Hybridan Small Cap Feast

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Hybridan Small Cap Feast

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Banquet Buffet

Aquis Exchange 443p  £121.8m (AQX.L)

Aquis Exchange PLC, the exchange services group, is to add Czech and Hungarian blue-chip stocks to trading on its pan-European MTFs business, Aquis Exchange. During the second quarter of 2022, some 300 additional stocks will be made available for trading on the Aquis Exchange UK and Aquis Exchange EU platforms, including the 13 largest, most liquid, Czech and Hungarian stocks. The expansion of the Aquis Exchange trading universe by the addition of Czech and Hungarian stocks brings the total number of markets covered by the exchange to 17. Commenting on the announcement, Alasdair Haynes, CEO of Aquis Exchange, said: “Our policy has always been to add new markets to our platform as and when there is demand. Member appetite for investing in Czech and Hungarian blue-chip stocks is growing and we are responding to this trend.”

Centralnic 121p  £346m (CNIC.L)

The global internet platform company that derives recurring revenues selling online presence and marketing services, announced that, further to the announcements made on the 28 February, it has now completed the acquisition of VGL Verlagsgesellschaft mbH, Berlin, Germany and its subsidiaries (VGL) from its former shareholders. VGL has been acquired for an enterprise value of EUR 60m, with an initial consideration of EUR 67m (approx. US$75m) inclusive of customary adjustments for cash and working capital. The Acquisition is expected to be double digit earnings enhancing for the financial year ending 31 December 2022, prior to any synergies being realised. The Acquisition has been financed by an oversubscribed placing to institutional investors, raising gross proceeds of £42m, at a fixed price of 120 pence per share. Further, in its 2022 edition, Financial Times has listed CentralNic among the top-250 fastest-growing companies and among the top-50 fastest-growing Technology companies in Europe.

GreenRoc Mining 5.90p  £6.5m (GROC.L)

The company focused on the development of critical mineral projects in Greenland announced a significant maiden ore resource at the Amitsoq Graphite Project in southern Greenland, one of the highest-grade graphite deposits in the world. A maiden combined Indicated and Inferred JORC Resource has been defined at Amitsoq of 8.28 million tonnes (Mt) at an average grade of 19.75%, giving a total graphite content of 1.63 Mt. This includes a particularly high-grade contribution from the Lower Graphite Layer of 3.67 Mt at a grade of 21.19%, for 0.775 Mt of contained graphite. This Maiden Resource confirms Amitsoq’s position as one of the highest-grade graphite deposits globally and supports the Company’s objective of fast tracking the Project into the development phase.

Harvest Minerals 13.95p  £25.6m (HMI.L)

The fertiliser producer provided a trading update for its organic, multi-nutrient fertiliser, KP Fértil®, from its 100% owned Arapu á Fertiliser Project in Brazil. CY22 accumulated sales orders as at 28 February 2022 totalled 30,161 tonnes, an increase of over 1,070% compared to internal forecasts for the same period, and representing: 35% of the total 2021 sales orders;  20% of the sales target for FY 2022 (150,000 tonnes). The Company is well advanced on planning stages for an increase of capacity to 200,000 tonnes. Increased demand for KP Fértil® continuing.

Ixico 44p  £21.2m (IXI.L)

The medical imaging advanced analytics company delivering intelligent insights in neuroscience announces that it has been selected by an existing US biotech client to provide PET and MRI neuroimaging services for an open-label Phase I/II dose finding study. The study will evaluate the safety, tolerability, and preliminary efficacy of the client’s gene-therapy drug candidate in adult subjects with early manifest Huntington’s disease (HD).  The trial is due to run for just over five years and is worth circa £800k. This is IXICO’s second study for this client, having previously won a contract in 2021 to support a Multiple System Atrophy study. Having provided centralised neuroimaging CRO services, including advanced imaging biomarker analysis, across many Huntington’s disease trials, IXICO has developed and validated disease-optimised advanced analytics technology for this indication. This, together with the ability to deliver these services through the Company’s proprietary TrialTracker data management platform, combined with the Company’s extensive experience in supporting Huntington’s disease trials, make IXICO the leading choice as the partner for this study.

Orosur Mining 12p  £22.4m (OMI.L)

Colombia update: Assays from four additional holes, MAP- 097, 098, 099, 100. High grade gold intersections, 6.06m @ 2.72g/t Au, 14.2m @ 1.84 g/t Au, 8.35m @ 14.27 g/t Au, and 59.15m @ 0.91 g/t Au. Including a potential new area at depth in Anza. High-grade rock samples in new southern targets. Plans and permitting advancing for drilling new targets.

