Renegotiated contingent payments fast-track integration
The announcement of renegotiated contingent payments to the vendors of Medimark Scientific is seen very positively as it enables the integration of the two businesses to begin immediately, rather than waiting until April. We expect the integration to generate both cost synergies as well as revenue synergies as the established salesforce at Medimark cross-sells some of the Byotrol product range. A final payment of c.£290k will be paid, in addition to the issuance of 9.36m shares, comparing favourably with our forecasts that assumed a £450k payment and issue of c.11m shares. We make only modest changes to forecasts and reiterate our target price of 7p.
30 Jan 20
Sector Note - Rude Health - Final Submission 14th Jan
The AIM Healthcare index rose by 13% in 2019, marginally outperforming the AIM All Share (+12%). AIM Healthcare was outperformed by the larger cap FT All Share Health and World Health indices (+25% and +17%, respectively), assisted by M&A activity, sustained rate of regulatory approvals and also the defensive nature of the large cap sector, set amidst Brexit uncertainty and earnings downgrades elsewhere in the market. However, there were 17 finnLife 50 stocks that exhibited double-digit percentage increases in the past 12 months, and a further four that exhibited triple-digit percentage increases; namely Silence Therapeutics (+503%), Shield Therapeutics* (+482%), ReNeuron (+184%) and Ergomed (+126%). We remain optimistic for the sector in 2020, given expected inflection points and superior growth.
BYOT AGY AVCT BVXP COG IDP IHC LID ODX OPTI SDI SNG TSTL AGL STX DEST EVG CIR ONC
15 Jan 20
Morning Note – 19 December 2019
Byotrol (BYOT): Corp Interims underpin FY 2020 outlook | PCI Pal (PCIP): Corp US contract win highlights ongoing momentum | Trackwise Designs (TWD): Corp H2 challenges remain, but IHT is a huge opportunity | Transense Technologies (TRT): Corp AGM trading update
BYOT TRT PCIP TWD
19 Dec 19
Interims underpin FY 2020 outlook
Interim results to 30 September pointed to a substantial narrowing of EBITDA losses and provided comfort that the company is on track to deliver a positive full year EBITDA. The company is in early discussions with parties in the US to replace Byotrol24’s in-store Target trial with one in which it is not funding the up-front marketing costs. Additionally, it is working on a number of monetisation opportunities that should contribute to H2. We make no changes to forecasts and reiterate our price target of 7p, mindful of the value of its IP and the fact that the business is expected to be cashflow-positive in FY 2020.
19 Dec 19
FY 2019 results – sustainably cashflow-positive
Full-year results were materially higher than the trading statement in May due to the restatement of 2018 financials to reflect IFRS15, with substantially higher adjusted pre-tax profit and year-end cash of £2.8m. We have adjusted our FY 2020 forecasts to reflect these changes and align the numbers with the company’s underlying trading performance and a full-year benefit from Medimark. Future revenues/milestones from licensing deals and US partnerships will be largely additive to these forecasts. The fact that management have shown themselves historically as being capable of completing deals gives us the confidence that they will deliver again. We reiterate our price target of 7p, mindful of the value of its IP and the fact that the business is now cashflow-positive.
