What’s cooking in the IPO kitchen?
TruFin—holding company of an operating group comprising three growth-focused FinTech and banking businesses operating in three niche lending markets: supply chain finance, invoice finance and dynamic discounting. Offer TBC, expected late Feb
Polarean - The medical drug-device combination companies operating in the high resolution medical imaging market. Offer TBC. Due 22 Feb
Block Energy—a NEX Listed UK based oil exploration and production company whose main country of operation is the Republic of Georgia, looks to join AIM end of February 2018. Offer TBC
OnTheMarket—Intention to float on AIM to raise c.£50m which will be used to fund the growth of the OnTheMarket.com portal, already the third biggest UK residential property portal provider. Offer raising £30m at 165p with mkt cap of £100m . Due 9 Feb.
Main Market Specialist Funds
Life Settlement—closed-ended investment company whose principal activities will be to support and manage portfolios of whole and partial interests in life settlement policies issued by life insurance companies operating predominantly in the US. Due 6 Mar.
Main Market Premium Listing
IntegraFin provides platform services to UK clients and their financial advisers through its award-winning platform, Transact. Due Mar 18. FYSep2017 PBT up 44% to £29.9m.
GEMS Education—report by Reuters that the private schools group is seeking a $4.5bn to $5bn London float in 2018. FYAug17 rev $926.2m and adjusted EBITDA $261.6m.
CVC (Sky Bet) rumoured to be seeking £2.5bn plus float.
VC firm Augmentum rumoured to be seeking raise up to £125m.
Next Fifteen Communications (LON:NFC) 416.44p £315.19m
Acquisition of Brandwidth Group Limited, a UK based digital innovation agency. “The initial consideration for the acquisition is £6.2m, which will be settled with £4.9m of cash and the issue of 292,235 new ordinary shares in Next 15. Further deferred consideration may be payable in September 2018 of up to £3.3m and April 2020 of up to £0.8m based on the EBIT performance of Brandwidth in the year ending 30 June 2018. The maximum total consideration of £10.3m represents a 5.5x multiple of Brandwidth’s adjusted EBIT in the year ended 30 June 2017. The acquisition is expected to be earnings enhancing for Next 15 in the year to 31 Jan 2019. For the year ended 30 June 2017, Brandwidth reported adjusted net revenues of £7.3m, adjusted EBIT of £1.9m and adjusted PBT of £1.9m. The joint CEOs, Phil Goodman and Jason Jones, and the Chairman, Andrew Strange, will continue to lead the business which includes clients such as Toyota, Royal Caribbean, Citroen, Kia and Vodafone.” FYJan18E rev £198.8m and £29.6m PBT.
Frenkel topping (LON:FEN) 53.5p £40.46m
The “specialist independent financial advisor and asset manager focused on asset protection for vulnerable clients, announces the appointment of Wellian Investment Solutions Limited as its portfolio research partner and the change of name of Frenkel Topping Investment Management Limited to Ascencia Investment Management Limited. As announced on 15 Dec 2017, the Company has not appointed a replacement Chief Investment Officer, but is running an investment committee from within FTIM (now Ascencia). As part of this new structure, the Company has decided that it is appropriate for the Company to outsource part of its portfolio research element of its investment management services and has today appointed Wellian as this outsourced provider. Frenkel Topping has agreed to pay Wellian a fee relating to the size of the relevant discretionary assets under management of Frenkel Topping, being currently approximately £250m of the £300m total discretionary assets under management.” Expects significant cost reduction vs hiring new CIO and significantly expanding its asset management capabilities. FYDec18E £9.2m, PBT £3.47m.
“The UK headquartered cyber-security Software-as-a-Service provider, has today announced an agreement with Progress Distribution. Since launching its channel programme in early 2017, Osirium has made significant progress recruiting partners in a number of key territories.
Progress Distribution has an experienced leadership team which have all worked in vendor, distribution and reseller environments. They bring significant value, through consultancy services, to every opportunity and are focused on addressing the significant challenges that a Chief Information Security Officer faces every day.”
FYDec19E rev 31.45m and pre-tax loss of £1.78m.
The Parkmead Group (LON:PMG) 41.25p £40.8m
“The UK and Netherlands-focused independent energy group, is delighted to announce it has significantly increased its equity in the Perth and Dolphin oil fields in the UK Central North Sea. The Perth and Dolphin fields lie at the core of Parkmead's Greater Perth Area ("GPA") oil hub project. The Group has increased its equity in these licences from 60.05% to 100%.
The Company has also signed an agreement with Nexen Petroleum, a subsidiary of the China National Offshore Oil Corporation (CNOOC), to conduct a detailed engineering study in relation to the potential subsea tie-back of the Greater Perth Area project to the Nexen operated Scott platform and associated facilities in the UK Central North Sea. The Scott facilities lie just some 10km southeast of Parkmead's GPA project.
