AQUIS STOCK EXCHANGE
Ora Technology (LON: ORA) raised £835,000 at 2p/share when it joined Aquis. The share price has doubled to 4p. Ora Technology is developing a carbon credits trading platform called Ora Carbon. This will trade carbon credits on the voluntary carbon markets. The carbon credits will be bought, sold and retired. This will be offered to retail and institutional investors. Revenues will come from transaction fees and project introduction fees. There are plans to offer a white label B2B version for fintech companies, which would not compete with Ora Technology. Additional products and services will be developed.
Chapel Down Group (CDGP) says interim sales grew 21% to £8.37m with particularly strong growth for sparkling wine. Market share is being gained and there should be a strong harvest this year.
Arbuthnot Banking Group (ARBB) says that higher interest rates and focus on specialist lending are helping with the profit improvement. Credit risk is being tightened and loan growth has been slower than expected. Pre-tax profit improved from £3.4m to £26.4m, which is more than three-fifths of the full year forecast of £43m. Rises in deposit interest rates will catch up with lending rates in the second half. The interim dividend is raised from 17p/share to 19p/share.
Western Selection (WESP) has sold its stake in AIM-quoted Kinovo (LON: KINO). There were 3.68 million shares sold at 40p each.
Valereum (VLRM) has agreed a revised timetable for the acquisition of the Gibraltar Stock Exchange. The payment for the second tranche will be £750,00 and the extended closure date is 31 August.
SulNOx Group (SNOX) has secured a new shipping trial with Teekay and Forecast Technologies, which is owned by a New York Stock Exchange listed company, for its SulNOxEco Fuel Conditioner.
Invinity Energy Systems (IES) expects to recognise income of at least £13m in the first half of 2023. There is a significant order book.
Wishbone Gold (WSBN) says that the gravity survey of the Cottesloe project has defined a base metal anomaly of 2.5km with anomalous rockchip and soil results extending the strike to 8km.
NFT Investments (NFT) has cancelled its share premium, and this will enable the proposed tenders offer to go ahead.
Oberon Investments (OBE) is acquiring Nexus Investment Management, the manager of Nexus Investments Evergreen EIS Scale-Up Fund. This is subject to FCA approval. The payment is 7.5 million Oberon shares. This business will make a profit contribution.
Black Sea Property (BSP) is acquiring a majority stake in Grand Hotel Varna, which owns three hotels and a beach marina resort, plus a mutual fund portfolio. The final payment for ECDC has been received. The cost of the acquisition is €28m in cash and more money will be raised.
Quantum Exponential (QBIT) has built up a portfolio of seven quantum computing technology investments. There is a strong pipeline of potential investments.
AIM
Revolution Beauty (LON: REVB) has confirmed the withdrawal of general meeting requisition by boohoo (LON: BOO). Bob Holt and Derek Zissman have left the board, but Elizabeth Lake will remain as finance director – boohoo was trying to remove her. Alistair McGeorge (as executive chairman), Neil Catto, Rachel Horsefield and Peter Hallett. That takes the number of board members to eight. Bob Holt, who will continue to run the business until the end of August, and Elizabeth Lake have exercised options. Bob Holt acquired 5.68 million shares and sold 2.56 million to boohoo, while Elizabeth Lake bought exercised 2.84 million options and sold 1.34 million to boohoo – the selling price is 32.625p/share. The audit of the 2022-23 results should be achieved by the end of August.
Pelatro (LON: PTRO) says a customer owing $550,000 will not be paying on time. There are other receivables which are delayed, and the total is $1.1m out of group receivables of $4.2m. For some customers this is due to waiting for government approval for payments to a foreign entity, but there are disputes with firms in Nepal and Myanmar that owe $375,000. There was $700,00 in the bank at the end of June 2023, but more finance is likely to be required before the end of the year.
Asset manager Gresham House (GHE) is recommending a 1105p/share cash bid from financial services business Searchlight Capital Partners. That values the company at £440.6m. When it moved from the Main Market on 1 December 2014, Gresham House was valued at £26.5m at 227.5p/share. Gresham House’s sustainable asset investment expertise is an attraction to the bidder, as is the management team.
Sportech (SPO) completed a one-for-10,000 share consolidation followed by a 1,000 for one share split – which reduces the number of shareholders by 97%. Sportech is paying a 35p/share special dividend to shareholders out of the proceeds of disposals. The shares go ex-dividend on 27 July. Sportech runs sports bars and other betting venues in Connecticut, US, and has an agreement with the Connecticut Lottery Corporation to provide retail sports betting.
Seaweed-based animal feed supplements producer Ocean Harvest Technology (LON: OHT) increased interim revenues to €1.6m and says it is on course for 2023 revenues of €4.3m. New customers are trialling the OceanFeed supplements with large potential customers that could individually generate more than €3m in revenues. More than 20 potential customers are trialling the products, which augurs well for future growth. New sources of seaweed varieties are being secured to satisfy demand. Gross margins are improving. The April flotation price was 16p and after going to a premium the share price has drifted downwards.
The timing of transactions remains a concern for Watkin Jones (WJG) and full year profit will be lower than expected even before impairment charges. Institutional investment in student accommodation and build-to-rent properties has slowed. Transactions that were expected to be completed by September may fall into next year. Non-core assets may be sold and that is why there is a £10m impairment charge. Watkin Jones was forecast to make a pre-tax profit of £25.1m this year, but this has been downgraded to breakeven. There could also be a £35m provision for remedial work on past properties.
OptiBiotix Health (OPTI) updated the market on its SweetBiotix sweeteners products, which do not have the health concerns of rival sweeteners. They have a low glycemic index and enhance the gut microbiome. Manufacturing is being scaled up and product is being tested for consistency and shelf life. OptiBiotix Health says that well-known consumer brands like Kellogg’s, Nestle and Coca Cola are interested in SweetBiotix. These multinational brands would not allow themselves to be mentioned if they were not strongly considering the use of SweetBiotix.
Telecoms equipment manufacturer Filtronic (FTC) has secured a low earth orbit satellite communications market contract worth £3.2m for a European Space Agency programme for 5G/6G sustainable connectivity. Filtronic will develop mmWave products to enable connection between satellite to receiving ground stations.
Battery technology developer AMTE Power (LON: AMTE) shares continue to fall. Discussions with finance providers and investors continue, but there needs to be additional debt or equity finance in the next few days. If no cash is raised, then the company will have to go into administration and there is unlikely to be anything left for shareholders.
Main Market
Babcock International (BAB) increased its full year revenues by 10% and sharply improved its margins. There are still plenty of exceptionals and provisions in the figures of the marine and aerospace company, though. In the year to March 2023, revenues improved from £4.1bn to £4.44bn. Underlying operating profit declined from £237.7m to £177.9m, which includes a £100m provision for the loss on the construction of Type 31 navy ships.
It appears that the bid for motor dealer Lookers (LOOK) will not go ahead because some shareholders have withdrawn their intention to vote in favour on 27 July. There are enough shareholders to block the scheme of arrangement, so Lookers will then remain independent.
Andrew Hore
