Small Cap Wrap – Eddie Stobart Logistics, BlueRock Diamonds, Applegree and more…

0
6

22 Dec 2020

@HybridanLLP

*A corporate client of Hybridan LLP

 

Dish of the day

Schroder BSC Social Impact Trust plc   (LON:SBSI) has raised £75m and joined the main market (prem).   The Company’s investment objective is to be the first London listed investment company to deliver measurable positive social impact as well as long term capital growth and income, through investing in a diversified portfolio of private market impact funds, co-investments alongside impact investors and direct investments in order to gain exposure to private market Social Impact Investments. 

 

Ecofin U.S. Renewables Infrastructure Trust (LON:RNEW) IPO today raising $125m to invest in a diversified portfolio of mixed US renewable energy assets with an attractive long-term income stream. Main Market Premium.

 

Off the menu

No Leavers Today

What’s cooking in the IPO kitchen?

HSS Hire Group,HSS.L transfer from Main to Aim. Mkt Cap c. £70m. Recently raised £52.6m. Leading supplier of tool and equipment for hire in the United Kingdom and Ireland and has provided equipment hire services in the United Kingdom for more than 60 years, primarily focusing on the B2B market.  Due 14 Jan 2021.

 

Vector Capital to float on AIM, a commercial lending Group that offers secured loans primarily to businesses located in the UK. Substantially all of the Group’s loans are secured by a first legal charge against real estate. The Group’s customers typically borrow for general working capital purposes, bridging, land development and acquisition. As of 30 September 2020, the Group had a loan book of £34.7m, with an average loan size of approximately £0.57m. Raising £3.1m at 38p. Mkt Cap £16m.

Due 29th December. 

 

VH Global Sustainable Energy Opportunities plc, a closed-ended investment Company focused on making sustainable energy infrastructure investments, today announces intends to launch an initial public offering  of shares on the Official List (Premium) of the Main Market of the London Stock Exchange.  Due by Early Feb 2021.

 

Eddie Stobart Logistics (LON:ESL) converting to an AIM investing company. Name change to Logistics Development Group. Focus sectors: logistics, transport, warehousing and e-fulfilment assets. £9m to be raised via a placing and subscription and up to £7m via open offer. Market cap c.£35.1m. Due New Years Eve.

 

Reverse take-over under rule 14 by MelodyVR (AIM:MVR) Group of Rhapsody International, trading as Napster.  Upon completion of the transaction, Napster will be a wholly-owned subsidiary of MelodyVR Group. The enlarged group will combine the service offerings of MelodyVR and Napster, offering music fans a consolidation of music artist’s repertoires including recorded music, short form video content, long form video content, digitally ticketed live streams, educational videos and immersive AR/VR content, into one premium subscription product. Raising $10.1m. Market cap £92.4m at 3.75p.

Due 29 December.
 

Banquet Buffet

BlueRock Diamonds 49.5p  £4.32m (LON:BRD)

The diamond producer, which owns and operates the Kareevlei Diamond Mine in the Kimberley region of South Africa, has updated on its expansion plans. Crushing circuit to be completed by the end of 2020 and will be commissioned in early January 2021. The rest of the plant is expected to be installed in phases during Q1 2021 to ensure no disruption to operations. Guidance for Q1 2021 is to process 130,000 tonnes, 75% up on Q1 2020 of 74,000 tonnes. Production guidance of between 850,000 and 1,000,000 tonnes for 2021 remains unchanged.

 

Applegree 515p  £621m (LON:APGN)

Recommended cash offer.  BidCo, a newly formed company wholly owned by B&J Holdings Limited and Blackstone Infrastructure Partners, will acquire the entire issued and to be issued share capital of Applegreen.   Under the terms of the Acquisition, Applegreen Shareholders will be entitled to receive: for each Applegreen Share EUR5.75 in cash. The Acquisition represents a premium of approximately 48.2 % to Applegreen’s Closing share price of EUR 3.88 on 9 December 2020 (being the last Business Day prior to the publication of the Possible Offer Announcement on 10 December 2020). Applegreen  is a roadside retailer focused on fuel, c-store and food to go, with operations in Ireland, the UK and the US.

