Greatland Gold plc (LON:GGP) took over the mantle as the London market’s biggest gainer in late afternoon trading, jumping 21% higher at 1.29p after the exploration and development company released new rock chip results from its Black Hills licence in Australia.
The miner said the results appear to roughly quadruple the strike length of gold mineralisation identified at the surface from 200 metres to around 800 metres.
On Monday, Greatland had issued a positive update on its drilling activities at the Ernest Giles project in Australia, although its shares fell as it announced that a share capital dilution will arise from the issue of shares and warrants to drilling contractor DDH1 as part-payment for work on the Havieron project in the Paterson region of Western Australia.
Staying with resource stocks, Regency Mines Plc (LON:RGM) shares gained 5% at 0.52p after it said its 47%-owned associate Mining Equity Trust (MET) has forecast revenues of US$30.5mln for the ten months to June next year.
MET has just resumed metallurgical coal production at Cedar Bluff in the Central Appalachian region in Virginia.
Elsewhere, Craneware PLC (LON:CRW) shares jumped 15.3% higher to 2,640p after reporting strong growth in full-year revenue and underlying earnings.
For the twelve months ended June 30, the hospital software systems group saw its revenue increase by 16% to US$67.1mln up from US$57.8mln in the preceding year, with adjusted underlying earnings (EBITDA) up 20% to US$21.6mln from US$18mln, and pre-tax profits ahead 12% to US$18.9mln from US$16.9mln.
And Croma Security Solutions Group PLC (LON:CSSG) shares added 5/.6% at 103p after saying it expects to report record profits for the year, supported by strong demand for its security services following a spate of terrorist attacks in the UK.
In a full year trading update, the security firm said it secured a series of new contracts in its Croma Vigilant and Croma Systems divisions amid heighten terrorism threats and concerns about public safety.
1pm: Lloyds buoyed by Berenberg rating upgrade to ‘hold’
Lloyds Banking Group PLC (LON:LLOY) was a good FTSE 100 gainer at lunchtime, up 0.6% to 59.98p buoyed by reports of an upgrade in rating from Berenberg.
Traders said the German bank’s analysts had raised their stance for the blue-chip lender to ‘hold’ from ‘sell’ while maintaining a target price of 60p.
Other FTSE 100-listed banks were also in demand, with Royal Bank of Scotland PLC (LON:RBS) adding 0.8% at 244.80p, and Barclays PLC (LON:BARC) gaining 0.7% at 178.70p.
Broker comment was negative, however, for satellites group Inmarsat Plc (LON:RBS), which shed 4.4% to 523p after analysts at RBC Capital downgraded their rating for the stock to ‘sector perform’ from ‘outperform’.
They also chopped their price target back to 650p, down from 725p previously but well above current levels as the Canadian bank suggested that US peer Echostar Corp (NASDAQ:SATS) is still interested in buying the FTSE 250-listed firm.
Over the summer, Echostar made an offer of 532p a share, which Inmarsat’s board dismissed as “very significantly” undervaluing the satellite group. The offer was withdrawn shortly after which means Echostar cannot return a new bid for six months, while RBC analyst Wilton Fry also doubts its ability to go much higher than it did before.
And Auto Trader Group PLC (LON:AUTO) lost 2.4% at 441p after UBS downgraded the FTSE 250 car retail site to ‘neutral’ from ‘buy’ following a strong performance by the share price since full-year results in June.
The Swiss bank’s analysts lifted their target price for the firm to 445p from 425p but said they see “limited catalysts short term” for the stock.
11.30am: TLA Worldwide tumbles on 2018 results warning
TLA Worldwide plc (LON:TLA) was the market’s biggest casualty in late morning trading, plunging by 41.5% to 12p after the athlete representation and sports marketing business warned that full-year results are expected to be significantly below market forecasts as it now expects to organise fewer events in 2018 than previously planned.
The AIM-listed firm, which has a baseball representation business, added that, as a result of the weak trading, it expects net debt for full-year 2018 to be significantly higher than previously anticipated and consequently is likely to breach its existing banking covenants.
As a result, the group said it is seeking to raise external financing to support its working capital requirements over the short term, and although the structure of any such fundraise is yet to be determined, the company is looking to raise proceeds in the range of US$3mln-US$5mln.
Another big faller was Velocity Composites PLC (LON:VEL), which dropped nearly 25% to 39.50p after the composite material kits supplier warned that it expects annual revenue to be lower than current market expectations due to adverse factors.
The AIM-listed group sees its revenue for the full-year ending October 31 to be £24mln, 16% higher year-on-year, but lower than analysts’ forecasts with a consequent impact on profitability at the underlying earnings EBITDA level.
The company said the adverse factors include longer lead times in customers finalising the contractual position, delays in the placing of production orders where contractual terms have been agreed, delays following requests for configuration changes by contracted customers, and in one case the loss of a programme by a customer.
And Utilitywise plc (LON:UTW) saw its shares shed 7.1%.to 26.25p as the cost management consultancy firm said the "operational and commercial impact" of a series of delays and changes in trading "was greater and more far-reaching than the board had expected".
The AIM-listed firm pointed out that this has led to a 17% drop in its closing gross order book, for the year to July 31, down to £54.7mln from £66.0mln a year earlier.
The company said its trading was affected by a series of commercial decision taken by its management to "improve the quality of the business" such as discontinuing trading with uneconomic sub-brokers and commencing a new inbound channel.
9.45am: Imaginatik jumps as discussions continue with major investor
Imaginatik Plc (LON:IMTK) was the London market’s biggest gainer in early morning trading, jumping 20% higher to 8.125p after the management software & consulting firm said it continues to be in discussions with major investor, Vin Murria to take a controlling stake in the company, likely to be at a price of 2.5p per ordinary share.
