What’s cooking in the IPO kitchen?
AIM I3 Energy – Schedule 1. Independent oil and gas company with assets and operations in the UK. Offer TBC, 26 May admission.
Opera Investments – Reverse Takeover of Kibo Mining’s subsidiary Kibo Gold. Raising £1.5m. Expected mkt Cap £6.5m. 23 May.
Eve Sleep— Schedule 1 from the e-commerce focused, direct to consumer European sleep brand. Offer details TBC. Expected Mid May
Velocity Composites—Schedule 1. Manufactures advanced carbon fibre and ancillary material kits (predominantly carbon fibre) for use in the production of aircraft. Mid May admission expected. Offer details TBC.
Verditek— Schedule 1 update. On Admission, the Company's subsidiaries will be involved in advanced solar photovoltaic, filtration and absorption technologies specialising in providing environmental services. Issue price 10p. Admission in May.
Main Market Premium Listing
Alfa Financial Software – Intention to float. Mission-critical software platform purpose-built for asset finance enterprises. Vendor sale of 25% plus. FYDec16 rev £73.3m (CAGR of 24% from 2012). Adjusted EBIT £32.8m,
Kuwait Energy - $150m raise plus vendor offer. Admission due June. 2p reserves 810.0mmboe
Main Market Standard Listing
ADES International - Provider of offshore and onshore oil and gas drilling and production services in the Middle East and Africa, seeking raise up to $170m plus vendor sale under a Standard Listing of the Main MArket. Admission due May 2017.
Global Ports Holding - Intention to float on Standar List of the Main Market. International cruise ports operator. Seeking $200m + raise including $75m primary offer. Expected price range 735p to 875p. Mkt cap up to £539m.
Main Market Specialist Funds
Tufton Oceanic Assets - Offer extended to 9 May on specialist funds segment of Main Market to enable investors to complete further due diligence.
PRS REIT - Private rental sector REIT raising up to £250m. Admission due 31 May
The Company that develops licenses and sell the proprietary, scientifically-proven Fruitflow® heart-health functional food ingredient has provided an update on trading. The Company expects to report on a strong year of progress. Provexis’ Alliance partner, DSM Nutritional Products, has continued to develop the market actively for Fruitflow® in all global markets. More than 50 regional consumer healthcare brands have now been launched by direct customers of DSM. Revenues for year ending 31 Mar 2017 were £228k, up 148% on the previous year, of which £153k were from the profit sharing Alliance for Fruitflow®. The Company expects to report an underlying operating loss of £382k (2016:£385k). Provexis also announced a placing of £350k at 0.5p (16.7% discount to closing price on 9 May2017). Proceeds will be used as additional working capital, to support revenue growth and to strengthen the Group’s balance sheet.
Walls & Futures REIT (NEX:WAFR) 82.5p £2.7m
The Company has completed on its first residential investment in the Supported Housing Sector announced earlier this week. The Company has acquired the freehold of a detached grade two listed building, in the Cotswold market town of Stroud, for £475,000. The Company has also committed to contribute towards the improvement and redevelopment of the property that is due to be carried out over the next 3 to 4 months. Once those works are completed the property will provide a high quality home and specialist support to six adults with physical & learning disabilities and/or mental health needs. The property is being let on a 25-year full repairing and insuring lease, with rents adjusted annually in line with inflation (CPI), to one of the UK's leading care providers.
In accordance with its terms, the Shareholder Loan has become repayable and has increased from 1.5x to 2.0x the loan amount outstanding. A total of US$2,192,546 has been drawn down under the Shareholder Loan and the repayment amount is now US$4,385,092. The Company is in advanced negotiations with loan holders regarding extension of repayment. Whilst discussions are advanced, there can be no certainty that an extension will be agreed. Discussions with Shanghai Electric Power are continuing with respect to the US$3m Development Agreement which would fund ongoing project development work on the power project and finalise SEP's investment through the Joint Development Agreement. The Company expects to update shareholders on this process this Month. Working on further funding.
AGM Statement from the digital marketing services group. 2017 has started well and Be Heard is trading in line with the Board's expectations. MMT in particular is growing strongly as Group cross referrals start to impact. New business wins this year include Cath Kidston, BDO and Brakes at agenda21, PPG, Sense, Save the Children and Gowling WLG at MMT Digital and Clyde & Co, the Society of Petroleum Engineers and ACCA at Kameleon. We have also made further progress broadening existing client relationships with Vodafone, Essilor, Northumbria Water, Wiltshire Farm Foods and BDO served by two or more partners within the Group. FYDec17E rev £19.5m and £2.3m PBT.
NetScientific (LON:NSCI) 53p £27.07m
The Company’s portfolio company, ProAxsis, has secured a second licensing agreement with Queen University of Belfast for exclusive IP rights for it ProteaseTag technology. ProAxsis develops point of care diagnostics for the capture, detection and measurement of active protease biomarkers of respiratory disease. This agreement, which strengthens the Company's IP portfolio, puts ProAxsis in a great position to launch further immunoassays and point of care tests and build the value of this technology.
The provider of digital performance marketing announced that it has commenced activities in Romania. The Company has been granted a Class 2 License form the Romanian National Gambling Office allowing it to operate as an online gambling affiliate. Following the license being granted, the Group acquired a portfolio of websites offering online betting and gambling content for a total consideration of c.£1m.
The hemodynamic monitoring Company provided an AGM statement. Recruitment is proceeding to plan, having recruited 8 out of the intended 13 additional sales & marketing FTEs planned for this year. The additional resources will be deployed in the USA, UK, Europe and Middle East. The Company’s new monitor, LiDCOunity v2, has now received CE mark and preparation is now under way for commercial launch in Europe. FDA510k review is also under way for launch in the US. The Company is making additional investment in their commercial operations, which they hope will allow for significant sales growth. Revenue to date remains in line with expectations.
Keywords Studio (LON:KWS) 795p £440.3m
The Company announces that is has acquired XLOC Inc. for a total consideration of $o.9m. XLOC has developed a web-based integrated globalisation content management system for videogames, supported by consulting and customisation services. Its proprietary software can be integrated with any games development platform. The acquisition is in line with the Company’s strategy to extend its services, with the objective of providing end to end services to its global client base covering all aspects of game production and live operations support. The Company is paying $700k in cash with 19,134 new ordinary shares in Keywords.
Warpaint London (LON:W7L) 211p £136.74m
The specialist supplier of colour cosmetics and the owner of the W7 brand announced its final results. Profit before tax was £4.4m (proforma £5.0m) on a turnover of £22.5m (proforma £27.0m) with basic EPS of 5.07p (proforma 5.84p). Net cash at 31 Dec 2016 of £3.5m underpins the balance sheet and leaves the Group in a strong position going forward. The Board also recommended a final dividend of 1.5p per share. Overseas business will continue to be a major driver as the Company aim to gain a larger share of the global colour cosmetics market. With a flexible supplier base and a tight control of working capital the business remains inherently cash generative.
The point-of-care business updated shareholders on its current trading and possible demerger. The Company announced that trading in the first quarter was ahead of budget and attributable to organic growth. However, the Board provide no guarantee that this will continue for the year given the relatively short lead time on new orders. The Directors are also evaluating the plans the split the Company into two separate legal entities: Point of Care and Lab Diagnostics. The Directors believe that splitting the Company will represent a better route for shareholders and where they are likely to achieve fair reflection of the value of each business. The Company also continues to evaluate the possibility of a share buyback offer of up to 15% of the Company’s current issued share capital.