30 Sep 19
Small Cap Feast
Essensys plc—a provider of mission-critical SaaS platforms and on-demand cloud services to the high growth flexible workspace industry, plans to join AIM. £28m raised. Half primary, half shareholder sell down expected 29 May 2019. Mkt cap £72.6m. Issue price 151p. Renold plc—a leading international supplier of industrial chains and related power transmission products, announced that it will cancel the listing of the Company from the premium segment and apply for admission on AIM. Expected 06 June 2019. Alumasc Group plc, the premium building products, systems and solutions group, has announced its intention to move from the Premium Segment of the main market to AIM. Expected market cap of £33.4m. Expected 25 June 2019
BYOT OBD RFX DX/ ALT PRES GAN AFHP COM NKTN
28 May 19
Morning Note – 9 May 2019
Byotrol (BYOT): Corp FY trading update | Chariot Oil & Gas (CHAR): Corp Anchois satellites CPR | Elecosoft (ELCO): Corp A good first quarter in line with expectations | Robinson (RBN): Corp Positive AGM trading statement | Velocity Composites (VEL): Corp Encouraging trading update, resumption of forecasts
BYOT CHAR ELCO RBN VEL
09 May 19
Small Cap Feast
Induction Healthcare Group plc—a healthcare technology company focused on streamlining the delivery of care by Healthcare Professionals looking to join AIM. Expected raise of £14.58m at 115p, market cap of £34.07m. Expected 22 May 2019. SDX Energy plc—a North Africa focused oil and gas company, announces its intention to complete a Canadian plan of arrangement under section 192 of the Canada Business Corporations Act and will have shares de-listed from the TSX-V and admitted to trading on AIM. Expected 28 May 2019, anticipated market cap of £76m Renold plc—a leading international supplier of industrial chains and related power transmission products, announced that it will cancel the listing of the Company from the premium segment and apply for admission on AIM. Expected 06 June 2019. Alumasc Group plc, the premium building products, systems and solutions group, has announced its intention to move from the Premium Segment of the main market to AIM. Expected market cap of £33.4m. Expected 25 June 2019
BYOT ARW BKS CHAR PEG TPX MIRI VRS SECG ELCO
09 May 19
Sector Note -
AIM Healthcare Index is up 10% year to date, outperforming the AIM All Share (+6%) and FT All Share (+7%), having suffered with the broader market pull back in Q4 2018, in which AIM Healthcare fell 18%. This compared with a 22% decline in the AIM All Share and 11% decline in the FT All Share. In the past quarter, the AIM Health sector has fallen 1%, not helped by the FDA’s rejection of Motif Bio’s NDA for iclaprim. However, there were 14 finnLife 50 stocks that exhibited double-digit percentage increases, most notable of which are Futura Medica (+112%), Avacta* (+82%), OptiBiotix* (+35%), hVIVO (+34%), Instem (+34%) and ANGLE* (+29%) in the past three months
BYOT AGY APH AVCT BVXP COG CTH IDP IHC LID MTFB ODX OPTI YGEN SDI SNG TSTL AGL DEST AKR
05 Mar 19
Morning Note – 28 February 2019
ANGLE (AGL): Corp Ovarian cancer study started enrolment | Byotrol (BYOT): Corp US approval and expanded launch | Intercede (IGP): Corp New contract win | Morses Club (MCL): Corp Strong results from a strengthening company | PPHE Hotel Group (PPH): Corp Investment projects progressing well, driving growth | Proactis (PHD): Corp Trading update | Telit (TCM): Corp Vendor loan enables Automotive sale completion
BYOT IGP PPH PHD AGL MCL TCM
28 Feb 19
Interims – pointing the way to sustainable profitability
Byotrol reported substantial progress for the six months to 30 September, benefiting from an underlying improvement in operating cashflow and the one-month inclusion of Medimark Scientific. Revenues increased by 54% to £1.44m, resulting in an adjusted pre-tax loss of £0.46m (vs. -£0.74m), with period-end cash of £3.55m – down £0.3m from 31 March 2018. Confirmation that Medimark should meet its earn-out targets for FY 2019 is encouraging. A shortfall in the US, due to delays at the EPA in extending the range of Byotrol24, is expected to result in a £0.25m LBITDA for the full year, despite which we expect a profitable and cash-generative second half. With a full-year contribution from Medimark and sales synergies still to be factored into expectations, we reiterate our 7p price target.
