There’s a new artificial intelligence (AI) play on the challenger market, going by the name Cykel AI, which debuted on the Aquis exchange on Wednesday.
The London-based group appears to be developing a software platform that will act as an ‘AI co-pilot’ to do repetitive digital tasks for us, such as sending emails and updating Salesforce and the like.
Jonathan Bixby, Cykel’s co-founder and executive chair, is known on the Aquis scene, having previously IPOd NFT Investments PLC (AQSE:NFT). He also co-founded the main marked-listed bitcoin mining firm Argo Blockchain PLC (LSE:ARB, OTCQX:ARBKF, NASDAQ:ARBK, ETR:0XP).
“Cykel AI will use the power of AI technologies to transform business processes by making mundane digital tasks such as filling digital forms, managing work tools like spreadsheets or booking meetings and holidays infinitely quicker and easier,” explained Bixby.
We’ll find out if Cykel is more than just a pretty blurb and a savvy SEO-led company name, but there’s no doubt the IPO went swimmingly, raising £1.75 million on a £6.15 million valuation.
Shares have since surged from a debut price of 3p to an 11p ask price.
Technology in the spotlight
Technology was the main topic of conversation on the global markets this week, what with UK prime minister Rishi Sunak warning against overregulating the AI space despite terrorism and biological warfare threats and Big Tech earnings season shifting into gear in the US.
Cryptocurrency prices also awakened from their slumber, with bitcoin outperforming all other major asset classes.
Bitcoin’s substantial rally certainly benefitted AIM-listed Quantum Blockchain Technologies PLC (AIM:QBT), which saw its share price nearly double by the middle of the week.
The group, which is developing its own intellectual property that it hopes will greatly increase the efficiency of bitcoin mining, also released some enticing news by way of an X/Twitter post that its (deep breath) proprietary mining software was now available as a SaaS client-server cloud application.
Word has it that the London Stock Exchange took umbrage with Quantum’s news medium of choice, prompting the group to hastily issue an RNS to clarify the matter to the public.
Quantum’s share price has cooled down since, though still remains a tidy 18% higher from the start of the week.
Elsewhere in the high-tech realm, Kromek Group PLC (AIM:KMK) shares marched 43% higher after the company won a US$5.9 million contract from the US Department of Homeland Security (DHS) to research and develop biosecurity technologies.
The four-year contract, which was awarded by the DHS Countering Weapons of Mass Destruction (CWMD) Office, will begin immediately and the AIM-listed radiation and bio-detection specialist expects US$874,000 during the first year.
Starvest winds up
Moving on from the arcane sciences, what caused little-known natural resources investment firm Starvest PLC (AIM:SVE), whose primary investments are in Greatland Gold PLC (AIM:GGP, OTC:GRLGF) and Ariana Resources PLC (AIM:AAU), to shoot to the top of the movers list this week?
The answer lies in its proposed cancellation of trading on AIM, following a prolonged share price discount to Starvest’s underlying assets.
As part of the wind-up, Starvest intends to redistribute its Greatland Gold and Ariana shares to the company’s beleaguered shareholders.
Sensing an opportunity, the market bought in, sending Starvest’s share 50% higher.
Forex winners and losers
There may be trillions worth of deals done in the foreign exchange markets on a daily basis, but it doesn’t always turn out well.
Argentex Group PLC (AIM:AGFX), the foreign exchange company, saw its shares trade around 22% lower on Thursday morning after it confirmed the exit of its chief executive and founder Harry Adams. Adams left with immediate effect in place of Jim Ormonde on an interim basis.
No further details were given, though chair Nigel Railton spoke of “a review of Argentex's strategy”.
It’s safe to say things aren’t looking too rosy for CAB Payments Holdings PLC (LSE:CABP), the newly listed forex trader and one of London’s few major IPOs this year.
CAB’s FTSE 250 status is in doubt after its shares crashed over 75% this week due to its exposure to the highly devalued Nigerian Naira. Questions have started to mount over CAB’s management of risk disclosures prior to its July flotation.
Things were rosier over at Cornerstone FS PLC (AIM:CSFS), which hiked its guidance following a bumper earnings call, where the group underscored higher-than-expected revenues and underlying profit.
Shares shot up 17% following the Tuesday announcement, though have since retraced their steps.
Elsewhere, Fire Angel Safety Technology Group PLC (AIM:FA.), the struggling fire alarm manufacturer, saw its share increase threefold after agreeing to a rescue takeover from Singapore-based Intelligent Safety Electronics (ISE).
In September, the AIM-listed company warned that there was a material uncertainty over its future, cash and banking covenants.
Global Petroleum (AIM:GBP) Limited had a mare in the exploration sector, after expressing financial difficulties in Friday’s annual results statement.
Frustratingly, the junior explorer is sitting on a slice of the Orange Basin off the coast of southern Africa, a hot exploration destination dishing out bumper discoveries for the oil majors.
It’s a bit like having a winning scratch card without a coin to rub. Shares were tossed 40% lower as a result.
AIM All-Share closes lower
The junior index ended the week around 1.2% lower in what was a generally bearish week for the stock market, with the footsie also closing in the red.
Oil majors provided end-of-week support for the blue-chip index, though this didn’t appear to filter down to the heavy industries' small caps.
Stock in general saw a sell-off as the week progressed, with the persistent spectre of higher-for-longer interest rates and a number of big-cap earnings downgrades causing pressure on the wider market.
Signs of weakness in the financial services sector, where the net interest margin party is starting to dissipate, also began to rear their head, and could prove to be market headwinds going forward.