthermore, the Company has received a proposal of £600k for the purchase of a redundant production line at its manufacturing site in Sunderland, UK. The Company has positive cash balances that takes it through to the end of March 2024.

Union Jack Oil 18p £19.2m (UJO.L)
The UK and USA focused onshore hydrocarbon production, and exploration company announces, that it has signed a further two farm-in agreements with Reach Oil & Gas Company Inc (Reach). The first agreement is to acquire a 75% working interest to test the Footwall Fold Prospect in the Wilzetta Fault play scheduled to be drilled in Q3 2024. The second is to acquire a 37.5% working interest in a 2D and 3D seismic acquisition programme identifying drillable prospects along the Wilzetta Fault, in Oklahoma, USA. Planning and back costs of US$277k are payable by Union Jack and the cost for drilling and completion of the well are estimated to be approximately US$1m net to Union Jack. Costs will be paid from existing cash resources.

.

13 February 2024
*A corporate client of Hybridan LLP or retained by Hybridan LLP for certain services
** Arranged by most recent first
*** Alphabetically arranged
**** Potential means Intention to Float (ITF) has been announced, or it is a rumour

STAY INFORMED

Our daily digest of news from UK listed Small and Mid caps straight to your Inbox.

Disclaimer

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 enquiries@hybridan.com with “unsubscribe me”.

© Copyright 2024 - Hybridan | Website by Boxed Up Media
First Visit
bookcrossmenu linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram