Hybridan Small Cap Feast

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Advanced Oncotherapy 21p  £105.3m (AVO.L)

The developer of LIGHT, the next-generation proton therapy system for cancer treatment, announces an equity fundraise of £1.465m before expenses. The fundraise has been conducted through a direct subscription for a total of 5,860,000 new ordinary shares at a price of 25p per share, with a premium of 20% to the closing middle market price of an ordinary share on 18 August 2022. This subscription has been undertaken to accommodate demand from investors who were unable to participate in fundraises announced on 28 June 2022 and 3 August 2022 (together c.£6.57m).

Altona Rare Earths  7.7p  £2.9m (AQSE: ANR)

The mining exploration company focused on rare earth elements in Africa, announces it has conditionally raised £1.1m, via a placing of 13,750,000 million new ordinary shares at 8p each. The placing is conditional on, inter alia, the company’s admission of its entire ordinary share capital to the Official List and to trading on the London Stock Exchange’s Main Market for listed securities, which is expected by the end of September. Consequently, the new ordinary shares will not be issued until Admission and the total number ordinary shares currently issued remains 37,484,999.

Beowulf Mining  5.4p  £44.9m (BEM.L)

The mineral exploration and development company announces its unaudited financial results for the six months ended 30 June 2022 (H1 FY22). The consolidated loss was £684k, comparable to the H1 FY21 loss of £715k. The company exited the period with a cash balance of £1.9m (Q2 2021: £4.4m). On 4 July 2022, the company announced a loan financing from a Nordic institutional investor of SEK 22m (approximately £1.76m) before expenses. The funding will be used to achieve project milestones, with a focus on the iron ore project in Kallak.

Jade Road Investments*  6.5p  £7.5m (JADE.L)

The London quoted pan-Asian diversified investment vehicle focused on providing shareholders with attractive uncorrelated, risk-adjusted long-term returns, announce that further to its previous announcements on the 22nd of June 2022 and the 20th of July 2022, the third and final Tranche payment of US$400k has been received from Meize Energy Industries Holdings Limited (Meize), thereby completing the partial divestment of JADE’s holding in Meize. Following this transaction, JADE retains a 6.3% stake in Meize.

Joules Group  28.4p  £31.9m (JOUL.L)

The premium British lifestyle group provides a business update post the end of its financial year to 31 May 2022. The previous trading update on 19 July 2022 reported significant pressure on gross margins. Over the subsequent 5 weeks (to 14 August), trading has softened materially. The extremely warm and dry weather has adversely affected sales of core categories such as wellies and has compounded the ongoing subdued consumer demand. This has resulted in an 8% year-on-year reduction in retail sales and a 6% decline in retail margin during the 11 weeks of the current financial year to date. The Board currently expects a full year loss before tax, and before adjusting items, significantly below current market expectations.

Kinovo  33p  £20.5m (KINO.L)

The specialist property services group that delivers compliance and sustainability solutions, announces its results for the year ended 31 March 2022: revenue from continuing operations up by 35% to £53.3m (2021: £39.4m) and adjusted EBITDA from continuing operations up 102% to £4.2m (2021: £2.1m). The company is confident that 2022/23 will be another year of strong financial performance with quarter one adjusted EBITDA 24% ahead of prior year. Meanwhile, the intended disposal of DCB (Kent) Limited to MCG Global Limited is still ongoing.

Made Tech Group 34.5p  £51.1m (MTEC.L)

The provider of digital, data and technology services to the UK public sector, announce a trading update for the year ended 31 May 2022 (FY22): revenue of £29.3m, up 120% and adjusted EBITDA of £2.6m (FY21: loss of £0.5m). Contracted backlog stood at £38.2m, up 133% from £16.4m in FY21. Recently announced contracts include a £19m contract with NHS Digital and a contract with the Met Office for no less than £7m. The robust pipeline and record sales bookings underpin the Board’s confidence in the business for the current financial year (FY23) and beyond.

