Eden Research plc (LON:EDEN) shares were 11.90% higher to 11.75p in afternoon trading after saying it has signed a multiple commercial agreements with Sipcam SpA, which at the same time bought a stake in the agri-biotech firm.
Eden has granted its partner Sipcam the right to exclusively distribute its 3AEY product, used to protect grapes from botrytis disease, in Italy, Spain and Australia. Existing licence agreements with Sipcam, covering Italy and Spain, will be terminated and replaced with the new distribution agreements.
Sean Smith, chief executive of Eden, said: "The move from a licensing relationship to a distribution model in Italy and Spain is in line with management's announced strategy and will allow Eden to generate greater returns for the Company and its shareholders which will, in turn, enable us to build the business at an increased pace. In the short term, we will also be expanding this relationship to include Australia, the world's fifth largest producer of wine. “
Sipcam has also bought 9.9% of Eden’s enlarged share capital in a fundraising.
Eden raised £2.4mln through the subscription of shares for 20,494,330 new ordinary shares of 1p each in the company and an institutional placing of 1,915,888 new ordinary shares, both at a price of 10.7p each.
SerVision tanks on wider loss
SerVision plc (LON:SEV) shares tanked 34.62% to 2.125p after the manufacturer of digital security systems reported a wider full year loss and a drop in revenue.
The loss before tax for the year ended 31 December 2016 was US$3.05mln, compared to US$2.5mln the previous year, as it cut selling prices to boost demand in the UK public transportation market. Revenue dipped to US$2.14mln from US$2.15mln as the group received pre-payments for which have been recognised in 2017.
ECSC shares drop as it cuts 2017 revenue guidance
ECSC Group plc shares declined 31.11% to 310p as the provider of cyber security services said 2017 revenue will be lower than originally expected.
This is due to delays in the conversion its sales pipeline into reported revenue, the group said.
ECSC said the delays have resulted in consulting revenues” falling six weeks behind the originally anticipated growth curve and managed services wins falling behind slightly longer”.
Hayward Tyler gains on merger with Avingtrans
Hayward Tyler Group PLC (LON:HAYT) shares increased 7.78% to 48.50p as it agreed terms of an all-share merger with fellow AIM-listed engineer Avingtrans (LON:AVG).
The offer values Hayward at 51.6p per share and a premium of around 36% to the price when talks first got underway at the end of March.
11.51am : Fastjet makes steady progress on turnaround
Shares in budget African airline, fastjet, flew higher after saying it has made “steady progress” with its turnaround efforts.
The company expects to stop burning cash by the end of this year on the back of cost cuts and operational improvements.
In an effort to cut costs, the fastjet has moved towards a smaller fleet and relocated its headquarters to Johannesburg from London.
The group has also bought the intellectual property rights to the brand from easyJet founder Sir Stelios Haji-Ioannou, who established fastjet in 2012. The deal will cost fastjet US$2.5mln, which is less than it would have had to pay for the licence over the next five years. Shares rose 15.15% to 19.0p.
Uvenco UK gains as it swings to profit
Uvenco UK plc (LON:UVEN) shares gained 17.56% to 5.0p after the vending machine operator swung to a full year profit.
The group achieved a profit before tax of £421,000 in the year to 31 March 2017, compared to a loss of £3.6mln the previous year, on the back of a successful turnaround, improved gross margins and reduced overheads.
Hurricane Energy and Shanta Gold shares decline
Hurricane Energy plc (LON:HUR) shares fell 12.16% to 32.50p after announcing a US$520mln equity and debt raise. The company said the proceeds will be used to fund capital expenditure for the early production at the Lancaster field, West of Shetland.
Shanta Gold Limited (LON:SHG) slid 9.30% to 4.88p following the publication of draft legislation in Tanzania proposing changes to legislation over the natural resources sector. The proposals will be debated in an extended parliamentary session. A new Finance Act has already been approved, which imposes a 1% clearing fee on the value of all minerals exported from the country. Shanta is seeking advice about the impact of the proposed changes.
09.22am: Proxama plummets on fundraise
Proxama PLC (LON:PROX) shares plunged 65.52% to 0.05p after the mobile commerce company said it will raise about £5.4mln in a highly discounted share placement and open offer of 17.65bn shares.
The shares in the placing have been priced at 0.03p, an 80% discount to Proxama’s closing price of 0.15p yesterday.
Chief executive John Kennedy said the proposed fundraising will help the company cut debt as it transitions to being a mobile data and location intelligence business.
The group needs to raise a minimum of £3.1mln but if it doesn’t achieve that through the placing and open offer it will find other ways to raise the funds.
Proceeds of the fundraising will be used to settle its £2.5mln loan with Barclays plc (LON:BARC) through a combination of cash and share warrants.
Game Digital under the cosh on profit warning
Shares in Game Digital PLC (LON:GMD) plummeted 28.78% to 23.50p after it warned that full-year profits are likely to come in “substantially below previous expectations” as challenging trading conditions in its key UK market have shown no signs of relenting.