Prospex Energy 4.15p  £7.4m (PXEN.L)

The investment company focused on European energy projects, updated on the production strategy from its El Romeral power project near Carmona in Southern Spain in which the Company holds a 49.9% working interest through Tarba Energía S.L. Considering the recent energy shortfalls being experienced across Europe, the owners of Tarba (Prospex and Warrego Energy Limited) have temporarily agreed to operate the power plant 24 hours per day for six days per week from 4 March 2022 until 15 March 2022 at which point the reservoir performance and the operating regime will be reviewed. Recently, revenues generated by the plant have been at an all-time high as a result of the current electricity prices. Switching to almost continuous operations will further boost revenue, made possible as a direct result of the successful plant automation work. The automation of the power-plant has enabled 24/7 production and therefore an ability to produce at times of peak demand, regardless of day or time. The price of electricity in Spain remains at unprecedently high levels and is currently more than six-times what it was in March 2021 when the El Romeral power-plant was acquired. Currently Tarba has cash in hand of more than EUR450k. In January and February 2022 monthly income from power generation was EUR285,125 and EUR262,974 respectively.

SDX Energy 8p  £16.4m (SDX.L)

The MENA-focused energy company, announced the spudding of the SD-5X exploration well, targeting the Warda prospect in the South Disouq development lease. SD-5X spudded on 4 March 2022 and is expected to reach TD in approximately three weeks. The primary target, which has already been encountered in the Ibn Yunus and Sobhi field reservoirs, is the basal Kafr El Sheikh sand at around 6,800ft TVDSS. The well is targeting an estimated gross unrisked P50 EUR of 11bcf and has a 40% chance of success.  In a success case, SD-5X will be tied-in to the CPF via the existing SD-4X flow-line and should be on production by the end of June 2022. SD-5X is the first of three wells to be drilled in the South Disouq area during 2022. The second well in the campaign will be the SD-12_East well on the Sobhi Field (planned spud of mid-April). SD-12_East will target an estimated gross unrisked P50 EUR of 7bcf, and will be followed by the MA-1X well (Mohsen) targeting an estimated gross unrisked P50 EUR of 21bcf. The Mohsen well is planned to spud mid-to-late May.

Synectics 112.5p  £20m (SNX.L)

The specialist  in the design, integration and support of advanced security and surveillance systems, announces the award of a substantial long-term contract to provide security management software support for the UK energy company, National Grid, across its estate. Synectics’ Synergy software platform has been deployed at the National Grid Security Control Centre  for a number of years. Synergy provides National Grid with a reliable, robust and scalable command and control solution that enables the centralised monitoring and management of its network of critical infrastructure sites and assets. Following a recent upgrade to the latest version of Synergy software, National Grid has entered into a five-year contract with Synectics to provide software support. Although the total contract value is confidential, Synectics expects to recognise revenue of approximately £600k in this financial year, with lesser amounts in each of the remaining years of the contract. The contract also includes provision for further software licences as the system is deployed across additional National Grid sites. Synectic Systems contracts directly with National Grid for the provision of the software whilst first-line on-site support is provided by a small number of selected integration partners.

Tasty 4.75p  £6.7m (TAST.L)

The owner and operator of restaurants in the casual dining sector, announces a trading update for the 52 week period ended 26 December 2021. Revenue of £34.9m (2020: £24.2m), an increase of 44% year-on-year with 33 weeks dine-in trading, driven by strong sales post re-opening despite weaker trading for the peak December period than anticipated, due to the onset of the Omicron variant. 2021 revenue represented 78% of the Company’s 2019 revenues of £44.6m despite fewer operating sites. Adjusted EBITDA is expected to be approximately £8.0m (2020: £2.7m). Pre IFRS 16 adjusted EBITDA is expected to be approximately £3.9m (2020: £1.5m loss). Cash at the year-end was £11.0m. After allowing for deferred HMRC payments, creditors and bank loan our net cash position was approximately £6.8m. Tasty is now trading out of 50 venues, with four restaurants currently closed but at different stages of re-opening planning. There are still ongoing negotiations to dispose of, or re-gear, two or three of the restaurant leases within the Group.

What’s cooking in the IPO kitchen?

