AQUIS STOCK EXCHANGE
Cellular medicines developer Cardiogeni (CGNI) joined Aquis on Friday and the share price slumped to 60p. The subscription share price ahead of the flotation was 147p, when £1.44m was raised. The initial market capitalisation was £125.5m. The CLXR-001 product is targeting the cardiac market, specifically coronary artery bypass grafting.
Marula Mining (MARU) revealed metallurgical testing and plant optimisation studies for the Kilifi manganese processing plant. This confirms that Kalifi can produce saleable product of up to 40% manganese with slight modifications to equipment. These modifications are underway. Marula Mining has drawn down £250,000 from its facilities with AUO Commercial Brokerage and issued 6.67 million shares at 3.75p each in consideration. Assays from copper ore samples taken from the Kinusi copper mine in Tanzania show an average grade of 21.5% copper.
KR1 (KR1) had an NAV of 77.81p/share at the end of 2024. The digital assets generated income of £946,000. The two largest holdings are in Celestia and Polkadot, which account for two-fifths of the digital asset portfolio.
Lift Global Ventures (LFT) investee company Trans-Africa Energy is in discussions with a Southern African state investor. If an investment is made it will enable the repayment of £350,000 of Lift Global Ventures’ loan. The loan has been extended to 30 April.
WeCap (WCAP) increased its direct shareholding in WeShop to 5.189 million shares or 16.2%, after the end of October 2024. WeShop plans to list in the US and its most recent share issue was at 476p/share. That would value the stake at £24.6m. Ther is also a stake in Bio2pure.
Snacks maker S-Ventures (SVEN) has published its interims to June 2024. Revenues were £8m and the loss was £500,000. Talks continue with RiverFort Global Opportunities about the sale of the operations to the AIM-quoted company in return for shares that would then be distributed to shareholders.
Mental health treatments developer Shortwave Life Sciences (PSY) reduced its interim loss from £285,000 to £115,000. Cash declined to £30,000 at the end of October 2024. A Crowdcube fundraising campaign is planned to raise cash to fund the development of the anorexia nervosa treatment.
Investment Evolution Credit (IEC) reported an interim loss of £405,000 on the back of higher overheads. The previous interim loss would have been £204,000 without one-off income. Further funding will be required to grow the lending business.
There was a £979,000 cash outflow from Ora Technology (ORA) operations in the year to July 2024. That left cash of £58,000. The carbon credits trading platform has been completed. The merger transaction with Kondor AI is continuing.
Valereum (VLRM) says that the strategic investment with DMC Markets Inc is nearing completion.
Helium Ventures (HEV) had £37,000 in cash at the end of October 2024, while net liabilities are £57,000. There are two investments: Vestigo Technologies, trading as Trackimo, and ASX-listed Blue Star Helium.
In the year to August 2024, Capital for Companies (CFCP) pre-tax profit dipped from £1.71m to £376,000, mainly due to a £1m reduction in fair value gains. Net assets are £15.2m, including cash of £1.24m. NAV/share is 82p, following the payment of a 2.1p/share dividend.
Global Connectivity (GCON) investee company Rural Broadband Solutions invested £2.54m in UK broadband provider Voneus and maintains its stake at 41%. Global Connectivity now owns 9% of Rural Broadband Solutions. Livia Meyer has raised her stake in Global Connectivity from 8.78% to 10.2%.
Eight Capital Partners (ECP) converted its 4.8% bond into shares and consolidated 4,000 shares into one new share. The shares started the week at the equivalent of 112p and ended it at 115p.
Phoenix Digital (PNIX) has secured a credit facility of up to $2m with AMINA Bank. The annual interest charge is SOFR plus eight percentage points. This will fund the business and enable it to retain its cryptocurrency investments.
ChallengerX (CXS) had a cash outflow from operations of £19,000 in the six months to December 2024. Negotiations for the acquisition of Nyce International and Virya VC continue.
Constantine Logothetis has increased his shareholding in SulNOx Group (SNOX) to 26.8%. Non-executive director Nicholas Fairfax sold 21,750 shares at 72.5p each.
BWA Group (BWAP) chairman Jonathan Wearing bought 500,000 shares at 0.5p each, taking his stake to 25.65%. Shepherd Neame (SHEP) chairman Richard Oldfield bought 7,541 shares at 517.5p each and then 42,459 shares at 519p each. DXS International (DXSP) chairman Bob Sutcliffe bought 15,000 shares at 2.9p each.
