Small Cap Feast

29th April 2024

Dish of the day
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Dish Of The Day:


Admissions: 

Atalaya Mining (ATYM.L) has moved from AIM to the premium segment of the Main Market.  

Delistings: 

Molecular Energies (MEN.L) has left AIM.






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:

TheWorks (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 3 May 2024. Currently the market capitalisation of TheWorks is £16m.

Dual Listing :

23 April 2024: Wellnex Life Limited (ASX:WNX), an Australian consumer healthcare company, has commenced the process to dual list on the London Stock Exchange. The Company believes that a dual listing will increase its international profile, particularly in Europe where Wellnex has an existing supply agreement with Haleon into the UK. Currently, the market capitalisation of Wellnex is AUD$23.8m.


Banquet Buffet

Arrow Exploration 20.75p £59.7m (AXL.L)

The high-growth operator with a portfolio of assets across key Colombian hydrocarbon basins announces its audited results for the year ended December 31, 2023. Total oil and gas revenue increased by 79% to US$44.7m net of royalties (FY22: US$25.0m), the adjusted EBITDA more than doubled to US$27m (FY22: US$12.5m) and the cash position was US$12m at the end of 2023. Arrow is considering a 2024 mid-year reserve report to give investors an indication of the reserve additions discovered by the CN-5 and CN-8 wells.    

Camellia £45.3 £125.1m (CAM.L)

The global family of companies focused on agriculture reports its results for the year ended 31 December 2023. Revenue was £272.3m, down 8% (2022: £297.2m), the operating loss before tax for continuing operations was £1.3m (2022: £5.6m loss) and the net cash was £21.7m with an investment portfolio with a market value of £38.1m at 31 March 2024. Looking to 2024, the tea markets are very tough, but there are signs that macadamia demand and prices are recovering, albeit that volumes will be lower than 2023. Management expects revenues for 2024 to be marginally above 2023, but the adjusted loss before tax is expected to be significantly higher than that of last year.  

Christie Group 96p £25.5m (CTG.L)

The provider of Professional & Financial Services (PFS) and Stock & Inventory Systems & Services (SISS) to the hospitality, leisure, healthcare, medical, childcare & education and retail sectors announces its audited results for the year ended 31 December 2023. Revenue was 4.8% to £65.9m (2022: £69.2m), the operating loss before non-recurring costs was £0.6m (2022: profit £5.4m) and the Group ended 2023 with net funds of £0.6m (2022: £7.2m). Current activity levels are encouraging, with its UK transactional brokerage pipelines strongly ahead of this time last year and its finance brokerage business is experiencing strong demand. 

European Green Transition 12.25p £17.7m (EGT.L)

The Company developing green economy assets in Europe which aims to capitalise on the opportunity created by the green energy transition announces it has entered into an exclusive option agreement (the Option) to commence due diligence on and potentially acquire a copper tailings recycling project in Cyprus (the Copper Tailings Recycling Project). The Copper Tailings Recycling Project is owned by BW79 Holdings Limited. EGT has paid a fee of £125,000 to the Owner as consideration for entering into the Option. The past-producing Limni copper mine near Polis in western Cyprus produced over 8.1 Mt at 1.11% Cu between 1937 and 1978.  The Option is in line with Company strategy to target green economy assets in Europe. The site and surroundings also offer an excellent long-term location to potentially establish a solar power facility following the completion of the tailings recycling. Should this proceed, EGT would intend to partner with an existing solar power operator who could fund the facility with EGT maintaining a long-term revenue stream.

Future Metals NL 1.45p £7.2m (FME.L)

The exploration Company focused on advancing its Panton PGM Project in the eastern Kimberley region of Western Australia announces its Quarterly Activities and Cashflow Report for the quarter ended 31 March 2024. Multiple magmatic sulphide drill targets were identified along the ~18km Alice Downs Corridor within Future Metals' exploration acreage and ~12km NE of its Panton PGM Project. Drilling is planned within the Alice Downs Corridor for commencement in the forthcoming dry season, targeting new copper discoveries and extensions of known near-surface mineralisation.  The Company held approximately A$2.94m in cash at the end of the Quarter.

Itaconix  160p £21.6m (ITX.L)

The innovator in sustainable plant-based polymers used to decarbonise everyday consumer products announces the launch of two new ingredients for improving the performance of household detergent formulations. The new products represent major advances in phosphate replacement, with new multi-functional performance from plant-based materials that are safe for the environment. Itaconix TSI 422 is the latest and most advanced addition to Itaconix's revolutionary line of multi-functional ingredients for eliminating the detrimental effects of hard water in detergent and industrial applications. Itaconix TSI 422 extends the performance advantages of the industry-leading Itaconix TSI 322, particularly in dishwashing detergents. 

N Brown Group  14p £64.9m (BWNG.L)

A top 10 UK clothing and footwear digital retailer announces that Ron McMillan will be retiring as Chair and stepping down from the Board with effect from 30 April 2024, for personal reasons. Ron has been on the N Brown Board for 11 years. The Board has resolved to appoint Steve Johnson, following Ron's departure, as interim Executive Chair and Chief Executive Officer until a new permanent Chair is appointed. The search for a permanent Chair has commenced and a further announcement will be made in due course.   

One Media iP Group  4.25p £9.5m (OMIP.L)

The digital media content owner and manager which specialises in the active monetisation of music and video intellectual property rights announces its audited results for the year ended 31 October 2023. Revenue increased by 5% to £5.4m (FY22: £5.1m), EBITDA was £1.4m (FY22: £1.8m), driven by organic growth and active portfolio management, and the cash balance was £1.2m (FY22: £2.2m) offering headroom for strategic investment. New opportunities to license music and grow royalties continue to emerge, including in new territories and with new technology.

Quadrise 1.5p £26.5m (QED.L)

The supplier of innovative energy solutions for a cleaner planet provides an update on its project with MSC Shipmanagement Limited of Cyprus (MSC). The Company previously announced on 18 March 2024 that entry of a binding agreement between Quadrise, MSC and Cargill in respect of the production of MSARand bioMSAR fuels for the Company's forthcoming vessel trials on board the MSC Leandra (the Project Agreement) was expected by the end of Q1 2024.  Quadrise continues to work with its project partners to seek to finalise the Project Agreement and will provide a further update upon the project and entry of the Project Agreement in due course.

Serabi Gold  65.5p £49.6m (SRB.L)

The Brazilian-focused gold mining and development Company releases its audited results for the year ended 31 December 2023. Revenue was US$63.7m, up 9% (2022: US$58.7m) reflecting higher production year on year as well as  a positive movement in the average gold price (2023: US$1,945; 2022: US$1,785), EBITDA was US$13.78m (2022: US$8.78m), a 57% improvement year on year an the cash held at 31 December 2022 was US$11.6m (31 December 2022: US$7.2m). Gold production for the full year of 2023 was 33,153 ounces (2022: 31,819 ounces), and production guidance of between 38,000 and 40,000 ounces of gold for the 2024 calendar year has been issued.

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29 April 2024
*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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