Hybridan Small Cap Feast

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Hybridan Small Cap Feast

A round up of the day’s news brought to you by the team at small-cap broker and advisor Hybridan.

Joiners: Orcadian Energy (ORCA.L), the North Sea focused, oil and gas development company, has joined AIM. The Company’s key asset is the 100% interest in the Pilot oilfield, with audited proven and probable reserves of 78.8m barrels (audited by Sproule BV). Raised £33m at 40p. Mkt Cap £25.5m.

Leavers: No Leavers Today.

Banquet Buffet

All Star Minerals 274p  £99.7m (AQSE:ASMO)

Conditional fundraise of £257k and liability conversion of £54k. With the Gemstone sector open to disruption and radical change, the Company’s business model is directed at creating shareholder value by identifying and investing in undeveloped or underdeveloped diamond, coloured gemstone or coloured diamond assets and technologies internationally. Using its worldwide contacts and unrivalled operational expertise to grow these assets, typically in partnership with local partners. 

Alumasc Group 276p  £99.7m (ALU.L)

The premium building products, systems and solutions group, provides a trading update for the year ended 30 June 2021, ahead of publishing FY 2021 results on 7 September 2021. The financial year to 30 June 2021 finished strongly, with demand and margins holding up well in the final quarter. As a result, revenue for the year ended 30 June 2021 is now expected to be approximately £90m, c. 18% above the previous year, with underlying profit before tax for the year ahead of the Board’s previous expectations.

Audioboom Group 900p  £141m (BOOM.L)

The global podcast company announced the launch of AdRip, a new proprietary advertising technology tool that enables the re-monetisation of the network’s vast back catalogue of content. AdRip – unique to Audioboom – automates the removal of historic ‘live-read’ advertising that has been previously embedded into shows and is no longer providing revenue. The tool replaces the embedded advertising with new ad-breaks, which then allow Audioboom to sell and insert new ads each time an episode is downloaded in the future. Audioboom’s content receives more than 92m downloads per month, with more than 50% of that consumption on back catalogue or historic episodes. AdRip will create significant levels of new inventory that can then be monetised through Audioboom’s proven sales channels.

Blackbird 31p  £105m (BIRD.L)

The developer and seller of the market-leading cloud native video editing platform, Blackbird, announced today that Athletes Unlimited has chosen Blackbird to drive fast, flexible and efficient cloud native video workflows. Founded by Jon Patricof and Jonathan Soros, Athletes Unlimited is a fast-growing network of next generation US sports leagues covering softball, volleyball and lacrosse. Making key decisions regarding how the leagues are run, professional athletes compete in innovative versions of their sports scoring points to move up and down leader boards with the ultimate aim of being crowned Athletes Unlimited Champion. Via a tiered membership program sports fans are able to enjoy live games, a broad library of great content and engage with their favourite players.

Bluejay Mining 10.05p  £97.6m (JAY.L)

The exploration and development company with projects in Greenland and Finland, announced that HMRC has formally written to the Upper Tribunal withdrawing its appeal on the First-Tier Tribunal’s (Tax Chamber) decision. The First-Tier Tax Tribunal’s decision in respect to the VAT reclamation was made on 18 November 2020, and on the 19 November 2020 HMRC was granted permission to appeal to the Upper Tribunal which, on 14 July 2021, was withdrawn. Bo Stensgaard, CEO of Bluejay Mining, commented: “I am pleased to give this update on the ongoing VAT claims against HMRC. Bluejay has always been confident in its position and has consistently held that it has, at all times, conducted legitimate overseas activities with respect to the VAT claims. We look forward to the repayment of the claims.” The Company is confident in its position which was supported by the First-Tier Tribunal’s decision made on 18 November 2020.