The AIM-listed firm added that it is currently seeking confirmations from certain independent shareholders in order to obtain a dispensation from the obligation for the investor to make a mandatory takeover offer on behalf on Murria - a tech entrepreneur, who owns a significant stake in broker finnCap.
The company also said that it is in the process of finalising its audited financial statements for the year ended 31 March 2018 and expects to provide a full update to shareholders on all of these matters during the first half of September
Also among the gainers, OptiBiotix Health plc (AIM: OPTI) rose 6% to 105.5p on news it has licensed out its cholesterol-lowering bacteria to an unnamed US company, which plans to use it to create a high-value pharmaceutical drug.
Financial details of the deal weren’t disclosed; however, Optibiotix said it would receive a six figure payment on the official signing of the agreement and two ‘milestone’ awards totalling seven figures.
And European Metals Holdings Limited (LON:EMH) added 13.3% at 20.25p following news the miner has commenced work on an update of the preliminary feasibility study for the Cinovec lithium and tin project in The Czech Republic.
This study will model the production of higher value lithium hydroxide, the use of which is increasing in lithium ion batteries.
Other Proactive news headlines:
Regency Mines Plc’s (LON:RGM) 47%-owned associate Mining Equity Trust (MET) has forecast revenues of US$30.5mln for the ten months to June next year. MET has just resumed metallurgical coal production at Cedar Bluff in the Central Appalachian region in Virginia.
KEFI Minerals plc (LON:KEFI) has received key development and financing policy approvals for the Tulu Kapi gold project from the Ethiopian government. Approval at the project level was received back in 2015, so these latest approvals almost complete the permitting process for Tulu Kapi.
BlueRock Diamonds PLC (LON:BRD) said kimberlite processing has begun from its KV1 pipe at the Kareevlei diamond mine in South Africa.
Redx Pharma Plc (LON:REDX) has confirmed it will restart a phase I/IIa clinical trial of its lead cancer drug in the first half of next year – but at a much reduced dose. It follows what it described as a “positive” meeting with the Medicines and Healthcare products Regulatory Agency, the drugs watchdog.
Taptica International Ltd (LON:TAP) has reported a jump in both income and profits in its half-year results as its newly acquired Tremor Video division boosted its earnings.
Internet of Things (IoT) enabler Telit Communications Plc (LON:TCM) has had a chequered past but said today its turnaround plan is on course with a return to double-digit top-line growth.
Europa Oil & Gas Holdings Plc (LON:EOG) has suffered a new disappointment in its efforts to test the Holmwood prospect, in Surrey, onshore UK. The company, in a statement, told investors that the authorities have decided not to renew the lease for the proposed operations site at Bury Hill Wood, Coldharbour Lane. It said it was informed by the Head of Estates at the Forestry Commission, who relayed the decision made by the Minister for the Environment, Food and Rural Affairs.
Union Jack Oil PLC (LON:UJO) chairman David Bramhill has downplayed the potential impact of the new planning disappoint for the Holmwood project. Bramhill said: "The potential consequences of the Minister's decision are minimal for Union Jack as it holds a balanced portfolio of ten attractive onshore licence interests in the UK, including producing assets at Keddington and Fiskerton, a development project at Wressle and a planned well at Biscathorpe to be drilled during October/November 2018."
Wealth management group European Wealth Group Limited (LON:EWG) saw further growth in funds under management and administration (FUMA) in the first half of 2018. EWG changing its name to Kingswood Holdings today.
The chief executive of Arix Bioscience Plc (LON:ARIX) is to step aside and move into a new role as part of a reshuffle of the life sciences investor’s executive management team. Joe Anderson has served as Arix’s CEO since its inception back in 2016 but will transition into his new role as chief investment officer where he will focus on new investments and work with existing group companies to build and realise value.
Mosman Oil And Gas Limited (LON:MSMN) told investors that production rates at the Welch project, in the permian basin, continue to increase. The company, in a statement, said that following well workovers in June the average gross production before royalties was reported to have increased to around 44 barrels of oil per day.
The latest batch of assay results from the A4 Dome in Botswana, held in joint venture by Metal Tiger PLC (LON:MTR) and MOD Resources Ltd (ASX:MOD), has confirmed further copper intersection. This mineralisation is just eight kilometres from the T3 project, which already boasts a sizeable resource.
Chaarat Gold Holdings Ltd (LON:CGH) has significantly increased the resource estimate for its Tulkubash oxide gold deposit in the Kyrgyz Republic.
Forestry and timber group Obtala Ltd (LON:OBT) posted a sUBStantial rise in half year revenues as its Gabon-based sawmill ramped up production. Sales in the six months to June were US$6.6mln (US$149,000) with a US$1.15mln swing to gross profits of US$347,000.
Braveheart Investment Group PLC (LON:BRH) announced that, further to its announcement dated 21 August 2018, GyroMetric’s shareholders have approved the exchange of part of Braveheart's holding in GyroMetric Systems Limited in return for the issue of ordinary shares in Strat Aero PLC (LON:AERO). Accordingly, Braveheart added, the consideration of £273,600 will be satisfied by the issue of 23,791,304 new shares in Strat Aero.
Savannah Resources Plc (LON:SAV), the AIM quoted resource development company has announced that it has successfully applied for a secondary listing of the company's ordinary shares on the Quotation Board Segment of the Open Market of the Frankfurt Stock Exchange, commencing at 9am CET, 4 September 2018.