Home » Posts tagged 'vtu'
Tag Archives: vtu
Quoted Micro 21 October 2024
AQUIS STOCK EXCHANGE
ProBiotix Health (PBX) has sent out a circular for the requisitioned general meeting on 1 November. The meeting has been requisitioned by Seneca Partners and related investors that hold 5.46% in total. Seneca Partners is also an investor in AIM-quoted OptiBiotix Health (LON: OPTI), which is also unhappy with the current management, but a relationship agreement means that it could not requisition a general meeting. OptiBiotix Health and related individuals own 37.95% and will vote in favour of the resolutions. ProBiotix Health wants to block these shares from being voted. The first resolution is to remove the chief executive Steen Andersen and the second is to remove non-exec Frederik Bruhn-Petersen, whose firm recently subscribed for shares, a funding that OptiBiotix Health was unhappy about. Seneca Partners and OptiBiotix Health are also unhappy that the chief executive wanted to leave the Aquis Stock Exchange.
Marula Mining (MARU) is finalising negotiations to establish a new joint venture with a Chinese battery manufacturer and lithium offtake partner at the Blesburg lithium and tantalum mine. This would be for a lithium acid leaching processing plant, which could be commissioned by next summer. This will use spodumene from the mine and could produce 2,000 tonnes of high-grade lithium product each year. A subscription of £750,000, which comes through the issue of 15 million shares at 5p each via the AUO Commercial Brokerage LLC subscription agreement, will be used to fund the installation of an ore sorter at Blesburg and the costs of other projects. Gathoni Muchai Investments, where Marula Mining board member Jason Brewer is a director, bought 430,000 shares at 5.96p each.
At the end of the three months to September 2024, Arbuthnot Banking (ARBB) customer deposit balances were £3.8bn and customer loans £2.5bn. Funds under management and administration have grown 18% to more than £2bn in the nine months to September 2024. Arbuthnot Banking has completed its move to new offices in the City of London. Management is assessing the proposed new capital rules and deciding if strategy changes will be required. The Budget could also affect strategy.
Substrate Artificial Intelligence (SAI) intends to leave the Aquis Stock Exchange, although it will remain on the BME growth market in Spain. The cancellation of trading on Aquis will happen on 15 November.
Invinity Energy Systems (IES) is extending the expiry date of the 8.67 million options, exercisable at 175p/share, held by Gamesa Electric to 10 May 2025. Employee share options will be extended until 21 November 2029.
Mendell Helium (MDH) has agreed to sell its plant-based health and wellness business to Orsus Therapeutics, which will leave the seller with a 28% stake plus six million warrants in the buyer. This is conditional on shareholder approval. The Orsus Therapeutics shares may be distributed to Mendell Helium shareholders. Mendell Helium has an option to acquire Kansas-focused M3 Helium.
Inqo Investments (INQO) has made an investment in Empower Clean Cooking. Uganda-based Empower produces biomass pellets for cooking fuel.
Vehicle electrification technology developer Equipmake (EQIP) is supplying its zero emission drivetrain for use in Textron Safeaero 220 airside de-icing vehicles. There were successful trials earlier in the year.
Former Made Tech (MTEC) finance director Deborah Lovegrove has taken on the same role at All Things Considered (ATC).
AIM
Pulsar Helium Inc (PLSR) shares were already trading on TSX-V and the OTCQB Venture Market and the additional cash raised by coming to AIM on 18 October and raising £3.875m at 25p/share. This will fund further exploration in of the Topaz helium project in northern Minnesota, close to the Canadian border. So far, an appraisal well has been drilled and this confirmed the presence of helium. This will be drilled deeper. There were 1.47 million shares traded on the first day. Having opened on 29p the shares closed the day at 27.5p.
Mothercare (MTC) shares returned from suspension following the 2023-24 results publication and refinancing. There is a new £8m two-year loan facility from Gordon Brothers, which receives 43.4 million warrants exercisable at 8.5p/share. There is also a joint venture with Reliance Brands, which will acquire 51% for £16m, covering the Indian sub-continent. In the year to March 2024, underlying pre-tax profit dipped from £3.4m to £3.1m. Overall revenues continue to decline, and Cavendish expects a small loss this year.
Joshua Alliance is offering 40p/share in cash for each share in N Brown Group (BWNG). The share price has not been this high since February 2023. The Alliance family and related parties already own 53.4% of N Brown. The bid values the fashion brands company at £191m. The chief executive and finance director of N Brown will elect for a share alternative.
Motor dealer Vertu Motors (VTU) had a strong September sales period, and it continues to outperform the sector, particularly in electric vehicle sales. Strong aftersales business and a stabilised second hand car market means that the outlook is positive. In the six months to August 2024, revenues were 3% ahead at £2.49bn. Full year revenues are expected to be flat and pre-tax profit slightly higher at £38m. NAV of 112.8p/share is forecast. A further £3m share buy back is planned.
Weak interior design markets, particularly in the UK, hit interim the figures of Sanderson Design Group (SDG). The timing of licensing revenues exacerbated the downturn in underlying pre-tax profit from £6.8m to £2.2m. The dividend has been reduced by one-third to 0.5p/share. Net cash fell to £9.6m at the end of July 2024.Trading continues to weaken with a 10% downturn in revenues so far in this financial year. The aftermath of the UK Budget and the US election could determine the full year outcome. Investec has reduced its pre-tax profit forecast by 8% to £7.5m, down from £12.2m last year.
Digital mental health services provider Kooth (KOO) says the State of Pennsylvania has terminated its contract with the AIM company. The contract started on 11 October 2022 and the end date was extended from June 2024 to June 2025. However, there is a right to terminate with a 30-day notice period. Kooth says that it was negotiating a new contract, and it is unsure what the status of ongoing work will be. When it was announced, the contract was said to be worth $3m in its pilot year.
Approval for further development of the Wressle field in Lincolnshire has been revoked, because of a legal challenge that greenhouse gas emissions were not taken into account in the original decision. Union Jack Oil (UJO) has a 40% interest in the Wressle development and Europa Oil & Gas (EOG) owns 30%. A revised application for Wressle can be made with additional data on emissions. The existing production continues.
Executive search company Norman Broadbent (NBB) says third quarter revenues are 16% lower than last year at £2.7m. Even so, it was the strongest quarter of the year. September was particularly strong.
CloudCoCo (CLCO) is selling its managed IT services business for £9.2m. This will discharge liabilities, including the MXC loan notes, and leave cash of £950,000. If the sale does not go ahead management will need to consider if there is a future for the group. There are also discussions concerning the sale of the Connect business. The focus will be on the product reseller business.
Decision making software provider ActiveOps (AOM) grew first half revenues by 9% to £14.3m. Annualised recurring revenues are £26.2m. Net revenue retention is 1085. There is cash of £13.4m. Demand is being driven by organisations needing to reduce the cost base. Investment in sales will pay off next year.
Iodine supplier Iofina (IOF) is on course to meet iodine production guidance for this year. There was 163.9 metric tonnes produced in the third quarter. Iodine prices have been higher than in the first half when they were $66.84/kg.
Armadale Capital (ACP) proposes a cancellation of the AIM quotation because it believes that being public does not benefit the company because of the costs. Armadale Capital needs to reduce the cash burn and sell non-core assets. The resources company can be more flexible as a private company. A general meeting will be held on 1 November.
Emmerson (EML) says that the regional authority in Morocco have made an unfavourable environmental recommendation relating to the Khemisset potash project. The full decision is not yet available. Emmerson had previously appealed against the regional authority’s decision not to approve the project under environmental grounds.
MAIN MARKET
Online travel hostel agency Hostelworld (HSW) has moved into a net cash position and trading is in line with expectations even though there has been a small fall in revenues in the nine months to September 2024 due to lower average booking values. Direct marketing costs are down from 51% of revenues to 46%, while operating costs are also lower. Four-fifths of bookings are from social media. Capital allocation policy is being assessed.
