Small Cap Feast

16th October 2023

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What’s Cooking In The IPO Kitchen?

Announced ITF 11 October: Cykel AI, the company developing artificial intelligence AI software designed and trained to execute commands in response to natural language directives, specifically within the realm of computer interfaces, intends to join the Access Segment of the AQSE Growth Market. Admission on or around 25 October.

Announced ITF 2 October: Adsure Services, the holding company for TIAA Limited, a specialist business assurance provider operating across the Housing, Healthcare, Government, Education, Charities, and other sectors in the UK, intends to join the Access Segment of the AQSE Growth Market. Admission expected on 30 October.

MicroSalt, the developer of salt-producing technology designed to deliver full flavor with less sodium, announces the launch of an exempt public offer of Shares to retail investors for up to £2.5m via PrimaryBid as part of its spin out from AIM listed Tekcapital plc (TEK.L). The Company is looking to raise £10m - £15m on IPO. Microsalt announced revenues of US$0.638m in 2022, its first year of retail sales of SaltMe Crisp brand and Microsalt salt shakers in US based supermarkets and through Amazon US. Admission to trading on AIM 18 October.


Breakfast Buffet

Corcel 0.405p £6.5m (CRCL.L)
The Angolan focused exploration and production company announces that it has received a revised offer from Integrated Battery Metals (IBM) to purchase its 41% interest in the Mambare nickel/cobalt project (including the outstanding shareholder loans due to Corcel by Oro Nickel Limited, the operational joint venture entity) for up to US$4.1m. This consideration consists of (i) US$1.6m due at completion of the sale and purchase; (ii) also at completion, a further US$1.4m payable in cash or the issuance of 1.5m shares of IBM at an issue price of USD1 per share at the discretion of Corcel; (iii) 24 months after completion a further payment of US$1.0m either in cash or in IBM shares (at the sole discretion of Corcel).

Crossword Cybersecurity* 8.75p £8.2m (CCS.L)
The cybersecurity solutions company focused on cyber strategy and risk, announces that it has entered into entered into agreements for five year, unsecured, convertible loans to the value of £230k. Following the issue of the £2,.015m Convertible Loan Notes announced on 31 August 2023 and the £230k convertible loans, the Company has utilised £2.245m of the £2.5m additional debt authorised at the AGM of 27 July 2023 with no immediate plans to utilise the remaining £255k capacity. The Company intends to use the £230k funding to provide additional working capital as the Company seeks to achieve EBITDA and cash breakeven in the second half of 2024.

Falcon Oil & Gas 7.25p £81.3m (FOG.L)
The international oil & gas company engaged in the exploration and development of unconventional oil and gas assets, announces that drilling operations on the Amungee NW 3H (A3H) well in EP98 have been successfully completed with Falcon Oil & Gas Australia Limited’s joint venture partner, Tamboran (B2) Pty Limited. The A3H well was drilled, cased and cemented to a total measured depth of 3,837 metres, including a horizontal section of 1,100 metres in the Amungee Member B-shale. Total costs for the drilling and cementing of the A3H well was A$12.6m. Cost reductions of A$1.8m compared to A2H demonstrates the application of learnings from previously drilled wells and the improvement in drilling technology with the H&P super-spec FlexRig Flex 3 Rig.

Galantas Gold Corporation 12.5p £14.0m (GAL.L)
The company that operates and expands gold production and resources at the Omagh Project in Northern Ireland, and exploring the Gairloch Project hosting the Kerry Road gold-bearing VMS deposit in Scotland, announce the results of the fifth exploration drill hole at the Gairloch Project: Hole 23-GL-05 intersected 1.87 grams per tonne (g/t) gold (Au), 1.17% copper (Cu), 1.20% zinc (Zn), 131 g/t cobalt (Co) and 7.06 g/t silver (Ag) over 34.25 metres with new mineralisation identified a further 100 metres at depth. Recent and historical drilling have identified a mineralised trend with a strike of over 1 km and to a depth of 250 metres. The Company plans to conduct modern geophysics over the 10 km-long known mineralised belt to prioritise drilling targets for a planned new drilling program.

Global Connectivity* 1.475p £5.3m (GCON.L)
The company focused on communication services and technologies that enhance connectivity announced on 13 October that it has received £550k in full and final settlement of an intercompany debt, paid early and in full, initiated by Tiger Infrastructure Partners. Under the terms of the Agreement signed with Tiger in October 2022, the Company was contracted to receive cash payments from Tiger, each of £275k, by 31st December 2023 and by 31st December 2024. All other terms of the Agreement remain the same.

GreenRoc Mining 3.75p £5.2m (GROC.L)
The company focused on the development of critical minerals projects in Greenland announces that the Government of Greenland has approved its application to enlarge its Mineral Exploration Licence (MEL) 2013-06 which contains the Amitsoq graphite deposit. GreenRoc's Amitsoq Graphite Project in southern Greenland is one of the highest-grade graphite projects in the world. This license secures access to an area that will become important to the development of infrastructure around the mining operation at Amitsoq.

Science in Sport 12.25p £20.9m (SIS.L)
The premium performance nutrition company serving elite athletes, sports enthusiasts, and the active lifestyle community, confirms the appointment of Dan Wright as Non-Executive Chairman with immediate effect. Dan Wright replaces John Clarke, who has now stepped down from the Company's Board. Dan Wright was a director of Highflex Holdings (UK) Limited which went into administration on 2 August 2017 and was dissolved following liquidation on 14 November 2018. Dan Wright holds an interest in 706,141 contracts for difference in Science in Sport plc.

Springfield Properties 54.5p £64.6m (SPR.L)
The housebuilder in Scotland focused on delivering private and affordable housing announces that it has signed a binding agreement for the sale of approximately 9.5 acres of land for £5.2m. The land is fully owned by the Group, such that the cash inflow to the Group will be £5.2m. The Group will receive £0.5m in the coming days with the remaining £4.7m paid upon completion, which is expected to occur in March 2024. Following the receipt of the £0.5m, the agreement becomes unconditional in all respects. The proceeds from the sale will support the Group in its target to reduce Group debt.

Surface Transforms 28p £67.7m (SCE.L)
The manufacturer of carbon fibre reinforced ceramic automotive brake discs announces that it has been selected as a tier one supplier of a carbon ceramic brake disc to its existing customer, described previously as OEM 10, one of the world's largest automotive OEMs. This OEM 10 contract will require capacity beyond both the current factory footprint and the phase 2 capacity investment program, forecast to provide £75m per year sales capacity in 2025. The timing of this award gives the Company sufficient time to implement the third phase of capacity expansion to provide £150m per year of total sales capacity.

Synectics 112.5p £19.6m (SNX.L)
The company offering advanced security and surveillance systems announces the release of the latest version of its proprietary software platform, Synergy. This most recent update includes data analysis tools, the integration of further AI and sector-specific capabilities, improved functionality for users and more robust cyber security, further strengthening the system's resilience against cyber threats. The Synergy platform has long supported the integration of many third-party analytics and AI tools into its single front-end platform for users. Synectics has seamlessly integrated complementary technology from multiple partners, including Microsoft, Nvidia, NEC and many others.

16 October 2023
*A corporate client of Hybridan LLP or retained by Hybridan LLP for certain services
** Arranged by most recent first
*** Alphabetically arranged

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