18 Dec 18
Morning Note – 18 December 2018
Byotrol (BYOT): Corp Interims – pointing the way to sustainable profitability | President Energy (PPC): Corp Third Puesto Flores well drilled successfully | Savannah Resources (SAV): Corp Mina do Barroso update | Scientific Digital Imaging (SDI): Corp Interims – strong H1, characterised by record cashflows
BYOT SAV SDI PPC
18 Dec 18
AIM Healthcare Index fell 10% in the past three months, compared with an 8.5% decline in the FT AIM All Share. The performance stats in the past month were more balanced, with AIM Health down 1.5% compared with a 3% decline in the AIM All Share. Despite this, ten finnLife 50 stocks showed positive gains with four rising by 15%+: namely Tiziana Life Sciences (+89% – FDA clearance to start Phase I trial with foralumab, an orally delivered antibody, and the announced intention to IPO on NASDAQ); Sinclair Pharma (+46% – agreed takeover); Omega Diagnostics (+28% – strategic update); and Creo Medical (+28% – product launch). Conversely, Diurnal shares fell c.80% on the back of a failed Phase III trial for Chronocort in chronic adrenal hyperplasia
BYOT AGY APH AVCT BVXP COG CTH IDP IHC LID MTFB ODX OPTI YGEN PRM SDI SNG TSTL AGL SUN DEST AKR
14 Nov 18
Small Cap Feast
Summerway Capital investing company established to acquire companies or businesses which the directors of the Company believe have the potential for strategic, operational and performance improvement so as to create shareholder value. Offer TBC, market cap TBC expected 19 October Admission is being sought as a result of the proposed RTO of Cambian Group plc following completion of the acquisition by CareTech a leading provider of specialist social care services, supporting adults and children with a wide range of complex needs. No raise, market cap TBC expected 19 October. PetroTal (TAL.TO) - The exploration and production company focused on oil assets in Peru is seeking a secondary AIM quoting before the end of 2018. Path Investments— First acquisition of a 50 per cent. participating interest in the producing Alfeld-Elze II gas field located 22 kilometres south of Hannover in Germany. Seeking £10m raise. Due early Oct Green Man Gaming—pure play e-commerce and technology company in the digital video games industry. revenue CAGR growth of 26.7% in the last three years to £47.5m. Due Mid October 2018. EBITDA Profitable. Offer TBA Crossword Cybersecurity PLC* (NEX:CCS)—the technology commercialisation company focusing exclusively on the cyber security sector is exploring its options in relation to a potential move to the AIM market of the London Stock Exchange which, if it were to proceed, would likely take place over the next few months.
BYOT DALR MBH CTH RMM NTOG EUA EYE COIN TYMN
05 Oct 18
FY 2018 and transformative acquisition
Full-year results were ahead of expectations, with an adjusted EBITDA of £44k versus an expected £350k loss, but helped by the accounting treatment for the sale of Actizone patents to Solvay. Byotrol also announced the acquisition of Medimark Scientific, which sells infection control products for the Animal Health and Human Healthcare markets. The £4.5m consideration (including a two-year £1.8m earnout), implies an EV/EBITDA of 7.1x. The combination not only creates critical mass, but it brings a strong and proven sales & marketing capability and novel technologies that dovetail with Byotrol’s technology-rich portfolio and reduces the execution risk of transitioning the business to a sustainably profitable one. Although we reduce our target price to 7p, this is a fundamentally stronger business – one that is better positioned to exploit its technology platforms.
23 Aug 18
Small Cap Breakfast
Team17 Group -video games label and creative partner for independent developers. Since 2014, delivered a revenue CAGR of 69% (31 December 2015 to 31 December 2017), with revenues of £29.6m and Adjusted EBITDA of £12.9m. Offer TBA Serinus Energy -international upstream oil and gas exploration and production company. Its principal assets are located in Romania (development phase) and Tunisia (production phase). Raising c.£10m. Offer TBA. Due mid May.
BYOT DALR MBH CTH RMM NTOG EUA EYE COIN TYMN
10 May 18
Byotrol (BYOT): Corp Trading update and commercial agreement with Solvay | Horizonte Minerals (HZM): Corp Horizonte receives Water Permit | Intercede (IGP): Corp Appointment of CEO | SCISYS (SSY): Corp Space flying with Airbus | SRT Marine Systems (SRT): Corp Systems revenue boosts H2 and delivers FY earnings | Universe Group (UNG): Corp Prelims
BYOT HZM IGP SRT UNG SSY
11 Apr 18
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 at £1. Due 1 May. The Company will primarily invest in smaller company equities quoted on markets operated by the London Stock Exchange.
BYOT RRL EMH LND EZH SRT VLX BCA PPIX ARE
11 Apr 18
Interims – H2 weighted with deal flow
Byotrol released interim results for the six months to 30 September, showing increased LBITDA of -£0.59m (-£0.51m) as it builds out its commercialisation capabilities. FY 2018 was always expected to be H2-weighted given the regulatory and commercial status of its three strategic initiatives. Whilst the exact timing of any deal for its long-lasting (24 hour) anti-microbial, consumer-directed formulations (EPA-registered trigger spray in the US or Actizone in Europe and the ROW) is uncertain, management's outlook statement provides comfort that there are sufficient near-term opportunities to support our forecasts for an H2 adjusted EBITDA of £240k. There is no change to our forecasts or price target of 9p.
14 Dec 17
Iofina* (IOF): H2 production set to exceed guidance & IO#7 update (CORP) | Omega Diagnostics* (ODX): Short-term headwinds (CORP) | Byotrol* (BYOT): Interims – H2 weighted with deal flow (CORP) | Synairgen* (SNG): £5m payment from Pharmaxis (CORP) | Keywords Studios (KWS): Doubling up (BUY) | Altitude Group* (ALT): Taking AiM (CORP) | CityFibre* (CITY): Further demonstration of the model – Aberdeen (CORP)
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14 Dec 17
FY17 results – £4.3m placing & open offer
Byotrol reported FY17 results, in line with our expectations, building on previous sales growth and increasing market share gains. Revenues were £3.1m (18% growth YoY) with the company having generated an adj. EBITDA of c.£0.1m, assisted by a £1.0m payment from Solvay in H217; typical of technical development payments generated by Byotrol over the past four years. Recent EPA approval in the US is a game changer in our opinion potentially opening up the $1bn anti-microbial US market. The company has conditionally raised £4.5m (with up to a further £1.1m via an Open Offer) for sales and marketing expenditure costs across both the US and EU/ROW as well as to strengthen the balance sheet. Building upon recent EPA approval, Byotrol's 24hr anti-microbial claims are likely to attract a large US-based partner in FY18 leading to significant uplifts in subsequent FY19 and FY20 sales (£6.6m and £9.7m respectively). We retain our 9p target price: FY19 EV/Sales and EV/EBITDA of 4.7x and 27.7x.
03 Aug 17
Small Cap Breakfast
Andes Energia PLC—Sch1 on admission the Company will change its name to Phoenix Global Resources plc will be an Argentinian independent oil & gas exploration and production company, offer TBC but market cap to be £844m and admission date 10 August 2017 | Verditek PLC—Sch1 update from holding company in the clean technology sector with subsidiaries operating within what it considers are emergent and fast growing sectors (industrial treatment of solids, air purification, water de-odourisation, zero emission, low cost energy), offer raising £2.75m at 9p with market cap of £16.9m. Admission 10 August 2017 | Strix Group PLC—Sch1 from the Company involved with the design, manufacture and supply of kettle safety controls and other components and devices involving water heating and temperature control, steam management and water filtration. Offer raising £190m at 100p with market cap of £190m admission date 8 August 2017 | Xpediator Plc—Sch 1 from the holding Company for an integrated freight management business operating in the supply chain logistics and fulfilment sector across the UK and Europe with a strong presence in Central and Eastern Europe. Offer details TBC, expected Admission early August 2017. | GetBusy PLC—Sch1 from the holding Company of its subsidiary undertakings, which operates as a document management software business, headquartered in Cambridge, UK and operating across the UK, USA, Australia and New Zealand. Capital to be raised via a rights issues of up to £3m at 28.3p with anticipated market cap of £13.7m, Admission 4 August. | Altus Strategies—African focused natural resource Company. Offer TBC. Expected early August.