Kitchenware retailer ProCook Group (PROC) says second quarter trading shows it is outperforming the market. Interim revenues are 8% ahead at £28.3m with like-for-like revenues 4% higher. The fastest growth is in ecommerce, helped by the relaunch on Amazon, but retail is also recovering. Higher inventory levels meant that net debt has moved up to £4.2m.
Property investor Town Centre Securities (TOWN) is no longer a REIT. That means that there is more flexibility for the business. EPRA net tangible assets slipped 2.5% to 277p/share at the end of June 2024. The loan to value ratio is 50.8%. The final dividend is 2.5p/share.
The space sector is attracting more investment and Seraphim Space Investment Trust (SSIT) will benefit. In the year to June 2024, the NAV improved from 92.9p/share to 96.2p/share, helped by share buy backs. Many of the investment portfolio are reaching maturity and Astroscale has floated on the Tokyo Stock Exchange.
Shell company Dukemount Capital (DKE) has raised £98,500 from a share issue at 0.025p/share and £51,500 from convertible loan notes with the same conversion price. Loans were previously converted into shares and £300,000 was raised earlier in the year at 0.04p/share. Th outstanding warrants are being repriced to 0.0375p. Richard Edwards has joined the board, and he owns one-quarter of the company.
Andrew Hore
Quoted Micro 12 December 2022
AQUIS STOCK EXCHANGE
Shell company Greencare Capital (GRE) is changing its investment strategy and name to MaxRS Ventures. Instead of seeking a cannabis-related acquisition, the company will try to identify opportunities that are undervalued or would benefit from being consolidated with other companies in its market. These would be technology type businesses and initially life sciences, crypto technology, impact investing and retail companies will be prioritised. The share price fell 12.3% to 25p. That valuation is still much higher than the interim net assets.
Lift Global Ventures (LFT) is asking shareholders to expand its investing strategy to include the energy sector. If this is approved, Tim Daniel and Paul Gazzard will resign as directors and they will be replaced Sandy Barblett and Roy Kelly.
Lekoil Ltd (LEK) is ending legal proceedings with Lekoil Nigeria and Olalekan Akinyanmi and it will surrender its shares in Lekoil Nigeria, which will in turn surrender its Lekoil Ltd shares. Lekoil Ltd is also waiving repayment of existing loans and lending $51.9 to Lekoil Oil and Gas Investments, which will take on certain loans granted to Lekoil Nigeria. Lekoil Ltd will change its name to Fenikso Ltd and a revised strategy will be considered. There should be some cash left after paying creditors.
Dermatology and oncology treatments developer Incanthera (INC) is continuing discussions with potential partners for its skincare formulations. There was a £267,000 cash outflow from operating activities in the six months to September 2022. There is £28,000 left in the bank.
Investment company Gunsynd (GUN) net assets fell from £6.3m to £3.85m at the end of July 2022. There was a £1.95m reduction in the value of investments and the rest relates to the costs of running the company.
Clean Invest Africa (CIA) raised £155,000 at 0.5p a share – every two shares come with a warrant exercisable at 1.5p. The share price fell 15.4% to 0.275p. Clean Invest Africa is running short of cash. Subsidiary Coaltech is finding that lead times to securing sales and deals have been longer than expected. Certain creditors owed £2.5m have agreed to subordinate that debt to other trade creditors.
Guanajuato Silver Company Ltd (GSVR) secured a $5m credit facility with Ocean Partners, which already provides a $5m facility. There will be a consolidated offtake agreement with Ocean Partners for 24 months to the end of December 2024.
BWA Group (BWAP) had £6,709 in the bank at then end of November 2022. Additional funding is still be sought. St Georges Eco-Mining Corp is seeking to convert a proportion of its loan into shares. The convertible relates to an acquisition that is subject to legal action.
Altona Rare Earths (ANR) has completed drilling within budget at the Mozambique Monte Muambe rare earths project. This will enable a maiden mineral resource estimate in the first quarter of 2023.
Ananda Developments (ANA) has published a general cannabis research round-up, including a pilot study that indicates that a cannabis-based spray can help alleviate cancer pain. Ananda points to research that suggests that an individual’s genetics could predict the effects of cannabis.
AIM
Motor dealer Vertu Motors (VTU) has announced the proposed acquisition of Helston Garages Group Ltd for £117m. This deal will be significantly earnings enhancing. Helston Garages is based in the south west of England and it has 28 outlets. This takes the group into Volvo and Ferrari for the first time. Zeus has increased its 2023-24 earnings per share forecast by 18.7% and by 24.7% for the following year when £3.2m of cost savings should be achieved.
Ashtead Technology (AT.) is buying subsea mechanical services provider Hiretech for £20m in cash. This has boosted 2023 earnings forecasts by 13%. Hiretech is already a supplier to Ashtead Technology.
Fund manager Mercia Asset Management (MERC) has acquired Frontier Development Capital for up to £9.5m. This enhances its business lending activities and brings £415m of funds under management. NAV was 46.8p a share at the end of September 2022.
Crestchic (LOAD) is recommending a 401p a share cash bid from Aggreko, which values the loadbank manufacturer and renter at £122m.
Audio equipment supplier Focusrite (LON: TUNE) edged up full year revenues thanks to positive currency movements, which was impressive given the Covid lockdown boost to demand in the previous year, but underlying pre-tax profit fell from £40.7m to £33.8m. Higher costs put pressure on margins. Asia Pacific was a particularly strong market last year. The total dividend was higher than expected at 6.1p a share. There was a positive start to the new financial year, although Focusrite will do well to maintain its profit this year.
International payments provider Equals (EQLS) says full year results will be better than expected. Canaccord Genuity has increased its 2022 pre-tax profit forecast from £10.3m to £10.8m. Last week, Equals acquired open banking platform Roqqett for up to £2.25m, subject to regulatory approval by the FCA.
Trident Royalties (TRR) is selling a portfolio of pre-production gold royalties, including Spring Hill, to Franco-Nevada for up to $15.8m – $1.25m is not payable until the Rebecca gold project goes into production. The royalties were bought for $6.5m. This leaves Trident Royalties with pro forma cash of $35m. A debt restructuring will reduce the interest charge by up to 2% and extend the facility by one year to the end of 2025.
Virtual reality and life sciences software provider Oxford Metrics (OMG) edged up revenues from £27.6m to £28.8m in the year to September 2022, but pre-tax profit decreased from £4m to £2.6m. The order book is worth £24m. The sale of Yotta left Oxford Metrics with £67.7m in cash. There is caution about acquisitions because price expectations are too high. Even so, pre-tax profit is set to rebound to £5.9m this year.
An initial contribution from Custom Power helped Solid State (SOLI) to increased interim pre-tax profit by three-fifths to £5.2m and the full year pre-tax profit could be £10.5m. There was strong growth from the components and systems divisions. There is high demand for the power products.
Automotive interiors supplier CT Automotive (CTA) has been hit by further supply chain disruption and production of new orders started later than anticipated, which has delayed profit recognition. A full year loss of $11m is forecast. A new facility has opened in Mexico, but it was later than expected. Net debt is $11.6m.
Mergers adviser K3 Capital (K3C) has received a 350p a share bid proposal from Sun European Partners.
Cote d’Ivoire-based Dekel Agri-Vision (DKL) continues to benefit from high crude palm oil prices, which is near to its highs in the local market. Crude palm oil extraction rates improved to 20.9% in November 2022, although production fell by more than two-fifths to 1,535 tonnes.
MAIN MARKET
Medicinal cannabis cultivation company Hellenic Dynamics reversed into former AIM-quoted shell UK Spac in an all share deal. Hellenic Dynamics (HELD) also raised £750,000 at 0.3p each. Hellenic Dynamics intends to operate a 195,506 square metres facility in northern Greece for the cultivation, production and export of THC-dominant strains of dried medicinal cannabis flowers and extracted oils of strains of medicinal cannabis flowers. The company has an installation/ construction licence. The company still has to obtain an operations licence in Greece so that it can sell the cannabis flowers and extract that it will produce.
