Small Cap Feast

20th June 2023

Dish of the day
No Joiners today
Off the menu
No leavers today
Dish Of The Day:

No joiners today.

No leavers today. 

What’s Cooking In The IPO Kitchen?

Praetura Growth VCT plc, a newly established VCT announces its intention to float on the Main Market of the London Stock Exchange. The Company will provide growth funding to scalable businesses predominantly based in the North of England, across a range of sectors including technology and healthcare. The Company will be managed by Praetura Ventures Limited, a venture capital and EIS business associated with the wider Praetura Group, a Manchester based venture capital investor and small business lender. The Company is targeting to raise £10m at 1 pence per share, via an offer for subscription. The Directors will have the option to utilise an over-allotment facility that will allow the Company to issue a further 10m Ordinary Shares under the Offer.

CAB Payments Holdings Limited a market lender to business to business (B2B) cross-border payments and foreign exchange, specialising in emerging markets intends to join the Premium Segment of the Main Market. The Group announced revenues of £41.3m for the three months ended 31 March 2023 with the YTD adjusted EBITDA margin at 64%. The Offer is expected to comprise a secondary sell-down of existing ordinary shares by Merlin Midco Limited (a wholly owned subsidiary of Helios Investors III, L.P. and Helios Investors III (A), L.P.) It is rumoured to be valued at between £800m and £1bn with Admission currently expected to occur in July 2023.

Breakfast Buffet

Atlantic Lithium 32.15p £195.9m (ALL.L)
The funded African-focussed lithium exploration and development company targeting to deliver Ghana’s first lithium mine, announces initial assay results from the resource and exploration drilling programme recently commenced at the Ewoyaa Lithium Project in Ghana, West Africa. Highlights include: Initial assay results received for 2,208m of infill reverse circulation drilling completed at Ewoyaa as part of the broader 18,500m 2023 planned drilling programme. Newly reported assay results confirm mineralisation continuity within the Ewoyaa South-2 deposit, part of the 35.3Mt @ 1.25% Li2O Ewoyaa JORC (2012) Compliant Mineral Resource Estimate. Multiple high-grade drill intersections reported as downhole intercepts, with true widths estimated in the intersections table. The Definitive Feasibility Study remains on track for release end Q2 2023. Awaiting approval of Mankessim licence consolidation ahead of resubmission of Mining Lease application for the Project.

Celsius Resources 1.25p £28.4m (CLA.L)
The company focused on the exploration, extraction, and development of mineral properties in Australia announces that a secondary tenement, the Botilao Porphyry Copper-Gold Prospect under its Philippine subsidiary, Makilala Mining Company, Inc., which is located beside the Maalinao-Caigutan-Biyog project will be explored to complement the development of the area with a potential to extend the operational mine life. The Mines and Geosciences Bureau has confirmed that all documentary requirements have been satisfied, which will allow the permit issuance upon the clearance of signatories which is anticipated in the coming weeks. This tenement could add significant value and complement the MCB Copper-Gold Project, given its location and porphyry Cu-Au mineralisation within the area.

Cobra Resources 1.33p £6.8m (COBR.L)
The gold, rare earth and IOCG exploration company focused on the Wudinna Project in South Australia, announces additional Rare Earth Element (REE) results from Aircore drilling, which demonstrate further REE resource growth and a highly desirable style of mineralisation. Characteristics of REE mineralisation demonstrate properties supportive of ionic mineralisation (subject to desorption and simple leach testing). The drilling has tested only 1.5 km of a prospective >30 km zone of palaeo-channel where clays are likely to make contact with saprolite on channel boundaries - highly scalable. Selected samples have been sent to Australia's Nuclear Science and Technology Organisation for desorption and simple leach testing.

EKF Diagnostics Holdings 36p £163.3m (EKF.L)
The global diagnostics business, announces that its Life Sciences division’s new 14,500L enzyme fermenter has successfully completed Factory Acceptance Testing. This will be the Company’s largest fermenter in its capacity expansion programme, and is scheduled for delivery this month, with installation and validation to be completed in Q3 2023. In addition, and as planned, the validation process has begun for the new 65L, 300L, 1,500L, and 3,000L fermenters, which are now all on site in the Life Sciences facility in South Bend, Indiana. This range of smaller fermenters, remain on track to be operational and revenue generating over the summer.

