Kitchens retailer John Lewis of Hungerford plc (LON:JLH) was cooking along nicely today after revealing that it was likely to swing to a small profit this year.
At the start of summer, John Lewis said it was “cautiously optimistic” of achieving full-year sales in line with the prior year but today’s update showed it had nothing to worry about.
Revenues for the 12 months to 31 August are expected to match the £8.2mln generated in 2016 despite the firm shutting down two stores in Tunbridge Wells and Harrogate earlier in the year.
After adjusting for the effect of those closures, JLH said it achieved underlying sales growth for the year of around 4%.
Relieved investors piled back in, sending the share price soaring by 28.8% to 1.29p.
Anglo Asian shines as Ugur gold mine starts production
Anglo Asian Mining Plc (LON:AAZ) was also shining this afternoon as it announced that production has started at the Ugur open pit gold mine in Azerbaijan.
The mine is already making “a highly significant contribution to Anglo Asian's production”, the directors told investors earlier today.
In fact, the average daily gold for the first ten days of this month was 212 ounces, which is more than double the average daily production for the previous eight months.
Anglo Asian said it expects average daily production is expected to increase further as Ugur moves into full production.
Shares in the AIM-quoted miner shot up 9.6% to 29.6p on the back of the news.
Bernstein 'sell' note knocks Travis Perkins
On the FTSE 250, builders’ merchant Travis Perkins PLC (LON:TPK) was in need of repair after its share price was knocked 3.5% lower to £14.24 following a bearish broker note.
US broker Bernstein initiated its coverage of the stock with an ‘underperform’ rating (a ‘sell’ to you and me) and set a price target of £12.40.
That’ still 15% below the current share price even after today’s slide.
12.30pm...Independent Oil & Gas flows higher as investors approve of staff changes
A raft of top-level staff changes at Independent Oil & Gas PLC (LON:IOG) was well received by the market, with junior oiler’s share price flowing 24% higher to 15.5p.
Chief financial officer Hywel John has stepped down as a director and has also resigned from the board in order to “pursue other interests”.
He has been replaced by Independent’s former commercial director James Chance, although he hasn’t been appointed as a director.
“[James] is an experienced member of the team with knowledge of the company's finances, strategy and assets and a strong track record in energy financing,” said chief executive Mark Routh.
IOG has also made a couple of “key appointments” to its Southern North Sea project team, which is where the bulk of the firm’s assets are located.
Ian Pollard has been brought in as the team’s health, safety and environment manager while Jonathan Walker will join next month as engineering manager.
Investors bail on Billing Services on gloomy outlook
Investors in Billing Services Group Limited (LON:BILL) got a nasty surprise this morning as the telecoms clearing and financial settlement product supplier warned of “challenging times ahead”.
The company saw net profits rise to US$6.2mln in the six months ended 30 June, despite revenues falling by a quarter to US$11mln.
Billing Group said it also expects second half revenues to “compare unfavourably” to last year’s numbers after its client AT&T Inc (NYSE:T) withdrew from third-party billing.
It will suffer a similar problem next year when Verizon Communications Inc (NYSE:VZ) follows AT&T’s lead.
Investors bailed on the gloomy outlook, with shares down 11% to 2.9p in mid-morning trade.
9.30am...Braveheart trades higher as value of its biotech stake set to be boosted
Braveheart Investment Group PLC (LON:BRH) was trading higher early on Wednesday morning after it told investors that its stake in a biotechnology firm is about to be worth an awful lot more.
Kirkstall Limited is looking to raise up to £2.5mln in a private placing that, if successful, would value it at £5.6mln.
Braveheart investors were excited because the AIM-listed fund manager and strategic investor originally snapped up a 43.36% interest in Kirkstall Limited for £287,000.
You can do the maths, but even if it doesn’t take part in the placing its stake in the biotech will be worth a heck of a lot more. Shares jumped 15.2% to 17.6p.
Quantum leaps higher as Clinigen makes its move
Quantum Pharma PLC (LON:QP.) was also in demand after it agreed to be taken over by fellow AIM-quoted specialty pharma Clinigen Group PLC (LON:CLIN) in a £150mln cash-plus-shares deal.
