Small Cap Feast

25th October 2023

Dish of the day
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Dish Of The Day:

Joiners: 
Cykel AI has joined the Access Segment of the AQSE Growth Market today.

Leavers: 
No leavers today.





What’s Cooking In The IPO Kitchen?

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). 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 delayed, expected mid-November.


Breakfast Buffet

ANGLE 11.25p £29.3m (AGL.L)
The liquid biopsy Company with innovative circulating tumour cell (CTC) diagnostic solutions for use in research, drug development and clinical oncology, announces the publication of a study using the Parsortix system that sheds new light on the phenotypic characteristics of CTCs in Head and Neck Squamous Cell Carcinoma (HNSCC). The study evaluated 41 key biomarkers including the immune checkpoint proteins PD-L1, CTLA4 and CD39 and provided key information to support the development of personalised treatment strategies in HNSCC.

Arkle Resources 0.50p £2.0m (ARK.L)
The Ireland-based exploration and resource development Company announces that it has been granted a new lithium exploration block north of its Mine River Block in Wicklow/Wexford in Ireland. The new block consists of four prospecting licences for lithium, rare earth elements and other minerals, including gold and platinum. The licences cost a total of €3,000 and Arkle is required to spend a minimum of €10,000 in exploration costs on each licence over the next 24 months. The ground is contiguous with the International Lithium Corp - Gangfeng Lithium Co. Ltd joint venture to the west, where a large zone of lithium bearing pegmatites has been discovered associated with the Leinster Granite Pegmatite Belt. The Directors believe this new ground is fertile for lithium deposits.

Creo Medical Group 34p £122.8m (CREO.L)
The medical device Company focused on the emerging field of minimally invasive surgical endoscopy announces that following a recent submission to the Company's notified body, Creo have been advised on a regulatory pathway facilitating the launch of Speedboat UltraSlim device approximately 18 months ahead of schedule. This will enable the Company to initiate the launch of UltraSlim in Europe in early 2024, with an early adopter launch programme which would otherwise have been planned for mid-2025.

Crystal Amber Fund 64p £53.3m (CRS.L)
The activist fund investing predominantly in small and mid-cap UK equities announces its final results for the year ended 30 June 2023. Adjusting for the 45p a share of dividends paid, the Net Asset Value (NAV) per share decreased by 4.6% as at 30 June 2023 to 93.33p. NAV since the year end has increased over the three months to 30 September 2023 by 6.8%. At 30 June 2023, the Fund held equity investments in six companies (2022: nine) and debt instruments in Morphic Medical Inc (formerly GI Dynamics Inc.) and Sigma Broking Limited.

IG Design Group 127.5p £125.2m (IGR.L)
The designer and manufacturer of gift packaging, craft & creative play, stationery and related product categories provides a trading update for the six months ended 30 September 2023. The Board believes the trading results for the full year to 31 March 2024 remain in line with its expectations. This represents a strong year-on-year improvement in profit and cash flow compared to the prior financial year, albeit sales will be lower for the reasons given. This demonstrates continued delivery of the Board's aspiration to return to pre-pandemic operating margins by the end of FY2025.

Molecular Energies 90p £9.3m (MEN.L)
The oil and gas exploration and production Company provides an operational update. Regarding the Paraguay Drilling, the final on-site commissioning of the drilling rig is taking place. The Company understands from the drilling company that the repaired blow out preventer (BOP) has passed its operational tests in Brazil, from where it is due to be shipped, and is currently expected to be on site at or around the end of the second week of November. The cash flow from the recent sale of the Argentine hydrocarbon assets will commence in 2024. Irrespective of the outcome of the Paraguay exploration program, the Company intends to focus on originating and developing alternative energy projects.

Orcadian Energy 21.5p £16.2m (ORCA.L)
The oil and gas development Company announces that the North Sea Transition Authority (NSTA) has confirmed that, on the basis of the work that Orcadian and the Proposed Operator intend to undertake on Seaward Production Licence P2244 (P2244), NSTA is prepared to agree an extension to the Second Term of Licence P2244. The extension would change the expiry date of the Second Term of P2244 from 30 November 2023 to 30 November 2025.

Oxford Metrics 89p £116.1m (OMG.L)
The smart sensing software Company provides a trading update for the financial year ended 30 September 2023. The Group expects to report revenues of £44.0m and an adjusted PBT of £6.3m, both ahead of current market expectations. The Group finished the year with a cash position of £64.8m and no debt. Following the Group's strongest-ever first half performance, momentum continued into the second half driven by a particularly strong contribution from the Engineering and Life Sciences segments. The Group will pursue organic growth and M&A opportunities in the year ahead.

SkinBioTherapeutics 25.5p £44.2m (SBTX.L)
The UK-based life science company focused on skin health issues a trading update. Trading for the full year to June 2023 was in line with market expectations. Cash at the year end was £1.3m and the Company continues to control its costs. Furthermore, the Company is commencing a consumer study on 300 participants in the UK about a novel acne formula. The study will be conducted in partnership with Winclove Probiotics and is expected to complete by the end of 2023, with results in Q1 2024.

Virgin Wines 39p £21.80m (VINO.L)
One of the UK's largest direct-to-consumer online wine retailers announces its audited results for the year ended 30 June 2023 (FY23). Revenue was £59.0m, down 15% (FY22: £69.2m) and in line with expectations. Adjusted EBITDA was £1.8m, down 71% (FY22: £6.2m). The net cash balance at 30 June 2023 was £5.5m (1 July 2022: £7.7m), with no debt. Sales in Q1 FY24 increased 12% year-on-year, as conversion and cancellation rates continue to improve. The Board expects double-digit sales growth in FY 2024, with an EBITDA margin of c. 4-5% as inflationary pressures start to ease.

25 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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