Major shareholder MS Galleon has put forward three votes for the forthcoming AGM of tiles retailer Topps Tiles (TPT) through a requisition notice. It wants to remove chairman Darren Shapland and have Lidia Wolfinger and Michael Bartusiak appointed as non-executive directors. The Topps Tiles board recommends voting against the resolutions. MS Galleon holds 29.9% of Topps Tiles and it owns Cersanit, which is a major European tiles producer that wants to become a more significant supplier to Topps Tiles.
Finance provider S&U (SUS) says lending volumes have continued to be strong since the end of July. Write-downs remain relatively low and higher interest charges are offset by increased revenues. Pre-tax profit is set to decline this year, but it should still be more than £40m and total dividends could be 134.9p a share.
BATM (BVC) says a delay to a diagnostics contract will reduce the expected 2022 revenues. Shore Capital has reduced its forecast from $147m to $120m. That reduces pre-tax profit to $1.8m with a recovery to $17.4m forecast for 2023.
Bluebird Merchant Ventures (BMV) has raised £230,000 at 2p a share and this will fund the application for the temporary mountain use permits, which should be received in early 2023. There are negotiations with a streaming fund for the capital required to develop the high grade Kochang gold and silver mine in South Korea
A major 10-year contract announced by Carclo (CAR) for components for diagnostic units has been cancelled. This was expected to generate revenues of up to £15m each year. Carclo is in discussions concerning a commercial settlement, because tooling contracts have been delivered.
Full year revenues of Mears (MER) should reach £950m and pre-tax profit should be £33.5m. Net cash is likely to be more than £55m.
Andrew Hore
Quoted Micro 14 November 2022
AQUIS STOCK EXCHANGE
First quarter trading at National Milk Records (NMRP) strengthened in all areas. Revenues increased by 4% to £5.98m. There was an 82% rise in genomic testing revenues to £151,000. Milk prices are expected to remain strong. The GenoCells services, which provide farmers with genomically driven individual animal cell count analysis, will be launched in the UK and US.
OTAQ (OTAQ) has switched from the standard list to the Access segment of Aquis. The share price has held steady at 5p. OTAQ raised £3.6m at 4p a share.
Shareholders have approved the reverse takeover of TECC Capital (TEC) by EDX Medical. The shares will recommence trading on 14 November.
Guanajuato Silver Company Ltd (GSVR) has discovered a new transverse vein at the El Cubo mine in Guanajuato, Mexico. This has been named the San Luis vein. The company has been reinterpreting previous data. This vein is likely to have a higher gold component than the primary structures. Vein widths are close to one metre or above.
Property investor Ace Liberty & Stone (ALSP) has exchanged contracts to acquire Loders Service Station in Dorset for £2.08m. There is a SPAR convenience store and BP filling station. The annual rental income is £168,000 and it increases to £185,000 in 2023.
Igraine (KING) says Conduit Pharmaceuticals is reversing into Nasdaq-listed Murphy Cannon Acquisition Corp. This will provide nearly $150m of funding for Conduit. Via a 2% stake in Excalibur Medicines, Igraine has an economic interest in AZD1656, which is a potential diabetes treatment, one of the assets of Conduit. Excalibur Medicines has exclusive rights to the patents on AZD1656. Fellow Aquis-quoted company Oscillate (MUSH) has a 25.7% stake in Igraine.
Goodbody Health Ltd (GDBY) says the full year outcome will be worse than expected. Third quarter figures showed a 6% decline in revenues to £9.29m due to reductions in Covid testing revenues, while margins declined. The loss nearly doubled to £1.67m. The cost base is being reduced.
Technology investor SuperSeed Capital Ltd (WWW) has made six investments since joining Aquis. The latest is Techsembly, a SaaS e-commerce platform offering payments technology to hotel operators. NAV is 95p a share.
Electric vehicle drivetrains developer Equipmake (EQIP) says 2021-22 revenues were better than expected at £3.7m. More of the revenues are coming from commercial projects. The loss has fallen to £4.3m.
Altona Rare Earths (ANR) is drawing down £150,000 in two tranches from Align Research Investments. The interest rate is 15% and there are also warrants equal to 150% of the loan value exercisable at 12p a share.
Gunsynd (GUN) investee company Rincon Resources says a preliminary report highlights similarities between its Pokali prospect and a nearby niobium rare earth discovery.
EPE Special Opportunities (EO.P) announced net assets of 239.2p a share at the end of October 2022, down from 242.3p a share the month before.
AQRU (AQRU) has linked up with accountancy firm Sampson Fielding to offer technology-led accountancy services for institutions holding digital assets and their auditors. The brand will be Daxiom.
AIM
PayPoint (PAY) is bidding for Appreciate (LAPP) in a deal that values the prepaid vouchers and Christmas savings group at £83m – based on a PayPoint share price of 580p. The offer is 33p in cash and 0.019 of a PayPoint share for each Appreciate share. A 0.8p a share dividend will also be paid to Appreciate shareholders. The PayPoint share price has fallen to 547p, so the bid is not worth quite as much now.
Motor dealer Vertu Motors (VTU) is in talks to acquire Helston Garages Group Ltd. This would be funded by debt. The controlling party of the company is the executors of the estates of former directors David Stanley Carr and Betty Vera Carr. Helston Garages is based in south west England and has 37 dealerships, plus two used car sites. Helston Garages had net cash was £10.8m at the end of 2021 and NAV was £136.2m.
Insolvency litigation financer Manolete Partners (MANO) is generating more cash, but a write down in the values of ongoing cases meant that reported revenues were lower. That is partly due to large case being lost and the general economic conditions. More importantly, realised revenues are increasing. The interim figures reflect cases that were taken on during a period of Covid restrictions and government assistance, when insolvencies were relatively low. Insolvency numbers are increasing so opportunities will increase.
Online home moving services provider Smoove (SMV) revealed a higher loss and cash outflow in the six months to September 2022. The benefits from investments in new products, such as Smoove Start, aimed at estate agents, and Smooth Complete, which is for conveyancing lawyers, won’t show through until next year. Costs are being reduced. Smoove has announced a tender offer of up to £5m, but that will still leave plenty of cash in the bank to fund the business as it moves towards breakeven.
Biome Technologies (BIOM) increased third quarter revenues by 77% to £1.9m. Both bioplastics and radio frequency divisions grew their contributions. Even so, Biome is being more cautious about pre-commercial customer projects and full year revenue expectations have been trimmed from £6.8m to £6.29m, which is still higher than the £5.73m generated in 2021. A full year loss of £1.1m is forecast.
PCF Group (PCF) has been unable to raise money or secure a strategic transaction, so PCF Bank is withdrawing from the UK banking market. The PCF board wants shareholder approval for the cancellation of the AIM quotation.
Mobile data computing services provider Touchstar (TST) has won a £1.5m contract with a petrochemical distribution client. There will be additional recurring revenues in future years. This underpins 2022 and 2023 pre-tax profit expectations of £400,000 and £700,000 respectively.
Poolbeg Pharma (POLB) has identified multiple novel drug targets for the treatment of respiratory syncytial virus. This has been achieved within eight months with its partner OneThree Biotech. This includes known drugs with phase 1 safety and efficacy data. The best candidates should be identified by the end of the year.
Beximco Pharmaceuticals Ltd (BXP) increased 2021-22 net sales from £251.4m to £309.7m with growth coming from domestic sales and exports. However, profit after tax fell from £26.6m to £24m. No revenues are anticipated from Covid vaccines in the near-term.
Construction claims and disputes consultancy Driver Group (DRV) made an underlying loss in the year to September 2022, but management believes that the Middle East and Asian operations should return to profitability this year. Europe and the Americas remain profitable.
MAIN MARKET
Made.com (MADE) has gone into administration and PwC is handling the administration. Next (NEXT) has acquired the brand and IP.
National World (NWOR) has invested $1.25m in social-first media company The News Movement. National World hopes that this will help to attract a younger audience to its publications.
