AQUIS STOCK EXCHANGE
Fully listed Associated British Foods (ABF) has launched a recommended bid for National Milk Records (LNMRP). The 215p a share bid values the milk payment testing company at £48m. The share price jumped 77.4% to 204p. has not been as high as this since 2009. The previous peak was in 2019. The business will be integrated with AB Agri.
Brewer and pubs operator Adnams (ADB) grew beer volumes by 2.7% in 2022. The low and no alcohol sector is growing in importance. Revenues improved from £57.4m to £64.2m, but the loss increased from £1.39m to £2.29m. NAV improved to £25.5m because there is no longer a pension liability. Net debt is £13.9m.
Invinity Energy Systems (IES) is deploying a 1.2MWh first prototype of next generation vanadium flow battery product called Mistral in Canada. Mistral is being jointly developed with Gamesa.
House builder St Mark Homes (SMAP) reported an increased loss in 2022. Revenues jumped from £259,000 to £559,000, but admin expenses more than trebled. The loss from joint ventures soared from £37,000 to £731,000. The pre-tax loss increased from £105,000 to £1.47m. Net assets fell to £3.7m. The focus is completing the projects in Sutton and Finchley. Future developments are likely to be family housing rather than apartments.
In the year to March 2023, Gledhow Investments (GDH) made a £94,000 loss due to significant reductions in the value of investments in its portfolio. There was net cash of £339,000 at the end of March 2023. NAV fell from £2.37m to £1.6m.
Unigel Group (UNX) has declared a 2.5p a share final dividend. In the period to the end of 2022, revenues were £18.8m and pre-tax profit was £442,000.
Secured Property Developments (SPD) reported interim and full year results for 2022. NAV was £369,000 at the end of the year, including £383,000 in cash.
Gunsynd (GUN) investee company Aberdeen Minerals has completed the first phase of drilling at the Arthrath nickel, copper and cobalt project in Aberdeenshire. The results validate previous data from 50 years ago. All the holes intersected nickel, copper and cobalt. Gunsynd invested £150,000 at 7.5p a share.
Marula Mining (MARU) has appointed Tokkas Van Heerden as chief operating officer ahead of a move to AIM. He has been working at the company for one year and will manage the operations in Africa.
Fenikso Ltd (FNK) has received a further $644,000 of the money owed as part of the Fenikso restructuring. At the end of 2022, NAV was $19.5m.
SuperSeed Capital (WWW) managing partner Mads Jensen bought 39,000 shares at an average price of 74p each.
AIM
Footwear retailer Shoe Zone (SHOE) says trading was strong in May and early June and it expects to exceed expectations this year. There was early demand for summer products, which could just be a change in timing of buying. There were also lower transport costs that helped to improve margins. The profit for the year to 2 October 2023 should be at least £10.5m.
The latest trading statement from NWF (NWF) sparked a 9% upgrade in 2022-23 pre-tax profit forecast to £19m, which is 42% higher than the figure in March. That is still lower than the £20.9m made in the previous year, but that was boosted by the sharp rise in oil prices. Even so, the fuels business had a strong second half.
Mineral sands project developer Capital Metals (CMET) was sent a notice of cancellation for the Industrial Mining Licences for the Eastern Minerals project by the Sri Lankan Geological Survey and Mines Bureau (GSMB), which claims that certain licence conditions have not been complied with. The licences were suspended in December and all mining activities were halted. The GSMB is currently being investigated by a Sri Lankan parliamentary committee because of criticism of its actions and inaccurate guidance.
Barryroe Offshore Energy (BEY) warns that has around three weeks of working capital left after announcing it is no longer proceeding with the previously announced placing and open offer following the Irish government’s refusal to grant the lease for the SEL 1/11. The company is seeking additional cash for working capital, but if it is unsuccessful then it will probably have to go into liquidation. Trading in the shares is likely to be suspended on 3 July because the 2022 accounts will not be published by then.
Indian port operator Mercantile Ports and Logistics Ltd (MPL) raised £8.9m from a placing and subscription at 3p a share from investors including existing substantial shareholder Hunch Ventures and Investment Private Ltd. A retail offer could raise up to £1.2m at 3p a share and will be open until 4.30pm on 12 June. The minimum subscription is £250. This cash will strengthen the balance sheet and put management in a stronger position when it is renegotiating its debt facilities.
Graphene technology developer Versarien (VRS) reported a higher interim loss of £3.4m on lower revenues. There was cash of £760,000 at the end of March 2023 with £530,000 added since then. However, the cash outflow from operating activities in the past six months was £1.83m, so that needs to be stemmed. Total Carbide and AAC Cyroma could be sold. The share price slipped 29.3% to 3.325p.
Barkby (BARK) investee company Cambridge Sleep Sciences has granted a five-year licence to Sleep Sense International, which will use the SleepEngine platform to manufacture a Smart Pillow. SleepEngine is an audio product that retrains the brain to restore healthy sleep patterns. The exclusive rights to the pillow market is based on a minimum order quantity of 25,000 units in the first 12 months, which should generate £1.25m. Revenues could reach £3m in the second year.
Fire safety products developer LifeSafe Holdings (LIFS) continues to outperform revenue expectations. In the first four months sales are treble the same time last year and 15% ahead of management estimates. The 5 in 1 consumer extinguisher product has helped to accelerate growth in the US. LifeSafe could be cash flow positive by the end of the year.
MAIN MARKET
Galliford Try (GFRD) has settled a long-running contract dispute and this is enabling the construction company to pay a special dividend of 12p a share. The settlement covers three contracts with an infrastructure fund, and it means that Galliford Try will receive £26m in cash. However, there will be a £3m non-cash write-off relating to the settlement.
Pay day loans company Amigo Holdings (AMGO) has received an approach from financier and shareholder Michael Fleming. He wants to attempt to explore possible debt funding for the business. There is no certainty that the search for new funding will be successful. Amigo will continue to sell assets.
Andrew Hore
