column http://www.proactiveinvestors.co.uk Proactiveinvestors column RSS feed en Thu, 19 Apr 2018 10:47:39 +0100 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) Breakfast News - Crusader Resources http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29597/breakfast-news-crusader-resources-29597.html Small Cap Breakfast

Set menu

AIM:

Total number of AIM Companies (Incl Susp):

947*

Total number of AIM Companies trading:

898* 

*as at close of business 12 April 2018

Standard List**  of Main Market:

Total number of Standard List Companies

(Incl Susp):

136*

Total number of Standard List Companies trading:

123*

*as at close of business 12 April 2018

 

NEX Growth Market:

Total number of NEX Growth Market Companies (Incl Susp):

87*

Total number of NEX Growth Market Companies trading:

85*                

*as at close of business  12 April 2018

                                *A corporate client of Hybridan LLP

**  Standard Listing as defined by Hybridan LLP to be a business with strictly operational activity

                       

Dish of the day

Crusader Resources (AIM:CAS), the independent gold explorer and developer,  has raised A$6.5m at A$0.055  The Company's most advanced project, Borborema, is operationally de-risked, has a JORC reserve of 1.61 million ounces of gold at 1.18 g/t with plans to complete a BFS by the end of 2018; 

Off the menu    

Infinity Energy has cancelled it securities from trading on AIM pursuant to AIM Rule 41

Ambrian PLC has cancelled it securities from trading on AIM pursuant to AIM Rule 1

 

What’s cooking in the IPO kitchen?

AIM

KRM22, a closed-ended investment company with a particular focus on risk management in capital markets, is looking to join AIM. Offer tbc, expected 30 April 2018

Main Market Premium Listing

Avast, global cybersecurity provider with 435m users worldwide. In 2017, the Group's Adjusted Billings was $811 million, Adjusted Revenue was $780 million, Adjusted Cash EBITDA was $451 million.  Seeking to raise $200m. Due in May.

Fundamentum Supported Housing REIT. Raising £150m. Focussed on UK Social Housing assets. Due 2 May

Vivo Energy—retailer and marketer of Shell-branded fuels and lubricants in Africa, Due in May. 100% secondary sell-down of existing Shares by Selling Shareholders,  No new Money. Pricing TBA

Gore Street Energy Storage Fund—Seeking to raise £100m for the purposes of investment in a diversified portfolio of utility scale energy storage projects.  Due 03 May.

Odyssean Investment Trust—Raising £100m at £1. Due 1 May. The Company will primarily invest in smaller company equities quoted on markets operated by the London Stock Exchange.

                             

Breakfast buffet

XLMedia (LON:XLM) 159p £350.3m

The “provider of digital performance marketing,  announced the acquisition of WhichBingo.co.uk, one of the leading online informational portals and comparison sites for online bingo games in the UK. Founded in 2000, WhichBingo, is an award-winning bingo review website. The site provides in-depth information on the entire UK bingo market, publishing thousands of real player reviews, alongside its own opinion, covering every brand operating across the UK online bingo sector. More recently, WhichBingo has expanded its product reach to include additional gambling content including online slots and casino content. The Acquisition represents a further addition to the Group's website portfolio, and in particular in the fully regulated UK market. The Acquisition will benefit from increased scale through the full integration into XLMedia, which  is expected to be completed within the second half of 2018.”  FYDec18E rev $108.2m, PBT $30.86m.  

 

Integumen* (LON:SKIN) SUSPENDED

Proposed all share RTO of Cellulac.

“The enlarged group will focus on biodegradable plastic ingredients, cosmetics and human grade food supplements and will have a portfolio of existing products, with high-margins in the oral care, medical and cosmetic industries. Existing Integumen cosmetic packaging, oral care consumer products and third party products can in time be replaced with biodegradable plastic materials. These drop-in replacements will be focused on existing and near to market products. Demand for these products is established and an offtake agreement worth up to $36m over five years is already in place.”

The consideration shares  will represent approximately 84% of the issued share capital, as enlarged by the Consideration Shares only. In addition, Integumen intends to raise up to £7.5m by way of an equity placing and/or debt funding.

 

Solid State (LON:SOLI) 283p £23.93m

The “manufacturer of computing, power and communications products, and value added distributor of electronic components, is pleased to announce a distribution franchise for VPT, a leading global provider of power conversion solutions for the rapid deployment of critical power systems in avionics, military and space applications.

Solid State Supplies has been chosen by VPT due to its extensive military and aerospace knowledge, its certification to AS9120, its existing industry client base and value added distribution capabilities. The franchise is for exclusive rights to UK and Ireland and includes the transfer of the existing client base.

VPT has been selling into the UK market for 18 years to a loyal client base.  Its products do not overlap with the current Solid State Supplies range giving the opportunity to develop and expand the client's reach and product representation into relevant markets.” FYMar18E rev £45.25m  and PBT £3.1m. Div 12p.

 

NetScientific (LON:NSCI) 49p £33.83m

The “transatlantic healthcare IP commercialisation group, announces that its US-based portfolio company, Vortex BioSciences, a leading liquid biopsy company, is presenting compelling new data at the American Association for Cancer Research Annual Meeting in Chicago 14 - 18 April, 2018. These studies support the use of Vortex's non-invasive technology in the characterisation of circulating tumour cells for important clinical biomarkers, namely EGFR and PD-L1, which play a pivotal role in the development and progression of certain cancer in patients with non-small cell lung cancer.”

 

Tiziana Life Science (LON:TILS) 80p £103m

The “clinical stage biotechnology company developing targeted drugs for cancer and autoimmune diseases, announces that it has entered into an exclusive license agreement for novel technology discovered by Dr Howard Weiner at the Brigham and Women's Hospital ("BWH"), Harvard Medical School. “ Highlights of this novel technology include:

Data from animal studies demonstrate proof-of-concept of nasal administration of foralumab, a fully human anti-CD3 mAb, for treatment of neurodegenerative diseases such as Lou Gehrig's disease (ALS), progressive multiple sclerosis and traumatic brain injury.

An Investigational New Drug (IND) application for the first-in-human (FIH) evaluation of nasal administration of foralumab in healthy volunteers will be submitted shortly.

 

Frontera Resources (LON:FRR) 0.5p £79.12m

“The European focused independent oil and gas exploration and production company, notes the recent media speculation in respect to arbitration and potential territory relinquishment. The Company confirms that it has received a request for arbitration from Georgian Oil and Gas Corporation and State Agency of Oil and Gas in respect to certain terms of the Company's production sharing contract ("PSC") in Georgia, however, the full statement of the case has not been submitted and the timings for any such hearing, should it occur, are unknown.”  The Company considers the Request to be without merit and has engaged legal counsel to protect its rights. The Company intends, if the administrative formalities are followed through and the statement is submitted by the authors of the Request, to respond to each point and ensure that the Company's rights are protected. The Company is confident of its standing and complete compliance with the PSC.   

 

Columbus Energy Resources  (LON:CERP) 5.1p £33.1m

Update about the potential acquisition of a 50% interest in the Icacos field, in the South West Peninsula of Trinidad. “Whilst the transaction is still subject to a definitive sale and purchase agreement and certain regulatory approvals, the Company is confident it can work with Touchstone to complete the relevant paperwork and take over operatorship in Q2 2018.”

The consideration for the transaction is $0.5m for Primera's current net 11 bopd. However, LTL will not pay any upfront consideration for the purchase but will pay the consideration over time until 1 Jan 2021 through Primera receiving the net revenue it would have received had it retained its interest. Primera will also receive, in the event of increased production, 25% of any net revenue above the current baseline. 

 

First Property Group (LON:FPO) 49.5p £55.06m

“The property fund manager and investor with operations in the United Kingdom and Central Europe,  announced that its profit before tax for the year to 31 March 2018 is expected to be in line with market expectations.

Funds under management at the year-end amounted to £625m (2017: £477m), an increase of 31% from the prior year. Of this some £454m was held for clients (2017: £313m), an increase of 45% from the prior year. Almost all of this increase resulted from new property investments in the United Kingdom.

The Group's Preliminary results for the year to 31 March 2018 are scheduled to be announced on 8 June 2018.” 

FY Mar18E rev £24.2m and PBT £9.1m. Div 1.62p.

 

Itaconix (LON:ITX) 5.25p £4.13m

Q1 update from the innovator in sustainable performance polymers. Revenue £149k from £138k. Cash £2.5m from £6.9m.

"The start of 2018 has seen a growing number of active customers across a variety of application areas, geographies and products. This is beginning to lead to revenue growth, albeit moderate currently, as each product gains traction and markets become more familiar with the benefits of each product in terms of performance, cost and sustainability. The Board is confident, subject to the availability of further funding, that the Company is well positioned to continue to deliver revenue growth through 2018 in line with expectations."

FYDec18E £1.2m, Pre-tax loss £4.5m.

 

Fox Marble (LON:FOX) 9p £19.36m

“The company focused on marble quarrying and finishing in Kosovo and the Balkans region, announced that it has installed a new state-of-the-art Computer Numerical Control ("CNC") machine and a block vacuum pump machine in the Company's processing factory in Pristine, Kosovo. These additions to the new marble processing factory will provide additional capacity to meet increased order flow and improve margins.

 

The brand new, CNC machine is capable of automatically processing many varied shapes of material from slabs and small blocks, including 1,500 square metres of marble tiles per day. The machine is fully operational and has just manufactured the Company's first order in which the whole process has been completed in house for "cut-to-size" tiles.” FYDec 18E rev £7.8m and EBITDA £3.93m. 

]]>
Mon, 16 Apr 2018 10:20:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29597/breakfast-news-crusader-resources-29597.html
Breakfast News - ECR Minerals, Amur Minerals and more... http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29593/breakfast-news-ecr-minerals-amur-minerals-and-more-29593.html Small Cap Breakfast      

Set menu

AIM:

Total number of AIM Companies (Incl Susp):

947*

Total number of AIM Companies trading:

898*

*as at close of business 12 April 2018

 

Standard List**  of Main Market:

Total number of Standard List Companies

(Incl Susp):

136*

Total number of Standard List Companies trading:

123*

*as at close of business 12 April 2018

 

NEX Growth Market:

Total number of NEX Growth Market Companies (Incl Susp):

87*

Total number of NEX Growth Market Companies trading:

85*               

*as at close of business  12 April 2018

                                *A corporate client of Hybridan LLP

**  Standard Listing as defined by Hybridan LLP to be a business with strictly operational activity

                                                         

Dish of the day

No Joiners Today

Off the menu    

No Leavers Today

What’s cooking in the IPO kitchen?

 

AIM

Crusader Resources, the independent gold explorer and developer,  has raised A$6.5m at A$0.055  with admission expected on 16 April 2018

Main Market Premium Listing

Avast, global cybersecurity provider with 435m users worldwide. In 2017, the Group's Adjusted Billings was $811 million, Adjusted Revenue was $780 million, Adjusted Cash EBITDA was $451 million.  Seeking to raise $200m. Due in May.

Fundamentum Supported Housing REIT. Raising £150m. Focussed on UK Social Housing assets. Due 2 May

Vivo Energy—retailer and marketer of Shell-branded fuels and lubricants in Africa, Due in May. 100% secondary sell-down of existing Shares by Selling Shareholders,  No new Money. Pricing TBA

Gore Street Energy Storage Fund—Seeking to raise £100m for the purposes of investment in a diversified portfolio of utility scale energy storage projects.  Due 03 May.

Odyssean Investment Trust—Raising £100m at £1. Due 1 May. The Company will primarily invest in smaller company equities quoted on markets operated by the London Stock Exchange.

                            

Breakfast buffet

ECR Minerals (LON:ECR) 0.8p £1.98m

Update regarding exploration at the Bung Bong gold prospect within the Avoca tenement, Australia.

Positive Bung Bong geochemical results and geological observations indicate several fault-related quartz and quartz spurs to test as potential high-volume targets for gold mineralisation at the surface.

Bung Bong prospect defined by numerous shallow historic workings over a 400 m strike length and up to 80 m wide. The number of quartz-related structures and a paucity of deep workings at Bung Bong provides opportunity for an open cut operation

Road cutting to the north of the workings has exposed seven west-dipping faults over a 40m zone with associated quartz veining. One hypothesis is that the geochemical pattern could correspond to the seven faults branching from an anticline. Diamond drilling program to begin imminently.

 

Crimson Tide (LON:TIDE) 2.8p £12.73m

FYDec17 results from the  provider of mobility solutions for business.

Turnover up 22% to £2.28m (2016: £1.86m)

PBT before exceptional item £359k (2016: £352k) after significant investments in future growth

“Over the course of 2018, the Company will continue to invest in growth and target increased sales outside the UK. mpro5's capabilities to increase efficiency and productivity apply equally well in many other geographic areas and the Board are excited by the opportunities to widen the Company's reach. We continue to work hard on behalf of all stakeholders to drive growth and achieve the targets we have set ourselves.”

We could see no forecasts.

 

Amur Minerals (LON:AMC) 4.55p £29.02m

The “nickel-copper sulphide mineral exploration and resource development company, is pleased to announce that the Company has completed the full restock and mobilisation of all machinery, spares and supplies for completion of its 2018 field season on its Kun-Manie nickel copper sulphide project located in the Far East, Russia.

This year's field season will be focused on gathering information for inclusion in project engineering study work and operational design for consideration and the incorporation into necessary documentation related to project financing.  Further resource expansion potential remains, however these areas will be drilled once operations have begun.”

 

Echo Energy (LON:ECHO) 13.65p £54.87m

The “Latin American focused upstream oil and gas company, is delighted to announce gas to surface on the first well of our three well workover campaign at the Company's Fracción D asset, onshore Argentina. 

Well CSo-85 was perforated across the Springhill Formation and successfully flowed gas to surface without intervention, following which the well flowed through the rig de-gassing system at an estimated rate of 2mmscf/d through a 20/64" choke with a tubing head pressure of 1,100 psi.

The full testing unit is expected on site in 10-14 days at which stage a multi-rate, extended flow and build-up test will be undertaken. The Quintana-01 rig will shortly be moving to well CSo-80 to commence workover operations this weekend.”

 

Live Company Group (LON:LVCG) 35.5p £18.74m

“LVCG is pleased to announce the debut of a new division, BRICKLIVE Touring, which will take themed BRICKLIVE shows on tour. The first exhibition, entitled BRICKLIVE Animal Paradise, is designed to educate the LEGO fan community about endangered species and will feature more than 65 LEGO animals, including a full-size African elephant and a snow leopard. “

To support this new initiative and commission additional animal builds, LVCG also announced that it has raised £350,000 (gross) through a private placing, primarily with an existing institutional investor at a price of 35 pence per new Share. 

 

Dekeloil (LON:DKL) 9.8p £29.3m

“The Operator and 100% owner of the vertically integrated Ayenouan palm oil project in Côte d'Ivoire announced its quarterly production of crude palm oil  for the three months ended 31 March 2018.

·13,605 tonnes of CPO produced in Q1 2018 compared to 2017's record Q1 performance of 16,398 tonnes

The production output continues a recent trend of deviation from typical seasonal trends with Q3 2017 slightly down, the low season Q4 2017 being significantly higher followed by the high season Q1 2018 again being softer

16% increase in Q1 CPO sales to record 13,758 tonnes reflected lower availability of CPO across the region following reduced volumes of FFBs harvested—PKO pricing remained stable thanks to strong international pricing offsetting the impact of the strong Euro against the USD. Believes well placed to extract premium prices throughout the remainder of the high season. FY18E PE c.5-6x

 

Altitude Group (LON:ALT) 72.5p £38.68m

“The operator of a leading marketplace for personalised products, is pleased to announce the appointment of Graeme Couturier to the Board as the Company's new Chief Financial Officer.

Graeme has over 15 years of senior leadership experience at successful, growing technology enterprises, most recently as Chief Financial Officer of Sorted Group, a private equity backed start up in the delivery technology space.

Graeme qualified as a chartered accountant with PWC and has held senior financial positions at 'Payzone' and 'We Buy Any Car'. Graeme has significant experience across e-commerce, retail and financial services where he has developed key performance strategies, provided commercial oversight and secured investment for sustained growth.”

FYDec18E rev £9.8m and PBT £0.7m.

 

Totally (LON:TLY) 24.1p £14.4m

“The provider of a range of out-of-hospital services to the healthcare sector in the UK, is pleased to announce that its wholly-owned subsidiary Vocare Limited ("Vocare"), one of the UK's leading national specialist providers of urgent care services, has been awarded a four year contract, with the option to extend by a further two years,  from Virgin Care. The Contract, including the extension, is valued at c.£5m.

Under the Contract, which comes into effect on 01 May 2018, Virgin Care has contracted Vocare to provide GP Out-of-Hours services to NHS West Lancashire CCG ("West Lancashire CCG") through 18 GP practices in the region, covering a population of c. 112,000 people.”

We could see no forecasts.

 

Trakm8 Holdings (LON:TRAK) 96.02p £34.4m

FYMar18 update from the  telematics and data supplier to global markets. “The Group achieved 26% growth in its core Solutions business to £26.9m which has driven 13% year-on-year headline revenue growth to over £30m.  This has been achieved despite a year-on-year reduction of £2.2m following the Group fully exiting the contract electronic manufacturing business to focus on the manufacture of hardware devices for the fleet, insurance and automotive markets. The Board expects that 2018/19 will be the final period of this year-on-year decline in product revenues, which will be approximately £2m.  The Group has now ceased all activities outside of the provision of Telematics Services. The number of connections in the Period increased by 31% to 251,000 from 191,000. Recurring revenue during the Period increased by 11% to £10.9m and year-end net debt reduced by £0.5m to £3.4m”.   FYMar19E rev £35.5m and £4.2m PBT.

 

Atalaya Mining  (LON:ATMY) 221p £299.4m

“Atalaya Mining plc is pleased to announce the issue of equity to buy out the royalty agreement with Rumbo 5.Cero, S.L.

In accordance with the royalty agreement signed in July 2012 between the Company and Rumbo, the former owner of certain plots of land currently used by Proyecto Riotinto, and as disclosed in Atalaya's financial information, Rumbo is entitled to receive a royalty payment of up to US$250,000 per quarter if the average copper sales price or LME price for the period is equal to or above $2.60/lb for ten years up to a maximum amount of US$10,000,000.

Atalaya has agreed with Rumbo to buy the Royalty Agreement for a total consideration of US$4,750,000 to be paid through the issuance of 1,600,907 new ordinary shares.

 

 

 

 

]]>
Fri, 13 Apr 2018 11:47:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29593/breakfast-news-ecr-minerals-amur-minerals-and-more-29593.html
Range Resources, Landore Resources, Byotrol and more... http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29577/range-resources-landore-resources-byotrol-and-more-29577.html Small Cap Breakfast             

Set menu

AIM:

Total number of AIM Companies (Incl Susp): 

947*

Total number of AIM Companies trading:

898*

*as at close of business 10 April 2018

 

Standard List**  of Main Market:

Total number of Standard List Companies

(Incl Susp):

136* 

Total number of Standard List Companies trading:

123*

*as at close of business 10 April 2018

 

NEX Growth Market:

Total number of NEX Growth Market Companies (Incl Susp):

87*

Total number of NEX Growth Market Companies trading:

85*                

*as at close of business  10 April 2018

                                *A corporate client of Hybridan LLP

**  Standard Listing as defined by Hybridan LLP to be a business with strictly operational activity

                               

Dish of the day

No Joiners Today

Off the menu    

No Leavers Today

 

What’s cooking in the IPO kitchen?

Main Market Premium Listing

Fundamentum Supported Housing REIT. Raising £150m. Focussed on UK Social Housing assets. Due 2 May

Vivo Energy—retailer and marketer of Shell-branded fuels and lubricants in Africa, Due in May. 100% secondary sell-down of existing Shares by Selling Shareholders,  No new Money. Pricing TBA

Gore Street Energy Storage Fund—Seeking to raise £100m for the purposes of investment in a diversified portfolio of utility scale energy storage projects.  Due 12 April.

Odyssean Investment Trust—Raising £100m at £1. Due 1 May. The Company will primarily invest in smaller company equities quoted on markets operated by the London Stock Exchange.

 

Breakfast buffet

Range Resources (LON:RRL) 0.233p £17.09m

Colombia update. Range has reached an agreement with Agencia Nacional de Hidrocarburos  in Colombia to settle all outstanding claims and disputes between ANH and the consortium of Optima Oil Corporation and the Company.

ANH had served a demand notice to the Consortium seeking payment of approximately $53m and had alleged that its actions were a result of various exploration work commitments not being fulfilled and the presentation of invalid letters of credit.

ANH confirms that Range (and the Consortium) has no liability for any payments or debts;

All proposed penalties have been lifted;

The Consortium agrees to waive all potential claims against ANH; and

The Consortium agrees to the termination of the 3 exploration licences (PUT-5, VMM-7 and VSM-1).

 

European Metals (LON:EMH) 20p £27.99m

Appointment of Neil Meadows as COO (non-board). Neil has previously held the position of COO at Karara Mining Ltd, Managing Director of IMX Resources Limited and worked with the Australian Premium Iron Ore Joint Venture on mine infrastructure. Prior to that, he was the COO of Queensland Nickel Pty Ltd, subsequent to the sale of the business by BHP and was previously the General Manager of the Yabulu Refinery site for BHP.  Prior to that he was the General Manager at the Murrin Operation for Minara Resources Ltd, a position he held for almost five years.

EMH is deeking to develop Cinovec in the Czech republic, Europe’s largest lithium deposit in Europe, the fourth largest non-brine deposit in the world and a globally significant tin resource.

 

Landore Resources (LON:LND) 1.35p £14.12m

Technical Report on the Mineral Resources Estimates on its Junior Lake Property, Ontario, Canada for the Bam East Gold Deposit, B4-7 Nickel-Copper-Cobalt-PGE Deposit, and the VW Nickel-Copper Deposit.

BAM East—Indicated 7.4m tonnes at 1.37 g/t.  Inferred 1.7m tonnes at 1.39 g/t.

“Opinion that, overall, there is excellent exploration potential to expand the limits of the BAM East Gold Deposit and to discover zones of additional gold mineralization along the Junior Lake Shear Zone.

Current drilling has outlined gold mineralization at BAM East and the BAM Gold Deposit, but the area in between remains largely untested.  In-fill drilling has the potential to expand, and possibly connect, these two areas and establish additional mineral resources.  The BAM East Gold Deposit remains open down dip, providing additional exploration potential to target in future drill programs on Junior Lake.”

 

Byotrol (LON:BYOT) 2.85p £11.48m

FYMar18 trading update from the anti-microbial technology company.

Following a further commercial agreement with Solvay, the Company expects EBITDA for the year to 31 March 2018 to be in line with market expectations.

The Agreement relates to the ongoing Actizone surface care project and involves a sale by Byotrol to Solvay of Actizone patents and intellectual property, in return for:

substantial cash payments in financial years ending March 2018 and March 2019;

an ongoing royalty on all Solvay Actizone sales thereafter, with minimum guarantees in years ending March 2020 and 2021;· a further payment in early 2022 should Solvay sales exceed certain sales targets in 2021; and

Byotrol retains the ongoing rights to sell Actizone technologies in finished product form.

In the US  50 of 52  states have formally approved Byotrol's EPA-registered, long-lasting anti-microbial surface sprays 

FYMar19E rev £6.6m and PBT £0.9m. 

 

easyHotel  (LoN:EZH) 111p £162m

HYMar18 trading update.

“The Group has continued to significantly outperform the budget market over the course of the period.

Total system sales up 33.6% to £16.10m (31 March 2017: £12.05m)

Owned hotels Revpar up 11.2% to £36.60 (31 March 2017: £32.90), and have outperformed their competitive set by 11.7% (source: STR Global)

Like-for-like revenue for franchised hotels increased by 13.5%

Period openings increase the Group's footprint to 2,430 rooms across 27 hotels in 18 Cities.

Today easyHotel announces that it has agreed to acquire the freehold of a central site in the historical city of Chester for the development of a new-build 109-bedroom hotel.  The acquisition is subject to planning permission. All in cost c. £7m.

 

SRT Marine Systems (LON:SRT) 23.25p £29.7m

FYMar18 trading update from the  global provider of maritime tracking, monitoring and management systems.

The company expects to report a 22% year on year increase in revenues to £13.5m, and PBT and exceptional items of £1.3m which is broadly in line with market expectations.

“These results reflect the excellent progress we have made across all our business operating segments, in particularly our systems business which saw some significant milestone deliverables completed for an Asian project which we will provide more detail on in due course."

FYMar18E rev £15m, PBT £1.5m.

 

Volex (LON:VLX) 64.3p £58.03m

FYApr18 update from the global provider of cable assemblies.

“Trading in line with expectations. Full-year sales expected to show a modest return to growth reversing the trend of a sales decline seen over the previous 3 years

Excluding sales to our largest power customer, full year-sales expected to grow by 5%

Successful diversification in revenue - top 3 customers now account for 38% of sales, as compared with top 3 customers accounting for 47% of sales 3 years ago

Net cash at the year-end of $9.9m an increase from the $5.8m reported at the half year. “

FYMar18E rev £$237.38m and $7.07m PBT.

 

BCA Marketplace  (LON:BCA) 180.8p £1.4bn

Trading update from UK and Europe's market leading digital and physical used vehicle marketplace and automotive service provider trading statement. The positive outlook reported in the Interim Results of 28 November 2017 has continued during the second half of the financial year culminating in a strong trading performance for the full year. As a result the Business has traded ahead of market expectations with strong profit growth and with a net debt position lower than market forecasts.  The Remarketing businesses have been successful in winning a number of new contracts along with continuing contract renewals. The UK's leading buyer of vehicles, webuyanycar.co­m, continues to succeed and grow as the number one company of choice in its sector for consumers. “ FYMar18E rev £2.3bn PBT £109.5m Peg 15x.

 

ProPhotonix (LON:PPIX) 8.5p £5.85m

“The high technology designer and manufacturer of LED illumination systems and laser diode modules, with operations in Ireland and the United Kingdom, today announces that its COBRA MultiSpec LED line light, released in 2017, was recognized by the judges of the annual Vision Systems Design Innovators Awards program. The judging panel consisted of esteemed experts from system integrator and end-user companies.

COBRA MultiSpec is available with up to 12 wavelengths making it ideal for multispectral and hyperspectral imaging applications across a wide range of industries including counterfeit currency and pharmaceutical detection, food sorting, mineral identification and sorting, material identification for recycling, and many other applications.”

 

Arena Events Group  (LON:ARE) 50p £58.58m

FYDec17 results from the provider of temporary physical structures, seating, ice rinks, furniture and interiors.

Group revenue increased by 18% to £109.6m (2016: £93.2m)

Adjusted EBITDA grew by 25% to £10.6m (2016: £8.5m)

Adjusted Earnings increased to £4.0m (2016: £1.2m)

Year end net bank debt £11.5m (2016: £30m)

Final dividend of 0.9p per share proposed, to bring total dividend for the year to 1.35p per share 

“We have started 2018 with the delivery of two value accretive acquisitions, a strong pipeline of future acquisitions, combined with a healthy first quarters trading. “

 

FYDec19E rev £115.3m, PBT £7.2m. 

]]>
Wed, 11 Apr 2018 09:20:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29577/range-resources-landore-resources-byotrol-and-more-29577.html
Breakfast News - FreeAgent Holdings, ITM Power, Gfinity and more... http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29559/breakfast-news-freeagent-holdings-itm-power-gfinity-and-more-29559.html Small Cap Breakfast

Set menu

AIM:

Total number of AIM Companies (Incl Susp):

948*

Total number of AIM Companies trading:

898*

*as at close of business 29 March 2018

 

Standard List**  of Main Market:

Total number of Standard List Companies

(Incl Susp):

136*

Total number of Standard List Companies trading:

123*

*as at close of business 29March 2018

 

NEX Growth Market:

Total number of NEX Growth Market Companies (Incl Susp):

89*

Total number of NEX Growth Market Companies trading:

83*               

*as at close of business 29 March 2018

                               *A corporate client of Hybridan LLP

 **  Standard Listing as defined by Hybridan LLP to be a business with strictly operational activity

 

Dish of the day

No Joiners Today 

Off the menu   

The Ottoman Fund Limited has cancelled its securities from trading on AIM.

                                                

What’s cooking in the IPO kitchen?

Main Market Premium Listing

Gore Street Energy Storage Fund—Seeking to raise £100m for the purposes of investment in a diversified portfolio of utility scale energy storage projects.  Due 12 April.

Odyssean Investment Trust—Raising £100m at £1. Due 1 May. The Company will primarily invest in smaller company equities quoted on markets operated by the London Stock Exchange.

Report in the press that AMC is seeking to spin off Cinema Chain ODEON

                            

Breakfast buffet

FreeAgent Holdings (LON:FREE) 118p £48.04m

FreeAgent Holdings, a provider of cloud-based Software-as-a-Service accounting software solutions and mobile applications designed specifically for UK micro-businesses, provided the following trading update for the year ended 31 March 2018.

For the full year ended 31 March 2018, the Board expects to report revenue of £9.8m and Annualised Committed Monthly Recurring Revenue of £10.1m in line with board expectations. Period end net cash was approximately £2.3m.

"Overall progress has been strong, particularly in our Banking channel, despite headwinds in the practice channel - courtesy of the turmoil surrounding the IR35 changes. The RBS partnership has continued to prosper and we were pleased on 27 March to announce the terms of a recommended cash offer for FreeAgent by a wholly-owned indirect subsidiary of RBS at a price of 120p per share. “

 

SEC S.p.A (LON:SEC) 121p £14.79m

SEC, the independent advocacy, public relations and integrated communications agency in the Italian market,  announced audited results for the year to 31 Dec 2017 is expected during the last week of May 2018.

The Company expects to report increased revenue for the year to 31 Dec 2017 up over 14%  over EUR 20m and EBITDA up over 50%. Net Cash at 31 Dec 2017 was EUR 1.5m.

Improvements brought in 2017, are the result of management time, after listing, focused back on the business, generating new business opportunities and boosting existing client growth.

 

Castleton Technology (LON:CTP78p £59.04m

Castleton Technology, the software and managed services provider to the public and not-for-profit sectors, provided the following update on trading for the year ended 31 March 2018 ahead of the announcement of its full year results.

The Company announced that results for the year are expected to be in line with expectations with revenue of not less than £23.1m and adjusted EBITDA of not less than £5m, representing continued double digit organic growth. Cash generation in the period was strong, resulting in operating cash conversion of approximately 100% of adjusted EBITDA, facilitating a continued reduction in the Company's net debt.

"The market opportunity remains large and given the Group's now established position as a 'one stop shop' serving the social housing sector, the Board is very optimistic about the Group's continued growth prospects."

 

ITM Power (LON:ITM) 30.5p £97.2m

ITM Power, the energy storage and clean fuel company, announced the award of a grant from the Massachusetts Clean Energy Center to undertake a multi-MW Power-to-Gas (P2G) feasibility study for the Massachusetts region.

The study will assess the potential for P2G energy storage and hydrogen fuel for the Massachusetts region in collaboration with Holyoke Gas and Electric, a local gas and electricity utility, and will determine the technical and economic feasibility for P2G and hydrogen fuel derived from renewable energy sources.

The project is due to commence in Q2 2018 and has a duration of 12 months.

In Dec 2016 The Massachusetts Department of Energy Resources adopted a 200 Megawatt hour energy storage target for electric distribution companies to procure viable and cost-effective energy storage systems to be achieved by Jan 1, 2020.

 

Gfinity (LON:GFIN) 10.65p £23.35m

Gfinity, an international esports group, announced that it is continuing its relationship with Formula 1® and Codemasters, the publisher of the official game of the FIA FORMULA ONE WORLD CHAMPIONSHIP™, and has been announced as Events Partner for season two of the F1 Esports Series. As part of the arrangement, Gfinity will manage tournament operations for the live events including the adjudication framework which supports all competitive gameplay and broadcast all the live events.  The competition, open to everyone on the PlayStation®4 computer entertainment system, Xbox One and PC, launches with four in-game online events on F1™ 2017. The fastest ten players on each gaming platform will race off in a live-streamed event with the top three on each platform qualifying for the first ever Pro Draft and the chance to be signed by one of nine teams.

The official esports drivers will then represent their teams in the second half of the season as they race in the three live events that will determine the 2018 F1 Esports Series Teams' and Drivers' World Champions with a prize fund of at least $200,000.

 

OptiBiotix Health (LON:OPTI) 56.5p £44.2m

OptiBiotix Health, a life sci­ences business developing compounds to tackle obesi­ty, high cholesterol, diabet­es and skin care, announced three new patent filings. These filings protect the production methods and product application areas arising from OptiBiotix's SweetBiotix® product development programmes.

These patent filings follow on from a total of five successful independent human studies in which OptiBiotix's products and comparator samples were tested by an expert panel of 11 panellists who rated 11 products attributes (e.g sweetness, aftertaste, off- flavour, bitterness etc) compared to sucrose.

The Company believes that these patent filings add a further layer of protection to its intellectual property portfolio, create a highly valuable asset and broaden the number of product application and partnering opportunities. These now include use as a sweetener and/ or functional food ingredient for foods, beverages, cereals, breaded products, dairy products, and incorporation into confectionary, snacks, and meals, or use as a standalone sweetener product.

 

ECSC Group (LON:ECSC) 80p £8.99m

The Board of ECSC announced that Ian Mann has resigned as CEO and as a Director of the Company. He remains fully committed to the business as a major shareholder, and as a full-time employee, focusing on business development and marketing. Stephen Hammell will move from FD to become the new CEO. Lucy Sharp remains as an Executive Director on the board.

The Board also announces that Nigel Payne is stepping down as NEC of the Board with immediate effect. He will be replaced as Chairman by David Mathewson. Stephen Vaughan will be remaining on the board as NED.

In making these changes the Board is of the view that, whilst trading in the first quarter is in line with management expectations, the business has still not developed the necessary momentum to deliver long term shareholder value. While the current cash balance is slightly ahead of plan, trading conditions for the Company remain challenging. Consequently, the Board is of the view that a change of CEO is required, as well as an increased level of involvement from the non-executive Board members. This will give the Board the opportunity, over the coming weeks, to review and if necessary remodel our offerings to the market.

 

FairFX Group (LON:FFX) 99.8p £148.69m

FairFX, the e-banking and international payments group,  announced the achievement of two further milestones as part of its digital banking strategic plans, with the commencement of self-issuance of Mastercard branded cards and launching a commercial finance capability to its business banking customers.

Self-issuance allows the Group to consider multiple options for issuance of cards across its entire product suite and delivers the stated objective of achieving increasing economies of scale, whilst selectively internalising appropriate parts of the value chain. Developing this facility was made possible through the Group's e-money licence and its principal membership of Mastercard.

In addition, the Group has launched a commercial finance capability through a collaboration with Alternative Business Funding, which connects customers with appropriate and properly regulated lenders.  The Board believes this is a natural extension of the Group's comprehensive digital banking offering through the CardOneBanking platform. The provision of this service adds a crucial banking capability and will broaden the appeal of the Group's offering, whilst improving the ability to add more business customers without taking on any credit risk.

               

Interquest Group (LON:ITQ) 18.5p £7.15m

Further to its announcement on 15 March 2018, InterQuest Group,  announced the completion of the acquisition of 95% of the issued share capital of Albany Beck Consulting Limited. The consideration for the Acquisition will be satisfied through the issue of 13,273,400 new ordinary shares in the Company to the selling shareholders of Albany Beck.

Completion of the Acquisition was conditional upon Albany Beck and the Selling Shareholders having complied with the provisions contained in Albany Beck's articles of association. The transfer and pre-emption provisions contained within Albany Beck's articles of association required shares in the capital of Albany Beck to be offered to the existing shareholders of Albany Beck and for such offer to remain open for 21 days. The offer period expired on 4 April 2018, and the eligible shareholders of Albany Beck did not take up their acquisition rights. Therefore, the Condition has been satisfied and InterQuest has completed the acquisition of 95% of the issued share capital of Albany Beck.

 

 

]]>
Thu, 05 Apr 2018 09:59:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29559/breakfast-news-freeagent-holdings-itm-power-gfinity-and-more-29559.html
Small Cap Wrap - Burford Capital, Telit Communications, Bacanora Lithium and more... http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29493/small-cap-wrap-burford-capital-telit-communications-bacanora-lithium-and-more-29493.html Small Cap Lunch

Set menu

AIM:

Total number of AIM Companies (Incl Susp):

953*

Total number of AIM Companies trading:

904*

*as at close of business 9 March 2018

 

Standard List**  of Main Market:

Total number of Standard List Companies

(Incl Susp):

136*

Total number of Standard List Companies trading:

123*

*as at close of business 9 March 2018

 

NEX Growth Market:

Total number of NEX Growth Market Companies (Incl Susp):

89*

Total number of NEX Growth Market Companies trading:

82*               

*as at close of business 9 March 2018

 

                                *A corporate client of Hybridan LLP

 

**  Standard Listing as defined by Hybridan LLP to be a business with strictly operational activity

    

Dish of the day

Augmentum Fintech (LON:AUGM) - Company focused strategy to invest in fast growing and/or high potential private fintech companies in the UK and wider Europe joined the Premium Segment of the Main Market raising £94m at 100p 

Off the menu   

No Leavers Today

                             

What’s cooking in the IPO kitchen?

AIM

SimplyBiz, a Financial Services Firm, reported to be considering an IPO targeting a market capitalisation of between £140m and £155m in a listing that would raise £30m of new money.

Bacanora Lithium—Readmission. No new money. Mkt cap £140m. Due 21 March. the new holding company for Bacanora Minerals Ltd 

Core Industrial REIT—established to invest in Irish-based industrial properties, predominantly located in the Greater Dublin Area. Vendor placing and new funds to a total of €225m, Target gross proceeds €207m. Expected Mid March

Polarean  - Medical drug-device combination company operating in the high resolution medical imaging market. Offer TBC. Due 26 March

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

 

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

Broker and investment platform operator AJ Bell reported to be considering London float with a valuation at £500m.

JTC—Conditionally raised £243.8m at 290p. Due 14 Mar. Mkt Cap £310m. Includes £218m vendor sale. 2017 revenue £59.8m. Underlying EBITDA £14.8m.  Provider of administration services to fund, corporate and private clients.

Helios Towers—Sub-Saharan telecommunications tower operator. FYDec17A  revenue of $345.m and Adjusted EBITDA of $146m. Expected to join FTSE 250. Due early April. JSE Secondary listing.

Energean Oil & Gas—Seeking gross proceeds of c.$500m. Independent oil and gas exploration and production company focused on  exploration, development and production of assets in the Eastern Mediterranean . Due march 2018.

Amigo Loans—Sub prime lender reported to be preparing for an IPO targeting a £500m valuation.

Eaton Towers– press reports African mobile telco mast specialist is seeking a £1.5bn London listing

 

Lunch buffet

Sareum Holdings* (LON:SAR) 0.82p £23.15m

Sareum, the specialist cancer drug discovery and development business, announced its H1 results for the six months ended 31 Dec 2017.

Sareum's licence partner Sierra Oncology made strong progress with the two clinical studies of Chk1 inhibitor SRA737 leading to a significant expansion of the development programme in 2018.

Sareum's TYK2 inhibitor autoimmune disease and cancer research programmes advanced with distinct small molecules moving into candidate selection for preclinical development in each therapeutic area.

The Company's small molecule Aurora+FLT3 candidate, targeting opportunities in haematological cancers, continues in preclinical development.

In Nov, Sareum raised £0.7m through a placement of 100,000,000 new ordinary shares at 0.7p per share to progress its drug development programmes as well as for working capital purposes.

Loss on ordinary activities (after taxation) of £0.72m (2016: profit of £0.57m). 

Cash at bank as at 31 Dec 2017 was £2.16m (2016: £2.3m).

In Feb 2018, Sierra provided an update on the SRA737 clinical development programme.

The Dose Escalation Phase 1 portion of the Phase 1/2 monotherapy trial is in the final stages of optimising the SRA737 dose regimen and the Cohort Expansion Phase 2 portion is ongoing. The Phase 2 portion has been expanded to include more patients across six cancer indications and at a larger number of clinical sites in the UK.

 

Surgical Innovations (LON:SUN) 3.62p £31.02m

Surgical Innovations, the designer, manufacturer and distributor of innovative medical technology for minimally invasive surgery, reported strong financial results for the year ended 31 Dec 2017.  The integration of Elemental Healthcare Limited, acquired on 1 Aug 2017, is now completed.

Financial Highlights:

* Revenues up by 44% to £8.75m (2016: £6.09m)

* Gross margin improvement to 42.5% (2016: 33.8%)

* Adjusted PBT of £1.10m (2017 reported: £0.54m, 2016: £0.28m)

* Adjusted EPS of 0.19 pence (2017 reported: 0.10 pence, 2016: 0.15 pence)

* Closing net debt of £0.73m (2016: net cash of £0.72m)

Operational Highlights:

* Transformational acquisition of Elemental Healthcare completed on 1 August 2017 for £9.4m

* Expanded board with new commercial leadership

* Integration programme now fully implemented

* Overseas distribution relationships strengthened

* Managed transition to new UK Notified Body

* UK distribution agreements extended and supplemented by new lines

Post Period Highlights:

* Elemental Healthcare signed three year distribution agreement with Bariatric Solutions GmbH

* Elemental Healthcare signed an additional three year exclusive UK distribution agreement with Microline Surgical Inc, Boston USA. Expected to generate revenue of an estimated £7m

 

Burford Capital (LON:BUR) 1,110p £2,282.29m

Burford Capital, a global finance and investment management firm focused on law, announced that it has entered into a definitive agreement to sell its entire entitlement in the Teinver matter for $107m in cash. Burford's investment in the Teinver matter is $12.8m. Thus, the sale represents an investment gain of $94.2m and a return on invested capital of 736%.

The Teinver matter represents an investment in an arbitration matter arising out of the expropriation of two Argentine airlines by Argentina's government. In July 2017, the arbitration tribunal rendered an award in favour of the claimants; that award entitled Burford to receive more than $100 million under its funding agreement. For further background to the Teinver matter, please refer to our RNS dated 24 July 2017 and our interim report for the six months ended 30 June 2017.

Burford continues to pioneer development of the secondary market in litigation investments and regards the sale of this investment as prudent, locking in its gain on the investment and accelerating its cash recovery to enable reinvestment of that capital.

While Burford does not release individual investment carrying values, we can say that the Teinver investment is carried well below the sale price, and thus we expect to show a realized gain from this transaction in our interim results for the six months ended 30 June 2018, to be published in July 2018.

 

OPG Ventures (LON:OPG) 18.35p £61.87m

Trading update for Q3 FY18 from the developer and operator of power generation plants in India. 

* 1.3 billion units in Q3 FY18, up 23% on prior year - highest ever quarterly generation

* Nine months FY18 production 3.7 billion units, up 9% on the corresponding period

* Q3 FY18 Plant Load Factor ("PLF") at Chennai was 80% and at Gujarat was 84% - highest ever combined average

* 22 MW solar commissioned; 40 MW in pre-commissioning

* Strong cash collections from TANGEDCO - 86% of old receivables cleared, and 

* Gujarat - No Cross Subsidy withheld from our tariff by the DISCOMs in February 2018 for the first time

The Company expects generation to remain strong and cash flows from operating activities to remain resilient. As previously identified, while FY18 is expected to be a transitional year for the Company, as a result of the Company's operational performance, anticipated revision in tariffs and addition of 62 MW of new solar capacity in Karnataka plus progress at Gujarat, the Board remains positive about the Company's prospects for FY19.

 

Telit Communications (LON:TCM) 161.5p £219.65m

Telit Communications, an enabler of the Internet of Things (IoT), has agreed a series of new and amended financial covenants with its lead financing bank and published an update on financial results for 2017 as well as for the first two months of 2018.

The new covenants are more appropriate for the Group following its rationalisation of product lines and costs. In particular, the covenant, which in broad terms measured the ratio of free cash flow against debt service obligations, is replaced for 2018.

The Group has resolved to adopt a conservative approach in the preparation of its results, and in particular with respect to the capitalisation of R&D expenditure.

This, combined with establishing a prudent level of provisions and other adjustments with its auditors and some component shortage issues which affected sales in the closing weeks of 2017, leads the Board to now expect to report revenue of approximately $374-376m and adjusted EBITDA in the region of $20-23m. The Group's net debt position as at 31 Dec 2017 was $30.2m (2016: $17.7m).

Trading over the first two months of 2018 has been considerably stronger than the comparable period in 2017 and ahead of the Board's early expectations.

 

Atlantis Resources (LON:ARL) 35.25p £44.4m

Atlantis provided the following update on the transformational deal announced on 14 Dec 2017 whereby Atlantis will join forces with SIMEC Energy, a part of the GFG Alliance. The transaction is intended to create a listed platform which would own and operate a global portfolio of renewable generation assets.

The Company and its advisers have been making good progress on the acquisition of the Uskmouth power station in Wales, which is classed as a reverse takeover under the AIM Rules for Companies and Atlantis now expects to announce the finalised terms of the transaction and hold an EGM in Q2 2018 to allow shareholders to vote on the proposed transaction which, if approved, would see the Company recommence trading as SIMEC Atlantis Energy shortly thereafter. 

Following completion of the front end engineering design in H2 2018 and appropriate project based funding being secured, in relation to which discussions with project based debt and equity providers are on-going, the Uskmouth power station, which was previously coal-fired, will be converted to burn energy pellets, derived from non-recyclable waste products which would otherwise have been sent to landfill. The station will have an initial generation capacity of 220MW, with the option to convert a third unit in future, which would bring its capacity to 330MW.

 

Altus Strategies (LON:ALS) 7.88p £11.71m

Altus Strategies, the Africa focused exploration project generator, announced the definition of a new 2.3km long gold prospect within its 100% owned Sebessounkoto Sud Licence in western Mali, West Africa. The Licence targets shear hosted gold in Birimian age metasediments.

Highlights: 

* Exploration defines a 2.3km long gold prospect at Soa in western Mali

* Historic channel sample results of 0.68 g/t Au over 61.4m reported from weathered saprolite

* Numerous hard rock workings with the largest being 150m long with shafts up to 40m deep

* Sampling of mining waste has returned grades of 5.18 g/t, 3.98g/t & 2.4g/t Au

* Previous sampling by Legend Gold included 18.5g/ t & 12g/t Au from outcrop

* The Soa prospect is parallel to a strong  6.3km long geophysical feature

* Follow up exploration programme now planned

 

genedrive (LON:GDR) 36p £6.54m

genedrive, the near patient molecular diagnostics company, announced that is has commenced commercial sales and shipments of its Genedrive® HCV ID Kit and Genedrive® platform into the EMEA region. The products have been shipped to genedrive's distributor, Sysmex Corporation, a world leader in clinical laboratory systemization and solutions, and are now destined for use in various initial target countries. In addition, first commercial sales and shipments of the Genedrive® HCV ID Kit and Genedrive® platform are expected to commence in the Asia Pacific region in the coming weeks. 

"Since signing our distribution agreements with Sysmex, we have continued to build momentum in the market and we are pleased to see initial commercial sales. An ongoing process of registering the products in target countries will naturally lead to a growing opportunity, and we are confident that as the first to market decentralised qualitative molecular HCV test, Genedrive® is uniquely positioned to meet this need."

 

Primorus Investments (LON:PRIM) 0.14p £3.22m

Primorus Investments announced it has, by way of subscription at £22 per share, invested a further £0.5m in Engage Technology Partners Limited.

In Sept 2017 the Company invested, by way of subscription at £15 per share, £0.4m in Engage on a pre-new money valuation of £15m as part of a fully subscribed £5.25m funding round. Following this further subscription, Primorus will hold a total of 49,394 shares in Engage, representing circa 3.6% of the issued share capital.

The subscription price of £22 per share represents a 46% premium to the Sept 2017 placement price of £15 per share and represents a portion of rolling £4m capital raise by Engage.

 

NetScientific (LON:NSCI) 54.5p £37.63m

NetScientific, the transatlantic healthcare IP commercialisation group, notes that its portfolio company, Vortex BioSciences, has announced a collaboration with BioView Ltd (TASE:BIOV), a provider of automated cell imaging and analysis solutions.

The collaboration will enable Vortex and Bioview to create integrated workflows that will allow the collection of intact CTCs from blood samples to become part of the standard of care, with a view to increasing the prominence of CTCs in the clinical space as a diagnostic and monitoring tool. The aim of the collaboration is to provide clinicians with deeper insights into cancer biology.

 

BioView (TLV: BIOV) is a publicly traded company on the Tel Aviv Stock exchange, and currently has strategic collaborations underway with international scientific leaders and institutions. Bioview develops, manufactures and supplies cell imaging equipment, and analysis software to medical institutes and universities. It currently has several strategic collaborations with international scientific

 

 

 

]]>
Tue, 13 Mar 2018 13:33:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29493/small-cap-wrap-burford-capital-telit-communications-bacanora-lithium-and-more-29493.html
Breakfast News - Next Fifteen Communications, Frenkel Topping, Osirium Technologies and more... http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29350/breakfast-news-next-fifteen-communications-frenkel-topping-osirium-technologies-and-more-29350.html What’s cooking in the IPO kitchen?

AIM

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.

                           

Breakfast buffet

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.

 

Osirium Technologies (LON:OSI) 53.5p £15m

“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.

 

Falanx Group (LON:FLX) 4.35p £6.85m

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 (LON:BLV) 90.5p £31.6m

“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.

 

 

 

]]>
Wed, 07 Feb 2018 12:10:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29350/breakfast-news-next-fifteen-communications-frenkel-topping-osirium-technologies-and-more-29350.html
Breakfast News - Autins Group, http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29332/breakfast-news-autins-group-29332.html What’s cooking in the IPO kitchen?

 

AIM

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.

                  

Breakfast buffet

Northern Bear (LON:NTBR) 80p £14.1m 

Northern Bear provided an update on trading for the three month period ended 31 Dec 2017.  

Following the publication of the Group's unaudited interim results for the six months to 30 Sept 2017, the Group has continued to trade strongly.

The Board is delighted to announce that the Group's turnover and adjusted PBT from continuing operations (stated prior to the impact of transaction costs and the amortisation of acquired intangibles, both associated with the acquisition of H Peel & Sons (Holdings) Limited announced in July 2017) are currently ahead of both management expectations and excellent prior year results.

The Group continues to have a high level of committed orders and the Directors remain positive about the outlook for trading in the remainder of the financial year ending 31 Mar 2018

Despite poor weather in January 2018, and subject to there being no exceptional adverse weather conditions over the remainder of the winter period, we look forward to announcing another strong set of results for the full financial year.

 

Scientific Digital Imaging (LON:SDI) 29.5p £26.21m

Scientific Digital Imaging, the group focused on the design and manufacture of scientific and technology products for use by the life science, healthcare, astronomy, consumer manufacturing and art conservation markets, announced that, further to the announcement of 4 Jan 2018, it has acquired certain fixed assets, stock, designs and trademarks from Quantum Scientific Imaging Inc. ("QSI").

The Acquisition, effective 1 Feb 2018, complements the existing product offering of the Group's Atik Cameras brand. The Group intends to move all the purchased assets from the US to Atik's manufacturing base in Lisbon. QSI's total sales (unaudited) in the year to 31 Dec 2017 were c.£0.5m, however SDI expects to achieve lower sales than this from the acquisition in the first year of ownership. SDI is paying a total cash consideration of $0.35m (c. £0.25m).

 

Maintel Holdings (LON:MAI) 793p £110m

Maintel Holdings, the leading systems integrator and managed services provider, issued the following trading update for the year ending 31 Dec 2017.

Maintel announced that trading for the year ending 31 Dec 2017 is in line with expectations.

* The Group has seen customer orders for Avaya installations continue to recover. A promising pipeline is also developing which is expected to have a positive impact on Managed Services and Technology performance in Q1 2018.

* The integration of Intrinsic Technology continues to go well and, in addition, Maintel is pleased to see an increasing level of cross-sell across the Group; both in terms of Cisco sales into the Maintel customer base and also sales of Maintel's ICON suite of cloud and managed services into the Intrinsic customer base.

The Group will deliver adjusted EBITDA of approximately £12.5m for the year ended 31 Dec 2017, with revenue marginally ahead of expectations. The closing net debt position will also be better than previously expected.

As stated previously, and reflecting continued confidence in underlying cash flows and the longer-term prospects for the Group, it remains the current intention for the total full year 2017 dividend to grow 10% year on year, in line with existing guidance.

The Board remains confident in delivering substantial growth in revenue and EBITDA in the full year to 31 Dec 2018.

 

Autins Group (LON:AUTG) 122p £26.52m

Autins Group, a leading designer, manufacturer and supplier of acoustic and thermal insulation solutions for the automotive sector, will hold its AGM today, where the Group's Chairman, Adam Attwood, will provide the following statement:

"We delivered strong top line growth in FY2017 and are seeing this continue during FY2018 although still very much re-iterating that we expect a significant second half weighting to results. FY2018 is a year where we will see significant progress for Autins as we continue to take on many challenges and opportunities to better secure a robust business model that can be scaled efficiently and deliver growth profitably and sustainably. Our Neptune product is gaining momentum and further traction in the market, our operations are focused on improving productivity and customer service, and we are increasingly on a path to working as one company in everything we do.

The Board remains confident in our strategy and the management is focused on deploying our detailed business plans. We are all committed to realising the full potential of the Group.”

 

Kodal Minerals (LON:KOD) 0.2p £14m

Kodal Minerals, the mineral exploration and development company focussed on West Africa, provided an update on the Company's concessions at the Bougouni Lithium Project in Southern Mali.

As announced on 18 Jan 2018 and earlier on 13 Dec 2017, the Company had filed new applications over two new 100 sq km licences covering the high priority areas within the Kolassokoro area directly in the name of its Malian subsidiary, Future Minerals SARL. The Company now confirms it has received fully signed "conventions" granting the Company exclusive exploration rights to the Project Area. In addition, the Company has immediately moved to apply for "Arretes" over the Project Area, that will affirm the Company's rights and ensure title for an initial three year period with rights for two renewals of two years each.