Andrew Hore
Quoted Micro 16 May 2022
AQUIS STOCK EXCHANGE
Brewer Adnams (ADB) says that trading is in line with expectation in the first four months of the year. The retail side is trading ahead of the same period in 2019. Sidney Sussex College in Cambridge has reduced its shareholding from 5.27% to 4.22%., while Michael Heald increased his stake from 18.2% to 19.3% by acquiring 3,200 B shares at 8870p each.
Silverwood Brands (SLWD) has made its first investment since joining Aquis last year. Ginger Teleporter is licenced to operate e-scooters and e-bikes in England. Silverwood Brands has subscribed for a convertible loan note of £200,000 with an interest rate of 15%. The conversion price is £28.94. Silverwood Brands directors Paul Hodgins and Andrew Gerrie are also directors of Ginger. Along with another shareholder in Ginger they have agreed to sell shares to Silverwood Brands at a nominal cost if the target valuation is less than two times the original investment.
National Milk Records (NMRP) says third quarter revenues were 4% higher at £5.63m, with all main parts of the business increasing their contribution. Health testing is growing fastest, but it is still less than one-quarter of the total. Milk purchase prices have been increased to cover higher farm costs.
Talent management and livestreaming company All Things Considered (ATC) invested $6m in a new company focused on music digitisation and blockchain technology, which has announced the acquisition of Napster.
Gunsynd (GUN) has sold 175,000 shares in Charger Metals NL, raising £93,000. It still owns 2.825 million shares.
ChallengerX (CXS) has signed a digital asset monetisation agreement with US-based online TV network FOXD. This is a five-year deal.
Hydrogen Utopia International (HUI) says it is in talks with Powerhouse Energy (PHE) about a project in Ireland.
Peterhouse Capital resigned as corporate adviser to Love Hemp (LIFE) prior to the announcement that an investor had not made the promised £1.2m subscription. A new corporate adviser is required for trading in the shares to recommence. A strategic review is ongoing, and a finance director is being sought.
AQRU (AQRU) says that its decentralised finance subsidiary has more than $50m of assets under management five months after the launch of the AQRU.io platform.
SuperSeed Capital Ltd (WWW) managing director sold 50,000 shares at 100p each. He still owns 79.6%.
EPE Special Opportunities Ltd (ESO) had net assets of 355.46p a share.
AIM
There have not been any large contract wins for telecoms billing software provider Cerillion (CER) this year, but the interims show the benefit of previous wins. In the six months to March 2022, revenues increased from £12.8m to £16.1m. Annualised recurring revenues are £9.8m. Underlying pre-tax profit jumped from £3.8m to £6.3m. The business is highly cash generative and net cash has reached £16.5m. There are no borrowings. The dividend has been raised by 24% to 2.6p a share. Although the order book has dipped from £42.1m to £39.7m it is still well above previous years. There is a weighted pipeline of prospective customer business of £35m and there is a good chance that some deals could be secured before the end of September.
Motor dealer Vertu Motors (VTU) had an exceptionally strong 2021-22 due to the delayed demand for cars due to lockdowns in the previous year. The figures were ahead of expectations. Revenues were £3.62bn, which is 18% higher than in 2019-20. Pre-tax profit jumped from £24.6m to £80.7m. The profit should more than halve this year. Supply shortages are continuing, although used car prices are set to come down over the rest of the year.
Omnichannel retail software provider itim Group (ITIM) has annual recurring revenues were £11.1m in 2021 and it has already reached £13m this year. Clients pay a monthly fee. There was a £1m pre-tax profit in 2021 and investment in growing the business means that it could halve this year. The company raised cash so that it could finance the replacement of an existing system with its own software without charging an upfront fee.
Healthcare technology investor and adviser Netscientific (NSCI) increased net assets to £18.5m at the end of 2021. There are 22 investments in the portfolio. WH Ireland has a sum of the parts valuation of 180p a share.
Trellus Health (TRLS) has changed its strategy to focus on the direct-to-consumer model and is broadening the market by including irritable bowel syndrome (IBS). Trellus Health can provide personalised care for people with chronic conditions with the initial focus inflammatory bowel disease (IBD). There should be initial revenues in 2022. Net cash is $32m and this should last more than two years as revenues build up.
Plug-in cards developer Concurrent Technologies (CNC) says component shortages held back revenues and they dipped from £21.1m to £20.5m in 2021. Even so, pre-tax profit improved from £3.7m to £4.1m thanks to lower operating expenses. Chief executive Miles Adcock joined the AIM-quoted company last June. He has reviewed strategy plans to launch new products more quickly. This year there should be eight new products – double the previous level. A manufacturing partner in the US will help the group win more business. Although there was an increased interim dividend, the total dividend for the year was unchanged at 2.55p a share.
Advanced coatings provider Hardide (HDD) is recovering but it is still some way from profit. Interim revenues were 50% ahead at £2.7m and while the loss was nearly halved it was still £771,000. Revenues for the year to September 2022 could be double the interim level, but so could the loss. Net debt was £335,000 at the end of March 2022. Overheads have fallen following the completion of the move to a new factory in the UK. Variable gross margin is 70%, so additional revenues will rapidly reduce the loss.
Further good news from NWF (NWF) thanks to the fuels business due to short-term volatility. Trading in the year to May 2022 will be significantly ahead of expectations.
Credit hire and legal services firm Anexo (ANX) increased 2021 revenues by 36% to £118.2m, while pre-tax profit was 50% ahead at £24.1m. The new housing disrepair business made a contribution, and the credit hire business is running at high levels. There is still potential upside from the VW emissions case. The total dividend is 1.5p a share.
Iodine producer Iofina (IOF) increased 2021 revenues from $29.7m to $39m and underlying pre-tax profit from $1.3m to $4.9m, even though iodine production was lower. Net debt was $3m at the end of 2021. Iodine prices remain above $60/kg. Plans are being made for additional production capacity.
Duke Royalty (DUKE) has raised a further £20m via a placing and PrimaryBid offer at 35p a share. The additional cash should enable Duke to increase its debt facility by £25m. Cenkos forecasts royalty revenues of £21.3m in the year to March 2023. That should generate enough cash for a 3p a share dividend.
Immedia Group (IME) has completed the disposal of its operating business and it is changing its name to Immediate Acquisition.
Sweden-based investor AB Traction has increased its stake ceramics and fragrance products manufacturer Portmeirion (PMP) to 5.08%.
MAIN MARKET
GS Chain (GSC) is a shell seeking a technology acquisition. It was introduced to the standard list at 1p a share. The share price opened on 13 May at 3p before ending the day at 3.625p (3.5p/4p). There is nearly £1m in cash that should last 12 months. The pro forma asset value is less than 0.18p a share.
Macfarlane (MACF) says first quarter sales and profit are ahead of the same period last year. Better packaging sales to industrial and hospitality sectors has offset weaker sales for e-commerce.
Flavours supplier Treatt (TET) grew revenues by 9% to £66.3m, although underlying pre-tax profit fell to £6.3m. Forecast revenues have been upgraded, but the profit estimate is the same due to lower margins. Orange oil prices have risen.
Andrew Hore
Quoted Micro 18 October 2021
AQUIS STOCK EXCHANGE
Good Energy (GOOD) has followed the lapsed Ecotricity bid with a nine-month trading statement saying that the renewable energy supplier is on course to meet full year expectations. Good Energy is more than 90% hedged for the next 12 months, so there is limited exposure to the current price volatility. Price rises have been implemented. The 0.75p a share interim dividend is payable on 29 November and the ex-dividend date is 21 October. Finance director Rupert Sanderson has sold 14,800 shares at 335p each, while chief executive Nigel Pocklington bought 7,500 shares at 351.666p each.
Walls and Future REIT (WAFR) is engaging with new investors so that there are buyers for the 10% of the share capital where investors are not long-term holders. This is holding back the share price and causing the high discount to NAV, according to management. The company has completed the design of its autism friendly housing.
CBD products supplier Voyager Life (VOY) generated revenues of £65,000 from incorporation to the end of September 2021. Monthly overheads are less than £50,000. There is £1.8m in the bank. New stores are opening in Edinburgh and Dundee.