The offer, which has been recommended by Quantum to its shareholders, will see Clinigen pay out 37p in cash and 0.0405 new Clinigen shares for each Quantum share held.
Clinigen, which began discussions over a possible takeover last month, said Quantum was a “sound cultural fit” and that the acquisition would add “immediate financial benefits”.
Given that the offer values each Quantum share at 82p, the share price headed up towards that figure in early deals this morning; up 15.6% to 76.8p.
Other Proactive news headlines:
Alliance Pharma plc (LON:APH) is “strategically positioned for growth” following last year’s acquisition of the healthcare assets Sinclair Pharma, according to chairman Andrew Smith. His assessment was made alongside interim results, which showed revenue up 8% at £50.3mln and underlying earnings (EBITDA) ahead 3% at £13.6mln in the six months to June 30.
Daily gold production more than doubles at Anglo Asian Mining Plc (LON:AAZ) as the Ugur open pit mine commences production.
ANGLE PLC (LON:AGL) has signed an option agreement over an advance that may open a “whole new area of cancer diagnostics”. The deal is with the Barts Cancer Institute and focuses on the breakthrough made by its researchers in determining the role of megakaryocytes.
Cancer-focused immunotherapy developer Scancell Holdings Plc (LON:SCLP) is looking to bring on board one or more partners to help take its ImmunoBody and Moditope platforms to the next stage As of 30 April, the company had £2.7mln in the bank and it expects the coffers to need topping up as it prepares for a phase II trial of its SCIB1 skin cancer treatment over in the US.
Trinidad-based oiler Columbus Energy Resources PLC (LON:CERP) expects to become cash flow positive by the end of 2017 following the start of a waterflood programme at the Goudron field. The company, formerly known as LGO Energy, received a permit to start the programme yesterday and expects production to rise to 550 barrels per day by the end of 2017 and to 900bpd by mid-2018.
OptioBiotix Health PLC (LON:OPTI) is planning to hook-up with Bened Biomedical of Taiwan to explore licensing and sales opportunities over the next 12 months. The partnership would see OptiBiotix expand its product suite to include psychobiotics, where gut bacteria communicates with the brain to affect behaviour and bodily responses.
Katoro Gold PLC (LON:KAT) has announced that the Tanzanian National Environmental Management Council has issued a registration letter for the environmental impact study (ESIA) at the company's Imweru Project. The AIM-listed gold exploration and development company said receipt of the registration letter confirms successful completion of Phase 1 of the ESIA and permission to continue with Phase 2, which has already commenced.
Shares in portfolio analytics provider StatPro Group PLC (LON:SOG) opened higher after it announced a contract extension with a large European asset manager.
Range Resources PLC (LON:RRS) has spudded its QUN 161 development well in Trinidad. The well, on the Morne Diablo field, will go down to a depth of 2,200 feet, which is scheduled to take two weeks to reach, and target the Lower Forest and Upper Cruse horizons.
Chariot Oil & Gas PLC (LON:CHAR) told investors that as it awaits the start of drilling at the Rabat Deep exploration prospect, due in early 2018, the near-term focus is on efforts to strike new partnerships for other priority projects.
Vast Resources PLC (LON:VAST) told investors it expects the deal for the Baita Plai mine, in Romania, to be completed later this month and, in the meantime, it has arranged a US$1.68mln short-term bridging loan.
Landore Resources Ltd (LON:LND) told investors it has entered into a debt settlement agreement in Canada with Lamaune Iron Inc. The deal sees Landore will receive more than 576mln new shares in Lamaune in full satisfaction of the loan provided by Landore. It will mean that Landore will own just over 90% of Lamaune.
Alluvial diamond miner Golden Saint Resources PLC (LON:GSR) has raised £614,000 to fund its rejuvenation under new chief executive Pierre Fourie. Proceeds will go towards strengthening the alluvial bulk sampling operations and also to explore new business opportunities for the company, it said.