 

Arena Events (LON:ARE) 57p £67.64m

Arena Events Group announced it has expanded its product portfolio in the UK with the acquisition of specialist furniture hire business GLD Productions.

GLD supplies furniture to concerts, music festivals, fashion shows, high profile sporting occasions and corporate hospitality events across the UK. GLD's stock and staff will be incorporated into Arena's Spaceworks Furniture Hire division at its Membury facility, with employees working under Managing Director Chris Piggott.

This acquisition, which is expected to add approximately £1.5m in annual revenue, is in line with the Group's strategy of continuing to identify growth areas and expand its product range in order to create maximum value for its clients.

 

Gfinity (LON:GFIN) 22.3p £48.77m

Gfinity, a leading international esports entertainment group, announced that Hashtag United  will join the third season of its Gfinity Elite Series, which will commence next month at the Gfinity Arena in London.

Hashtag United was founded in 2016 by internet entrepreneur Spencer Owen. He is a FIFA gamer best known for his Spencer FC YouTube channel which has nearly 2 million subscribers. Hashtag United, which has won tens of thousands of prize money to date competing in FIFA tournaments, is headquarted in London and has amassed a considerable following of nearly 350,000 viewers by streaming football games on YouTube. The BBC reported in 2016 that Hashtag United's games were watched on a weekly basis by more than half a million viewers and the audience is continuing to grow.

As of Jan 2017, Spencer FC and Hashtag United had a combined YouTube audience of nearly 2.3 million viewers, plus the latter has over 160,000 and 300,000 active Twitter and Instagram followers respectively. In addition, Hashtag United's FIFA team is supported by 1 million fans.

 

Utilitywise (LON:UTW) SUSPENDED

Utilitywise, a leading independent utility cost management consultancy, announced that its closing net debt as at 31 Jan 2018 was £15m. This represents a £4m (21%) reduction in the Group's net borrowings position since 31 Jul 2017, as a result of the cash generation of the Group during the first half of its financial year ended 31 Jul 2018.

The closing net debt of £15m comprises £11.9m of net bank borrowings and £3.1m of other loans.

The £11.9m of net bank borrowings is funded by a bank facility of £25m.

The £3.1m of other loans are due for repayment between 2018 and 2022.

 

Avanti Communications (LON:AVN) 10.1p £16m

Avanti Communications announced that Kyle Whitehill will join the board of Avanti as CEO, with effect from 3 Apr 2018.

Kyle joins Avanti from Liquid Telecom Group, where he has been CEO of Liquid Telecom, South Africa since March 2017. Previously, Kyle was with Vodafone Group for almost 15 years, where he served as CEO of Vodafone Qatar, overseeing the successful launch of the country's fastest 4G+ network, CEO of Vodafone Ghana for three years, establishing the company as a market leader in both fixed-line and enterprise services, and COO of Vodafone India, having initially spent almost seven years leading one of Vodafone's biggest enterprise business units in the competitive UK market.

Following the arrival of Mr Whitehill, Alan Harper, Interim CEO, will resume his role as NED of the Company from 3 Apr 2018. The Board thanks Mr Harper for his important contribution during a demanding period in the Company's history.

 

SDX Energy (LON:SDX) 50.5p £103.3m

SDX Energy, the North Africa focused oil and gas company, has spud its KSS-2 development well on the Sebou permit in Morocco.

The KSS-2 well is the sixth in the Company's nine well campaign. The well is anticipated to take 10-15 days to drill and if successful is expected to be completed, flow tested and connected to existing infrastructure in the near term.

The recently drilled ONZ-7 well will be completed today and will commence test production early next week.  SDX expects to provide a further update on testing results later this month.

 

 

]]>
Fri, 02 Feb 2018 10:39:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29332/breakfast-news-autins-group-29332.html
Breakfast News - Ingent, Jaywing, Palace Capital and more http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29288/breakfast-news-ingent-jaywing-palace-capital-and-more-29288.html What’s cooking in the IPO kitchen?

AIM

Hydrominer GmbH, An Austrian cryptocurrency miner, is considering an initial public offering (IPO) on the London Stock Exchange AIM during 2018 according to an article on Bloomberg.

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 £30 at 165p with market cap of £100m

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.

Vivo Energy—The Africa-focused company, which operates around 1,800 Shell forecourts across 16 countries  reported by City A.M. to be preparing for a London float next year


Breakfast buffet

Physiomics* (LON:PYC) 8.56p £5.03m

The “provider of technology-based solutions to predict the effects of cancer treatment regimens for the biopharma industry, is pleased to announce that it has been awarded a contract by a new major pharmaceutical client.  The project, which is expected to be completed during the Company's current financial year involves the use of Physiomics' Virtual Tumour technology in a pre-clinical setting and its value is approximately £35k.

Physiomics' Virtual Tumour is a sophisticated computer model that simulates tumour cell division and predicts the effect of different anti-cancer regimes to support pre-clinical and clinical oncology development programs. Virtual Tumour helps customers to balance efficacy and toxicity and to prioritise the most effective drug combinations while reducing time and cost.

Jim Millen, CEO said: "We are delighted to be working with a significant new client.  If this initial project is successful, we would hope to develop a longer-term relationship."

SolGold (LON:SOLG) 23.83p £404m

Update from the Company's Cascabel Project in Northern Ecuador, where drilling is currently focussed on targeting high grade extensions to the Alpala resource.

 

HIGHLIGHTS:

* 12 rigs now onsite and operational at Alpala.

* An additional 13,384m of drilling completed since release of Alpala Maiden Mineral Resource Estimate cut off (published on 3 January 2018 Refer Table 1 and Table B in Notes to Editors attached).  Over 120,000m of drilling scheduled for the next 12 months.

* Alpala drill hole targeting high grade extensions to the current Alpala resource.

* Hole 33 high-grade mineralisation extension: 824m @ 0.80% CuEq, incl. 576m @ 0.93% CuEq.

* Drilling cost reduced to $530/m from $1,100p/m.

* Aguinaga modelling nearing completion and drilling expected to commence in the March quarter.”

 

Ingenta (LON:ING) 134p £22.67m

The “software and service provider to the publishing and media industry, provides the following trading update for the year ended 31 Dec 2017.

The Group is pleased to confirm that it has continued to see further margin improvements during the year with adjusted EBITDA increasing to at least £1.4m. Revenues for the year were also in line with management expectations, and the Group had net cash balances at year-end of £2.1m.

The Board confirms its intention to pay a dividend of 1.5p per ordinary share for the 2017 financial year and intends to notify its final results for 2017 in March.

David Montgomery, Chief Executive Officer, commented: "We are pleased by the significant progress on operational efficiency and profitability that we have seen over the course of the year and are confident we have the right team and product offering to propel the business through the next stage of its growth.” FYDec17E rev £16.35m, EPS 5.2p, div 1.5p.

 

Jaywing (JWNG.L) 24.5p £21.29m

“Data science specialist Jaywing, has launched Archetype, a new technology product that uses Artificial Intelligence (AI) to generate statistical models. The product can be used for almost any predictive modelling purpose, including predicting customer behaviour or credit risk. It has also launched a new consulting service to help clients implement AI into their processes and operations.  Archetype gene­rates more powerfully predictive models, while significantly reducing the time and effort needed to create them. In particular, Archetype overcomes regulatory transparency concerns that have until now prevented the use of AI in credit scoring, a significant advancement in the risk technology market and for which Jaywing has applied for a patent. Organisations looking to make their first steps into AI-based modelling can make use of Archetype supported by Jaywing's AI consulting practice, or sign up to use the product themselves through an easily-accessible web-based interface. ”  PE c.15x.

 

Palace Capital (LON:PCA) 337.2p £154.6m

New “5-year £40m bank facility with Barclays Bank. At the time of the acquisition of RT Warren (Investments) Limited ("RT Warren"), the Company stated that it had assumed an existing loan from Barclays Bank of £14.5m.  This bank facility was due to expire on 31 January 2018.

In discussions with Barclays Bank, the Company has taken the opportunity of not only agreeing a new, increased 5-year facility secured on the RT Warren commercial propert­ies, but also to repay the Company's £12.7m facility with Nationwide, which was due to expire in November 2020. The new facility with Barclays Bank carries a margin of 1.95% over LIBOR, which further reduces the Company's average cost of debt to below 3% and extends the average debt maturity to 4.7 years.” Last reported NAV/share 451p.

easyHotel (LON:EZH) 108p £108.5m

“The owner, developer and operator of super budget branded hotels, today announces that it has conditionally acquired a 125-year leasehold of part of Norfolk House on Silbury Boulevard, a central site in Milton Keynes. The development has already received planning permission and the acquisition will be completed subject to planning being finalised at the end of the judicial review period. Norfolk House is centrally located in the town centre, just 200m from the main shopping centre and just 0.3 miles from The Hub Milton Keynes, a major leisure scheme. The Group intends to convert its part of the building into a 124-bedroom hotel, which is expected to open by mid-2019 at a total cost of approximately £8.7m.” Pipeline has seven owned hotels comprising 941 rooms. 517 rooms should all open in the summer of 2018.

 

Scientific Digital (LON:SDI) 27.99p £25.09m

The group focused on the design and manufacture of scientific and technology products for use by the life science, healthcare, astronomy, consumer manufacturing and art conservation markets, announced HYOct17 results. Revenue increased by 34% to £6.55m. Revenue growth driven by organic and acquisitions; the organic revenue growth was delivered by Sentek and Atik Cameras with the growth from acquisitions delivered by Astles Control Systems and Applied Thermal Control. Adjusted PBT increased by 140% to £1.1m.

“The Board is hopeful SDI will add another company to the Group during 2018 as we continue to pursue our strategy of organic and acquisitive growth.” FYApr18E PE c.14x.

 

Arena Events Group (LON:ARE) 61p £72m

“Underlying trading for the year ended 31 Dec 2017 has been in line with market expectations. In the last quarter of 2017 a number of significant projects were successfully delivered in each region.  In the UK, a temporary TV studio was constructed and handed over to ITV for the relaunch of its Dancing on Ice show, in Asia the Group won a two year contract for the CJ golf trophy in South Korea and in the US a number of major events were delivered including the temporary facilities for the Bryant Park ice rink in New York.     During the second half of 2017, the Group increased capital expenditure to support various projects, which is anticipated to improve profitability in the current year.  In addition, working capital increased slightly and net debt is expected to be around £11.5m at the period end. The current financial year has started well.” We could see no forecasts.

 

MayAir Group (LON:MAYA) 96p £40.3m

Recommended £50m cash offer by Poly Glorious Investment Co at 120p for the manufacturer, developer and provider of air filtration equipment and clean air solutions.  The Offer Price represents a premium of approximately:

* 25% to the Closing Price per MayAir Share of 96.0 pence on 25 January 2018

* 44.6% to the Closing Price per MayAir Share of 83.0 pence on 16 November 2017 (being the last Business Day prior to Poly Glorious' approach to the MayAir Directors regarding the Acquisition)

"MayAir announced on 18 September 2017 its interim results for the six months ended 30 June 2017, a copy of which can be found at www.mayairgroup.com. Since 30 June 2017, the Company has continued to trade in line with management's expectations.” We could see no forecasts.

 

Watchstone Group (LON:WTG) 102p £47.4m

FYDec17 update from the provider of technology solutions and other services primarily to the insurance, automotive and healthcare industries.  “During 2017, we substantially completed the work to simplify and rationalise the Group involving the closure or disposal of loss making businesses and reducing the size and cost of the central overhead. The central team now comprises just three full time staff to assist Stefan Borson and Mark Williams, (the Executive directors) and the Board has been reduced in size. The full benefit of these changes will only be seen in 2018 but are expected to reduce the central costs by approximately 50%. Overall net losses and expenses of over £6m suffered in 2017 have been extinguished.” Cash & term deposits totalled £62.8m (excluding £50.1m in escrow re the High Court claim issued by Slater and Gordon (UK) 1 Limited.  Total revenue £44.1m vs £43m.

]]>
Fri, 26 Jan 2018 11:04:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29288/breakfast-news-ingent-jaywing-palace-capital-and-more-29288.html
Breakfast News - Switzerland Says the EU Is Trying to Weaken Its Financial Center http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29152/breakfast-news-switzerland-says-the-eu-is-trying-to-weaken-its-financial-center-29152.html What’s cooking in the IPO kitchen?

NEX Exchange

Whetstone Capital No raise. Due 5 January 2018. Mkt Cap £1.6m.  Investment Vehicle for small and mid sized private and public companies.

 

AIM

Eqtec—Company with access to a proprietary advanced gasification technology used in industrial size power plants to convert waste into synthetic gas to generate electricity.  Raising £1.6m. Mkt Cap £8.7m. Due late Dec.

Volex (LON:VLX)L—The global provider of cable assemblies is proposing to move from the main market to AIM on 19 January. £75m market cap. FYMar18E rev £241.5m and £7.19m PBT.

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. Expected valuation £200m to £250m.

 

Main Market Specialist Fund Segment

Sure Ventures  POSTPONED–Raising  up to £50m at £1. Focus on FinTech, IoT and Augmented/Virtual Reality. Due 22 Dec.

Main Market Premium Listing

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.

Vivo Energy—The Africa-focused company, which operates around 1,800 Shell forecourts across 16 countries  reported by City A.M. to be preparing for a London float next year

 
 
Breakfast buffet

Legendary Investments (LON:LEG) 0.16p £5.1m

‘Agreement to acquire an interest in Circle Oil Tunisia Limited ("COTL"), which owns the, El Mediouni East and Central oil asset ("ELM") in the Mahdia Permit located in the Gulf of Hammamet off the Tunisian coast, in exchange for its interests in Manas Resources LLC ("Manas"). The Permit duration and work programme are in the process of being finalised.

As a result of this agreement, Legendary will receive an interest of up to 2 per cent in CTOL. Legendary's interest in Manas is valued in its books at £100,000.’

M.P Evans Group (LON:MPE) 783.8p £430m

Completion its acquisition of Sunrich Plantations Pte Ltd ("Sunrich"), which owns 95% of an Indonesian company, PT Bumi Mas Agro ("BMA"), which in turn owns an oil-palm plantation in Indonesia.  Comprises 8,240 hectares. Of this area, 7,800 hectares are young oil palms, planted mainly in 2012-17. In addition to the land acquired by the Group, as required by law in Indonesia, a smallholders' scheme is in operation. Some 1,300 hectares have already been planted and allocated to the scheme which, ultimately, should comprise 20% of the total planted area.  $40m upfront and $49.2m deferred,.

FYDec17E rev £78.5m and EPS 23.98p, div 21.17p.

SDX Energy (LON:SDX) 53p £108.4m

“The North Africa focused oil and gas company, has commenced well operations on its ELQ-1 well on the Gharb Centre permit in Morocco. The ELQ-1 well is the fourth well in the Company's nine well campaign and the first of two commitment wells planned on the Gharb Centre permit, which was acquired in June 2017 after the acquisition of Circle Oil's assets in Egypt and Morocco in January 2017.  The Gharb Centre permit is adjacent to the Company's Sebou permit with the ELQ-1 location being approximately 400 meters from the existing Sebou infrastructure. The well is anticipated to take 15-20 days to drill and if successful will be completed, flow tested and connected to existing infrastructure.” FYDec17E rec C$58.8m and PBT C$14.47m.

Westminster Group (LON:WSG) 13.5p £11.32m

Update on previously announced major long-term project opportunity in the Middle East.   Further extensive discussions have been taking place regarding priorities, order of roll-out and the client's growing requirements. All but a few more minor commercial & contractual issues have now been agreed. Due to the complexity and increasing potential scope of this project, it has  been agreed to undertake the project in phases, with the initial phase expected to be worth c. €24m per annum. Plans are in place to raise the required funds to support investment in this project and other potential new Managed Services contracts, details of which will be announced  in due course.

LXB Retail Props (LXB.L) 21.75p £35.77m

The closed-ended real estate investment company focused on edge of town and out of town retail assets, is pleased to report that it has exchanged contracts for the disposal of its two remaining investments at Stafford and to update on further lettings at Rushden Lakes and Sutton.

Riverside being sold for a headline price of £36.8m and Bridge Street for an initial £8.9m.

At Rushden lakes phase 1 lettings now complete.  On Phase 3 at Rushden, contracts have also been exchanged with Decathlon to take a 14,000 sq ft store (7,000 sq ft at ground and 7,000 sq ft at mezzanine level). The letting means a single unit of 6,000 sq ft (which could be split) remains to be let on Phase 3. Practical Completion of Phase 3 is due for June 2018.  At, Sutton Gym Group agreed to take a 12206 sq ft unit.

Angelfish Investments (NEX:ANGP) 0.063p £0.4m

“One Media Enterprises Limited ("OME"), a company in which Angelfish initially invested in 2013, has been acquired by OneLife Technologies Corp. ("OneLife") a public company listed on the OTC:US with a ticker symbol "OLMM". To facilitate the Acquisition, OME has agreed to repay in full the investment and loans made to date by Angelfish together with payment of management fees charged and an uplift on amounts due ("the Agreement"). The Agreement provides for an amount payable to Angelfish of US$1m in cash in instalments plus the issue to Angelfish of 200,000 shares of Common Stock in OneLife and warrants to subscribe for 200,000 shares of Common Stock in OneLife, exercisable at US$1 per share”.

N4 Pharma (LON:N4P) 10.69p £8.06m

The specialist pharmaceutical company which reformulates existing drugs and vaccines to improve their performance, is pleased to announce the filing of its Patent Cooperation Treaty ("PCT") patent application for the oral reformulation of Aprepitant (marketed by Merck & Co under the brand name Emend). Aprepitant is an anti-emetic drug used to suppress nausea resulting from surgery and chemotherapy with global sales of over $500m last year and whose patent for the oral products expired in 2015.

“Sildenafil remains our lead project for generics and in line with our stated strategy, we will continue to progress our intellectual property for other possible generic reformulation opportunities that we can then develop at a later stage.”

YOLO Leisure and Technology (LON:YOLO) 0.6p £1.99m

FY Sep17 results. “A year of progress for the investment company which now has five companies within its portfolio.”

· Total comprehensive income for the year £726,153 (2016: Loss £621,530)

· Unrealised gains on investments of £657,935 (2016: losses £372,758)

· Realised gains on disposal of investments of £270,559 (2016: £Nil)

· Total Net Assets of £4,514,025 (2016: £1,206,871), representing 1.02p per share (2016: 0.68p).

   Cash £620k.  "Yolo is well positioned as an investment company to actively grow its portfolio in 2018.  Our purpose is to identify innovative businesses that meet our investment criteria and have significant potential to deliver value for our shareholders”

Amphion Innovations (LON:AMP) 1.38p £2.85m

The developer of medical, life science, and technology businesses, announces a further update regarding its partner company Polarean Imaging Limited , in which Amphion currently has an interest of circa 26%. Further to recent  announcement of 22 November 2017, Polarean has successfully closed on £647,127 in interim funding in the form of a Convertible Promissory Note (CPN). The CPN will automatically convert into fully paid Ordinary Shares of Polarean at a conversion price equal to 90% of the Issue Price of Ordinary Shares upon Admission to trading of the Ordinary Shares to the AIM market of the London Stock Exchange. The proceeds will be used to ensure there are adequate financial resources to complete the proposed IPO which is expected in Q1 2018, market conditions permitting.

]]>
Fri, 22 Dec 2017 09:36:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29152/breakfast-news-switzerland-says-the-eu-is-trying-to-weaken-its-financial-center-29152.html
Breakfast News - FFI Holdings, Landore Resources, Sosandar, Time Out Group and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29093/breakfast-news-ffi-holdings-landore-resources-sosandar-time-out-group-and-others-29093.html AIM

Erris Resources PLC—a mineral exploration and development company currently focused on two geographic areas. Offer TBC, expected 21 December 2017

CIP Merchant Capital—Closed ended investment Company. Sector focus oil & gas, healthcare, pharma, and real estate. Offer TBA. Due 21 Dec

Panthera Resources— The Company was established to act as a holding company for Indo Gold Limited, an unlisted Australian registered company. The Company aims to explore and develop gold assets in India and West Africa. Offer TBC, expected 20 Dec

Sumo Group—one of the UK's largest independent developers of AAA-rated video games providing both turnkey and co-development solutions, including initial concept and pre-production . Offer TBC. Due late Dec

Pelatro—provider of proprietary software solutions to enterprise-level customers for various aspects of precision marketing for use in B2C applications. Offer TBC, expected 19 December 2017

Fusion Antibodies—contract research organisation providing services to biopharmaceutical and diagnostics companies that are involved in the development of antibodies for both therapeutic drug and diagnostic applications.  Offer TBA. Due Mid Dec.

Sirius Petroleum—RTO. Becoming an operating company in the Ororo Field in Nigeria. Raising £7.2m/ Mkt Cap £35.6m.  Due 19 Dec.

Bushveld Minerals—RTO of Bushveld Vametco and therefore 78.8% of Strategic Minerals Corporation, the intermediate holding company that owns a 75 per cent. interest in the Vametco Vanadium Mine.

Range Resources— oil and gas company listed on the ASX plans to admit to AIM on 13 Dec with mkt cap of £17.4m. Acquiring Range Resources Drilling Services Limited, an oil services business based in Trinidad & Tobago  with extensive drilling capabilities. 

Eqtec—Company with access to a proprietary advanced gasification technology used in industrial size power plants to convert waste into synthetic gas to generate electricity.  Raising £1.6m. Mkt Cap £8.7m. Due 21 Dec.

Volex VLX.L—The global provider of cable assemblies is proposing to move from the main market to AIM on 19 January. £71m market cap. FYMar18E rev £241.5m and £7.19m PBT

Miriad Advertising—Global video advertising company incorporated in 2015 and is engaged in the development of native in-video advertising. 2016 rev £0.7m and £7.3m operating loss. Offer TBA. Expected 19 Dec.

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. Expected valuation £200m to £250m.

Main Market Specialist Fund Segment

Sure Ventures –Raising  up to £50m at £1. Focus on FinTech, IoT and Augmented/Virtual Reality. Due 22 Dec.

Tufton Oceanic Assets  -  intends to invest in a diversified portfolio of secondhand commercial sea-going vessels . Aiming to raise over $100m. Due 20 Dec

Main Market Standard Listing

Shefa Yamin minerals company focused on the exploration for precious stones in Northern Israel. Net Proceeds will be used to advance the Company's mining project. Offer TBA.

Main Market Premium Listing

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.

Greensphere Capital -$500m raise.  Aims to provide Shareholders with an attractive yield from a portfolio of sustainable infrastructure assets diversified by geographies and sectors and to realise long-term growth  capital value.  Due 20 Dec

Vivo Energy—The Africa-focused company, which operates around 1,800 Shell forecourts across 16 countries  reported by City A.M. to be preparing for a London float next year

Aberdeen Standard European Logistics Income—Investment Trust targeting £250m raise. Investing in a high quality portfolio of European logistics assets. Due 15 Dec.

Aviva Investors Secure Income REIT  - Targeting £200m raise. Will invest in a diversified portfolio of high quality, long-lease commercial real estate assets located within the UK and leased to predominantly investment grade tenants. Due 15 Dec.



  
 
    
 
 
Breakfast buffet

Cadence Minerals (NEX:KDNC) 0.275p £21.6m

Binding investment agreements with Lithium Technologies Pty Ltd and Lithium Supplies Pty Ltd ("The Vendors") to acquire up to 100% of six prospective hard rock lithium assets in Argentina. These transactions mark the start of the Company's strategic shift to earn in to early stage lithium assets in well-known lithium jurisdictions where we see the potential to deliver shareholder value by investing in projects that have shorter development timeline to cashflow than a typical lithium carbonate producer. The Vendors have claims over 55,773 hectares for six exploration permits within the known spodumene bearing pegmatite fields in San Luis Province, Central Argentina. Will acquire up to 49% by spending £1.1m on exploration and drilling, and by issuing £0.4m  of shares.

AorTech (LON:AOR) 23.75p £1.32m

“The biomaterials and medical device IP company, announces that the Foldax Defendants and the Company have amicably resolved their dispute and the terms of settlement have been incorporated into a confidential settlement agreement.

Bill Brown Chairman of AorTech, commented: "I am pleased to announce this settlement agreement which brings to an end the ongoing dispute. We now look forward to focusing on developing AorTech's IP assets."

Faron Pharma (LON:FARN) 825p £240.6m

The clinical stage biopharmaceutical company, announces that it has completed recruitment, on track, for its Phase III INTEREST trial of Traumakine® for the treatment of moderate to severe Acute Respiratory Distress Syndrome (ARDS).

In addition to the completion of recruitment, the Company reports that it has adopted recommendations from the INTEREST trial's Independent Data Monitoring Committee  and Steering Committee  to present patient data showing blinded ARDS outcomes (mortality/ morbidity) at 90 days (D90), in addition to the day 28 mortality endpoint. Outcomes at D90 are widely recognised to be as important clinically when judging the benefit of treatment alongside the D28 data.

Landore Resources (LON:LND) 2p £16.72m

Updated Mineral Resource estimate for the BAM East Gold Deposit on its Junior Lake Property, Ontario, Canada.

BAM East Gold Resource increased to 400,000 ounces gold at 1.37 grams/tonne (g/t) of which 326,000 ounces gold is in the Indicated category.  

“Landore Resource's work programme in 2018 is aimed at further growth of the BAM East Gold resource to greater than one million ounces gold, completion of a Preliminary Economic Assessment (PEA) on the Junior Lake Project and the discovery of further gold deposits along the 31 kilometre, highly prospective Junior Lake Shear".   

Yu Group (LON:Yu.) 810p £113.8m

“The independent supplier of gas and electricity to the UK corporate sector, announces that it has been granted a licence by regulator Ofwat to enter the retail and commercial water market. The Company intends to supply water services for the business sector only and will trade under the Company's newly formed subsidiary, Yü Water Limited.

 

Yü Group decided to launch Yü Water following the de-regulation of the water retail market in April this year, the largest market of its kind in the world. The licence will allow Yü Water to buy wholesale water services and offer these services together with its energy services to develop bespoke packages to suit the individual business needs of its customers.” FYDec17E rev £40.25p and £2.55m PBT, yield c. 0.4%.

Vela Technologies (LON:VELA) 0.78p £5.6m

The investing company focused on early-stage and pre-IPO disruptive technology investments, notes the recent press coverage regarding Portr Limited, trading as Airportr, the London based travel technology start-up, which has partnered with American Airlines to allow check-in of luggage for its flights from London. This follows the partnership previously announced with British Airways.

Vela has an interest in 125,619 shares in AirPortr, equivalent to 3.7% of AirPortr's issued share capital.

FFI Holdings  (LON:FFI) 153p £240.3m

The specialist in the provision of completion contracts to the entertainment industry for films, television, mini-series and streaming product, announces today that it has acquired Buff Dubs Pty. Ltd. one of Australia's most innovative post-production services companies with technology leadership in encoding, transcoding, media duplication and mastering.

In the trailing 12 months, Buff Dubs generated A$4.3m in revenues and EBITDA of A$881,000. FFI is purchasing 100% of Buff Dubs on an instalment basis, with an initial payment of A$1.65m in cash followed by 5 annual payments of 12.5% of Buff Dub's EBITDA at a 4 times multiple.

FYMar18E rev £50.66m and PBT £19.01m.

Plus500 (PLUS.L) 950p £1,082m

The “online service provider for retail customers to trade CFDs internationally, is pleased to announce that the Monetary Authority of Singapore has granted Plus500SG Pte. Ltd. a Capital Markets Services licence for dealing in securities and leveraged foreign exchange trading.

The grant of the Capital Markets Services licence reflects the scalability of the Company both from a business and a regulatory point of view and is in line with the Company's strategy to add new licences in order to expand its customer base globally and diversify its geographical revenues.”

FYDec17E rev £288.2m and PBT of £168.4m, yield c.7%.

Time Out Group (LON:TMO) 133.5p £178.04m

The global media and entertainment business, has signed a conditional lease agreement for a new Time Out Market in Chicago. Anticipated to open in 2019. The stand-alone, two-storey brick building is at the heart of the Fulton Market District, one of the oldest meatpacking and food distribution centres in the city going back to the 19th century. Today, this is one of Chicago's thriving neighbourhoods attracting high footfall with its restaurants, bars, shops, galleries and hotels as well as offices occupied by some of the world's leading companies. Footprint of circa 50,000 sq ft, accommodating almost 600  seats.

FYDec17E rev £45.3m and £19.26m pre-tax loss.

Sosandar (LON:SOS) 19.7p £21m

The online women's fashion retailer, is pleased to announce that trading since 31 August 2017 to the end of November has exceeded management expectations.  The new funds raised at the time of the reverse takeover on 2 November 2017 are enabling the business to acquire larger and wider ranges of product and has also enabled the business to accelerate its media and marketing activities. Investment in new marketing channels has yielded strong results and will be further expanded in order to drive new customer acquisition.

We could see no forecasts.

]]>
Mon, 11 Dec 2017 12:10:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29093/breakfast-news-ffi-holdings-landore-resources-sosandar-time-out-group-and-others-29093.html
Breakfast News - Castleton Technology, BMR Group, Versarien, Alliance Pharma, Rose Petroleum and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29064/breakfast-news-castleton-technology-bmr-group-versarien-alliance-pharma-rose-petroleum-and-others-29064.html AIM

Fusion Antibodies—Belfast based contract research organisation providing services to biopharmaceutical and diagnostics companies that are involved in the development of antibodies for both therapeutic drug and diagnostic applications.  Offer TBA. Due Mid Dec.

Sirius Petroleum—RTO. Becoming an operating company in the Ororo Field in Nigeria. Raising £7.2m/ Mkt Cap £35.6m.  Due 19 Dec.

Bushveld Minerals—RTO of Bushveld Vametco and therefore 78.8% of Strategic Minerals Corporation, the intermediate holding company that owns a 75 per cent. interest in the Vametco Vanadium Mine.

Range Resources— oil and gas company listed on the ASX plans to admit to AIM on 13 Dec with market cap of £17.4m. Also acquiring Range Resources Drilling Services Limited, an oil services business based in Trinidad & Tobago  with extensive drilling capabilities.

Eqtec—Company with access to a proprietary advanced gasification technology used in industrial size power plants to convert waste into synthetic gas to generate electricity.  Raising £1.6m. Mkt Cap £8.7m. Due 21 Dec.

Volex VLX.L—The global provider of cable assemblies is proposing to move from the main market to AIM on 19 January. £71m market cap. FYMar18E rev £241.5m and £7.19m PBT

Belluscura— Provider of premium medical devices at value prices to address part of the global unmet need for affordable, premium quality medical devices.  Raising £7.5m to £10m. Offer TBA. Due early Dec

Miriad Advertising—Global video advertising company incorporated in 2015 and is engaged in the development of native in-video advertising . 2016 rev £0.7m and £7.3m operating loss. Offer TBA. Expected 6 Dec.

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. Expected valuation £200m to £250m.

Main Market Specialist Fund Segment

Sure Ventures –Raising  up to £50m at £1. Focus on FinTech, IoT and Augmented/Virtual Reality. Due 8 Dec.

Main Market Standard Listing

Shefa Yamin minerals company focused on the exploration for precious stones in Northern Israel. Net Proceeds will be used to advance the Company's mining project. Offer TBA.

Main Market Premium Listing

Greensphere Capital -$500m raise.  Aims to provide Shareholders with an attractive yield from a portfolio of sustainable infrastructure assets diversified by geographies and sectors and to realise long-term growth  capital value.  Due 20 Dec

Vivo Energy—The Africa-focused company, which operates around 1,800 Shell forecourts across 16 countries  reported by City A.M. to be preparing for a London float next year

Aberdeen Standard European Logistics Income—Investment Trust targeting £250m raise. Investing in a high quality portfolio of European logistics assets. Due 15 Dec.

Tri-Pillar Infrastructure— Investing a broad range of infrastructure assets located predominantly in continental Europe and North America. Seeking £200m raise at 100p.  Due 8 December.

Sabre Insurance Group—Private motor insurance underwriter, founded in 1982. Raising C.£206m to purchase outstanding preference shares.  Generated gross written premiums  in 2016. Due December. 220p to 240p. Mkt cap £550m to £600m.

Aviva Investors Secure Income REIT  - Targeting £200m raise. Will invest in a diversified portfolio of high quality, long-lease commercial real estate assets located within the UK and leased to predominantly investment grade tenants. Due 8 Dec. 

Breakfast buffet

Arix Bioscience (LON:ARIX) 180p £173m

The global healthcare and life science company supporting medical innovation, has led an oversubscribed $30m Series F financing round for Atox Bio. Atox Bio is a late stage clinical biotechnology company developing novel immune modulators for critically ill patients with severe infections including necrotising soft tissue infections (NSTI) and acute kidney injury (AKI).  Atox Bio's lead therapeutic candidate, Reltecimod, is a novel peptide that modulates the body's immune response, lowering the risk of potential morbidities and mortality. Reltecimod received Orphan Drug status from the FDA and EMA as well as Fast Track designation. Atox Bio is conducting a Phase 3 clinical study of Reltecimod for patients with NSTIs, and will start a Phase 2 clinical study for AKIs in 2018.

Pennant International Group (LON:PEN) 75.5p £24.9m

“The supplier of integrated training and support solutions, products and services, principally to the defence, rail, aerospace and naval sectors and to Government Departments, is pleased to announce that it has entered into a teaming agreement with Capewell Aerial Systems LLC (a global provider of engineered products for aerial delivery, life support and tactical gear for military, law enforcement and humanitarian agencies worldwide).”

Pennant and Capewell have identified a number of opportunities to work together in North America and elsewhere to provide complementary products and services, enhancing end user experience and value, and on 29 November 2017, signed a teaming agreement which provides the framework to develop and implement these opportunities.” FYDec17E rev £16m, PBT £2.1m. 

Ergomed (LON:ERGO) 191.5p £81.73m

The specialised pharmaceutical services and drug development company, today announces that its pharmacovigilance subsidiary PrimeVigilance will be organising and presenting at the International Society of Pharmacovigilance's Intelligent Automation in Pharmacovigilance seminar to be held at Biogen's headquarters in Cambridge, MA, from 4-5 December 2017.

"PrimeVigilance has consistently demonstrated growth which is in no small part due to our market-leading adoption of new techniques and technologies and we are at the forefront of robotic automation, the next leap forward in technology for our industry.” FYDec17E rev £48.6m,  PBT £2.59m.

Provexis (LON:PXS) 0.6p £11.3m

“The business that develops, licenses and sells the proprietary, scientifically-proven Fruitflow® heart-health functional food ingredient, is delighted to announce the filing of a patent application relating to the use of Fruitflow® in protecting against the adverse effects of air pollution on the body's cardiovascular system.

Recent laboratory work has shown that Fruitflow can reduce the platelet activation caused by airborne particulate matter, such as that from diesel emissions, by approximately one third. The beneficial effects of this reduction can be observed in laboratory models representing healthy subjects as well as in models representing subjects with an underlying cardiovascular problem.” We could see no forecasts.

Rose Petroleum (LON:ROSE) 4.13p £4.65m

“The  natural resources business, is pleased to announce that following the completion of the 3D seismic acquisition, as announced on 24 October 2017, the processing of the data acquired is now nearing completion and initial data provided by our processing consultants, 3D Imaging Technology, is of excellent quality. First pass interpretation of the structures within the Cane Creek unit are very encouraging. Multiple structures that are likely to contain natural fractures are visible and work will now focus on detailed mapping and reservoir characterisation to better define them and identify targets for drilling. The processing of the data is expected to be completed in one week and interpretation work will continue to define the drill targets within the Paradox Clastics. The interpretation process is expected to take around 5 to 8 weeks.” Drill permitting expected to commence thereafter.

Alliance Pharma (LON:APH) 58p £275m

Agreement to acquire the worldwide rights to Vamousse from TyraTech Inc for an initial consideration of $13.0m and deferred contingent consideration of up to $4.5m. This agreement is subject to the approval of TyraTech's shareholders and the purchase is expected to complete before 31 December 2017. The Vamousse assets comprise an innovative, pesticide-free range of consumer healthcare products for the prevention and treatment of human head lice. Vamousse was launched in the US and the UK in 2014 and has gained strong retail distribution in both territories. Net sales of Vamousse by TyraTech for the year ended 31 December 2016 were $6.6m with a gross profit of $4.6m and for the 6 months to 30 June 2017 net sales were $3.3m with a gross profit of $2.3m. FYDec17E rev £103.5m, PBT £24.8m.  PE c.15x.

Versarien (LON:VRS) 60.5p £89.2m

The advanced materials engineering group, is pleased to announce that it has signed an  agreement with a US headquartered global chemical supplier, which will allow to both companies to begin collaborating across a number of projects.

The Partner, a Fortune 100 company, will use Versarien's proprietary Nanene few layer graphene nano-platelets, along with other 2D products manufactured by Versarien, in different potential applications. Both groups will work together on research, development and testing of compounded materials, with the objective of replacing incumbent additives across different chemical variants to improve material performance.” We could see no forecasts.

BMR Group (LON:BMR) 1.9p £4.5m

“The Board notes the announcement by Galileo Resources PLC this morning concerning the Star Zinc project.

The Board of BMR is pleased to confirm that, following the payment by BMR to Bushbuck Resources Limited of $0.3m, in accordance with the agreement summarised in the announcement of 5 September 2017, the Republic of Zambia Ministry Mines and Minerals Development confirmed on 1 December 2017 receipt of the request by Bushbuck to transfer the Star Zinc licence (19653-HQ-LEL) to Enviro Processing Limited, a subsidiary of BMR.”

Castleton Technology (LON:CTP) 63.5p £49.98m

Acquisition of Kinetic Information Systems Pty Ltd, the leading provider of software solutions to the Community Housing sector in Australia, for an initial cash consideration of AU$2.0m and deferred cash payment of AU$0.5m.  A further cash payment of up to AU$0.5m  may also be payable dependent on financial performance. Kinetic: Revenue of AU$2.3m (£1.3m) and normalised EBITDA of AU$0.6m (£0.3m) for the year to 30 June 2017 .

FYMar18E Rev £22.7m and £4.12m PBT. PE c.13x.

]]>
Mon, 04 Dec 2017 09:17:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/29064/breakfast-news-castleton-technology-bmr-group-versarien-alliance-pharma-rose-petroleum-and-others-29064.html
Breakfast News -AIM Breakfast : MySQUAR, Gfinity , LiDCO, Swallowfield and CyanConnode http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/28118/breakfast-news-aim-breakfast-mysquar-gfinity-lidco-swallowfield-and-cyanconnode-28118.html Set menu NEX Growth:

Total number of NEX Growth Market Companies (Incl Susp):

85*

Total number of NEX Growth Market Companies trading:

80*               

*as at close of business 05 June 2017


 
Set menu AIM:

Total number of AIM Companies (Incl Susp):

960*

Total number of AIM Companies trading:

927*

*as at close of business 05 June  2017


Dish of the day

Tatton Asset Management (TAM.L) Provider of services to FCA authorised financial advisers. Raising £10m at 156p. Secondary offer £41.6m. Mkt cap c. £87.2m. FY Mar17 net revenues of £1.9m 70% recurring.  Adjusted op profit £5.5m. 

Off the menu  

No AIM Leavers today


 
Dish of the day

No NEX Growth Market Joiners or Leavers Today

 
What’s cooking in the IPO kitchen?

AIM

Altus Strategies—African focused natural resource Company. Offer TBC. Expected Mid July.

Harvey Nash Group— Provider of professional recruitment and offshore solutions moving to AIM from Main. No capital to be raised.  Mkt Cap c. £57.8m.

AnimalCare—RTO of Ecuphar NV, a European animal health company. £30m raise. Ecuphar FY16 rev £68.4m, underlying EBITDA £8.9m. Due 13 July.

Angling Direct  -Schedule 1  from the specialist fishing tackle retailer in the UK . Raising £9m of which £7.4m new money. Mkt cap c. £27.4m.  Due 13 July

NEXUS Infrastructure—Offer TBA.  Provider of essential infrastructure services to the UK housebuilding and commercial sectors. Expected 11 July. FYSep16 rev £135.7m.

Greencoat Renewables  - Schedule 1. Targeting a portfolio of operating renewable electricity generation assets, initially investing in wind generation assets in Ireland.  Offer TBC. Due Mid July.

QUIZ— Omni-channel fast fashion womenswear Company intention to float. Due July 2017.  Offer TBA

I3 Energy –Schedule 1 Update. Independent oil and gas company with assets and operations in the UK.  Offer TBC, Mid July admission.

Verditek— Sch 1 update. The Company's subsidiaries will be involved in advanced solar photovoltaic, filtration and absorption technologies specialising in providing environmental services. Issue price 10p.  Admission late June

Main Market Standard Listing

Rockpool Acquisitions—Northern Ireland based Company seeking  strong NI acquisition with an international outlook. Raising £1.5m at 10p. Due 5 July.

Main Market Premium Listing

Hipgnosis Songs Fund investment company offering pure-play exposure to Songs and associated musical intellectual property rights. Prospectus yet to be published.

Impact Investment Trust—Exposure to a diversified portfolio of funds providing SMEs across developing economies with the growth capital they need to have a positive impact on the lives of the world's poorer populations. Raising up to $150m at $1.00

Residential Secure  Income -  social housing REIT  raising up to £300m Admission due c.12 July.

Curzon Energy—Report on Proactive Investors of intended LSE float this year  with acquisition of  coal bed methane assets in Oregon. Looking to raise £3m plus.

NLB Group—financial and banking institution based in Slovenia, with a network of 356 branches. Seeking Ljubliana Stock Exchange listing with GDRs on the LSE. Expected mid June.

Kuwait Energy— has not been able to complete its initial public offering as announced in its Intention To Float of 3 May 2017. However, in light of positive feedback from potential investors, the Company remains committed to obtaining a London listing and continues to explore its options.

Main Market Specialist Funds

Supermarket Income REIT– Up to £200m raise to acquire a diversified portfolio of supermarket real estate assets in the UK, providing long-term RPI-linked income. Due 21 July.

   
Breakfast buffet

MySQUAR (LON:MYSQ) 4.83p £28.05m

The Myanmar-language social media, entertainment and payments platform whose principal activity is to design, develop and commercialise Myanmar-focused internet-based mobile applications, is announced  the release of a news aggregator called Mingalarbar Morning (www.mingalarbarmo­rning.com), which is designed to be used with both desktop and mobile devices. The news sector in Myanmar is in its infancy with high growth potential and as such we are excited to be one of the first mobile-friendly news aggregators in the market.”

 

Shield Therapeutics (LON:STX) 157.5p £183.37m

The speciality pharmaceutical company focused on secondary care, and Ewopharma AG, a pharmaceutical marketing company headquartered in Schaffhausen, Switzerland, are pleased to announce that they have entered into an exclusive sale, supply, distribution and marketing agreement for Feraccru® in Switzerland.  Switzerland is a well-developed market for the treatment of Iron Deficiency Anaemia (IDA), currently contributing almost 15% of total European IV iron sales. FYDec18E revs £3.39m and £19m loss.

Blancco Technology (LON:BLTG) 150.5p £96.3m

The global provider of mobile device diagnostics and secure data erasure solutions, issued a pre-close trading update for the year ended 30 June 2017. The Board is pleased to report that the positive Revenue momentum reported at the interim results has continued through the second half of the year.  For the financial year ending 30 June 2017, revenues increased approximately 40% over the prior year, approximately 30% in constant currency, in line with market expectations. However, cash flow and net cash are below market expectations due to the non-payment of £3.5m of receivables, the majority undertaken in the prior year. £2.2m provision resulting in Adjusted Operating Profits of not less than £5.5m and Adjusted EBITDA of not less than £7.0m.

CyanConnode (LON:CYAN) 0.16p £27.8m

The specialist in narrowband radio mesh networks, announced a purchase order from Genus Power Infrastructures Ltd  for a smart metering deployment for the Indian state-owned utility Uttar Gujarat Vij Company Ltd. This is the Company's first contract award from its new partner, Genus, a tier one meter provider with the largest installed base in India and supplier to multiple utilities.  The purchase order is for a smart metering implementation of over 23,000 units, to be deployed over the next 18 months, for UGVCL customers in Naroda, a suburban town in the fast-growing areas of Ahmedabad. UGVCL operates in the northern parts of Gujarat and serves a consumer base of more than three million. We could see no forecasts.

Swallowfield  (LON:SWL) 377.5p £63.67m

Trading update from the specialist in the development, formulation, and supply of personal care and beauty products, including its own brands. the business has continued to trade strongly. Revenues for the full year are expected to show growth of 36% (30% on a constant currency basis) to approximately £74.1m (2016: £54.5m). Revenues excluding acquisitions are expected to show a growth of 7% (2% on a constant currency basis). Revenue growth has been bolstered by the continuing strong performance of owned brands, in particular, the Brand Architekts' portfolio acquired in June 2016.

LiDCO (LON:LID) 10.25p £25m

The hemodynamic monitoring company, confirms the appointment of Jill McGregor as CFO. Ms McGregor is a Chartered Accountant and has over 25 years' experience in a number of finance roles. Ms McGregor joins LiDCO after six years as CFO of Touch Bionics, a UK based provider of upper limb technologies, with operations in the USA and Germany, recently acquired by Össur. Prior to this, Ms McGregor spent seven years at Optos plc, a provider of retinal imaging devices, as Group Financial Controller and then as Vice President and Director of Finance. Optos listed on the London Stock Exchange in 2006 and was acquired by Nikon in 2015. FYJan18E rev £9.5m, £0.7m loss.

Gfinity (GFIN.L) 23p £43.4m

The leading esports promoter, provides an update on the Elite Series Season One which will take place at the Gfinity Esports Arena in London. The Series will begin on Friday 7th July and will run every weekend until Sunday September 3rd. Fans will be able to view the competition on GfinityEsports.com. We could see no market forecasts.

Empyrean Energy (EME.L) 10.75p £41.63m

The oil and gas development company with interests in China, Indonesia and the United States, has been informed by Sacgasco Limited (ASX: SGC) the operator of the Dempsey 1-15 well in the Sacramento Basin, onshore California, that a drilling permit for the well has been granted.   Sacgasco is now preparing to drill the targeted 1Tcf prospect to a depth of ~10,500ft and updates will be made with regards to the commencement of operations in the coming weeks.  "Having recently increased our interest in the 1Tcf+ natural gas Dempsey prospect to 30% we are eager for Sacgasco to commence drilling.”

Capital for Colleagues (CFCP.L) 45p £6.9m

The investment vehicle focused on opportunities in the Employee Owned Business ('EOB') sector, is has invested GBP 400,000 in a new portfolio company, Employee Owners Group Limited ('EOGL'), the holding company for a number of businesses operating predominantly under the Carpenter Oak brand. Carpenter Oak has been creating timber frames since 1987, completing a range of  award winning projects.

*A corporate client of Hybridan LLP

]]>
Thu, 06 Jul 2017 08:18:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/28118/breakfast-news-aim-breakfast-mysquar-gfinity-lidco-swallowfield-and-cyanconnode-28118.html
Breakfast News -AIM Breakfast : EU Supply, FAIRFX, BlueRock Diamonds and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/28110/breakfast-news-aim-breakfast-eu-supply-fairfx-bluerock-diamonds-and-others-28110.html Set menu NEX Growth:

Total number of NEX Growth Market Companies (Incl Susp):

85*

Total number of NEX Growth Market Companies trading:

80*               

*as at close of business 04 June 2017


 
Set menu AIM:

Total number of AIM Companies (Incl Susp):

958*

Total number of AIM Companies trading:

925*

*as at close of business 04 June  2017

   
 
Dish of the day

No NEX Growth Market Joiners or Leavers Today


    
What’s cooking in the IPO kitchen?

AIM

Altus Strategies—African focused natural resource Company. Offer TBC. Expected Mid July.

Harvey Nash Group— Provider of professional recruitment and offshore solutions moving to AIM from Main. No capital to be raised.  Mkt Cap c. £57.8m.

AnimalCare—RTO of Ecuphar NV, a European animal health company. £30m raise. Ecuphar FY16 rev £68.4m, underlying EBITDA £8.9m. Due 13 July.

Angling Direct  -Schedule 1  from the specialist fishing tackle retailer in the UK . Raising £9m of which £7.4m new money. Mkt cap c. £27.4m.  Due 13 July

NEXUS Infrastructure—Offer TBA.  Provider of essential infrastructure services to the UK housebuilding and commercial sectors. Expected 11 July. FYSep16 rev £135.7m.

Tatton Asset Management –Sch 1. Provider if services to FCA authorized financial advisers. Raising £10m at 156p. Secondary offer £41.6m. Due 6 July.

Greencoat Renewables  - Schedule 1. Targeting a portfolio of operating renewable electricity generation assets, initially investing in wind generation assets in Ireland.  Offer TBC. Due Mid July.

QUIZ— Omni-channel fast fashion womenswear Company intention to float. Due July 2017.  Offer TBA

I3 Energy –Schedule 1 Update. Independent oil and gas company with assets and operations in the UK.  Offer TBC, Mid July admission.

Verditek— Sch 1 update. The Company's subsidiaries will be involved in advanced solar photovoltaic, filtration and absorption technologies specialising in providing environmental services. Issue price 10p.  Admission late June

Main Market Standard Listing

Rockpool Acquisitions—Northern Ireland based Company seeking  strong NI acquisition with an international outlook. Raising £1.5m at 10p. Due 5 July.

Main Market Premium Listing

Hipgnosis Songs Fund investment company offering pure-play exposure to Songs and associated musical intellectual property rights. Prospectus yet to be published.

Impact Investment Trust—Exposure to a diversified portfolio of funds providing SMEs across developing economies with the growth capital they need to have a positive impact on the lives of the world's poorer populations. Raising up to $150m at $1.00

Residential Secure  Income -  social housing REIT  raising up to £300m Admission due c.12 July.

Curzon Energy—Report on Proactive Investors of intended LSE float this year  with acquisition of  coal bed methane assets in Oregon. Looking to raise £3m plus.

NLB Group—financial and banking institution based in Slovenia, with a network of 356 branches. Seeking Ljubliana Stock Exchange listing with GDRs on the LSE. Expected mid June.

Kuwait Energy— has not been able to complete its initial public offering as announced in its Intention To Float of 3 May 2017. However, in light of positive feedback from potential investors, the Company remains committed to obtaining a London listing and continues to explore its options.

Main Market Specialist Funds

Supermarket Income REIT– Up to £200m raise to acquire a diversified portfolio of supermarket real estate assets in the UK, providing long-term RPI-linked income. Due 21 July.

  
 
Breakfast buffet

EU Supply (LON:EUSP) 17p £11.5m

“The e-procurement software provider, is pleased to announce that it has entered into a contract with the Norwegian Government Agency for Financial Management (the "Customer") for the use of its CTMTM platform. In addition, the contract allows over 200 other Norwegian state controlled entities/operations to use the platform via the Customer. The contract is expected to generate total revenues of, in aggregate, more than £50k over 3 years, including licenses and support and implementation. Furthermore, as announced in the Company's AGM statement on 30 May 2017, the Group continues to see increasing activity in certain European e-Procurement markets where there is currently a low adoption rate, such as Norway.” FYDec17E rev £4.3m and £0.15m loss.

City of London Group (LON:CIN) 4p £1.47m

FY Jul 17 results from the investment company focused on providing finance to the SME sector, including professional service firms.   CAML to be retained, following strategic review. CAML's results improve substantially with an operating profit before shareholder capital charges of £171k (2016: operating loss before shareholder capital charges of £217k). CAML's own book portfolio £13.8m at year end (2016: £13.7m).  Loss before tax £1.2m (2016: loss before tax £6.8m after losses of £7.2m relating to TFPL and a profit of £1.4m on the sale of Therium).  Consolidated NAV per share attributable to shareholders 3p (2016: 6p).

Jaywing (LON:JWNG) 37p £32.15m

FY Mar 17 results from  the data driven, insight and creative agency. Two strategically important acquisitions, the formation of a Marketing Technology division and an international footprint. Strong cash generation, with net debt reduced by £1.79m and now represents 0.7x EBITDA (2016: 1.2x). Adjusted EBITDA up 12% to £4.86m (2016: £4.33m). Reported loss after tax £2.98m (2016: £0.70m profit) incurred after £2.90m of goodwill impairment charges and £1.11m of costs relating to acquisitions. “We have had a good start to the year in new business, particularly in Epiphany, and cross selling more widely, and the Australian business is growing ahead of the UK. We are however seeing some delay and caution in spend for a small number of clients, but overall we feel optimistic for the year ahead. “FYMar18E rev £42.6m, PBT £4.8m.

CityFibre Infrastructure (LON:CITY) 60.5p £160.73m

The designer, builder, owner and operator of fibre optic infrastructure in UK towns and cities, today announces that it intends to raise minimum gross proceeds of £185 million at 55 pence per share, fully underwritten by a consortium. Intends to raise further proceeds through an accelerated bookbuilding process  and further gross proceeds of up to £15 million through a non-underwritten offer for subscription. Proceeds will be used to fund the growth of the Company's full fibre network in the UK including a £29m acquisition of Entanet International Limited, a provider of wholesale communications services which turned over £35.74m in 2016 and made operating profit of £0.7m.

SolGold (LON:SOLG) 39p £590m

Update on the drilling progress of current Holes 23R-D1R, 24-D1R, 26, and 27 at Cascabel, the Company's copper-gold porphyry project in Ecuador. 

Current drill holes 23R-D1 (Rig 1 Alpala Central), 24-D1R (Rig 3 Alpala Southeast), 26 (Rig 4 Alpala Northwest) and 27 (Rig 2 Hematite Hill) all intersect mineralised diorite porphyry as drilling continues to grow the known Alpala copper-gold deposit.

 

Rig 5 has been mobilised to site. Rig 6 scheduled for arrival late July 2017.  Rigs 5 and 6 to expand on growing resource potential at Hematite Hill and Alpala Southeast.

Rig 7 scheduled for mobilisation in August 2017.