Yooma Wellness Inc (YOOM) has acquired CBD products manufacturer N8 Essentials for 1.17 million shares issued at 67.3 cents a share. N8 has a 14,000 square foot manufacturing facility in Kansas. This will enable more group production to be brought in house.
Sativa Wellness (SWEL) has launched an online telemedicine service. This enables patients to follow up tests with a virtual medical consultation.
KR1 (KR1) is participating in the Kintsugi crowdloan and Kusama (KSM) parachain auction. KR1 contributed 5,000 KSM to the crowdloan.
Altona Natural Resources (ANR) has started drilling at the Monte Muambe project in Mozambique. This will improve the understanding of the geological model and test four newly identified targets.
The requisition for a general meeting at British Honey (BHC) has been withdrawn. Richard Day has been reappointed chairman and Mark Gamble as an executive director. Alex Maurice has stepped down from the board but continues to be employed by the company.
Hydro Hotel Eastbourne (HYDP) non-exec director CP Freeman has bought 800 shares at 884p each. David Evans has a 7.61% stake in Oberon Investments (OBE).
The SFO has ended its investigation into people associated with Watchstone Group (WTG) when it was known as Quindell.
AIM
Light Science Technologies (LST) is a contract electronics manufacturer and a developer of controlled environment agriculture technology, which joined AIM on 15 October. The agricultural technology being developed helps farmers to maximise crop productivity and monitor the growing environment. The company’s LED lighting range is called nurturGrow Luminaire and the nurturGROW sensor is being developed. There was £5m raised at 10p a share and the price ended the first day at 11.5p. The cash raised in the flotation will be used to expand facilities and increase marketing.
Floorcoverings manufacturer Victoria (VCP) has achieved record interim earnings. The UK has been a strong market, but Australia has been tougher. The full year outcome is likely to be ahead of expectations. Peel Hunt has upgraded its full year pre-tax profit forecast from £58.3m to £65m.
Branded furnishings and wallcoverings supplier Sanderson Design Group (SDG) improved interim pre-tax profit by 22% to £6m on a 48% increase in revenues. North American and UK sales were strong, and the manufacturing business bounced back. Management plans to generate more income from the archive of past patterns and designs. Net cash is £15.4m. Sanderson is on course to achieve an increase in full year pre-tax profit from £7.1m to £10.9m.
Eqtec (EQT) plans to acquire a 5MW project in Drama, Greece, which will generate energy from forestry waste. Financial close should be achieved for the project in the third quarter of 2022. There is also an additional £2.1m of investment in the North Fork project in California, which increases the stake from 10% to 49%. The 2MW biomass to energy project has been delayed due to fires and Covid. A $4.5m convertible loan facility has been provided to the development.
CyanConnode (CYAN) says interim revenues were £4.1m and it is well on the way to £9.4m of revenues for the full year. The narrowband radio frequency networks company continues to lose money, but cash levels should improve.
Motor dealer Vertu Motors (VTU) recorded record first half results despite supply problems for new vehicles. Used car prices have been rising because of the shortage of new vehicles. In the six months to August 2021, revenues increased from £1.2bn to £1.92bn. Underlying pre-tax profit soared from £4.7m to £51.8m, which is more than treble the first half of 2019-20. Net cash is £57.3m. The interim dividend has been re-established at 0.65p a share. The net tangible asset value is 61.5p a share.
High street sales recovered at fishing tackle retailer Angling Direct (ANG) despite being closed in the first ten weeks of the first half and online sales continued to grow. In the six months to July 2021, revenues improved from £32.1m to £38.4m with high street sales increasing by two-fifths. Online sales were 2% ahead. Pre-tax profit jumped from £1.36m to £3.72m, which includes government lockdown support. Full year pre-tax profit is expected to increase from £2.6m to £3.5m.
Driving safety technology developer Seeing Machines (SEE) has signed a framework agreement with Shell Global Solutions for its Guardian driver distraction and fatigue technology. Deployments should start later this year. Shell has 20,000 vehicles, compared with the total number of 31,771 vehicles using Guardian technology. Seeing Machines has also set up an EU sales team with a headquarters in Amsterdam.
Gresham House Strategic (GHS) has decided to change its investment manager from Gresham House Asset Management to Harwood Capital, where its previous investment manager Richard Staveley moved earlier this year, and Gresham House (GHE) has requisitioned a general meeting in order to have the company’s cash distributed to shareholders and the portfolio of investments liquidated over a 24-month period. Gresham House has a 23.3% stake in Gresham House Strategic and claims the backing of 40% of the share capital. The opposition to the move owns 30% of the company. Harwood intends to invest in the company, and it will generate lower fees, which will save the company £270,000.
Iodine company Iofina (IOF) produced 142.7 MT of crystalline iodine in the third quarter of 2021 and that underpins full year forecasts. Iodine prices continue to rise and recently hit $40/kg.
MAIN MARKET
LED lighting and wiring accessories supplier Luceco (LUCE) has acquired DW Windsor, an exterior lighting business, for £16.9m in cash. In the year to September 2021, operating profit was £1.9m.
Highway Capital (HWC) has finally found a suitable reverse takeover target, although there is no firm agreement. There will be a fundraising alongside the purchase of esports adviser and investor Guinevere Capital Esports & Entertainment. No purchase price has been announced
Oxford Cannabinoid Technologies (OCTP) has acquired medical assets from Canopy Growth Corporation, which provides access to cannabinoid derivatives and will help the company to develop additional drug projects. The lead compound OCT461201, which is a potential neuropathic pain treatment, is progressing towards clinical trials in the third quarter of 2022.
Andrew Hore
Andrew Hore – Quoted Micro 17 May 2021
AQUIS STOCK EXCHANGE
United Win Asia has invested £3.15m in Samarkand (SMK) at 115p a share, which is the same as the original placing price but well below the market price. United Win Asia is part of a logistics group and this fits well with Samarkand’s ecommerce platform.
Clarify Pharma plans to raise £5m at 3p a share, which would value the life sciences company at £10.5m. The focus is psychedelic-based substances that can be used to treat PTSD, Alzheimer’s and depression. Investments will be identified in the UK and Canada. The board is dominated by the same team, including Michael Edwards, that floated decentralised finance (DeFi) focused investment company Dispersion Holdings (DEFI) and NFT Investments (NFT), which is investing in a portfolio of non-fungible tokens (NFTs).
Michael Edwards is also chairman of Pioneer Media Inc. This is a company that has floated on the Canadian Stock Exchange and plans to gain a quote on Aquis. Pioneer is seeking investments in eSports and mobile gaming. The expected admission date is 25 May.
Pharma C Investments is an early-stage investor in the medical cannabis sector. The focus will be on markets that already have legislation and regulations. The plan is to raise £1m and the expected admission date is 26 May.
Greencare Capital (GRE) has appointed Richard Tonthat as chief executive. The cannabis-focused investment company recently made its first two investments after its original acquisition fell through. Richard Tonthat has worked at Grant Thornton and British American Tobacco, when it made a large cannabis acquisition in Canada.
ASX-listed Pacific Nickel has completed the acquisition of 80% of Kolosori Nickel and Gunsynd (GUN) has received 682,790 Pacific Nickel shares at 8 cents each for its stake. The current Pacific Nickel shareholding is 1.95 million shares. There will be deferred consideration if a mining lease is granted, and the mineral resource is confirmed. Gunsynd could receive a further 1.14 million shares if this is achieved.
Eight Capital Partners (ECP) is acquiring corporate finance adviser Innovative Finance Srl for an initial €2.45m with a further €2.45m payable depending on performance over three years. Eight Capital Partners previously had an option to acquire a 60% stake. Concreta Srl will own 9.9% of Eight Capital Partners and chairman Dominic White will own 29.9% – he is also loaning the company €1.1m.
Cadence Minerals (KDNC) says that a second batch of iron ore has been shipped from stockpiles at the Amapa project in Brazil. The cash will be used to pay creditors, including ex-employees. The remaining creditors need to be paid before Cadence acquires a 20% stake in Amapa. A further investment of $3.5m would take the stake to 27%.