In addition, Parkmead has commissioned a new reservoir study with AGR Tracs International in relation to well stimulation, which could lead to increasing oil flow rates and oil reserves recovery from the two fields by analysing the effect of fracture stimulation on the reservoir.” FYJun18E rev £39.07m, PBT £11.97m.
reach4entertainment enterprises (LON:R4E) 1.95p £19.58m
“r4e, the transatlantic media and entertainment marketing company, is pleased to provide a trading update for the year ended 31 Dec 2017, during which the Company appointed a new senior management team and raised £5.5m for future investment. The Company is expected to achieve Adjusted EBITDA broadly in line with market expectations for the 12 months to 31 Dec 2017 and in line with current market expectations for 2018.“
As previously announced, in the UK the terror incidents in London and Manchester resulted in some live events being cancelled and generally, in both the Company's main markets of London and New York, there have been fewer new theatre productions, a key driver of Group profitability. The year also saw exceptional restructuring costs incurred of approximately £1m, primarily employment related.
We could see no forecasts.
Synairgen (LON:SNG) 12.25p £11.19m
The respiratory drug discovery and development company, today announces that the first patients have been dosed in the Company's Phase II trial of inhaled SNG001 in patients with chronic obstructive pulmonary disease (COPD). COPD is a progressive lung disease punctuated by periods of exacerbation involving acute worsening of symptoms, which have major implications for both the patient and the healthcare system. COPD exacerbations are the second most common cause of hospitalisation1. The risk that a cold will cause an exacerbation of COPD is around 50% and could be even higher in certain at-risk patients3 (considerably higher than for asthmatic patients, where the risk of an exacerbation occurring is less than 10%).
SNG001, which is wholly-owned by Synairgen, is an inhaled interferon beta (IFN-beta) therapeutic candidate which has been shown to 'orchestrate' antiviral defence mechanisms to protect COPD lung cells against a range of common viruses in in vitro models.
Draper Esprit (LON:GROW) 414p £289.3m
The venture capital firm investing in and developing high growth digital technology businesses, announces that funds managed by the Group have recently committed a total of £6.6m into three exciting new European based digital technology businesses: Evonetix, Droplet Computing and Kaptivo. In aggregate, these companies have recently completed fundraising rounds totalling >£15.2m. Evonetix develops technology that enables the parallel synthesis of DNA on silicon arrays, to facilitate the fast-emerging field of synthetic biology, where there is increasing demand for high throughput and highly accurate DNA synthesis. Droplet Computing, is redefining application delivery with its patent-pending application container technology, enabling applications to be delivered on any device. Kaptivo is bringing analog whiteboards into the digital enterprise collaboration space. Kaptivo's mission is to enhance collaboration by providing a bridge between the physical and digital worlds.
The global intelligence, security and cyber defence provider, announces multi-year contract wins.
International Contract Win: The Board is pleased to announce a new MidGARD service contract with a total revenue value of £0.7m. An award-winning UK Top 20 International law firm has signed a 3-year managed service contract with Falanx to deliver advanced security monitoring of its entire global estate.
The Chief Information Security Officer of the firm said "we are delighted to sign up to the MidGARD service. We believe we're disrupting the traditional approach to security in the legal sector with regard to information security. Falanx was set apart from their competitors because of their market leading technology and business partnering approach." Also announced an expansion of the existing estate of a valued client resulting in its value growing from £250k to generate more than £380k of revenues.
“Belvoir Lettings, the UK's largest property franchise, today provides the following update on the outcome of the financial year ended 31 Dec 2017 and the outlook for 2018.
The Group has performed well throughout the year reflecting the continued underlying organic growth in franchise management service fee income, a record number of portfolio acquisitions at a franchisee level and the integration of recent acquisitions. Consequently, the Board expects that the performance for the year, including underlying profit before tax, will be in line with market expectations.”
Management Service Fees ('MSF') increased by 22% Group revenue up 13% to £11.1m There is a strong pipeline of portfolio acquisition opportunities, many of which are expected to complete in the first quarter. We could see no forecasts.
Malvern International (LON:MLVN) 3.63p £4.15m
The “provider of educational services in the UK, Europe and Asia, is pleased to announce the official launch of Malvern Online Academy ("MOA") which will provide online and live (real time) teaching and training sessions for existing and new students, including corporate trainees as well as members of the general public. The sessions will be available in two formats: real-time 'live' instructor-led sessions; and pre-recorded sessions which can be accessed at anytime.
MOA will aim to offer all courses and programmes currently being run in Malvern schools in London, Malaysia and Singapore. The first programmes being offered through the online platform are the suite of English language courses currently taught in Malvern House London.” We could see no forecasts.