Small Cap Feast

7th June 2023

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What’s Cooking In The IPO Kitchen?

Amicorp FS (UK) plc, an international specialist fund services group, intends to join the Standard Segment of the Main Market. The Company is aiming to raise up to US$6.47m via a placing of new shares and US$9.70m via a placing of existing ordinary shares. The final offer price will be established after a book-building process. The firm, which is part of the Amicorp Group, primarily serves start-up asset managers with initial assets under management ranging between US$10m and US$20m. Due 8th June 2023.

WE Soda, the world’s largest producer of natural soda ash, more commonly known in the UK as sodium carbonate or washing soda, announces that it is considering listing on the Premium Segment of the Main Market. WE Soda, an extractor of soda ash in Turkey and the US, is a subsidiary of Ciner Group, an industrial and media conglomerate. It is a high-margin business and last year it reported adjusted operating profits of $892m on revenues of $1.77 bn. The Offer would be wholly comprised of ordinary shares to be sold by the existing shareholder. Separately from and in addition to the Offer, the Company is also considering making an exempt public offer of Shares to retail investors in the UK through the PrimaryBid platform. The value of Shares sold will not exceed EUR8m equivalent (approximately £6.95m).

Altona Rare Earths, a mining exploration company focused on the development of a significant Rare Earth Elements mining project in Africa, intends to join the Main Market. The Company has withdrawn from the AQSE Growth Market and intends to list on 9th June 2023 with the new ticker (REE). £2m raised.


Breakfast Buffet

Evgen Pharma 3.65p £10m (EVG.L)
The clinical stage drug development company developing sulforaphane-based medicines for the treatment of multiple diseases, announces its audited results for the year ended 31 March 2023. The Company signed an out-licensing deal with STALICLA SA for neurodevelopmental disorders and schizophrenia, royalties including $0.5m milestone payments were received from STALICLA and up to $5.5m in further milestones expected within 2024. The Company expects to start the first phase of glioblastoma trial in 2024 and will be conducted as an Investigator Sponsored Study at the Erasmus University Medical Centre, Rotterdam. Evgen announced a post tax loss of £4.0m (2022: loss of £2.7m), cash outflow from operations of £4.1m and holds cash and short term investments of £5.0m. Financial performance is in line with expectations.

Gusbourne 68.5p £41.6m (GUS.L)
The English wine producer announces its audited final results for the year ended 31 December 2022. Net revenue increased 49% to £6.24m (2021: £4.19m), while gross profit increased by 58% to £3.69m (2021: £2.34m) and gross profit margin increased to 59.2% compared to 55.9% in 2021. The Group reported a reduction off 22% in adjusted EBITDA loss to £1.13m (2021: loss £1.45m). The Company acquired a further 55 hectares of freehold land for £1.7m, contiguous with the Group's existing Kent vineyards. The Group is planning to plant most of this new land with new vineyards in 2024. The increased revenue base combined with anticipated improvement in gross margin and cost discipline is expected to see the Group move towards EBITDA breakeven for the current financial year.

LoopUp Group 2.55p £4.8m (LOOP.L)
The cloud platform for premium hybrid communications, announces its preliminary unaudited results for the year ended 31 December 2022. Revenue decreased 15.5% to £16.5m (FY21: 19.5m) whilst gross margin remained consistent at 69%. Adjusted EBITDA decreased to a loss of £0.9m (FY21: 1.2m profit) and net debt increased by 142% to £5.8m (FY21: £2.4m). Post period, Preliminary Q1-23 Group revenue of c.£6.5m and LoopUp has been certified onto Microsoft's Operator Connect partner program with Cloud Telephony service availability in 48 countries. The Group remains confident to meet FY-23 market expectations.

Mirriad Advertising 3p £14.7m (MIRI.L)
The in-content advertising company, announces its final audited results for the year ended 31 December 2022. Revenue of £1.5m (2021: £2.0m) a reduction from 2021 as the Company exits its Chinese business and focuses on growth in the US market. EBITDA loss increased by 31% to £15.2m (2021: loss £11.6m) and cash consumption increased to £12.9m (2021: £10.4m). The number of advertisers placing campaigns increased to 59 during the year (2021: 45). The Company holds net cash at 31 December 2022 of £11.3m and post period (June 2023), completed a £5.75m placing together with an open offer raising a further £0.55m. Trading in the current year is lower than originally anticipated in the US.

N Brown Group 23.95p £110.3m (BWNG.L)
A UK clothing and footwear digital retailer, announces that further to the announcements made on 29 November 2022 and 23 February 2023, Dominic Appleton, who joined the Group as Chief Financial Officer Designate on 1 March 2023, has today been appointed Chief Financial Officer and a Board Director of the Company. The Company also announces that Rachel Izzard has stepped down as Chief Financial Officer and a Board Director.

Ramsdens Holdings 262.5p £83.3m (RFX.L)
The diversified financial services provider and retailer, announces its interim results for the six months ended 31 March 2023. Revenue increased 33% to £39.0m (HY22: £29.3m), gross profit increased to £20.5m (HY22: £15.7m) and Profit before tax went up 68% to £3.7m (HY22: 2.2m). Six new stores opened in the Period with total store estate at 158 stores, excluding two franchised stores (H1 FY22: 153 stores). The Company anticipates the opening of six new stores in the second half of FY23 and reports positive trading in FY23.

RUA Life Sciences 44p £9.5m (RUA.L)
The holding company of a group of medical device businesses focused on the exploitation of Elast-Eon™, the long-term implantable biostable polyurethane, provides an update for the year ended 31 March 2023. Revenue growth of 34% with consolidated revenues of £2.17m (Contract Manufacture £1.62m and Biomaterials £554k). R&D expenditure is expected to be £1.07m (2022: £887k), an increase of 21% and the Group holds cash of £1.48m (2022: 2.96m). Unaudited R&D expenditure of the Group is expected to be £1,070,000 (2022: £887k), an increase of £183k over the preceding year. Overall, loss before tax for the period is expected to be similar to last year at around £2.3 to 2.4m.

Strip Tinning Holdings 37.5p £5.8m (STG.L)
A supplier of specialist connectors to the automotive sector, announces its full year results for the year ended 31 December 2022. Total Revenues decreased by c.9% to £10.2m (FY 21: £11.2m), however EV product sales increased 225% to £1.3m (FY 21: £0.4m). The Company reported an adjusted EBITDA loss of £2.2m (FY 21: £0.5m profit). The Company holds cash of £1.3m (FY21: £0.3m). The Company won a £1.4m grant during FY 22 to support production scale up of the EV business. The Board is confident of a return to revenue growth in FY 24, with high exposure to the fast-growing EV space.

ValiRx 9.25p £9.5m (VAL.L)
A life science company focusing on early-stage cancer therapeutics and women's health, announces that the evaluation agreement announced on 14 February 2022 from Barcelona University has been expanded to a broader collaboration including additional molecules targeting KRAS (Kirsten RAt Sarcoma) as possible drugs for treating cancer. The Expanded Evaluation Agreement is scheduled to be active for up to four years, with the potential to extend by a further four years.

Zambeef Products 7.25p £21.8m (ZAM.L)
The integrated cold chain foods and retail business with operations in Zambia, Nigeria and Ghana provides the following update on trading. For the year ended 30 September 2023, revenue, adjusted EBITDA and reported profit before tax are expected to be in line with market expectations. However, gross profit is expected to be between 8% - 12% behind market expectations, largely due to the pressure on margins arising from lower than expected pricing and higher input costs.

7 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

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