Mining and resources investor Starvest plc (LON:SVE) almost doubled in value today after it praised the performance of one of its investee companies, Ariana Resources plc (LON:AAU).
Ariana has recently updated the markets with several pieces of “positive news”, Starvest said, as it moves from gold explorer to gold producer.
The investor said Ariana’s flagship Kiziltepe mine has scheduled annual production of 20,000 oz gold equivalent, while the current resource has recently been increased to more than 338,000 oz of gold equivalent.
“The team at Ariana, headed by Michael de Villiers and Dr. Kerim Sener, have worked very hard to achieve their goal of production from Kiziltepe and their recent discovery of additional mineralisation nearby supports the long term potential of the operation,” said Starvest CEO Callum Baxter.
Starvest shares jumped 82.5% to 4.11p.
A couple of the more interesting fallers came slightly higher up the food chain in the FTSE 250.
Tanzania-focused gold miner Acacia Mining PLC (LON:ACA) took its two-day loss in value to almost 40% as investors took fright at the tone coming out of the country over concentrate exports.
A ban of the export of concentrate was introduced in March, but hopes this might be lifted were dashed yesterday when the government launched a stinging attack on the miner.
The Tanzanian government accused the company of understating how much it exports by a factor of ten which sent shares in the former African Barrick 30% lower.
They were off by a further 15% today to 260.4p as brokers suggested Acacia may have to suspend production at some of its mines.
Petrofac PLC (LON:PFC) was another on the second tier to be slaughtered today
The poil services group saw around £630mln wiped from its market value after it suspended chief operating officer Marwan Chedid amid a corruption probe by the Serious Fraud Office.
Chedid’s suspension comes after the firm’s revelation earlier this month that he and chief executive, Ayman Asfari, had been arrested and questioned by police as part of the SFO's ongoing investigation of suspected bribery, corruption and money laundering related to Monaco-based oil services group Unaoil.
Shares shed almost 13% of their value when that news was first revealed and lost another 32% day, meaning the share price has almost halved in a matter of weeks.
1.40pm...European Wealth slumps on news of cash infusion
Shares in European Wealth Group Ltd (LON:EWG) slumped today after the wealth management firm as it unveiled plans to raise £9.3mln by selling shares at a “significant discount”.
The firm said two new external investors are each prepared to pump £3.1mln into the company in return for shares and representation on the board.
Additionally, the two investors have agreed to jointly underwrite an open offer that will raise a further £3.1mln.
The “significant discount” seemingly didn’t sit well with investors, with share down 29% to 32p.
After bagging a HK$390mln (£39mln) contract from the Hong Kong MTR Corporation at the start of this month, UniVision Engineering Ltd (LON:UVEL) reckons its well-placed to secure more contracts in that part of the world.
The CCTV and surveillance systems provider said it beat off several “major multinational companies” to win that contract, which stands it in good stead to win more contracts in places like China and Australasia.
On top of that, UniVision said there may be the opportunity to win “additional potential contracts” from MTR Corporation that are associated with the main agreement.
Investors obviously liked the ambition, with the share price jumping 36% to 3.22p.
Anglo Asian Mining Plc (LON:AAZ) also ticked higher on Thursday after telling investors it returned to profitability last year.
The miner swung to a profit before tax of US$6.8mln (2015: loss of US$8.9mln) on increased revenues of US$79.2mln, as its focus on copper paid off. Shares gained 5% to 18p.
9.30am...Minds + Machines on a march as it appoints US investment bank to conduct strategic review
Minds + Machines Group Limited (LON:MMX) was the top riser on the junior market after telling investors it has appointed a US investment bank to advise it after receiving informal bid approaches.
Headwaters MB will “review the various strategic options open to the company to maximise value for shareholders”, the top-level domain name specialist said in a stock exchange statement.
“The outcome of the strategic review may therefore include, but not be limited to, an acquisition by or sale/merger of the company,” it added.
Minds + Machines jumped almost 13% in early deals to 10.7p.
Healthcare communications and PR group Huntsworth PLC (LON:HNT) wasn’t too far behind, up 12% to 56.75p following a bullish trading update.
The company said trading in the first four months of 2017 had been strong, with like-for-like revenues up by more than 10% compared to the same period last year.
As a result, Hunstworth expects full year results to be ahead of current expectations and it expects this momentum to continue throughout the rest of the eyar.
Elsewhere, shares in Fevertree Drinks PLC (LON:FEVR) lost some of their fizz this morning after one of its founders cashed in a chunk of his shares.
Non-executive deputy chairman Charles Rolls sold off 4.5mln shares in the tonic maker worth almost £75mln due to “significant institutional demand”.
Rolls still has a £200mln-plus stake in the company he co-founded almost 15 years ago.
