Small Cap Feast

5th December 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?

1 December: Investment Evolution Credit ITF: An U.K. registered fintech group that specialise in online consumer loans, announces its application for Admission to the AQSE Growth Market. The Company currently provides online consumer loans in the U.S. under the brand Mr. Amazing Loans and plans to provide online consumer loans in the U.K. under the brand IEC Credit. Expected AQSE Admission is on 14 December 2023.

30 November: Flex Labs ITF: a software business engaged in the development of advanced artificial intelligence (AI) middleware products, intending to offer these to business customers through a software as a service (SaaS) model announces its application for Admission to the AQSE Growth Market. Expected AQSE Admission date is on or around the 15 December 2023.

23 November — Substrate Artificial Intelligence ITF: An artificial intelligence Company based in Spain that creates, buys and scales companies around AI in diverse sectors such as fintech, agritech, energy, human resources, and health announces its Admission to the Aquis Growth Market. Expected Admission date is on or around the 7 December 2023.

15 November: Afentra Plc ITF: Formerly Sterling Energy plc, and launched in 2021 to support the African energy transition as a independent oil and gas company announces its Admission to AIM pursuant to the Sonangol Acquisition which constitutes a reverse takeover and therefore Admission is being sought as a result of such reverse take-over. The Company will not be raising new capital as part of its Admission. Anticipated market capitalisation on Admission will be c.£65m. Expected Admission date is expected mid-December.

9 November: Chapel Down Group ITF:  England's leading and largest wine producer with an award-winning range of sparkling and still wines, under the Chapel Down brand. The Company owns, leases and sources from 1,023 acres of vineyards in South East England announces its Admission to AIM after its transfer from the Aquis Apex market. The Company will not be raising new capital or providing a secondary offering as part of its Admission. Anticipated market capitalisation on Admission will be c.£75m. Expected Admission date is 7 December 2023.

2 October: Tekcapital announced intention to spin off and IPO: 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. AIM Admission delayed, expected mid-November.

Breakfast Buffet

CML Microsystems 361p £56.1m (CML.L)
A developer of mixed-signal, RF and microwave semiconductors for global communications markets, announces its unaudited results for the six months ended 30 September 2023. Revenue increased by 5% to £10.58m (H1 FY22: £10.05m), profit from operations, excluding the £0.30m of external costs incurred in this half relating to the MwT acquisition, increased by 9% to £1.90m (H1 FY23: £1.75m). The Company holds a cash balance at period end of £20.95m. Post period end, the Company successfully completed the MwT acquisition on 2 October 2023, expanding the Group's product portfolio and complementing existing R&D capabilities.

Iomart Group 157.4p £176.6m (IOM.L)
The cloud computing company announces that it has agreed to acquire the entire issued share capital of Accesspoint Group Holdings Limited, the holding company of Accesspoint Technologies Limited. The initial consideration for the Acquisition is £4.5m paid in cash on completion on a debt and cash free basis, with a potential further £0.5m in cash payable on the achievement of certain post-acquisition milestones. The Acquisition also includes up to a further £1.4m contingent earn-out payment based on the profitability of Accesspoint for the 12 months ending 31 August 2024. The Acquisition will be financed through a combination of existing bank facilities and cash. The Acquisition provides Iomart with industry expertise and a highly capable team with a strong reputation within the legal sector.

IXICO 14.5p £7.0m (IXI.L)
The medical imaging advanced analytics company delivering insights in neuroscience, announces its results for the year ended 30 September 2023 (FY23). The Company announced revenues of £6.7m (2022: £8.6m) a decrease of 22% caused by the slower pace of new client contract wins. As a result, EBITDA loss of £0.8m (2022: £1.5m profit), and the company holds a closing debt-free cash balance of £4.0m. The Company completed its PET analysis of the landmark 1,000 participant BioHermes study for the Global Alzheimer's Platform (GAP) and announced £8.0m in new contracts won across 6 therapeutic areas. The Group has delivered financial earnings in line with market expectations.

Northern Bear* 61.5p £11.5m (NTBR.L)
The holding company of the group of companies providing building and support services headquartered in Northern England and serving customers across the UK, provide the following update in respect of the Tender Offer. Further to its announcement on 29 November 2023, the aggregate number of Ordinary Shares validly tendered by Qualifying Shareholders was 7,831,399 and exceeded the Tender Cap of 5,000,000. As such, the Company will, on average, repurchase 63.8 per cent. of every valid tender received. Accordingly, a total of 5,000,000 Ordinary Shares will be purchased by the Company pursuant to the Tender Offer on 8 December 2023, returning a total of £3.1m to shareholders of the Company. The Ordinary Shares purchased will be held in treasury.