R Oldfield has been buying shares in Shepherd Neame (SHEP). He bought 6,356 shares at 1032p each, a further 2,500 shares at 1038p each and 16,144 shares at 1035p each.
Incanthera (INC) is presenting at the Shares and AJ Bell investor evening webinar on 19 May.
Vulcan Industries (VULC) has raised £70,000 at 1.5p a share. Vulcan subsidiary Orca Doors is gaining orders, which cover six months of capacity. Ananda Investments (ANA) has raised £15,000 from the exercising of warrants at 0.45p a share.
EPE Special Opportunities Ltd (ESO) had a NAV of 495.69p a share at the end of April 2021.
AIM
Motor dealer Vertu Motors (VTU) performed In the year to February 2021, revenues fell from £3.1bn to £2.5bn, while underlying pre-tax profit improved from £23m to £24.6m. Net cash, excluding leases and vehicle stocking loans, was £1.4m at the end of February 2021. The net tangible asset value is 50.2p a share. At the beginning of May, CIP Merchant Capital (CIP) bought 1.55 million Vertu Motors shares at just over 40.3p each.
Business restructuring company Begbies Traynor (LSE: BEG) has acquired Midlands-based MAF Property, which is a finance broker. The deal could cost up to £11.75m, with £3m in cash and shares upfront and the rest depending on profit growth. The pre-tax profit forecast for the year to April 2022 has been raised from £16.5m to £17m.
Nightcap (NGHT) has raised £10m at 23p a share and strong demand meant that existing shareholders Raymond Blanc and David Moore sold part of their stakes. The original plan was to raise £4m.
e-Therapeutics (ETX) has raised £22.5m, including £920,000 via Primary Bid, at 24p a share. The cash will be used to expand the company’s drug discovery and development operations. There are plans to complete a first in human clinical study for one RNAi asset and advance two or three other RNAi therapeutic programmes through preclinical development.
Great Western Mining (GWMO) has completed an initial six-hole drilling programme at the Trafalgar Hill project in Nevada. All six holes intercepted intercepted the main shallow structure. In the next few weeks there will be further drilling and more analysis and news about these drilling results.
Gaming Realms (GMR) has extended its SLINGO agreement with Scientific Games. The four-year licensing deal includes the opportunity to launch SLINGO digital lottery games.
Trellus Health has the rights to technology that can be used to manage irritable bowel syndrome. It can reduce unplanned hospital visits by 85%. The US-based company expects to join AIM on 28 May.
STM (STM) has sold its Jersey trust and company services business for net cash of at least £1.4m. That reduces the 2021 profit forecast by £100,000 to £2.5m.
Dekel Agri-Vision (DKL) says April crude palm oil production was lower against strong comparatives, but that was offset by higher prices. Arden still expects a move into profit this year – €600,000 is forecast.
MAIN MARKET
Medica Group (MGP) reported a one-fifth reduction in full year revenues to £36.8m. The lack of elective surgery meant that demand for teleradiology services was reduced. However, demand for emergency services slightly increased. There was an initial contribution from the Irish business bought last year. The 2020 underlying pre-tax profit fell from £11m to £4.74m. The US business was acquired this year and an Australian joint venture has been launched.
LED lighting and wiring accessories supplier Luceco (LUCE) expects interim operating profit to double to £18m. Operating margins are being maintained even though costs of some components are increasing. Net debt should remain at around £18.3m.
Haysmacintyre and a partner have been reprimanded and fined for its audit of the Associated British Engineering (ASBE) accounts for 2017-18. This was not undertaken in the appropriate manner.
Cizzle Biotechnology (CIZ) has reversed into standard list shell Bould Opportunities. Cizzle is is developing a test that could make diagnosing lung cancer more accurate by preventing false positives. A placing raised £2.2m at 10p a share. Pro forma cash is £1.89m, which is slightly higher than the NAV. The cash will be used to make progress towards gaining CE marking for the biomarker test.
Andrew Hore
Andrew Hore – Quoted Micro 24 August 2020
AQUIS STOCK EXCHANGE
Medical device developer TruSpine Technologies (TSP) ended the week at 34.5p (32p/37p). TruSpine has raised £1.4m at 36p a share with a commitment for a further £250,000. This should provide enough cash until Cervi-Lok, which is one of the three spinal stabilisation devices being developed, starts to generate sales.
Coinsilium Group Ltd (COIN) says that its joint venture with IOV Labs has signed a deal with RedFOX Labs to build fast scaling internet business on the RSK blockchain. Coinsilium has also secured an adviser role to Indorse for a forthcoming initiative to revive the token economics of its IND token through a decentralised finance model. The value of Coinsilium’s cryptocurrency holdings is $575,000, with further tokens worth $105,000 set to vest over the next 12 months.
KR1 (KR1) has started to generate revenues from staking activities on the Polkadot network, which is KR1’s largest investment. So far, 530.67 DOT have been generated and this has raised $194,802.
Cadence Minerals (KDNC) is raising £1.25m at 12p a share. This will provide working capital and help to pay back loan notes, which are currently valued at £1.7m.
Wishbone Gold (WSBN) is raising £400,000 at 2p a share. Gold exploration is commencing at the Wishbone II project in Queensland. Exploration will also restart at the White Mountains project.
Gunsynd (GUN) owns 4.97 million shares in nickel project developer Sunshine Minerals, which is being acquired by Malachite Resources. Gunsynd will receive 1.26 million shares in Malachite with further deferred consideration of 1.64 million shares.
NQ Minerals (NQMI) has released positive news from surface stockpiles at the Beaconsfield gold mine. The average grade is 3.2g/tonne in 80,000 tonnes of surveyed stockpiles.
World High Life (LIFE) is increasing production capacity by 400%. The new Love Hemp facility will produce 43,000 units of CBD oils, capsules and cosmetics each day. July sales were 57% higher than in June with much higher online sales.
Belvedere Leisure (BELV) has agreed a new strategy with Landal GreenParks UK, which involves delivering lodges for domestic tourism and staycations. The company is in negotiations to acquire the Barncrosh site in Scotland and the company is seeking other sites. Belvedere Leisure Park has been placed in administration and will no longer guarantee the company bonds.
Ian Harebottle and Richard Lloyd have been appointed as directors of All Star Minerals (ASMO).
Capital for Colleagues (CFCP) chief executive Alistair Currie bought 86,419 shares at 25p each and 13,581 at 29.5p each. He has a 3.28% stake.
AIM
Online fashion retailer Sosandar (SOS) doubled its revenues last year. In the year to March 2020, revenues jumped from £4.44m to £9.03m, while the loss more than doubled from £3.55m to £7.81m. First quarter revenues were 54% higher and the lower marketing costs helped to reduce operating costs by 71%. July revenues were 57% higher than the same time last year. Gross margins have improved. There was still £4.4m in cash at the end of June 2020.
Marshall Motor Holdings (MMH) lost £8.9m in the first half of 2020. That is not surprising given that the car showrooms were shut for ten weeks. A small loss is expected for the full year, although this will depend on September demand. Vertu Motors (VTU) says that it lost £5.2m in the March to June period, but made a pre-tax profit of £7.4m in July. Used vehicle sales made a record gross profit last month with volume growth of 13.7%.
Ceramic products manufacturer Churchill China (CHH) managed to make a small profit before exceptional items. Revenues slumped from £31.9m to £18.9m with a strong start to the year offset by COVID-19 in the second quarter. The majority of sales were of hospitality products. Cash improved to £16.3m thanks to the fact that there was no final dividend last year. A potential interim dividend will be reviewed in December when the fourth quarter trading is clearer.
Elypsis Solutions has sold a 3.4% stake in Adamas Finance Asia (ADAM) to Heirloom Investment Management, leaving it with 53.6%. The Adamas share buyback programme is still active. NAV was 75p a share at the end of June 2020, compared to a share price of 26.5p.
Oil and gas producer Hurricane Energy (HUR) admits that it is likely to materially downgrade the resource estimate for the Lancaster early production system and the West of Shetland portfolio of assets. Production is expected to decline from the current 17,000 barrels of oil per day.
