Proactive Investors - Run By Investors For Investors

Breakfast News -AIM Breakfast : Sareum Holdings, Feedback, Fishing Republic, GAN, Condor Gold

Breakfast News -AIM Breakfast : Sareum Holdings, Feedback, Fishing Republic, GAN, Condor Gold

What’s cooking in the IPO kitchen?

Anglo African Oil & Gas— Admission expected early March. Acquiring stake in producing near offshore field in the Republic of the Congo.

Saffron Energy—Schedule One update. Raising £2.5m, expected Mkt Cap £7.7m. Admission due 24 Feb. Italian Oil & Gas Play

Guinness Oil & Gas Exploration—Publication of prospectus. Seeking to raise £50m and invest in 15 exploration companies at launch, with plans to grow the portfolio to 30 positions during its lifetime.  Issue closing 23 Feb.

  
 
Breakfast buffet

Sareum Holdings* (LON:SAR) 1.07p £28.4m

HY Dec 16 from the specialist cancer drug discovery and development business  showing a Maiden profit on ordinary activities (after taxation) of £573,000, driven by the licensing agreement for its CHK1 inhibitor cancer drug candidate.  Cash at bank at period end was £2,305,000 (2015: £335,000) and the Company's unspent investment in the Chk1 Project was £258,000 (2015: £841,000). TYK2 progressing to lead optimisation in auto immune and also being investigated for lupus and  acute lymphoblastic leukemia ("T-ALL") and other cancers. Biomarker strategy on Aurora+FLT3 has made good progress with the candidate showing measurable reductions on markers downstream of both Aurora B and FLT3 signalling in a disease model of FLT3 mutant Acute Myeloid Leukemia.

Feedback (LON:FDBK) p £m

HYNov16 results from specialist in imaging tools for clinical decision makers.  Revenue  was £203,000 (2015: £225,000) and the loss after tax was £126,000 (2015: Loss £143,000). The loss before interest, tax and amortisation was £115,000 (2015: Loss £132,000). The cash balance at 30 November 2016 was £63,000 (30 November 2015: £164,000). Received a significant number of purchase orders for TexRAD research versions during the period, the majority of which were installed shortly before the period end. Accordingly, these sales only made a modest contribution to revenue in the period.  received additional new orders from customers in Singapore and Korea. Expects substantial increase in TexRAD-related revenue in  H2. There are no market forecasts.

Restore (LON:RST) 369p £412.52m

Acquisition of The ITAD Works Limited, a Surrey-based provider of IT asset recovery and recycling services. ITAD Works was founded in 2002. For the 12 months ending 30 September 2016, it generated revenues of £3.5 million based on unaudited management accounts. The acquisition was funded from Restore's existing bank facilities. FYDec17E rev of £132.26m and PBT of £22.27m. Div of 4.84p.

Fishing Republic (FISH.L) 41.5p £15.7m

FYDec16 trading update from one of the largest fishing tackle retailers in the UK. The Company continues to make encouraging progress and results for the year are expected to be in line with current market expectations. Revenue is expected to show an increase of approximately 40% year-on-year, driven by the addition of new stores, organic growth across existing stores, and strong growth in own website sales.  Own website sales increased by 132% year-on-year and accounted for c. 40% of Total online sales for the year. As expected, with lower third party sales, total online sales decreased but, importantly, overall gross margins improved. 3 stores opened in H1. Lincoln acquired in September, plus Mildenhall opened before year end and Milton Keynes in January. Good pipeline ahead. FYDec16E of £5.7m and PBT of £0.4m.

GAN (LON:GAN) 36p £25.2m

The award-winning developer and supplier of enterprise-level B2B Internet gaming software, services and online gaming content in the United States, has executed an agreement with Everi Games Inc., a subsidiary of Everi Holdings Inc. (NYSE: EVRI) to launch several key Everi Class II and Class III slot titles online for GAN's US casino Simulated Gaming™ clients. This is an expansion of an already well developed partnership. FYDec16E £7.99m rev and £4.8m loss.

Condor Gold (LON:CNR) 65p £34.39m

Placing at 62p together with a proposed Director's subscription of 161,290 units has raised £5.242m. The net proceeds will be used for general working capital purposes and to continue with the strategy to fully permit Mina La India in Nicaragua for a 2,800tpd processing plant with capacity to produce 100,000oz gold p.a., secure the surface rights for the rural land that host and surround the future mine infrastructure and continue work to demonstrate the significant exploration upside of the 2.4 millionoz gold resource at 4.0g/t gold at La India Project via scout drilling on new exploration targets that have never been drilled and expand some of the existing resource areas.

European Metals (LON:EMH) 76.5p £99m

EMH announced on Friday a  substantial upgrade of its JORC compliant Indicated Mineral Resource at the Company's 100% owned Cinovec Lithium/Tin Project in the Czech Republic, confirming its status as the largest Lithium resource in Europe.   Lithium Indicated Resource increased 50% to 3.9 Mt LCE, contained in 347.7 Mt @ 0.45% Li2O and 0.04% Sn (0.1% Li cut-off). Total contained tin in the Total Mineral Resource increases to 262,600 tonnes. Lithium Exploration Target remains 350 to 450 Mt @ 0.39% to 0.47% for 3.4 Mt to 5.3 Mt of LCE.

