Small Cap Feast

29th March 2023

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What’s Cooking In The IPO Kitchen?

Beacon Energy plc, intends to join the AIM market. In accordance with the Company's strategy to focus on growth through acquisition or farm-in to oil and gas projects, the Company entered into the SPA with Tulip Oil Holdings B.V. In conjunction with the Acquisition, the Company has conditionally raised total gross proceeds of £6.04m and will be used to fund the drilling of the SCHB-2 development well onshore Germany and for working capital. Expected admission date is 11 April 2023.

Ocean Harvest Technology Group plc, a commercial scale producers of seaweed blend ingredients for the animal feed market intends to join AIM. The main country of operation is Vietnam where the Company's main production and processing facility is located. The Company is headquartered in Theale, UK with further operations in Galway, Ireland and Binh Duong Province, Vietnam. Expected Admission was on 29th March 2023 (appears delayed).

M7 Box+ REIT plc, a newly established, externally managed closed-ended investment company announces that it intends to join the Wholesale segment of IPSX. Upon Admission, the Company proposes to acquire a portfolio of seven let and operational e-warehouses from M7 Box+ II LP. As at 31 December 2022, the Property Portfolio was valued at £228.9m. Expected Admission April 2023.

Altona Rare Earths, a mining company focused on the development of a significant Rare Earth Elements (REE) mining project in Africa, announced its intention of withdrawing from the AQSE Growth Market to the Standard Segment of the Main Market. The Company has just raised £2m and plans to use the proceeds to complete its maiden JORC compliant Mineral Resource Estimate and a Scoping Study for its Monte Muambe Rare Earths mining project in northwest Mozambique. Admission Delayed. A further update will be provided once the date of Admission, currently expected to be towards the end of March 2023, is confirmed.

Fadel Partners, a developer of cloud-based brand compliance and rights and royalty management software in the media, entertainment, publishing, consumer brands and hi-tech/gaming sectors intends to join the AIM market. Fadel has two solutions, being IPM Suite and Brand Vision. Expected Admission date is late March 2023.

Onward Opportunities Limited intends to join the AIM market. The Company's investment objective is to generate returns for Shareholders through investments in equity and equity-related instruments of UK smaller companies that are predominantly listed or admitted to trading on markets operated by the London Stock Exchange. Anticipated market capitalization on admission is £12.75m. Expected admission 30 March 2023..

Breakfast Buffet

Aeorema Communications 74p £7.1m (AEO.L)
A strategic communications group, announces its unaudited interim results for the six months ended 31 December 2022. Group revenue increased by 45% year-on-year to £7.12m (H1 2021: £4.91m) and profit before taxation by 28% to £0.33m (H1 2021: £0.26m), the Group increased cash position to £3.67m (31 December 2021: £1.54m). The Group are working with Stagwell Inc. a NASDAQ listed, multi-billion-dollar challenger in the marketing network, on a unique brand activation 'Sport Beach' at Cannes Lions International Festival of Creativity. The Group are confident about the outlook for the remainder of the 2023 financial year.

Coro Energy 0.24p £6.1m (CORO.L)
The South East Asian energy company with a natural gas and clean energy portfolio, announces that it has entered into a revised Heads of Terms with the shareholders of KIMY Trading and Service JSC (KIMY), following its due diligence process, in respect of the potential 3.25MW acquisition, announced on 25 November 2022. Total acquisition price remains c.US$1.7m (US$548/MW), and at completion, assumption by Coro (via acquisition of KIMY) of US$950k of existing specialist renewables debt with a Vietnamese bank; US$130k cash payable, US$0.25m payable in new ordinary shares, a further US$80k cash and US$80k of new ordinary shares in the Company, payable after 2 months and US$0.25m in cash.

Enteq Technologies 11p £7.7m (NTQ.L)
The energy services technology and equipment supplier, announces the sale of the Company's freehold premises in Houston, Texas (Property). The freehold site owned by the Company has been sold for $2.5m. The book value of the Property at 30 September 2022 was $2.142m. The net cash proceeds from the sale are expected to be invested to support the Company's product line development over the medium term, primarily deployment of SABER. The sale in in line with the Company’s strategic growth.