Fenikso (FNK) has received a further $418,000 in repayment of a loan to Lekoil and Gas Investments. This will go towards reducing the loan from Savannah Energy Investments, which is currently $11.7m. Fenikso also has cash and investments of more than $6.5m.
The exercise of warrants in Coinsilium (COIN) raised £41,000 at 3p/share.
ASSET MATCH
Greenshields Agri Holdings (GAH) has increased its NAV from 153p/share to 165p/share following land sales and the buyback of 3.28 million shares. The remaining land is valued conservatively. Market values for farmland are subdued following the Budget. The farming operation is being made more efficient and profitable. The rebuilding of the fire damaged renewables shed should be completed by the summer. The insurance claim is progressing. The CHP plant is likely to be replaced by battery storage or solar because of the better potential returns. There were 184,600 shares traded in the auction at 150p each.
AIM
Energy supplier and energy efficiency services provider Good Energy (GOOD) is recommending a 490p/share bid from Esyasoft. That values Good Energy at £99.4m. Esyasoft is expert in smart grid technology and is attracted to Good Energy because of its transformation into an energy-as-a-service business and the potential to roll out some of its operations, such as 49%-owned Zapmap EV apps and services, outside of the UK. Good Energy has invested a further £1.85m in ZapMap via convertible loan notes. If converted that would make it the majority shareholder. The financial backing of a larger company will help Good Energy grow faster. Major shareholder Ecotricity has committed to accepting the bid.
Medical and security technology developer Kromek (KMK) has secured multi-year agreements with Siemens Healthcare, which will produce cadmium zinc telluride (CZT) detectors for single photon emission computed tomography (SPECT) applications. Kromek will receive $37.5m over five years and the first instalment is $25m. This is a non-exclusive agreement and enables Kromek to move into profit this year. Interim revenues fell from £7.1m to £3.7m. There was £600,000 in the bank at the end of October 2024, although net debt was £11.7m. The strengthened balance sheet should at least delay any requirement for another share issue.
Futura Medical (FUM) traded in line with expectations in 2024, but US sales of erectile dysfunction product Eroxon are not growing as quickly as hoped. US distributor Haleon is refining its marketing strategy. Some European launches have been delayed. It is unclear whether the market size will be as large as anticipated. Net cash is £6.6m. That will last until late 2026.
Lords Group Trading (LORD) says weak trading in the plumbing and heating division has offset progress in the builders’ merchant division. The 2024 pre-tax profit forecast has been cut from £6.4m to £4.3m. Additional National Insurance and wage costs of £1m have contributed to a 2025 forecast reduction from £8m to £4.7m. Cavendish is optimistic of a recovery in the second half of 2025.
Fuel additives developer Quadrise (LON: QED) generated £4.5m via a placing at 3p/share, which was well above the minimum sought, and the retail offer was doubled to £2m and was still oversubscribed.
Metals One (MET1) is raising up to £5m, or £3m after costs, plus up to £100,000 from a retail offer. A convertible loan note will raise £600,000, which will be interest free, and £4.4m via a warrant instrument. There will also be a ten-for-one share consolidation – the retail offer price will then be 2p. The effective exercise of the warrant instrument depends on the consolidation and shareholder approval, plus a 24-month consulting agreement with MavDB costing £2m. The PEA for the Finland – Black Schist Ni-Cu-Co-Zn project has been published.
Franchised lettings and property sales business The Property Franchise Group (TPFG) increased 2024 revenues from £27.3m to £67.2m thanks to the contribution from Belvoir. That deal makes financial services a much bigger contributor. Further acquisitions led to the creation of a licensing division, which provides central support for a licence fee. There was organic growth in letting and sales. Pre-tax profit is expected to rise from £11.2m to £22m, but earnings will be flat with a post-merger boost coming this year.
Clinical trials manager hVIVO (HVO) is acquiring two clinical research units from Germany-based CRS for €10m. This will broaden the range of phase I and phase II trials that can be provided. Last year’s revenues were €19.9m and the acquisition should be earnings enhancing in 2026. The group order book is £67m. Year-end cash was £44.2m. hVIVO has signed a letter of intent with ILiAD Biotechnologies to conduct a large-scale phase 3 human challenge trial for a potential whooping cough vaccine, BPZE1. The trial will start in the second half of 2025. No contract value is mentioned but it should be worth more than £10m.