BYOT MAYA GATC SRES SECG APGN BOD MPAY EBQ OCI
03 Aug 17
N+1 Singer - Byotrol - Exciting news on EPA approval yesterday
Approval in the USA for Byotrol’s 24 hour proprietary surface cleaner is a significant boost for the company and came a little earlier than we expected. Meanwhile we believe progress continues to be made in other key group initiatives and remain confident that Bytrol, which guided to achieving positive EBITDA for the year just finished, is well positioned to prosper in its niche markets which have clear regulatory drivers and clear problems to solve. The group has strong IP and solid partnerships with the likes of Solvay, Kyorin & Rentokil. We look forward to hearing more at the prelims in the second half of July.
14 Jun 17
EPA approval – now to exploit the IP
Byotrol announced the approval of its 24-hour anti-microbial surface sanitiser by the US Environmental Protection Agency (EPA), paving the way for its launch into the c.$1bn anti-microbial segment of the c.$5bn hard surface cleaner market. Since its filing in December 2016, the company has been discussing routes to market with potential partners. The EPA approval represents a significant milestone for the company, a hurdle (24-hour claim) that even the largest consumer products companies have failed to overcome. We increase our target price by 30% to 9p of which c.5p can be attributed to the 24-hour formulation, based on a 3% royalty rate and assuming a 10% (i.e. $100m) share of the US market.
13 Jun 17
Byotrol* (BYOT): EPA approval – now to exploit the IP (CORP) | Trifast^ (TRI): Currency drives results ahead of expectations. (BUY) | Water Intelligence* (WATR): Growth continues to accelerate (CORP) | Wentworth Resources (WRL): Operational update (BUY) | Imaginatik* (IMTK): Proposed placing (CORP) | iomart* (IOM): Textbook delivery (CORP) | Telecom Plus (TEP): Sturdy prelims, future growth (BUY)
BYOT TRI WATR WRL IOM TEP ABAL
13 Jun 17
Small Cap Breakfast
Touchstone Exploration— Oil exploration and production company active in the Republic of Trinidad and Tobago. Interests of approximately 90,000 gross acres. Production c. 1,300 boepd. Raising £1.45m. Expected mkt cap £7.5m. Due 26 June. I3 Energy –Schedule 1. Independent oil and gas company with assets and operations in the UK. Offer TBC, 7 June admission. Verditek— Schedule 1 update. On Admission, the Company's subsidiaries will be involved in advanced solar photovoltaic, filtration and absorption technologies specialising in providing environmental services. Issue price 10p. Admission in late June Tiso Blackstar Group—Schedule 1 update. Media, entertainment and marketing solutions group/ £160m mkt cap. Admission only. Expected late June. Vordere—RTO targeting German Property. Raising £9m at 17p. Readmission c. 15 June. Resiential Secure Income - social housing REIT raising up to £300m Admission due c.12 July. ScotGems—Admission due 26 June. Seeking £50-£100m. To investing in a diversified portfolio of Small Cap Companies listed on global stock markets DP Eurasia—Intention to float from the exclusive master franchisee of the Domino's Pizza brand in Turkey, Russia, Azerbaijan and Georgia . £20m primary raise plus a partial vendor sale. Film Finances—Sky News reports that ‘movie financing company with credits including the Hollywood hits La La Land and Nocturnal Animals is plotting a blockbuster premiere on the London stock market that will value it at several hundred million pounds.’ Expected ‘during the summer’. AIB—Intention to float from AIB, Ireland's leading retail and commercial bank . The Minister for Finance intends to sell approximately 25% of the Ordinary Shares of AIB. Valuation range €10.6-€13.3bn. Admission end June. Curzon Energy—Report on Proactive Investors of intended LSE float this year with acquisition of coal bed methane assets in Oregon. Looking to raise £3m plus. NLB Group—financial and banking institution based in Slovenia, with a network of 356 branches. Seeking Ljubliana Stock Exchange listing with GDRs on the LSE. Expected mid June. Flying Brands (FBDU.L)—Prospectus approved by FCA. RTO of Stone Checker Software, supplier of technology solutions in the field of kidney stone analysis and prevention. Has raised £550k at 3p. Subject to GM on 15 Jun. Kuwait Energy— $150m raise plus vendor offer. Admission due June. 2p reserves 810.0 mmboe
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13 Jun 17
Significant uptick in R&D output. After a very disappointing 2016, as measured by the number of new drugs approved by the FDA (23), we have seen 22 new product approvals year-to-date. We now expect the 2017 output to be above the 16-year median of 22 NDAs (New Drug Application) and 5 BLAs (Biologic Licence Application). As previously commented on, BLAs are expected to represent an increasing proportion of overall approvals. The most notable approval in the past quarter was AstraZeneca’s Imfinzi (durvalumab), not because of its use in metastatic bladder cancer but for its potential use as a first-line therapy in surgically unresectable Non-Small Cell Lung Cancer (NSCLC) following an interim analysis of a Phase III trial (PACIFIC), which showed a statistically significant increase in progression-free survival.