Gear4music 95.5p £20.0m (G4M.L)
The UK based online retailer of musical instruments and music equipment, today announces its financial results for the year ended 31 March 2023. Revenues increased 3% to £152m (FY22: £147.6m), while gross margins fell slightly to 25.7% (FY22: 27.9%) reflecting a reduction in inventory. EBITDA decreased 34% to £7.4m (FY22: £11.2m) and Gear4music reported a loss for the period of £0.4m (FY22: profit £5m). The Group carried net debt of £14.5m at the year-end (31 March 2022 net debt: £24.2m), having reduced stock by £11.1m (24%) over FY23.

Guild Esports 0.65p £3.4m (GILD.L)
The global teams organisation and lifestyle brand announces that it has completed a £622k fundraise, by way of a share placing and subscription of 103,700,000 new ordinary shares at a price of £0.006 per share. Of the £622k raised, a contribution of £100k came via subscription from the Company's directors and executive management and £24k from the members of the Company’s senior leadership team. The net proceeds of the Fundraise will be used for general working capital purposes to drive the Company's strategy. In addition, the Company will use the new funds to facilitate investment into the Guild Racing team roster, allowing the Company to field drivers in professional sim racing and leverage the state-of-the-art Guild Sim Racing Facility that was announced 12 June 2023.

Intercede Group 51p £29.7m (IGP.L)
The cybersecurity software company specialising in digital identities, announces the appointment of John Linwood as a Non-Executive Director with immediate effect. Mr. Linwood has over 40 years' experience in the technology sector and has held management positions in multiple global organisations including Yahoo, the Ministry of Defence, BBC and Microsoft. Mr. Linwood sits on several boards, including the National Grid Energy System Operator and Brooks Macdonald Group plc. The Company also announces that Chuck Pol and Rob Chandhok, Non-Executive Directors of the Company, will step down from the Board in due course.

Seeing Machines 5.62p £233.6m (SEE.L)
The advanced computer vision technology company that designs AI-powered operator monitoring systems to improve transport safety, announces a collaboration with Swedish startup, Devant, a world leading supplier of human centric synthetic data. This collaboration brings together Seeing Machines' 20+ years' experience and access to human behavioural insights with Devant's specialist rendering capabilities, leaving Seeing Machines positioned to accelerate the development and training of its Machine Learning networks that underpin its advanced driver and occupant monitoring system (DMS/OMS) solutions.

Somero Enterprises Inc 295p £164.6m (SOM.L)
The concrete placing solution provider, announces a trading update. The Company expects H1 2023 revenue will range between 15% and 20% below the record US$68.5m revenue reported in H1 2022. FY 2023 revenue will approximate US$ 120.0m (compared to market consensus estimates of US$132.1m) and EBITDA of approximately US$ 36.0m (compared to the previous market consensus estimate of US$ 42.8m). Lowered expectations for H1 2023 and FY 2023 revenue have been driven primarily by the US market. Strong contributions to 2023 revenue are anticipated from Europe, Australia, and the Rest of World territories, with Europe and Australia each expected to report H1 2023 revenue that meets or exceeds the comparable H1 2022 total. Due to the anticipated 10% reduction in 2023 sales, the Company has reduced its operational workforce by 10%, a restructuring that takes effect alongside this trading update.

Tekcapital 13.5p £24.1m (TEK.L)
The UK intellectual property investment group announces that Innovative Eyewear, Inc. the developer and retailer of smart eyewear under the Lucyd®, Nautica®, and Eddie Bauer® brands has signed license the irreverent sports culture brand, Reebok® for smart eyewear, via an agreement with Authentic Brands Group, a global brand development, marketing and entertainment platform. The initial Reebok smart eyewear collection is expected to launch early in 2024 with styles for men and women. Tekcapital currently owns approximately 62% of Innovative Eyewear, Inc.

20 June 2023
*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


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