Kettle controls and water filtration products supplier Strix (KETL) had a strong fourth quarter and pre-tax profit was ahead of previously upgraded forecast. It is expected to be £18.4m and the 2025 estimate has been raised from £18.2m to £18.7m. Perhaps more importantly net debt was lower than expected at £68m.
Energy efficiency services provider eEnergy Group (EAAS) ended 2024 strongly with full year revenues well ahead of expectations. Even so, this has not significantly changed the forecast loss which is £500,000. This excludes the discontinued activities. Net cash is £2.3m and this should build up through cash generated from operations. The contracted order book is £7m. The company has been appointed to the NHS Commercial Solutions Sustainable Estates Framework Agreement.
Ground engineer Van Elle (VANL) reported a dip in interim revenues from £68.2m to £65.2m with underlying pre-tax profit dropping from £2.5m to £2.1m. Even so, full year pre-tax profit is expected to improve. There are already signs of improving markets. Housebuilding demand has picked up, while water and rail pending should start to rise as the latest five-year capital project period builds up.
Prospex Energy (PXEN) has received regional approval for 3D seismic at the Selva Malvezzi project in Italy. National approval is still required. The 3D seismic will identify four potential wells to be drilled. The Selva Malvezzi production concession averaged daily gas production of 79,596scm in the fourth quarter, maintaining the quarter-on-quarter growth. The weighted average price rose to €0.46/scm. Prospex Energy has a 37% interest, so its share of the revenues was Euro1.25m. Total income for 2024 was Euro3.8m.
Although Franchise Brands (FRAN) warned that growth was not quite as fast as expected in 2024 and the fixed overhead base means that pre-tax profit will be slightly lower than the expected £22.2m. Net debt has reduced to £65m and could fall to £50m by the end of 2025.
Telematics company Microlise Group (SAAS) has bounced back from its cybersecurity problems. Although 2024 revenues of £81m were slightly lower than forecast, EBITDA was ahead of expectations at £11.3m. Exceptional costs relating to the cyber attack should be reclaimed via insurance. No customers were lost. Net cash was £11.4m at the end of 2024. Annualised recurring revenues of £56.6m underpins 62% of forecast 2025 revenues.
Cleaning services provider React (REAT) grew full year revenues by 6% to £20.7m despite the ending of a rail contract because margins were going to be reduced. Pre-tax profit improved from £1.8m to £2.1m. Contract renewals are being made for larger amounts as clients take on additional services. Singer trimmed forecasts for the year to September 2025, but pre-tax profit is expected to rise to £2.8m, helped by an initial contribution from plumbing services provider Aquaflow.
Growth in the human capital management business in North America offset delays in other parts of Newmark Security (NWT) in the first half. Revenues fell 2% to £10.2m and the loss increased from £126,000 to £431,000. There is an increasing focus on recurring software revenues and that is helping to edge up overall gross margins. The second half is always stronger, and Newmark Security has built up a base in the North America to enable further growth in the region, while UK and European markets are more subdued.
Education administration software provider Tribal Group (TRB) says 2024 revenues and cash flow are ahead of expectations. Singer raised its forecast revenues by 5% to £90m, while pre-tax profit is expected to be £12m. There was £5m of legacy contract revenues that are reducing, so 2025 revenues are expected to be flat, which would mean 2025 pre-tax profit of £10.4m.
Quilvest Capital Partners is winding down its fund and has sold its 20% stake in Tortilla Mexican Grill (MEX) to Auctor Group, a technology holding company. Auctor has relevant technology expertise for the restaurant operator.
Legal services provider RBG Holdings (RBGP) has failed to secure the finance or agreement with principal creditors that would allow it to continue trading solvently. Talks continue concerning a sale of the Rosenblatt brand business. The company is going into administrations. Trading in the shares was suspended.
MAIN MARKET
Dukemount Capital (DKE) has defined its new strategy which will focus on artificial intelligence, and it is changing its name to CapAI (CPAI). All legacy issues have been addressed and there is enough cash to finance the running of the company. Accountant Sarah Davy and Marcus Yeoman, who has been on the board of AIM companies, have joined the board.
The NAV of Associated British Engineering (ASBE) fell to 18p/share in the year to September 2024. It has been unable to fund a suitable acquisition. There is £374,000 in cash. The shares are suspended, and they are likely to continue to be even though the company wants trading to recommence.
Guild Esports has changed its name to Cassell Capital (CASS).
Andrew Hore