Smoove 59.6p  £38.7m (SMV.L)

The customer focused technology and services business aiming to simplify and revolutionise home moving and ownership, announces that it has re-contracted with the Lloyds Banking Group (LBG) for the provision of conveyancing services for a further 2 years. This contract builds on the Company’s 15-year relationship with LBG and highlights the strength of its market leading offering. Under this contract, Smoove will continue to provide LBG and its customers with bespoke conveyancing products and services via digital platforms throughout the UK.

Strip Tinning Holdings 72.5p  £11.0m (STG.L)

The supplier of specialist connectors to the automotive sector, announces that its wholly owned subsidiary, Strip Tinning Limited (STL) has received notice purporting to terminate its contract with a Croatian electric vehicle (EV) company for the supply of cell management systems to a leading German OEM, with effect from 1st October 2022. The 5-year supply agreement is worth EUR2m per annum to STL at peak volumes, with production ramp up starting in H2 2023. Whilst the loss of the contract would have no material impact on market expectations for the current financial year, the customer had recently indicated that volumes were likely to be increased by 33% over the life of the project and STL had adjusted plans with capital equipment suppliers to accommodate this.

TMT Investments*  $4.9  $155.4m (TMT.L)

The venture capital company investing in high-growth technology companies, announces that it was notified that on 18 August 2022 Alexander Selegenev, the Company’s Executive Director, and Macmillan Trading Company Limited, owned by German Kaplun, Artemii Iniutin and Alexander Morgulchik, agreed to acquire 28,572 and 57,143 ordinary shares of no par value each in the Company respectively at a price of US$3.50 per share. The ordinary shares are to be acquired from Eclectic Capital Limited.

What’s cooking in the IPO kitchen?

Unigel Group, intends to join the Aquis Growth Market.  Unigel Group is a pioneer in the field of thixotropic gels for the fibre optic cable industry. The Company is also a supplier of laminated steel tapes to the fibre optic cable industry in the US. Thixotropic gels and laminated steel tapes are essential components to the rapidly growing global fibre optic cable market. The Group exports to over 40 countries and is a key supplier to almost every leading fibre optic cable manufacturer worldwide and is the industry’s only organisation with multiple manufacturing facilities spread across 3 continents. The Company acts as the holding company for its wholly-owned operating subsidiary, Unitape Limited and its 60% owned operating subsidiary, Unigel (UK) Limited. Due 26th August.

Georgina Energy, an early-stage resource company with a strategy of actively pursuing the exploration, commercial development and monetisation of helium, hydrogen and hydrocarbon interests located in the Amadeus and Officer Basins in Northern and Western Australia intends to join AIM. Georgina Energy has two principal onshore interests. The first, the Mount Winter Prospect is located in the Amadeus Basin in Northern Australia, which the Company has a right to earn an initial 75% interest. The second interest, the Hussar Prospect is 100% owned by the Company and is located in the Officer Basin in Western Australia. Expected late September.

Altona Rare Earths, the AQSE listed mining exploration Company focused on the evaluation, acquisition and development of Rare Earth Elements mining projects in Africa, intends to join the Main Market. Admission to trading of the Company’s Ordinary Shares on the AQSE Growth Market will be cancelled simultaneously with Admission. It is also proposed that on Admission, the Company will change its EPIC from AQSE:ANR to REE. Raised £1.1m. Expected late September.

Mise en Place**

Rising gas prices put pressure on the Pound yesterday with experts fearing that more could follow as further negativity seeps in to wider sentiment. Spread betting broker CMC Market’s Chief Market Analyst Michael Hewson said that:

“With UK consumer confidence already at rock bottom, this morning’s August numbers won’t have inspired much, coming in at a new record low of -44, compared to -42 in July. 

Despite low consumer confidence, retail sales in June did come in better than expected, although it was clear that rising fuel prices were impacting consumers driving habits.”

*A corporate client of Hybridan LLP

** Content not provided by Hybridan LLP

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