Synthetic heavy fuel developer Quadrise Fuels International (QFI) will receive $150,000 for equipment and support supplied to Greenfield Energy for a commercial trial, which will be completed by the end of the year.
Renalytix AI (RENX) has announced a collaboration with AstraZeneca for the use of the KidneyIntelX technology in other chronic diseases.
EKF Diagnostics (EKF) has made a $5m investment in Trellus Health in return for a 31% stake. Trellus has licenced a platform for the management of inflammatory bowel disease.
Cyber security services provider Shearwater Group (SWG) says positive momentum is continuing. An underlying EBITDA is being made due to higher margin products and efficiencies. There is £4.1m in the bank.
MAIN MARKET
Motor dealer Lookers (LOOK) still has not published its 2019 accounts. Further work is required on the corporate leasing division and vehicle financing arrangements. Net debt was £13.5m at the end of June 2020, helped by delayed government payments. There was a significant first half loss in 2020.
OKYO Pharma (OKYO) is seeking a Nasdaq listing. It has raised £1.44m through additional convertible loan notes to finance clinical development.
BATM (BVC) is on course to increase full year underlying pre-tax profit from $5.2m to $8.8m on a revenues one-third higher. There was cash of $44.3m at the end of June 2020. A resumption of dividend payments is promised at the end of the year. The bio-medical division increased interim revenues by two-thirds to $50m and improved its gross margin. Demand for COVID-19 diagnostic kits remains strong. The networking division improved interim revenues by 3% to $27.4m.
LED lighting and wiring accessories supplier Luceco (LUCE) has upgraded its 2020 underlying operating profit guidance from £18m to at least £23m, helped by improved gross margins. Adjusted earnings per share are expected to be at least 11p a share. The interims will be published on 8 September.
Challenger Acquisitions (CHAL) has entered into a letter of intent to acquire Cindrigo and Cindrigo Energy, which are involved in waste-to-energy and biomass energy projects.
Metal Tiger (MTR) wants to obtain an Australian Stock Exchange listing before the end of the year.
Andrew Hore
Andrew Hore Quoted Micro 9 September 2019
NEX EXCHANGE
BWA Group (BWAP) is acquiring Kings of the North Corp, which owns five groups of exploration licences in Canada. BWA will pay £4.66m for the business, which is owned by a Canadian Stock Exchange listed company. Management believes that there is significant upside in the licences. Nearly $C1m needs to be spent for the licences to be renewed.
World High Life plans to join NEX on 12 September. This is an investment company that intends to acquire businesses involved in medicinal cannabis. The company (www.worldhighlife.uk) has already raised £2.4m from subscribers and no additional cash will be raised on flotation.
Adnams (ADB) director Guy Heald has purchased 3,000 B shares at £95.21 each. That takes his shareholding to 15.1%. The shares were sold by Sidney Sussex College in Cambridge, whose interest has been reduced to 6.32%.
Better news from Ashley House (LSE: ASH) because a scheme in Romsey has reached financial close. There are still two other delayed schemes that have not completed. Funding sources are being explored.
Tectonic Gold (TTAU) is selling its 2.5% royalty interest in the Graphmada graphite mine in Madagascar for up to A$550,000 in cash and convertible notes in royalty business SilverStream.
Primorus Investments (PRIM) reported a decline in net assets from £5.16m to £4.74m in the six months to June 2019. Management believes there are plenty of opportunities in the pre-IPO market.
Capital for Colleagues (CFCP) has agreed the terms for a realisation of its investment in Cotswold Valves, because it no longer wants to focus on employee ownership. The equity interest is being sold for its £220,000 cost and loans totalling £450,000 have been rescheduled. The cash will be received over a three year period.
KR1 (KR1) has made investments in the Nym Protocol project, Alice Si, a blockchain-based social funding platform developer, and Nexus Mutual, which is a follow-on investment.
Resources-focused investment company Hot Rocks Investments (HRIP) increased its cash position from £17,000 to £47,000 in the year to March 2019, but net assets fell from £722,000 to £687,000.
AIM
Good news from car dealers Cambria Automobiles (CAMB) and Vertu Motors (VTU). Cambria says that trading in the eleven months to July 2019 has been well ahead of the same period last year and the full year profit will be higher than market estimates. New car sales are lower but Cambria is making more profit on each sale because of the mix of franchises and greater exposure to the luxury end of the market. More profit was made on each used car sold as well. Vertu says that its trading is in line with expectations, helped by price stability in the used vehicle market since July.
Mirada (MIRA) has won a new contract for the deployment of its Iris multiscreen digital TV product with a new Spanish interactive TV services provider Plataforma Multimedia de Operadores. Mirada’s technology will be used to deliver content to Android set-top boxes, smartphones, laptops and other devices. The commercial launch will be early next year and the plan is to build up a subscriber base of 600,000.
Adamas Finance Asia (ADAM) says that its consolidated NAV increased by 3.5% to $96.3m (£78.4m) in the six months to June 2019. That includes cash of $5.4m. There was interest income of $677,000 in the period. Production at Future Metal Holdings’ dolomite magnesium limestone mine in China should restart before the end of the year.
A secured creditor has appointed voluntary administrators to five subsidiaries of Management Resource Solutions (MRS) but the businesses continue to trade. A creditors meeting is set for 16 September. The businesses will need to be recapitalised.
Filtronic (FTC) has decided to sell its antenna division.
Colin Harrington has switched from executive chairman to chief executive of Rose Petroleum (ROSE) following the departure of its previous chief executive Matthew Idiens. Rick Grant will become chairman. Gordon Stein is a new independent non-executive.
MAIN MARKET
Avation (AVAP) reported full year results that were ahead of expectations. The commercial aircraft leasing company’s pre-tax profit was 15% ahead of forecasts and there was also a tax credit which further boosted earnings per share. The dividend was raised by 45% to 10.5 cents a share.
Packaging manufacturer and distributor Macfarlane (MACF) has acquired the Leyland Packaging Company for up to £3.25m, with up to £1m in the form of an earn-out based on performance of the distributor in the year to August 2020, in cash and shares. In 2018, Leyland made a pre-tax profit of £550,000 on revenues of £4.06m.
Fully listed shell Highway Capital (HWC) has published its accounts for the year to February 2019. They showed net liabilities rising to £781,000. There was cash of £245,000 in the balance sheet following the repayment of loans. Trading in the shares has been suspended for three years.
Standard list shell Boston International Holdings (BIH) is considering potential acquisitions outside of the foreign exchange sector.
Argo Blockchain (ARB) has ended discussions about a partnership with Hive Blockchain Technologies. Argo believes that its investment in additional crypto mining capacity has provided it with the scale it needs.
Sure Ventures (SURE) is investing a further €2.5m in Sure Valley Ventures Fund.
Andrew Hore
Andrew Hore Quoted Micro 13 May 2019
NEX EXCHANGE
National Milk Records (NMR) improved revenues from £5.32m to £5.56m in the three months to March 2019. Disease testing revenues grew at the fastest rate. This quarter did not benefit from one-off revenues like the first two quarters of the financial year.
Gledhow Investments (GDH) reported a reduction in net assets to £735,000 at the end of March 2019. Gledhow has trebled its money in Block Energy and sold the stake, but most of the proceeds came after the end of March.
Primorus Investments (PRIM) believes that Sport:80 has missed the chance to float, but TruSpine still has a chance to become quoted. International payments and lifecycle software provider Zuuse could be ready for a flotation within 18 months.
Wheelsure Holdings (WHLP) has finally published its results for the year to August 2018. They show revenues falling from £226,000 to £96,000, although the loss was similar at £336,000. UK and Netherlands demand were weaker than expected.
Health and community care properties developer and modular buildings supplier Ashley House (ASH) says its joint venture Morgan Ashley has achieved financial close on two more projects. A further three could be closed in the current quarter. Even so, group pre-tax profit will be lower. There will be an update in July.
Sativa Investments (SATI) is changing its name to Sativa Group to reflect that it is a trading company with a greater focus on UK operations. The application for a Home Office research and development licence to grow medicinal cannabis is proceeding well. This is for its own requirements as well as growing some varieties for order.