CyanConnode Holdings  11.25p  £24.7m (CYAN.L)

The specialist  in Narrowband Radio Frequency (RF) Smart Mesh Networks announced a further follow-on order from its partner the JST Group (JST) for the Metropolitan Electricity Authority (MEA), a Thai state enterprise under the Ministry of Interior. The follow-on order is for 31,000 Omnimesh Modules and associated gateways and is in addition to the 33,000 Omnimesh Modules and 206,735 Omnimesh perpetual software licenses purchased in 2019 and 2020. Deployment of this order will follow the successful ‘Go-Live’ phase of the MEA Smart Grid Project, which is expected in Q4 of 2021.

Immedia 18.6p  £6.9m (IME.L)

The supplier of multi-media content and digital solutions for leading brands and global businesses announces that, following the Company’s announcement on 26 March 2021, the Company has terminated talks with Sprift Technologies Ltd with immediate effect. As this proposed acquisition, on the terms envisaged, would have been classified as a reverse takeover in accordance with the AIM Rules for Companies, the Company’s shares were suspended from trading on AIM with effect from 7.30 a.m. on 26 March 2021. As a result of due diligence and subsequent valuation discussions the negotiations have now been terminated and the Company has requested the suspension of trading in its shares to be lifted with effect from 7.30 a.m. on 15 July 2021.

Kape 306p  £685m (KAPE.L)

Kape announces that Private Internet Access, its wholly owned privacy software provider (PIA), has entered into a content provision agreement for its Private Internet Access VPN (PIA VPN) with cellular operator 3 Hong Kong. The agreement is a first of its kind for Kape, with its award-winning VPN to be offered to customers of 3 Hong Kong. This is the first co-operation between PIA and a telecom operator. PIA VPN will be available for 3 Hong Kong’s post-paid and prepaid customers who can subscribe to the service directly with 3 Hong Kong.

Maestrano Group 11.5p  £19.4m (MNO.L)

The Artificial Intelligence platform for transport corridor analytics announced a full year trading update for the twelve months ended 30 June 2021. First US Contract with Union Pacific Railroad, the second largest Class 1 Railroad in the United States. Network Rail (UK) 12-month gauging automation contract awarded.  Over 40,000 miles of track scanned for ARTC, with contract extended in scope and value through to 30 June 2023.  Despite the challenges of the COVID-19 pandemic, customer support for the Cordel products saw total revenue up 92% in reported currency and up 94% in constant currency. Total expenses increased by 44% (41% in constant currency), with additional hardware and software engineers, and market development staff employed during the period.  Cash balance and receivables at 30/06/21 was £2,163,888Company

Panthera Resources 16.5p  £15m (PAT.L)

The diversified gold exploration and development company with assets in West Africa and India announced that the drilling programme at the Bassala Project in Mali has now ended with all samples shipped to the assay laboratory. 9,997m air-core (AC) drilling completed in 164 drill holes. 392m reverse circulation (RC) drilling completed in 4 drill holes. 2,191 five metre composite samples collected from the AC drilling. 1,195 samples already submitted to the SGS Laboratory in Bamako. The remainder of the samples are currently in transit to the SGS laboratory. Excellent drill penetration with an average depth twice that achieved by previous drilling. Unweathered rock and fresh sulphides returned from most holes. Significant silica-chlorite-sulphide alteration and associated quartz veining noted in most drill-holes. Sulphides include pyrite, arsenopyrite, box-work textures and limonite replacing sulphides.  Assay results expected in August 2021.

What’s cooking in the IPO kitchen?

South West Brands the multi-brand cannabidiol consumer goods company  intends to float on the Main Market (Standard). Raising funds to continue to develop its existing portfolio of brand IP and pursue its strategy of adding brand IP assets to the portfolio over the course of the first 24 months following Admission. The Company expects Admission to occur in July 2021. Timing and offer TBA.