Booker Group (LON:BOK) 182.5p £3.3bn

Q1 t ate from the UK Food Wholesaler. “Group sales rose by 4.0% on the same period last year with like for likes up 4.2%. Non tobacco sales grew by 9.6% on a like-for-like basis. Favourable weather and the late Easter assisted this growth.  Tobacco sales continued to be adversely impacted by changes in tobacco legislation, down 7.9% like-for-like.” Merger with Tesco (announced Jan) still with competition authorities.

FAIRFX (LON:FFX) 63.5p £65.94m

HYJun17 trading update from the low cost multi-currency payments service. The Company achieved its first interim net profit since IPO, which was ahead of management expectations. Turnover for the first half was up 25.8% year on year to £433.8 million with broad-based growth. A combination of a more profitable business mix, leading to an improved gross margin, and cost benefits of rationalising the supply chain resulted in the profitable period. The sustained growth in the period was achieved despite the headwinds of the UK General Election, which weakened Sterling both before and after the result.

Edenville Energy (LON:EDL) 0.76p £8.4m

Notes recently drafted legislation in Tanzania concerning natural resources projects. The Company stressed that Edenville has recently gone through a comprehensive and complete permitting process for the Project with both state and local government organisations, along with the local community, and has received widespread support to develop the Project to provide both energy and employment opportunities to the people of Tanzania. Closely monitoring the situation. 

BlueRock Diamonds (LON:BRD) 3.13p £2.12m

Production update: not only have the Company's daily production levels increased significantly but it is now achieving these levels consistently and approaching Kareevlei's monthly target of 25,000 tonnes.  Production in June: 14,427 tonnes vs 9,769 in May. Average grade recovered in June remained below long term expectations with the average for 2017 at around 1.60 cpht.  Nevertheless, the Company continues to find increasingly large diamonds and June parcel contained an 11.7 ct diamond, the largest that BlueRock has recovered to date. Over the next few months, the Company expects grades to improve as  it goes deeper in the pit.

SimiGon (LON:SIM) 20p £10.28m

The specialist on providing simulation training solutions, has successfully completed all systems delivery milestones and received the requisite client confirmations in relation to the $6.7 million contract announced on 24 June 2013. The successful collaboration with the customer has led to a more advanced training system being developed. The experience gained from this turnkey programme will be useful in marketing SIMbox training solution to other potential customers worldwide, extending SimiGon's market reach. FY Dec 17E Rev £6.03m, PBT £1.23, PE c.8.3x yield c. 2.6%.

]]>
Wed, 05 Jul 2017 10:59:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/28110/breakfast-news-aim-breakfast-eu-supply-fairfx-bluerock-diamonds-and-others-28110.html
Breakfast News -AIM Breakfast : Independent Oil & Gas, Genedrive, Itaconix, Obtala, http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27394/breakfast-news-aim-breakfast-independent-oil-gas-genedrive-itaconix-obtala-27394.html Set menu AIM:

Total number of AIM Companies (Incl Susp):

969*

Total number of AIM Companies trading:

948*

*as at close of business  26 March 2017

Set menu NEX Growth:

Total number of NEX Growth Market Companies (Incl Susp):

85*

Total number of NEX Growth Market Companies trading:

82*               

*as at close of business  26 March 2017

Dish of the day

No NEX Growth Market Joiners Today

Off the menu

No NEX Growth Market Leavers Today


 
Dish of the day

BioPharma Credit— Admission to  the  Specialist Fund segment of the Main Market expected today

Falcon Acquisitions  has joined the Standard List raising £25m at 4p. Focused on the over-the-top ('OTT') video streaming market

Off the menu

No AIM Leavers Today

What’s cooking in the IPO kitchen? Path Investments—Publication of prospectus from the Energy Investment Comnpany. Raising £1.4m. Admission due on or around 30 March. Franchise Brands—Schedule 1 detailing £28m reverse takeover of Metro Rod. Admission expected 11 April. Alpha FX Group— Schedule 1 from the foreign exchange provider focused on managing exchange rate risk for UK corporates that trade internationally.  Fundraise TBC. Admission expected 7 April. K3 Capital Group—Schedule 1 from the Group of business and company sales specialists across business transfer, business brokerage and corporate finance. Admission date and fundraise details TBC. Integumen— Schedule 1 from the personal health company developing and commercialising technology and products for the human integumentary system. Raising £2.16m at 5p. Expected market cap £8.16m. Admission expected 5 April. Tufton Oceanic Assets– Offer extended to 9 May to enable investors to complete further due diligence.   

What’s cooking in the IPO kitchen? Path Investments—Publication of prospectus from the Energy Investment Comnpany. Raising £1.4m. Admission due on or around 30 March. Franchise Brands—Schedule 1 detailing £28m reverse takeover of Metro Rod. Admission expected 11 April. Alpha FX Group— Schedule 1 from the foreign exchange provider focused on managing exchange rate risk for UK corporates that trade internationally.  Fundraise TBC. Admission expected 7 April. K3 Capital Group—Schedule 1 from the Group of business and company sales specialists across business transfer, business brokerage and corporate finance. Admission date and fundraise details TBC. Integumen— Schedule 1 from the personal health company developing and commercialising technology and products for the human integumentary system. Raising £2.16m at 5p. Expected market cap £8.16m. Admission expected 5 April. Tufton Oceanic Assets– Offer extended to 9 May to enable investors to complete further due diligence.

Breakfast buffet

Quadrise Fuels International (LON:QFI) 8.45p £67.86m

FY Dec 16 results from  the emerging supplier of MSAR® emulsion technology and fuel, enabling a low cost alternative to heavy fuel oil. Loss after tax of £2.4 million (2015: £2.4 million). In November, the Company raised £5.25 million through a Placing and Open Offer of new ordinary shares. The Open Offer was oversubscribed 2.5 times. Current Maersak trial suspended due to unrelated incident with the ship. Maersk is reviewing options for recommencing and completing the full LONO trial on a new vessel from Q4 2017 onwards. Further trial due to start in Saudi in Q4 2017.

 

  Botswana Diamonds (LON:BOD) 1.27p £4.78m

HYDec16 results. £136k operating loss. Cash down to £60k  from £500k at year end. Raised £525k gross in February 2017. Other Highlights:

“The Company entered into a phased earn-in agreement with Vutomi Mining Pty Ltd ("Vutomi"), a late stage diamond explorer in South Africa;

The Company agreed with the board of Maibwe, our joint venture in the Kalahari desert in Botswana, that Botswana Diamonds would drill verification holes following the encouraging results from 2015;

A work programme for 2017 was agreed with Alrosa for the Orapa and Gope licences in Botswana.”

Independent Oil & Gas (LON:IOG) 16.25p £17.76m

The development and production focused oil & gas company, announced an update on its Harvey and Elgood licences.  The Oil and Gas Authority (OGA) has confirmed the continuation of licence P2085, which contains the Harvey discovery, until 20 December 2017. The technical work prepared and submitted by IOG in relation to its Elgood discovery has also been accepted by the OGA and will be added to the Blythe Field Development Plan as a satellite development. If successfully appraised, Harvey has the potential to be the largest gas discovery in IOG’s portfolio and significantly enhance the economics of IOG's Southern North Sea business. The range of internal resources estimates are large with a P10, P50 and P90 range of 44 BCF, 113 BCF and 290 BCF respectively.

Genedrive (LON:GDR) 42.5p £7.76m

The near patient molecular diagnostics company, today announces submission of its Genedrive® HCV ID Kit (Hepatitis C) for CE IVD certification under the EU Medical Devices Directive. Receipt of CE IVD certification will allow commercialisation of the product within the EU and in resource limited countries in the rest of the world that accept CE certification under their national regulations. Where local registration is required, CE marking is often a prerequisite. This portable quick test has a significant market opportunity.

 

SpaceandPeople (LON:SAL) 18p £3.5m

FYDec16 results from he retail, promotional and brand experience specialist. Gross revenue of £22.9m. Net revenue of £9.7m. Profit from continuing operations before taxation and non-recurring costs of £60k. Basic Earnings per Share before non-recurring costs of 0.3p.   Net cash at year end of £384k. “The introduction of important and iconic new venues means we are in a strong and growing position in our market, and there is still considerable scope to grow further. Our UK venues team has a very healthy pipeline of potential new venues they are engaging with and we are hopeful that we will continue to add to the size, diversity and quality of our portfolio.” 2017E PE of c. 7x

Elektron Technology (LON:EKT) 7.5p £13.72m

The global technology group, has completed the sale of the business and assets (excluding trade debtors and creditors) of Digitron to The British Rototherm Company Limited for a total gross consideration of £0.3million cash payable on completion. Digitron is a manufacturer of instruments for pressure and temperature measurement. In the year ended 31 January 2017 the business of Digitron traded as a brand within Elektron Technology UK Limited with sales of £1.4 million and 'Brand Contribution' of £60,000.  The sale is part of the Group's rationalisation of its portfolio, focusing its investment on the core segments of Bulgin, IMC (Instrumentation, Monitoring and Control) portfolio and Checkit.  There are no market forecasts.

Itaconix (LON:ITX) 26p £20.47m

FY Dec 16 results. During 2016 Itaconix (formerly Revolymer plc) undertook a major reorganisation to focus on its Specialty Chemicals business primarily in the high value market areas of Homecare, Personal Care and Industrial. Itaconix and its subsidiaries aim to be a leader in functional polymers that improve the safety, performance and sustainability of its customer's products. £8.8m of liquid funds. Continuing ops revenue £0.3m. £5.2m loss. Acquisition of Itaconix Corp in June 2016 for initial $7m consideration. FYDec17E rev of £1.4m and £4.6m pre-tax loss.

Obtala (LON:OBT) 17.63p £48.93m

Q1 update. ‘Intense planning is underway for several major projects as the company transitions towards meaningful production, and deployment of our substantial assets. Following the successful US$ 14.25 million fundraising via the issue of preference shares in Argento Limited (Obtala's 75% owned forestry subsidiary) during the final quarter of 2016, which was recently upsized by a further US$ 3 million, as announced on 15 March 2017, management has turned attention towards laying the foundations required for significant and sustainable increases in productivity from both the forestry and agriculture businesses. New sawmills coming onstream and refrigerated pack house in Tamzania (agriculture). There are no market forecasts.

K3 Business Technology  (LON:KBT) 254.5p £91.8m

H1Dec16 results from the provider of industry specific mission-critical software (owned and 3rd party), hosted solutions and managed services to the retail, manufacturing and distribution sectors. Significant operational progress made but results impacted by deal slippage and overhead investment. Revenues of £42.97m (2015: £42.29m).  Recurring revenue of £21.22m (2015: £19.72m). Adjusted EPS of (0.4p) (2015: 12.0p). ‘While the market shift towards cloud-based subscription models, away from the traditional on-premise model, is causing some disruption to the sales cycle, the lifetime value of such contracts has the potential to be significantly higher  and K3 is well placed to benefit as a result. ‘FYJun17E of £89m rev and £7.8m PBT seems a stretch.

]]>
Mon, 27 Mar 2017 10:33:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27394/breakfast-news-aim-breakfast-independent-oil-gas-genedrive-itaconix-obtala-27394.html
Small Cap Wrap: Dillistone Group, Ferrum Crescent Limited, Hutchison China MediTech Limited, InnovaDerma, ProMetic Life Sciences, Proxama PLC, TP Group PLC, Vernalis plc, Versarien Plc http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27112/small-cap-wrap-dillistone-group-ferrum-crescent-limited-hutchison-china-meditech-limited-innovaderma-prometic-life-sciences-proxama-plc-tp-group-plc-vernalis-plc-versarien-plc-27112.html Backers reaffirm support for ProMetic

InnovaDerma revenue picks up again

TP Group acquires

 

On this day:

399 BC—Philosopher Socrates is sentenced to death by the city of Athens for corrupting the minds of the youth of the city and for impiety

1763—Austria, Prussia & Saxony sign Treaty of Hubertusburg, marking the end of the French and Indian War and of the Seven Years War

2001—First draft of the complete human genome is published in the journal "Nature"

 

Dillistone Group (LON:DSG 87.00p/£17.60m)

Dillistone Group, the  supplier of software for the international recruitment industry through its Dillistone Systems and Voyager Software divisions, provided a trading update for the 12 months ended 31 December 2016. The Board confirmed that pre-tax profits before acquisition related items and one off adjustments are expected to be broadly in line with market expectations, with year on year growth in revenue, EBITDA and pre-tax profits.  Currency gains have impacted both revenues and costs, however the net impact of this currency fluctuation has been positive. Both divisions will be reporting good revenue growth for the period.  Economic turbulence in 2016, as noted in their Interim Report in September, has resulted in a lower than normal level of sales of new licences and subscriptions to existing clients, however licence sales to new clients and upgrades for existing clients remain strong.   The Board also noted that Dillistone Systems division has seen a notable improvement in its market performance after a challenging 2015, with significant growth in both the number and total value of new contract wins in the year.  The Board remains optimistic about making further progress in 2017, although it is mindful of the wider economic influences and their potential to impact on the performance of the business.  The Group remains profitable and cash generative and continues to follow a progressive dividend policy, subject to the needs of the business.

 

Ferrum Crescent (LON:FCR 0.18p/£4.19m)

Ferrum Crescent, the metals developer, announced further to its previous announcement of 16 January 2017, that the farm-in and joint venture agreement between Ferrum Iron Ore Limited (FIO), Ferrum South Africa Limited (FSA) and Business Venture Investments Limited (BVI) for the production of a bankable feasibility study (BFS) for the Company's Moonlight Iron Project in Limpopo Province, northern South Africa has now been formally terminated by FIO and FSA in accordance with its terms. Under the terms of the Agreement (details of which were first announced by the Company on 14 October 2015), BVI was entitled to earn up to a 43 percent equity interest in FIO through the completion and full funding of the BFS, which was to be conducted in two phases. As announced on 14 January 2016, the Company agreed to extend the timetable for BVI to complete BFS Phase 1, however, as announced on 16 January 2017, BVI failed to complete BFS Phase 1 by that extended deadline of 12 January 2017. Consequently, and in accordance with the terms of the Agreement, BVI has not earned any equity interest in FIO. The Company is considering its options in relation to the potential development of the Moonlight Project, and will make further announcements as and when appropriate.

 

Hutchinson China MediTech (LON:HCM 2,165.00p/£1,296.18m)

Hutchison China MediTech announced that it has initiated the first-in-human (FIH) Phase I clinical trial of HMPL-453 in Australia.  HMPL-453 is a novel, highly selective and potent small molecule inhibitor targeting fibroblast growth factor receptor (FGFR).  The first drug dose was administered on February 14, 2017. FGFRs are a sub-family of receptor tyrosine kinases.  Activation of FGFR signalling pathways is central to several biological processes, including angiogenesis, tissue growth and repair.  Given its complexity and critical role in a number of important physiological processes, aberrant FGFR signalling has been found to be a driving force in tumour growth, promotion of angiogenesis, as well as, conferring resistance to anti-tumour therapies.  To date, there are no approved therapies specifically targeting the FGFR signalling pathway. The FIH dose-escalation trial aims to evaluate the safety, tolerability, pharmacokinetics and preliminary anti-tumour activity of HMPL-453 in patients with advanced or metastatic solid malignancies, who have failed or are unable to tolerate standard therapies or for whom no standard therapies exist.  This open-label study consists of two preliminary phases, a dose-escalation (stage 1) and a dose-expansion stage (stage 2). In pre-clinical studies, HMPL-453 demonstrated superior potency and better kinase selectivity as compared to other drugs in the same class, as well as a favourable safety profile. 

 

InnovaDerma (LON:IDP 137.50p/£15.42m)*

InnovaDerma, a UK developer of 'at-home' and clinically proven treatments for hair loss, hair care, self-tanning and skin rejuvenation, announced its unaudited half year results for the period ended 31 December 2016.  Actions carried out by the Company have begun to have a positive financial impact, with January 2017 delivering the highest monthly revenue ever recorded. This, together with the seasonality of the business being second-half weighted, means the Board is confident of delivering a robust second half of the year. Financial Highlights showed group revenue grew strongly by 125.5 percent to £3.19m (HY2015: £1.41m) driven by the successful penetration of the UK market through Superdrug and Direct To Consumer sales,  gross profit increased significantly by 131 percent to £1.84m (HY2015: £0.8m) and loss before tax of £0.15m (HY2015: £0.004m) as a result of one-off exceptional listing costs and strategic initiatives to expand and scale the business. At 31 December 2016, the Group carried a cash balance of £0.701m against an opening balance of £0.115m. There was a very strong start to the second half of the year with January 2017 delivering the highest ever monthly sales in what is considered to be the slowest month in the self-tanning industry, with the US performing in line with expectations after launching in November 2016 with the Group securing opening orders for Skinny Tan from Harmon Retail Chain (a subsidiary of Bed Bath and Beyond). Revenue and profit expected to grow in the second half driven by the above-mentioned strategic initiatives undertaken in 2016, the fast-growing DTC platform and expansion in the UK, Europe and US.

 

OneView Group (LON:ONEV 3.38p/£12.75m)*

OneView, a retail digital transformation software provider for in store customer service, announced that Hawk Investment Holdings Limited has agreed to provide an additional loan facility of $0.3m.  The Loan is unsecured and attracts an arrangement fee of 1 percent and interest is charged at 1 percent per month.  The Loan will be used to cover short term working capital needs and is expected to be repaid in the next three months from anticipated cash receipts. Given the substantial shareholding of Hawk, the Loan is deemed a related party transaction under the AIM Rules for Companies. The Directors consider that the terms of the Loan are fair and reasonable insofar as the Company's shareholders are concerned.

 

ProMetic Life Sciences (TSX:PLI CAD2.41/CAD1,547.89m)*

ProMetic Life Sciences, the biopharmaceutical company with globally recognised expertise in bioseparations, plasma-derived therapeutics and small-molecule drug development, announced that California Capital Equity LLC (CCE), has exercised 44,791,488 share purchase warrants at a price of $0.47 per share for total proceeds of CAD21.05m to the Corporation. The CEO of CCE stated that ProMetic represented a long term and strategic investment for CCE, and that CCE anticipate further collaborations going forward.

 

Proxama (LON:PROX 0.38p/£6.83m)

Proxama, the international digital and mobile commerce company specialising in end-to-end payment solutions for card issuers and processors, announced that a leading South African insurance and financial services provider, has signed a 5 year contract with Proxama Solutions Limited for the supply of in-house EMV card issuing, PIN management and card lifecycle management. Revenue earned from software licenses, services and support will be £0.365m in 2017 and a minimum of £0.691m in total over the five years, with additional payments if certain card capacity thresholds are achieved. Proxama will supply Payment Application Manager for EMV card issuing, card lifecycle and key management, PIN Manager for electronic PIN capture and distribution, and EMV Transaction Manager for EMV transaction authentication and post-issuance control of EMV cards, including PIN changes and risk management.

 

TP Group (LON:TPG 8.12p/£30.10m)

TP Group, the specialist services and engineering group, announced that it has reached an agreement to acquire the entire issued share capital of ALS Technologies Ltd and Flexible Software Solutions Ltd for a combined initial consideration of £1.25m, funded from the Group's existing cash resources, on a debt free cash free basis. A further consideration of up to £1.5m will fall due on delivery of profit related earn-out targets over the first 20 months from completion. The maximum consideration payable for ALS and FSS, assuming all earn-out targets are met, is £2.75m. ALS, based in Wincanton, Somerset, provides systems engineering and assurance capability for mission support, flight control, combat systems and tactical information systems in the aerospace and defence markets. FSS, also based in Wincanton, develops safety-critical software for the defence and commercial sectors. ALS reported revenues of £4.3m and profits before tax of £0.5m in the financial year ended 30 September 2016. As at 30 September 2016, ALS had gross assets of £0.8m. FSS generated revenues of approximately £0.2m and was approximately breakeven in the year ended 31 December 2016. As at 31 December 2016, FSS had gross assets of approximately £0.1m.

 

Vernalis (LON:VER 30.75p/£155.57m)

Vernalis announced the achievement of a clinical milestone from its collaboration with Corvus Pharmaceuticals Inc had triggered a payment of $3m to Vernalis.  In February 2015, the Company licensed exclusive, worldwide rights to its adenosine receptor antagonist programme, CPI-444, for use in all therapeutic applications to Corvus, a US-based biotechnology company focused on developing novel immuno-oncology therapies. CPI-444 is a patented small molecule that is now being evaluated in a Phase 1/1b trial in patients with advanced cancers. It is the lead molecule in Corvus' pipeline and is being developed both as a single agent and in combination therapy. The clinical trial utilizes an adaptive design that allows expansion of disease-specific cohorts upon reaching certain pre-defined endpoints. Corvus announced positive data from its Phase 1/1b study in January 2017, having achieved the clinical study protocol criteria for expansion in the cohort of patients with renal cell carcinoma with single agent CPI-444. The licensing deal has the potential for Vernalis to earn approximately $220m in milestones from all indications, subject to development, regulatory and sales milestones being achieved.  In addition, there are mid-single digit royalties payable if a product reaches the market, with the potential to reach low-double digit royalties in certain circumstances.

 

Versarien (LON:VRS 15.25p/£18.58m)

Versarien, the advanced materials group, announced the launch of the Company's new graphene brand, Nanene. Nanene is manufactured using Versarien's patent protected, mechanised exfoliation process. This process uses high shearing forces to separate the layers of graphite to sheets of graphene which are less than ten atoms thick, with the majority being less than five atoms thick, ensuring the properties of Nanene are superior to materials already established as the industry norm. Versarien has taken this process from the laboratory to scalable production by investments in labour and capital, increasing both throughput and yields.  The result of this is an independently verified, high quality graphene product, Nanene, produced in a manufacturing process that can be scaled to meet ever increasing customer demands. Nanene can be used in a variety of applications including in high-end applications in carbon fibre composites, such as the order announced on 29 November 2016, which was achieved with a tripling of manufacturing capacity on a short lead time.

]]>
Wed, 15 Feb 2017 15:57:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27112/small-cap-wrap-dillistone-group-ferrum-crescent-limited-hutchison-china-meditech-limited-innovaderma-prometic-life-sciences-proxama-plc-tp-group-plc-vernalis-plc-versarien-plc-27112.html
Small Cap Wrap: Cambridge Cognition,Craneware, TMT Investments and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27015/small-cap-wrap-cambridge-cognitioncraneware-tmt-investments-and-others-27015.html Cambridge Cognition (LON:COG 84.00p/£16.76m)*
The neuroscience digital health Company announced it has received 510(k) clearance from the U.S.to market itsMobile producta medical device in the U.S.. CANTAB Mobile is designed to detect clinically-relevant memory impairment in older adults at the point of care. It includes a computerised test of visuospatial associative learning (CANTAB PAL) to assess episodic memory with optional mood and functional assessments, which can help to detect symptoms of depression and problems with performing regular activities of daily living. The touchscreen test, which takes under 10 minutes to complete, can be self-administered using voiceover instructions in over 20 languages with automatic scoring, accounting for age, gender and education level. All results can be accessed in a simple to interpret, one-page physician's report using a traffic-light output for memory and mood outputs. Since being classified as a European Medical Device in 2013, CANTAB Mobile has been used routinely to assess over 26,000 patients in the UK who had concerns about their memory or were considered by their physician to be at increased risk of dementia.

Craneware (LON:CRW 1,280.00p/£351.60m)
Craneware, the provider in Value Cycle solutions for the US healthcare market, provided an update on trading for the six months ended 31 December 2016. The Group announced continued growth and expects to report 15 percent increases in both revenue and adjusted EBITDA for the six month period ended 31 December 2016, building on the return to double digit growth reported in the year to 30 June 2016 and slightly ahead of expectations. Underlying sales continue to support this growth, with a particularly strong Q2, post the US Election result, and a healthy sales pipeline.Group continues to invest for the future.the period it has invested c$3m in its newly formed Employee Benefit trust and over $1m in future product development, including its cloud-based Trisus product suite and the new Craneware Healthcare Intelligence product suite.Group's cash balance at the end of the period was maintained at $45m (H116: $45m) after making these investments whilst continuing a progressive dividend payment policy. With the growth in the period, continued cash generation and a healthy sales pipeline, the Board is confident in meeting market expectations for the full year.

Fitbug (LON:FITB 0.186p/£2.24m)*
Fitbug, the digital wellness technology provider for corporate organisations,  announced a customer win with a global financial services group in Asia. The customer will use Fitbug's digital wellness services to help maximise employee performance, with the end goals of improving employee engagement, and reducing absenteeism and risk of chronic illness. Fitbug has secured an initial 1-year corporate wellness programme, which includes ongoing service revenue, together with an order for 14,000 devices. The devices were shipped in December and the programme is rolling out early this year. The Company also announced that for year ended 31 December 2016, revenue for the year is expected to be slightly behind that for the corresponding period last year, however the mix of revenue is expected to have changed to over 90 percent of 2016 revenue from corporate customers. Losses before tax for the full year are expected to be in line with the Board's expectations. Overall the Group's turnaround strategy is expected to have reduced losses for the full year by almost 50 percent in comparison with 2015's audited loss before taxation of £6.53m, with substantial cost savings made in the second half which will continue to benefit Fitbug through 2017 and beyond. The Company's balance sheet is also expected to show an improvement over the FY15 balance sheet as a result of its £2.61m fundraise and the conversion of £8.4m of the Group's core debt into equity, which was completed in July 2016. Moreover, the Company successfully completed a cash placing to raise £1m with the intentions to use the funds raised from the Placing for general corporate purposes. Moreover, the Company also announced a strategic partnership with Olympic gold medallist Sally Gunnell, OBE, to help promote and expand its digital wellness offering to businesses in the UK. The partnership combines Sally's programme and Fitbug's scalable digital platform to offer a rich corporate health and wellness proposition and to generate new growth opportunities.

IG Design (LON:IGR 244.50p/£153.91m)
IG Design Group, a designer, innovator and manufacturer of gift packaging, greetings, stationery, creative play products and giftware, announced an update for the third quarter, which covers the Group's key Christmas trading period to 31 December 2016. The Group reported that following the strong performance reported over the first six months ending 30 September 2016, trading has continued to be strong during the Christmas period. Results remain in line with the upgraded expectations announced in November 2016, with all regions trading profitably. The Board remains confident in the full year outlook of the Group.

InnovaDerma (LON:IDP 130.5p/£22.10m)*
InnovaDerma, a UK developer of 'at-home' and clinically proven treatments for hair loss, hair care, self-tanning and skin rejuvenation, provided its trading update for the six months ended 31 December 2016. The Board announced that the Group's first half year financial performance has been encouraging and revenues are expected to show growth of just over 80 percent year-on-year on a constant currency basis to approximately £3m. The increase in revenue has been driven by the Company's expansion strategy in the UK with the strong performance of Skinny Tan, which was launched in February 2016 through Superdrug. The Group has undertaken significant corporate activity in the first half including listing on the Main Market of the London Stock Exchange, opening up the US market, and the transition of its manufacturing to the UK. One off costs associated with these activities will be absorbed into the first half of the financial year. The Company also announced the appointment of Kieran Callan as a Non-Executive Director with immediate effect, succeeding Garry Lemair who stepped down from the Board on 10 January 2017.Callan has more than 30 years of experience in the FMCG and retail sector with a strong track record of devising and implementing strategies for growth companies.Moreover, the Company also announced that it has raised £0.8m before expenses through a placing by Hybridan LLP of 727,273 new ordinary shares at a placing price of 110 pence per share.Companycontinued to receive strong demand for its products and therefore the key funding priorityto build stock levels at a faster pace to fulfil any increasein demand from various markets in the second half of our financial year in 2017.

MediaZest (LON:MDZ 0.102p/£1.35m)*
The Board reported the unaudited results for the six months ended 30 September 2016 for MediaZest plc. The financial review showed revenue for the period was down 8 percent to £1.47m, gross profits were up 2 percent to £0.63m leading to an EBITDA profit of £4,000 (2015:£8,000). Highlights of the six month period included delivery of several new projects with existing clients such as Hyundai, HMV, Kuoni, Rockar, Diesel, Farrow & Ball and Ted Baker (combined revenue in the period £0.6m), but also new business wins with Halfords, Virgin Media and LG (combined revenue in the period £0.17m). Further afield, in May 2016 the Company successfully installed a high resolution video wall for Ugg, part of the Deckers group, in their new flagship store in Florida. Improvements in recurring revenue streams continue, and coupled with tight cost control and new business wins for the second half of the current financial year, the Board is looking to deliver improved results for the full year ended 31 March 2017. However, this is subject to the acquisition, timing and delivery of certain upcoming key projects.

Mercia Technologies (LON:MERC 48.5p/£107.06m)
Mercia Technologies,national investment group focused on the creation, funding and scaling of innovative technology businesses with high growth potential from the,a conditional placing atp per Placing Share. The Placing Price represents a discount of approximately.9 percent to the closing mid-market price of.5p per Ordinary Share on 30 January 2017. Once completed, the gross proceeds from the Placing will be approximately £40.0m. The primary purpose of the Placing is to accelerate the development of the Group's existing portfolio companies and to capture the opportunity to invest in new direct investment opportunities across its target sectors nationally and specifically within the UK regions. The number of opportunities has been significantly enhanced through the acquisition of Enterprise Ventures Group Limited in March 2016 which took the number of investee technology companies in the Group's third party managed funds from circa 35 to circa 150.

Petards (LON:PEG 25.10p/£8.98m)*
Petards, the software developer of advanced security and surveillance systems, announced that it has secured a 3 year contract renewal from the Air Platform Systems Platform Protection team, part of the UK Ministry of Defence, worth in excess of £1.6m for the support of ALE 47 and M147 Threat Adaptive Countermeasures Dispensing Systems which are fitted to Lynx, Puma, Chinook, Merlin, and C130J aircraft platforms. The contract is effective from 1 January 2017 and runs until 31 December 2019 with an option, which if exercised, would extend the contract for a further two years until 31 December 2021. The Company also announced that it has been awarded a contract to supplyMobility Division with Petards. The order is worth approximately £2m. Engineering activities will commence immediately with the first equipment deliveries to be made at the end of the first quarter 2017 and it is anticipated that the project will be completed during 2018.

ProMetic Life Sciences (TSX:PLI CAD2.11/CAD1,315.01m)*
ProMetic Life Sciences, announced that its orally active lead drug candidate, PBI-4050, has been issued a Promising Innovative Medicine (PIM) designation by the UK Medicines and Healthcare Products Regulatory Agency for the treatment of Alström Syndrome (AS). A PIM designation is an early indication that a medicinal product is a promising candidate for the Early Access to Medicines Scheme, intended for the treatment, diagnosis or prevention of a life-threatening or seriously debilitating condition with the potential to address an unmet medical need following an early review of the clinical data by the agency. The Company also announced that its orally active lead drug candidate, PBI-4050, has been granted an orphan drug designation status for the treatment of AS by the European Commission. The European Medicines Agency determined that the intention to treat AS with PBI-4050 was justified based on the preliminary clinical data generated in AS patients showing an improvement in liver fibrosis.ProMetic is currently investigating the effects of PBI-4050 on multiple organs in AS patients in an ongoing open label Phase 2 clinical study in the UK.

Revolymer (LON:REVO 33.50p/£26.33m)
Revolymer announced that its wholly owned US subsidiary, Itaconix Corporation, has signed a joint development agreement withNobel Chemicals International B.V. to advance commercial collaborations in certain applications for the Itaconix itaconic acid polymer technology platform. The agreement establishes a broad operating framework for the parties to jointly identify, develop and commercialise new polymers using Itaconix'stechnology. This innovative technology enables the production of polymers from renewable ingredients, which fits closely with their Planet Possible sustainability agenda of doing more with less, these bio-based polymers offer unique properties in applications essential to our everyday lives, ranging from water quality to cleaning and hygiene.

TMT Investments (LON:TMT $1.65/£46.5m)*
TMT Investments, the venture capital Company investing in high-growth, internet-based companies across a variety of core specialist sectors,that its portfolio company Pipedrive, Inc. has completeda US$17m Series B equity financing round, led by Atomico,participation from Bessemer Venture Partners and Rembrandt Venture Partners. The transaction represents a revaluation uplift of approximately US$4.08m (or 132 percent) in the fair value of TMT's investment in Pipedrive, compared to the previous announced amount as of 30 June 2016, and is equivalent to approximately 14.7 cents in additional net asset value per TMT share.

TP Group (LON:TPG 6.38p/£25.88m)
TP Group, the specialist services and engineering group, announced the following trading update. The Board reported that, following the trading update issued on 14 December 2016, the Group will report results for the financial year ended 31 December 2016 in line with current market expectations. The Group closed the year with a cash balance ahead of expectations at £9.2m. This is an improvement of £2.2m over the cash balance at the end of 2015. Board is confident that the Group can continue its progress in 2017 as it pursues a strong pipeline of future business opportunities alongside a growing order book position.


 

]]>
Thu, 02 Feb 2017 09:33:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27015/small-cap-wrap-cambridge-cognitioncraneware-tmt-investments-and-others-27015.html
Breakfast News -AIM Breakfast : Mkango Resources, Plexus Holdings, Sula Iron & Gold, HML Holdings http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27013/breakfast-news-aim-breakfast-mkango-resources-plexus-holdings-sula-iron-gold-hml-holdings-27013.html Dish of the day

No AIM Joiners Today

Off the menu

No AIM Leavers Today

What’s cooking in the IPO kitchen?

Arix Bioscience — Intention to float on the main market from the  global healthcare and life science company supporting medical innovation. Raised £52m in Feb 16 with investors including Woodford Investment Management

Eco (Atlantic) Oil & Gas—Schedule One Update. Now expects admission ‘early February’.

Ramsdens Holdings –Schedule One from the financial services provider and retailer, operating in the core business segments of foreign currency exchange, pawnbroking loans, precious metals buying and selling and retailing of second hand and new jewellery. Expected admission to AIM 15 Feb raising circa £15.6m. Expected mkt cap £26.5m.

Breakfast buffet

DagangHalal (NEX:DGHL) 26.5p £15.5m

Update from the world's first global e-marketplace to address the need for Halal verification. Ali Sabri Sani Abdullah moves from CFO to CEO and 2 new non-execs appointed. Since October 2016, the Company has already made significant process and has recently launched the Halal Application Approval System (HAAS) to complement the existing Halal verification portal, Halal Verified Engine (HVE). HAAS is an e-Halal application system that enables recognised Halal certification bodies worldwide to manage the life cycle of Halal applications by companies seeking Halal certification. The first sale of HAAS has already been made to the Halal Food Authority in the UK and there is an active pipeline of target certification bodies. New revenue channels launched/ launching in 2017.

Gattaca (LON:GATC) 299.75p £92.69m

The specialist Engineering and Technology recruitment agency, has acquired a majority stake in Resourcing Solutions Limited, a niche engineering recruitment business. RSL is expected to generate NFI of £7.5m and underlying EBITA of £2.0m in the 12 months to 31 January 2017. Over the same period approximately 88% of RSL's Net Fee Income was generated from contract placements, with the balance from permanent recruitment fees. The Acquisition is expected to be immediately earnings enhancing for Gattaca. The initial consideration is £6.9m for a 70% stake. The maximum total consideration payable is £15.0m (performance linked). FYJul17E EPS of 39.35p and div of 23.25p. PE of < 8x and 7.7% yield.

Plexus Holdings (LON:POS) 83p £87.47m

The oil and gas engineering services business and owner of the proprietary POS-GRIP® friction-grip method of wellhead engineering, announced that its existing contract to supply wellhead and mudline equipment to Brunei Shell Petroleum Sdn Bhd has been extended by an additional two years.  The extension covers the supply of both Plexus' High Pressure/ High Temperature and standard pressured Wellhead and Mudline systems and services, which are proven to be superior in terms of performance, reliability and safety. “Thanks to a debt free balance sheet, and despite our recent trading update, Plexus is well placed for when sentiment recover.”

Mkango Resources (LON:MKA) 5.75p £2.62m

Update on the 100% owned Thambani uranium project in Malawi.  Following recent management site visits, Mkango plans to commence its 2017 exploration programme in the Thambani licence area during the first quarter. The programme will comprise follow up of the results of the World Bank airborne geophysics survey reported in 2016 and of previous exploration programmes completed by Mkango, and will include but is not limited to further mapping, soil and rock chip sampling, trenching and ground truthing of new geophysical anomalies. Whilst uranium (and associated tantalum and niobium) is the primary focus of the exploration programme, Mkango will also evaluate the licence for its lithium potential.

Kodal Minerals (LON:KOD) 0.44p £23.1m

The mineral exploration and development company focussed on West Africa has received the first assay batches for the reverse circulation drilling programme at the Bougouni lithium project, Southern Mali. First drill hole at the Ngoualana prospect has returned 21m at 1.7% Li2O from 62m depth, including a high grade core of 12m at 1.81% Li2O from 69m. 250m+ strike length intersected. Results from 7 holes awaited. High grade assays too at Sogola and Kola although narrower veins than at Ngoulana. "Busy exploration programme planned for the months ahead, with a focus on our lithium projects at Bougouni and Diendio.” Working towards a maiden resource.

Crimson Tide (LON:TIDE) 3.13p £14.17m

The provider of mpro5, Smart Mobility as a Service, updated the market on its progress with international expansion. Key sales hire in Western Europe. Company has signed an agreement with BCB (British Centres for Business) in Dubai, to take advantage of its Incubator Programme. In the US. Crimson Tide will shortly join RX360, the trade organisation which includes 18 of the world's top 20 pharmaceutical companies and many of their global suppliers. The Company has entered into a Memorandum of Understanding with Mobilise IT in Melbourne. This partnership will see Mobilise IT include mpro5 in its business strategy, as well as offer first line support. FY17E rev £2.5m, PBT £1m.

Sula Iron & Gold (LON:SULA) 0.33p £6.74m

The multi-commodity exploration company focused on Sierra Leone, provided an operational update and grab sample assay results for the Ferensola Gold Project.

Highlights:

•    Two drill rigs en route to Sierra Leone from South Africa;

•    Oxide ore collected from the Eastern Target of the Ferensola Gold Project returns a grade of 4.8g/t Au and the artisanal dump samples from an adjacent river returned grades of up to 11.2g/t Au; and

•    Significant preparatory work completed at the Dalakuru exploration camp ahead of the planned drilling programme.

HML Holdings (LON:HMLH) 41.5p £18.52m

Provider of property management, insurance and ancillary services to residential property blocks, has acquired Goodacre Property Services Limited (GPS), a property management business based in Keston Kent. For £317k. The transaction includes an additional performance related retention payment of £80,000 which will be subject to the achievement of certain criteria and will be payable 12 months from the acquisition date. GPS produces normalised annual revenues of £300,000. It is expected that GPS will be earnings enhancing once it has been fully integrated into HML. This  is the first of the three potential acquisitions referred to in HML's announcement on 16 December 2016. 11xPE.

Anpario (LON:ANP) 280p £64m

FYDec16 trading statement from he international producer of natural feed additives for animal health, hygiene and nutrition. Anpario delivered a strong and improved second half revenue and adjusted profit performance in line with market expectations. During the year the Group has started to implement a number of strategic initiatives including a new senior management structure and the investment in new direct operations in key target markets to drive global and regional development opportunities. This has resulted in exceptional costs being incurred in the period. Y/e cash £10.4m. FYDec16E rev £24.5m, PVT £4.1m, Div 5.5p.

Tissue Regenix (LON:TRX) 19.75p £150m

The regenerative medical devices company announced that DermaPure® a decellularized dermal allograft, utilising Tissue Regenix's patented dCELL® Technology, has been included on the US Department of Veteran Affairs Federal Supply Schedule via their distribution agreement with ERA Health LLC dba Veteran's Health Medical Supply. The FSS services the largest integrated healthcare system in the US, covering almost 9 million lives, many being military veterans, and includes 152 hospitals and 800 community based outpatient clinics. This further strengthens the commercial position of DermaPure® within both the inpatient and outpatient settings.


    
 
*A corporate client of Hybridan LLP

]]>
Thu, 02 Feb 2017 08:42:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/27013/breakfast-news-aim-breakfast-mkango-resources-plexus-holdings-sula-iron-gold-hml-holdings-27013.html
Small Cap Wrap: Ace Liberty & Stone, Capital for Colleagues, Crossword Cybersecurity, Digital Barriers, Physiomics Plc, TMT Investments, Toople, Warpaint London plc http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26691/small-cap-wrap-ace-liberty-stone-capital-for-colleagues-crossword-cybersecurity-digital-barriers-physiomics-plc-tmt-investments-toople-warpaint-london-plc-26691.html Ace Liberty & Stone (ISDX:ALSP 4p/£39.3m)*

Ace Liberty and Stone, the active property investment Company, capitalising on commercial property investment opportunities across the UK, announced that the Company has drawn down a secured loan of £13.75m.  The facility is provided by Lloyds Bank Commercial Banking and has been used to complete the purchase of 1-5 Upper Market Square, Hanley (announced 5th October 2016), as well as to refinance properties owned at Marsh Mills, Plymouth; Shildon House, Gateshead; Bridge House, Dudley; Fawcett House, Sunderland and Hillcrest House, Leeds. The Company also announced that in 2016 Daniel Waylett, a shareholder, agreed to purchase the entire share capital of Ace (Sloane) Limited, the 100 percent subsidiary of the Company, which owns Colebrook Court, Sloane Avenue. The consideration totalled £1.55m for the disposal. The purchase of Colebrook Court was announced on 17 April 2016 for £1.5m in issue of new shares. The sale will release cash for further investment in new commercial properties.

Capital for Colleagues (ISDX:CFCP 62.5p/£6m)

Capital for Colleagues, the investment vehicle focused on opportunities in the Employee Owned Business sector, announced an update regarding its existing investee Company, Hire & Supplies Limited (H&S), which is engaged in tool and plant sale and rental from branches in the west of Scotland.  The £0.2m fixed term loan from Capital for Colleagues to H&S and the 100,000 Convertible Preference Shares of H&S held by the Company have been redeemed through the allotment to the Company of 'A' Ordinary Shares of £1 each in H&S with a value of £0.3m. The 'A' Ordinary Shares have preferential rights with respect to ongoing dividends and with respect to capital value in the event of the occurrence of certain exit events.

 

Crossword Cybersecurity (ISDX:CCS 195p/£6.1m)*

Crossword Cybersecurity, the technology commercialisation Company focusing exclusively on the cyber security sector, announced that the Company has successfully raised gross proceeds totalling £1.4m at a Placing Price of £1.90 per share. As part of the Subscription, Tom Ilube, Chief Executive Officer and Dr David Secher, Non-Executive Director, agreed to subscribe for new Ordinary Shares to raise proceeds of £260,995 as further detailed below.

 

Digital Barriers (LON:DGB 36.5p/£60.68m)

Digital Barriers, the specialist provider of visually intelligent solutions to the global surveillance, security and safety markets, announced that it has secured contracts across EMEA and APAC. The total value of these contracts is approximately £1.75m and includes: First major contract win for body-worn video surveillance, the multi-year contract, with a major Asia Pacific law enforcement agency, is valued at approximately £1.0m; €0.35m award for immediate delivery under multi-year counter terrorism framework agreement for the Group's facial recognition solution with European Ministry of Defence worth up to €3.5m and initial contract valued at £0.4m with a flagship Middle East government agency for EdgeVis Live surveillance solutions to enhance operational capabilities.

 

Physiomics (LON:PYC 0.02p/£1.23m)*

Physiomics, the Oxford based systems biology Company, announced that it has been notified of Innovate UK's intention to award the Company a grant for its proposed project "Decision Support Systems For Stratified Cancer Treatment", as part of Innovate UK's Biomedical Catalyst 2016 Feasibility Study Competition, co-funded by Scottish Enterprise and the Medical Research Council. In line with the Company's strategic objective to explore the personalised medicine market set out in the full year results RNS published on the 27th October 2016, the objective of the project is to create a prototype decision support system to improve cancer care by helping medical professionals make treatment decisions based on patient specific data. A Biomedical Catalyst Feasibility Study grant covers 70 percent of the costs of projects up to £0.2m in value.  The award of the grant, including the precise level of funding, remains subject to the submission of detailed project plans as well as a financial review by Innovate UK and the definitive award is likely to be made in Q1 2017.  Accordingly, whilst the directors are confident that the grant will be issued there can be no guarantee it will be, until the plans are approved. Further announcements will be made in due course. The Company also announced that it is now entitled to a payment from Sareum Holdings Plc for a three month modelling project conducted by the Company in 2010 in support of Sareum's cancer drug joint research program with The Institute of Cancer Research (ICR) and Cancer Research Technology Limited (CRT), as originally announced by RNS on 16th March 2010. 

 

TMT Investments (LON:TMT $1.875/$52m)*

TMT Investments, the venture capital Company investing in high-growth, internet-based companies across a variety of core specialist sectors, announced that The Climate Corporation, a subsidiary of Monsanto Company, has acquired VitalFields, one of its portfolio companies. The acquisition by Monsanto represents the ninth profitable exit by TMT from its investment portfolio since its admission to AIM in December 2010. Incorporated in Tallinn, Estonia, WeatherMe OÜ, trading as VitalFields, simplifies the many farming tasks involved with spraying, fertilising and sowing thanks to its app and web interfaces. Examples of the multiple capabilities that VitalFields offers to farmers include plant disease and growth phase modelling (tracking climatic patterns and analysing farmer's input to assess risks) and farm management functionality (from planning and managing farm activities to stock management and P&L reports). TMT originally invested €0.1m in the form of a convertible note in VitalFields in December 2013, which it subsequently converted into equity when VitalFields raised further capital in 2015.

 

Toople (LON:TOOP 5.25p/£5.62m)

Toople, a provider of bespoke telecom services to UK SMEs, announced the appointment of Mark Evans as Chief Operating Officer effective as of 21 November 2016. Mark has more than 14 years' industry experience, having previously held senior positions at 02. He joined Toople shortly after the IPO and has been leading the Company's digital omnichannel sales and contact centre strategy since launch. Mark will now lead the Toople customer engagement functions both from a people, software and channel marketing perspective, ensuring back office process is best in class and focusing on delivering a great customer experience to small businesses that is aligned to their needs. The Company also announced that having successfully delivered the integration of the Group's proprietary bespoke telecoms platform, Merlin, into the business, Dave Breith has now come to the end of his consultancy agreement with Toople. Toople owns the full Intellectual Property Rights for this platform. Dave's last day with the Company will be on 18 November 2016 .

 

Warpaint London (LON:W7L 131.75p/£83.58m)

Warpaint London, a specialist supplier of colour cosmetics and owner of the W7 brand, announced the admission of its ordinary shares to trading on the AIM of the London Stock Exchange. Dealings in the ordinary shares will commence at 8.00am under the ticker "W7L". Oversubscribed placing raising gross proceeds of £23m with institutional and other investors, including Board Directors, at a placing price of 97 pence per ordinary share. Warpaint London has a market capitalisation of approximately £62.6m at the Placing Price. The Directors believe that the Admission to AIM will raise the Company's profile, enhance W7's brand awareness and provide investment to accelerate the growth of the business, as described in the Admission Document.

]]>
Wed, 07 Dec 2016 15:07:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26691/small-cap-wrap-ace-liberty-stone-capital-for-colleagues-crossword-cybersecurity-digital-barriers-physiomics-plc-tmt-investments-toople-warpaint-london-plc-26691.html
Breakfast News -AIM Breakfast : Akers Biosciences,Tissue Regenix Group, Rosslyn Data, Metal Tiger and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26619/breakfast-news-aim-breakfast-akers-biosciencestissue-regenix-group-rosslyn-data-metal-tiger-and-others-26619.html What’s cooking in the IPO kitchen?
Warpaint London—Schedule one update. Raising £2.5m at 97p. Expected mkt cap £62.6m vs revenues of £22.3m
Walls & Futures REIT — Has raised £1m at £1 to acquire, refurbish or develop residential properties in the UK . Due to arrive on ISDX on 29 November
Diversified Oil & Gas— Schedule One now out. $60m to be raised. Expected admission 6 December.
Creo Medical Group —UK based medical device company focused on surgical endoscopy, a recent development in minimally invasive surgery. Admission due 7 December. Fundraising details TBA.

Metal Tiger (LON:MTR) 1.95p £12.89m
The independent Directors of Metal Tiger will not be recommending last week’s offer from BMR Group of 0.231 BMR shares per MTR share on the basis that it fundamentally undervalues the Company. The Independent Directors recognise that there are synergies between the Companies that could benefit Metal Tiger and its shareholders and, in the event that a significantly improved indicative offer is received from BMR, they confirm that they are willing to enter into negotiations with BMR after the results of the scoping study in Botswana have been announced. 

Rosslyn Data (LON:RDT) 9.38p £7.1m
Trading update (H1Oct16) from the provider of a cloud-based enterprise data analytics platform. The Company has continued to trade positively and build on its foundations of growth.  Most notably it has added a further FTSE 100 and a Fortune 100 client, whilst continuing to expand its footprint in its current client base and expand its Partner program.  Both the average and lifetime contract value is trending upward, now being more than 50% greater than at the IPO at over £75,000 per annum.  FYAPR17E rev of £5.3m. £0.7m pre-tax loss.

Market Tech Hldgs (LON:MKT) 137.5p £646.53m
Market Tech, which owns, manages and is developing a unique 16 acre estate of office, retail, leisure and living spaces in London, including the iconic Camden Markets, announced that it has signed two leases with British footwear icon Dr. Martens, which is to open an innovative concept store in Stables Market and upgrade its existing European headquarters in Camden Town. A ten-year lease has been agreed across two floors covering 23,470 sq ft of office space in Camden Wharf.  Draper Esprit (GROW.L) 355p £144.65m
The venture capital firm involved in the creation, funding and development of high-growth digital technology businesses, announced its maiden Interim Results for the six months ended 30 September 2016. Profit after tax of £26.1m. Gross primary portfolio value increased by 36% to £106.9m (£78.7m at IPO). Net Assets including goodwill, increased by 11% to £143.3m (£128.7m at IPO).   NAV per share of 352p. Successfully completed final close of EIS 5 co-investment fund, having raised £11m and launch of EIS 6.

Blue Star Capital (LON:BLU) 0.16p £0.8m
The investing company in technology and gaming, announced its final results for the year ended 30 September 2016. Loss for the period of £165,005 (2015: loss of £106,370). Net assets of £1,757,165 (2015: £1,877,170) following sale of Vigilant Applications Limited for £220,000. Net asset value per share at 30 September 2016 of 0.35p (2014: 0.40p). Cash Position at 30 September 2016 of £51,184 (2014: £27,473). Trakm8 Hldgs

(LON:TRAK) 185p £60.06m
The telematics and data insight provider to the global market place, has been awarded a contract by Smart Driver Club (SDC), the innovative UK vehicle services company, to supply devices and data services for the launch of its Smartbubble service solution.  SDC expects to have a requirement for a substantial number of devices in the first 18 months of the contract with a launch order of 6,000 devices to be delivered in Trakm8's current financial year. Fy Mar17E revs of £34m and EPS of 15.7p. 2.1p divi.

Kodal Minerals (LON:KOD) 0.08p £3.5m
The mineral exploration and development company focussed on West Africa, has announced further acquisitions of prospective lithium projects in southern Mali.  These acquisitions are in line with Kodal's strategy to identify value accretive strategic mineral opportunities in West Africa and further advances the Company's growing exposure to the rapidly developing lithium extraction and development industry. 90% acquisition of 109 sq km project. Total consideration $65k. Extensive evidence of Pegmatite mineralisation anomalous with lithium.

Imperial Innovations (LON:IVO) 477p £564m
Portfolio company TopiVert Pharma Ltd has announced that its Investigational New Drug application for the evaluation of TOP1630 ophthalmic solution as a treatment of patients with dry eye syndrome (DES) has been approved by the FDA. Approval of this IND will allow TOP1630 to enter the clinic in the US in a Phase I/IIa proof-of-concept study in DES. TOP1630 will be TopiVert's 2nd compound to enter the clinic, following TOP1288, which has successfully completed Phase I evaluation and last month started a Phase IIa proof-of-concept study in patients with ulcerative colitis.

Tissue Regenix Group (LON:TRX) 16.12p £122.57m
The regenerative medical devices company provided an update on OrthoPure™ XT (porcine tendon).  The early clinical data provided to support the CE mark application has shown results highlighting the clinical relevance of the product, with the outcomes at 6 months post-operation showing a statistically significant improvement when compared to the current gold standard treatment which uses the patients' hamstring tendons or patellar tendon (autograft). Launch remains on track for H1 2017, with CE mark approval expected in the same period. 

Akers Biosciences, (LON:AKR) 185p £10.1m

The developer of rapid health information technologies, has completed a clinical trial for BreathScan® DKA, the first single-use, non-invasive breath test to rapidly screen for diabetic ketoacidosis, a potentially life-threatening complication of diabetes caused by a lack of insulin in the body.  The results were highly successful, with sensitivity (a true positive result) of 91% and specificity (a true negative result) of 93%. The overall agreement between the BreathScan® DKAtest and the gold standard hospital blood test was 92%. Akers Bio is pursuing FDA 510(k) market clearance in the US and the current study fulfils a requirement of this clearance.

]]>
Mon, 28 Nov 2016 10:39:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26619/breakfast-news-aim-breakfast-akers-biosciencestissue-regenix-group-rosslyn-data-metal-tiger-and-others-26619.html
Small Cap Wrap: Fitbug,Sareum Holdings, Physiomics, Venn Life Sciences and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26490/small-cap-wrap-fitbugsareum-holdings-physiomics-venn-life-sciences-and-others-26490.html The Hybridan Small Cap Wrap is our bi-monthly review of interesting small cap news stories

Sareum gets its results
Avacta gets a collaboration
Petards on the right tracks

Avacta Group (LON:AVCT 92.20p/£63.73m)
Avacta Group, the developer of Affimer® biotherapeutics and research reagents, announced a research collaboration with Memorial Sloan Kettering Cancer Center to evaluate the use of Avacta's Affimer technology in novel CAR-T cell-based immunotherapy. CAR-T immunotherapy is a form of cancer treatment in which the patient's own immune system T cells are modified to give them greater potency with which to attack cancer cells. Treatments using these engineered immune cells have generated promising responses in patients with advanced cancers and CAR-T immunotherapy has become an intense area of research, clinical development and investment. The simple structure and biophysical properties of Affimers potentially provide significant advantages over antibody fragment technology currently used in CAR-T cell modification and the collaboration announced that it is intended to demonstrate a new class of CAR-T cell therapy that incorporate Affimer molecules. As part of the collaboration, Avacta will develop Affimer molecules that bind different regions of CD19, a surface protein specific to B-cells involved in lymphomas. Under the terms of the agreement, the ownership of the results generated directly as part of this collaboration will be shared between Avacta and MSK.

