AQUIS STOCK EXCHANGE
Phoenix Digital (PNIX) is benefiting from the rise in cryptocurrency values. At the end of March 2024, NAV was £74.5m, equivalent to 7.38p/share. The NAV was 4.67p/share at the end of 2023. The NAV could be reduced by up to 1.1p/share due to a tax charge.
Gunsynd (GUN) has raised A$453,000 from selling shares in Charger Metals, Pacific Nickel Mines and Rincon Resources. It retains small stakes in each of the companies.
Capital for Colleagues (CFCP) investee company Bright Ascension has received £2.25m in the latest funding round. The company’s original £750,000 loan investment in the space software developer will generate interest of 10%/year.
In the six months to December 2023, video technology company Visum Technologies (VIS) lost £342,000 on revenues of £85,000. There are plans to secure further funding. Several new installations are planned, including in the US.
Cadence Minerals (KDNC) has raised £500,000 at 3p/share. The new shares come with a warrant exercisable at 5p. The cash will be invested in the Amapa iron ore project in Brazil.
Tectonic Gold (TTAU) generated an initial £84,000 in revenues in the six months to December 2023. The cash outflow from operations was reduced from £95,000 to £75,000. Net debt was £43,000. An acquisition target has been identified in Ghana.
Coinsilium Group (COIN) has launched a new series of Web3 industry reports. These will provide a greater understanding of the Web3 space and the blockchain technology underpinning it.
Brewer Adnams (ADB) says it continues to explore ways of raising funds, including a share issue or sale of freehold assets.
First York has put 12 new buses into services that feature the Equipmake (EQIP) electric powertrain. This follows a trial with a convertible prototype vehicle.
William Potts has resigned as chief investment officer of drug-based mental health treatments developer Psych Capital (PSY) but will remain as an adviser.
Tap Global Group (TAP) chairman David Hunter bought an initial 148,347 shares at 1.35p each.
AIM
Video games publisher Frontier Developments (FDEV) is trading in line with expectations before the benefit of the profit from the sale of RollerCoaster Tycoon 3 publishing rights. Those rights returned to Frontier Developments in 2018 under the original publishing agreement. The game has been generating $1.5m profit/year. Atari has acquired the rights for $7m with an initial payment of $3m. There was no value in the books for the game. This has boosted the cash position to £23.4m.
Xeros Technology (XSG) announced a fundraising late on Thursday. There has been £4.5m raised at 1.5p/share and up to £1m more could be raised via a retail offer that closes on 19 April. This will strengthen the balance sheet and provide cash to finance current contracts and commercialise the laundry technologies developer. The first royalty income could be received in the second half of 2024. EBITDA breakeven could be achieved before the end of the year.
Online gaming firm Gaming Realms (LSE: GMR) is growing revenues in Europe and North America. In 2023, revenues were 26% ahead at £23.4m with content licencing growth of 30%. Brand licencing revenues more than doubled to £1.3m, while social gaming revenues were lower despite additional spending on this part of the business. Pre-tax profit improved from £3.5m to £5.2m. There was £9.28m generated from operating activities and that more than covered the £4.63m of capitalised spending on new games and the technology platform. Net cash is £7.46m.
Strong second half trading at Cavendish Financial (CAV) meant that full year pro forma revenues grew from £50.5m to £54m. Private and public M&A activity was buoyant. There was cash of £20.8m at the end of March 2024. Annualised savings of £7m have been made with more to come.
Diagnostic tests developer genedrive (GDR) benefited from NICE’s recommendation of the CYP2C19-ID test for genotype-guided clopidogrel treatment in the NHS. It is the preferred platform for UK point-of-care testing for the management of ischemic stroke and transient ischaemic attack patients. It is advised that these patients should have a genetic test before antiplatelet treatment.
Gelion (GELN) syas the energy density testing of its lithium-sulphur battery technology shows that it far exceeds lithium-ion batteries. The 9.5 Ah pouch cell achieved an energy density of 395 Wh/kg, which 60% higher than lithium-ion batteries. This means that the batteries could be lighter and cheaper than rival technologies, as well as being made from more abundant materials, but there is some way to go to get to commercialisation. Gelion has cash of £7.5m. The share price is back above last November’s £4.4m fundraising price of 24p/share.
Redx Pharma (REDX) is the latest AIM company that has decided to leave the junior market. A plan to reverse into a Nasdaq shell fell through last year and there is limited liquidity because two shareholders own more than 84% of the company. There are already enough votes to guarantee that the proposal is passed at the general meeting on 19 April. Last October, £14.1m was raised at 26p/share. Management believes that it will be easier to raise money as a private company.
Portable oxygen technology developer Belluscura (BELL) has suffered from the distraction and delays in the acquisition of standard list shell TMT Acquisition. This delayed the launch of the DISCOV-R product until June and the acquisition of components. Manufacturing is being moved to InnoMax in China. Cash flow breakeven has been delayed until the first quarter of 2025. A line of credit is being sought to cover non-recurring expenses. There is $3m in cash at the end of March 2024. The 2024 revenues will be lower than the previous range of $16m-$19m. There will be impairment charges in the 2023 accounts.
Steppe Cement (STCM) plans to return 1.5p/share after a capital reduction is agreed by shareholders. That did not offset the disappointing trading statement from the Kazakhstan cement supplier. First quarter revenues fell from $10.8m to $8.4m due to a combination of lower sales and reduced selling price. The market decreased by 12%, but Steppe Cements market share fell from 12.7% to 11.5%.
MAIN MARKET
Pinewood Technologies (PINE) has confirmed details of the £358m cash return to shareholders. A general meeting will be held on 22 April to gain shareholder agreement to the 24.5p/share dividend and a 20-for-one share consolidation. The company retains a motor dealer software business.
Picton Property Income (PCTN) is selling Angel Gate, London for £29.6m. That is 5% higher than the valuation. This is the second largest asset in the portfolio. The cash will be used pay off a credit facility that has a higher interest rate than others. The occupancy of the remaining portfolio is 91%.
Andrew Hore
