Small Cap Feast

18th April 2024

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

Dish Of The Day:



Whats baking in the oven?

Potential Initial Public Offerings:

Reverse Takeovers:

16 April 2024: Electric Guitar (ELEG.L) Concurrent with its Admission to trading on AIM, Electric Guitar is proposing to acquire the entire issued share capital of 3radical Limited for a consideration of approximately £1.3m, payable by the issue of new ordinary shares in Electric Guitar. The Acquisition constitutes a reverse takeover under the Listing Rules and therefore shareholder approval for the Acquisition is being sought at a general meeting of Electric Guitar to be convened for 1 May 2024.

17 April 2024: TGI Fridays, Inc. (TGIF) Hostmore plc announces that it has reached agreement on a non-binding basis for a proposed all-share acquisition of TGI Fridays, Inc. The Proposed Transaction would result in existing Hostmore shareholders holding 36% of the enlarged business upon completion (the Combined Group), with TGI Fridays shareholders holding a 64% shareholding. TGI Fridays is expected to be purchased for an enterprise value of £177m, or approximately 5.4x its FY23 underlying EBITDA. The Combined Group is expected to be renamed TGI Fridays plc, with its shares admitted to trading on the LSE’s Main Market. Completion of the Proposed Transaction expected to be by the end of Q3 2024.

Change of Market:

8 April 2024: (WRKS.L) a multi-channel value retailers of books, arts and crafts, stationery, toys and games, offering customers a differentiated proposition as a value alternative to full price specialist retailers. The Company is listed on the premium segment of the Main market of the London Stock Exchange. The Company has announced its intention to change to the AIM market on the 3 May 2024.

Banquet Buffet

Anglesey Mining 1.4p £5.9m (AYM.L)
The 100% owner of the Parys Mountain Cu-Zn-Pb-Ag-Au VMS deposit in Anglesey, North Wales, announces the appointment of Robert Marsden to the Board as Chief Executive Officer with effect from 1st May 2024. Rob is a Mining Engineer with 29 years of international experience. Upon graduation from the Camborne School of Mines in 1995 he joined Rio Tinto plc and over the next 18 years held several technical, operational and management roles, living and working in South Africa, Australia, France and the USA.

BATM Advanced Communications 19.5p £84.9m (BVC.L)
The provider of real-time technologies for networking solutions and medical laboratory systems announces that it has signed a three-year agreement to provide its Edgility edge virtualisation platform and accompanying hardware to Totalplay, a Tier 1 telecommunications company that offers internet access, pay television and telephony services through one of the largest 100% fibre optic networks in Mexico.

Capital Limited 92.5p £179.2m (CAPD.L)
The mining services company provides its trading update for the period 1 January to 31 March 2024. Revenue increased 3.1% to $80.2m (Q1 2023 : $77.8m). Revenue guidance for 2024 remains $355 to $375m as guided at its FY23 results. Capital Drilling will see positive momentum into Q2 2024 from the continued ramp up of operations particularly at Belinga and Reko Diq as well the commencement of operation at Nevada Gold Mines. MSALABS will continue its multi-year laboratory roll-out, with a particular emphasis on deploying Chrysos PhotonAssay units, further supported its our significant contract with Nevada Gold Mines.

Challenger Energy Group 0.14p £14.7m (CEG.L)
The Atlantic margin focused energy company announces that it has entered into a legally binding term sheet for an investment by Charlestown Energy Partners LLC. Charlestown will invest £1.5m in the Company, initially in the form of a loan, which upon closing of the AREA OFF-1 farm-out to Chevron and subject to prior completion of an agreed share consolidation shall convert at a fixed price of 0.168p per share, being a c. 20% premium to the current share price. This will result in Charlestown holding a c. 8.7% shareholding in Challenger Energy, thus making Charlestown one of the Company's largest shareholders.

Devolver Digital 21.5p £95.6m (DEVO.L)
The digital publisher and developer of independent video games announces unaudited results for the year ended 31 December 2023. Revenues decreased 31% to $92.4m (2022: $134.6m). Loss before tax reduced to $11.7m (2022: $91.5m), primarily due to the stock compensation expense of $19.6m and an impairment of $70.0m in the prior year. Furthermore, cash balance decreased to $42.6m (2022: $79.5m). Management indicates that the Company is on track for previous guidance of profitable growth in 2024 and continuation into 2025.

Great Western Mining Corporation 0.047p £3.3m (GWMO.L)
The exploration company focused on copper, silver, gold, and other mineral targets, announces that it has exercised an option to acquire the Olympic Gold Project in Mineral County, Nevada. In 2020, Great Western's wholly owned U.S. subsidiary, Great Western Mining Corporation entered into an agreement with Nevada Select Royalty Inc., a wholly owned subsidiary of Gold Royalty Corp, for an option to acquire the Olympic Gold Project, consisting of 48 contiguous claims over 825 acres, including the abandoned OMCO gold mine. The total cost of the acquisition is US$150,000.

Keystone Law Group 640p £201.5m (KEYS.L)
The network and tech-enabled challenger law firm, announces its results for the year ended 31 January 2024. Revenue increased 15.1% to £87.9m (2023: £76.4m). Adjusted profit before tax was £11.3m, up 22.8% (2023: £9.2m). Cash generated from operations was up 11.8% to £10.4m (2023: £9.3m). The Group has made a positive start to the new year with ongoing client demand across practice areas. The Board remains confident that this will be another successful year, delivering results in line with current market expectations.

LBG Media 73p £152.6m (LBG.L)
The global digital entertainment business with a focus on young adults announces its unaudited results for the year ended 31 December 2023. Revenue increased 7.5% to £67.5m (2022: £62.8m) but profit before tax decreased 18.9% to £5.9m (2022: 7.3m), partially due to a higher operating expenses. The cash balance decreased 46% to £15.8m (2022: £29.3m) primarily reflecting the acquisition of Betches. The positive revenue momentum and platform for growth in the US leaves the Group at a significant juncture in its evolution and provides a clear line of sight to achieving £200m of revenue.

Renalytix 30p £37.9m (RENX.L)
The Company announces that Howard Doran, who has served as the Company's Chief Business Officer since September 2023, has been appointed as President, effective April 30, 2024. Thomas McLain, who has served as the Company's President since July 2019, is stepping down effective that date.

Surgical Innovations Group 0.5p £4.7m (SUN.L)
The designer, manufacturer and distributor of innovative medical technology for minimally invasive surgery, announces its audited results for the year ended 31 December 2023. Revenues increased 6% to £12.01m (2022: £11.34m),. Adjusted EBITDA profit was £0.20m (2022: £0.70m). Furthermore, net cash at end of period was £0.36m (2022: £0.99m). Currently, the sales momentum remains strong in Asia Pacific and Europe, growing 8% over the same period last year. The Group continues to trade profitably at the adjusted EBITDA level.

18 April 2024
*A corporate client of Hybridan LLP or retained by Hybridan LLP for certain services
** Arranged by most recent first
*** Alphabetically arranged


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


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 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