Conroy Gold & Natural Resources (LON:CGNR 25.02p/£2.81m)*
Conroy Gold and Natural Resources, the gold exploration and development Company focused on Ireland and Finland, announced further results from its recent drilling programme on the Clontibret deposit at the southwestern part of the Company’s Clay Lake - Clontibret gold target. The results extended a known gold zone within the Company’s resource model where a JORC compliant resource estimate using a minimum mining width of 2 metres and a cut-off grade of 0.6g/t gold has over 600,000 ounces gold at 1.6g/t gold. The drilling extended this gold zone 30m along strike to the south of its previous extent as well as confirming continuity of other known gold zones. High grades and wide intersections included 0.25m at 35.4 g/t gold and 5.50m grading 4.1 g/t gold overall in this extended gold zone. This drilling focused on further upgrading the interpretation in an area where previous drilling had indicated the potential for significant width and gold grades.

Fitbug (LON:FITB 0.22p/£2.65m)*
Fitbug, the technology developer and digital wellness pioneer, announced that Heidi Steiger, a seasoned operating executive, has joined the Board as a Non-Executive Director with immediate effect and that Richard Goodlad has joined the board as full time Finance Director. Additionally, the Company announced that Tyler Tarr, who joined the Board as part time Finance Director on 29 June 2016, has stepped down from the Board following a successful handover to Richard.

Petards (LON:PEG 19.75p/£6.98m)*
Petards, the software developer of advanced security and surveillance systems, announced that it has secured an additional framework contract and two "Call Off" contracts with Hitachi Rail Europe Limited  for Petards to supply Automatic Passenger Counting Systems. The new "Call Off" contracts are for the East Coast Main Line as part of the Intercity Express Programme and the Great Western Railway West of England service, the value of which are in excess of €1.2m and will be supplied over the next 3 years.

Physiomics (LON:0.0216p/£1.20m)*
Physiomics Plc, UK based systems biology Company, announced its results in the year ended 30 June 2016. The turnover of the Company increased 26 percent to £297,120 (2015: £235,486), with a loss after net operating expenses (excluding share-based payments and operating exceptional costs) decreasing by 6 percent to £371,381 (2015: £395,329) and operating losses increasing by 4 percent to £431,561 (2015: £414,755). This year, Physiomics continued to build out its client base and extend its modelling and simulation services relationships with key existing clients.  In addition, Physiomics appointed a new Chief Executive Officer with significant deal making experience. The Company, during the period, also signed a contract with a new speciality pharma customer to carry out PK/ PD modelling and later in the year announced a first extension to this contract; won a further large pharma customer (their 4th) for Virtual Tumour Pre-Clinical; and signed three further projects as part of an on-going collaboration with a global pharma which we first started working for in 2012;

ProMetic Life Sciences (TSX:PLI CAD2.66/CAD1,586.54m)*
ProMetic Life Sciences announced that it has closed the acquisition of all the issued and outstanding common shares of Telesta Therapeutics, Inc, by way of a plan of arrangement under the Canada Business Corporations Act for a consideration of $0.14 per Telesta common share payable in ProMetic common shares. The number of common shares to be issued by ProMetic is based on the volume-weighted average closing price (VWAP) of ProMetic's common shares for the five trading days prior to the closing date of the Acquisition. At the end of trading on the Toronto Stock Exchange on Friday, October 28, 2016, the 5 day VWAP of ProMetic's common shares was $2.98. Accordingly, each Telesta common share was acquired for 0.04698 ProMetic common share.

RM2 (LON:RM2 27.4p/£111.57m)
RM2, the sustainable pallet innovator, announced that it has received an exclusive commitment from Pactiv LLC, a wholly-owned subsidiary of Reynolds Group Holdings Limited, to purchase and deploy the Company's BLOCKPal pallets for all non-wood pallet uses throughout its organisation. Pactiv is a leading US manufacturer and distributor of food packaging and foodservice products and it adds to the Company’s growing list of clients. The terms of the contract anticipate Pactiv purchasing and deploying hundreds of thousands of BLOCKPal pallets in stages across various business units and geographical areas.

Sareum Holdings (LON:SAR 0.85p/£22.23m)*
Sareum Holdings, the specialist cancer drug discovery and development business, announced its final results for the year ended 30 June 2016. Financial highlights showed net assets at year-end were £1.86m (2015: £1.86m), of which £1.25m comprised cash at bank (2015: £1.48m), plus £0.48m unspent investment in the Chk1 project (2015: £0.21m). Loss on ordinary activities (after tax credit) of £1.05m(2015: loss of £1.26m). The Company also, during the period, received £111k of the £140k funding award for TYK2 cancer studies from Innovate UK Biomedical Catalyst; the remainder received post year-end. Operational highlights showed Chk1 clinical trials applications for two clinical trials, one as a single agent and the other in combination with standard of care chemotherapies, submitted, approved and opened at The Royal Marsden Hospital. TYK2 lead inhibitors show good activity in disease models of rheumatoid arthritis and colitis, and compare favourably with a marketed JAK-family kinase inhibitor. Post year end highlights showed Chk1 inhibitor cancer drug candidate CCT245737 (renamed PNT737) licensed to ProNAi Therapeutics, Inc. (NASDAQ: DNAI) by co-investment partner, the CRT Pioneer Fund. Sareum will receive an upfront payment of US$1.9m, potential future milestone payments of up to US$88.4m, plus a share of any sales royalties, and repayment of approximately £300k in unspent funds previously invested in the collaboration.

Venn (LON:VENN 24.25p/£15.22m)*
Venn Life Sciences, a growing Contract Research Organisation providing drug development, clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announced on 4 October 2016 that its wholly owned subsidiary, Venn Life Sciences Limited, had entered into a conditional agreement under which it and Lynchwood Nominees Limited, as custodian for the Helium Rising Stars Fund, would sell the entire issued share capital of Innovenn UK Limited for a total consideration of up to £4.74m. The Company also signed a new contract worth €2.5m with Sedana Medical AB. Venn will carry out a randomised, controlled, open label Phase III study to confirm efficacy and safety of sedation with isoflurane in ventilated ICU patients. This trial is confined to patients in Germany and commences immediately.


 

]]>
Thu, 10 Nov 2016 13:18:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26490/small-cap-wrap-fitbugsareum-holdings-physiomics-venn-life-sciences-and-others-26490.html
Breakfast News -AIM Breakfast : Telit Communications, Venn Life Sciences, San Leon Energy and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26470/breakfast-news-aim-breakfast-telit-communications-venn-life-sciences-san-leon-energy-and-others-26470.html What’s cooking in the IPO kitchen?
Diversified Gas & Oil—The US based gas and oil producer is seeking a December AIM listing to raise circa $60m
FreeAgent—Schedule one now out from the provider of accounting software to small businesses. Date and quantum of raise still to be disclosed.
Civitas Social Housing –Intention to float on Main Market from the first REIT to be listed on the London Stock Exchange offering pure play exposure to social housing

Venn Life Sciences* (LON:VENN) 23.38p £14.08m


The growing Contract Research Organisation providing drug development, clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, has signed a new contract worth €2.5m with Sedana Medical AB.  Venn will carry out a randomised, controlled, open label Phase III study to confirm efficacy and safety of sedation with isoflurane in ventilated ICU patients. This trial is confined to patients in Germany and commences immediately. The shares are on 7.8x  our FYDecE earnings. Fitbug Holdings* (FITB.L) 0.22p £23.65m
The technology developer and digital wellness pioneer  announced that Heidi Steiger,  has joined the Board as a Non-Executive Director with immediate effect and that Richard Goodlad has joined the board as full time Finance Director.  Most recently Heidi was Eastern Region President of the Private Client Reserve of US Bank, the 5th largest commercial bank in the US. Prior to joining Fitbug Richard had been CFO of Servebase Group & then COO of Miura Systems, which he built from a virtual start-up, into a major global supplier with turnover exceeding $33m in two years. 

Concepta (LON:CPT) 17.75p £19.46m


The UK healthcare company targeting the personalised mobile health market with a primary focus on women's fertility, has signed a 10 year lease for its new manufacturing facility in Doncaster, Yorkshire. The addition of this new facility will provide the Company with the necessary capacity and economies of scale as it pushes ahead with the launch of its MyLotus product for unexplained infertility into China in Q4 2016 and, following CE marking, into the UK and Europe in 2017. FY2017E revenues of £2.7m and a £1.74m pre-tax loss. First Derivatives (FDP.L) 2,004p £495m
First Derivatives has announced its entry into the retail analytics market, using its Kx technology as a platform to develop solutions under a team of leading retail technology specialists recently recruited by the Group. The move opens up an addressable opportunity which, according to MarketsandMarkets, is expected to grow at 19% per annum to be valued at more than $5 billion per annum in 2020. FYFeb17E £140m revs and £17.87m PBT. 37.1xPE and 0.9% yield.


San Leon Energy (LON:SLE) 41.75p £184.96m

Avobone and San Leon Energy have settled a number of ongoing disputes in respect of various matters including a final award in an ICC arbitration dated 21 May 2015. The total settlement of €23.3 million plus interest to be paid to Avobone by San Leon will be paid in instalment to complete by the end of 2017. The provision made in the 2015 audited accounts for the Avobone dispute was approximately €20.6 million.  The difference is due to interest, exchange rate fluctuations, and further legal costs. SLE still expects to distribute 50% of free cash flow from OML18.

Telit Communications (LON:TCM) 249.75p £288.84m
FYDec16 trading update from the enabler of the Internet of Things. The Group has increased its adjusted EBITDA and earnings per share guidance towards the middle and upper end of the previous range, as a result of better gross margin and operational cost discipline. The Group has also narrowed the revenue guidance range.  Guidance: Revenue $360-$375m, Adjusted EBITDA $54-59m. EPS 26-30c. Grafenia (GRA.L) 8.75p £3.97m
H1Sep16 results from the provider of systems to the graphic arts industry. Revenue down 2.65% to £5.14m with higher volumes and lower pricing. EBITDA was £0.46m (2015: £0.59m), a decline of 22.03%. There was an operating loss of £0.42m(2015: operating loss £0.18m).  Cash up to £0.5m from £0.34m. Remains cautious for H2. If transactional print revenues continue to perform below internal budgets, it is likely that full year results will be significantly below market expectations. 

Paysafe Group (LON:PAYS) 430.2p £2.1bn
Trading update from  global provider of payment solutions.  Further to the update on trading given at the Group's Half-Year results in August, Paysafe continues to perform in line with previously upgraded management expectations. The Group's expectations for revenue and adjusted EBITDA remain unchanged, with revenue in the range of $970m - $990m and an adjusted EBITDA range of $287m - $293m, based on an adjusted EBITDA margin of 29.6%.  13.7x FYDec16E PE.

]]>
Tue, 08 Nov 2016 14:24:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26470/breakfast-news-aim-breakfast-telit-communications-venn-life-sciences-san-leon-energy-and-others-26470.html
Small Cap Wrap: Applied Graphene Materials, Cambridge Cognition, Cohort, InnovaDerma, Kibo Mining, Milestone Group, Petards Group, ProMetic Life Sciences, RM2, Sareum Holdings, Vianet Group http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26339/small-cap-wrap-applied-graphene-materials-cambridge-cognition-cohort-innovaderma-kibo-mining-milestone-group-petards-group-prometic-life-sciences-rm2-sareum-holdings-vianet-group-26339.html  Applied Graphene Materials (LON:AGM 173.00p/£37.39m)

Applied Graphene Materials, the producer of specialty graphene materials, announced its full year results for the year ended 31 July 2016. Operational highlights showed first production order received from Century Composites, accelerated product development programme with James Briggs with an expectation of product launch in early 2017 and a new collaboration project with Sherwin-Williams Protective & Marine Coatings. Independent test data showing significant benefits of including the Group's graphene nanoplatelets in coatings. The financial overview showed total revenues of £0.3m (2015: £0.1m), EBITDA Loss of £4.2m (2015: loss of £3.9m) and a Loss before tax of £4.5m (2015: loss of £4.0m). Cash at bank was £7.7m (2015: £4.7m).

Cambridge Cognition (LON:COG 71.00p/£14.52m)*
The neuroscience Company, Cambridge Cognition Holdings, which develops and markets near patient technologies to facilitate the development of treatments for neurological disorders, announced a series of new contracts worth over £0.25m to assess, through CANTAB Connect, the abuse potential of investigational drugs in a new market application for the Company. Cambridge Cognition has become the leading provider of Human Abuse Liability (HAL) assessment technology, helping the Company's drug development partners to achieve multiple FDA approved abuse deterrent labels. To date the Company has signed 35 HAL contracts following the launch of the CANTAB Connect Abuse Liability product (vs. 8 before 2014), with revenues totalling in excess of £3m (vs. £0.6m before 2014) in a market which is expected to continue to grow.

Cohort (LON:CHRT 347.75p/£145.41m)
Cohort, the independent technology group, announced that its subsidiary MASS has been awarded a nine-year extension to its managed IT service contract for the Sentry Whole Life Support Programme (WLSP) at RAF Waddington. Valued at around £12m, the scope of the support contract now includes replacement of the Maintenance, Repair and Overhaul software and adds an Enterprise Performance Management solution. The team is led by Northrop Grumman with MASS, AAR Corp and Cobham Aviation Services partnering together to support and maintain the availability of the UK's fleet of Airborne Warning and Control System (AWACS) aircraft.  Northrop Grumman commented that this nine-year extension recognises MASS's agile response to ever-changing needs and the provision of a first-rate, value for money service.

InnovaDerma (LON:IDP 122.5p/£12.5m)*
InnovaDerma, a UK developer of 'at-home' and clinically proven treatments for hair loss, hair care, self-tanning and skin rejuvenation, provided an update on trading ahead of its Final Results for the twelve-month period ended 30 June 2016. The Board announced that it expects revenue and profits for the full year to 30 June 2016 will be significantly higher than the previous year, driven by underlying organic growth across its product range and the contribution of the Skinny Tan business, which was acquired in May 2015. The Group expects to report revenues of approximately AUD8.3m (£4.2m) representing a significant increase of more than 800 percent compared to the previous year FY 2015: AUD1.05m (£0.525m). It expects to announce a maiden net profit as a result of the strong top line growth. The Group has maintained a robust financial position with little external debt and a strong cash position. InnovaDerma significantly expanded its international distribution and retail network and this has been a key driver to its growth and strong financial performance. As at 30 June 2016, the Company has in excess of 2,500 retail points (FY2015: 250) in seven countries.

Kibo Mining (LON:KIBO 7.33p/£26.76m)
Kibo Mining, the Tanzania focused mineral exploration and development Company, announced that it has reached agreement with SEPCO III on the total direct development cost related to the MCPP (Mbeya Coal to Power Project). It was agreed that the direct development cost incurred on the MCPP over the past four years will be considered for determining the final development cost refund amount. After considering all information provided in this regard, the final amount is $10.9m, which was accepted by both parties as a fair reflection of the MCPP development cost over the past four years. Based on this, the total amount refundable to Kibo constitutes an amount of $5.5m, i.e. 50 percent of the total development cost as per the terms of the Agreement between SEPCO III and the Company, announced on the 25 August 2016. As Kibo has already received an advance of $1.8m, the total outstanding amount payable to Kibo will be £3.7m.

Milestone Group (LON:MSG 1.30p/£10.02m)*
Milestone, the provider of digital media and technology solutions, announced that it has agreed to issue 92,333,332 new ordinary shares of 0.1 pence per share in the Company, subject to admission to AIM, raising £1.385m before expenses, at a price of 1.5 pence per share. The proceeds of the Placing will be used for marketing of the newly launched Alchemy e-media platform, recruiting key staff, and additional development of the Passion Project platform.

Petards Group (LON:PEG 18.50p/£6.43m)*
Petards, the software developer of advanced security and surveillance systems, announced that it has been awarded a contract to supply Great Western Railway with Petards eyeTrain systems. The new contract, which is worth approximately £6m, is for the design, development, supply and installation of eyeTrain systems to be fitted to Class 165 and 166 Diesel Multiple Units trains.  The developed systems add substantial new software driven functionality to Petards' existing eyeTrain solutions. Engineering development is already underway and will make a contribution to 2016 revenues. This is expected to be completed by the third quarter of 2017 when deliveries of the integrated systems will commence with scheduled completion by the end of 2018.

ProMetic Life Sciences (TSX:PLI CAD3.21/CAD1,997.47m)*
ProMetic Life Sciences announced that its Phase 2 clinical trial in patients with metabolic syndrome and type 2 diabetes has been completed and has met its primary and secondary endpoints. In addition to safety and tolerability, the study was designed to evaluate the effect of PBI-4050 on metabolic syndrome parameters as well as on pro-inflammatory/fibrotic and diabetic biomarkers in blood and urine. The pharmacological activity of PBI-4050 was confirmed through the clinically significant reduction in HbA1c between screening and Week 12. For instance, the 15 patients with a screening HbA1c ≥ 7.5 experienced a mean decrease of - 0.75% (p = 0.0004) while the 9 patients with a screening HbA1c ≥ 8.0% experienced a mean decrease of - 0.9% (p = 0.007). The 10 patients who participated in the study's 12 week extension had a mean HbA1c of 7.7 at screening and experienced a reduction of - 0.8% at week 12: this reduction was maintained at week 24.

RM2 (LON:RM2 25.92p/£103.92m)
RM2, the sustainable composite pallet innovator, announced that it has received a commitment from a global leader in temperature-controlled warehousing and logistics to the food industry, for the deployment of RM2 pallets and management of the Company's pallet pool.  The deployment of pallets will start immediately and based upon the success of the initial locations, the business is projected to encompass the Company's North American network. It is anticipated that the agreement will require over 200,000 pallets.     

Sareum Holdings (LON:SAR 1.11p/£29.15m)*
Sareum, the specialist cancer drug discovery and development business, announced that the Japan and Singapore Patent Offices have issued notifications that patents will be granted for inventions associated with Sareum's Aurora+FLT3 kinase inhibitor programme. These patents* describe compounds that inhibit the activity of Aurora and FLT3 kinase enzymes and the medical use of these compounds, particularly in the treatment of cancer. The granting of this patent in Japan means that Sareum will now have approved patent protection in all major territories for its Aurora+FLT3 kinase inhibitor programme. The Company announced that similar patents were to be granted in the USA and Europe in September 2015 and in China in August 2016.

Vianet Group (LON:VNET 100.50p/£28.11m)
Vianet Group, the leading provider of real time monitoring systems, data management services and business intelligence for the leisure and vending sectors, provided the following trading update ahead of the Group's results for the half year ended 30 September 2016, which are scheduled for release on Tuesday, 6 December 2016.Trading for the Group's continuing businesses for the first half of the current financial year was ahead of the same period last year, achieving good growth in line with the Board's expectations. Against that background, the Board intends to declare a maintained interim dividend of 1.7p per share. The Group's UK core beer flow monitoring operations, including iDraught, has continued to strengthen its market position and maintained its contribution, and encouragingly there are signs that the rate of pub closures in the sector has slowed down. Vending Telemetry has continued to extend its penetration of the European market which has helped deliver first half growth, with good ongoing prospects

]]>
Fri, 21 Oct 2016 15:13:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/26339/small-cap-wrap-applied-graphene-materials-cambridge-cognition-cohort-innovaderma-kibo-mining-milestone-group-petards-group-prometic-life-sciences-rm2-sareum-holdings-vianet-group-26339.html
Small Cap Wrap: Osirium Technologies, Palace Capital, ITM Power and others http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25929/small-cap-wrap-osirium-technologies-palace-capital-itm-power-and-others-25929.html 365Agile (LON:365 26.8p/£5.01m)
Following the departure of the Group's CEO in April, the Board has reassessed its strategy to develop a meaningful business in the Internet of Things space. In particular, the Board has considered whether, with continued investment from the income stream generated from the Company's licence agreement with Castleton Technology plc, its operations based in Nottingham and trading under the Wireless Things name could become core to the Group's future plans. Based on its assessment to date the Board does not believe this to be the case. Accordingly, a provisional decision has been taken to close the Nottingham operations and a consultation period has commenced with the staff. The Company continues to own the IP to the 365Agile suite of software solutions, however, should the consultation process result in the closure of the Nottingham office and employee redundancies, 365Agile will become an AIM Rule 15 cash shell funded by the ongoing payments it receives from the Licence Agreement. A further announcement will be made upon completion of the consultation process.

Bushveld Minerals (LON:BMN 1.40p/£8.04m)
Bushveld Minerals, a diversified mineral development company with projects in South Africa and Madagascar, announced it raised, at a price of 1.5 pence, gross proceeds of £0.58m. Participants in the Placing have also been issued with warrants on the basis of one Warrant for every two Placing Shares subscribed for in the Placing. The Warrants have an exercise price of 2.4 pence and an expiry period of two years from the date of issue. The net proceeds of the Placing will be used for general working capital purposes; continuing costs associated with the Vametco transaction; ongoing work in respect of Bushveld Energy's Cooperation Agreement with the IDC and continuing work on Lemur Resources IPP project in Madagascar. The Company also advises on the progress with respect to the acquisition, together with Yellow Dragon Holdings Limited (YDH), of a 78.8 percent interest in Strategic Minerals Cooperation (SMC). The Company is currently engaged with efforts to fulfill the conditions precedent of the transaction, including the securing of relevant regulatory approvals. Furthermore, the Company notes the recently announced disposal by YDH of the Ordinary Shares it held in Bushveld. The Company sees no reason in this disposal to cause concern in respect of the interest and capacity of both YDH and Bushveld to complete the SMC acquisition.

cloudBuy (LON:CBUY 6.91p/£8.97m)
cloudBuy, the global provider of cloud-based ecommerce marketplaces and B2B buyer and supplier solutions, announced that it has signed a contract with FSB to deliver a new online marketplace for FSB members. The FSB marketplace will enable its 170,000 members to trade with each other securely and cost effectively as well as allow both consumer and business buyers to buy goods and services directly from FSB's trusted member network. The FSB marketplace will also act as a showcase for the goods and services of innovative smaller businesses to larger organisations and overseas buyers. The contract is for a 5 year period with revenue comprising a mix of implementation, SaaS licence, support and hosting and a share of transaction revenue. Although it is expected that there will be some contribution of revenues in the current financial year, this contract win is not expected to change market expectations. The FSB marketplace will be configured and customised during 2016 followed by FSB member on boarding. There will be no registration or subscription fees for FSB members to join the marketplace and list their products and services. There will be a very competitive fee per transaction making it a genuine "pay as you earn" online model.

Dewhurst (LON:DWHT 712.65p/£46.21m)
Dewhurst, an independent supplier of quality components to the lift, keypad and transport industries, provided a trading update for the financial year ending 30 September 2016. The recovery reported at the interim stage has continued through the third quarter and into the fourth to date. Seasonal effects mean that the Company's second half is traditionally stronger than the first half, but the effect is expected to be greater than usual this year. The UK vote to leave the EU had an immediate effect on the value of the pound. A significant proportion of the Company's sales and earnings are generated in foreign currencies. With the fall in the pound these sales and earnings are worth more to us. If currencies remain broadly at today's level through to the end of September, it will benefit our reported sales and profits for the year, compared to expectations at the half year. The recent EU Referendum decision has not yet affected Dewhurst's underlying level of business. There have been reports in the media of cancellations and deferrals in commercial property transactions. However, whilst the decision has generated a period of uncertainty, it is too early to speculate what impact, if any, there will be on Dewhurst. The combined effects of these factors mean that the Board now anticipate full year profits will be significantly higher than current market expectations.

Gfinity (LON:GFIN 11.00p/£18.43m)
Gfinity, a leading eSports business, announced that it has signed a sponsorship agreement with HP Inc. for an upcoming eSports tournament, featuring the Counter Strike: Global Offensive (CS:GO) game, taking place within EGX 2016, the UK's largest video games event, being held at the NEC in Birmingham between 22-25 September 2016. The tournament will be branded as being presented by OMEN, HP's next generation high-performance gaming laptop, desktop and accessory range launched in May 2016. The tournament will see four of the world's best teams compete against each other in this multiplayer first-person shooter video game, for a prize pot of $100,000 (approximately £76,000). The first day of the CS:GO tournament will feature exhibition matches and the opportunity for show visitors to play in a competitive environment alongside leadingCounter Strike professional players and showcase their commentary skills during live action. The final three days will feature the live pro tournament itself and will culminate in the Grand Final on Sunday 25 September 2016.

ITM Power (LON:ITM 23.25p/£51.21m)
ITM Power, the energy storage and clean fuel company,  announced that it has signed a fuel contract to supply hydrogen at £10/kg with Commercial Group, a pioneer in hydrogen fuelled fleet logistics. The contract covers fuel dispensed across ITM Power's hydrogen refuelling network, including the station recently opened in London. The refuelling network has been financially supported by projects run by Innovate UK, OLEV and FCH JU. ITM Power currently has £16.19m of projects under contract and a further £1.79m of contracts in the final stages of negotiation, making a total of £17.98m. The business services company Commercial has been operating a fleet of hydrogen hybrid delivery vans since 2013 across London and the South East, along the M4 corridor and out into the South West. With ITM Power expanding the UK hydrogen refuelling network, Commercial will be able to serve more customers across its low-carbon logistics network. Carbon emissions from Commercial's hydrogen vans are significantly lower than traditional comparable diesel vehicles and deliver significant environmental benefits. Commercial's hydrogen van fleet was deployed via projects with funding support from Innovate UK.  These projects successfully demonstrated the environmental benefits of the hydrogen technology and the vehicles will continue to operate across Commercial's fleet.

Milestone Group (LON:MSG 0.572p/£4.58m)*
Milestone Group, the provider of digital media and technology solutions announced the signing of a cooperation agreement with the Green Skills Partnership (GSP) to promote Milestone's Passion Project and its digital charitable giving platform, Alchemy. The GSP has over 44 members and brings together employers, local councils, trade unions, environmental organisations, education providers, community groups including Housing Associations and state agencies. Both of the Company's digital platforms fit with GSP's core aims of delivering high quality skills training, raising awareness and overcoming barriers to sustainable employment with an emphasis on young people and supporting sustainable development in the charity sector. Over the last 12 months GSP has successfully delivered on a Construction Industry Training Board and Greater London Authority joint initiative to place 300 unemployed construction workers into work placements. Of these, 150 started jobs, with 100 continuing in sustained employment. Initially GSP focused on the construction sector but has widened that focus to include providing apprenticeships for the finance, law, IT and business administration sectors. GSP will work alongside Milestone's Passion Project to support its operations, market its products / services and develop its offering beyond the London Metropolitan areas. The GSP model is a natural fit for the Passion Project which is designed to aggregate all parties involved in the engagement, education, training and employment of young people whilst providing access to a commercial resource exchange for the surrounding network of partner organisations. GSP will also promote to its members the charitable giving platform which will allows users to redeem rewards for or buy e-media, donate to targeted charities or participate in crowd-funding of social initiatives, the first of which is raising money for the Metropolitan Police's 'Divert' programme.

Nektan (LON:NKTN 48.00p/£12.25m)
Nektan, a leading international mobile gaming provider, entered into an asset transfer and simultaneous licensing agreement with Buckingham HMB Ltd for three of the Company's wholly-owned gaming brands. Buckingham will pay the Company a cash consideration of £1.75m, with a further £0.2m expected to follow shortly, for the assets, whilst simultaneously entering in to a five-year licensing agreement with the Group for the continuing operation of the brands under Nektan's white label Evolve platform for a monthly royalty on terms consistent with other white label agreements the Company has entered into. The assets being transferred principally comprise the customer databases, web domains and brands relating to Chomp Casino, Spin Princess and Sapphire Rooms, which were all developed in-house.  In the year ended 30 June 2016, these brands in aggregate generated Net Gaming Revenue (NGR) of approximately £2.0m, and going forward the Company will continue to report the NGR relating to these brands within its NGR, consistent with other white label partners. The Company will recognise a profit on the sale in the current financial year equivalent to the consideration received. The proceeds of the asset transfer will be used for the Group's working capital requirements to further develop Nektan's business in Europe and its US Joint Venture, Respin Inc.  

Osirium Technologies (LON:OSI 180.00p/£18.71m)
Osirium Technologies, a UK based cyber-security software provider, announced a significant contract win with a leading global asset management company.  The asset manager has over £300bn of assets under management and offices in c.30 countries. Under the terms of the contract, Osirium will deliver its full product offering of Privileged Account Management, Privileged Task Management and Privileged Session Recorder software modules to 3,000 devices. As part of the contract Osirium will also provide its consultancy services. The contract is expected to deliver a material financial contribution in the current year and will run over a three year term.      

 

Palace Capital (LON:PCA 316.88p/£80.66m)
Palace Capital, the property investment company that focusses on commercial property mainly outside London, confirmed that it has now completed the acquisition of Boulton House, Chorlton Street, Manchester. Boulton House is a 75,000 sq ft multi-let 1970s office building, the acquisition of which was first announced by the Company on 14 June 2016. The net price paid by the Company was £10.575m and a new debt facility of £6.022m has been secured with Santander. Maturing in June 2020, this debt facility represents a 55 percent loan to value and has been concluded at a margin of 2.25 percent over LIBOR. 13,500 sq ft of office space is currently vacant on which Palace will carry out a limited refurbishment prior to letting.

TP Group (LON:TPG 5.74p/£23.22m)
TP Group, the specialist technology, engineering and managed solutions group, announced it has signed a contract to supply a new variant of its existing carbon dioxide scrubber technology to ThyssenKrupp Marine Systems GmbH (TKMS), one of the leading system providers of non-nuclear submarines and high-end vessels. The initial contract with TKMS is worth a minimum of £1.65m, with the potential for multiple further units. The carbon dioxide scrubber system will be designed and built at the TPG Maritime facility in Portsmouth with delivery to TKMS scheduled for Q4 2017.

]]>
Mon, 05 Sep 2016 13:24:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25929/small-cap-wrap-osirium-technologies-palace-capital-itm-power-and-others-25929.html
Small Cap Wrap: Altitude Group, Avingtrans, Blue Prism, Conroy Gold and Natural Resources, Lok’n Store.. http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25733/small-cap-wrap-altitude-group-avingtrans-blue-prism-conroy-gold-and-natural-resources-lokn-store-25733.html Altitude Group  (LON:ALT 16.75p/£7.45m)
Altitude Group, the provider of innovative technology solutions for small to medium sized businesses, announced that its wholly owned subsidiary, Customer Focus Software Inc., has agreed a five-year agreement with Philadelphia, PA based AI Mastermind. A1 Mastermind is a leading buying group serving more than 1,000 promotional product resellers representing over $200m in annual sales in North America. Under the terms of the agreement, Altitude will provide each AI Mastermind member with an ecommerce website that uses the Group's unique proprietary technology. Altitude will receive a share of the gross margin on all orders that are processed through the platform. The agreement is for an initial five-year term, with automatic renewal for a further five years. The Directors expect the first customers to be live by October 2016 and the deal to be earnings enhancing from launch.
 
Avingtrans (LON:AVG 193.88p/£53.86m)
Avingtrans, a manufacturer of critical components and associated services to the global energy and medical sectors, announced that Maloney Metalcraft, part of Avingtrans PLC's Energy & Medical division, has secured a contract with EDF Energy, worth £3.5m, to supply components for their current fleet of seven nuclear power stations across the UK. Maloney Metalcraft will supply gas-cooling process-critical valves for each of the seven EDF managed Advanced Gas-Cooled Reactors around the country (Dungeness B, Hinkley Point B, Hunterson B, Hartlepool, Heysham 1, Heysham 2 and Torness). The contract is part of a life extension programme that will also see Maloney Metalcraft providing engineering support and on-site services to EDF Energy as part of the deal. These contracts will continue until the end of life of the stations.
 
Blue Prism (LON:PRSM 211.10p/£131.33m)
Blue Prism, a leader in Robotic Process Automation (RPA), provided an update on current trading. Blue Prism has continued to enjoy strong pipeline progress. The Group has won a number of new contracts including a contract to deploy its RPA solution to a global tier-1 bank through one of its major alliance partners. This is a significant contract win for Blue Prism that provides a strong validation of its partner-led sales model and whilst the size of the contract today is uncertain, the Board believes it has the potential to become the largest deployment of Blue Prism's software robots to date. Alongside these contract wins, the Group has recently secured a contract renewal with one of its largest customers, a UK-headquartered global tier-1 bank, which signed a new three year commitment. Together, the renewals and the continued momentum in new business wins in the year to date, mean that, subsequent to the outlook detailed in the Group's interim results, we are confident that Blue Prism will outperform the Board's current expectations for the full year.
 
Conroy Gold and Natural Resources (LON:CGNR 30.65p/£3.47m)*
Conroy Gold and Natural Resources, the gold exploration and development company focused on Ireland and Finland, announced that an independent study by structural consultant Dr. Francis Murphy has confirmed the continuity of the gold lodes at the Company’s Clontibret gold target. The structural study was carried out on the stream bedrock in Clontibret. Eight gold lodes were identified in the stream bedrock. These lodes all corresponded to gold lodes previously identified by the drilling programme. The confirmation of continuity in the gold lodes, taken in conjunction with drilling results and channel sampling results from the old antimony mine workings at Clontibret enhances the Company’s understanding of gold mineralisation within the Clontibret gold deposit. This demonstration of the continuity of the gold mineralisation at Clontibret is a further essential step forward as the Company proceeds with its Clay Lake-Clontibret gold mining project.
 
Lok’n Store (LON:LOK 322.00p/£86.72m)
Lok'nStore, the fast growing self-storage Company, announce the signing of management contracts to develop and operate two new landmark stores. The two sites are in prominent retail locations in Hemel Hempstead, Hertfordshire and Broadstairs, Kent. Lok'nStore has secured planning permission for a purpose built landmark site in Hemel Hempstead which has been purchased by an international fund management group. The Broadstairs site is an existing building in a prominent location on a retail park that will be converted for storage use. Building work will commence immediately on both locations, funded by the owners of the properties, with opening scheduled for 2017. When developed these Managed Stores will add around 70,000 sq. ft. to the trading portfolio, an increase of 5 percent to the total managed or owned currently by the Company. With the addition of the new landmark sites recently acquired as Lok'nStore Owned Stores in Wellingborough and Gillingham, the Company will be operating thirty storage centres when these sites are completed. Lok'nStore will generate a return on these stores by charging management fees for the acquisition, branding and operation of the stores based on revenue and profits. These projects continue Lok'nStore's strategy of expanding the operating footprint of the business by developing both Managed Stores and Owned Stores while maintaining its strong balance sheet.

Oakley Capital (LON:OCL 127.94p/£243.80m)
Oakley Capital Investments, the company established to provide investors with access to the investment strategy being pursued by Oakley Capital Private Equity L.P. (Fund I) and its successor fund, Oakley Capital Private Equity II (Fund II), announced a trading update for the six months ended 30 June 2016. The Company, through its investment in Fund I, has an indirect interest in each of Fund I's portfolio companies representing 65.5 percent of Fund I's total commitments; and through its investment in Fund II, an indirect interest in each of Fund II's portfolio companies representing 38.1 percent of Fund II's total commitments. The Company's NAV will be in the range £2.12 - £2.15 per share representing an uplift of 12 - 15p per share versus the NAV of £2.00 per share as at 31 December 2015. Of the uplift in NAV per share, approximately 13p is attributable to the significant weakening of Sterling between 31 December 2015 and 30 June 2016.  The underlying performance of the portfolio in the Funds has been good, contributing to an uplift of up to 9p per share. There has been a fall in NAV per share of 7p due to the post-IPO share price of Time Out on 30 June 2016. The Company's NAV comprises cash, the investments in the Funds, short-term bridging finance for the Funds and loans provided to a number of the portfolio companies.
 
OptiBiotix Health (LON:OPTI 72.20p/£56.33m)*
OptiBiotix Health, a life sciences business developing compounds to tackle obesity, high cholesterol, diabetes and skin care, announced that GoFigure® meal replacement shakes and natural snack bars products are now available for sale in UK stores of the Whole Foods Market Inc, a large ($15bn turnover in 2015) American supermarket chain exclusively featuring healthy foods. On 26 July 2016, OptiBiotix announced it had completed an investment to acquire 51% of The Healthy Weight Loss Company which produces GoFigure® products containing SlimBiome®, OptiBiotix's patented combination of natural ingredients, identified and developed by experts to support weight loss.  The launch of SlimBiome® in the GoFigure® range establishes its use in food products with customer feedback consistently reporting reduced hunger, less snacking, and easier weight loss.  GoFigure® products will initially be stocked in 8 UK Whole Foods Market Inc shops with opportunities for further expansion.
 
Premier Veterinary Group (LON:PVG 147.00p/£21.24m)
Premier Veterinary Group announced that, through its wholly-owned subsidiary, Premier Vet Alliance Limited, it has signed a cooperation agreement for its preventative healthcare program for pets, Premier Pet Care Plan (PPCP), with Zoetis, one of the world's largest animal healthcare companies.  PPCP is branded as "Huisdieren Zorg Plan" (HZP) in the Netherlands. Since the introduction of HZP to the Dutch companion animal market in March 2015, the business has entered into contracts with over 10% of the available clinic market.  The cooperation agreement signed with Zoetis, an influential global manufacturer serving this market, will result in their representatives identifying and supporting practices which are interested in launching HZP in the Netherlands.  Working in close collaboration with Zoetis, this is expected to generate an acceleration of the penetration of HZP into the wider Dutch market. The available market for preventative healthcare programs for pets across the Netherlands is estimated at 1,100 veterinary practices, and an estimated 1.5 million dogs and 2.6 million.

ProMetic Life Sciences (TSX:PLI CAD3.04/CAD1,801.4m)*
ProMetic Life Sciences, announced that it has completed enrolment of the congenital plasminogen deficient patients in its pivotal phase 2/3 clinical trial required for the accelerated regulatory approval pathway with the Food and Drug Administration (FDA). The FDA has agreed to an accelerated regulatory approval pathway, given the rarity of the condition and the related unmet medical need. To secure an accelerated pathway approval, a drug must treat a serious condition, provide a meaningful advantage over available therapies and demonstrate an effect on a surrogate endpoint that is reasonably likely to predict clinical benefit. ProMetic's Plasminogen has received an Orphan Drug Designation by the FDA and the European Commission for the US and the European markets respectively. ProMetic also received a Fast Track Designation by the FDA, a process designed to facilitate the development and expedite review of drugs and biologics intended to treat serious or life-threatening conditions and that demonstrate the potential to address unmet medical needs.
 
Sareum (LON:SAR 0.673p/£17.75m)*
Sareum, the specialist cancer drug discovery and development business, announced that the Chinese Patent Office and the Hong Kong Patents Registry have issued notifications that patents will be granted for inventions associated with Sareum's Aurora+FLT3 Kinase Inhibitor Programme. These patents describe compounds that inhibit the activity of Aurora and FLT3 kinase enzymes and the medical use of these compounds, particularly in the treatment of cancer. The granting of these patents means that Sareum will have approved patent protection in China and Hong Kong for its Aurora+FLT3 inhibitor programme. The Company announced that similar patents were to be granted in the USA and Europe in September 2015. Other major territories, including Japan, are expected to follow in due course. Sareum's Aurora+FLT3 inhibitor programme targets acute myeloid leukaemia (AML) and other leukaemias and lymphomas. In disease models of AML, the preclinical development candidate molecule demonstrates greater than 98% tumour inhibition. Preclinical development studies to obtain approval for human clinical trials are being undertaken in collaboration with, and funded by, Hebei Medical University Biomedical Engineering Center (HMUBEC) in China.
 
Venn Life Sciences (LON:VENN 28.00p/£16.77m)
Venn Life Sciences, a growing Contract Research Organisation (CRO) providing drug development, clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announced that it has signed a new contract worth €2.8m with a European Biotechnology client. The clinical trial is a Phase II study in the area of Immunotherapeutic treatments for Multiple Sclerosis and involves patients in six countries across Europe and commences in October 2016. Furthermore, Venn's Interactive Response Technology (IRT) department, which centralises the randomisation of patients for Phase I to IV clinical trials and manages the logistics of these studies, has successfully qualified as a service provider to a top ten Pharmaceutical client and has been awarded an initial project involving thirty sites in China. This vendor qualification is a significant milestone for the IRT division and represents an exciting opportunity to grow a global account.
 

]]>
Fri, 12 Aug 2016 14:51:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25733/small-cap-wrap-altitude-group-avingtrans-blue-prism-conroy-gold-and-natural-resources-lokn-store-25733.html
SEEing is believing http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25554/seeing-is-believing-25554.html
7digital (LON:7DIG 8.00p/£9.46m)
7digital, the digital music and radio services company, issued a trading update for the half-year ended 30 June 2016. The Company has a healthy sales pipeline for the second half of 2016, demonstrated by the contract wins announced, and the Board remains confident of meeting expectations for the full year and continues to anticipate achieving profitability by the end of 2016. Total monthly recurring revenues for the first half rose by 4 percent against the comparative period last year. Improving sales momentum during the period saw the annualized exit MRR for the period rise by 10 percent and licensing revenues in June rose by 17 percent compared with 2015. However, due to termination payments from the legacy BlackBerry contract being included in the prior period and the planned reduction in low margin content revenues, overall turnover was broadly unchanged at approximately £5m. With over 50 percent of 2016 revenues expected to be denominated in foreign currencies (predominantly US$), the effect of recent currency fluctuations is expected to benefit the Company in the second half of the year. 7digital also announced that it has in the second quarter been awarded contracts with a combined value of approximately £1.1m, including set up fees and monthly recurring revenues, with growth coming both from new customer wins and from existing or prior customers to whom 7digital is providing additional services. The Company has reached an agreement with Cdiscount, a leading e-commerce retailer in France, to launch a new music service in the coming months. Cdiscount enjoys a 34.4 percent total share of e-commerce in France.

Ace Liberty and Stone (LON:ALSP 4p/£39.3m)*
Ace Liberty and Stone, the active property investment company capitalising on commercial property investment opportunities across the UK, announced that the Company has drawn down a secured loan of £3.4m against its Plymouth and Gateshead properties. This £3.4m loan, which has a five years' repayment term, is provided by Nationwide Building Society, a new lender to the Group. The loan is secured by way of a first charge over Marsh Mills, Plymouth, and Shildon House, Gateshead, two purchases which were announced earlier this year. The loan will significantly improve the working capital flexibility for the Group. As a result of Ace's open offer in February this year which was well supported by shareholders and raised £3.5m, and following recent purchases, the Company now has a £4m cash reserve which will enable it to continue to take advantage of attractive market opportunities.

Ariana Resources (LON:AAU 1.48p/£11.59m)
Ariana Resources, announced a placing of 29,616,666 new ordinary shares of 0.1 pence each in the Company at a price of 1.5 pence per share, in order to raise gross proceeds of approximately £0.45m before expenses. The Placing has been undertaken within the Company's existing share authorities, and has been supported by both new and existing shareholders. The net proceeds of the Placing will be used to extend the current drilling programme and for developing new projects.  The Placing is conditional only on admission to AIM. In addition, the Company advises that three directors of the Company, namely Mr. Michael de Villiers, Dr. Kerim Sener and Mr. William Payne, intend to subscribe for a total of 2,050,000 shares on the same terms for a further sum of £30,750 following the announcement of the Placing.

Cambridge Cognition (LON:COG 33.80p/£6.84m)*
The neuroscience company Cambridge Cognition Holdings, which develops and markets near patient technologies for cognitive assessment, announced that it has secured its largest contract to date for the CANTAB Connect Research® product, which is marketed for use in research projects by academic and small biotechnology research groups. Worth an estimated £0.5m, the Contract is the Company's first with an international biobank and the highest recorded sale of its research software. Biobanks amass large amounts of data and biological samples and catalogue them according to genetic, biological, environmental and other traits. These data and samples are then made available for researchers to support medical research in many fields. There are over 300 biobanks globally and the addition of neurological health data generated using Cambridge Cognition products will help to progress research into prevalent health issues, now and in the future. The Contract allows for unlimited assessments to be conducted using the Company's proprietary touchscreen cognitive tests based on over 30 years of peer-reviewed science. The software will generate data that will be used for medical research to assess mental health in a general population over the next five years.

Challenger Acquisitions (LON:CHAL 21.35p/£3.65m)
Challenger Acquisitions, a leader in the Giant Observation Wheel industry, announced that it has received $1m from New York Wheel Investor LLC (NYWI). These funds, raised by Challenger in January 2016, were held in escrow by NYWI until final funding arrangements for completion of the New York Wheel Project were in place.  Challenger has been informed by NYWI that it has now received sufficient funding commitments from its sponsoring investors and therefore does not require these funds. Challenger now has a firm investment of $3m in the equity of NYWI, representing an interest of approximately 2 percent in the $590m NYW Project.  With funding formally secured to ensure completion of the NYW Project, the project continues to advance towards its opening.  Approximately $275m has been spent on the NYW Project to date, with major developments.

cloudBuy (LON:CBUY 4.75p/£6.41m)
cloudBuy, the provider of cloud-based e-commerce marketplaces and B2B buyer and supplier solutions, announced that it has signed a contract with University of Exeter for the supply of a new online procurement system. This will provide an intuitive way for the University's staff to buy goods and services against contract agreements with a wide range of suppliers. cloudBuy is partnering with EU-Supply to provide a full solution including e-marketplace and e-tendering capabilities. The contract is for an 8 year period and will contribute revenue in the current financial year. Revenue is a mix of implementation and SaaS licence support and hosting. The project will deliver an accelerated phased implementation, providing benefits at each stage, leading to a Source to Pay solution fully integrated with the University's finance system.

Conroy Gold and Natural Resources (LON:CGNR 34.00p/£3.66m)*
Conroy Gold and Natural Resources, the gold exploration and development Company focused on Ireland and Finland, announced that four new gold zones have been intersected in a drilling programme on its Glenish gold target in Ireland. The drilling results, together with previous channel sampling in the area which had proved 1.3 metres grading 9.4 g/t gold, demonstrated the presence of the four new gold zones in a 150 metre wide structural corridor in the western part of the Glenish gold target. The new drilling results included intersections of 2.25 metres grading 2.65 g/t gold, at a depth of 18 metres; 2.0 metres grading 1.59 g/t gold at a depth of 27.75 metres; 2.75 metres grading 1.43 g/t gold at a depth of 36 metres and 3 metres grading 1.76 g/t gold at a depth of 64.25 metres. The gold mineralisation in bedrock in the drilling area was traced down dip for over 70 metres and remains open in all directions. The Glenish gold target is a large, 147 hectare, gold-in-soil anomaly located 7.5km southwest of the Company’s Clay Lake-Clontibret gold target where the Company is targeting a potential of five million ounces of gold.

Digital Globe Services (LON:DGS 49.00p/£14.52m)
Digital Globe Services, a leading provider of digital marketing solutions for large, consumer-facing organisations, provided an update on trading for the year ended 30 June 2016. Trading in the second half of the year was robust and as a result, the Group expects to deliver revenue for the year of approximately $48.0m (FY15: $40.3m), marginally ahead of market expectations. The growth was driven by client wins in new verticals and increased volumes in the core business from the existing client base. Gross Margins experienced compression in the second half of the year due primarily to increased marketing spend. This was in part due to their entry into new industry verticals such as energy and utilities where they won new customers. EBITDA is expected to be below market expectations at approximately $3.1m, due to the lower gross margin on core business, new business, and direct labour costs associated with the acquisition of an on-shore call centre to support new verticals that require on-shore fulfilment centres. Management expects gross margin to recover to historic levels as new business matures. During the period under review, the Company has written down certain accrued revenues outstanding for over twelve months. This will represent a one-off non-cash expense of around $4m in aggregate. Management believes that a portion of this may be collectable but has written off the full amount.   The Company ended the year with a cash balance of approximately $0.6m with $1.5m drawn down under its $5m credit facility.  

Milestone (LON:MSG 0.690p/£4.49m)*
Milestone Group, the provider of digital media and technology solutions announced that it has signed a JV with Axis Stars Limited to work with the Passion Project and utilise the suite of technology solutions available through the Nexstar JV. Former international footballer, Louis Saha has agreed to increase his company's relationship with Milestone Group by signing a JV between his Axis Stars company and Milestone Group. The JV will be a 50/50 revenue share whereby Axis Stars will utilise its fast growing database of international sport stars to raise awareness of Milestone's Passion Project initiatives while gaining access to Nexstar's portfolio of finance, media streaming and publication technologies. Through the JV, Axis Stars will co-host events with Milestone, match its database of international sport stars to social causes to raise awareness of the Passion Project and help build brand value of both companies. Athletes, celebrities, musicians and actors are well known and trusted brands in their own right and the ignition point to the Passion Project as they bring relevant audiences in scale. Nexstar will also benefit from these agreements as it can offer innovative technology solutions including financial and publishing to its partners and their global audience.

Netcall (LON:NET 53.00p/£76.38m)
Netcall, a customer engagement software provider, announced that final results for the 12 months ended 30 June 2016 are expected to be in line with market expectations. The year has been characterised by double-digit growth in order inflow, with an increased share of the sales mix coming from SaaS-based contracts. The growing proportion of SaaS-based contracts increases the revenue visibility of the Group, by adding to the recurring revenue base in future periods. The Group has a robust cash position, maintaining its debt free balance sheet and being strongly cash generative at the operational level. At 30 June 2016 the net cash balance was £14.1m (31 Dec 2015: £15.2m), following payment of the first enhanced dividend and ordinary dividend, comprising £3.01m in total, in line with the Board's dividend strategy.

OptiBiotix Health (LON:OPTI 75.00p/£58.64m)*
OptiBiotix Health, a life sciences business developing compounds to tackle obesity, high cholesterol, diabetes and skin care, announced a new patent filing. The filing protects the combination of OptiBiotix's Lactobacillus plantarum strain along with other ingredients identified by scientific key opinion leaders which act synergistically to reduce cardiovascular risk factors. The patent filing follows on from the announcement on the 7 April 2016 relating to human studies which demonstrated 0.1g of a capsulated product has commercial potential as a safe, easy to use, low cost cholesterol reducing supplement.  The filing of this patent extends OptiBiotix's protection across a broader range of market opportunities and increases the number of partnering opportunities. Current products for cardiovascular disease tend to focus on single risk factors, largely LDL (bad) cholesterol. However, there is a growing evidence base that suggests cardiovascular risk is a sum of a number of factors including triglycerides and blood pressure. The novelty in the new patent filing is that when used in combination with OptiBiotix's cholesterol reducing strain the combination has the potential to: reduce multiple cardiovascular risk factors in a single presentation, enhance the overall effect on LDL reduction based on synergies in mechanism of action and reduce statin dosage mitigating possible side effects and improving patient compliance.

Seeing Machines (LON:SEE 3.73p/£39.90m)
Seeing Machines, the company with a focus on operator monitoring and intervention sensing technologies and services, confirmed that it expects to report pre and post tax trading for the full year to 30 June 2016 in line with market expectations, with revenue for the year of AUD33.6m. This revenue figure is 77 percent higher than the previous financial year's total revenue of AUD18.9m.  These revenue figures exclude the research and development tax incentive received from the Australian government which is reported in 'Other income'.  This incentive, which is received as a cash refund based on eligible R&D expenditure, totalled AUD2.4m for FY16 (FY15 AUD2.2m). The revenue was earned from the sale of goods and services and license fees.  As previously reported, included in the license fees, was an amount of AUD21.8m from Caterpillar Inc. due on signing a global product development, licensing and distribution agreement. Caterpillar takes over all costs and commercial responsibilities for the manufacturing, marketing, sales, field support and remote monitoring of the DSS rugged off-road product suite. Caterpillar continues to commercially engage Seeing Machines in supporting the engineering of their next generation DSS technology. The Caterpillar agreement also provides Seeing Machines with a royalty stream for both hardware sales and all DSS supporting services. Royalties for the quarter ending 30 June were $0.15m lower than the previous quarter due to longer than expected sales cycles with certain customers. However, Caterpillar's forecasting confirms that the number of technology trials and the overall volume of sales opportunities continues to increase.

TP Group (LON:TPG 5.05p/£22.44m)
TP Group, the specialist technology, engineering and managed solutions group, announced that it has been awarded a contract valued at c.£1.0m from an existing long term customer based in South East Asia for the supply of a submarine carbon dioxide removal system. The work will be undertaken by TPG's wholly owned subsidiary TPG Maritime at the Group's manufacturing and engineering base in Portsmouth over the next 18 months.  This contact potentially forms part of a broader replacement programme.

]]>
Mon, 25 Jul 2016 08:32:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25554/seeing-is-believing-25554.html
SafeCharge in safe hands http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25383/safecharge-in-safe-hands-25383.html
AKR Distribution Agreement, AVCT Affimer Binders, AVG Return of Funds, PRSM Interim Results, COG* Distribution Agreement, FISH Placing, FITB* Board Changes, Placing and Loan Capitalisation, FUM Agreements, HCM Phase II, IGE Agreement, LRM Selected, NWF Trading Updated, PLI* Fast Track, SCH Trading Update, TMT* Invests

If you would like to unsubscribe, please email enquiries@hybridan.com with “unsubscribe me”.

Feel free to follow us @hybridanllp  
Disclaimer- This document, which does not constitute research, has been issued by Hybridan LLP for information purposes only- please refer to the disclaimer in full below.

*A corporate client of Hybridan LLP

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.
On this day:
1916 - The massive Allied offensive known as the Battle of the Somme began in France. The battle was the first to use tanks.
1979 - Sony introduced the Walkman.
1997 - The sovereignty over Hong Kong was transferred from Great Britain to China. Britain had controlled Hong Kong as a colony for 156 years.

