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The Markets
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Archive

Northland Capital Partners View on the City - Venture Life Group (LON:VLG); Sunrise Resources (LON:SRES)

SECTOR: HEALTHCARE; MINING

Venture Life Group (LON:VLG)

SECTOR – HEALTHCARE

RATING – BUY*

MARKET CAP – £14.7m

CURRENT PRICE – 40p#

TARGET PRICE – 100p

ANALYST – VADIM ALEXANDRE

Year-end Dec

2016A

2017A

2018E

2019E

Revenue (£m)

14.28

16.05

17.80

19.55

EBITDA (£m)

0.80

1.86

2.35

3.16

Adj. pre-tax Profit (£m)

(1.11)

0.06

0.51

1.37

Adj. EPS (p)

(3.76)

(1.00)

0.18

2.36

DPS (p)

-

-

-

-

Net Cash/(Debt) (£m)

(5.15)

(6.32)

(5.94)

(4.51)

P/E (x)

-

-

n/a

18.6

Dividend yield (%)

-

-

-

-

EV/EBITDA (x)

26.9

12.1

9.4

6.6

SOURCE: Northland Capital Partners Limited estimates. #Priced at market close, *Northland Capital Partners Limited acts as Nomad and Joint Broker to Venture Life Group and therefore this information should be viewed as a Marketing Communication.

Lloyds Pharmacy to list UltraDEX in UK, partnering deal signed for Myco Clear™ range

NORTHLAND VIEW

  • Venture Life announced that UltraDex, the Groups’ leading oral hygiene range, will be launched in Lloyds Pharmacy in the UK from 18th June 2018. Lloyds Pharmacy is the second largest chain of pharmacies with over 1,500 sites across the UK.
  • The launch will initially bring an additional 580 new store listings for the UltraDEX Oral Rinse and UltraDEX Fresh Breath spray. Furthermore, Lloyds Pharmacy will list these products, plus the UltraDEX Toothpaste for consumer purchases online or ‘click and collect in-store’.
  • As previously announced, Superdrug, the UK’s second largest health and beauty retailer, is launching the new UltraDEX One GO™ range in 797 stores in the UK from 4th June 2018.
  • The Company also announced a new distribution deal for Myco Clear™ in Portugal with Jaba Recordati S.A., a global pharmaceutical company. Myco Clear™ is the Group’s anti-fungal product range. Launch is expected to take place by Q1 2019.

The launch of UltraDex products in Lloyds Pharmacy and Superdrug underlines the growing momentum of the brand in the UK, with store listings c.20% higher than one year ago. A television advertising campaign for UltraDex launched during Q1 2018 should further grow consumer awareness of the brand and translate into increased sales. The agreement for MycoClear™ with Jaba Recordati demonstrates the continued ability of the Group to achieve distribution agreements across their increasing brand portfolio. Venture Life already supplies a number of products to the Recordati Group.

COMPANY DESCRIPTION

Venture Life Group plc is a consumer healthcare company. The Group develops, manufactures, and commercialises self-care products which target the ageing population.

SUNRISE RESOURCES (LON:SRES)

SECTOR – MINING

RATING – CORP*

MARKET CAP – £3.3m

CURRENT PRICE – 0.16p#

ANALYST – DR RYAN D. LONG

Year-end Sept

2016A

2017A

Revenue (£m)

-

-

No forecasts provided

EBITDA (£m)

(0.4)

(0.3)

Adj. pre-tax Profit (£m)

(0.4)

(0.3)

Adj. EPS (p)

(0.04)

(0.02)

DPS (p)

-

-

Net Cash/(Debt) (£m)

0.05

0.12

P/E (x)

-

-

Dividend yield (%)

-

-

EV/EBITDA (x)

-

-

SOURCE: Northland Capital Partners Limited estimates. #Priced at prior trading day close. *Northland Capital Partners Limited Acts as Nomad and Joint Broker to Sunrise Resources and therefore this information should be viewed as a Marketing Communication.

Second Non-Binding MOU for Perlite

NORTHLAND VIEW

  • Sunrise Resources has signed a second non-binding MOU with a potential customer of future perlite sales from the CS Pozzolan-Perlite Project, located in Nevada.
  • The counterparty to the MOU is a long-established buyer of raw perlite.

Under this non-binding MOU, Sunrise Resources and the counterparty intend to negotiate an Offtake Agreement that will see the parties commit to sell/buy, respectively, the minimum annual quantity of raw perlite specified in the MOU over a specified period.

The second MOU is important for Sunrise because it means that the current value of the combined minimum annual offtake tonnages of perlite, as specified in the two MOUs, exceeds that targeted for the start-up of perlite production in the Company's internal Concept Study, giving the Company the confidence to advance the project.

COMPANY DESCRIPTION

Sunrise Resources is an exploration company focused on its 100%-owned CS Pozzolan-Perlite Project, located in Nevada

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