Ace Liberty and Stone (ALSP) has acquired properties in Warrington and Middlesbrough for more than £10m. The Communities and Local Government department is the long-term tenant of both properties. The Warrington property cost £2.9m and the Middlesbrough property £7.125m.
In the first four months of 2019, NQ Minerals (NQMI) has produced 6,857 DMT of lead concentrate, 4,763 DMT of zinc concentrate and 29,389 DMT of pyrite concentrate.
Giles Brand has increased his stake in EPE Special Opportunities (ESO) from 23.1% to 30.5%. EPE has a NAV of 241.3p a share. Almon I Holding SA has a 3.16% stake in Coinsilium Ltd (COIN).
MetalNRG (MNRG) is delaying a move to the Main Market because of the uranium exploration ban in The Kyrgyz Republic, which means that the proposed farm-in agreement for the Kamushanovskoye uranium deposit has been suspended. Due diligence is progressing on the Thambani licence and the transaction agreement with Mkango Resources by the end of June. Once it has funding, MetalNRG will make progress with the Gold Ridge project.
Panther Metals (PALM) reported a doubled cash outflow from operating activities of £309,000 last year. There was £1,247 in the bank at the end of 2018.
AIM
Begbies Traynor (BEG) says that trading was ahead of expectations. The business recovery and property services provider says both divisions performed well. Shore has upped its pre-tax profit forecast for the year to April 2019 by 6% to £7.1m, compared with £5.6m the year before. The full year figures will be published on 9 July.
Interactive Investor has decided not to make a bid for Share (SHRE).
RA International (RAI) has won two new contracts. A five year contract worth $9.8m has been awarded by the United Nations Support Office for vehicle and equipment fleet services in Somalia. This is for ten locations compared to one previously. There is also a contract for construction services relating to the US Embassy in Denmark.
Immupharma (IMM) intends to merge its two French subsidiaries and either get private equity backing or float the combined business on a European stockmarket. The business is developing the Nucant cancer programme (Elro) and the peptide platform (Ureka). Immupharma will concentrate on Lupus treatment Lupuzor and it is talking to potential corporate partners.
India-focused online fashion retail investment company Koovs (KOOV) has agreed a £10.5m cash injection at 15p a share by a subsidiary of Indian retailer Future Group.
Bidstack (BIDS) is raising £5m at 12.5p a share. This will finance the growth of the in-game advertising business. Bidstack reversed into Kin Group nine months ago and that that time raised cash at 6p a share.
Trading in contract research organisation Venn Life Sciences (VENN) shares is suspended ahead of the reverse takeover of Open Orphan DAC for £5.7m in shares. The strategy is to gain approval for and provide orphan drugs for the European market. Cash will be raised to fund the new strategy.
Keystone Law (KEYS) increased full year revenues from £31.6m to £42.7m and pre-flotation costs profit jumped from £2.54m to £4.75m. This year’s profit forecast had already been upgraded at the time of the trading statement and the figure is maintained at £5.6m. This year’s dividend is set to rise from 9p a share to 10.3p a share. The cash pile is expected to rise from £6.3m to £7m.
N+1 Singer has upgraded its profit forecasts for Cambria Automobiles (CAMB) following its interims. The pre-tax profit forecast for the year to August 2019 has been increased by 13% to £11m, up from £9.8m last year and not far off the figure for 2016-17. Capital investment is peaking and net debt is expected to rise to £9.1m by the end of August 2019. NAV is set to rise to 68p a share.
Vertu Motors (VTU) reported strong full year figures with growth in used cars and aftersales offsetting the downturn in new car sales. Pre-tax profit of £23.7m was higher than forecast but lower than the £28.6m reported for the previous year. Cash generation is also better than expected. This year’s forecast has been trimmed to £25.7m. The share price remains below its NAV of 44.9p a share.
Osirium Technologies (OSI) is considering raising additional funds in order to fully exploit its new product. Opus is a cyber security product for IT process automation. Additional business development managers and distribution partners have been taken on and additional cash would enable further geographic expansion. Osirium is good at retaining clients and Opus provides an additional product to sell to them.
Packaging manufacturer Robinson (RBN) has increased its revenues by 15% in the first four months of the year and most of that is due to higher volumes. This means that it is well on its way to growing full year revenues from £32.8m to £36.1m even though second quarter revenues may be lower due to destocking. Further capital spending has been funded by cash from operations.
MAIN MARKET
Ingredients supplier Treatt (TET) increased interim revenues by 6% to £56.6m and pre-tax profit was 7% higher at £6.2m. Additional shares in issue mean that earnings per share were slightly lower. The core citrus business revenues fell slightly but other areas grew. Net cash was £9.4m at the end of March 2019. This will be spent on the relocation of UK operations and there will be net debt by the end of September 2019.
Air Partner (AIR) slipped out its figures for the year to January 2019 well after the market closed on Thursday. Even so, there was a positive share price reaction and there were no real disappointments. Underlying pre-tax profit was flat at £5.8m. The total dividend was edged up to 5.6p a share.
Macfarlane (MACF) has acquired protective packaging distributor Ecopac for £3.9m. A pre-tax profit of £500,000 was generated in 2017-18. Macfarlane will provide additional products for Ecopac to distribute.
Argo Blockchain (ARB) will hold the requisitioned general meeting on 16 May. Frank Timis is hoping to change the strategy of the company and conserve the cash pile for other uses. He wants Jonathan Bixby and Mike Edwards removed from the board. Argo expected to generate £220,000 in cryptoassets in April, which is similar to cash operating costs. These costs are expected to rise to £300,000 in May but the month should still be cash neutral.
Cardiff Property (CDFF) increased its NAV from 21.78p a share to 21.84p a share in the six months to March 2019. The interim dividend has been raised by 5% to 4.6p a share. Activity in the Thames Valley area has slowed in the first half.
Andrew Hore
Ian Pollard – #ITV Fall In Advertising Expected To Continue
ITV plc ITV made good progress in delivering its stategy in the quarter to the 31st March. Online viewing rose by 16% and Family Share of viewing by 4%. Total external revenue was down 4%. ITV Broadcast & Online revenue fared even worse with a fall of 7% at £489m compared to £526m in 2018 and ITV total advertising also fell by 7%. Advertising in the first half of the year will be impacted by continuing economic and political uncertainty with ITV total advertising expected to be down 6% over the first half. Over the full year delivery of double digit growth in online revenue is expected together with good organic revenue growth in ITV Studios.
Imperial Brands plc IMB claims a pleasing underlying tobacco performance in the six months to the 31st March with volume down 6.9%. Focus is being maintained on longstanding brands which are delivering high margin sales growth. In both Europe and the Americas revenue grew by 4%. Operating profit rose by 38.1%, basic earnings per share by 37.7% and the interim dividend is to be increased by 10%.
Travis Perkins plc TPK made a positive start to 2019 with strong first quarter sales growth. Like for like sales rose by 7.3% and total sales by 5.4%. Travis Perkins itself generated like-for-like sales growth of 8%, continuing the improving trend seen from the end of 2018.Wickes delivered encouraging sales growth in both DIY and showroom categories, with a strong turnaround in Kitchen and Bathroom performance. Sales in Plumbing & Heating were impacted by the milder winter.
Wetherspoon JD plc JDW saw third quarter like for like sales rise by 7.6% and total sales by 8.4%. Since the start of the financial year, the Company has opened three new pubs, closed seven and intends to open two further pubs in the current financial year. The trading outcome for the current financial year is expected to be in line.
Vertu Motors Plc VTU produced profit and cash generation ahead of expectations for the year to the end of February. The full year dividend is to be increased by 6.7% to 1.6p per share. Adjusted profit before tax of £23.7m was ahead of market expectations but down from £28.6m in 2018. Like-for-like revenue growth came in at 5.1% but in used vehicles revenue growth was particularly strong at 11.6%
Find beachfront villas & houses for sale in Greece; http://www.hiddengreece.net