BYOT ABZA AGY APH AVCT BVXP COG CTH LID MTFB ODX OPTI YGEN PRM SDI TSTL AKR
30 May 17
N+1 Singer - Uncovered Gems - Speed Dating Lunch - A Famous Five for the future?
On Friday we hosted our third “speed dating” lunch with the management of five very interesting and contrasting companies not under our formal coverage: Be Heard, Byotrol, Gfinity, Oxehealth and Plant Impact. Each company gave a concise and punchy overview of its business and investment case to a group of fund managers, before rapid fire Q&A. Below we summarise our thoughts on each company with more details inside the note, plus some relevant slides. We believe that all five companies are well-managed and well worth a closer look - we intend to repeat this efficient and popular format for engaging with management teams.
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12 Apr 17
N+1 Singer - Morning Song 12-04-2017
Futura Medical (FUM LN) Multiple licensing discussions underway | Low & Bonar (LWB LN) Solid Q1, trading in line | Nuclear options Significant long-term opportunities for UK companies | RhythmOne (RTHM LN) Trading update – profit and cash ahead | Uncovered Gems - Speed Dating Lunch A Famous Five for the future?
BYOT AUG FSJ WYG LWB FUM DRV PIM CARR SFR PRV BHRD GFIN RHL RTHM
12 Apr 17
Interim results hide true FY picture
Byotrol released interim results for the six months to 30 September. Despite LBITDA of £0.51m (£0.32m), we expect full-year adjusted EBITDA of £0.1m as a result of contractual payments in excess of £1m in H2. Equally significant is that (i) the company has confirmed that it will file its consumer product formulation with the EPA in the US prior to Christmas; (ii) it is in discussions with a number of global FMCGs over Actizone technology (joint Solvay agreement); and (iii) Kyorin has launched its non-alcohol hand sanitiser formulation into the Japanese hospital market. We make small changes to our full-year forecasts and leave unchanged our price target of 6.9p, which is based on a five-year discounted DCF valuation.
13 Dec 16
Byotrol* (BYOT): Interim results hide true FY picture (CORP) | Seeing Machines* (SEE): Fovio strategy shift opens equity opportunity (CORP) | Utilitywise* (UTW): Capitalising on the water opportunity (CORP) | OptiBiotix* (OPTI): Joint product agreement with multinational (CORP) | Vectura (VEC): Withdrawal of forecasts (U/R) | AorTech International* (AOR): Termination of coverage
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13 Dec 16
The prospect of Hilary Clinton creating an oversight panel with the power to impose a set of harsh enforcement rules to control aggressive pricing of pharmaceuticals in the US fell away with the election of Trump, leading to a 16% bounce in the NASDAQ Biotech index and an 8% increase in the US Pharma & Biotech index, some of which has already been given back.
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29 Nov 16
Rude Health - Life Sciences quarterly sector note
In light of the Brexit vote, we reflect upon the implications for the NHS and the wider healthcare industry. We take a pragmatic approach to how the referendum result will affect staffing, recruitment, clinical trials, drug pricing and small company grant funding in the coming months and years.