The high street retailer expected the going to be tough in the second half of this year, but said that the “continued softness” in PlayStation and Xbox sales has impacted its performance.
China New Energy gains on return to profit
China New Energy Ltd (LON:CNEL), supplier of engineering and technology to the bioenergy sector, saw its share price edge up 13.56% to 1.675p as it returned to profit in 2016.
Gross profit for the year was r27mln in the year to 31 December 2016, compared to a loss of r25.6mln the prior year, while revenue jumped to r78.6mln from r9.2mln.
The company said the return to profitability was boosted by contracts in new markets and with existing clients.
Intelligent Energy shares rise as it narrows first half loss
Intelligent Energy Holdings plc (LON:IEH) shares rose 16.0% to 8.70p as the energy technology group reported a narrowed first half loss.
The adjusted underlying loss (EBITDA) in the six months to 31 March 2017 to £9.1mln , slightly better than its expectations for a £9.0mln loss and down from the £21.6mln loss reported the same time a year ago. The company attributed the reduction in losses to its restructuring efforts since May 2016. Revenue, however, fell to £18.7mln from £43.9mln, due to the termination of a contract in its essential energy division.
Proactive news headlines...
Hurricane Energy Plc (LON:HUR) may be raising over half a billion dollars of new capital, but that doesn’t mean a tie-up with a major international oil firm is off the table. The launch of a US$520mln equity and debt raise is a huge statement of intent from Hurricane.
Hayward Tyler PLC (LON:HAYT) has agreed terms of an all-share merger with fellow AIM-listed engineer Avingtrans (LON:AVG). The offer values Hayward at 51.6p per share and a premium of around 36% to the price when talks first got underway at the end of March.
Nigeria–focused oil group San Leon Energy PLC (LON:SLE) has received a cash bid worth between 67-76p from a Chinese LNG firm, China Great United. The offer is conditional on due diligence and a final decision is expected within the next 45 days, though CGU added there was no certainty it would make an offer.
Hurricane Energy Plc (LON:HUR) has launched a US$520mln, comprising a US$300mln share placing and US$220mln convertible bond. The new capital will finance the UK offshore moves Hurricane closer to producing from the large, undeveloped Lancaster oil field, in the West of Shetland region.
Azerbaijan-focused Anglo Asian Mining Plc’s (LON:AAZ) focus this year will be extensive exploration and production optimisation at the main open pit at Gedabek and the Gadir underground mines. Production is also sent to start at the newly discovered Ugur gold ore body, chief executive Reza Vahiri told shareholders at its annual meeting.
It’s the end of the AIM road for Gemfields PLC (LON:GEM) and its investors after the ruby and emerald miner applied to cancel its listing on the junior market. At the request of new majority owner Pallinghurst – which now owns more than 75% of Gemfields – the miner’s AIM shares will be cancelled on 28 July.
Commercial passenger aircraft leasing specialist Avation PLC (LON:AVAP) has estimated that its revenues for the past 12 months will come in at US$94mln – a 32% year-on-year rise and in-line with expectations. Those numbers are unaudited, it must be said, but London-listed Avation said it has a 0.5% margin for error.
ECR Minerals PLC (LON:ECR) has unveiled its latest six month report, at a time when it has restarted drilling. "In the past few weeks, the company has completed an initial drilling programme in the Byron area, the first of a number of targets planned for testing at its 100%-owned gold projects in Victoria, Australia," it said.
Shanta Gold Limited (LON:SHG) has told investors it will seek advice after the Tanzanian government approved a new law that will impose a 1% clearing fee on all mineral exports from the east African country. Under the new Finance Act, the government will also set up clearing houses at international airports, mines and border points where the value of shipments will be officially verified.
Sula Iron & Gold PLC (LON:SULA) is convinced of the gold potential at its Ferensola project where drilling is ongoing, it said in its latest half year results. The current Phase 3 drill programme is now fully financed. The 5,000m programme is continuing apace, with both drill rigs working two shifts per day as we look to complete the programme before the onset of the rains, which are expected to commence in mid-July," the firm said in the statement.
The new planning application for the Wressle onshore oil field will be considered by North Lincolnshire County Council’s Planning Committee on Monday (July 3). The current proposal has the backing of the local authority’s planning department.
Natural resources investment group Metal Tiger PLC (LON:MTR) made good progress in 2016 and saw its net asset value grow 389% to around £7.4mln. Notably, its interests in Thailand and Botswana grew substantially and its investments in Direct Equities yielded strong results, it said.
Small businesses in Cornwall are to be offered a superfast broadband connection through a new venture between remote wi-fi specialist Satellite Solutions Worldwide Group PLC (LON:SAT) teamed up with satellite operator Avanti Communications PLC (LON:AVN).
Emerging markets fund manger APQ Global (LON:APQ) expects lots of opportunities this year in the wake of the election Donald Trump as US President and a more hawkish US Federal Reserve. “Trump’s expansive tax policy and ambitious infrastructure plans will almost certainly increase the United States’ fiscal deficit and public debt, the effects of which will be felt globally, said Wayne Bulpitt, APQ’s chairman.