Summerway Capital plc, (AIM:SWC) to be renamed Celadon Pharmaceuticals plc following completion of the acquisition of Vertigrow Technology Ltd, is to relist on AIM. Vertigrow is a UK based pharmaceutical Company specialising in the researching, growing and supply of medicinal cannabis, for a total consideration of £80m. Summerway is an investing company focused on investment and acquisition opportunities across the healthcare and pharmaceutical sectors, particularly within new and emerging therapeutic areas. Capital to be raised on admission £8.5m. Anticipated Mkt Cap approximately £101.8m. Due 28 March 2022.

Cordiant Global Agricultural Income plc intends to float on the Main Market (Premium). The Company’s investment objective will be to seek to provide an attractive yield, with potential capital growth, by providing secured medium-term finance to the global agricultural sector. The Company will seek to promote more sustainable crop production and help address a capital solutions gap which exists in the agricultural sector in select regions. The Company will provide finance for crop inputs and for capital investment in new technologies and infrastructure which help increase crop yields and have a sustainable benefit. Mkt Cap and Capital to be raised TBC.

Majestic Corporation plc, to join AQSE Growth Market. Majestic is a profitable business recycling precious and non-ferrous metals from obsolete mechanical and industrial material including catalytic convertors, printed circuit boards, legacy electrical and electronic equipment, and industrial metal residues left over from manufacturing. The metals extracted for recycling include gold, platinum, rhodium and palladium. The company uses a network of partners to source, acquire, store, and process material and once the waste precious metal is ready it is supplied to refineries, in countries such as Japan, for reconstitution and resupply in to the global supply chain. Due March 2022.

Shellraise plc, to join AQSE Growth Market. The Company will focus on identifying investment opportunities in companies operating in the viticulture sector which require funding to increase output. Mkt Cap and Capital to be raised TBC. Expected 18 March 2022.

Invinity Energy Systems plc, intends to join AQSE Growth Market. The AIM listed Company (IES.L) manufactures flow batteries for large-scale, high-throughput energy storage requirements of business, industry and electrical networks. Due 9 March 2022.

Cleantech Lithium intends to join AIM. The Group is intending to produce lithium using a sustainable direct lithium extraction method, which returns water to its source instead of depleting vital aquifers. Each of the Projects are based in Chile, one of the world’s best regions for solar and other renewable energy. The intention is to utilise renewable energy for process power. The result being that the overall process will have a very low CO2 footprint potentially giving a critical advantage in the European Union market which has set strict CO2 emissions limits. Mkt Cap and Capital to be raised TBC. Due 14 March 2022.

Spinnaker Acquisitions plc, intends to join the Main Market (Standard). The Company have conditionally agreed to acquire the entire issued share capital of HomeServe Labs Ltd, a wholly owned subsidiary of FTSE250 quoted public company HomeServe Plc, by way of a reverse takeover conditional, inter alia on relisting and successful completion of fundraising activities to be undertaken by way of a placing and direct subscriptions by new and existing investor. If the Proposed Transaction proceeds to completion, it is proposed to change the name of the Company to Ondo InsurTech Plc and the name of Labs, which will become a subsidiary of the Company, to LeakBot Ltd. Should the Proposed Transaction not proceed, then the Company would need to apply for the suspension of its listing of ordinary shares to be lifted and for trading to be restored. £5m capital to be raised. Due early 2022.

Carbon Air, a nano-technology company which leverages the adsorption properties of activated carbon and other advanced materials to improve suspension systems, enhance acoustics or reduce noise, to join AIM. The Company’s proprietary technology has allowed it to develop a unique portfolio of solutions for a variety of sizeable end markets, including vehicle suspension systems, acoustic insulation for domestic appliances and micro-speakers for smartphones. Mkt Cap and Capital to be raised TBC. Due Late March.

Spiritus Mundi due to join the Main Market (Standard), a special purpose acquisition vehicle which will seek acquisition targets in Europe and Asia in the clinical diagnostics sector. The Company has already raised approximately £1.2m in a pre-IPO fundraising round. Delayed until second half of Q1 2022.

Recycling Tech Group to join AIM, a UK-based engineering, research and manufacturing company that has developed a modular and mass producible machine, the RT7000, which processes hard to recycle plastic waste into a synthetic oil that can be sold back to the petrochemicals industry as a chemical feedstock to make new plastics. Targeting a £40m raise. Due early March 2022.

*A corporate client of Hybridan LLP

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