BYOT AOR BVXP COG DPH EKF LID ODX YGEN PRM SDI SNG TSTL AKR VEC
30 Aug 16
Final results to March
Byotrol’s results to March 2016 demonstrated further progress towards breakeven, despite regulatory headwinds. Indeed, we expect adjusted EBITDA of £0.1m in FY 2017. Progress on its three core projects, endorsed by external licensing and partnership deals, leads us to believe that the company will transition from a low-margin products-based business to a higher-margin business whose technology will be adopted by third parties, thereby creating a sustainably profitable and growing business. We introduce forecasts for 2017, and maintain our 6.9p target price.
18 Aug 16
It’s a bug’s life
Byotrol is an Aim-listed anti-microbial play which floated in 2005 and underwent reorganisation, including appointing experienced new management, in Q4 2013. We had an initial presentation from the company on its trading statement on 25th February and look forward to learning more. Byotrol’s USP is in developing and commercialising hygiene products with IP protection and superior characteristics, especially in terms of long-lasting action. Byotrol addresses the B2B market in areas like surface sanitisers in food retail (eg used in 560 M&S stores), food production and hospital healthcare (in trial with NHS/ISS) - all areas with clear regulatory drivers and high profile problems like MRSA. Key initiatives which could transform the group include: seeking US EPA registration for surface care and a marketing/development agreement with Solvay. In the B2C market, Byotrol has a number of existing products.
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18 Apr 16
Consumer and FX bright spots lifting the gloom
There are plenty of things to worry about at the start of 2016: a subdued and recently downgraded global growth outlook; oil price volatility and a still-falling rig count; the potential for a hard landing in China; the Brexit vote and its implications for sterling. Nevertheless, we think this should be a positive year for the UK chemicals sector. There is plenty of evidence that consumer-driven chemicals demand is picking up and, to a degree, offsetting weaker industrial demand. Meanwhile, a significant currency tailwind is developing for sterling reporters. This may be short-lived but it is not yet fully factored into forecasts. At an individual company level, 2016 should provide initial answers to some intriguing questions: Will Victrex see off the competitive threat from Solvay? How will Paul Waterman refine and reinvigorate Elementis’ strategy? How great are Calum MacLean’s ambitions for Synthomer? Our BUY recommendations are Croda, Victrex and Zotefoams and we are positive on both Elementis and Scapa (both Corporate).
BYOT AGM ELM SCPA SYNT VCT ZTF PIM SYN ITX VRS CRDA
18 Apr 16
Wentworth Resources: Operational update (BUY) | PhotonStar*: Interim results (CORP) | Rose Petroleum^: Operational update (BUY) | Byotrol*: Conditional placing to raise £1.4m; forecast revisions (CORP) | H&T Group: Approaching an inflexion point? (HOLD) | Robinson*: Analyst interview (CORP)
BYOT WRL BOU HAT RBN ROSE
21 Aug 15
ATTRAQTive agreement Make it RAME
ATTRAQT Group | Forbidden Technologies | Imperial Innovations Group | Macfarlane Group | Manx Telecom | MediaZest | NetScientific | Petards Group | ProMetic Life Sciences | Rame Energy | Restore | Rosslyn Data Technologies | SPARK Ventures
BYOT ATQT BIRD IVO MACF MANX MDZ NSCI PEG PLI RAME RST RDT
06 Aug 15
Prelims: on track for breakeven
Byotrol’s results to March 2015 showed clear progress towards our forecast of breakeven or better in the current financial year. We estimate underlying sales growth of 20% and previously announced cost-cutting measures resulted in a better than halving of the loss before tax. Agreements with significant corporates, including ISS in Healthcare and a product development relationship with Solvay in Consumer, give us comfort that Byotrol continues to find new routes to exploit its technology. We make no changes to our forecasts, and maintain our 8.2p target price.
15 Jun 15