Investors always get a bit twitchy when a director sells off some of their own shares though, for fear that business may have reached its peak.
This, combined with the effect of a flood of shares hitting the market and the fact they were sold to institutions at a discount, has caused the stock to shed 4% in early deals to £16.78.
Proactive news headlines…
Minds + Machines Group Limited (LON:MMX), one of the world's leading owners and operators of internet top-level domains, said it had appointed a US investment bank to advise it after receiving informal bid approaches. Headwaters MB will “review the various strategic options open to the company to maximise value for shareholders”, MMX said in a stock exchange statement.
Canadian Overseas Petroleum Limited (LON:COPL, CVE:XOP) has unveiled plans to raise £3.25mln via a share placing at 0.5p. The proceeds will provide it with the working capital it needs as it executes on its business plan
Bacanora Minerals Ltd (LON:BCN, CVE:BCN) is to raise £7.4mln (around C$13mln) through a share subscription at 86p a share. In London trading the shares advanced 0.125p to 85.125p on the news. The funds will be used to advance the company’s Sonora lithium project in Mexico, and the Zinnwaldi lithium project in Germany.
Mobile live video streaming specialist Servision Plc (LON:SEV) has received the second half of its US$2mln financing deal agreed with Cascade. In return for the US$1mln it has received, Servision has allotted 7.11mln shares to Cascade, which works out at 11.3p a share.
cloudBuy PLC (LON:CBUY), the global provider of cloud-based eCommerce marketplaces, has drawn down the final £1.48mln of its £5.75mln loan note financing. The draw-down necessitated the issue of 535,462 convertible and 940,238 non-convertible loan notes of £1 each to Robert Sella.
European Wealth Group Limited (LON:EWG) is close to refinancing ahead of its loan note repayment obligations that are due next month. The company revealed two new external investors are each prepared to pump £3.1mln into the company in return for shares and representation on the board.
Trading in the shares of Redx Pharma Plc (LON:REDX) has been suspended after the drug discovery company was forced into administration. Liverpool City Council (LCC) has called in a £2mln loan that was made to RedX Oncology, a subsidiary of Redx, and Redx was unable to stump up the money.
Niche prescription products company Alliance Pharma plc (LON:APH) is on target to reduced its net debt to around two times underlying earnings this year. The company’s annual general meeting (AGM) statement said cash flow in the business remains strong and the company looks forward to the year ahead “with much confidence”.
Rambler Metals & Mining PLC (LON:RMM CVE:RAB) expects costs to reduce over the remainder of 2017 as production from its new Lower Footwall Zone at the Ming mine picks up. Grades were lower than expected in the latest quarter as it pushed through into the new mining area, but as more mining stopes from the LFZ come on stream ore production will rise to 1,250 tonnes per day.
Shares in Amryt Pharma PLC (LON:AMYT) were wanted early Thursday as the company released a trading update ahead of its annual general meeting (AGM). The shares rose 5.1% to 27.2p as it confirmed that substantial progress seen since it floated just over a year ago had continued into the new financial year.
Premier African Minerals Limited (LON:PREM) says it is just waiting for permit approval to start shipping wolframite concentrate from RHA to Durban following the receipt of all required permits from the relevant Zimbabwean authorities.
Lead-zinc explorer Ferrum Crescent Limited (LON:FCR) has started drilling at the Toral project in the Leon province in northwest Spain. Drilling is targeting mineralisation within 150 metres of the surface, located above the historic lead-zinc resource (originally assessed by a third party back in 2011 and 2012).
Savannah Resources Plc (LON:SAV) is setting itself up to become a substantial battery lithium producer with the acquisition of an asset near to production in Portugal. The Mina do Barroso prospect in the north of the country already has an approved Mining Plan, Environmental Impact Assessment (EIA) and a 30-year mining licence, which means that with a defined JORC resource a development decision could be made by the end of 2018.
Anglo Asian Mining Plc (LON:AAU) returned to profit and sharply reduced its outstanding debts on the back of higher copper production and a better gold price. Sales of gold ounces dropped more than 16% to 53,281 ounces as Anglo ran into lower grades at its Gedabek mine in Azerbaijan, but the average gold price it received rose by US$92 per ounce.
Canadian Overseas Petroleum Limited (LON:COPL, CVE:XOP) has unveiled plans to raise £3.25mln via a share placing at 0.5p. The proceeds will provide it with the working capital it needs as it executes on its business plan.
Minds + Machines Group Limited (LON:MMX), one of the world's leading owners and operators of internet top-level domains, said it had appointed a US investment bank to advise it after receiving informal bid approaches. Headwaters MB will “review the various strategic options open to the company to maximise value for shareholders”, MMX said in a stock exchange statement.