Reabold Resources 0.118p £11.7m (RBD.L)
The oil & gas investing company with a diversified portfolio of exploration, appraisal and development projects, announce that it has been informed that the next tranche of the payment from Shell U.K. Limited (Shell) for the sale of the entire issued share capital of Corallian Energy Limited, will be distributed to former Corallian shareholders from today. Reabold will receive £5.2m for the second tranche, which follows the £3.2m received by the Company on 1 November 2022. The final consideration payment, of £4.4m, will be received upon the NSTA granting development approval for the Victory gas field, which is anticipated to occur within the coming months. The proceeds received aim to advance the development of assets across the Company’s portfolio.

Sancus Lending Group 0.5p £2.9m (LEND.L)
The alternative finance provider, offering borrowers fast, bespoke bridging and development finance, announces that it has entered into a joint venture agreement with Hawk Lending Limited to form a new property alternative finance lender (trading as Hawk) and debt advisory business focused on serving international clients with Jersey presence. Under the terms the new Hawk businesses will be equally owned by Sancus Group and Hawk Group. Funding for the Joint Venture's lending operations will be provided by a combination of funding sources including a £30m facility provided by the Morton Family, existing and new loan notes, and other institutional sources of funding, including the Sancus Group's £125m facility with Pollen Street Capital.

Solid State £13.4 £151.8m (SOLI.L)
The component supplier and design-in manufacturer of computing, power, and communications products, announces its interim results for the six months ended 30 September 2023. Revenue increased 48% to £88.1m (H1 2022/23: £59.4m), as a result, profit before tax increased 45% to £6.1m (H1 2022/23: £4.2m) and the Company’s net cash flow from operating activities increased 1560% to £8.3m (H1 2022/23: £0.5m). The Company reported that they have a robust orderbook of £108.6m at 31 October 2023 combined with a strong prospect pipeline, provides the Directors confidence in meeting full year consensus analyst expectations.

Surgical Innovations Group 0.9p £8.4m (SUN.L)
The designer, manufacturer and distributor of innovative technology for minimally invasive surgery, announces that Keyvan Djamarani has been appointed as Independent Non-executive Director with immediate effect. At the same time Nigel Rogers, who previously served time as Chair of the Company, will step down from the Board. Keyvan has over 30 years' relevant experience, holding numerous leadership roles in product development within manufacturing organisations covering medical and pharmaceutical drug delivery devices.

TPXimpact Holdings 39p £35.9m (TPX.L)
The technology-enabled services company focused on people-powered digital transformation, announces its interim results for the six months ended 30 September 2023. Revenue was up 22% to £41.6m (H1 2023: £34.1m), as a result, adjusted EBITDA of £2.0m (H1 2023: £0.9m) and adjusted EBITDA margin increasing to 4.8% (H1 2023: 2.6%). Reported operating loss of £(9.0)m (H1 2023: £(3.9)m), after including £5.6m (H1 2023: £Nil) non-cash goodwill impairment charge and the Company holds net debt (excluding lease liabilities) as at 30 September 2023 of £12.8m. TPXimpact continues to trade in line with the targets announced at the beginning of FY 2024 and expects to deliver revenue in the range of £80-85m and adjusted EBITDA in the range of £4-5m for the full year.

ValiRx 12.25p £12.5m (VAL.L)
A life science company focusing on cancer therapeutics and women's health, announces that ValiSeek Limited, has entered into an exclusive Option Agreement to license VAL401 with Ambrose Healthcare Limited, a private UK specialist pharmaceutical company. Under the Option Agreement, Ambrose Healthcare has a 12-month period of exclusivity under which it may exercise the option to execute a global, exclusive license of Valiseek's VAL401 asset under pre-agreed terms. ValiSeek has received an undisclosed, small fee, settled through the issue of shares in Ambrose Healthcare. Subject to the exercise of the Option by Ambrose Healthcare, the agreement details clinical and commercial milestone payments to be made to ValiSeek totalling a value of up to £16m plus royalties.

5 December 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