Small Cap Feast

Greenfields Petroleum (TSX-V:GNF) production focused company with operated assets in Azerbaijan seeking AIM dual listing including $60m private placement. Mkt cap $12.6m CAD Wentworth Resources— oil and gas exploration and production company, with assets in the onshore Rovuma Basin of East Africa. Introduction only. Mkt Cap c £50m . Due today Finncap—proposed acquisition of M&A adviser Cavendish Corporate Finance and AIM admission. Offer TBA Kropz PLC—an emerging plant nutrient producer with

Small Cap Breakfast

Fundamentum Supported Housing REIT. Raising £150m. Focussed on UK Social Housing assets. Due 2 May Vivo Energy—retailer and marketer of Shell-branded fuels and lubricants in Africa, Due in May. 100% secondary sell-down of existing Shares by Selling Shareholders, No new Money. Pricing TBA Gore Street Energy Storage Fund—Seeking to raise £100m for the purposes of investment in a diversified portfolio of utility scale energy storage projects. Due 12 April. Odyssean Investment Trust—Raising £100m

Small Cap Breakfast

Range Resources— oil and gas company listed on the ASX plans to admit to AIM on 13 Dec with market cap of £17.4m. Also acquiring Range Resources Drilling Services Limited, an oil services business based in Trinidad & Tobago with extensive drilling capabilities. Eqtec—Company with access to a proprietary advanced gasification technology used in industrial size power plants to convert waste into synthetic gas to generate electricity. Raising £1.6m. Mkt Cap £8.7m. Due 21 Dec. Volex VLX.L—The glo

Small Cap Breakfast

First Sentinel—Investment company expecting NEX admission/introduction on 24 March. £636k raised pre-IPO. BioPharma Credit—Expected Gross Initial Acquisition Proceeds now c.$338m. Gross Cash Proceeds capped at $423m with placing and open offer. Results expected 23 March with admission now due 30 march. Tufton Oceanic Assets- The Company intends to invest in a diversified portfolio of second hand commercial sea-going vessels where the Investment Manager believes that an attractive opportunity e

Small Cap Breakfast

Arix Bioscience — Intention to float on the main market from the global healthcare and life science Company supporting medical innovation. Raised £52m in Feb 16 with investors including Woodford Investment Management Ramsdens Holdings –Schedule One from the financial services provider and retailer, operating in the core business segments of foreign currency exchange, pawnbroking loans, precious metals buying and selling and retailing of second hand and new jewellery. Expected admission to AIM 1

Maximising shareholder value

In November Flowgroup kicked-off a strategic review of its mCHP boiler following the UK government’s shock decision to slash Feed-in-tariffs (FiT) - compounded by sterling’s devaluation vs the $/€, leading to a 17% increase in manufacturing costs.

Strategic review of mCHP division continues

After the impromptu appointment of Prime Minister Theresa May and her Cabinet in July, alongside ongoing distractions from BREXIT, then I guess it was inevitable there would be some slippage in ministerial decision making. Indeed, it appears the Department for Business, Energy and Industrial Strategy (or BEIS, formerly DECC) has been duly affected, and may not now reach a final verdict on its proposal to reduce the number of mCHP boiler installations that can benefit from Feed-in-Tariffs (FiTs)

AIM Breakfast

COMPTOIR GROUP PLC (COM LN) | EQUATORIAL PALM OIL PLC (PAL LN) | FARON PHARMACEUTICALS OY (FARN LN) | FINNAUST MINING PLC (FAM LN) | FLOWGROUP PLC (FLOW LN) | PANTHEON RESOURCES PLC (PANR LN) | STATPRO GROUP PLC (SOG LN) | VIPERA PLC (VIP LN)

Spearheading the shift into digital power

Ever thought how Britain’s energy infrastructure will cope in the future with rising demand from electric vehicles, whilst at the same time having to meet stricter emissions standards and compensate for the retirement of all coal-fired power stations by 2030 (see below)? Well, the answer lies in ‘smart grid’ solutions - combining the latest advanced digital technology with domestic micro generation, renewables (eg solar, wind, tidal) and large-scale storage systems.

H1 2016 results

Flow has announced its H1 2016 results and provided an operational update on its business. The results show good revenue growth (£41.8m for H1 versus £40.4m for the whole of 2015, driven by gains in the Energy segment) and continued net cash (£9.2m). A loss was reported overall given the growth phase that the company is in. Operationally, Energy continues to grow strongly – customer accounts are now up to 255k (from 100k at the start of 2016), and the company is also rolling out a third-party bo

114% jump in power customers in 1st half

Given today’s low inflationary environment, finding companies that deliver rapid organic growth is becoming increasingly difficult for investors. Enter Flowgroup, who this morning said it had experienced a demand surge in its domestic power supply business - with the number of fuel accounts up 114% in the first 6 months alone to 214k (vs 100k Jan), equivalent to annualised sales of £106m (vs £43m in 2015).