Akers Bioscience (LON:AKR 100p/£20.11m)
Akers Biosciences, a developer of rapid health information technologies, signed its first distribution agreement for BreathScan OxiChek™ with Aero-Med, a division of Cardinal Health, a Fortune 500 health care services organisation. OxiChek is the first disposable breath test to rapidly determine levels of oxidative stress in the body by measuring the levels of certain abundant free radicals. Frequent use of OxiChek may help health practitioners to monitor and adjust their clients' regimen of nutritional supplementation in order to manage oxidative stress - an indicator of the overall health and wellbeing of a person. OxiChek works with BreathScan Lync™, the new bluetooth-enabled reading device from Akers Wellness, to enable users to monitor oxidative stress via a mobile device.  Aero-Med is targeting the large specific markets in the United States of anti-aging, functional and integrative health and wellness treatment practitioners and has already placed orders for OxiChek.

Avacta Group (LON:AVCT 90.00p/£62.22m)
Avacta Group, the developer of Affimer® biotherapeutics and research reagents, announced it has identified three Affimer proteins capable of binding to a recombinant form of a secreted Zika virus Non-Structural protein 1, which is diagnostic of Zika virus infection at the early, acute stage. These Affimer binders were identified and characterised within just thirteen weeks of receiving the virus target and have the potential to be developed into new rapid point-of-care diagnostic tests for Zika infection. The three Affimer binders are highly specific to the Zika NS1 protein and can differentiate in human serum from five other closely related viruses that give similar symptoms: Dengue, Yellow Fever, West Nile, and Japanese and Tick-borne Encephalitis. Since these viruses are very similar, there is currently no validated antibody that detects Zika virus specifically, which is a limiting factor in the development of a reliable, quick diagnostic test. The ability to rapidly generate new diagnostic reagents in response to outbreaks of infectious agents is critical to meeting an urgent medical need, as recently evidenced by the SARS and Ebola virus outbreaks. The very high specificity of Avacta's Affimer technology, together with the speed with which new Affimer binders can be identified and characterised, makes the technology ideal for rapidly responding to the need for detection and monitoring of new outbreaks. The Group intends to commercialise Affimer based rapid diagnostics through co-development and licensing to third party diagnostics developers an example of which is Mologic, a UK rapid diagnostics developer, with whom a research and product development collaboration was recently announced. 

Avingtrans (LON:AVG 197.00/£55.12m)
Avingtrans, a manufacturer of critical components and associated services to the global energy and medical sectors, provided an update to shareholders on the proposals for the return of capital to shareholders following the disposal of the Aerospace Division. As the Company announced on 27 May 2016, following the disposal of the Aerospace Division, the Company had net cash in excess of £47m. The Board announced that it intends to return almost £28m to shareholders by way of a Tender Offer, representing 100p for each ordinary share in issue. The Board expects to announce its final results for the year ended 31 May 2016 during September 2016 and at the same time post a circular to shareholders setting out further terms of the Offer, and also seeking the necessary shareholder approvals. The balance of the net proceeds will be used to pursue the Group’s new strategy to invest in the Energy and Medical markets served by its Metalcraft and Maloney Metalcraft businesses, and more specifically to strengthen Metalcraft's position in the nuclear sector and to pursue other related opportunities in the engineering sector.

Blue Prism Group (LON:PRSM 117.00p/ £79.78m)
Blue Prism, a developer in Robotic Process Automation (RPA), announced its results for the six months to 30 April 2016, the first interim results as a listed Group following its IPO on 18 March 2016. Financial highlights showed total contracted revenue increased by 124 percent to £14.8m (H1 2015: £6.6m), group revenue growth of 21 percent to £4.0m (H1 2015: £3.3m) and recurring licence revenues now at 83 percent of total group revenues (H1 2015: 51 percent). Exit run rate (recognised, recurring license revenues) of £662k at 30 April 2016 (£252k at 30 April 2015), adjusted operating loss of £1.4m funded organically (H1 2015 adjusted operating profit: £72k) and Cash at the period end of £11.2m including £8.8m from IPO proceeds (H1 2015: £1.1m). Operational highlights showed strong new business wins in H1 2016 with 64 licence contracts signed in the period (40 licence contracts signed in the whole of FY 2015), underpinning future revenues. The group also won 33 new customers and total customer base is now at 90 (FY 2015: 57 customers). The channel partner ecosystem is gaining traction in line with strategy: 90 percent of new customers were acquired through or with channel partners

Cambridge Cognition (LON:COG 35.75p/ £7.05m)*
Cambridge Cognition, which develops and markets products and technologies for near-patient cognitive assessment, entered into a distribution agreement with UK healthcare technology company MANUS Neurodynamica Limited. The agreement provides Cambridge Cognition with sole rights to market the MANUS Parkinson's Pen, a sensor pen for diagnosis and monitoring of neuromotor impairments, in academic research, pharmaceutical clinical trials and occupational health markets. The CE Class I medical device uses non-invasive, patented technology to record and analyse limb and hand motion to assess underlying neuromotor processes, particularly for patients with Parkinson's disease. An estimated seven to 10 million people worldwide are living with Parkinson's disease, which is predicted to more than double by the year 2040. The combined direct and indirect cost of Parkinson's is estimated to be nearly $25bn per year in the United States alone. Early diagnosis and timely access to specialist care for patients is essential. However, current diagnostic methods for Parkinson's disease are based on a clinician's subjective interpretation or neuroimaging techniques, which are expensive, invasive and require skilled operators. Following completion of final product enhancements, Cambridge Cognition expects to begin marketing the product initially for use in academic research through its existing global sales channels in Q4 2016. The product will subsequently be marketed for use by healthcare professionals to improve the certainty of differential diagnosis; in pre-symptomatic screening to identify and triage patients at risk and in monitoring disease severity in Parkinson's patients by GPs and specialists in Europe and the US. Use of the MANUS Parkinson's pen will provide a more accurate low-cost measure in clinical research and provide a direct cost reduction by assisting with a timely, accurate disease diagnosis to enable early treatment and avoid patient deterioration to the stage where intervention costs increase.

Fishing Republic (LON:FISH 38.60p/ £14.73m)
Fishing Republic, the fishing tackle retailer, announced that it has raised £3.75m through a placing at a price of 35p per placing share (to new and existing shareholders. The net proceeds of the Placing will be used to support Fishing Republic's continuing expansion as it seeks to build a significant market presence in the highly fragmented fishing tackle sector. In particular, the new funds will be used to develop Fishing Republic's online platform and digital strategy, and to support further store openings, including potential acquisitions. The Placing, which was heavily oversubscribed, and the placing price of 35p represents an 8.7 percent discount to the Company's 30 day volume weighted average price prior to 23 June 2016.

Fitbug Holdings(LON:FITB 0.250p/£2.96m)*
Fitbug Holdings, the technology developer and digital wellness pioneer, announced that Tyler Tarr, who has highly relevant experience of managing the finances of both growing and large cap technology companies, has joined the Board as part time Finance Director with immediate effect.  This appointment has been made in line with the Company's strategy to become a provider of digital wellness services focussed on the B2B market.  Tyler has spent more than 10 years providing mergers and acquisitions advisory, debt placement, management consulting and interim CEO and CFO services to a wide variety of tech, media and electronics businesses. The company also announce a proposed equity fundraising to raise approximately £2.61m. The Fundraising comprises a placing of 340,800,000 Placing Shares at 0.25p per share with institutional and other investors and an open offer of up to 703,626,325 Open Offer Shares at 0.25p per share.  The Placing and Open Offer are being underwritten by NW1. In order to provide Shareholders who have not taken part in the Placing with an opportunity to participate in the proposed issue of New Ordinary Shares, the Company is providing all Qualifying Shareholders with the opportunity to subscribe for the Open Offer Shares, to raise up to approximately £1.76m through the Open Offer, on the basis of 5 New Ordinary Shares for every 2 Existing Ordinary Shares held on the Record Date, at 0.25p each. At the same time, it is proposed that £8.4m of the Company's existing indebtedness to Kifin Limited and NW1 Investments Limited will be capitalised into 336,000,000 New Ordinary Shares at 2.5p per share. These activities will substantially reduce the Company's debt; provide it with additional working capital, stabilise its balance sheet and position the Company to further deliver on its turnaround strategy of enhancing and monitoring employee wellness using its innovative
app-based technology.

Futura Medical (LON:FUM 21.35p/£21.40m)
Futura Medical, the healthcare company focused on advanced transdermal technology, announced that it has signed manufacturing and distribution agreements with TTK Protective Devices Limited, a pioneer in the condom business and part of the substantial Indian conglomerate TTK Group. Under the terms of the manufacturing agreement, TTK will manufacture CSD500, Futura's novel erectogenic condom for supply worldwide.  A regulatory filing has already been made with EU regulatory authorities to grant TTK the relevant authorisation to manufacture the product. TTK will be one of two manufacturers of CSD500 as part of the Company's strategy to guarantee international supply. A European manufacturer already holds regulatory authorisation to manufacture the version of CSD500 currently marketed in the Netherlands and is awaiting regulatory authorisation for the extended shelf-life version of the product. Futura has also signed an exclusive licensing agreement with TTK for the marketing and distribution of CSD500 in India for the lifetime of the patents. Futura will receive an upfront payment and royalties on product sales over the duration of the agreement. TTK already owns the fastest growing condom brand in India, SKORE, which since its launch three years ago has achieved in excess of a 10 percent market share. TTK is attracted by the unique characteristics of CSD500 to further drive the growth of the SKORE brand. Subject to regulatory approval, CSD500 is expected to be launched by TTK in Q1 2017.

Hutchison China MediTech (LON:HCM 1,874.00p/£1,117.55m)
Hutchison China MediTech Limited announced the initiation of a Phase II expansion of the ongoing TATTON trial to evaluate the selective c-Met inhibitor savolitinib (AZD6094) in epidermal growth factor receptor (EGFR) mutant non-small cell lung cancer (NSCLC) patients. Savolitinib has the potential to address major unmet medical needs in c-Met-driven subsets of NSCLC, a disease that is estimated to afflict approximately 1.7 million new patients annually worldwide. The trial is a single-arm global Phase II study of savolitinib in combination with Tagrisso (osimertinib/AZD9291) in advanced NSCLC patients who have developed resistance to approved EGFR tyrosine kinase inhibitors. This expansion was initiated following encouraging early data from a number of patients enrolled in the TATTON study who received savolitinib in combination with Tagrisso. The initiation of the expanded Phase II study has triggered a $10m milestone payment to Hutchison MediPharma Limited (HMP) (a 99.8 percent held subsidiary of Chi-Med) under the terms of the agreement with AstraZeneca PLC signed in December 2011. HMP and AstraZeneca are conducting Phase II studies in NSCLC with savolitinib in monotherapy, as well as in combination with either Tagrisso or Iressa. AstraZeneca continues to lead and invest in the global NSCLC development program for savolitinib.

Image Scan (LON:IGE 2.50p/£3.10m)
Image Scan, the specialist supplier of X-ray screening systems to the security and industrial inspection markets, announced that it has signed a distribution agreement for X-ray mail scanning systems with Todd Research, a leading manufacturer in the market. Furthermore, two orders totalling six systems have now been received. Under the agreement Image Scan will make use of its well developed and extensive global reach into the security market to find new customers for the Todd Research range of mail and security scanning systems. These systems are widely used to perform X-ray inspection of incoming mail and packages in embassies and other government buildings, as well as company headquarters and industrial facilities. Typical threats that have been encountered through the mail include letter or parcel bombs and powder based attacks. Advance image enhancement tools provide high detection performance against such threats. Todd Research is a leading company in this market with an installed base of over 600 systems. In early wins for the new partnership, Image Scan can announce orders from Africa and Asia in the form of six units of the MailScan-M model, the mid-size cabinet scanner, to customers in these important markets.

Lombard Risk Management (LON:LRM 8.37p/£34.26m)
Lombard Risk Management, a provider of integrated collateral management, regulatory compliance and reporting solutions for the financial services industry, announced that it has been appointed by two major banking firms in North America to supply its award-winning collateral management, clearing, inventory management and optimisation solution, COLLINE®. COLLINE® enables firms to move away from managing collateral in business line silos by supporting multiple asset types on a single, web-based platform. A single platform results in more efficient collateral management, enables collateral optimisation, and provides users with the capability to manage liquidity and trading book capital. Lombard Risk's COLLINE was chosen for its ability to quickly deliver agile and adaptable solutions for these highly complex organisations. As is the case across the world's largest banks, these new clients' decisions to move away from costly legacy applications in order to consolidate their systems and margining processes was a major driver in selecting Lombard Risk. By leveraging COLLINE®'s straight-through-processing (STP) and exception-based processing they can also reduce operational risk. The COLLINE® cloud computing service also enables faster deployment and a substantially lower cost of setup and ongoing maintenance, affording clients the ability to realise business benefits sooner.

NWF Group (LON:NWF 147.38p/£70.36m)
NWF Group, the specialist agricultural and distribution business, announced a trading update for its financial year ended 31 May 2016 and its notice of results. The Group reported that trading for the financial year ended 31 May 2016 was in line with the Board's expectations. In the Feeds division, profitability improved over the prior year in spite of continued challenging conditions in the dairy market, with further reductions in milk prices and volatility in key commodities. Feeds' share of the UK market has increased on an underlying basis and the acquisitions during the year of New Breed and Jim Peet Agriculture have been integrated and are performing in line with our expectations. In Food, the business remained at capacity throughout the year and delivered further improvements in operating efficiency and profitability. Some additional storage space has been created at the Wardle site and service levels remain high. The Fuels division increased volumes, even though demand for heating oil was reduced due to the warm winter weather impacting profitability. Staffordshire Fuels, which was acquired during the year, has been fully integrated and is performing in line with our expectations. The Group's cash generation has remained strong during the year. Net debt is significantly lower than anticipated, in spite of completing three acquisitions and investing development capital during the year.

ProMetic Life Sciences (TSX:PLI CAD2.81/ CAD1,726.41m)*
ProMetic Life Sciences, reported that the U.S. Food and Drug Administration (FDA) has granted a Fast Track designation to ProMetic for its plasminogen drug candidate, currently in a phase 2/3 clinical trial in patients suffering from congenital Plasminogen deficiency. Fast Track designation is a process designed to facilitate the development and expedite the review of drugs to treat serious conditions that fill an unmet medical need, with the main objective of getting important new drugs to the patient earlier. To gain Fast Track designation, Plasminogen therapy demonstrated a strong rationale for its use as a treatment for a serious, often morbid and potentially fatal, condition as well as for treating an unmet medical need which previously largely relied on repeated surgeries to remove recurring obstructive and debilitating lesions. A drug that receives a Fast Track designation is also eligible for a Rolling Review of the Biologic License Application (BLA) by the FDA, allowing the review to proceed more efficiently and facilitating earlier drug approval and access by patients. ProMetic's Plasminogen was also granted Orphan Drug Designation by the FDA and the European Commission for the US and the European markets respectively. As an orphan drug designated product, ProMetic's Plasminogen is also eligible for priority review of the BLA, which reduces the standard review period by 6 months and so also speeds the time to availability of this important medicine on the market.

SafeCharge International Group (LON:SCH 196.00p/£299.15m)
SafeCharge, the global provider of payments services, technologies and risk management solutions for online and mobile businesses, provided the following trading update for the first six months of 2016. The Group has enjoyed strong trading in the first half, as a result, adjusted EBITDA for the period will be comfortably ahead of $16m and the Directors are very confident of the outcome for the full year. The Directors confirm that the US dollar is the Group's functional and most significant currency in terms of contribution to revenues and that nearly 80 percent of the Group's cash is held in US dollars with sterling balances representing less than 5 percent.

TMT Investments(LON:TMT $1.95/$54.10m)*
TMT Investments, which invests in high-growth, internet-based companies across a variety of sectors, announced the completion of an additional investment in KitApps, Inc, as part of a $1m round led by Digital Future and TMT. Incorporated in Delaware and based in San Francisco, KitApps, Inc. offers a leading event app platform (Attendify), which delivers branded, social-first apps to thousands of meeting and event planners worldwide.  Attendify makes it easy for event planners to create an engaging mobile app and dramatically reduces implementation and lead times through an elegant self-service platform.  Every Attendify app includes private social networking features that boost attendee participation while simultaneously helping event planners capture data around in-person interactions to help optimise event performance. Attendify was founded by Michael Balyasny (CEO) and Artem Iaremchuk (COO) and is relied upon by such leading brands as Google, AstraZeneca, Chrysler, Tableau, and AOL to deliver differentiating mobile event experiences. Attendify will leverage this new round of funding to further accelerate growth and product development.
Disclaimer
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 such action. This document has no regard for the specific investment objectives, financial situation or needs of any specific entity and is not a personal recommendation to anyone. Recipients should make their own investment decisions based upon their own 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, they have not been independently verified and are not guaranteed 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, directors, officers, employees, agents or associated undertakings in relation to the accuracy, completeness or reliability of the information in this document nor should it be relied upon as such.

Any and all opinions expressed are current opinions as of the date appearing on 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, directors, 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, does not constitute “independent investment research” for the purposes of the Financial Conduct Authority rules. The individuals who prepared this document 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, directors, 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 UK, 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 (as amended) or (ii) are Professional Clients or Eligible Counterparties (as those terms are defined in the rules of the Financial Conduct Authority) 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 persons who would be classified as Retail Clients (as defined by the rules of the Financial Conduct Authority).

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 UK or US securities law, or the law of any such other jurisdictions.

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, directors, 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.

Neither the whole nor any part of this document may be duplicated in any form or by any means. Neither should this document, or any part thereof, be redistributed or disclosed to anyone without the prior consent of Hybridan LLP.

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 enquiries@hybridan.com with “unsubscribe me”.

]]>
Fri, 01 Jul 2016 09:10:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25383/safecharge-in-safe-hands-25383.html
Lights the Way Ahead http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25273/lights-the-way-ahead-25273.html Lights the Way Ahead
Carclo is a precision engineering business that has been re-focussed towards its three core businesses. Two of these, Technical Plastics and LED Technologies are growing fast. The third Aerospace is a solid earner and gradually transitioning away from the control cable business as that system is being phased out by aircraft manufacturers. What we like:

 High recurring revenues
 Tier 1 Clients / High barriers to Entry
 High Growth within segments
 Margins improving
 Capacity increasing.

In addition non-performing segments have been disposed of and there is consequently a likely improvements in margins as the costs of disposal come out of the numbers in the current year.
The Group is geared with a £24m debt which is not onerous for the business given the levels of recurring business and the significant increase in capacity it has put on to grow the business.
The valuation multiple is low for where we are, not giving much credence to this change of model and particularly the growth potential.
For FY 2016 the dividend increased by 3.6% to a total of 2.85p for the year. Yielding around 1.9% at 151.5p share price.

Carclo plc

The Business and Outlook
1) Technical Plastics – Contract manufacturing – synergies between Medical and Auto businesses:
 70% Medical Market – customers include five of top ten medical device OEMs (Smith & Nephew / Siemens Medical) – market grows around 3% pa but Carclo growth around 10%. Long sales cycle (~2yrs) but also long product life. Sticky business.
 30% Industrial & Electronic - shorter product cycles, can use older assets (manufacturing equipment), suited to lower cost regions (India & Czech), new products quicker to profitability, fits well alongside medical business.

This division has recently expanded capacity in its Pennsylvania ‘clean rooms’, in China (by 3x) and in Czech (x2). This has given it around £10-15m of extra capacity and also has allowed it to upgrade its medical customer list. The Tuscon and Bangalore sites are also set to be doubled in size this year. Sales are around £70m and the plan is to grow this to around £100m within three to four years, with operating margins around 10%.
2) LED Technologies – Design and manufacturing of LED lighting units for niche high end Auto OEMs (Bentley, McLaren, RR, Bugatti et al.) growing 15-20% pa. Top brand market still 2-5 years from peak.
Sales came in around £40m for FY March 2016. Niche sector with little competition. 2 – 3 years of design work with specialist manufacturers creates high barriers to entry. It is about quality, not price, and the runs tend to be small. Scope to move into mid-tier volume market using expertise and reputation created in top tier. Operating margins should be between 13-15%

3) Aerospace (Formerly Precision Engineering) – control cables and machined components for European civil aerospace market (Airbus) – high free cashflow.
The Aerospace division is highly profitable with low investment needs and sales are around £6m with operating profit around £1.3m. Growth is limited though as the use of control cables in aircraft declines. However the business is re-focussing towards OEM and spare components and is well equipped for this.
Revenue Quality

There are significant recurring revenues, though pinning a precise percentage down is difficult. There are fluctuations in schedules on programmes, programmes coming to their end etc., but an approximate split between tooling and product sales for the year just ended would have product sales at approximately £90 million with £29 million of sub contract tooling sales. Obviously the tooling sales are not repeated but often replaced by other tooling demands.

Balance Sheet
CDS or Carclo Diagnostics is a standalone pre-revenue technology company. The Board has concluded that it should discontinue its investment in CDS, currently c. £1.5 million per annum. As a result of this decision, the Board has determined that the carrying value of the intangible assets relating to CDS held on the Group's balance sheet, being c.£4.9 million at 31st March 2016, should have been fully impaired in the financial statements for the year ended 31st March 2016. This non-cash impairment cost has been disclosed as an exceptional write down. The Company expects to have up to £1m of closure costs in respect of CDS in the current year.
Pension – there is a legacy pension deficit. Liabilities are calculated at £197m and scheme assets around 174m giving a deficit – net of deferred tax – of £19m. Where the pension goes depends on the performance of the markets and other factors such as corporate bond yields. Carclo will continue to pay in the annual recovery payment of around £1.2 million and pay annual scheme administration costs of around £600k
Debt – Net Debt was £24.8m (£24.5m 2015) slightly higher than the year before reflecting an increase in capex. The forecasts have debt holding at around £25 million for the next two years reflecting the increased upfront working capital burden in respect of the mid volume lighting project win where payment for upfront design and development work will be amortised over production.

Conclusion

There are plenty of good initiatives underway at Carclo that are not included in the share price. There are high barriers to entry through the design, lead time and life cycle of the projects. The customers are more interested in quality than price so will be difficult to shift as the products are of the highest quality. There is consequently very good visibility of earnings and also high barriers to entry in terms of relationship, know-how and reputation.
Money has been spent building out capacity in the growth segments, and closing down non-core businesses. The management are confident they can grow the overall business significantly over the next several years. The current published broker forecasts give a forward rating of around 13.5x March 2017 and 11.7x March 2018 eps; based on sales growing to £123.9m and £135.7 respectively. Given the quality of the earnings and the 2% dividend, this does not seem at all demanding. If like me you think it could grow a little faster than that, it looks even better value.

 

]]>
Fri, 17 Jun 2016 08:55:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25273/lights-the-way-ahead-25273.html
TMT Investments Invests http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25152/tmt-investments-invests-25152.html ALSP* Board Changes, COMS Contract Win, CNS Contract Win, CCS University Partnership, DEMG announces results of ODM trial, ESP acquisition in Leicester, EZH Interim Results, EVG results, FEVR Trading Update, FDEV Update, INS acquisition, MMH Acquisition, MMX Launch, MXCP Placing, OPTI* Patent Filling, PINN Acquisition, PLI* Bought Deal, SAR* Clinical Trial, STOB Deal Completion, TERN Acquisition, TMT* Investments,

Ace Liberty and Stone (LON:ALSP 4.00p/ £39.3m)*
Ace Liberty and Stone, the active property investment company capitalising on commercial property investment opportunities across the UK, announced that Dr Anthony Ghorayeb, currently Non-Executive Director of Ace, assumes the role of Non-Executive Chairman with immediate effect. Dr Ghorayeb is also currently the Executive Chairman and co-founder of LiBank, the Lebanese investment bank offering services tailored to high-net-worth individuals (HNWIs), and the Secretary General of the Levant Business Union.   Keith Pankhurst, currently Non-Executive Chairman, assumes the role of Senior Independent Director.

Coms (LON:COMS 1.47p/£24.50m)
Coms, a provider of technology and services for smart buildings and commercial spaces, announced that Connect IB, its software and solutions business has been awarded a contract by the owners and management agents of a major city centre shopping centre on the south coast of the UK. The contract sees the implementation of smart technologies to improve the shopper experience along with real time analytical reporting on shopper activity within the centre and the immediate surrounding area. The solution, due for public release in August 2016, utilises smartphone and beacon technology to deliver location based services, loyalty, car Parking integration and digital wayfinding within the centre and car park. Connect IB's cloud-based platform delivers a loyalty scheme for retailers and partners in the immediate area including redemption and analytics. Key to Connect IB providing accurate location based services on Android and Apple devices will be the deployment of a wide area iBeacon network across the whole of the centre and integral multi-level car park, delivered by Coms' wholly owned subsidiary, Redstone.

Corero Network Security (LON:CNS 22.50p/ £46.89m)
Corero Network Security, the network security company, announced the first order for its SmartWall®Threat Defense System from a top ten US mobile network operator. The order, valued at over $0.3m, follows a successful Proof of Concept trial. The mobile network operator is a regional wireless communications service provider to both consumers and businesses, and has a reputation as one of the top technology innovators in the US telecommunications market. The solution comprises multiple Corero SmartWall TDS products, with supporting SecureWatch® services for one year, which will enable the operator to not only protect its infrastructure from DDoS attacks but to also offer DDoS Protection as a Service to its growing customer base.

Crossword Cybersecurity (LON:CCS 192.00p/£4.6m)*
Crossword  Cybersecurity, the technology commercialisation  company  focusing exclusively  on  the  cyber security sector, has partnered with the University  of  Warwick  in  winning  a contract  through the Defence Science and Technology Laboratory's (Dstl) Centre for Defence Enterprise  to explore novel uses of blockchain enabled documents in military environments. The project will look  at  how to  provide  access to sensitive information in a range of environments, such as HQ office or disconnected, harsh  operational theatres. Professor Carsten Maple, Director of the Cyber Security Centre (CSC) at  WMG, University of Warwick and colleagues at Warwick have conducted research in novel applications of blockchain technologies. Crossword  has also subcontracted Simplexity Analysis to assist  in  the  conceptual  design stages.

Deltex Medical Group (LON:DEMG 4.75p/ £13.04m)
Deltex Medical Group (AIM: DEMG), the global leader in oesophageal Doppler monitoring (ODM), announced the initial results of the largest ever randomised clinical trial of ODM which show substantial reductions in post-operative complications.
A group of doctors from Spain, led by Professor Jose Maria Calvo Vecino, presented the findings from their 450 patient multi-centre randomised controlled trial to doctors attending Euroanaesthesia 2016 in London, which is the annual meeting of the European Society of Anaesthesia. The trial was undertaken in five hospitals and included patients undergoing gastrointestinal, urological, gynaecological and orthopaedic surgery. Professor Calvo is head of the Department of Anaesthesia and Critical Care at the Infanta Leonor University Hospital in Madrid and Vice President of the Spanish Society of Anaesthesia.

easyHotel (LON:EZH 98.00p/£61.25m)
easyHotel, the owner, developer, operator and franchisor of "super budget" branded hotels, announced its interim results for the six months ended 31 March 2016. Financial highlights showed total system sales were up 10.4 percent to £9.66m (31 March 2015: £8.75m), total revenues were up 11.6 percent to £2.59m (31 March 2015: £2.32m), slightly ahead of Board expectations and like-for-like revenue for owned hotels increased by 8.0 percent. Adjusted EBITDA  was up 10.9 percent to £0.58m (31 March 2015: £0.52m) and profit before tax was £0.14m (31 March 2015: £0.37m), reflecting increased pre-opening costs (associated with the increased development pipeline), depreciation and amortisation and share based payments. The company also announced an interim dividend of 0.11p per share (31 March 2015: nil). Business highlights showed five owned hotel projects in progress with £4.59m of investment made during the period: Construction commenced on sites in Liverpool and Manchester, planning permission granted in Birmingham with completion expected in a few weeks' time and planning permission submitted for new hotels in Barcelona and Ipswich. Three new franchise hotels under construction in Brussels, Amsterdam and Bur Dubai (first hotel to be developed under Master Development Partnership signed with MAN Investments LLC to develop easyHotels in the UAE and Oman).

Empiric Student Property (LON:ESP 114.18p/ £572.38m)
The Board of Empiric Student Property, the owner and operator of premium student accommodation across the UK, is pleased to announce that the Group has acquired the freeholds of three operational, direct-let, premium student accommodation properties in Leicester, comprising a total of 106 beds, for a consideration of £8.8m (excluding acquisition costs). Bede Park (completed in 2012) is a conversion of a 1900’s two storey industrial unit, with a further two floors added. The property provides a total of 59 beds, comprising 49 studios and five two-bedroom apartments, as well as communal facilities including a large gym, cinema room and a communal living area. There is a ground floor retail unit, which is currently let to The Co-operative food store.  Bede Park is located to the west of the Soar River on a busy pedestrian route between De Montfort University, which is a ten minute walk away, and the popular Narborough Road area. 136-138 New Walk (completed in 2013) and 160 New Walk (completed in 2015) are both conversions of three storey Victorian mid-terraces, which have been extended to the rear and are all-studio schemes with 30 beds and 17 beds, respectively.  The properties each offer communal facilities, including a gym and cinema room.  Located close to the University of Leicester in an attractive area, these New Walk properties are on a pedestrian-only road linking Victoria Park to the city centre. The properties have an excellent occupational track record and are fully let for the 2015/16 academic year, with 90 per cent already pre-let across the portfolio for 2016/17.

Evgen Pharma (LON:EVG 21.49p/£15.36m)
Evgen Pharma, the clinical stage drug development company focused on the treatment of cancer and neurological conditions, announces its final results for the year ended 31 March 2016. Period highlights included- (1) Successful admission to AIM and £7m (gross) share placing on 21 October 2015. (2) Financial performance in line with expectations which showed a loss of £3.1m reflecting higher activity levels post admission to AIM, a loss per share 6.29p, cash (and short term investments and cash on deposit) at 31 March 2016 increased to £7.1m (31 March 2015: £0.2m), reflecting successful completion of a pre-IPO fund raising and a placing on AIM admission. (3) Lead product SFX-01 data shows promise as adjunct to hormonal therapy in patient-derived xenografts using cancer tissues from early and late stage breast cancer patients (data presented at the American Association of Cancer Research). Post-period highlights included- (1) First patient dosed in the SAS (SFX-01 After Subarachnoid Haemorrhage) Phase II clinical study at University Hospital Southampton. (2) Preclinical study underway comparing SFX-01 with approved MS drug, Tecfidera®.

Fevertree Drinks (LON:FEVR 707.88p/ £815.77m)
Fever-Tree, the supplier of premium carbonated mixers for alcoholic spirits by retail sales value, announced a trading update for the four months to the end of April 2016. The Board announced that momentum seen in 2015 has continued into the start of 2016.  Fever-Tree has outperformed expectations in the first four months of the year as the premium mixed drink movement continues to grow.  This strong performance, alongside a currently favourable foreign exchange environment, has also driven gross margin improvements. Given the strong sales in the period to date, the Board anticipates that the results for the full year ending 31 December 2016 will be materially ahead of market expectations.

Frontier Developments (LON:FDEV 195.00p/ £68.71m)
Frontier Developments, a leading developer of video games, announced the following update. Frontier yesterday launched the next major expansion of Elite Dangerous: Horizons, 'The Engineers'. This release comes slightly earlier than previously anticipated following a successful Beta period, and in combination with sales performance to date, will have a positive impact on revenues and profitability in the financial year to 31 May 2016. The Group has also announced that it plans to release Elite Dangerous: Horizons for Xbox One on 3 June. Frontier released the second Alpha build of Planet Coaster, the Group's second self-published franchise, on schedule on 24 May. The Alpha 2 build delivers further creative tools to the Planet Coaster Alpha community including terrain deformation and the next iteration of coaster construction and is a step along the roadmap towards full release, which remains on track for the final quarter of 2016.

Imperial Innovations Group (LON:IVO 400.25p/£634.25m)
Imperial Innovations Group announces the completion of a £6.2m funding round in Featurespace, the Cambridge-based Adaptive Behavioural Analytics company focused on the detection and prevention of fraud in the financial services and gaming sectors.  Featurespace is an Adaptive Behavioural Analytics company which has the ability to develop an understanding of normal patterns of behaviour and anomaly detection for individuals in real time. The Company has developed a machine learning software platform, the behaviour analytics engine (ARIC) that monitors every individual, one customer at a time, to deliver real-time decision capabilities. The technology is based on Bayesian statistics and research undertaken at the University of Cambridge by the late Professor Bill Fitzgerald and Featurespace CTO, David Excell. Featurespace's products provide significant economic benefits to their customers, providing a granular view of transactions allowing them to predict likely fraud and take appropriate action. The software learns individuals' behaviour and therefore produces a significantly higher level of accuracy identifying fraud and a lower level of false positives compared to competing solutions. Innovations has committed £2.5m to the round alongside new co-investor TTV Capital, a US venture company focused on early-stage fintech companies, which contributed £2.4m to the round. The balance was made up by existing investors, including Nesta and a number of members of the Cambridge Angels group. As at 31 January 2016, Innovations had invested £3.9m in Featurespace with a net carrying value of £6.8m. As a result of this new investment, the Group has a 36.9 percent undiluted stake in the Company. 

Instem (LON:INS 230.48p/£37.20m)
Instem, a provider of IT solutions to the global early development healthcare market, announces the acquisition of UK-based Samarind, for a total consideration of up to £2.5m, to be satisfied by a combination of cash and new ordinary shares in the Company. The acquisition is expected to be earnings enhancing in 2016 and going forward. Samarind is based in Deeside, UK and provides Regulatory Information Management (RIM) software (Samarind RMS) and services to the life sciences sector. Its solutions significantly enhance the quality of regulatory information and help to achieve and maintain compliance for pharmaceutical, biotech and medical device products. Samarind has 10 employees. The consideration comprises £1.5m on completion , £0.65m of deferred consideration and up to a further £0.35m which is payable contingent upon the financial performance of Samarind.

Marshall Motor Holdings (LON:MMH 180.00p/£139.03m)
Marshall Motor Holdings, one of the UK's leading automotive retail and leasing groups, announced the strategic and value enhancing acquisition of the entire issued share capital of Ridgeway Garages (Newbury) Limited (including all of its subsidiaries) for a cash consideration of £106.9m, funded from the Group's existing resources. Ridgeway is a multi-franchise dealer group operating across the affluent southern home counties of England, Wiltshire and Dorset, representing 12 brands via 30 franchised dealerships. Ridgeway's brands comprise: Audi, BMW, Jaguar, Land Rover, Maserati, Mercedes-Benz, Mercedes-Benz Commercials, MINI, SKODA, smart, Volkswagen and Volkswagen commercial vehicles. In addition, Ridgeway operates five own branded Select multi-brand used car centres, two trade parts specialists, two service centres authorised by both SAAB and SEAT and two standalone body shops and a pre delivery inspection
centre. Ridgeway's consolidated FY15 revenues were £722.6m, adjusted EBITDA was £20.2m and year-end shareholders' funds were £55.4m including £15.2m of net debt.

Minds + Machines Group (LON:MMX 10.35p/ £77.42m)
Minds + Machines Group Limited, the top-level domain registry company, reported the record-breaking launch of its .vip top-level domain that entered General Availability. As of 1600hrs UTC on 22 May 2016, registrations taken by the Company had reached 203,720, .vip having been placed in the top 20 of new gTLDs within 5 days of launch, according to industry tracking site, nTLDstats.com. By comparison, .xyz, the world's leading new gTLD in terms of registrations, with 2.9 million current registrations, took some 21 days to reach an equivalent number of registrations when launched in June 2014. In terms of billings and orders received for .vip names by 1600hrs UTC 22 May 2016, the combined total to date is US$3.2m, which will be recognised over the term of the domains. The Company is confident that renewal rates have the potential to be meaningful as no "freemium" strategies or equivalent were used during the launch phase to generate initial volume. The Company acquired .vip through auction for approximately US$3.1m in September 2014, highlighting the strong return on capital of the business model. To date, .vip names have been retailed through 77 registrars globally of whom 34 are within China. Registrations from China account for over 80 per cent. of all .vip names sold so far.

MXC Capital (LON:MXCP 2.65p/£83.34m)
MXC Capital Limited, the technology focused merchant bank, announced that it has raised £7m by way of a placing  at a price of 2.55  pence per share with both existing and new investors. In tandem, the company has also received credit approval to extend its existing bank facility to £6m. Gross proceeds of the placing of £7m with extension of existing banking facilities to £6m allows the company to have £13m of capital available to invest in identified near term opportunities. In recently announced interims, the Board announced an extended policy of returns to shareholders as well as its confidence in the Company's prospects, with the placing supported by a mix of new and existing investors, further strengthening the Company's share register

OptiBiotix Health (LON:OPTI 82.18p/ £64.06m)*
OptiBiotix Health, life sciences business developing
compounds to tackle obesity, high cholesterol, diabetes and skin care, announced a new patent filing. The filing protects advances made in OptiBiotix's skin division in identifying microbial proteins which have the potential to prevent Health Care Acquired Infections (HCAI) caused by antimicrobial resistant (AMR) superbugs such as MRSA.  HCAIs lead to higher morbidity and mortality, and cost the NHS an estimated £1bn per year. This represents a global market opportunity of US$82bn.  The new patent filing reflects scientific advances in identifying microbial proteins which: - i. Protect skin cells from being damaged by pathogenic bacteria reducing the likelihood of infection ii. Prevents the growth of pathogens on the skin, reducing the risk of infection spread iii. Displaces pathogens from colonised skin and prevents their reattachment. This reduces the risk of re-infection with resistant organisms. These proteins are likely to be delivered in creams or oils with the aim of reducing the risk of infection from AMR superbugs such as MRSA. The Company believes that this filing adds a further layer of protection to its growing intellectual property portfolio in skincare and opens up product opportunities in multi-billion dollar global markets including Skincare (US$121bn), HCAIs (US$82bn), Eczema (US$3.8bn), Psoriasis (US$7.4bn) and Wound care (US$18.3bn).

Pinnacle Technology Group (LON:PINN 6.80p/£15.62m) 
Pinnacle Technology Group, the provider of 'IT as a Service', announced that it has acquired the entire issued share capital of adept4 Limited, a provider of cloud based IT services and solutions headquartered in Warrington, funded through the issue of £5m of unsecured loan notes to the Business Growth Fund Plc. Pinnacle also announced the Company's intention to change its name to adept4 plc. adept4 provides IT as a Service  encompassing fully managed IT service contracts, cloud based services, professional services, software support and development. It has a dedicated, ITIL aligned, 24x7x365 service desk and a tier 1 Microsoft SPLA and Cloud Service Provider with a track record in the adoption of Microsoft Azure plus partner status with leading technology vendors such as Cisco, Veeam and VMware. The company has c. 60 customers with average contract lengths of three to six years, with a strong management team with experience of both organic and acquisition growth all of whom remain in the business. In the year to 31 December 2015 adept4 generated revenue of £5.0m and EBITDA of £0.75m, with 67 percent recurring revenue, expected to increase due to a growing long term support contract base and organic growth. Initial consideration of £4.5m satisfied in cash plus deferred consideration of £1m in cash, payable in January 2018.  Further contingent consideration of up to £1.5m in cash is payable in March 2018, subject to performance criteria for the year to 31 December 2017. The acquisition part financed through issue of £5m loan notes to the BGF with an associated option to subscribe for shares at a price of 6 pence per share, representing 43 percent uplift from the February placing price of 4.2 pence. Post completion, Pinnacle will have cash at bank of £4.3m.

ProMetic Life Sciences (TSX:PLI CAD2.91/ CAD1,744.58m)*
ProMetic Life Sciences closed its previously announced bought deal public offering of common shares in the capital of the Corporation through a syndicate of underwriters led by RBC Capital Markets and Canaccord Genuity Corp., and which included Scotiabank, CIBC Capital Markets, National Bank Financial Inc., Paradigm Capital Inc. and Beacon Securities Limited. ProMetic issued shares at a price of $3.10 per share for aggregate gross proceeds of $60,140,000.  As previously disclosed, the Corporation intends to use the net proceeds from the Offering for: (1) the advancement of clinical programs relating to the Corporation's orally active anti-fibrotic drug PBI-4050, such as scleroderma and cystic fibrosis, (2) the scale-up of PBI-4050 follow-on drug candidates and their advancement into clinical stages, (3) the advancement of new clinical indications for Plasminogen, including wound healing, (4) the expansion of clinical uses and proprietary positions on some plasma-derived orphan drugs, and (5) the expansion of manufacturing capabilities related to the plasma-derived therapeutics. These initiatives, as well as providing additional working capital, will allow the Corporation to continue to exercise greater control and ownership over its technology platforms, thereby providing an opportunity to retain a greater portion of the associated value for its shareholders. The Corporation also announced that it has closed its previously disclosed concurrent private placement entered into with Structured Alpha LP (SALP), an affiliate of Thomvest Asset Management Inc. This concurrent private placement was entered into following the exercise by SALP of its pre-emptive right to participate in any future public offering of ProMetic's common shares.

Sareum Holdings (LON:SAR 0.841p/ £22.19m)*
Sareum Holdings, the specialist cancer drug discovery and development company, announced that the Phase I clinical trials of CHK1 inhibitor drug candidate CCT245737 are anticipated to open at the Royal Marsden Hospital, Sutton on 31 May 2016. Two Phase I clinical trials in cancer patients are being conducted, in collaboration with co-development partners, the CRT Pioneer Fund. One trial will use CCT245737 in combination with standard-of-care chemotherapy and will ultimately target lung and pancreatic cancer patients. The other trial will use CCT245737 as a single anti-cancer agent and will initially target various cancers. As noted in its announcements of 1 February 2016 and 5 April 2016, Sareum satisfied a financial commitment of £0.79m to the funding of these trials in December 2015. The submission of the Clinical Trial Applications in February 2016 triggered the receipt by Sareum of a £0.2m success milestone payment.

Stobart Group (LON:STOB 125.22p/ £431.16m)
Stobart, the infrastructure and support services group, announces that further to the announcement of 29 March 2016, it has today unconditionally exchanged contracts for the sale of 47 acres of an investment property at Speke in Liverpool, for a cash consideration of £37.0m. The Group's intention was to hold the entire 53-acre site as an investment property however it was recognised that Ford Motor Company Limited, the tenant required an Option to acquire 47 acres of the site as part of an Agreement to Lease that was signed on 29 March 2016. Ford has exercised the option to acquire and completion will have taken place on 31 May 2016. The part of the site that Ford are acquiring which cost £15.6m, is held on the Group's balance sheet at £25.2m and generated an annual rental profit of £0.7m. The sale will result in a significant profit of approximately £11.8m for the Group in the current financial year.

Tern (LON:TERN 14.51p/£10.79m)
Tern, the investment company specialising in the cloud and mobile sectors, announced that it has agreed, subject to contract and completion of satisfactory due diligence, to acquire Flexiant Limited from Flexiant Corporation Limited (FCL) on the following terms: Tern will acquire the entire issued share capital of Flexiant owned by FCL and all intercompany debt owed by Flexiant to FCL. In consideration for the acquisition: Tern will issue 8 million new ordinary shares which will be allotted to FCL in full and final settlement of the intercompany debt; and in the event of a sale of Concerto for more than £6m Tern will pay a further consideration of 50 percent of the sale value in excess of £6m, the additional consideration not to exceed £2m. The acquisition is conditional on: the consent of the loan note holders of FCL and the sale by Flexiant of its Flexiant Cloud Orchestrator business; Tern PLC is informed by Flexiant that it has already agreed terms with such a buyer subject to contract. Flexiant is a leading European provider of cloud management software for cloud orchestration for on-demand, fully automated provisioning of cloud services. Tern has owned an investment of one per cent of Flexiant's issued shares since November 2013. For the year ended 31 December 2014, the latest year for which audited accounts are available, Flexiant made an operating loss of £3.9m on turnover of £0.75m.

TMT Investments(LON:TMT$1.79/$54.08m)*
TMT Investments, which invests in high-growth, internet-based companies across a variety of sectors, announced the completion of an investment in Vinebox Inc. Incorporated in Delaware and based in San Francisco, Vinebox Inc.  was founded by two former corporate attorneys, Matt Dukes and Rachel Vodofsky, in 2015.  Vinebox is the first wine-by-the-glass club.  Members receive three hand-selected wines each month, by the glass, with the opportunity to purchase full-size bottles of their favourites.  Every Vinebox tells a story with tasting notes, pairings, and the people behind the wines.  Vinebox is changing the way people discover, discuss, and drink wine outside of the restaurant. Vinebox is first focusing on the US, the world's largest wine consuming country with over 100 million wine drinkers.  In 2015, US consumers spent US$53 bn on wine.  Vinebox believes it is in an excellent position to capture this market through its new single serving format, bringing wine by the glass into the home. Vinebox was founded by Matt Dukes (CEO) and Rachel Vodofsky (COO).  TMT Investments also announced the completion of an investment in Send A Job, Inc. Incorporated in San Diego, California, Send A Job, Inc. was founded by Erez Marom, Idan Kadosh and Saar Kohanovitch, who combined their IT and Field Service Management (FSM) knowledge and experience to form Send A Job in 2013.  Send a Job caters to a wide range of over 34 field services, ranging from construction, roofing and electricians to computer repair, junk removal and pest control. The Field Service Management industry is growing at a high rate and is expected to rise exponentially from $1.58bn in 2014 to $3.52bn in 2019 due to rapid technological developments in the sector.  Today, companies are demanding real-time based solutions for their field workers, allowing them to accomplish their tasks without any delay or interruption. Send A Job is a Field Service Management CRM software aimed at helping service business owners manage their business with ease.  Send A Job is cloud-based, mobile-enabled, and very flexible, making it an ideal choice for a variety of service industries.  Send A Job aims at combining as many aspects of the FSM industry's needs as possible under one suite, specifically enabling businesses to track leads, schedule jobs, track sales, manage field teams, use call-tracking solutions and even monitor field technician calls with creative phone masking features.

]]>
Wed, 01 Jun 2016 16:52:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25152/tmt-investments-invests-25152.html
Winner is 32 Red, Even, 3rd dozen, high http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25065/winner-is-32-red-even-3rd-dozen-high-25065.html 32RED (LON:TTR 131.25p/£109.83m)
32Red, the online gaming operator, announced a three year agreement to sponsor Leeds United Football Club, commencing in the 2016/17 season. The agreement provides 32Red with shirt sponsorship, access to Leeds United's global fan base and extensive brand visibility throughout the club's iconic Elland Road stadium as well as across its digital and media platforms. 32Red's trading during 2016 has remained very strong across the Group's portfolio.  The Company's like-for-like net gaming revenues for the first nineteen weeks of the year to 11 May 2016 is up 39 percent on the same period in 2015 and up 71 percent including the contribution from Roxy Palace. The Board remains confident of delivering its expectations for the year.

7digital Group (LON:7DIG 7.25p/£8.84m)
7digital, the B2B digital music and radio services company, announced it has signed a contract with musical.ly, a fast-growing social media platform based around video and music with a strong international footprint. The deal will contribute to 7digital's revenues for 2016. 7digital also updated that its client i.am+, the technology company founded by musician and entrepreneur will.i.am, has announced it is now taking pre-orders in the UK for the Dial wearable 'smartcuff' device ahead of its launch on 13 May. The Dial's innovative model allows access to millions of tracks without the need for any additional subscription.

Ace Liberty and Stone (LON:ALSP 4p/ £39.3m)*
Ace Liberty and Stone, the active property investment company capitalising on commercial property investment opportunities across the UK, announced that Dr Anthony Ghorayeb, currently Non-Executive Director of Ace, assumes the role of Non-Executive Chairman with immediate effect. Dr Ghorayeb is also currently the Executive Chairman and co-founder of LiBank, the Lebanese investment bank offering services tailored to high-net-worth individuals (HNWIs), and the Secretary General of the Levant Business Union. Keith Pankhurst, currently Non-Executive Chairman, assumes the role of Senior Independent Director.

Clinigen Group (LON:CLIN 546.00p/ £625.56m)
Clinigen Group, the global pharmaceutical and services company, and Cumberland Pharmaceuticals Inc., a U.S. specialty pharmaceutical company, have signed an exclusive agreement to commercialise the oncology support drug, Ethyol® (amifostine), in the U.S. This is the first product Clinigen has licensed to Cumberland under the strategic alliance entered into late last year. Ethyol is an FDA approved cytoprotective drug indicated as an adjuvant therapy to reduce the incidence of xerostomia (dry mouth) as a side-effect in patients undergoing post-operative radiation treatment for head and neck cancer. It also reduces the cumulative renal toxicity associated with the repeated administration of cisplatin in patients with advanced ovarian cancer.  This is Cumberland's first oncology support product and is a good complement to its portfolio of specialty pharmaceuticals. Under the terms of the agreement, Cumberland will be responsible for all marketing, promotion, and distribution of the product in the U.S. Clinigen acquired the worldwide rights to Ethyol from AstraZeneca in 2014, and this is an important step in the revitalisation plan for the product. 

Cyprotex (LON:CRX 106.50p/£23.38m)
Cyprotex, a specialist Contract Research Organisation, announced the launch of version 2 of its in silico modelling solution, chemPKTM, which predicts human pharmacokinetics directly from chemical structure. Pharmacokinetics is defined as the study of the concentration of a drug or chemical in the body over time, and is related to its absorption, distribution, metabolism and excretion. Understanding the pharmacokinetics is important for understanding the efficacy (effectiveness) or potential toxicity of drugs or chemicals following their administration. The original version of chemPKTM was able to predict human pharmacokinetics following administration of a single oral dose. Version 2 now has the ability to predict human pharmacokinetics following administration of both oral and intravenous dose. It is also able to simulate repeat-dose administration and so is more relevant to the typical dosing regimen within the clinic. Unlike most competing products, chemPKTM uses a PBPK (physiologically-based pharmacokinetic) modelling approach which is a more robust technique for this purpose. The software is easy to implement and use. It operates on the freely available KNIME Analytics Platform for workflow management which facilitates integration with a wide range of other cheminformatics, analytics and modelling tools.

Deltex Medical (LON:DEMG 3.88p/£10.28m)
Deltex Medical, the global leader in oesophageal Doppler monitoring, announced that it has added two additional hospital accounts to its platform programme in the USA. The first account is a sister hospital of one of our longest established platform accounts. Deltex responded to increased interest from the additional account in 2015 by allocating clinical support within its dedicated trainer programme. Since then, probe sales have grown steadily and are now running at over 50 probes a month. This account becomes the fifth platform account in the Company's West Coast territory.  The second account comprises two linked facilities in Oklahoma and is the second remote trainer platform account, which the Company is supporting out of its Mid-West territory, with occasional on-site training to supplement the Company's e-learning programmes. The account is the fourth platform account in the territory and is currently using around 35 to 40 probes a month which it expects to increase as it expands its adoption of enhanced recovery surgical programmes.

Dillistone Group (LON:DSG 17.17p/£17.17m)
Dillistone Group, the supplier of executive recruitment software, announced that its Voyager Software division has signed a development partnership with one of the UK's ten largest recruitment companies (the Partner). Through the collaboration, the Division will work closely with the Partner to further optimise a new product which will be launched this year.  The Division will retain all intellectual property relating to the new solution.  As part of the contract, the Partner will pay a significant five figure fee to the Division, and will receive discounted rates on post launch licensing.

GLI Finance (LON:GLIF 29.75p/£90.62m)
GLI, an alternative finance provider to small and medium sized enterprises,  announced that the Company has entered into conditional share sale and purchase agreements in respect of the acquisition by the Company of certain interests in entities within the Sancus and BMS sub-groups of the Company (the Acquisitions).  The move follows a strategic review of the Company's operations initiated by the Company's new CEO Andy Whelan in December 2015. Following completion, the combined Sancus BMS Group is expected to make pre-tax profit of approximately £2.5m in 2016, rising to approximately £4m in 2017 when loan books are fully deployed, the businesses are fully integrated and increasing levels of commercial, operating and financial synergies are realised.  The Board also sees potential for the Sancus BMS Group in terms of generating free cash flow to service future dividend payments to the Company's Ordinary Shareholders, with this free cash flow to be paid up to the Company.

Horizon Discovery Group (LON:HZD 177.00p/£164.79m) 
Horizon Discovery Group, the application of gene editing technologies company, announced it has entered into two Original Equipment Manufacture agreements with a global market leading Next Generation Sequencing platform company, with the potential for additional agreements to follow. Horizon is a leading provider of highly characterised genetic materials that are used as reference standards for the development and quality control of molecular assays.  These reference standards help laboratories to establish and validate their workflows. Under the terms of the agreements, Horizon will supply two previously developed HDx™ Molecular Reference Standards that cover many of the genes most commonly linked with cancer progression and response to treatment.  The Horizon materials will be incorporated into assay kits from the NGS manufacturer for a range of applications including cancer research and diagnostics.

LiDCO (LON:LID 7.26p/£14.56m)
LiDCO, the hemodynamic monitoring company, announced it has signed a distribution agreement with its partner ICU Medical, Inc. to sell the LiDCO IM non-invasive hemodynamic monitoring system in the United States. LiDCO IM is a specially configured hemodynamic monitor produced exclusively for ICU Medical that works solely in conjunction with LiDCO's non-invasive module. LiDCO and ICU Medical have an existing royalty agreement allowing ICU Medical to incorporate LiDCO's technology into its FDA 510(k)-cleared CogentTM 2-in-1 hemodynamic system, which combines both invasive and minimally invasive hemodynamic monitoring capability on a single platform. Both the Cogent in minimally invasive mode and the LiDCO IM non-invasive monitor use the LiDCO PulseCOTM algorithm to determine cardiac output and stroke volume, allowing continuity of measurement across patient acuity levels. ICU Medical announced on its Q1 2016 earnings call that the company plans further refinements of the Cogent system in advance of a full market release. Availability of the non invasive LiDCO IM system is anticipated for Q3 2016.