Inspired Energy 10.4p £101.5m (INSE.L)
A leading technology-based service provider supporting businesses to control energy costs and enable their journey to net-zero, announces its audited final results for the year ended 31 December 2022. Group revenues increased 31% to £88.8m (2021: £67.9m), adjusted EBITDA increased 6% to £21.0m (2021: £19.8m), and the Group incurred a loss before tax of £4.0m (2021 profit £1.1m). The increase in Group net debt of £4.3m reflects a year in which the cash generation was offset by the payment of £10.8m of performance payments. the Board is confidence in the long-term growth and success of the Group.

Kromek Group 6.6p £28.5m (KMK.L)
A developer of radiation and bio-detection technology solutions for the advanced imaging and CBRN detection segments, announces that it has secured repeat orders for its CZT-based detectors from three medical imaging customers worth a total of $1.1m. The orders comprise a $300k award for detectors, which is expected to be delivered in the Group's current financial year, $563k order from an OEM and a $205k order for niche medical imaging applications. The growth in demand from both new and existing customers reinforces the Board's continued confidence in our prospects in this market.

Michelmersh Brick Holdings 93.5p £89.5m (MBH.L)
the specialist brick manufacturer and brick-fabricator, reports its preliminary results for the year ended 31 December 2022. Revenue increased 15% to £68.4m (2021: £59.5m), operating profit increased 17.2% to £11.6m (2021: £9.9m) and the Company holds net cash of £10.6m up 37.7% year on year (2021: £7.7m). The Company completed the acquisition of FabSpeed, a leading brick-fabricator and manufacturer of off-site pre-built brick products completed in November 2022 for an initial £6.25m consideration. The Board remains confident in the strategic outlook of the business.

Shanta Gold 12.25p £128.8m (SHG.L)
The East Africa-focused gold producer, developer and explorer announces its production and operational results for the year ended 31 December 2022 (FY2022). Revenue of US$114.1m increased 10% (2021: US$103.6m), adjusted EBITDA of US$29.8m (2021: US$25.2m), operating profit of US$6.0m, and increase of 27% (2021: US$4.7 m) and the Group held cash of US$13.0m including US$2.5m undrawn from the Working Capital facility. Underground grade control drilling currently covering almost 85% of Q1 2023 production and 73% of full year 2023 planned ounces has de-risked the 2023 production plan.

Strix Group 94.3p £206.2m (KETL.L)
Global leader in the design, manufacture and supply of kettle safety controls and other components and devices involving water heating and temperature control announces its results for the year ended 31 December 2022. Revenue decreased 10.5% to 106.9m (2021: £119.4m), EBITDA decreased 20.7% to £32.1m (2021: £40.5m), operating profit was £25.9m (2021: £33.7m), a reduction of 23.1% and net debt increased by 70.7% to £87.4m (2021: £51.2m). Acquisition of Billi continues to be successfully integrated in line with plan to achieve the identified operational benefits. The Group will prioritise debt reduction and free cash flow generation with a clear plan to get net debt / EBITDA to below 2.0x during 2023.

Surgical Innovations Group 2p £18.7m (SUN.L)
The designer, manufacturer and distributor of innovative technology for minimally invasive surgery, reports its audited financial results for the year ended 31 December 2022. Revenues increased by 24.3% in 2022 to £11.34m (2021: £9.13m) adjusted EBITDA profit of £0.70m (2021: £0.50m), net cash generated from operations £0.48m (2021: net cash used in operations £0.43m), and the Company holds net cash of £0.99m (2021: £1.76m). The Company increased investment activities £1.24m (2021: £0.66m) and higher inventory holdings. The Board has increased confidence outlook for 2023.

The Artisanal Spirits Company 97.5p £68m (ART.L)
Curators of the world's favourite, single-cask and limited-edition spirit brands for a global movement of discerning consumers, and owner of The Scotch Malt Whisky Society, announces its preliminary results for the year ended 31 December 2022. Revenue increased 19% to £21.8m (2021: £18.2m) ahead of expectation with revenue growth in China and UK, gross profit increased 23% to £13.8m (2021: £11.2m), adjusted EBITDA of £0.4m (2021: loss of £0.6m) and loss before tax of £2.1m (2021: £2.7m loss). £5.5m of further investment in both cask spirit and wood (c£3m), taking the total number of casks to 16,500 (2021: 15,300). The Company remain focussed on developing and progressing our business through the continued growth of membership globally

29 March 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


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