Over-reaction to proposed reduction in FiTs

Bad news released just before a 3 day weekend is typically about as welcome as a soggy bank-holiday break. That said, any sharp fall in shares can offer good opportunities for risk-tolerant investors prepared to take advantage of any over-reaction.

The Energy supply business is flying

The Big 6 energy providers are caught between a rock and a hard place. On the one hand they are being criticised by politicians for not cutting tariffs enough, but on the other profits from their power generation arms are being decimated by crippling wholesale prices. Worse still the situation is being exacerbated by all the negative media coverage, leading to their supposedly loyal customers now walking away in droves.

Morning Note – 22 April 2024

Benefits of scale set to materialise

Frenkel Topping - Resilient with strong growth potential

FY 2023 was a challenging year for Frenkel with higher interest rates encouraging clients to place money into lower margin money market funds. Despite this, sales grew +32% (supported by recurring revenue +9% and +51% in non-recurring), EBIT margins remained strong at 22% and adj. EPS grew +17% (taking into account the higher number of shares). FY 2024 has seen a solid start to transactional business and there is a strong pipeline of new FUM opportunities both of which support further growth. Wi

S&U - PBT ahead, encouraging volume trends

S&U reported FY24 PBT of £33.6m, down from £41.4m in FY23 on higher funding and regulatory costs and higher impairments in Advantage in H2. PBT was 2% ahead of our forecast as stronger revenues – up 12% to £115.4m – and better costs offset higher-than-expected impairments. Net receivables grew to a record at both Advantage and Aspen and management noted particular strength in Q4 and a good trading environment in the current year. Having absorbed a significant rise in funding cost as well as addi

Hardman & Co Insight: 2023 was an annus horribilis for Quoted UK Infrastructure and Renewable Energy

The focus of Hardman & Co Research is on the nine quoted Infrastructure Investment Companies (IICs) and on the 22 Renewable Energy Infrastructure Funds (REIFs): the stocks analysed are all members of the Association of Investment Companies (AIC). We are updating our publication of January 2023, assessing both the lacklustre share price performances during 2023 and the key issues, including interest rates, inflation and power prices. As a 31-strong group, its combined market capitalisation is no

Foresight Solar Fund - Termination of coverage

Edison Investment Research is terminating coverage on ABC Arbitrage (ABCA), paragon (PGN), Foresight Solar Fund (FSFL), Kendrion (KENDR), Lithium Power International (LPI), Triple Point Energy Transition (TENT), 4iG (4IG), e-therapeutics (ETX), Pharnext (ALPHA) and Shield Therapeutics (STX). Please note you should no longer rely on any previous research or estimates for this company. All forecasts should now be considered redundant. Previously published reports can still be accessed via our web

International Public Partnerships - Consistently and responsibly delivering

International Public Partnerships’ (INPP’s) FY23 results show that it continues to deliver consistent and predictable returns for investors, while delivering environmental and social benefits for the individuals and communities that are served by its assets. Despite this strong performance and a substantial need for private infrastructure funding, the macroeconomic environment has weighed on INPP’s share price, in common with the wider sector. Regardless, attractive returns are available from th

LSL Property Services (LSL LN) - Transformation & market recovery

2023 results are, as indicated in its February pre-close update, “slightly ahead of market expectations”. Current trading continues to improve, with 1Q24 underlying operating profit up yoy, “reflecting the benefits of the Group’s transformation programme completed in 2023 as well as improving market conditions.” With net cash of £35m at end 2023, the Board approved 7.4p final DPS and £7m buy back.

Regional REIT - Performing as expected ahead of refinancing

In a challenging market, Regional REIT’s (RGL’s) FY23 operational and financial performance was robust, in line with expectations and previous guidance. Investor focus remains on the company’s loan to value (LTV) reduction and bond refinancing plans, explored in detail in our previous note and RGL will provide an update on this in due course.

LIBERUM: PayPoint: On track for £100m of EBITDA in FY 26

LIBERUM: PensionBee: Strong start to the new financial year

Witan

Business as usual for WTAN’s executive team, while the board reviews investment management arrangements…

LIBERUM: Speedy Hire: Weakness in FY 24 but recovery in FY 25

Hybridan Small Cap Feast - 22 April 2024

22nd April 2024 * A corporate client of Hybridan LLP ** Arranged by type of listing and date of announcement *** Alphabetically arranged **** Potential means Intention to Float (ITF) has been announced Dish of the day Admissions: Delistings: What’s baking in the oven? ** Potential**** Initial Public Offerings: Reverse Takeovers: 16 April 2024: Electric Guitar (ELEG.L) Concurrent with its Admission to trading on AIM, Electric Guitar is proposing to acquire the entire issued share capital of 3radi

Foxtons Group (FOXT LN) - 1Q24 IMS shows real momentum

Foxtons Group plc first quarter revenue rose 9% to £35.7m (1Q23: £32.9m) with growth delivered across all business segments. Trading is in line with management's expectations.