MediaZest (LON:MDZ 0.135p/£1.56m)*
MediaZest, the creative audio-visual company, announced that it has raised £0.25m through an oversubscribed placing and that, in addition, it will issue new Ordinary Shares to City and Claremont Capital Assets Ltd following the conversion of loan interest amounting to £50,000, in each case at a price of 0.15p per Ordinary Share. The Issue Price is the price that the market bid price was at closing on 10 May 2016. The Group has made significant progress over the last 12 months and finished the year ended 31 March 2016 with its best ever financial performance. The net funds raised will be used to help deliver current and future projects for existing clients including Hyundai, Adidas, HMV, Diesel and Kuoni. The funds will also provide MediaZest with additional working capital and will help the Company to develop new business opportunities and expand the client base as it looks to build upon recent success and implement its key growth strategy of building a more consistent and recurring income base. In addition, the conversion of £50,000 of outstanding interest will further reduce the amount of shareholder debt owed by the Company and strengthen the balance sheet.

Sareum (LON:SAR 0.885p/£23.56m)*
Sareum Holdings, the specialist cancer drug discovery and development company, announced the appointment of Dr Stephen Parker as Non-executive Chairman of the Company. Dr Stephen Parker succeeds Dr Paul Harper with immediate effect. Dr Stephen Barry Parker, aged 57, is Chairman of Silence Therapeutics PLC.  His career in the healthcare and pharma sector spans over 30 years, including six years in the City in advisory roles. He has sector corporate finance experience having been an investment banker focusing on pharma and biotechnology with Barings, Warburg and Apax Partners and has previously held roles as a partner at Celtic Pharma and Chief Financial Officer of Oxford GlycoSciences.

Seeing Machines (LON:SEE 4.00p/£41.85m)
Seeing Machines Limited, the vehicle operator monitoring technology company, announced that it has signed a term sheet with a US-based investment firm with extensive experience in automotive technologies, for investment into a separately funded company solely focused on commercialising Seeing Machines' technology in the automotive market.  Seeing Machines would retain a significant equity stake in the new company. The term sheet is non-binding, except for customary legal obligations and due diligence. Seeing Machines and its advisors are working with the lead investor and other investors to finalise the investment round.

Synety Group (LON:SNTY 70.50p/£9.79m) 
SYNETY, a cloud-based software and communications company, announced that, following a successful pilot, its key partner, Bullhorn, has chosen to use the full CloudCall service for its own internal use across Bullhorn's EMEA operations. CloudCall integrates real-time communications capabilities into cloud-based CRM systems, bridging the gap between CRM software and real-time communications. This results in completely seamless interactions between the disparate technologies. By adopting to use CloudCall, Bullhorn's staff who use Bullhorn's own CRM system to manage their activities and customer interactions will be able to benefit from increased efficiency and ease of communications that CloudCall provides.

Ten Alps (LON:TAL 1.17p/£5.12m) 
Ten Alps, trading as Zinc Media, the TV and multimedia content producer, provided the following update on trading. Whilst the Company does not yet have total visibility on its full year results, the Directors believe that the Company will fall materially behind market expectations for the year ending June 2016. The Group has continued to sustain losses in certain parts of its publishing operations, the turnaround of which has taken longer than expected. These continued losses are likely to result in the Group not being profitable for the year as a whole, albeit the Directors do expect some improvement on the losses recorded in FY15. The Company is in advanced stages of discussion on the disposal of certain areas of its publishing business and action is being taken to restructure and refocus the remaining parts of the division. The Group's television and communications businesses are operating profitably, however the television division was impacted by delays in commissioning, which affected the entire industry. Reef, the Group's recent acquisition, is trading well.

Versarien (LON:VRS 13.75p/£14.52m)
Versarien, the advanced engineering materials group announced it has entered into a Memorandum of Understanding with Bromley Technologies Ltd to collaborate on the development of graphene enhanced carbon fibre products using Versarien's graphene nano platelets. Bromley Technologies, founded in 2000 by Dr Kristan Bromley, four time Olympian and World Champion Skeleton racer, is focussed on developing and marketing innovative, game changing products and technologies, particularly in the action sports domain.  Bromley Technologies has particular expertise in carbon fibre composite structures and it is intended that Versarien will collaborate in the design and testing of a wide variety of graphene enhanced composite structures, using Versarien's patented process. The initial focus is expected to be on products in the elite sports area, where the early adoption of new technology to gain a performance advantage is common place. These products are also expected to showcase the use of graphene in carbon fibre composite structures more widely.

]]>
Mon, 23 May 2016 11:25:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/25065/winner-is-32-red-even-3rd-dozen-high-25065.html
OnTrakm8, Taht's an ACE dividend, Launching the Lid http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/24966/ontrakm8-taht-s-an-ace-dividend-launching-the-lid-24966.html

ABDP Interim Results, ALSP Interim Dividend*, CGNR Financing Update*, COG FDA Clearance*, CNIC World's First, ELA Placing, ITM Grant, LID Launch, LRM Trading Update, , MSG Contract and Agreement*, PLI New Data*, TPG Final Results, TRAK Trading Update, VLG Agreements, VENN Final Results*, VER Fundraise, VIP Results


AB Dynamics (LON:ABDP 515.00p/£87.98m)
AB Dynamics, a designer, manufacturer and supplier of advanced testing systems and measurement products to the global automotive industry, announced its Interim Results for the six month period to 29 February 2016. Financial highlights showed revenues increased by 34 percent to £10.11m (H1 2015: £7.56m), profit before tax increased by 50 percent to £2.26m (H1 2015: £1.51m) and net cash at 29 February 2016 was £10.15m (H1 2015: £7.03m). The board also announced an interim dividend increase of 10 percent to 1.21p per ordinary share (H1 2015: 1.1p). Operational highlights showed further expansion of the Company's Support Engineering in Japan and Germany, dedicated Robot assembly area now in one location and New Driver In Loop Simulator tie up with Williams Advanced Engineering. Moreover, two additional Steering Robots developed to meeting future demand, the company also achieved 12 sales of the Company's advanced Guided Soft Target and work on infrastructure underway for the new factory build.

Ace Liberty and Stone (LON:ALSP 4.00p/£39.3m)*                                 
Ace Liberty and Stone, the active property investment company capitalising on commercial property investment opportunities across the UK, announced that it intends to pay an interim dividend of 0.033 pence per share, which equates to a total payment of approximately £0.32m. The dividend will be paid on 3 June 2016 to shareholders who were registered on 13 May 2016. The ex-dividend date is 12 May.

Cambridge Cognition (LON:COG 37.50p/£7.97m)*
The neuroscience technology company Cambridge Cognition Holdings has made a submission in respect of its CANTAB Mobile product to the Food and Drug Administration (FDA) in the USA for 510(k) clearance as a medical device for use  within an American healthcare market estimated to be worth in excess of $110 billion. The CANTAB Mobile product was developed to detect episodic memory impairments in early stage Alzheimer's disease patients aged over 50. Since its launch the product has been used to assess over 25,000 people in the UK since being classified as a European Class IIa Medical Device in 2013. Having established a commercial team in the USA in 2015 to drive sales into its core Academic Research and Pharmaceutical Clinical Trials markets; the FDA submission marks the first step in broadening out the Company's healthcare technologies into the American market. The direct cost of caring for Alzheimer's patients in the United States is estimated to be $226bn with half of the costs borne by Medicare. Despite the growing numbers of patients, it is estimated that fewer than 50 percent of Alzheimer's cases are recognised and documented in primary care3, something the scientists at Cambridge Cognition believe CANTAB Mobile could improve. A series of independent studies has demonstrated that the memory assessment in CANTAB Mobile is sensitive to detecting the earliest signs of prodromal Alzheimer's disease up to three years before a clinical diagnosis. Such early detection could serve to maximize the potential therapeutic benefit of treatment, enhance patient quality of life and reduce the burden on residential and nursing care services.

CentralNic (LON:CNIC 44.05p/£40.51m)
CentralNic Group, the internet platform business which derives revenues from the global sale of domain names, announced that it is the world's first Wholesaler to achieve sales of 4 million domain names using new Top-Level Domains (TLDs), according to the domain industry statistics website ntldstats.com. The total number of registrations represents a 33 percent increase since 15 February 2016, when CentralNic became the first company in the world to achieve 3 million new TLD registrations. In addition, five of CentralNic's exclusive TLDs, .xyz, .site, .online, .website, and .space, retain their positions in the top 20 amongst 978 new TLDs launched to date, with .site moving up from the 19th most subscribed new TLD to the 7th most subscribed TLD. CentralNic's Wholesale Division is one of its 3 growing and profitable business units, which benefit from very strong cash flows, recurring earnings and scalability with relatively fixed costs. Its retail Division was recently enhanced with the acquisition of Instra Group in January 2016, and its Enterprise Division is taking advantage of the increasing role of large corporations in the domain name industry.

Conroy Gold and Natural Resources (LON:CGNR 31.00p/£1.67m)*
Conroy Gold and Natural Resources, the gold exploration and development company focused on Ireland and Finland, announced that it has conditionally raised £1.015m (€1.28m), prior to expenses, through a placing of shares at 18.5 pence and 5,486,485 warrants at an exercise price of 37 pence per warrant. Furthermore, Metal Tiger plc has subscribed for 675,675 Placing Shares and 675,675 Warrants. Following Admission, Metal Tiger plc will be interested in 675,675 Ordinary Shares in the Company, representing 6.13 percent of the Company’s enlarged share capital. The Company intends to use the proceeds of the Placing for ground operations and the advancement of the Company’s principal gold opportunities and in particular the newly combined Clay Lake and Clontibret targets, where the Company has established a combined exploration target of 5 million oz of gold, and for working capital generally.

Eland Oil & Gas (LON:ELA 34.00p/£63.45m)
Eland Oil & Gas, an oil & gas production and development company operating in West Africa with an initial focus on Nigeria, announced the proposed placing of new voting ordinary shares and, as required, non-voting right ordinary shares, each of 10 pence each in the Company by way of an accelerated book build in order to raise proceeds of approximately $15m, with the option for enlargement. It is expected that the Placing Price will be at, or around, 34 pence per Placing Share. The net proceeds of the Placing will be used: to fund the re-entry, completion and production of the Gbetiokun-1 well, an existing discovery within the OML 40 licence; to develop a supplementary export route for such production; and for working capital purposes. The Gbetiokun field has been estimated by Netherland, Sewell & Associates Inc. to contain gross 2P Reserves of 10.8mmbbl (net entitlement: 3.9mmbbl), flow at an initial gross rate of 7,800 bopd (net: 3,510 bopd) and generate an NPV10 of $43.9m net to Eland. The re-entry of Gbetiokun-1 is anticipated to cost $6.5m net to Eland and the Company is targeting initial production in H2 2016. In addition to the above, following the recent successful OP-1 and OP-3 workovers and upon the re-opening of the Forcados terminal, which is expected to occur by June 2016, the Company anticipate achieving normalised production rates from the Opuama field of over 9,500 bopd (net: 4,275 bopd).

ITM Power (LON:ITM 14.88p/£31.29m)
ITM Power, the energy storage and clean fuel company, announced the award of a €5m EU grant for the BIG HIT (Building Innovative Green Hydrogen systems in an Isolated Territory) project funded by the Fuel Cells and Hydrogen Joint Undertaking (FCH JU). The FCH JU selected BIG HIT as the only hydrogen project in its Hydrogen Territories tender to receive funding. ITM Power is the electrolyser provider and will receive €2.27m over five years. The Orkney Islands have over 50MW of installed wind, wave and tidal capacity, generating over 46GWhr per year of renewable power, and has been a net exporter of electricity since 2013. Energy used to produce the hydrogen for BIG HIT will be provided by the community-owned wind turbines on Shapinsay and Eday, two of the Orkney islands. At present the Shapinsay and Eday turbines are often 'curtailed', losing on average more than 30 percent of their annual output. In addition, their electricity output is limited by grid capacity restrictions in Orkney. Production of hydrogen from this curtailed energy by electrolysis of water gives 'green' hydrogen from renewable energy sources with a very low carbon footprint. BIG HIT builds on foundations laid by the Orkney Surf 'n' Turf initiative, which will see production of hydrogen on the islands of Eday and Shapinsay using wind and tidal energy. These are both world leading pilot and demonstration projects, which deploy a fully integrated model of hydrogen production, storage, transportation and utilisation for low carbon heat, power and transport. These projects address a number of operational and development challenges including the logistical and regulatory aspects for transport of hydrogen fuel between islands, and the orientation and familiarisation with new hydrogen building and transport technologies. BIG HIT will enable the deployment of 10 electric vans, which will each be fitted with a hydrogen fuel cell range extender. A hydrogen refuelling station will be constructed in or near to Kirkwall at a site to be selected.

LiDCO (LON:LID 8.18p/£15.29m)
LiDCO, the hemodynamic monitoring company, announced it will be launching its new LiDCOunity monitor at the 2016 Annual Congress of Enhanced Recovery and Perioperative Medicine. Interest in Enhanced Recovery programmes in the US has been growing since the late 2000's. The Duke University Medical Centre Enhanced Recovery Programme started in 2010, and since then many centres around the US have started similar programmes. The Company will use the conference to showcase the US launch of the LiDCOunity product which was recently granted approval by the FDA. The LiDCOunity combines the full suite of LiDCO technology allowing the patient to be monitored across the entire clinical pathway on a single monitor.

Lombard Risk Management (LON:LRM 10.15p/£30.78m)
Lombard Risk Management, a leading provider of integrated collateral management and regulatory reporting solutions for the financial services industry, provided an update on trading for the Company's financial year ended on 31 March 2016. The Company announced that revenues for the year will be slightly ahead of current market forecasts, primarily as a result of strong revenue growth in the Company's Regulatory Compliance division. The year ended 31 March 2016 has been one of substantial change for the Company, with changes in the leadership team and a renewed focus on its core offerings of collateral management and regulatory reporting software. These changes have inevitably come at a price and Lombard Risk has incurred some significant non-recurring additional costs. These costs amount to approximately £2.5m, of which approximately £1.7m relate to non-cash items, including further impairment charges and other provisions. Other costs incurred relate to the transition of the executive leadership team; a full rebranding of the Company's products and corporate presence; and significant investment in hiring new talent for the sales and product development teams in particular. The Company expects to report a year-end cash balance of £3.3m and a statutory loss, stated after the non-recurring items referred to above, in region of £2.1m to £2.3m.

Milestone Group(LON:MSG 0.780p/£5.68m*
Milestone, the provider of digital media and technology solutions announced that its joint venture partner in Nexstar, Black Cactus Holdings Limited, has signed a contract with music and media company Rock Solid Development Ltd to utilise the innovative music publishing platform, Backstage HD. Further to the announcement made on 14 March 2016, the platform provides a one-stop-shop technical solution for musicians, recording artists, independent labels and the music industry. Rock Solid will use the Backstage HD platform to help them manage and develop their stable of artists quickly and cost-effectively. The first artist to launch on the platform from Rock Solid is East London rapper, singer and producer Jammin. Nexstar will receive a revenue share per transaction which includes sales of music, ticket sales and advertising revenue. The company also announced that it has signed an agreement with Axis Stars Limited to work with the Passion Project and utilise the suite of technology solutions available through the Nexstar Joint Venture. Axis Stars and Milestone have agreed to enter into an arrangement where international footballer, Louis Saha will become an Ambassador of the Passion Project and through his Axis Stars vehicle, will market and cross-promote to his contacts, sponsors, supporters and investors the Passion Project. Athletes, celebrities, musicians and actors are well known and trusted brands in their own right and the ignition point to the Passion Project as they bring relevant audiences in scale. The signing of an agreement with Louis Saha is the first of many we expect to complete in the coming months.

ProMetic Lifesciences (TSX:PLI CAD3.02/CAD1,758.08m)*
ProMetic announced that new data including an additional nine patients enrolled in its PBI-4050 phase 2 open label study in patients suffering from type 2 diabetes and metabolic syndrome confirms the efficacy initially reported in the first 11 patients that had completed the treatment period in December, 2015.  In these additional nine patients, administration of PBI-4050 resulted in similar pharmacological activity on the diabetic and metabolic parameters, including the decrease in HbA1c as was shown in the original 11 patients.

TP Group (LON:TPG 3.18p/£13.20m)
TP Group, the specialist technology, engineering and managed solutions group, announced final results for the year ended 31 December 2015. Financial highlights showed  revenue was at £20.4m (2014: £21.7m), with operating losses reduced by 41 percent to £2.3m (2014: £3.9m) and adjusted EBITDA losses reduced to £nil (2014: £2.1m). Group cash closed at £7.0m (2014: £9.6m) leaving the company ahead of expectations. The company's group order book was £14.5m (2014: £17.3m) and there is strong visibility of 2016 revenues.

Trakm8 Holdings (LON:TRAK 266.00p/£86.71m)
Trakm8, the telematics and data provider to the global market place, announced a trading update for its financial year ended 31st March 2016. Revenues were up 44 percent year on year, with strong organic growth with like for like revenues up 28 percent year on year and recurring revenue up c.50 percent to over £8m. Orders received were up 29 percent year on year (like for like basis), with 151,000 units now reporting to our servers. The company also reduced year-end net debt of £0.97m, reflecting strong cash generation and introduced a maiden 2p final dividend per share to be proposed.

Venn Life Sciences (LON:VENN 26.74p/£16.82m)*
Venn Life Sciences, a growing Clinical Research Organisation (CRO) providing drug development, clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announced its audited final results for the year ended 31 December 2015. Financial Highlights showed revenue up 135 percent to €11.47m (2014: €4.88m), EBITDA profit (before exceptional items) of €0.39m (2014: loss of €1.53m) and a loss for the year €0.20m (2014: €1.8m). EBITDA profit attributable to CRO Business €0.8m (2014: loss of €0.96m), EBITDA losses attributable to investment in Innovenn €0.44m (2014: loss of €0.57m) and cash and cash equivalents as at 31 December 2015 of €3.8m (2014: €0.8m). Operational Highlights showed the acquisition of Kinesis Pharma BV, extending service capabilities into drug development, the resource base increased to 196 personnel and the re-location of existing Paris operations into "flagship" location. Post Period End highlights showed a strong rate of business wins and new proposals continues, with €3.4m contract secured in January and revenues of €4.4m booked for Q1 2016 (Q1 2015: €2.0m).

Venture Life Group (LON:VLG 57.80p/£22.46m)
Venture Life Group, the international consumer self-care group focused on developing, manufacturing and commercialising products for the ageing population, announced that it has signed its first new international distribution agreements for the UltraDEX range of fresh breath products since acquiring the range with the Periproducts Limited acquisition which completed on 4 March 2016. The Company has signed exclusive five year distribution agreements with Laboratorios Serra Pamies, S.A in Spain and Shanghai Rifto Medical Co., Ltd in China. Serra Pamies's self-care division promotes its products to pharmacies and specialists, and UltraDEX will be an important product range for them.  The experience of Serra Pamies within the Spanish oral healthcare sector has been an important factor in Venture Life's decision to enter into an exclusive distribution agreement with Serra Pamies for the whole of the Spanish market. Shanghai Rifto is a specialist dental sales company selling directly into the dental channel in China and this UltraDEX distribution agreement gives Shanghai Rifto exclusivity in the professional dental sector in this market.  In the OTC oral healthcare market in China, brands are typically marketed initially through the dental channel to gain professional endorsement and recommendation to patients. In due course, and as the brand becomes established, Venture Life intends to appoint an appropriate partner as the distributor for UltraDEX in the OTC pharmacy channel. The UltraDEX products are already approved for distribution in the EU but the timing of the launch of UltraDEX in China is subject to local registration of the products with the Chinese Food and Drug Administration. These agreements reflect the strong interest being seen by Venture Life in the UltraDEX range across Europe and beyond by potential distribution partners since the Acquisition. 

Vernalis (LON:VER 48.25p/£212.38m)
Vernalis, a specialty pharmaceutical company with significant expertise in drug development, announced that it has conditionally raised £40m, by way of a non pre-emptive placing for cash of 80,000,000 new Ordinary Shares at the Placing Price of 50 pence per new Ordinary Share, conditional upon approval of Shareholders at the General Meeting. The net proceeds of the Placing, together with the Company's existing cash resources, are intended to provide sufficient working capital to cover a conservative risk-adjusted roll-out plan for Tuzistra® XR, the forthcoming re-launch of Moxatag® and the future launches of the remaining four US cough cold programmes under development with Tris, whilst enabling increased promotional activity, if deemed appropriate.

Vipera (LON:VIP 3.50p/£9.37m)
Vipera, the specialist provider of mobile financial software services, announced its audited financial results for the year ended 31 December 2015. Revenue was up to €6.8m (2014: €5.9m), net cash at period end of €3.2m (2014: €1.0m) and a 42 percent increase in revenues arising from the Company's Motif platform, mobile financial services and other digital projects. Vipera's Card Control product publicly launched at Deutsche Bank, with enlargement of deployment with Government Savings Bank of Thailand and the launch of MyCartaBCC for Iccrea Group in collaboration with KPMG. The company also completed an equity fundraise of €3.7m to provide a strong financial platform to execute on growth strategy.

 

 

]]>
Wed, 11 May 2016 08:51:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/24966/ontrakm8-taht-s-an-ace-dividend-launching-the-lid-24966.html
Avingtrans' engines on full thrust - No barriers for Digital Barriers http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/24439/avingtrans-engines-on-full-thrust-no-barriers-for-digital-barriers-24439.html Tue, 08 Mar 2016 10:37:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/24439/avingtrans-engines-on-full-thrust-no-barriers-for-digital-barriers-24439.html Support Services, a cornucopia of companies http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/24147/support-services-a-cornucopia-of-companies-24147.html Support services can mean many things to many organisations but essentially the sector can be seen as a lubricant that helps the wheels of the economy continue to turn. A common thread is outsourcing activities that are most economically and effectively performed by a specialist rather than keeping in house. Companies in the sector tend to provide business critical services to their customers, thereby providing an element of stickiness. The sector benefits when the economy grows, but also offers an element of defensiveness as client companies and public sector bodies strive to keep their own fixed cost bases down. However given the broad range of businesses within the industry it is difficult to apply a broad brush description, and stock selection according to one’s investment criteria is vital.


The final quarter of 2015 saw a raft of corporate activity across the sector. This was spearheaded by a bidding war for business processing, technology and procurement services provider Xchanging (LON:XCH). The likely winner now appears to be the American bidder Computer Sciences Corp (NYSE:CSC) with 190p or circa £450m in total (an 81% premium to the preceding three month average) offer which usurped Capita’s  (LON:CPI) initial offer of 160p.


Smaller deals included the £3.95m acquisition by VP (LON:VP.), the equipment rental specialist of Test & Measurement Group, a company engaged in the hire and sale of specialist electrical instrumentation and environmental test equipment to the utilities, electrical engineering and oil and gas sectors across the UK. Elsewhere on 8 January, Acal (LON:ACL), an electronics supplier announced, on 8 January, the £17m acquisition of Contour Holdings Limited and its affiliate Contour Electronics Asia Limited.


Despite a quieter year for the primary issuance as a whole. 2015 saw eight IPOs in the sector raising £1.4bn across AIM and the main market, more than four times the amount raised in 2014. The funding was dominated by the main market IPOs Equiniti (LON:EQN) and Worldpay (LON:WPG) which accounted for £1.26bn collectively, both which could also arguably be categorised as Fintech companies, an area where we see disruptive technologies as presenting attractive investment opportunities. 


In terms of secondary issuances on the junior market, fundraising levels were strong at £641m (up from £285m) second only to the Pharma & Biotech sector. The likes of Bilby (LON:BILB) (gas electrical and building services) and Premier Technical Services (LON:PTSG) (a niche specialist service provider) have been kind to investors up 150% and 67% from their IPO prices respectively. The lack of volatility in the sector which is not especially prone to speculative bubbles and commodity price fluctuations, could be one explanation for the relatively healthy activity levels.

There have been strong returns generated by more established sector names as well. Penna Consulting (LON:PEN), a global people management business is up 141.5% over the last twelve months. Best known as the UK’s leading provider of outplacement services, the company could be expected to do well in times of a shrinking employment market. However this side of the business is picking up customers undergoing major restructuring (think the big supermarket chains and banks) and the recruitment side of the business is going from strength to strength. Macfarlane Group (LON:MACF) a leading distributor of packaging materials in the UK, is riding the internet retail wave. Consensus forecasts are looking for revenue growth of 8% to £166m and EPS growth of 27%. The shares are on a sub 10x PE multiple and 3.9% yield for 2016. FY 2015 results are due 25 February. The shares are up 53% on a twelve month view. Aukett Swanke (LON:AUK) an international group of architects and interior designers which has continues to execute a successful buy and build strategy has recently released strong FY Sep 2015 results. Revenues grew 8.1% to £18.7m with EPS up 53.8% to 1 pence. The shares are on just 6.5x historic earnings and yield 3.7%.


Without as clear definition of its activities as sectors such as software and engineering, support services can be mistakenly viewed as a catch all sector for companies that don’t entirely fit one sector or the other. For this reason it is not always appreciated that companies in this sector can possess significant intellectual property (IP), and skilled workforces with years of accumulated know how and technical specialism. This may be one reason why the sector tends to attract less favourable valuation multiples than certain others as can be seen below.

 

(Source: Bloomberg Ftse 350 Indices)


Indeed a number of companies in the sector could arguably be categorised elsewhere. Vipera (LON:VIP), Mi-Pay (LON:MPAY), and Universe Group (LON:UNG) offer Fintech related platforms enabling mobile banking, payment, and retail/loyalty solutions, all driven by proprietary software platforms, a sector with a PE multiple 28% higher than support services.
Petards Group* (LON:PEG), through its eyeTrain carriage surveillance systems, and specialist engineering division has a strong design led offering to the likes of Siemens, Bombardier and the Ministry of Defence.


Increasingly proprietary software is becoming an important part of its business mix. Arguably its activities span electronics, engineering and software which all attract higher multiples than support services. Similarly


Pennant International (LON:PEN) with its advanced part task trainers (replicating highly engineered systems) and computer/virtual reality based training systems, is a business with a strong technological and engineering pedigree.

Equity markets got off to an ugly start in 2016 with oil price shocks and the fallout from Chinese economic concerns coming to a head; or maybe not yet come to a head. However the impact of these macro factors to the small cap support services companies is nowadays largely limited to sentiment.
Reliable numbers out of China are hard to come by, but it does not seem contentious to suggest that the world’s largest economy cannot grow at 10% forever; or even 7%. The “easy” growth has been had: that is to say catching up with more developed economies from a low base was inevitably easier than pushing on from here. The migration of cheap labour from the country to the cities is pretty much done, and a population of single children is beginning to exaggerate the age demographic that developed countries are already experiencing. The debt fuelled growth and undisclosed inflation of recent years needs to be worked through, which inevitably will drag on future growth further. There is plenty of talk of deflation being exported from China, and indeed there has been mutterings of deflation at various intervals since the credit crunch of 2008. But deflation is in no-one’s interest whatever side of the Pacific they live so – in my opinion - there will be more fudge, obfuscation and can-kicking, and ultimately very little growth (positive or negative) for the foreseeable future both globally and in China.


Regarding oil, there is a rational argument that oil consumers will benefit from a low oil price; already most of us will feel the benefit when we fill our cars. This should balance the woes of the oil producers, but there is not an easy crossover between dismantling the oil industry and building up the sectors that will benefit from the consumer windfall. It will take decades to complete such an overhaul, and will almost certainly be overdone in the short term, counteracting the consumer benefit.

Down at the small cap end of the market the impact of all this is mixed. Of course poor sentiment cascades down the markets much more freely than good sentiment, but the impact to funding of tech based companies is perhaps muted. Funds raised in 2015 for US technology start-ups reached the highest level since 2000 and the UK tech venture cap sector also had a knock-out year with much of the $3.5bn of capital raised still looking to be utilised this year and next (a similar story to the biotech market). One feature of this funding bonanza is that it is primarily focussed on private companies, but there will be flow through into the listed markets if valuation differentials expand.

That said, since 2008 most small growth companies have had to learn to run on vapours, and those that survived are now pretty good at it. Of course lack of capital can easily be correlated with lack of growth, and no doubt some could have grown faster with more capital (and I dare say some would have blown up with more capital) but growth is perhaps a relative rather than an absolute concept. If a small company can grow at 10% when GDP is 1 or 2% and interest rates are ½% then that is surely a very decent return.

The small cap survivors and start-ups have been taught to manage their costs and stretch their capital resource. They have had to develop products and services that they can sell even in these straightened economic times. The ability to transfer technology into a product or a service that improves efficiency, cuts costs or prevents fraud, or reputational damage is the starting point, and the ability to sell it and scale it up is the next challenge. The support services sector is a broad church, but the companies within it are right at the heart of the process of delivering such products and services and in turn providing comparatively good growth in an on-going low growth environment.

 

]]>
Mon, 01 Feb 2016 10:14:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/24147/support-services-a-cornucopia-of-companies-24147.html
FJET Cleared for Take-off, What a catch for FISH http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23957/fjet-cleared-for-take-off-what-a-catch-for-fish-23957.html AGM Placing, BLU* Convertible Notes, BRY Contract Wins, CGNR* Debt Conversion, FJET Launch, FISH Placing and Acquisition, FITB* Trading Update, HDD Airbus Update, HYD Acquisition, MDZ* Update, MSG* Ambassador, PLI* Revenue Guidance, SAR* CHK1 Clinical Trials, SCLP Paper Published, TMT* Depositphotos Transaction, TPG Participation in CryoHub R&D, TRAK Acquisition and Placing

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.

Applied Graphene Materials (LON:AGM)
Applied Graphene Materials, the producer of specialty graphene materials, announced that it has conditionally raised £8.1m before expenses through a placing at 175 pence per share. In addition, in order to provide Qualifying Shareholders with the opportunity to subscribe for New Ordinary Shares, the Company has announced an Open Offer to raise up to approximately £2.0m, on the basis of 1 Open Offer Share for every 15 Existing Ordinary Shares held on the Record Date, at 175 pence each. The proceeds of the placing will be used to scale up the Company's production facilities to increase manufacturing capacity to six tonnes per annum; fund collaborations and joint development activity with customers, including the development of new intellectual property; fund the Group whilst it pursues production orders; and finance the working capital requirements of the Group for at least twelve months.
Bellus Health (TSX:BLU)*
Bellus Health, a drug development company focused on rare diseases, announced the scheduled issuance of 7,286,828 common shares from treasury to Victoria Square Ventures Inc. (VSVI) in settlement of convertible notes. The convertible notes' notional amount was approximately $10.9m and terms of the conversion were determined as part of Bellus Health's capital reorganisation in 2012. Subsequent to the settlement, VSVI now holds 32.5 percent of the Company's issued and outstanding common shares and 27.0 percent on a fully diluted basis. The Company now has approximately 54.7m common shares outstanding and 65.7m common shares on a fully diluted basis. Dilution items include approximately 4.7m common shares issuable under the stock option plan and 6.4m common shares issuable upon the exercise by Pharmascience of its right to exchange its 10.4 percent interest in the limited partnership carrying out Bellus Health's activities (the Exchange Right).
Brady (LON:BRY)
Brady, the leading supplier of trading and risk management solutions for metals, recycling, energy and soft commodities, announced three new contract wins. Two top tier global Japanese-owned trading companies have selected Brady Cloud solutions to support their trading and risk management requirements across base and precious metals, soft commodities and freight, covering the complete trade lifecycle for both derivatives and physical trading activities. Both of these customers will be using the Brady Cloud Service to reduce their Total cost of ownership and ensure maximum availability. Additionally, a European energy supply company, focused on delivering clean energy to large industrial and commercial consumers has selected Brady Energy Trading and Risk Management solution to manage its renewable energy trading, position, risk, and back-office operations.
Conroy Gold and Natural Resources (LON:CGNR)*
Conroy Gold and Natural Resources, the Irish based resource company exploring and developing gold and other projects in Ireland, announced it has raised £0.37m (€0.5m) before and after expenses, by way of a subscription, by way of a debt capitalisation which relates to recent, unsecured, short term funding, at a price of 32.50 pence sterling per share, being the closing mid-market price on 18 December 2015. The New Ordinary Shares have been subscribed for by Patrick O’Sullivan, an existing shareholder in the Company and Professor Conroy, Chairman of the Company. The proceeds of the Placing will be used for general working capital purposes and for the funding of the Company’s ongoing programme at its Clontibret and Clay Lake gold targets. Following this investment, Mr O’Sullivan’s Total holding will be equivalent to 23.1 percent and Prof Richard Conroy’s Total holding will be equivalent to 24.4 percent of the enlarged share capital of the Company.
Fastjet (LON:FJET)
Fastjet, Africa's low-cost airline, announced that Fastjet Tanzania  has been given clearance by the Kenyan government to operate flights between Kenya and Tanzania under the Bilateral Air Services Agreement between the two countries, as previously approved by the Tanzanian Government. Two new routes, Dar es Salaam to Nairobi, and Kilimanjaro to Nairobi are on sale from today, with one way fares starting from as low as at $80 and $50 respectively, plus tax. From 11 January 2016, Fastjet Tanzania will operate a daily flight between Dar es Salaam and Nairobi and between Kilimanjaro and Nairobi.  Flights between Zanzibar and Nairobi and Dar es Salaam and Mombasa are also expected to be added to the network later in 2016.
Fishing Republic (LON:FISH)
Fishing Republic, the fishing tackle retailer, announced that it has acquired the business and assets of FishXL Limited, trading as Cotswold Angling, and is opening a new store in Crewe.  At the same time, to support this expansion, the Company has raised gross £0.5m at a price of 16p per Placing Share. The acquisition of Cotswold Angling establishes Fishing Republic with a presence in the South of England, with the new store in Crewe complementing the Company's existing outlets in the North of England.  Both moves are part of the Company's stated strategy to build a significant market presence through acquisition and organic growth.  They follow Fishing Republic's announcement, on 23 November 2015, of its expansion into the West Midlands, with the opening of a store in South Birmingham, and the upgrading of its Hull outlet to new larger premises. Established in 2000 and based near Swindon, Cotswold Angling operates from a 4,100 sq ft site at a light industrial unit and caters for all types of fishing disciplines.  In the year to 30 September 2014, Cotswold Angling generated sales of approximately £0.43m and made a marginal operating profit. The Total consideration for the acquisition is £0.17m, payable in cash on completion. The co-founder and director of the business, Trevor Gunning, will be joining the senior management team of Fishing Republic as a regional operations manager. The store in Crewe is an 11,000 sq ft site close to the M6, and located next to a fishery. The store offers an extensive display area and Fishing Republic expects to launch the outlet in March 2016.
Fitbug Holdings(LON:FITB)*
Fitbug Holdings, the provider of online personal health and wellbeing services, issued a trading update for the financial year ending 31 December 2015. Trading in the second half is expected to show significant increases in the pre tax losses announced at the half year primarily as a result of a challenging retail environment in the U.S. Following her appointment as CEO in August, Anna Gudmundson has taken extensive action to address underlying business performance issues, including senior management changes.  The Company continues to attract some very talented people and recently appointed Donald Stewart, who is experienced in delivering and managing rapid public company growth, as its new Chairman. Considerable progress has been made in positioning the Company to capitalise on Kiqplan, its digital health and fitness coaching platform.  A new version of Kiqplan was successfully launched at the end of September and the Company has achieved good reviews of the product.  The Company is confident that the new Kiqplan platform provides a strong foundation for growth in both the B2C and B2B markets. Looking ahead, Fitbug expects to continue tackling its business performance fundamentals in 2016 and also expects its focus to move away from retail in order to leverage its established B2B network, where the Company has historically centred much of it business activity.  The Company has identified prospective opportunities to offer its Kiqplan technology to health insurers and other corporations as a simple and effective digital tool for both customers and employees.  As announced on 23 December 2015, endorsing Ms Gudmundson's actions and supporting the Company's updated strategy, Fitbug raised a further £0.65m from NW1 Investments just prior to the period end to meet near term working capital requirements. The Company has also entered discussions with Fitbit Inc. regarding the litigation and claims between the two companies and shareholders will be kept informed of developments.
Hardide (LON:HDD)
Hardide, the provider of surface coating technology, announced that its Hardide-A coating has met Airbus technical performance requirements as a potential alternative to hard chrome plating and is now available for consideration by design engineers and sub-contractors on some specific Airbus aircraft components. Meeting this technical performance level comes after eight years of Hardide's development and testing of the coating as a potential alternative to hard chrome plating, which is used extensively on airframe and landing gear components.  Hardide-A, a variant of the Company's tungsten/tungsten carbide coating range, has successfully passed necessary tests and met technical performance requirements defined in the Airbus Process Specification for thick Chemical Vapour Deposition Tungsten Carbide coatings.
Hydro International (LON:HYD)
Hydro International, a provider of environmentally sustainable and innovative solutions to water management challenges the world over, announced that it has acquired the intellectual property and technology assets of M2 Renewables Inc. from Sail Capital Partners based in Irvine, California for an initial amount of $1m in cash, plus an additional deferred consideration of ten percent of sales incorporating the acquired intellectual property across the first five years. This additional consideration is capped at $10.0m.  The acquisition will be funded from existing cash and debt facilities. M2R, established in 2003, has successfully developed the MicroScreen rotating belt screen filtration technology for applications in municipal and industrial wastewater treatment plants, securing important initial projects with major customers in the United States.
MediaZest (LON:MDZ)*
MediaZest, the creative audio-visual company, provided shareholders with an update in respect of ongoing and new business. Since the last update announcement in October 2015, the Group has secured material additional contracts and has completed several significant projects. In particular, the Company recently completed the second Hyundai Rockar dealership at the Westfield Stratford shopping centre, which has now opened. Operating in the same way as their highly successful dealership at Bluewater, the new showroom features five large scale video walls, each of nine screens, and fourteen interactive touchscreens allowing customers to purchase their chosen car. MediaZest were responsible for system specification, build and installation works including in store audio and content management, with ongoing support and maintenance contracts in place. The Group also announced it has begun working with a new client, Specsavers Limited. MediaZest was initially engaged to design, produce and deliver a Smart Store concept for the annual Partners Conference in Birmingham on the 28 November 2015 in collaboration with Specsavers key stakeholders. Following this successful event, the solutions provided have been installed in Head Office. During this quarter they also finished their current works with the Post Office Limited, supplying audiovisual systems for new concept stores. The Company also began working with Kikki.K an Australian/Swedish stationary retailer, on their first two UK stores. Work continues with Adidas (with mandated projects for an additional 2 UK stores and another 3 in mainland Europe), and with Belstaff, HMV, and Kuoni.
MilestoneGroup(LON:MSG)*
Milestone, the provider of digital media and technology solutions, announced that it has appointed Alex Pritchard as a Passion Project Ambassador. Alex is an English professional footballer who currently plays for Tottenham Hotspur FC, signing a four-year deal in August 2015. As a Passion Project Ambassador, Alex will help to promote the initiative, which aims to inspire and empower young people whilst helping to tackle youth unemployment. Alex has also agreed to feature in the next issue of Disorder Magazine, which is due to be released in February 2016.
ProMetic Life Sciences (TSX:PLI)*
ProMetic Life Sciences announced that its 2015 revenues are to be in line with guidance provided during its Q3 results call. Total full-year revenues are expected to be $24m, consisting of $21m of product sales and $3m of service and milestone revenues. The product sales figure of $21m is up over $10m, or 94 percent, on the 2014 Total of $10.8m.
Sareum (LON:SAR)*
Sareum, the specialist cancer drug discovery and development business, announced that it has received formal confirmation from its co-development partner, the CRT Pioneer Fund, that Clinical Trial Applications for Phase I clinical trials of CCT245737, the CHK1 Programme clinical development candidate drug, are intended to be submitted to the UK Medicines and Healthcare products Regulatory Agency (MHRA) in January 2016. In accordance with the CHK1 co-investment agreement, Sareum will therefore satisfy its next financial contribution, in respect of its 27.5 percent investment share, of £0.8m by 29 December 2015. As reported in the Company's Final Results in October 2015, two clinical trials in cancer patients are planned, one with CCT245737 as a single agent and one in combination with standard-of-care chemotherapy. The funds required for the Company's financial contribution to these trials will be met from existing cash resources.
Scancell Holdings (LON:SCLP)
Scancell Holdings, announced the publication, on line, of a full paper in Cancer Research describing the rationale behind the Company's ModitopeÒ platform and the experimental results that support it. Cancer Research is the official journal of the American Association for Cancer Research and is one of the world's foremost peer-reviewed journals in the field of oncology. The lead product from the Moditope® platform, Modi-1, is progressing through pre-clinical development with first in man studies targeted in triple negative breast cancer and ovarian cancer patients.
TMTInvestments(LON:TMT)*
TMT Investments, which invests in high-growth internet-based companies across a variety of sectors, confirms that, further to the announcements made by the Company on 30 November 2015 and 20 December 2015, completion by its portfolio company Depositphotos, Inc. of a $5m equity financing round led by the venture capital arm of the European Bank for Reconstruction and Development is expected within the next two weeks.
TP Group (LON:TPG)
TP Group, the specialist technology, engineering and managed solutions group focused on the aerospace & defence and energy & process industry sectors, announced it has signed a consortium agreement to participate in CryoHub, a research and development project funded under Horizon 2020, the EU Framework Programme for Research and Innovation. The consortium is a pan-European team, led by London South Bank University's School of The Built Environment and Architecture, one of the leading urban engineering and sustainability research centres in the UK. The team will investigate the potential of a promising new technology - cryogenic energy storage (CES) - to solve the problem of how to store excess renewable energy. The intention is to use cheap, off-peak electricity to convert air into a liquid, which can then be stored over a long period of time in a storage vessel. Turning the liquid back to gas, by removing it from the store and applying heat to it, will produce a huge increase in volume and pressure - enough to power a turbine to generate electricity which can then be supplied back to the grid. TPG's initial involvement in the project over the 2016/17 financial years is estimated to be circa €0.5m for the integration of its highly efficient turboexpander technology. The technology is already proven in other commercial systems, and this project will see the Group work to tailor the turboexpander specifically to meet the needs of the CES architecture. The work will be carried out over the next two years with the majority in 2016. This agreement marks further progress for TPG as it is the first participation in a publicly funded research consortium in the exciting renewable energy sector. It places TPG's Design and Technology team at the forefront of renewable energy application development, working in a leading peer group alongside global industrial companies, technology specialists and academic institutions. The TPG directors believe that the resulting systems and applications will make a major contribution to consistent energy supply, providing safeguards against periods of intermittent supply and helping to stabilise the energy grid. This should open up significant new market opportunities for TPG and the other consortium partners. In addition to the primary development, it is also anticipated that TPG's Engineering facility in Greater Manchester may be positioned to provide additional thermal engineering and fabrication support to the programme going forward.
Trakm8 Holdings (LON:TRAK)
Trakm8 Holdings, the telematics and data provider to the global market place, announced that it has conditionally agreed to acquire the entire issued share capital of Route Monkey Holdings Limited, a provider of technology solutions that optimise fleet routing, for a consideration of up to £9.1m, including maximum deferred consideration of £2.0m. The Acquisition will be funded through a combination of a drawdown of new Trakm8 debt facilities, a placing at a price of 333 pence per Placing Share to raise £6m and 184,441 new Ordinary Shares being issued as part of the consideration to the senior management shareholders of Route Monkey. The Placing adds new blue-chip institutions to the share register. The Acquisition is expected to complete on admission of the Placing Shares to trading on AIM. The Acquisition is in line with Trakm8's strategy of augmenting its organic growth with selective acquisitions that expand its telematics offering to both insurance and fleet customers. The Acquisition is expected to be immediately earnings enhancing.

]]>
Wed, 06 Jan 2016 10:59:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23957/fjet-cleared-for-take-off-what-a-catch-for-fish-23957.html
Diggin' 7dig No Barrier to DGB in AsiaPac MediaZest rocking on http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23818/diggin-7dig-no-barrier-to-dgb-in-asiapac-mediazest-rocking-on-23818.html Diggin' 7dig
No Barrier to DGB in AsiaPac
MediaZest rocking on

7DIG Contract Win, ABZA Placing, AVG Contract Win, BLU* Results, COS Appointment, DEMG New Accounts, DGB Contract Award, EVG Half Yearly Report FITB* Launch, HDD Preliminary Results, HVO Placing, IMO Partnership, JPR Trading Update, MDZ* Half-Yearly Report, OPTI* Placing, PLI* Agreement, REAT New Subsidiaries, REDT Strategic Contract, RED First Unit Connected
If you would like to unsubscribe, please email enquiries@hybridan.com with “unsubscribe me”.

Feel free to follow us @hybridanllp  
Disclaimer- This document, which does not constitute research, has been issued by Hybridan LLP for information purposes only- please refer to the disclaimer in full below.

*A corporate client of Hybridan LLP

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.


7digital (LON:7DIG 7.50p/£8.12m)
7digital, the digital music and radio services company, announced that it is powering two mobile music services for Mariposa Holdings Group, Inc. in Brazil. These are now live with two of the largest telecommunications companies in South America: Oi and Algar Telecom. The provision of this kind of mobile music service is key to the company's growth, and these launches also mark a significant expansion in 7digital's South American business. As part of a contract win first announced in June, Mariposa licenses 7digital's streaming technology and catalogue management platform to power new mobile music services. Launching its product in October 2015, Brazil's Algar Telecom was the first mobile network to offer its customers Mariposa's music subscription and radio style services. Since 24th November, Oi, the largest telecommunications company in South America, with over 60 million subscribers in Brazil, also offers a music service to its high value customers as part of a mobile carrier data offer. Services from both Algar Telecom and Oi are created and managed by Mariposa and powered by 7digital's platform. 7digital also announced that it has signed an agreement with digital multimedia streaming platform Playster, to expand their music streaming service into 15 additional territories. Playster is the world's first all-inclusive online entertainment service, bringing together music, movies, books and games into a single subscription.

Abzena (LON:ABZA 63.00p/£61.90m)
Abzena, a life sciences group providing services and technologies enabling the development and manufacture of biopharmaceutical products, has conditionally raised £20m by way of a placing at 60p each with certain existing and new shareholders, and has agreed to acquire The Chemistry Research Solution LLC (TCRS), subject to certain closing conditions including completion of the placing. The placing price represents a 7.7 percent discount to the closing mid-market price of an existing ordinary share on 23 November 2015, being the last business day prior to this announcement. TCRS is a specialist contract chemistry and bioconjugation company based near Philadelphia, Pennsylvania, USA, with expertise in producing and analysing antibody drug conjugates. Abzena will pay $15m (£10m) to acquire the entire ownership interests in TCRS. The consideration will be paid as $8.8m in cash, the issue of 3,609,978 Ordinary Shares and $0.9m in restricted stock units over 901,697 Ordinary Shares and assumed long term debt of $1.5m.

Avingtrans (LON:AVG 120.05p/£33.42m)
Avingtrans, which designs, manufactures and supplies critical components, modules and associated services to the aerospace, energy and medical sectors announced that Maloney Metalcraft, part of Avingtrans plc's Energy and Medical Division, has secured a $2m contract with JGC Gulf International Co. Ltd. to supply gas treatment packages. The Saudi Arabian Oil Company (Saudi Aramco) is developing infrastructure for processing shale formation gas (unconventional gas) from the Jalamid field in the Al-Jouf and Northern Border Regions in the northwest part of Saudi Arabia. The first phase of this project (System "A") will involve gathering gas from the ST-53A area of these fields, routing it to an engineered surface facility location, then transporting it about 30 km via pipeline to a customer. The contract with JGC Gulf International, which is contracted by Saudi Aramco, covers the initial four gas treatment separation & filtration packages in System A. System B of the Project will be EPC tendered in Q2 2016, requiring four times the number of packages as System A. As well as bidding for System B, Maloney Metalcraft also anticipates the opportunity to pursue additional gas processing equipment work.

BELLUS Health (TSX:BLU CAD0.910/CAD43.16m)*
BELLUS Health, a drug development company focused on rare diseases, reported its financial and operating results for the third quarter ended September 30, 2015. Approximately 95 percent of the required events have occurred in the Phase III Confirmatory Study for KIACTA™. The KIACTA™ Phase III Confirmatory Study is expected to be completed by the first quarter of 2016, with top-line data expected to be available in the middle of 2016. The company presented data from clinical and pre-clinical studies evaluating Shigamab™ in the treatment of sHUS at the International Symposium on Shiga toxin (verocytotoxin) Producing Escherichia Coli (VTEC) 2015 Conference in Boston. The company concluded the quarter with a cash position of $10.1m, which should enable the Company to finance its operations beyond the data readout for the KIACTA™ Phase III Confirmatory Study. Revenues amounted to $0.59m for the three-month period ended September 30, 2015, compared to $0.42m for the corresponding period the previous year. The increase is primarily attributable to higher revenue recognised for accounting purposes in 2015 in relation to the service agreement with Auven Therapeutics for KIACTA™.  R&D expenses amounted to $0.34m for the three-month period ended September 30, 2015, compared to $0.41m for the corresponding period the previous year. The decrease is primarily attributable to lower expenses incurred in relation to the development of Shigamab™. As at September 30, 2015, the Company had available cash, cash equivalents and short-term investments totalling $10.1m, compared to $12.31m as at December 31, 2014. Based on management's estimate, the current cash position should enable the Company to finance its operations beyond the data readout for the KIACTA™ Phase III Confirmatory Study, expected in 2016.

Collagen Solutions (LON:COS 9.08p/£15.78m)
The Board of Collagen Solutions, the developer and manufacturer of medical grade collagen components for use in regenerative medicine, medical devices and in-vitro diagnostics, announced the appointment of Jamal Rushdy as Chief Business Officer with immediate effect. Mr Rushdy has over 20 years' experience in the medical device arena, specifically within two mid-size high growth public companies and three successful start-ups. He has a unique track record of building businesses with successful exits and transforming organisations through integration and performance improvement, adding value through business development and functional leadership. Mr Rushdy has been employed at Tornier Inc, a Minneapolis extremities and biologics company, since 2007, most recently as Vice President of US Sales Operations.  During his tenure he also served as the Vice President of the company's Global Sports Medicine, Biologics, and Business Development group where he led multiple acquisitions and corporate partnerships, including several focused on biologic technologies. Previous roles include Vice President of Operations & Business Development at Nexa Orthopedics in San Diego where he led his division through a high-growth period driven by a significant expansion in the sales force and rapid product introductions leading to the successful acquisition of Nexa by Tornier.     

Deltex Medical Group (LON:DEMG 4.00p/£9.06m)
Deltex Medical Group, the global leader in oesophageal Doppler monitoring, announced that it has added two further new accounts to its platform programme in the USA. The first new account is a major teaching hospital in the mid-west region of the USA and is the second platform programme account in the Great Lakes sales territory which the Company established in the first quarter of 2015. The hospital has indicated that it intends to purchase at least 40 probes per month during its initial implementation phase, which the Company expects to increase as the technology is more widely adopted. Approximately 20 probes per month are scheduled to be used in the hospital's breast reconstruction surgical protocols to be launched in January 2016. The second new account is a large hospital in Washington State. It is the fourth platform programme account in the North-West sales territory, and the fourth platform programme account from the 26 strong hospital system with which the Company implemented a system-wide procurement framework agreement in January 2015. The agreement requires each hospital that participates to commit to purchase at least 30 adult surgical probes a month. The three existing accounts are all on track to get to 100 or more probes per month: they are each now regularly purchasing 50 to 65 probes per month having started their implementation programmes at 30 to 35 probes a month. This fourth new account's first order was for 50 probes. The new account contains a full service children's hospital with a large regional catchment area.
 
Digital Barriers (LON:DGB 50.50p/£40.13m)

The Board of Digital Barriers, the specialist provider of advanced surveillance technologies to the security and defence sectors, announced that it has secured a contract valued at £1m to supply additional land and sea-based TVI and ISP surveillance solutions to a major Asia Pacific maritime security agency. This follows an initial contract for TVI solutions received from the same customer six weeks ago, valued at approximately £0.13m. The contract is expected to be fully recognised this financial year and to lead to further follow-on awards. The Group's TVI surveillance technology offers secure distribution of real-time video from anywhere to anywhere, featuring end-to-end security, real world resilience and network optimisation that can stream usable live video using 60 percent less bandwidth than standard technologies. This exceptionally efficient use of available bandwidth enables TVI to deliver significant capability benefits and material cost savings over competing technologies. TVI has already been sold into more than thirty countries, and counts some of the most prominent defence and security agencies in the world as its customers, as well as an increasing number of commercial organisations. The Group's ISP (Integrated Surveillance Platform) combines TVI with other class-leading sensors, including the Group's RDC unattended ground sensor, to provide real-time video surveillance and intrusion alerts for remote and inaccessible locations. ISP enables live video streaming and intrusion data to be shared at local, regional and national levels across multiple agencies, supporting a coordinated, timely response to identified threats.

Evgen Pharma (LON:EVG 26.00p/£19.64m)
Evgen Pharma, the clinical stage drug development company focused on the treatment of cancer and neurological conditions, announced its unaudited interim results for the six months ended 30 September 2015. Highlights in the year to date included a £7m placing and admission to AIM on 21 October 2015. The company reported positive data on SFX-01 as adjunct to hormonal therapy in patient-derived xenografts using cancer tissues from early and late stage breast cancer patients (data presented at the American Association of Cancer Research, April 2015). Dr Alan Barge, former oncology head at AstraZeneca, appointed as a Non-executive Director in October 2015. The company also announced the acquisition of novel compounds in November 2015 via an exclusive worldwide licence from the Spanish National Research Council (CSIC) and the University of Seville, Spain. Financial highlights showed a net loss for the period was £1.2m (30 September 2014: net loss £1.1m) with a cash position at 30 September 2015 of £1.8m (30 September 2014: £0.2m), reflecting a £2.0m (gross) pre-IPO fundraising in August 2015.  The IPO placing in October further strengthened the balance sheet and the company is fully funded to complete two Phase II studies of SFX-01 and to support further preclinical work.
 