GENinCode to join AIM, a UK-incorporated company engaged in the risk assessment, prediction and prevention of cardiovascular disease (CVD), the leading cause of death worldwide accounting for approximately 18m deaths annually. Due 22 July. Offer TBA 

Zenova to join AIM. The Company, is the holder of intellectual property to underpin a suite of fire safety and temperature management products and technology applicable to industrial, commercial and residential markets. Capital to be raised on Admission: £4.5m. Anticipated market capitalisation: £17.74m. Due 22 July.

Microlise to join AIM. Microlise is a leading provider of transport management technology solutions, delivering a globally enabled SaaS platform that digitises the business processes of enterprise organisations running highly complex logistics operations. As at 31 December 2020, the Group had over 400 enterprise customers and over 500,000 vehicle subscriptions.  Due Mid July. Offer TBA.

Lords Group Trading to join AIM. Lords Group Trading plc is a consolidator of specialist merchant businesses across the Southeast and Midlands, adding value to the supply of building materials through product expertise and next day delivery. £30m primary, £22m shareholder sale, Mkt Cap £150m.  Due 20 July.

Bridgepoint Group to float on the Premium Segment of the Main Market. Bridgepoint is the leader in middle market investing, with a global reach that leverages its strong pan-European footprint and Bridgepoint’s ability to deploy meaningful amounts of client capital across several well established strategies. Raising £300m. Timing TBA.

HydrogenOne Capital Growth to IPO on the Premium Segment of the Main Market. HGEN is targeting a raise of £250m. First London listed investment fund dedicated to clean hydrogen. Due by the end of July.

Forward Partners Group to join AIM. The Group has made 65 equity investments in early stage, high growth British companies, to build a portfolio that has a net asset value of £103.0m as of 31 March 2021. Offer TBA. Due mid July.

Bradda Head Holdings to join AIMBradda Head, previously called Life Science Developments Limited and before that Copper Development Corporation, is a delisted company previously quoted on AIM. In January 2018 Bradda Head acquired Bradda Head Limited, a lithium focused exploration company established to develop a portfolio of USA based lithium projects. Raising £6.2m. Mkt Cap £16.1m. Due 19 July.

Future Biogas Group plc, is a newly formed holding company which will acquire 100% of Future Biogas Limited (“FBL”). Future Biogas is a clean energy company that operates biogas plants in the UK. It is one of the largest biogas producers in the UK, delivering approximately 5,000 cubic metres per hour of green gas to the Gas Grid. FBL was formed in 2010 in order to develop and operate biogas plants.  The Group has deployed over £125m and built 12 biogas plants in the UK since then, largely through tax efficient funding such as VCT and EIS. In 2020, the ten biogas plants operated by the Group generated over 426 GWh of renewable energy. TBC ordinary shares of £0.01 each in the capital of the Company. In addition to the biogas plants it operates on behalf of third parties, the Company intends to build on its experience by constructing its own portfolio of new bioenergy plants with carbon capture storage (“BECCS”). Target fundraise up to £35m. Anticipated market cap TBC. Admission date July.

Poolbeg, Proposed AIM listing and demerger from Open Orphan (ORPH.L). Funds raised as part of Admission will be used primarily to fund the clinical trial costs associated with the development of the Company’s POLB 001 asset as a treatment for severe influenza and to acquire and develop new portfolio assets.  Raised £25m. Mkt Cap £50m. Due 19 July 2021.

The UK Residential REIT, a proposed closed-ended real estate investment trust established to invest in a diversified portfolio of affordable, privately rented residential real estate assets in attractive locations outside of London, announces its intention to IPO onto the Premium Segment of the LSE. URES is targeting Gross Issue Proceeds of  150m before expenses by means of a placing, offer for subscription and intermediaries offer of 150m Ordinary Shares plus an Issue of up to 50m Consideration Shares in connection with the acquisition of Seed Assets at an issue price of £1.00 per Ordinary Share. Expected market capitalisation following the completion of the acquisition of Seed Assets of £200m. Due 16 July.

*A corporate client of Hybridan LLP

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