7digital Group (LON:7DIG) 7.87p £9.11m

The specialist in end-to-end digital music solutions, announced that it has signed a deal with DTS, a pioneer in audio solutions for automotive, mobile devices, home theatre systems and cinema. The Company has been contracted to partner with DTS, a wholly owned subsidiary of Tessera Holding Corporation, on the development of new high-resolution audio solution prototypes for the automotive market. DTS provides dashboard-mounted audio for several leading brands and its portfolio of technology is integrated in more than two billion devices globally. This deal is a significant move for 7digital into the in-car vertical. The deal will contribute to 7digital's revenues for 2017. FYDec17E

Premier African Minerals (LON:PREM) 0.875p £34.73m

The mining exploration and production company, reported further assay results from shallow drilling from its high grade Zulu Lithium and Tantalum Project. The drilling programme was designed to drill test for the extensive lithium mineralisation over the known 3.5 km strike length of this deposit. Exceptionally high grade lithium encountered at Zulu with Drill-hole ZDD-3 returning grades up to 3.3% Li2O between 25.14 meters and 54.15 meters down hole, including 4.3 meters from 40.15 meters grading 2.16% Li2O. A new drilling programme has commenced with the aim of increasing the size of further

Edenville Energy (LON:EDL) 0.85p £6.76m

£2m oversubscribed subscription at 0.8p. The net proceeds from the Subscription will be used predominantly for the advancement of mining development and to facilitate the Company's progress into full coal mining operations as soon as possible, including purchase of a wash plant and crusher and facilitate the transportation and installation of these items on site in Tanzania, and supporting infrastructure, including weighbridge facilities and implementing systems for coal delivery to customers.

*A corporate client of Hybridan LLP

Important Risk Warnings and Disclaimers 

This report is published by Beaufort Securities Ltd ("Beaufort Securities"). Beaufort Securities Ltd is Authorised and Regulated by the Financial Conduct Authority and is a Member of the London Stock Exchange. 

RELIANCE ON THIS NOTE FOR THE PURPOSE OF ENGAGING IN ANY INVESTMENT ACTIVITY MAY EXPOSE YOU TO A SIGNIFICANT RISK OF LOSING ALL OF THE FUNDS, PROPERTY OR OTHER ASSETS INVESTED OR OF INCURRING ADDITIONAL LIABILITY. 

This document is not an offer to buy or sell any security or currency. This document does not provide you with individually tailored investment advice. It has been prepared without regard to the your financial circumstances and objectives The appropriateness of a particular investment or currency will depend on your individual circumstances and objectives. The investments and shares referred to in this document may not be suitable for you. 

This research is non-independent and is classified as a Marketing Communication under FCA rules. As such it has not been prepared in accordance with legal requirements designed to promote independence of investment research and it is not subject to the prohibition on dealing ahead of the dissemination of investment research in COBS 12.2.5. However Beaufort Securities has adopted internal procedures which prohibit analysts from dealing ahead of non-independent research, except for legitimate market making and fulfilling clients' unsolicited orders. 

By receiving this document, you will not be deemed a client or provided with the protections afforded to clients of Beaufort Securities. When distributing this document, Beaufort Securities is not acting for you and will not be responsible for providing advice to you in relation to this document. Accordingly, Beaufort Securities will not be responsible to you for providing the protections afforded to its clients. 

Beaufort Securities may effect transactions in shares mentioned herein and may take proprietary trading positions in those shares, and may receive remuneration for the publication of its research and for other services. Beaufort Securities may be a shareholder in any of the companies mentioned in this report. Accordingly, this document may not be considered as objective or impartial. Additionally, information may be available to Beaufort Securities or the Group, which is not reflected in this material. The remuneration of the author of this report is not tied to the recommendations on any shares mentioned nor to the any transactions undertaken by Beaufort Securities or any affiliate company. Further information on Beaufort Securities' policy regarding potential conflicts of interest in the context of investment research and Beaufort Securities' policy on disclosure and conflicts in general are available on request. Please refer to http://www.beaufortsecurities.com/important-info. 

Past performance is not a guarantee of future performance. Investments may go down in value as well as up and you may not get back the full amount invested. The listing requirements for securities listed on AIM or the ICAP Securities & Derivatives Exchange are less demanding and trading in them may be less liquid than main markets. This may make it more difficult to buy and sell these securities. 

 

This document includes certain statements, estimates, and projections with respect to the anticipated future performance of securities listed on stock exchanges and as to the market for these shares. Such statements, estimates, and projections are based on information that we consider reliable and may reflect various assumptions made concerning anticipated economic developments, which have not been independently verified and may or may not prove correct. No representation or warranty is made as to the accuracy of such statements, estimates, and projections or as to its fitness for the purpose intended and it should not be relied upon as such. Opinions expressed are our current opinions as of the date appearing on this material only and may change without notice. Other third parties may have issued other reports that are inconsistent with, and reach different conclusions from, the information presented in this report. Those reports reflect the different assumptions, views, and analytical methods of the analysts who prepared them. This report has not been disclosed to any of the companies mentioned herein prior to its publication. 

This document is based on information Beaufort Securities has received from publicly available reports and industry sources. Beaufort Securities may not have verified all of this information with third parties. Neither Beaufort Securities nor its advisors, directors or employees can guarantee the accuracy, reasonableness or completeness of the information received from any sources consulted for this publication, and neither Beaufort Securities nor its advisors, directors or employees accepts any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with this document (except in respect of wilful default and to the extent that any such liability cannot be excluded by the applicable law). You should not rely on this document and should not use it substitution for the exercise of the independent judgment of yourself or your adviser. 

The information contained in this document is confidential and is solely for use of those persons to whom it is addressed and may not be reproduced, further distributed to any other person or published, in whole or in part, for any purpose. Other persons who receive this document should not rely on it. Beaufort Securities, its directors, officers and employees may have positions in the securities mentioned herein.

 

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use