Fitbug Holdings (LON:FITB 0.94p/£3.41m)*
Fitbug Holdings, the provider of online personal health and wellbeing services, announced the launch of Version 2 of the Kiqplan App, a new version of its innovative digital health and fitness training programme, Kiqplan.   The app is highly functional, effective and includes an extensive new feature set.  Covering personalised activity, nutrition, workouts, advice and motivation, Kiqplan integrates with all leading wearable devices, including Fitbug, Jawbone, Garmin and more, as well as smartphones and smartwatches including Samsung and Apple devices, plus other third party apps.  Kiqplan helps users step by step through a personalised plan, to eat healthier, sleep better, exercise smarter, go further and ultimately achieve their health and fitness goals. Users who purchase the 12-week training programmes will be provided with weekly targets, health and motivational tips, workout videos, progress reports and simple, healthy recipes with accompanying calorie targets.  Fitbug believe the Kiqplan app is a forerunner in the digital health sector and its launch is an important milestone achievement for Fitbug. Its comprehensive health and fitness programme gives context and meaning to the data generated by all compatible activity trackers. This ideally positions the product in the exponentially growing digital health and fitness market. To support this, the Company is building out its marketing presence; it has already added highly experienced digital personnel and is looking to further strengthen its marketing team to deliver compelling campaigns to support its products.

Hardide (LON:HDD 1.01p/£12.61m) 
Hardide, the developer and provider of advanced surface coating technology, announced its preliminary results for the year ended 30 September 2015. Financial highlights showed that after a record H1, overall performance affected by downturn in oil & gas exploration, as expected. Revenue was £3m (2014: £3.03m), with gross profit of £1.81m (2014: £2.09m) leading to a group operating loss of £0.22m (2014: profit of £0.18m) and a loss before interest, tax, depreciation and amortisation of £0.33m (2014: profit of £0.12m). Cash at bank at 30 September 2015 was £2.33m (30 Sept 2014: £3.47m). Business/ Operational highlights showed key investment projects in UK and US progressed to plan - positioning the business for growth: the UK facility was upgraded - for greater efficiency and increased capacity. Installation of third large reactor and new facility in Virginia substantially completed which will be production-ready this month. Growing sales to North America and continental Europe, which were up 117 percent and 64 percent respectively, with encouraging progress with customer trials across a range of industries, including aerospace. The board remains cautious about near term outlook given oil & gas sector headwinds. However longer term prospects remain good, supported by a diversification strategy.

hVIVO (LON:HVO 235.00p/£165.69m)
hVIVO, the pioneer of human challenge models of disease, announced that it has raised, subject to certain conditions, £20.5m by way of a placing at a price of 225p per ordinary share. The placing price is at a discount of 11.6 percent to the closing middle market price of 254.50 pence per ordinary share on 25 November 2015, the latest date prior to this Announcement. The New Ordinary Shares will represent 11.7 percent of the company's enlarged issued ordinary share capital immediately following completion of the placing. The net proceeds of the placing are expected to be approximately £20m and will be principally used by the Company to progress PrEP-001 to Phase IIb, commence the stratification of asthma and advance the flu pathomics outputs into product candidates.

IMImobile (LON:IMO 151.00p/£90.56m)
IMImobile, a leading software and services provider of mobile customer engagement solutions, announced that it has partnered with Bharti Airtel Africa to deliver its mobile billing solution Tap2Bill for merchants and content providers across Africa. Airtel is a leading telecommunications service provider, with operations in 17 countries across Africa. The new Airtel Tap2Bill service will enable content providers and merchants to utilise Airtel's billing infrastructure to charge and bill their customers.  The service will be available via a secure merchant portal, that will help content providers and merchants grow their business across Africa, without the need to invest in costly billing and payment capabilities. Africa is seen as the fastest growing market for mobile commerce in the world and as demand for new services grows as does the need for smarter solutions and engagement strategies.
 
Johnston Press (LON:JPR 37.42p/£41.24m)
Johnston Press, one of the leading local media groups in the UK, announced its trading update for the 17 weeks to 31 October 2015. The Board expects underlying profit and net debt for the full year to be in line with expectations. The company has retained their focus on cost savings, delivering strong cash flows and debt reduction. Underlying total revenues for the 17 week period to 31 October fell 8.8 percent year in the year, having fallen 7.6 percent in the second quarter. Underlying digital revenues were up 8.4 percent, whilst publishing revenues fell 10.8 percent, with print advertising revenues down 14.7 percent. 1XL, the digital advertising exchange partnership, launched in late 2014, helped the National digital advertising category grow by 106.5 percent in the period, and has enabled them to achieve overall growth in national combined print and online display revenues of 3. 8 percent for the period. Former classified categories of Employment and Property declined 22.4 percent and 20.8 percent respectively in the period impacting heavily on both overall print and digital revenues. Digital audience growth remains a priority and the number of unique users has grown on average by 22 percent to 21.5m per month during the period.  Circulation revenues were down 7.2 percent in the period, having declined 6.5 percent in the second quarter. The company has continued to focus on offsetting revenue decline with cost reduction, and has made good progress in controlling production, editorial and advertising costs in line with strategic initiatives: 'News room of the future' and 'Sales force of the future'.

MediaZest (LON:MDZ 0.153p/£1.61m)*
MediaZest, the creative audio-visual company, reported unaudited results for the six months ended 30 September 2015. Financial highlights showed revenue for the period was £1.61m up 1.6 percent (2014: £1.58m), leading to gross profit of £0.62m up 17.2 percent (2014: £0.53m) and EBITDA was a profit of £8,000 (2014: loss of £0.18m). After deducting interest of £49,000 (2014: £26,000), administrative expenses before depreciation of £0.61m (2014: £0.71m), depreciation of £22,000 (2014: £27,000) and amortisation of £12,000 (2014: £2,000), the Group made a loss for the period after taxation of £60,000, reduced by 70.4 percent (2014: £0.20m). An operational review showed that the group has made meaningful progress in the last six months which has generated a positive EBITDA for the period.  This is the first time that the Group has been in a position to report this. Turnover has increased by 1.6 percent against the comparable period in the prior year; however a significant improvement has been achieved in the gross profit margin which has increased from 33.4 percent in the prior period to 38.5 percent.  This increase is as a result of the Board’s ongoing strategy of focussing on providing a full service offering to its client base. As well as equipment sales and installation fees, new business efforts are currently targeted towards providing ongoing managed services that include maintenance, content management and data analytics. During the six month period to 30 September 2015, revenue has continued to be generated across the retail, corporate and education sectors.  The Retail sector (including Automotive Retail) generated over £900,000 through multiple store deployments across the UK and Europe. This included work for prestigious clients such as Hyundai, Adidas, The Post Office, Belstaff, Ted Baker, Diesel, Chivas Regal, TM Lewin and John Lewis Partnership.  The Corporate sector generated almost £450,000 of revenue with a large number of clients including Pfizer, Churchill Retirement Living and Virgin Active.  Education provided a smaller proportion of income, generating approximately £250,000 of revenue. Furthermore, the Group continued to grow its relationship with Hyundai working on a number of projects during the half year in both their Rockar partnership and other Hyundai dealerships.  Further mandated business is scheduled for completion in the second half of this financial year.  The work completed by MediaZest on the much acclaimed Hyundai Rockar Bluewater Digital Showroom was recognised with two high profile industry awards presented by Retail Week in May 2015 and POPAI in September 2015.
 
OptiBiotix Health (LON:OPTI 77.70p/£56.66m)*

OptiBiotix Health, a Life Sciences business developing products to tackle obesity, high cholesterol and diabetes announced that it has raised £1.5m, at a price of 75 pence per share. The Company intends to use the proceeds of the Placing to: enhance its in-house product development capability in the microbiome space by the recruitment of four new development/ formulation scientists. This is expected to support opportunities for partner joint development; extend its OptiScreen® technology platforms into other application areas, such as diabetes and bone health.  This is expected to create new opportunities with existing and new partners; create a new 'SweetBiotix™' platform with a focus on developing 'sweet healthy sugars'.  This accelerates the progress made with the companies OptiBiotix® platform, and extends OptiBiotix's technology platforms into new application areas, in particular skin health.  This creates new product opportunities in large global markets including skincare ($121bn), Health Care Acquired Infections ($82bn) and wound care ($18.3bn). The Company believes these developments provide significant growth opportunities to ensure OptiBiotix remains at the leading edge of an emerging market forecast to become one of the world's fastest growth areas.  OptiBiotix has made good progress since listing and now looks to build on this solid foundation to build a microbiome business with sustainable and significant value for shareholders. Following the Placing the Company will increase its net funds from £2.2m to circa £3.7m.

ProMetic Life Sciences (TSX:PLI CAD3.21/CAD1,865.32m)*
ProMetic Life Sciences reported revenues of $5.7m for the third quarter ended 30 September 2015 compared to $2.3m for the third quarter in 2014, with year-to-date product sales ahead after the first nine months of 2015 at $9.2m compared to $7.3m for the first nine months of 2014. During the third quarter of 2015, ProMetic received an orphan drug designation status for its human plasma derived plasminogen drug by the European Commission for the treatment of plasminogen deficiency; received confirmation that its plasminogen drug was safe and well tolerated in plasminogen-deficient patients and proceeded with the administration of a higher dose; completed the acquisition of Emergent BioSolutions' (Emergent) plasma collection centre located in Winnipeg, Canada which was announced in May. Emergent's plasma collection centre is an FDA and Health Canada licensed plasma collection facility; and, received confirmation that its PBI-4050 was safe and well tolerated in the first 12 metabolic syndrome with associated type 2 diabetes patients and proceeded with the enrolment of an additional 24 patients. The Corporation finished the third quarter ended September 30, 2015 with a strong cash position of $42.5m. The company also announced that it has entered into a strategic partnership with ProThera Biologics Inc. for the development and commercialisation of human plasma-derived Inter-alpha Inhibitor Proteins. The agreements provide ProMetic with global, exclusive intellectual property rights to commercialise products for two clinical indications and both companies have strategic interest in the other's IAIP-related therapeutic areas through a royalty- bearing cross-license agreement.


REACT Group (LON:REAT 1.52p/£2.94m)
REACT Group, the specialist provider of rapid response deep cleaning and emergency decontamination services, announced the expansion of its service offerings into Licensed Asbestos Removal and Occupational Hygiene Services. REACT has acquired certain capital equipment, for a small sum, from two separate businesses which have previously operated in these fields, and recruited a specialist in each area. REACT has created two new wholly-owned subsidiaries: REACT Environmental Services Ltd and REACT Occupational Hygiene Services Ltd, which will be able to offer a wider and complementary range of managed services to its growing client portfolio. Since REACT was admitted to AIM in August of this year, the Board has looked at a number of small add-on acquisitions to broaden the product offering and we are delighted to have been able to acquire the assets of these two former businesses, which fit perfectly with  the outlined growth strategy. All of the subsidiaries' administration will be run out of REACT's Swadlincote offices, and the Board believes that over a short period of time it will see a positive contribution from both companies.

Red24 (LON:REDT 18.20p/£8.94m)
Red24, the crisis assistance company, announced that the leading international business underwriter, Hiscox London Market, has appointed Red24 to provide strategic support for its Product Contamination Insurance clients with immediate effect. Hiscox London Market, part of the Hiscox international specialist insurance group, has engaged Red24 to offer its crisis support services to aid their preparation and management of product safety risks. With its Food Safety and Product Recall business unit, Red24 will help Hiscox London Market clients prepare for risks relating to their products as well as respond to immediate crisis situations arising from product recalls and/or contamination. Support includes access to specialist technical, regulatory and public relations advisors, product testing facilities and crisis communications facilities.
 
redT energy (LON:RED 8.19p/£34.66m)
redT, the energy storage technology company, announced that its first manufactured unit is approved for connection to the UK grid and that units will receive the CE mark, enabling EU wide distribution.  The 40kWh unit delivered to redT's Wokingham development centre is now grid tied, charging from and discharging into the distribution network. This marks an important step for redT moving from demonstration of prototype units to installation of independently manufactured products ready for customer use. This redT storage system has been coupled with solar as a grid connected installation.  The system allows the redT development centre to match consumption of power generated from the solar panels installed on its rooftop with its demand, with the aim of saving on electricity purchase costs.   Excess power from the panels and the redT system can be fed into the local electricity distribution network operated by Scottish and Southern Energy (SSE) so as to maximise sales revenues.  SSE has approved connection of the solar and redT energy storage system to the local network. redT is currently executing a strategic programme to deliver market seeding products across a series of applications including utility, grid-tied wind, grid-tied solar, off-grid diesel generator and telecommunication towers.  Now the first unit has been deployed, the Board expects to begin shipping units to other customers.

]]>
Wed, 09 Dec 2015 10:21:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23818/diggin-7dig-no-barrier-to-dgb-in-asiapac-mediazest-rocking-on-23818.html
Gear4Music hits the right note, Mobile does matter one iota for Sanderson NWF bolts on Staffordshire Fuels http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23528/gear4music-hits-the-right-note-mobile-does-matter-one-iota-for-sanderson-nwf-bolts-on-staffordshire-fuels-23528.html COS Agreement, G4M Half Yearly Report, GFIN Placing, LPA Trading Update, NWF Acquisitions, OPTI* New Patent, PIM Preliminary Results, NIPT Appointment, PLI* Appointment and Application, SND Trading Update, SAR Final Results, STOB Interim Results, TRAK Agreement, VENN Project

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.

Collagen Solutions (LON:COS

Collagen Solutions, the developer and manufacturer of medical grade collagen components for use in regenerative medicine, medical devices and in-vitro diagnostics, announced that its subsidiary Collagen Solutions Inc. has signed a supply agreement with Turkish medical device company Yücel Medikal Ltd. This supply agreement covers the provision of collagen materials and support services for use in Yucel's product Lyocoll which is currently on sale in Turkey. Lyocoll is a local haemostatic used in all types of surgery to control capillary and venous bleeding as well as oozing where the conventional methods are impractical and ineffective.

Gear4music (LON:G4M)
Gear4music, the largest UK based online retailer of musical instruments and music equipment, announced its unaudited financial results for the six months ended 31 August 2015. Financial highlights showed revenue had increased by 43 percent to £12.49m (2014:£8.77m), leading to gross profit increasing by 42 percent to £3.31m (2104:£2.33m) and adjusted EBITDA of £0.22m (2014:-£0.25m). Operational highlights showed the Group completed its IPO in June 2015 raising £10m of gross proceeds, with investment in platform development and stock - more than 1,900 additional SKUs (+7 percent). Continued strong revenue growth driven by impressive website visitor traffic and improved conversion rates has seen UK revenue of £9.6m (+38 percent), European revenue £2.9m (+62 percent), with active customers increasing by 34.3 percent.

Gfinity (LON:GFIN)
Gfinity, a leading eSports business, announced its intention to conduct a placing of new ordinary shares in the Company, at a price of not less than 19 pence per share to raise £1m. The placing of the new ordinary shares will be conducted by way of an accelerated book build process.  The net proceeds of the placing, together with existing funds are expected to be applied as follows: to significantly enrich the features and functionality on Gfinity TV which the Directors believe will improve the service provided by existing parties such as Twitch and YouTube. This  is expected to increase engagement with the Gfinity audience; development of a Gfinity mobile application to enhance the viewing experience for those on mobile and tablet devices; providing the funds to stage and broadcast the 2016 Gfinity Championship series which is expected to build on the success of the 2015 series; and enhancing Gfinity's sales and marketing capability.

LPA Group (LON:LPA)
LPA Group, the UK based designer, manufacturer and provider of connection, LED-based lighting and electro mechanical systems to the Transport Industry, provided the following trading update for the financial year ended 30th September 2015. The factory load, particularly in the LED-based lighting activity, has significantly improved, delivering a much stronger performance in the second half and the previously reported problems with the integration of the fabrication capability into the electro-mechanical facility have been largely overcome. Order entry has been very strong throughout the year and totalled a record £26.8m for the year as a whole. The order book at the end of the year totalled more than £18m, which is also a record.  This does not include an additional approximate £7.5m of project work for which LPA has been selected, but for which the delivery programme is insufficiently defined for the orders to be entered at this stage. The additional project work above includes the selection of LPA by Hitachi Rail Europe to supply connection systems and LED-based interior lighting for Hitachi's Abellio Scot Rail project, comprising 254 rail vehicles.  Preliminary orders worth £0.3m have been received and the project is expected to be worth approximately £2.8m in total, with sales commencing in 2016.

NWF Group (LON:NWF)
NWF Group, the specialist agricultural and distribution business, announced the acquisition of Staffordshire Fuels Limited, a 32 million litres per year fuel distribution business operating in Staffordshire and the West Midlands. This bolt-on acquisition will increase NWF Fuel's annual volume by 8 percent and will be earnings enhancing in the first full year. Staffordshire Fuels was established in 1996, operates a modern fleet of seven tankers and is an approved supplier of Phillips 66 fuel, branded as Jet, based near Stone in Staffordshire. Staffordshire Fuels will continue to operate as a standalone fuel depot in line with the Group's multi-brand strategy in fuels, with finance and administration being consolidated into existing operations. The acquisition was funded from the Group's existing bank facilities.

OptiBiotix Health (LON:OPTI)*
OptiBiotix Health, a life sciences business developing compounds to tackle obesity, high cholesterol and diabetes, announced the filing of two new patents covering its cholesterol reducing product. This increases the number of patents from nine to eleven. The new patents reflect: the success of its human studies designed to establish safety and efficacy on its capsular food supplement to reduce cholesterol, the success of manufacturing studies designed to identify maximum production yields and volumes on its cholesterol reducing strain and the identification of additional health benefits (hypertension reduction) shown by its cholesterol reducing strain. The Company believes that filing these patents adds a further layer of protection to its intellectual property portfolio, creates valuable assets, and increases the number of product opportunities.

Plant Impact (LON:PIM)
Plant Impact leads research and development in crop enhancement to create products that growers can rely on to improve the yield and quality of their crops.  The company announced its audited preliminary results for the year ended 31 July 2015. Financial highlights showed turnover increased substantially to £4.5m in 2015 (2014: £2.5m), leading to gross profit increasing to £3.5m in 2015 (2014: £1.8m) allowing for a gross margin of 79 percent. Cash at 31 July 2015 was £7.6m (2014: £0.5m); and successful fundraising attracted £6.2m of new investment via a share placement, the company also reported full year profit after tax of £0.1m (2014: loss of £0.7m). Operational highlights showed the expansion of Veritas® sales to all soy-growing regions in Brazil, with soybean product pipeline agreement with Bayer CropScience established leading to £2.0m cash received. The launch of an £11m, multi-year investment programme to develop and launch new products for soy and wheat was also announced.

Premaitha Health (LON:NIPT)
Premaitha Health, developer of the IONA® test, the first CE-marked non-invasive prenatal screening test (NIPT) confirms that Chief Medical Officer, Dr William Denman, will join the Board of Premaitha as an Executive Director. Dr Denman has been working with Premaitha for over four years. This appointment will further strengthen the Board and is a continued part of the Company's commercialisation strategy. Dr Denman has significant experience in the clinical aspects of device and diagnostic development having specialised in paediatric anaesthesia and medical device development at Massachusetts General Hospital. Previously, he was CMO with GE Healthcare with primary responsibility for all matters of patient safety in this multi-billion dollar business. He has also been responsible for strategic direction of medical affairs, clinical affairs and healthcare economics and outcomes across Covidien plc's medical device business. Dr Denman studied medicine at the University of Aberdeen.

ProMetic Life Sciences (TSX:PLI)*
ProMetic Life Sciences announced the appointment of Mr. Gregory Weaver, as its Chief Financial Officer. This announcement follows the promotion of Mr. Bruce Pritchard to the position of Chief Operating Officer, announced earlier in August 2014. Mr. Pritchard had, in the interim, continued to act as CFO for ProMetic. Mr. Weaver is a senior finance professional with extensive and relevant biopharmaceutical sector experience, both as CFO and Board Director, of NASDAQ-listed and private companies, in the fields of drug development, medical devices, and drug delivery, with a focus on growth from start-up through IPO, as well as product commercialisation and exit strategies. His specialties include: executive financial leadership, investor relations, financing transactions, accounting and financial reporting and M&A. The company also announced that the clinical trial application for its anti-fibrotic lead drug candidate PBI-4050 in patients suffering from a condition associated with type 2 diabetes and severe multi-organ fibrosis has been cleared by the Medicines and Healthcare Products Regulatory Agency in the United Kingdom.  PBI-4050 is currently in a phase II clinical trial in Canada in patients with metabolic syndrome and associated type 2 diabetes. Aside from having already demonstrated safety and tolerability of PBI-4050 in these patients, the Canadian study was also designed to detect early signs of improvement in their metabolic status and to demonstrate that the pharmacological effects observed in preclinical models translate to humans. The Corporation expects to provide preliminary results on the effect of PBI-4050 on metabolic disorders in these patients by year-end.

Sanderson Group (LON:SND)
The software and IT services business specialising in multi-channel retail and manufacturing markets in the UK and Ireland, issued a trading update ahead of its results due 1st December. Trading in line with market expectations and will show group revenue growing to over £19.0m (2014: £16.4m) and adjusted operating profit growing to over £3.3m (2014: £2.8m). One iota, the Group's mobile commerce business focused on delivering cloud-based solutions accessed via mobile, tablet and in-store devices, achieved revenue growth of over 75 percent in the year.  The group expects that it will continue to achieve significant growth in this rapidly developing digital retail market, as retailers seek to adopt technology in order to transform the shopping experience for their connected customers, as well as, to boost their revenues. Sanderson has maintained a strong balance sheet and has a robust business model built upon long-term relationships with customers which generate strong recurring revenues, currently representing over 52 percent of total revenue. Looking ahead to FY2016 the company is confident of delivering results ‘at least’ in line with market expectations.  The shares are trading close to their six month low.

Sareum Holdings (LON:SAR)*
Sareum Holdings, the specialist cancer drug discovery and development business, announced its final results for the year ended 30 June 2015. Operational highlights showed final preparations to submit CHK1 candidate for two concurrent Phase 1 clinical trials to assess different administration strategies: one as a single agent and the other in combination with chemotherapy. CHK1 clinical trial applications expected to be submitted in Q1 2016 with trials to commence, subject to approval, shortly thereafter. Preclinical development of Aurora+FLT3 inhibitor progressing to plan, with toxicology and additional efficacy studies ongoing. TYK2 inhibitor lead molecule demonstrates striking decrease in psoriasis pathology in a disease model and encouraging results in a rheumatoid arthritis model. Financial highlights showed net assets at period end were £1.86m (2014: £1.72m) of which £1.48m comprised of cash at bank. Loss on ordinary activities (after tax credit) of £1,26m (2014: loss of £0.76m), an improvement on expectations, reflected a re-phasing of commitments to the CHK1 programme. The company also announced the successful placing in June 2015 to raise £1.44m (before expenses) to satisfy ongoing commitments to CHK1 co-development payments and to provide additional working capital.

Stobart Group (LON:STOB)
Stobart Group Limited, the support services and infrastructure group, announced its interim results for the six months to 31 August 2015. Operational highlights showed the company was on track with current work and secured future contracts, to exceed the target of supplying 2m tonnes of biomass fuel per annum by 2018. London Southend Airport was voted best airport in Britain by Which? for the third consecutive year and aviation industry specialists, Glyn Jones and Jon Horne, were appointed CEO and COO respectively of Stobart Aviation. The company also disposed of the Worcester property generating net proceeds of £6.2m. Financial highlights showed revenue from continuing operations was unchanged at £57.6m (2014: £57.6m), leading to an underlying EBITDA up 3.4 percent to £9.0m (2014: £8.7m). Cash generated from continuing operations increased to £2.3m (2014: £0.6m outflow) and net debt of £51.9m comprising vehicle financing of £29.7m and other debt of £22.2m, giving gearing to equity of 13.2 percent.

Trakm8 Holding (LON:TRAK)
Trakm8 Holdings, the telematics and data supplier to global markets, announced it has reached agreement to supply a major USA based data company with the T10 BLE (Bluetooth™ Low Energy) device. The Trakm8 T10 BLE communicates with mobile phones via Bluetooth relaying real-time journey data to the registered device. This new client is expected to purchase over 25,000 devices during the first two years of the contract agreement.

Venn Life Sciences Holdings (LON:VENN)*
Venn Life Sciences, a growing Clinical Research Organisation providing clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announced the signing of a project worth in excess of €1m with a leading French Biotech company. The Phase I-II project is centred on acute T-cell leukaemia (ATL), and will cover multiple regions, including France (and French administered overseas territories), the UK and the US. This project will run for 33 months and follows on from a previous successful trial with the same company.

]]>
Wed, 04 Nov 2015 09:32:00 +0000 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23528/gear4music-hits-the-right-note-mobile-does-matter-one-iota-for-sanderson-nwf-bolts-on-staffordshire-fuels-23528.html
A* for AB Dynamics and “bingo” for Bango http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23417/a-for-ab-dynamics-and-bingo-for-bango-23417.html 7DIG Agreement, ABDP Trading Update, AVCT, BGO, COG Agreement, FITB* Board Changes, GFIN Viewing Targets, LID Half Yearly Report, MDZ* Trading Update, MXO* Update, OBT Proposed Listing, OPTI* New Strains, PEG* Contract Win, NIPT Clinical Laboratory, PLI* Orphan Drug Designation Granted, VENN* Appointment of Director and Completion of Acquisition

*A corporate client of Hybridan LLP

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.

7digital Group (LON:7DIG)
7digital, the digital music and radio services company, announced that it has been chosen as a supplier to Electric Jukebox Company and its unique plug and play music streaming experience for the home, which was launched this week at BAFTA in London. The Company is licensing its platform for the Electric Jukebox product in both the UK and US; the agreement will provide access to technology, infrastructure and music catalogue. 7digital will also curate playlists with expertise from the Company's content production division. Electric Jukebox offers all the benefits of a premium music streaming subscription service in a box but without the need for a smartphone, a PC, or a monthly subscription - representing the first "Internet of Things" music appliance for the home. Independent YouGov research published this week shows that the vast majority of consumers have struggled with the complexities of digital music, with the most common ways of playing music identified as radio (52 percent) and hi-fi/CD (42 percent). Streaming hardware is only used by 6 percent of consumers in the USA and UK.

AB Dynamics (LON:ABDP)
AB Dynamics, the designer, manufacturer and supplier of advanced testing systems and measurement products to the global automotive industry, announced a trading update in advance of its final results for the twelve months ended 31 August 2015. The Group has performed well in 2015 and the Board expects to report revenues and profits materially ahead of market forecasts. As announced on 12 February 2015, ABD had conditionally been awarded a grant of up to £2.3m from the UK Government's Regional Growth Fund. Having now received the Final Grant Offer Letter, which contains revised requirements from the earlier draft conditional offer letter, the Board has determined that these additional requirements are over burdensome and it would not be in the best interests of the Group and its shareholders to proceed with the grant and accordingly the offer has been declined. As a result of the robust financial position and sound operational performance of the business, the Board is confident that, notwithstanding declining the grant, the Group has sufficient funds to facilitate its expansion plans for meeting increasing global demand which include building the new facility.

Avacta Group (LON:AVCT
Avacta Group, the developer of Affimer® biotherapeutics and research reagents, announced that data from a collaboration with researchers at the University of Copenhagen have shown that targeted Affimer expression using genetically engineered barley can improve disease resistance in one of the world's major cereal crops. The research was supported through Danish federal funding with Avacta providing access to the Affimer technology and know-how. A study investigating whether Affimer technology could be used to block the mechanism by which powdery mildew infects the barley plant and overcomes its immune system was undertaken by a research group led by Professor Hans Thordal-Christensen from the Department of Plant and Soil Sciences at the University of Copenhagen. The research showed that when certain specific Affimer constructs were expressed by the plant, a 40 percent reduction in the susceptibility of barley to powdery mildew was observed. These promising early results indicate the potential use of Affimer technology to treat and diagnose a wide range of diseases in plants. Barley has many uses in the human food chain and animal fodder, as well as being a major ingredient in beer and whisky production. One of the most devastating diseases of barley is powdery mildew which can typically reduce yields by 15 percent and has a significant effect on costs downstream in food and drink production. Plants rely on an innate immunity to protect themselves against such diseases but the pathogens evolve to overcome the plant's immune system and can mutate to develop resistance to fungicides. Genetic modifications can impart disease resistance and reduce the use of fungicides, but often this approach has the side effect of reducing yield itself. There is therefore a high unmet need to develop treatments that improve disease resistance in plants.

Bango (LON:BGO)
Bango, the mobile payments company, announced End User Spend in emerging markets ahead of Bango's prior expectations.  Entering Q4 2015, End User Spend through the Bango platform has grown to an annualised rate exceeding £60m, 98 percent higher than the equivalent rate 12 months earlier. During 2014 and 2015, Bango launched a number of direct carrier billing connections in emerging markets for app store partners, including for the BlackBerry World and BlackBerry Messenger stores, and for the Windows Phone Store.  With further billing routes activated in 2015, including the launch of direct carrier billing via Google Play in Mexico and South Africa, these new emerging markets are now materially contributing to End User Spend on app store content via the Bango platform and will be a greater contributor to 2016 performance than previously expected.

Cambridge Cognition Holdings (LON:COG)
Cambridge Cognition Holdings, which specialises in computerised neuropsychological tests including those enabling the early detection of dementia, announced two new licence agreements which extend the Company's testing capabilities into new areas of research, enabling assessment of 'Hot' cognition - mental processes that are influenced by emotion and social interaction - to be performed reliably and routinely for the first time. 'Hot' cognition is a key feature of neuropsychiatric and neurodegenerative conditions where emotionally or socially-charged information is difficult for the individual to process resulting in problems in real-world situations. The ability to assess these factors using proprietary Cambridge Cognition technology will lead to objective ways of detecting early risk factors, measuring both relapse and improvement, and the potential to enable timely treatment and intervention for patients. The licensed software will be developed for inclusion in the Company's cloud-based CANTAB™ Connect portfolio with launch expected in 2016. These products will enhance the research of neuropsychiatric conditions such as dementia, schizophrenia, autism and depression and will create new revenue streams through product sales in the academic research market and through partnering opportunities with pharmaceutical and healthcare companies.

Fitbug (LON:FITB)*
Fitbug Holdings, the provider of online personal health and wellbeing services, announced that Ann Jones, Group Sales Director, will be leaving by mutual consent to pursue new business opportunities. Additionally, the Company is bolstering its team in several areas and has recently appointed a new Digital Marketing Manager to support the roll out of Kiqplan version 2 ('Kiqplan V2'), the first digital fitness coaching App of its kind, which is on track to be launched by the end of November 2015. The Company is focused on ensuring that it has the right resources to successfully penetrate the digital health market with this unique App, which includes a range of tailored 12-week coaching plans to guide and motivate users to achieve more on their fitness journey. 

Gfinity (LON:GFIN)
Gfinity, a leading eSports business, announced that it has recorded 58.5 million online views for The 2015 Gfinity Championship series, exceeding its original target of 50 million. The inaugural 2015 series comprised 23 weekly tournaments, held in the six month period from March to September 2015, primarily at the Gfinity Arena in Fulham, London and covered five major eSports titles. These tournaments were streamed live on internet TV channels including Twitch, Gfinity.net and MLG.tv. The events, which were broadcast in 10 languages, were viewed in over 25 countries with viewers collectively watching in excess of 15.8 million hours of live content. The series finale was the Gfinity Champion of Champions event, held at EGX, (the UK's largest gaming festival held at the NEC in Birmingham) over the last weekend of September.  This Champion of Champions event alone drew 8.75 million online views.

LiDCO Group (LON:LID)
LiDCO, the hemodynamic monitoring Company, announced its unaudited Interim Results for the six months ended 31 July 2015. Financial Highlights showed total revenue of £3.60m (2014: £3.71m) in line with the trading update of 2 September 2015. Surgery disposables (excluding 3rd party products) revenue was up 2 percent to £1.48m (2014: £1.45m) with EU & ROW distributor revenues up 8 percent to £0.55m (2014: £0.51m), but a loss before tax £0.53m (2014: £0.19m) after planned increase in sales infrastructure costs. Cash at period end was £1.39m (31 Jan 2015: £1.51m). Operational Highlights showed a five year agreement signed with US group purchasing organisation MedAssets working on behalf of a large US healthcare group comprising 38 hospitals across 8 states. 65 monitors were sold/placed in the period (2014: 128); 29 surgical monitors (2014: 33) installed in the UK. Disposable unit sales were 24,970 (2014: 25,721) with key surgical disposables units up 1 percent during the period.

MediaZest (LON:MDZ)*
MediaZest, the creative audio-visual company, provided an update in respect of ongoing and new business confirmed for delivery during the financial year 2015/16. This follows the update provided with the Annual Accounts for the Financial Year ended 31 March 2015 which was announced on 24 August 2015. Since then, the Group has secured material additional business from both Hyundai and Rockar with particular reference to two significant new projects. Work also continues with Adidas (with projects won for two additional UK stores and another in mainland Europe) and the Group continues to complete new deployments for the Post Office Limited. New clients gained in this period include Diesel, Molson Coors and the John Lewis Partnership. Existing clients such as Belstaff, HMV, Kuoni, TM Lewin and Samsung continue to help the Group to generate improved recurring revenue streams. The combined total revenue value of these projects is approximately £1m almost all of which is expected to have been delivered before the end of this calendar year. They expect to undertake further projects moving forward with the majority of these clients and therefore to improve the sustainability and quality of the Group’s future revenues. It should be further noted that two of these projects include the deployment of the MediaZest Retail Analytics platform.

MX Oil (LON:MXO)*
MX Oil, the oil and gas investment company, announced the appointment of Mr Nigel Bruce McKim as Non-executive Director with immediate effect. Nigel will replace Patrick Mendoza, who is stepping down from the Board to pursue other business interests. Nigel, aged 53, has 28 years of experience in field development planning and production in the oil and gas industry.  His most recent role was Chief Operations Officer for Nobel Upstream Group where he was responsible for the company's technical capabilities and participated in the building of a portfolio of assets in Texas, the UK and Azerbaijan. The company also provided a corporate update, in addition to its Bid Round 1 application, the Company, together with Geo Estratos, has been in active discussions with Pemex with regard to their search for JV partners for assets in Mexico.  These discussions are progressing well and the Board expects to be in a position to update the market on these discussions in the coming months. As previously announced, the Company also expects to hear the result of its pre-qualification application for Bid Round 1 in November 2015, followed by licence awards in December 2015.  This coincides with the expected operational milestones regarding drilling at the Aje Field offshore Nigeria and the Company will keep the market appraised of developments. The company also provided an update on offshore Nigeria, the Aje-5 production well located on the OML 113 licence, offshore Nigeria, has been successfully completed and the reservoir has been perforated in the Upper and Lower Cenomanian Oil bearing zones.  The subsea tree has been installed and the well has been suspended ready for connection to the oil production facilities prior to commencement of production. The Saipem Scarabeo three semi-submersible drilling rig has been moved to re-enter the existing Aje-4 well for completion as a second Cenomanian production well.  All key equipment related to the Aje oilfield development has now been delivered to Lagos, including the floating production storage and offloading vessel (FPSO) moorings and turret buoy, the production manifold, the umbilical termination assembly, and the umbilicals and flowlines.

Obtala Resources (LON:OBT)
Obtala Resources, the vertically integrated agribusiness, timber and retail company, provided the following update with respect to its timber assets in Mozambique. The Board of Obtala has commenced a process to list the forestry division in a separately quoted company to be listed on the AIM market during the first quarter of 2016. The Board has reviewed a number of opportunities for the forestry division and believe it is in the best interest of Obtala shareholders to "spin out" the forestry division in order for the significant inherent value to be recognised and to attract investors focused on the forestry sector. The Company has commissioned Honour Capital, a specialist forestry advisory and management Company, to undertake a valuation review of the new blocks. Honour Capital prepared a valuation report in June 2014 which attributed a NPV to the timber business of $161m at a 12 percent discount based on a 10 year cash flow model. The 2014 valuation was based on 11 concessions with a total land area of 279,965 hectares. The Company is, subject to local Government approval, completing the acquisition of 50 year leases for two new timber concessions totalling 35,000 hectares in Mozambique to bring the total forestry area to 314,965 hectares. The new blocks are situated adjacent to their main operational centre and, together with the existing holdings, provide a critical mass in terms of approved annual permitted cut.

OptiBiotix Health (LON:OPTI)*
OptiBiotix Health, a life sciences business developing compounds to tackle obesity, high cholesterol and diabetes, announced the registration of five new microbial strains under the Budapest Treaty.  This increases the number of strain registrations from three to eight. The five strains have been identified as having the potential to generate novel oligosaccharides (carbohydrates that consist of a small number of sugars).  As announced previously, oligosaccharides from strains showing commercial potential are being scaled up, purified, and tested for their organoleptic (taste, texture, aftertaste) and microbiome modulating properties. This work is the final stages of the laboratory programme which will enable OptiBiotix to progress its pipeline of novel oligosaccharides to testing in human studies.

Petards Group (LON:PEG)*
Petards, the developer of advanced security and surveillance systems, announced that it has been awarded a further contract to supply Bombardier Transportation with Petards' eyeTrain systems. The new contract, which is worth in excess of £1m, is for the supply of eyeTrain saloon and Driver Only Operation (DOO) systems which will be fitted to new four-car ELECTROSTARElectrical Multiple Unit (EMU) trains to be built by Bombardier.  Petards' deliveries are anticipated to commence during 2016 and to be substantially completed by the end of that year.

Premaitha Health (LON:NIP)
Premaitha Health, developer of the IONA® test, the first CE-marked non-invasive prenatal screening test (NIPT) has expanded its in-house NIPT screening service by opening a dedicated laboratory which triples clinical capacity in response to demand for the IONA® test from clinicians. The new Care Quality Commission (CQC)-accredited, clinical laboratory which is based at Premaitha's headquarters on Manchester Science Park, will enable Premaitha to dramatically increase throughput, of the maternal blood samples analysed each month using the IONA® test. The IONA® test estimates the risk of a foetus being affected by Down's syndrome and other serious genetic conditions such as Patau's syndrome and Edwards' syndrome by analysing cell-free DNA from a sample of maternal blood. The test is more sensitive and specific than the current combined test available and provides a more accurate and reliable screening result within three to five days, compared to the lead time of up to 14 days offered by US and China-based NIPT service laboratories. Premaitha began offering an NIPT clinical laboratory service on a smaller scale in July 2015 to allow new customers to provide pregnant women with access to the IONA® test as soon as possible, during the set-up of their own lab or while they grow their NIPT volumes. The service also provides an important back-up option during busy periods; ensuring results are delivered to healthcare professionals on-time and from a regulated and trusted clinical laboratory. Since initiating the in-house service, the Company has seen demand for the IONA® test increase significantly with service laboratory customers from across the UK and internationally.

ProMetic Life Sciences (TSE:PLI)*
ProMetic Life Sciences announced that an orphan drug designation status has been granted for its lead drug candidate, PBI-4050, for the treatment of idiopathic pulmonary fibrosis (IPF), by the European Commission. ProMetic is currently investigating the safety, tolerability and effects of PBI-4050 on pulmonary function, disease progression and inflammatory/fibrotic biomarkers in a Canadian open-label Phase II study in 40 patients suffering from IPF. ProMetic also expects to file an IND with the FDA during the first quarter of 2016 for a multi-center, double-blind, placebo-controlled pivotal study with IPF patients currently on pirfenidone or nintedanib randomised to receive either PBI-4050 or a placebo.  In gold standard animal models proven to emulate pulmonary fibrosis in humans, PBI-4050 performed favourably compared to recently approved drugs to treat this condition. PBI-4050 significantly reduced the tissue scarring in the lungs observed in non-treated animals, indicating the potential for clinically significant improvement and stabilisation of lung function in patients with IPF. Moreover, the combination of PBI-4050 and another approved drug generated a further reduction in fibrotic biomarkers in this model, suggesting that a synergistic clinical benefit may be found. European Orphan Drug Designation is granted to novel drugs or biologics that treat a rare disease or condition affecting fewer than 250,000 patients in the European Union. The designation provides the drug developer with a ten year period of marketing exclusivity upon marketing approval for the designated indication, as well as reduced fees for regulatory activities, the ability to apply for marketing authorisation centrally in the European Union and protocol assistance, a form of scientific advice specifically for orphan medicines.

Venn Life Sciences (LON:VENN)*
Venn Life Sciences, a growing Clinical Research Organisation providing clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announced that following the completion of the acquisition of Kinesis Pharma B.V., Mr Kees Groen, has been appointed as an Executive Director of Venn with immediate effect. Mr Groen, aged 54, is a founder and managing director of Kinesis, and is a regulatory expert with significant experience in pharmaceutical research and development, both with regulatory authorities and in industry. He has been involved on a management and operational level in the fields of preclinical and clinical development, regulatory affairs and licensing for 25 years. The company also announced the completion of the acquisition of Kinesis Pharma BV.

]]>
Wed, 21 Oct 2015 12:28:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23417/a-for-ab-dynamics-and-bingo-for-bango-23417.html
Conviviality across the Universe, Pivotal moment for ProMetic, OptiBiotix going up scale http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23298/conviviality-across-the-universe-pivotal-moment-for-prometic-optibiotix-going-up-scale-23298.html 7DIG Half Yearly Reports, AVG Final Results, BMR Potential, COS Agreement, IKA Patent grant, MGR Half Yearly Report, MXO* Half Yearly Report and Update, OBT Half Yearly Report, OPTI* Completion of Study, ORM Half Yearly Report, PLI* Meeting with US FDA, SVR Interim Results, VLG Interim Results, UNG New Contract Win

*A corporate client of Hybridan LLP

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.

7digital Group (LON:7DIG
7digital Group, the digital music and radio services company, announced its results for the half year ended 30 June 2015. High margin monthly recurring licensing revenues from access to the Company's streaming technology and music catalogue are replacing low margin revenues from downloaded content. As the online music industry moves into a "Third Age", an increasing number of companies are ready to enter the digital music and radio marketplace, creating a strong demand for the Company's services. Operational highlights included 15 new customer contracts signed producing set-up revenues of £0.9m, including Sainsbury's, Mariposa, Jazz FM, NEC, Panasonic, and OpenLIVE. There were 13 new customers using the platform, generating annualised MRR (monthly recurring revenues) of £1.6m during the lifetime of their contracts, including ROK Mobile, Onkyo, Spanish Broadcasting Systems, and new Guvera territories. There was continued transition from low margin download business to high margin B2B streaming services which raises the gross margin to 64 percent (2014: 49 percent). Finally, new partnership agreements with Imagination for FlowRadio, and product innovation with Google CastTM were also announced. Financial highlights included a turnover of £5.2m (2014: £5.1m), with high-margin licensing revenues up by 26 percent to £3.1m and Total annualised MRR at half year end up 55 percent at £5.2m (December 2014: £3.3m). Gross profit was up by 34 percent to £3.3m (2014: £2.5m) and adjusted LBITDA reduced by 27 percent to £1.3m (2014: £1.8m), which including the mark-to-market loss on the sale of the Audioboom stake of £4.8m, a statutory loss of £6.6m (2014: £2.8m) and cash at 30 June 2015 of £2.5m (December 2014: £5.3m).

Avingtrans (LON:AVG)
Avingtrans, which designs, manufactures and supplies critical components, modules and associated services to the aerospace, energy and medical sectors, announced its preliminary results for the twelve months ended 31 May 2015. Financial Highlights showed revenue decreased by 4 percent to £57.8m (2014: £60.3m), allowing adjusted EBITDA to decrease by 6 percent to £5.3m (2014: £5.6m), which meant adjusted Profit Before Tax decreased by 16 percent, to £2.9m (2014: £3.5m). Cash generated from operating activities remained at £1.6m (2014: £1.6m), with net debt increasing to £5.9m (31 May 2014: £3.6m). Gearing was 17 percent (2016: 11 percent) and there was an increase in final dividend of 2.0 pence per share, and a full year Total 3.0 pence (2014: Final 1.8 pence per share, Total 2.7 pence), an increase of 11 percent. Operational highlights showed Aerospace revenues restricted, with a decrease of 7 percent versus 2014, largely due to first half customer destocking, and the second half stabilised. There were also new contract wins with Airbus/PFW (£25m/10yr) and Sonaca (£5m/5yr), with the acquisition of RMDG assets for £1.2m from Tricorn plc which boosted market share. Energy and Medical division revenues flat, constrained by low oil price, and the EBIT recovered in H2. The company announced a £47m, 10-year contract win with Sellafield Ltd and EBIT losses significantly reduced, with a second half profit demonstrating progress.

BMR Mining (LON:BMR)
BMR Mining, the Zambian-focused mineral processing business, provided an update on the WKS from which BMR now hopes to generate revenues. BMR's assets at Kabwe, Zambia, include approximately 1.1 million tonnes of WKS, as surveyed on a JORC compliant basis by Mineral Consultant Corporation The WKS was written down by 90 percent to £0.2m in the accounts for the year ended 30 June 2014 due to it being brittle and hard, and of too low a grade and too difficult to process on a commercial basis. However, BMR has now identified, from studies undertaken by the Building Research Establishment UK, that the WKS, being a ferro-silicate zinc slag (smelter slag), could be applied in the construction of building blocks. As part of its analysis and in conjunction with a local block making company, BMR has manufactured a test batch of concrete blocks, using an 80:20 ratio of WKS to building sand, which were then subjected to testing. Importantly, there was no evidence of leaching of lead or zinc. BMR has therefore instructed its Environmental Consultants to prepare a submission, including BMR's test results, to seek approval from the Zambian Environmental Management Agency (ZEMA) to sell the WKS for incorporation in block and concrete making.  Approval will be sought in the form of an Environmental Project Brief which involves a separate and less onerous application process than an Environmental Impact Study.  The Directors expect that this submission will be made by early November with approval being granted by the end of the calendar year. In the event that ZEMA approval is given, BMR intends to commence local sales of WKS, which would involve limited costs and could realise modest but meaningful revenues over several years.  Disposing of the WKS in this manner would also provide an elegant solution to environmental issues associated therewith.

Collagen Solutions (LON:COS
Collagen Solutions, the developer and manufacturer of medical grade collagen components for use in regenerative medicine, medical devices and in-vitro diagnostics, announced that its subsidiary Collagen Solutions Inc. has signed a supply agreement with Turkish medical device company Yücel Medikal Ltd. This supply agreement covers the provision of collagen materials and support services for use in Yucel's product Lyocoll which is currently on sale in Turkey. Lyocoll is a local haemostatic used in all types of surgery to control capillary and venous bleeding as well as oozing where the conventional methods are impractical and ineffective.

Ilika (LON:IKA)
Ilika, the accelerated materials innovation company, announced it has received a Notice of Grant in China for its patent application supporting solid-state batteries jointly filed with Toyota Motor Company on 21 July 2011. This Notice of Grant in China follows the successful British grant in May 2014 and the notice of Intention to Grant in Europe in March 2015 as a member of the patent families that cover Ilika's proprietary vapour deposition processes used in producing solid-state batteries directly from the basic elements. The application went to formal grant in Europe in July 2015 and Ilika has now received a Notice of Grant in China. This particular joint filing resulted from collaborative work undertaken by Ilika and Toyota, which commenced in 2008. This patent family is one of the two earliest filings of a growing portfolio of intellectual property exemplifying Ilika's unique approach to solid-state battery production using evaporation sources. The more recent applications in the portfolio contain both jointly-owned and solely owned IP. In January 2014, three international patent applications from the portfolio were filed under the Patent Co-operation Treaty based upon earlier British priority applications. These were published in July 2015 and are progressing through the international patent examination process. The scalable stacked cell architecture which Ilika can produce, enables the simple fabrication of cells over a wide range of sizes. Ilika intends initially to produce micro-battery prototypes designed for powering wireless sensors, commonly referred to as the "Internet of Things", which is a rapidly growing segment expected to create an addressable market for micro-batteries in excess of £1bn by 2017.

Miton Group (LON:MGR)
Miton Group, the fund management group, announced its half year results for the six months ended 30 June 2015. Financial highlights showed renewed momentum with net inflows in Q2 following outflows in Q1.  Over six months to 30 June, AUM increased from £2,050m to £2,225m, with average AUM over the six month period at £2,140m (H1 2014 - £2,953m).  This reduction included the impact of the disposal of the Liverpool business. Net revenue margin increased to 66.6bp (H1 2014 - 65.0bp) and H1 costs maintained at £5.7m (H1 2014 - £5.8m). Adjusted profit before tax reduced to £0.8m (H1 2014 £3.4m) and Total cash balances as at 30 June 2015 were £13.6m (31 December 2014: £15.2m) after payment of year-end bonuses and the dividend. Trading is currently in line with the Board's expectations for the year as a whole. The positive net flows experienced in Q2 have continued and AUM rose to £2,364m as at 31 August 2015. CF Miton UK Value Opportunities fund increased AUM to £498m as at 31 August 2015 (30 June 2015: £378m; 30 June 2014: £86m). Miton UK MicroCap Trust plc was launched in April raising £50m. Since launch a further £5m has been raised and following appointment of Carlos Moreno in August, the company intend to launch a new European equities fund in Q4.

MX Oil (LON:MXO)*
MX Oil, the oil and gas investing company focused on the re-opening Mexican energy sector, announced its unaudited half-yearly results for the six month period ended 30 June 2015. Highlights for H1 2015 showed that significant progress had been made regarding the onshore conventional field bidding round in Mexico, with access granted to the data room in June 2015 - where analysis and due diligence are on-going, ahead of the anticipated award of concessions in December 2015. The terms of the joint venture with local partner in Mexico, Geo Estratos have been amended, increasing MX Oil's interest in any concessions awarded to 55 percent and removing the obligation to fund Geo's share of costs post contract award in return for limiting Geo's exclusivity to a minimum of two concessions. Post-Period Highlights showed the company investing in a 5 percent indirect, non-operating interest in Aje - a substantial late stage development project offshore Nigeria with proven, flow tested discoveries and exploration potential. Commencement of multi-phase development project is underway at Aje, part of the OML 113 licence - initial two well programme underway targeting first oil by December 2015 and peak production of 11,000 bopd.  Multiple exploration prospects have also been identified on Nigerian licence which lies adjacent to the 774mmboe (P50 gross recoverable resources) Ogo structure on block OPL 310. The company also provided an update on the progress it is making in Mexico together with its partner Geo Estratos with regards to the on-going Bid Round 1 Licensing round and its efforts to secure onshore conventional concessions in the re-opening Mexican energy sector. The Company has submitted its pre-qualification filing with the National Hydrocarbons Commission regarding its participation in the third phase of Bid Round 1. In this third phase, a Total of 25 Land Contract Areas in the states of Chiapas, Nuevo Leon, Tabasco, Tamaulipas and Veracruz will be awarded to companies that satisfy the pre-qualification requirements and win the subsequent tender process.  In tandem with this, MX Oil has completed its due diligence on five Land Contract areas and following this confirms its intention to bid for all five of the concessions.  It is expected concessions will be awarded in December 2015. 

Obtala Resources (LON:OBT)
Obtala Resources, the African-focused, vertically integrated agribusiness, timber and retail company, announced interim results for the six months ended 30 June 2015. Financial highlights showed sales revenue increasing to £2.3m (2014: £1.0m), with net profit of £3.02m (2014: loss £0.2m) including independent valuation of new land assets and net assets standing at £95.8m (2014: £93.5m) and cash and equivalents broadly the same at £1.4m. Operational highlights showed the Agribusiness developing fresh produce lines, with Global GAP certification awarded and work continuing on gaining BRC Global Standards. The Timber business showed a further 35,000 hectares under application, now supplying cut timber and the development of higher margin product lines. The retail side revealed that six branches are now open, with continued focus on operational performance improvement, cost control and sourcing.

OptiBiotix Health (LON:OPTI)*
OptiBiotix Health, a life sciences business developing compounds to tackle obesity, high cholesterol and diabetes, announced it has completed testing and primary data analysis on its capsular food supplement to reduce cholesterol, and commenced pilot manufacturing studies. The aim of the human study was to establish safety and compliance, and to assess the extent of the lowering potential of its product in this group of volunteers.  Sample testing and primary data analysis has now been completed and in accordance with the option agreement announced in June 2015, the results are being shared with a multinational consumer goods company.  The terms of the option agreement are bound by confidentiality and no further details on the agreement or human studies can be disclosed at this time. The company also announces it has commenced pilot manufacturing studies to define the scale up requirements to take the strain from laboratory to pilot scale manufacture.

Ormonde Mining (LON:ORM)
Ormonde Mining, the development and exploration company operating in Spain, announced its unaudited interim results for the six months ended 30 June 2015. Highlights showed that the Mining Concession was received and the critical permitting steps for Barruecopardo Project development were completed late in 2014. A $99.7m funding package was successfully completed for the development of Barruecopardo, with Oaktree Capital Management, comprising a well balanced mix of equity and debt. Moreover, commencement of the development stage of the Barruecopardo Project, with tender documents for the supply of the major items of the processing plant were issued and final engineering design work for the rest of the plant is underway. Ormonde reports a profit of €2.56m for the 6 months to 30 June 2015 (Loss of €1.12m for the 6 months to 30 June 2014) which includes a profit of €3.40m from the part disposal of its interest in Saloro as part of the Financing.

ProMetic Life Sciences (TSE:PLI)*
ProMetic Life Sciences announced it had a successful Pre-Investigational New Drug meeting with the US Food and Drug Administration (FDA) for its orally active anti-fibrotic lead drug candidate, PBI-4050. The meeting with the FDA focused on ProMetic's proposed clinical development program for PBI-4050 in patients with IPF, and particularly on an optimal design for the first pivotal clinical trial that will incorporate the current standards of care for IPF in the US. The two drugs commercially available to treat IPF have been shown in clinical trials to slow the progression of the disease, but not to reverse it. Treatment of this devastating condition therefore remains an urgent medical need, and IPF patients could potentially benefit from PBI-4050, either alone or in combination with current therapies. It is notable that in the gold standard preclinical model used to emulate pulmonary fibrosis in humans, PBI-4050 performed favourably compared to these recently approved drugs, and demonstrated synergistic effects when combined with pirfenidone (Esbriet®). The multi-centre pivotal study will be a double-blind, placebo-controlled design with IPF patients on pirfenidone or nintedanib randomised to receive either PBI-4050 or a placebo. The study will be powered to demonstrate a statistically significant difference in forced vital capacity changes between the PBI-4050 combination therapies and the current standards of care. The design of the definitive protocol is currently being completed by consultant experts in this field, and ProMetic expects to file its IND with the FDA during the first quarter of 2016.

ServicePower Technologies (LON:SVR)
ServicePower, a market leader for mobile workforce management software solutions, announced its unaudited interim results for the six months ended 30 June 2015. Financial highlights showed that trading for the half-year was in line with management expectations and ahead of the same period last year. Total revenues were up 13 percent to £6.94m (H1 2014: £6.16m), with recurring revenues accounting for 81.5 percent and SaaS now deployed to 71 percent of their customers. Gross profit was up 26 percent to £3.4m (H1 2014: £2.7m) and LBITDA reduced by 71 percent to £0.2m, including £0.1m in extraordinary expenses and £0.2m in IT cloud transition costs (H1 2014 LBITDA: £0.7m). Loss before tax reduced by 33 percent to £0.6m (H1 2014: £0.9m), including the accrued interest that was converted on 30 June 2015 and net cash at 30 June 2015 was £0.7m, prior to the receipt of the £0.75m short term loan (as announced on 30 June 2015) (30 June 2014 Net Cash: £0.6m). Operational highlights showed that the momentum gained in 2014, 11 deals were signed during the period with new and existing customers, with a strong pipeline in place for H2 2015 and 2016. The Company entered into a number of strategic partnerships in order to broaden its functional capabilities and cloud-based offerings

Venture Life Group (LON:VLG)
Venture Life Group, the international consumer products group addressing the self-care needs of the ageing population, presented its unaudited interim results for the six months ended 30 June 2015. Financial highlights showed revenues increased to £4.4m (H1 2014: £3.1m), allowing for gross profit to increase to £1.5m (H1 2014: £1.2m), but a loss before tax, amortisation and exceptional costs increasing to £0.42m (H1 2014: loss of £0.23m). Cash at the period end was £3.3m (31 December 2014: £4.9m). Commercial highlights revealed a 30 year exclusive distribution agreement signed with the Chinese retailer Gialen Group Co. Ltd to sell a range of skin-care products in China under Venture Life's Lubatti brand with first order and payment equivalent to €0.5m (50 percent of the first order) received. Moreover, exclusive distribution agreements signed for Lissio HA in Slovakia and Original Bioscalin in Taiwan, and a ten year agreement signed with a Swiss healthcare company to formulate and manufacture an onychomycosis product. Post-period end highlights showed four long term exclusive distribution agreements signed across four brands, including in India for Original Bioscalin and the first consignment of Lubatti products ready to ship to China, with second order received and retail launch planned by Gialen for Q4 2015.

Universe Group (LON:UNG)
Universe, a leading developer and supplier of point of sale, payment and on-line loyalty systems announced that its subsidiary HTEC, has signed a major contract with Conviviality Retail PLC, the UK's largest franchised off-licence and convenience store chain with the Bargain Booze fascia.  Under this contract, revenues over the next three years are expected to amount to approximately £4.3m. The contract, secured after an international competitive tender process, is for the supply and maintenance of a comprehensive, integrated suite of HTEC's proprietary next generation point of sale, back office, head office and payment systems together with related on-going customer support. The systems will be installed across Conviviality's entire estate of over 650 off-licence and convenience stores, with implementation expected to begin no later than November 2015. As well as facilitating and managing sales processing and secure in-store payments, HTEC's products will also manage online ordering and deliver an extensive reporting suite.

]]>
Tue, 06 Oct 2015 08:27:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23298/conviviality-across-the-universe-pivotal-moment-for-prometic-optibiotix-going-up-scale-23298.html
First light for Advanced Oncotherapy, Clinigen’s lateral thinking, Wolf unleashed in Devon http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23203/first-light-for-advanced-oncotherapy-clinigens-lateral-thinking-wolf-unleashed-in-devon-23203.html AVO Half Yearly Report, COG Agreement, CLIN Partnership and Acquisition, COS Agreement, ECK Contact Win, FIF Preliminary Results, IKA Grant Award, NWT Contract Win, RGS Acquisition, SAR* Patent Grants, VENN* Half Yearly Report, Proposed Acquisition and Placing, WLFE Commissioning Complete

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.

Advanced Oncotherapy (LON:AVO)
Advanced Oncotherapy, the developer of a next generation proton therapy system for cancer treatment, announced unaudited results for the six months ended 30 June 2015. The Company remains on schedule in its technology development to have its LIGHT proton therapy system ready for patient treatment in London's renowned Harley Street in 2017. The LIGHT system accelerates protons to the energy levels achieved in first-generation proton therapy machines but in a system that is a quarter of the size, requires less shielding and is manufactured at a fraction of the cost. It also delivers proton beams with greater precision and electronic control than older technologies. H1 Highlights showed continued technical development of the first LIGHT system in line with the company’s plans, with an oversubscribed placing of £21m. H1 also showed the Harley Street lease agreement for the UK's first proton therapy centre using the LIGHT System and the first commercial sale of the LIGHT system in China to Sinophi Healthcare. Post Period End Events & Key Milestones were an extension of lease agreement on Harley Street site to provide a larger treatment facility, the commencement of initial SCDTL testing and delivery of a further two CCL units and a framework agreement between China-Japan Union Hospital of Jilin University and Sinophi.

Cambridge Cognition (LON:COG)
Cambridge Cognition, which specialises in computerised neuropsychological tests including those enabling the early detection of dementia, announced it has entered into an agreement with Shandwell to launch Cantab Corporate Health (CCHL) and that CCHL has secured its first contract. CCHL will be dedicated to working with employers and their healthcare providers in delivering sensitive and accurate cognitive assessments in all relevant workplace settings using the proprietary CANTAB™ tests from Cambridge Cognition. The tests are run through iPads and provide reports in minutes, helping identify problems which can then be managed in the workplace. CCHL's business development will be managed by Shandwell, a consultancy business specialising in improving the health and wellbeing of the working population, in return for a minority equity stake in the new entity. CCHL will deliver a new revenue stream to Cambridge Cognition through licensing revenues, royalties and product sales, and it will create a vehicle to access the growing global corporate sector that isn't targeted by the Company's current marketing channels.

Clinigen Group (LON:CLIN)
Clinigen Group, Idis Managed Access (MA) division and Neuraltus Pharmaceuticals, Inc., a privately-held biopharmaceutical company focused on the development of drugs to treat neurodegenerative diseases, announced that the companies are partnering to initiate a Managed Access program for NP001, Neuraltus' investigational therapy for amyotrophic lateral sclerosis (ALS). The partnership makes the Managed Access program immediately available in selected European countries and is expected to gradually expand over the next year.   ALS, or Lou Gehrig's disease, is a rare and fatal neurodegenerative disease characterised by the degeneration of motor neurons in the spinal cord and brain. There are approximately 400,000 ALS patients worldwide, including 50,000 patients in Europe. Most patients and physicians report only modest slowing of ALS progression from existing treatments for ALS, underscoring the need for new and effective drug therapy. The company has also agreed to acquire Link Healthcare, a specialist pharmaceutical and medical technology business focussed on the Asia, Africa and Australasia region, for an initial consideration of £44.5m and a maximum of approximately £100m based on achievement of milestones.

Collagen Solutions (LON:COS)
Collagen Solutions, the developer and manufacturer of medical grade collagen components for use in regenerative medicine, medical devices and in-vitro diagnostics, and Histogenics Corporation (Nasdaq: HSGX), a regenerative medicine company focused on developing and commercialising products in the musculoskeletal space, announced the execution of a supply agreement between Histogenics and Collagen Solutions. The supply agreement will encompass additional collagen material sources for use in Histogenics' investigational product candidate, NeoCart®, a regenerative medicine product currently in Phase 3 clinical trials using autologous cell therapy, biomaterials and engineering to develop a tissue implant to repair knee cartilage damage.  The supply agreement may also encompass additional future products in the Histogenics pipeline for use in markets outside of the United States.

Eckoh (LON:ECK)
Eckoh, the global provider of secure payment solutions and multi-channel customer service, announced that it has secured a new contract for its secure payment solution CallGuard with The Co-operative Group following a competitive tender. The three year deal will see CallGuard implemented throughout The Co-operative Group's contact centres in its Electrical, Legal Services, Group Finance and FuneralCare divisions. These divisions take in excess of 250,000 calls per year through approximately 125 customer service representatives. CallGuard will prevent customers' payment card data from entering the contact centres' environment, enabling agents to take payments securely over the phone whilst remaining on-hand to guide customers through the payment process. The Co-operative Group is the UK's largest mutual business, owned by 8.2m members. By implementing CallGuard, The Co-operative Group is demonstrating its continued commitment to the security and privacy of its customers' personal information. In addition, by using Eckoh as its PCI DSS compliant service provider, The Co-operative Group can quickly satisfy a long and detailed part of the compliance process, enabling it to focus on its core business objectives.

Finsbury Food Group (LON:FIF)
Finsbury Food Group, a leading UK speciality bakery manufacturer of cake, bread and morning goods for both the retail and foodservice channels, announced its preliminary results for the financial year ended 27 June 2015. Financial Highlights showed group revenue of £256.2m up 45.8 percent (2014: £175.7m) and up 6.1 percent on a like-for-like basis. Moreover, adjusted operating profit was £12.4m up 61 percent (2014: £7.7m) and up 20 percent on a like-for-like basis. The group operating profit margin was 4.8 percent (2014: 4.4 percent) and profit before tax was £11.4m up 76 percent (2014: £6.5m). The final dividend per share was 1.67p taking total dividend for the year to 2.50p (2014: 1.00p per share). Net debt of £21.3m equates to 1.0 times pro forma annualised EBITDA of the Group and the net debt is well within the long term banking facility of £51m available to support current and future growth plans. Operational Highlights showed an increase in operating profit margin showing the benefits of ongoing capex investment, continuous improvement, business improvement initiatives and overhead management. There was organic sales growth of 6.1 percent versus prior year, driven by market share growth in the UK Cake business. The foodservice sales growth was ahead of market growth with twenty new products launched across five ranges. Strategic highlights showed the company acquiring Fletchers, giving a broader spread of customers across food retail and foodservice channels in cake, bread and morning goods businesses. The company also acquired trade and assets of Johnstone's, augmenting the company’s foodservice offering, thus allowing the company to be one of the largest speciality bakery groups in the UK with annualised revenues of approximately £300m.

Ilika (LON:IKA)
Ilika, the accelerated materials innovation company, announced that it has been awarded a £0.47m grant for research and technology, as part of a lead role in a £2.15m, three-year collaborative project with Reliance Precision Engineering, University of Sheffield, GKN and BAE Systems. This follows success in a competition run by Innovate UK on behalf of the Aerospace Technology Institute (ATI), with funding from the Department for Business Innovation & Skills. The project has two objectives. First, the aim is to develop a new generation of self-healing alloys suitable for additive manufacturing (AM) processes. The second aim is to develop a metallic manufacturing process that takes advantage of the flexibility of AM and the precision of subtractive manufacturing. This will pave the way for the manufacture of novel components with critical feature tolerances, meeting the challenges faced in the design of mechanisms for the aerospace industry with lower weight, structural integrity and functional performance. This project aligns the UK's aerospace supply chain, demonstrating a clear commercialisation route. The proposal was selected for funding from submissions made to Innovate UK's competition, in partnership with the ATI and Department for Business, Innovation & Skills, titled "Building UK's Leadership in Aerospace Technology."

Newmark Security (LON:NWT)
Newmark,  a leading security solutions group, announced that its wholly owned subsidiary, Grosvenor Technology, has secured a contract with a major Global Workforce Management partner for the development, manufacture and supply of one of Grosvenor's next generation terminals. The development costs, partly funded by the Partner, include incentives for completion of the development work and availability of the terminal in late 2016. The contract is for a period of ten years with guaranteed revenues of $6m over the first five years. The Partner has exclusivity for the terminal for a period of six months from the launch of the terminal (with the exception of one existing major customer of Grosvenor). Workforce Management, an arm of Grosvenor, specialises in the provision of advanced IT clocks and terminals to ensure businesses can manage their workforces in a non-invasive manner, whilst enabling real-time reporting for informed decisions relating to safety, security and effectiveness of their workforce. By exploiting the latest mobile-inspired touch screen technologies, Grosvenor is able to define a new standard for ease of use, performance and productivity in a design that is both elegant and robust in a harsh commercial environment. The new terminal will also feature a familiar, standards-based open architecture, ensuring that Independent Software Vendors can quickly and easily deliver tailored experiences that provide access to a wider range of business applications than was previously possible using today's generation of dedicated Time & Attendance terminals.

Regenersis (LON:RGS)  
Regenersis announced the acquisition of Tabernus, the US market leader and global number 2 provider of data erasure software. Regenersis has agreed to acquire the entire issued share capital of Tabernus LLC and Tabernus Europe, together comprising the entire operations of Tabernus. The consideration is $12m, comprising cash payment of $10m funded through the Group revolver facility, and a maximum of $2m in deferred cash consideration payable after two years. Tabernus is the market leader in data erasure software in the USA, and the global number two player after Blancco.  In addition to its numerous accreditations from NATO, US Department of Defense and CESG, Tabernus counts many of the world's most innovative technology, finance and retail brands as global customers. This transaction secures Blancco's global market position. In the year to 30 April 2015, Tabernus generated revenues of $3.0m and profit before taxation of $0.4m, with net assets of $0.1m before fair value adjustments as at 30 April 2015.  The acquisition is expected to be earnings accretive.

Sareum (LON:SAR)*
Sareum, the specialist cancer drug discovery business, announced that the U.S. Patent and Trademark Office and the European Patent Office have issued notifications that patents will be granted for inventions associated with Sareum's Aurora+FLT3 Kinase Inhibitor Programme. These patents describe compounds that inhibit the activity of Aurora and FLT3 kinase enzymes and the medical use of these compounds, particularly in the treatment of cancer. The granting of these patents means that Sareum will have approved patent protection in the US and Europe for its Aurora+FLT3 inhibitor programme. The US patent will be granted on 15 September and the European patent will be granted, subject to the completion of certain formalities, shortly after 25 September. The Company expects that similar patents will be granted in other major markets, including Japan and China, in due course. Sareum's Aurora+FLT3 inhibitor programme targets acute myeloid leukaemia (AML) and other leukaemias and lymphomas. In disease models of AML, the preclinical development candidate molecule demonstrates greater than 98 percent tumour inhibition. Preclinical development studies to obtain approval for human clinical trials are being undertaken in collaboration with, and funded by, Hebei Medical University Biomedical Engineering Centre in China.

Venn Life Sciences (LON:VENN)*
Venn Life Sciences, a growing Clinical Research Organisation (CRO) providing clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, has entered into an agreement to acquire the entire issued share capital of Kinesis Pharma BV, a provider of specialist consultancy services around the chemical-pharmaceutical, non-clinical and early clinical development of drug products, for a total maximum consideration of up to €6.5m. The Acquisition is in line with the Company's strategy of making targeted, complementary acquisitions that improve the Group's geographical coverage and deepen its service capability, to create a highly differentiated European Contract Research Organisation. Key highlights include a conditional agreement to acquire the entire issued share capital of Kinesis Pharma BV for a total maximum consideration of €6.5m to be satisfied by: €3.6m on completion - €2.0m in cash and €1.6m in Consideration Shares, €2.9m maximum contingent consideration based on future performance - 50:50 in cash/shares and a Contingent consideration payable in four instalments over the four year period following completion. The company also announced an oversubscribed placing to raise c. £3.57m (gross) at 22p. Financial Highlights showed revenue of €4.259m (H1 2014: €1.512m), EBITDA loss of €0.04m (H1 2014: €0.91m) and a loss before tax of €0.26m (H1 2014: €0.99m) with cash and cash equivalents of €1.096m (As at 30th June 2014: €0.119m). Operational Highlights included €9m in new contract wins during H1 bringing greater scale to the business, a successful ongoing recruitment regime to meet work load sees resource base growing to 120 personnel and the management team strengthened with appointment of new CFO in June 2015.

Wolf Minerals (LON:WLFE)
Wolf Minerals, specialty metals development company, announced the completion of commissioning of the processing plant at the Drakelands open pit mine constructed at the Company's Hemerdon tungsten and tin project in Devon, southwest England. Construction of the processing plant started on site in March 2014 and wet commissioning of the plant commenced in June 2015. The entire processing plant, and all the equipment within it, has now run successfully satisfying the requirements for handover to Wolf. As a result, Wolf has taken full operational control of the plant from the project's EPC contractor, GR Engineering Services. The inaugural shipment of tungsten concentrate has also been dispatched from Drakelands for delivery to a long term customer, marking the Company's first generation of revenue and operating cash flow.

]]>
Thu, 24 Sep 2015 15:43:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/23203/first-light-for-advanced-oncotherapy-clinigens-lateral-thinking-wolf-unleashed-in-devon-23203.html
Another deal in the Potash, Shifting up a Gear4music. A quantum leap for ServicePower http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/22923/another-deal-in-the-potash-shifting-up-a-gear4music-a-quantum-leap-for-servicepower-22923.html This week’s small cap wrap is dedicated to the life and memory of Nigel Roberts of the Proactive Investors’ team who sadly passed away recently.
Nigel was a frequent interviewer of the Hybridan team and will be fondly remembered for his infectious sense of humour and personable character.
He will be sorely missed and our thoughts go out to his family, friends and colleagues during this difficult time.



AFPO Memorandum of Understanding, AAU Quarterly Newsletter, ATQT Directorate Change, COS Participation, FITB* Board Changes and Appointment of CEO, G4M Trading Update, MARL* Exercise of Warrants, Termination and CPR, MDZ* Final Results, MXO* Nigerian Update, OPTI* Half Yearly Report, PEG* Directorate Change and Half yearly Report, PLI* Expansion of Phase II, SVR Award and Patents, STEL Licence Application, ZEG Intention to Move to Official List

*A corporate client of Hybridan LLP

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.

African Potash (LON:AFPO)
African Potash, the exploration company focused on sub-Saharan potash assets, announced that it has entered into a Memorandum of Understanding with a Zimbabwean fertiliser supply company with a view to supplying it with 150,000 metric tonnes of fertiliser.  This is the third fertiliser Trading Agreement secured by African Potash following the landmark trading agreement with the Common Market for Eastern and Southern Africa and the Mask Africa Crowd Farm Fund Limited in August 2015, underpinning the Company's active growth strategy as it looks to build a vertical platform for the mining, production and distribution of fertiliser. Under the terms of the Trading Agreement, which is subject to the signing of definitive transaction agreements, African Potash will source and fund the delivery of fertiliser through its proprietary network and methods, with first delivery anticipated later this year.

Ariana Resources (LON:AAU)
Ariana Resources, the gold exploration and development company focused on Turkey announced the release of the Company's Quarterly Newsletter for shareholders detailing the recent progress across its portfolio of gold pre-production, development and exploration interests. There were several company highlights in the announcement. Firstly it broadcasted the initiation of Kiziltepe mine construction phase at Red Rabbit is imminent following the issue of forestry permits. They have secured $33m construction finance facility with Turkiye Finans Katilim Bankasi A.S. and are on track to deliver a first gold pour in H2 2016. Moreover continued exploration in the vicinity of Kiziltepe has highlighted exceptional prospectivity. In addition Kiziltepe has been granted Strategic Investment status, this provides enhanced investment incentives and demonstrates continued support for the mine’s development by the Turkish Government. Finally the company has announced support from a new strategic investor; two subscriptions of £0.25m during the period from Metal Tiger highlights the investment opportunity provided by Ariana. The company also announced that mine construction has commenced at the Kiziltepe Sector of the Red Rabbit Gold Project in western Turkey, which is being developed in partnership with Proccea Construction, to deliver its first gold pour in H2 2016.

ATTRAQT Group (LON:ATQT)
ATTRAQT Group, a leading provider of eCommerce visual merchandising, site search and product recommendation technology, announced the intention of the Group’s current finance director, David Stirling, to retire and step down from the board. David will remain involved in the day to day running of the finance function of the company in the short term, in order to ensure an orderly handover to Mark Johnson, who will take over as finance director. It is expected that David will leave the board and Mark be appointed finance director with effect from 25 September 2015. Mark Alasdair Smith Johnson, 45, has over 20 years of experience working with high-growth and developing companies in media, technology and service industries. Mark’s previous roles include various positions within the finance function of Total Office Group, a supplier of office furniture and ancillary services, being one of the key team members overseeing the company’s admission to AIM in 1996 and Gunpowder Limited, his consultancy, where he provided services to a number of companies including De Boer, a leading provider of temporary structures. Most recently, Mark acted as head of finance, and subsequently group commercial director, of Celador Entertainment Limited, a group of companies specialising in film production, radio broadcasting and music publishing, where he was a senior board member and responsible for a broad range of business affairs, including finance, audit, HR, back office operations and liaison with external advisers.

Collagen Solutions (LON:COS)
Collagen Solutions, the developer and manufacturer of medical grade collagen components for use in regenerative medicine, medical devices and invitro diagnostics, announced that it has been chosen to participate in a new research project to develop novel treatments for Parkinson's disease. The project is being led by CÚRAM, the Centre for Research in Medical Devices based at NUI Galway, who have secured €4m in funding through the European Horizon 2020 grant programme. The project, entitled 'Development of Biomaterial-based Delivery Systems for Parkinson's disease - an Integrated Pan-European Approach', facilitates collaboration between world class researchers and industry partners to develop the first disease-modifying therapy for Parkinson's, which could slow down the progression of the disease rather than offering mere symptomatic benefits. As a key member of the consortium, Collagen Solutions will receive significant funding to develop various types of medical grade collagens for investigation over the duration of the project. The company also announced that its long term client, NovaBone Products, has had a novel device approved by the US FDA, for use in the delivery of its collagen bone graft product MacroFORM. NovaBone has received FDA approval for the NovaBone MacroFORM MIS Delivery System designed for minimally invasive orthopaedic procedures.  The system was developed for surgeons requiring controlled and precise delivery of collagen bone grafting material to surgical sites that aren’t readily accessible. NovaBone’s MacroFORM technology allows the delivery of bone marrow aspirate and other bioactive formulations to a graft in a ready to use, minimally invasive cannula. NovaBone has introduced six new collagen products in the last 12 months for use in the wound care and bone graft markets based on the company’s novel regenerative medicine technology and core competencies in designing innovative and cost-effective medical devices.

Fitbug Holdings (LON:FITB)*
Fitbug Holdings, provider of online personal health and wellbeing services, announced it has appointed Anna Gudmundson as Chief Executive Officer.  Anna has over 10 years of management experience in the technology sector: successfully building and managing the services and applications department during her time as Head of Services at luxury mobile phone company Vertu, leading large scale multi-national projects at Alcatel-Lucent in the mobile and telecom sector, and developing new marketing solutions for large global brands and leading businesses into new categories and territories. Most recently she has been running her own consultancy, working directly with executive teams of SME's in the technology industry globally to help businesses with their product roadmap, product portfolio strategy, business strategy and values, price and product positioning, budget management, development processes, team structure and roles, software tools and technology, brand strategy, culture change and other core business areas. The company also announced that Fergus Kee, the Company's Chairman, has decided to step down from the Board after four years with the Company. The current non-executive directors Allan Fisher, former Chairman of the Company, and David Turner, former CEO of the Company, will jointly take over the position of interim non-executive Chairman. Allan founded Holmes Place and David was a founder member of LA Fitness. The Company has commenced a search for a new Chairman and will make a further announcement in due course. Further to this with the recent successful fundraise and the appointment of Anna Gudmundson as CEO, Fitbug is now well placed to implement its strategy to increase sales of the Company's integrated wearable health technology offering, including Kiqplan and Fitbug Orb.

Gear4music (LON:G4M)
Gear4music , one of the largest UK based online retailers of musical instruments and music equipment, announced a trading update for the six months to 31 August 2015. Highlights included a strong increase in sales in both the UK and Europe - a 29 percent rise in website visitor numbers compared with the same period last year, contributed to a 43 percent increase in Total like-for-like sales, with Active Customer database numbers up by 32 percent to 400,000. Further expansion in the range of products offered for sale, with 11 new brands signed up in the period and more own brand products launched, taking the Total number of products available to over 29,000 from 27,400 at the start of the financial year. IPO on AIM completed in June 2015 - the £10m IPO placing proceeds have enabled continued investment including further development of the ecommerce platform, additional marketing and extending the range of products held in stock.

Mariana Resources (LON:MARL)*
Mariana Resources, the exploration and development company with projects in Turkey and South America, announced that as at 27 August 2015 11,989,300 2p warrants were due to expire.  Mariana has received exercise notices Totalling 7,067,000 warrants for funds of £141,340. The company also reported further high grade gold-copper (Au-Cu) intercepts from ongoing drilling at the Hot Maden Project, north east Turkey. Following the initial mineral resource estimate published by Mariana on the 18th August 2015 further new complementary assays have been received from JV partner Lidya Madencilik Sanayi ve Ticarte S.A. for three drill holes (HTD-18, HTD-20, and HTD-22) which extend known Au-Cu mineralisation both down-dip and to the north.  Assays are also reported for two exploration holes (HTD-19 and HTD-21), the first drill testing of the southern extension of the Hot Maden system. Highlights from the 5 drill holes include: HTD-18: 108.2m at 3.0 g/t Au + 1.3 percent Cu from 292.0m downhole including 12m at 6.4 g/t Au + 2.8 percent Cu (330.0m - 342.0m)and 9m at 12.4 g/t Au + 0.8 percent Cu (384.0m - 393.0m). HTD-20: 88.5m at 1.8 g/t Au + 2.3 percent Cu+ 1.9 percent Zn from 1.5m downhole including 3.5m at 12.5 g/t Au + 5.7 percent Cu (48.5m - 52.0m). HTD-22: 43.8m at 7.7 g/t Au + 1.2 percent Cu from 342.2m downhole including 13.8m at 23.3 g/t Au + 1.6 percent Cu (98.0 - 114.0m). HTD-19: 12.1m at 2.1 g/t Au + 0.7 percent Cu from 209.3 m downhole, and 36m at 4.3 percent Zn and 13.3m at 7.75 percent Zn from 271.0 m and 312.0m downhole, respectively. HTD-21:  64.1m at 0.8 g/t Au + 0.3 percent Cu+ 140ppm Mo from 103.4m downhole Including 0.8m at 9.6 g/t Au + 0.4 percent Cu (157.9m - 158.7m). Additionally the company has provided Condor Resources Inc. with notification of termination of the earn-in option agreement for the Soledad Copper-Gold-Silver Project, Central Peru. Mariana completed 2,084m of drilling on the Soledad Project in 2014, which led to the discovery of near surface, high grade copper-gold mineralisation hosted in tourmaline breccia pipes. These high grade breccia pipes are of limited tonnage potential, therefore subsequent exploration activities (such as deep sensing IP) were focused on the targeting of a deep (>500m), potentially mineralized intrusive/porphyry source.  Drilling these deep targets represents significantly elevated discovery risk and cost to the Company, therefore Mariana believes it prudent to withdraw from this option agreement and focus on Turkey and the balance of Mariana's highly prospective portfolio.

MediaZest (LON:MDZ)*
MediaZest, the creative audio-visual company, provided shareholders with the Final Results for the Year Ended 31 March 2015. Key points of the year showed new clients Hyundai and Rockar, whereby MediaZest delivered the audio visual solution behind their ground breaking and multi-award winning Bluewater car dealership. There was successful development, testing and launch of MediaZest Retail Analytics. This unique system is the Group’s first product to generate intellectual property. There were successful live deployments leading to multiple new and ongoing opportunities in new financial year 2015/16. The Post Office Limited acquired as a new client with first project in summer 2014 and additional work secured and successfully delivered in current financial year. Revenue and year-end cash balance lower than previous year, partly due to delayed project in March 2015 falling into next financial year, but net loss for the year stable despite reduction in revenue. Subsequent developments: showed MediaZest awarded Digital Store of the Year at 2015 Retail Week Technology & E-commerce Awards for the Hyundai Rockar dealership. Project wins post year end with new and existing clients including Adidas, Ted Baker, Chivas Regal, Kuoni, Samsung and Virgin Active. Appointment of new Group Finance Director to the Board and New Business Director in the business following resignation of Sales Director and £114,000 of shareholder loans repaid within 1 month of year end.

MX Oil (LON:MXO)*
MX Oil, the oil and gas investment company, announced an update on the progress it is making in Mexico together with its partner Geo Estratos with regards to the on-going Bid Round 1 Licensing round and its efforts to secure onshore conventional concessions in the re-opening Mexican energy sector. The Company is now one of only 15 participating companies in Bid Round 1 to have completed the payment for the bidding inscription and is currently finalising information ahead of submission of the pre-qualification filing.  A Total of 25 Land Contract Areas in the states of Chiapas, Nuevo Leon, Tabasco, Tamaulipas and Veracruz will be awarded to companies that satisfy the pre-qualification requirements and win the subsequent tender process.  Following access being granted to the data room in June 2015, analysis and due diligence of the target blocks is progressing well, ahead of the anticipated award of concessions in December 2015.  The company has also been advised by its partners that the Aje-5 well in the proven Aje Field on licence OML 113 offshore Nigeria has reached targeted depth of 3,255 metres and has intersected hydrocarbon bearing intervals in line with the pre-drill geological model.  The Well is now being completed as a subsea oil production well.  Aje-5 is the first of a two well Phase 1 drilling programme, targeting first oil in December 2015.  Peak gross production from these two wells is estimated at 11,000 bopd, as stated in the June 2015 Competent Persons Report (CPR).  The CPR also states that Phase 2 is targeting gross production of 19,000 bopd from an additional two well development.  As announced on 13 July 2015, MX Oil has agreed to invest in a 5 percent revenue interest in OML 113 via Jacka Resources.

OptiBiotix (LON:OPTI)*
OptiBiotix Health, a Life Sciences business developing compounds to tackle obesity, high cholesterol and diabetes, announced its results for the six months ended 31 May 2015. OptiBiotix continues to make progress on its strategy of developing compounds which modify the human microbiome and commercialising these through partnering with food, health, and wellbeing companies. Highlights included the appointment of Jim Laird as Commercial Director to the Board to increase commercial capacity and capability.  The completion of preclinical studies and ethics approval received to enable human clinical studies to begin for the Company's cholesterol lowering product. The expansion of the OptiBiotic® platform to a wider range of microbial species broadening the number of product and partner opportunities has also been identified.  The filing of four new patents and creating a joint venture with Nizo Food Research to develop, manufacture and distribute weight management yoghurts to global markets.

Petards Group (LON:PEG)*
Petards Group, the developer of advanced security and surveillance systems, reported its interim results for the six months to 30 June 2015. Operational highlights showed June order book remained strong at £19m providing good revenue cover for the second half of 2015 and beyond. Circa 40 percent of order book currently scheduled for delivery in the second half of 2015. H1 2015 highlights included: Over £2.5m of orders for Petards' eyeTrain CCTV systems under the framework agreements held with Siemens and Hitachi, and a new project from Bombardier, with strong recurring revenue streams for eyeTrainspares and support. Financial highlights showed strong results for the six months to 30 June 2015, with higher margin revenues than 2014 Totalled £6.1m (2014: £7.2m), gross margins of 36.4 percent (2014: 27.4 percent). There was a 39 percent increase in EBITDA to £0.61m (2014: £0.44m), operating profit increased to £0.44m (2014: £0.35m) and a 30 percent increase in profit after tax to £0.37m (2014: £0.27m). Cash inflow from operating activities was £0.56m (2014: £0.18m), cash at 30 June 2015 £2.0m (31 Dec 2014: £1.4m) with no bank debt and basic EPS up 30 percent to 1.03p per share (2014: 0.79p per share) and diluted EPS up 23 percent to 0.76p per share (2014: 0.62p per share).

ProMetic Life Sciences (LON:TSX)*
ProMetic Life Sciences reported that its PBI-4050 has been confirmed to be safe and well tolerated in the first 12 metabolic syndromes with associated type 2 diabetes patients, following review of the safety data by the Data Safety Monitoring Board. ProMetic is now proceeding with the enrolment of an additional 24 patients, as planned in the study protocol design. Since the beginning of the metabolic syndrome Phase II clinical trial, the first 12 patients have received on average the equivalent of more than 2 months of dosing per patient. PBI-4050 has now therefore exceeded more than 24 months of patients/product exposure and the Corporation anticipates having partial read out on biomarkers available before the end of this year.

ServicePower Technologies (LON:SVR)
ServicePower Technologies, a market leader in workforce management technology, announced that it has been honoured by Jones Lang LaSalle (JLL) with an EMEA IFM Supplier of Distinction Award. The award recognises the exceptional performance of supply partners and their contribution to JLL's success. The company has applied for three new patents related to Quantum Annealing Optimisation for field service and workforce management solutions. The Quantum Annealing algorithm, which is the first new algorithm developed for field service in many years, can drive greater productivity enhancements and route efficiencies by making the optimisation more efficient. This algorithm was developed as part of a KTP (Knowledge Transfer Partnership) initiative with Dr. Alan Crispin and Alex Syrichas from the Manchester Metropolitan University.   This new algorithm is expected to be utilised in ServicePower's latest product launches, including NEXUS FStm and Optimization on Demandtm, as well as an enhancement to the proven ServiceScheduling tm product that uses ServicePower's version of the simulated annealing algorithm.

Stellar Diamonds (LON:STEL)
Stellar Diamonds, the diamond development company focused on West Africa, announced the results of the preliminary economic assessment (PEA) from its Tongo kimberlite diamond project in Sierra Leone. Independent consulting company Paradigm Project Management (PPM) was retained by the Company to conduct the PEA over the 1.45 million carat inferred resource of the Tongo Dyke-1 kimberlite, one of four kimberlite dykes at the Project. The company cited several highlights of the PEA in its announcement. Firstly it points to the PEA’s projection that the mine will have an 18 year life from both surface and underground mining yielding 955,930 carats. Additionally the company is targeting a yield of 117,806 carats from surface mining in years 1-4 providing early cash flow. There is a modelled diamond resource grade of 120cpht and diamond value of $270 per carat.  A further highlight of the PEA is the low cost capex requirement of $24.2m to establish a surface and underground mine. It projects gross mine revenues of $286.7m and a pre-tax NPV10 of $53.2m and IRR of 31 percent. The PEA determined there to be significant potential to increase mine life and revenues with resource open at depth. As a result of this a mining license application has been submitted. Mine construction has commenced at the Kiziltepe Sector of the Red Rabbit Gold Project in western Turkey, which is being developed in partnership with Proccea Construction Co., to deliver its first gold pour in H2 2016. The Forestry Department is currently clearing land within the permitted areas of the mine site and freehold land acquisitions are essentially completed. Final negotiations on major Turkish supplied plant components are complete and long lead orders have been placed. A mining contractor has been assigned and is currently expected to commence site works in October 2015. Installation of the perimeter security fence for the mine site is underway and four pre fabricated building are now complete and awaiting delivery to the site. Ariana drill rig mobilised this week to commence drilling at the foundation site of the process plant.

Zegona Communications (LON:ZEG)
Zegona Communications, a media investment vehicle firm has recently indicated its intention to move to London Main Market after beginning floatation in the AIM in March 2015. Zegona Communications' directors stated that this change is needed in order to achieve their ambitions for Zegona. The London-headquartered firm was established with the objective to execute a Buy-Fix-Sell strategy targeting the European TMT sector and is looking to build a portfolio of assets worth £1bn to £3bn in enterprise value. The firm is set to have identified 60 potential opportunities and has recently acquired Spanish Telecoms Telecable de Asturia for €640m in enterprise value. Zegona is yet to release its unaudited interim earnings on 30 September 2015. Prior to AIM listing, Zegona Communications raised £30m from Institutional Funds and is expected to exit AIM trading when moving to London Main Market on 25 September 2015.

]]>
Wed, 09 Sep 2015 12:48:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/22923/another-deal-in-the-potash-shifting-up-a-gear4music-a-quantum-leap-for-servicepower-22923.html
What we do in life Eckoh's in eternity, Avanti reaches for the sky, Platform change for Hornby, Mariana glitters http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/22807/what-we-do-in-life-eckoh-s-in-eternity-avanti-reaches-for-the-sky-platform-change-for-hornby-mariana-glitters-22807.html AVN Financing, BLU Timeline and Results, ECK Contract Wins, FITB Placing, Subscription and Convertible Loan Note, HRN Admission to AIM, MARL Estimate, MMH Interim Results, MXO Mexico Update, NET Contract Win, PLI Q2 Results and Highlights, SVR Contract Win, TRCS Trading Update, UNG Launch, VENN Trading Update

A full archive of previous weeks’ Small Cap Wraps can now be viewed on www.hybridan.com.

The Hybridan Small Cap Wrap is a weekly review of some of the most interesting small cap stories of the past week. Our review will usually be of those companies whose market capitalisations are less than £50m although we may occasionally cover larger companies.

Avanti Communications (LON:AVN)
Avanti Communications Group, a provider of satellite data communications services in Europe, the Middle East and Africa (EMEA), announced the completion of financing for its HYLAS 4 satellite, in line with the previously announced financing plan. Avanti has successfully placed $125m in Senior Secured Notes due 2019 under the Company's existing indenture. The Notes will be issued at a small discount to the current trading price of Avanti's existing notes and will have a coupon of 10 percent. HYLAS 4 remains on-track for launch in early 2017 and will complete Avanti's coverage of EMEA. The majority of the satellite's capacity will serve high-growth markets in Africa. The Company expects that this will consolidate its first mover advantage across EMEA, and enhance the future cash generation potential of the Group. In addition, Avanti has also simultaneously conducted an equity capital raising, at a price of 200.65p per share, to raise approximately £7.2m  (net) in order to satisfy demand from bond investors.

BELLUS Health (TSE:BLU)*
BELLUS Health, a drug development company focused on rare diseases, narrowed timelines for the Phase III Confirmatory Study for KIACTA in AA amyloidosis and reported its financial and operating results for the second quarter ended June 30. To date, approximately 85 percent of the required events to complete the Phase III Confirmatory Study for KIACTA have occurred. Based on the event rate, the Company anticipates the study will meet the 120 events required to complete the trial by the end of the first quarter of 2016. During the second quarter of 2015, the KIACTA Phase III Confirmatory Study continued to progress, following patient enrolment completion in January 2015. The study is designed to confirm the safety and efficacy of KIACTA in preventing renal function decline in patients diagnosed with AA amyloidosis, an orphan indication resulting in renal dysfunction that often leads to dialysis and death. KIACTA is partnered with global private equity firm Auven Therapeutics. Auven Therapeutics is conducting the KIACTA study and funding 100 percent of the development costs, including the Phase III Confirmatory Study and other related activities, which Total costs are currently estimated to be in excess of $60m. Overall proceeds from potential future revenue of KIACTA will be shared between Auven Therapeutics and BELLUS Health based on a pre-agreed formula, and assuming that Total divestiture transaction proceeds reach a pre-determined threshold, the parties will share aggregate proceeds equally. Pre-clinical studies are being conducted to evaluate Shigamab in the treatment of Hemolytic Uremic Syndrome caused by Shiga toxin-producing E. coli (sHUS). During 2014, in studies performed in collaboration with the Uniformed Services University of the United States Department of Defence, Shigamab was shown to reduce toxicity of Shiga toxin type 2 in a sHUS mouse model, even following delayed treatment, as measured by body weight loss, renal biomarkers and renal histopathology. These results support BELLUS Health's treatment approach of sHUS. Revenues amounted to $0.59m for the three-month period ended June 30, 2015, compared to $0.42m for the corresponding period the previous year. The increase is attributable to higher revenue recognised for accounting purposes in 2015 in relation to the service agreement with Auven Therapeutics for KIACTA. R&D expenses amounted to $0.17m for the three-month period ended June 30, 2015, compared to $0.37m for the corresponding period the previous year. The decrease is primarily attributable to lower expenses incurred in relation to the development of Shigamab as well as higher research tax credits recognised during the second quarter of 2015 in relation to additional claims for prior years filed during the quarter. As at June 30, 2015, the Company had available cash, cash equivalents and short-term investments Totalling $10.68m, compared to $12.31m as at December 31, 2014.

Eckoh (LON:ECK)
Eckoh, the global provider of secure payment products and customer service solutions, announced a number of new contract wins for its secure payments products signed since the start of the new financial year. In particular, Eckoh has won a number of new direct contracts across international markets, complementing ongoing progress in the UK. These international contracts have been signed respectively with a leading airline operator in South Africa, a large consultancy organisation in Morocco and a public sector organisation in Canada. The fourth and most recent contract was an agreement secured directly with a utility provider in the United States through Eckoh's US subsidiary, Eckoh Inc. This is the seventh contract won directly through Eckoh Inc since June 2014. The contracts are all for Eckoh's patented CallGuard solution which is deployed directly into the customer's contact centres. A key benefit of this CallGuard solution is that it can be deployed and operational extremely quickly, often in weeks, ensuring that specific compliance or fraud concerns the client may have can be addressed in a timeframe that no other solutions can match. In addition, in the UK, Eckoh has won its first new contract for the Haloh Audio Tokenisation secure payment solution, that automatically replaces sensitive card data with a non-sensitive equivalent or 'token' when a payment takes place, enabling organisations to store and use the data without the security risk. The new contract is with Sensée, an outsourcer specialising in homeworkers, who are an existing CallGuard client and the new contract is to implement the Audio Tokenisation solution on behalf of a new customer of Sensée's. The new contracts will start to generate revenue in the current financial year, supporting current growth expectations, and help to underpin the Group's growing sector dominance and international presence.

Fitbug Holdings (LON:FITB)*
Fitbug Holdings, the provider of online personal health and wellbeing services, announced that it has raised a Total of £1.66m through a combination of the issue of new ordinary shares of 1 pence each in the Company by way of a Placing by Hybridan, Subscription by NW1 Investments Limited and the issue of a new Convertible Loan Note to NW1 Investments.  A restructuring of all existing loans has been agreed on favourable terms which strengthens the Group's balance sheet, extends the term of the existing loans and reduces their interest rate. The Company has raised £0.66m at 2.5 pence per share. Additionally the Company has raised £0.35m by way of subscription from NW1 Investments, at the Placing Price. The Company has also agreed the terms of a new £0.65m convertible loan note in favour of NW1 Investments, repayable by 31 July 2017.  The Loan will accrue interest at a rate of 2.5 percent per annum above the base lending rate of the Bank of England, commencing 1 January 2016 and payable on a quarterly basis in arrears. The Loan will not bear interest for the remainder of 2015. The Loan is convertible by the holder, at any time, into 20,000,000 Ordinary Shares of 1 pence each in Fitbug at a price of 3.25 pence per new Ordinary Share, a 30 percent premium to the Placing price. A restructuring of the existing NW1 Investments loans has also been agreed which is to take effect on admission of the Placing Shares and the Subscription Shares to trading on AIM,  whereby: (i) £0.66m - matching £ for £ the amount of new equity raised in the Placing - of the NW1 Investments loans will become interest free and repayable on 31 July 2018; and (ii) the balance of £6.27m of the NW1 Investments loans will become repayable on 31 July 2017 with interest accruing from 1 January 2016 until 31 July 2017 at a rate of 2.5 percent above the base lending rate of the Bank of England. The funds raised will be predominantly used to support marketing and channel development focused on US and UK territories, further product enhancement and innovation with particular focus on Kiqplan Version2, and for general working capital purposes. In June the Company received its first order from Towers Watson under this partnership worth £0.27m for the provision of Fitbug Orb and support services for their first HealthVantage client, a large Asian financial services company. Over the last month Sainsbury's placed stock replenishment orders Totalling £0.26m and confirmed that the product would be included in its 2015 holiday promotions.  US retailer Sam's Club has agreed a 25 store eight week trial of a Fitbug Orb, Wow and Kiqplan bundle starting in September 2015. Additionally, in-flight retail specialist Scorpio Worldwide Limited has now added a second airline, Virgin, to its list of airlines who will stock a Fitbug/Kiqplan product bundle following their initial contract with KLM.  UK retailer Argos has agreed to include both the Fitbug Orb and Kiqplan in their 2015 Autumn/Winter catalogue.

Hornby (LON:HRN)
Hornby has confirmed that the admission of Hornby to trading on AIM occurred on 12 August 2015. The Ordinary Shares have been removed from trading on the Main Market of London Stock Exchange plc and their listing on the Official List has been cancelled. The Placing, which was announced on 18 June 2015,  at a price of 95 pence each, raising £15.0m, is now complete.  The net proceeds of the Placing of £14m will be used by the Company to repay part of the Existing Bank Debt, which comprises the Company's core debt excluding seasonal working capital needs. The balance of the net proceeds of the Placing is intended to be applied towards the continued investment in the Group's business.
 
Mariana Resources (LON:MARL)*

Mariana Resources announced the results of the maiden Mineral Resource estimate for the high grade gold copper (Au-Cu) Hot Maden Project, eastern Turkey.  The Mineral Resource estimate was prepared by independent mining consultants RungePincockMinarco Limited (RPM), and was based on assay results received for drill holes up to, and including, HTD-17 completed on 25th June.  Drilling to date has been completed by our JV partner Lidya Madencilik Sanayi ve Ticaret A.S. earning up to a 70 percent interest in the Hot Maden Project.  The Total maiden Mineral Resource estimate comprises of the indicated category of 4.71 million tonnes (Mt) at 10 grammes per tonne (g/t) gold and  2.2 percent copper, for a gold equivalent grade of 13.4 g/t and a Total 2.033 Million Oz Gold Equivalent(AuEq) (100 percent basis). The inferred category of 3.65 Mt at 5.5 g/t gold and 1.8 percent copper, for a gold equivalent grade of 8.2 g/t and a Total 0.968 Million Oz AuEq (100 percent basis). The Total Mineral Resource Estimate of 3 Million Oz Gold Equivalent at a gold equivalent grade of 11.2g/t (100 percent basis). Mariana's Current Attributable Interest in Hot Maden (30 percent) of 900,000 Oz Gold Equivalent at a gold equivalent grade of 11.2g/t.

Marshall Motor Holdings (LON:MMH)
Marshall Motor Holdings, an automotive retail and leasing group, announced its unaudited interim results for the six months ended 30 June 2015. Financial highlights showed revenue had increased by 16 percent to £632.5m (H1 2014: £545.4m), allowing for a profit before tax increase of 9.8 percent to £10.5m (H1 2014: £9.5m) and an earnings per share of 19.7p. The company also announced a maiden pro rata interim dividend of 0.58p per share. Operational highlights showed strong trading performance driven by contributions from recently acquired businesses and continued organic growth. New car unit sales were up by 10.4 percent (like-for-like up by 5.9 percent), used car unit sales up by 11.8 percent (like-for-like up by 2.7 percent) and Total after sales revenues were up by 9.0 percent (like-for-like up by 1.7 percent).

MX Oil (LON:MXO)*
MX Oil, the oil and gas investment company, announced an update on the progress it is making in Mexico together with its partner Geo Estratos with regards to the on-going Bid Round 1 Licensing round and its efforts to secure onshore conventional concessions in the re-opening Mexican energy sector. The Company is now one of only 15 participating companies in Bid Round 1 to have completed the payment for the bidding inscription and is currently finalising information ahead of submission of the pre-qualification filing.  A Total of 25 Land Contract Areas in the states of Chiapas, Nuevo Leon, Tabasco, Tamaulipas and Veracruz will be awarded to companies that satisfy the pre-qualification requirements and win the subsequent tender process.  Following access being granted to the data room in June 2015, analysis and due diligence of the target blocks is progressing well, ahead of the anticipated award of concessions in December 2015. 

Netcall (LON:NET
Netcall, a customer engagement software provider, announced that it has secured a five-year SaaS contract worth a minimum of £1.4m to provide its Liberty multi-channel contact centre and unified communication solutions. As part of the agreement Netcall will deliver a range of inbound and outbound voice, email and chat applications that utilise Liberty's business process management capabilities for workflow automation and data integration with legacy systems. This will enable the client to deliver a consistent, personalised customer experience and achieve efficiencies. Netcall's solution will replace a number of legacy on-premise systems with a hosted solution that provides a virtual contact centre for the client's six sites.

ProMetic Life Sciences (TSE:PLI)*
ProMetic Life Sciences reported its second quarter ended June 30, 2015 highlights and financial results. During the second quarter of 2015, ProMetic completed a $57.6m bought deal financing comprised of 22.1 million common shares, including over-allotment, in the capital of the Corporation at a price of $2.60 per share. The selected C1 Esterase Inhibitor is the next plasma-derived drug candidate to be developed. ProMetic also entered into a strategic long-term manufacturing agreement with Emergent BioSolutions providing ProMetic with access to additional cGMP processing capacity of up to 250,000 litres of plasma annually in an FDA-licensed facility, located in Winnipeg, Canada. ProMetic also presented new pre-clinical data at the American Thoracic Society 2015 International Conference held in Denver, USA, on PBI-4050, its orally active anti-fibrotic drug candidate in phase II clinical trials for the treatment of IPF whereby in the gold standard animal model used to emulate pulmonary fibrosis in humans, PBI-4050 performed favourably compared to Nintedanib, one of the two FDA-approved products for such medical use. The Company finished the second quarter ended June 30, 2015 with a strong cash position of $56.7m. Total revenues for the second quarter ended June 30, 2015 were $2.9m compared to $4.4m for the second quarter ended June 30, 2014. Revenues from the sale of goods amounted to $2.7m compared to $3.1m for the same period in 2014. Service revenues were $0.2m for the quarter ended June 30, 2015 compared to $1.3m for the quarter ended June 30, 2014. The decrease is due to lower product sales and the fact that services billed to NantPro are being eliminated upon consolidation due to its acquisition from a control perspective in May 2014. ProMetic generated a net loss of $14.8m for the quarter ended June 30, 2015 compared to net earnings of $23.4m for the quarter ended June 30, 2014. The increase in the net loss is mainly due to the fact that in the second quarter 2014, the Corporation had recognised an aggregate gain of $32.3m in relation to the Nantpro business combination whereas this transaction did not impact in the second quarter 2015.

ServicePower Technologies (LON:SVR)
ServicePower Technologies, a market leader in field service management technology, announced that it has signed contracts with three major North America companies for its ServiceOperations and ServiceMobility platforms. JVCKENWOOD USA Corporation and JVCKENWOOD Canada, has selected ServiceOperations as its warranty claims processing and payment platform for the US and Canada; a branded audio, video and multimedia company has appointed ServicePower to utilise ServiceOperations in support of its multi-brand music lifestyle business; while a leading North American consumer products manufacturer, has partnered with ServicePower to implement its ServiceMobility application for field services within the manufacturing sector. JVCKENWOOD provides services to warranty customers by using the best third party contractors in North America to quickly manage the repair of products in the event of a failure. The ServiceOperations solution will enable the company to optimally manage the warranty process to ensure claims for repair services are validated against the highest levels of control for warranty reserve. The flexibility and global capability of the platform will enable JVCKENWOOD to manage US and Canadian operations based on individual country requirements. Audio, Video and Multimedia Company a global leader in audio systems, docking stations, sound bars, headphones and connected audio has signed up ServicePower to utilise ServiceOperations in support of its multi-brand music lifestyle business. Consumer Products Manufacturer a leading North American consumer products manufacturer has partnered with ServicePower to use its cutting-edge, cross-platform ServiceMobility solution for field service application within the manufacturing sector. The client created its own mobile application decades ago which was then integrated to ServicePower's ServiceScheduling routing optimisation engine in order to deliver improvements in technician productivity and customer satisfaction. ServiceMobility, hosted by ServicePower, will provide the client with the ability to further mobilise its field service processes, including the functionality needed to support on-site repairs, including schedules, integrated navigation, status acquisition and geographic location, access to parts inventory and payment processing.

Tracsis (LON:TRCS)
Tracsis, a leading provider of software and technology led products and services for the transportation industry, provided the following trading update for the year ended 31 July 2015 ahead of the full year results being published. Due to strong trading across the Group full year results are now expected to be ahead of the previous year and market forecasts.  The Board anticipates that group revenue will be circa £25m (2014: £22.4m) with adjusted pre-tax profit expected to be comfortably ahead of market expectations of £5.5m and also ahead of the previous year (2014: £5.0m).  Year-end cash balances were in excess of £12m (2014: £8.9m), and the business remains debt free. In line with the Group's stated strategy, Management continues to pursue a number of investment opportunities and looks forward to updating the market in due course.

Universe Group (LON:UNG)
Universe, a leading developer and supplier of point of sale, payment and on-line loyalty systems announced that its subsidiary HTEC, has launched an innovative new card payment encryption solution, called "Perseus". The new proprietary solution adds an additional layer of security to card payment transactions at the point of sale and makes HTEC the first provider of point-to-point encryption (P2PE) technology designed to be equally adept in both the petrol forecourt and traditional retail sectors. Perseus, which has been approved and listed by the Payment Card Industry Security Standards Council complements HTEC's proven Gemini Payment Service. The Perseus P2PE solution also provides customers with improved fraud prevention and management to significantly reduce the complexities of their compliance with the Payment Card Industry Security Standards Council's security standards

Venn Life Sciences Holdings (LON:VENN)
Venn Life Sciences, a growing Clinical Research Organisation (CRO) providing clinical trial management and resourcing solutions to pharmaceutical, biotechnology and medical device clients, announces a strong first half of 2015 with the Company billing in excess of €4m, up 170 percent against the same period in 2014 (H1: €1.5m). The Company has demonstrated continued growth throughout 2015 driven by contract wins amounting to over €9m in the period to 30 June 2015.

]]>
Fri, 21 Aug 2015 08:42:00 +0100 http://www.proactiveinvestors.co.uk/columns/hybridan-small-cap-wrap/22807/what-we-do-in-life-eckoh-s-in-eternity-avanti-reaches-for-the-sky-platform-change-for-hornby-mariana-glitters-22807.html