 

Open Orphan 23.75p  £159m (LON:ORPH)

Open Orphan PLC, a rapidly growing specialist pharmaceutical services CRO and a world leader in vaccine and antiviral testing using human challenge clinical trials, announces a contract renewal extending its consultancy services with a major top-3 global pharmaceutical client to December 2021. Through the Venn Life Sciences  team in the Breda office in the Netherlands, Open Orphan provides independent, up-to-date and hands-on Chemistry, Manufacturing & Control  consultancy services to a leading global pharmaceutical client and has done since 2012.   Venn’s CMC consultancy team provide essential support for two of this client’s vaccine development programmes and these successful collaborations have been extended until December 2021.

 

Versarien 38.325p  £65m (LON:VRS)

The advanced materials engineering group, has agreed to acquire certain graphene production related assets and intellectual property from South Korea based Hanwha Aerospace Co. Ltd, for consideration comprising 11,000,000 ordinary shares of 1 pence each in the Company. The consideration is equivalent to £4.34m at the 39.475 pence per Ordinary Share closing mid-market price on 18 December 2020. In addition, the Company has entered into a subscription agreement with Lanstead Capital Investors LP  to subscribe for 8,750,000 new Ordinary Shares  at 40 pence per Subscription Share raising gross proceeds of £3.50m, the proceeds of which will be used for an additional sharing agreement with Lanstead. The Acquisition comprises a portfolio of over 100 patents and patent rights, many originally developed by Samsung in South Korea,   covering CVD graphene manufacturing methods and related applications, together with manufacturing equipment suitable for producing high quality large format electronics grade graphene.

 

CAP-XX 9.05p  £41.34m (LON:CPX)

The specialist in the design and manufacture of thin, prismatic supercapacitors and energy management systems, has made its first customer shipments of supercapacitors from its new production lines at the newly constructed headquarters facility at Seven Hills, Sydney. The production of these products, to the customers’ requirements, follows the successful installation of the former Murata production lines previously announced.  The board is also pleased to report that the level of customer enquiries and sales orders continues to increase.

 

UK Oil and Gas 0.14p  £17.6m (LON:UKOG)

UKOG announced that following the judicial review  hearing of 17-18 November 2020, the Hon Justice Holgate has today published his judgement which comprehensively dismisses the challenge to the lawfulness of Surrey County Council’s  September 2019 planning consent for long-term oil production at the Company’s 85.635% owned Horse Hill oil field. The written judgement rejects the challenge’s three grounds and, therefore, the Company’s production planning consent remains in full force.

 

Intercede Group 84.5p  £42.7m (LON:IGP)

The leading specialist in digital identities, credential management and secure mobility announced a new contract win with a large US defence contractor. The initial order totalling $0.2m includes MyID Enterprise software licenses plus associated support & maintenance and professional services. This contract win is noteworthy, not only because another top 10 US defence contractor has selected MyID to help secure their mission critical assets, but also due to the short lead time involved which was less than three months from initial Partner introduction to receipt of order. 

 

Katoro Gold  2.10p  £6.9m (LON:KAT)

The gold and nickel exploration and development company, has raised £960,000 (gross), through a placing and subscription of new ordinary shares at 2 pence per share, conditional to approval at a General Meeting (GM’ that will be held on or around 15 January 2021 to seek approval from shareholders to increase the Company’s authorised share capital. Comes with 1 for 1 warrants at 3p with a 3 year expiration.  The Fundraise will significantly bolster the Company’s ability to continue uninterrupted with work on its projects during the current uncertainty and unpredictability associated with COVID-19 and to advance the project funding initiatives as well as complete technical study work for the Blyvoor Gold Tailings Project and also expanded follow-up work on the Haneti nickel exploration programme.

 

Kibo Energy 0.2p  £4.44m (LON:KIBO)

The multi-asset, Africa focused, energy company, is delighted to provide a progress   update on the Benga Power Plant Project in Mozambique. Current Non- Binding Term Sheet for Coal Supply from Vale converted into a mutually binding Term Sheet to secure coal supply for BPPP; (See RNS of 5 September 2019). Lesedi Nuclear Services (Pty) Ltd (LNS) completed optimised Definitive Feasibility Study (DFS) based on current Base Case DFS successfully, enhancing project economic viability and bankability; and findings of the final draft optimized DFS presented to the technical and commercial team of EDM on 17 December 2020.

 

IQGeo Group  84p  £48.14m (LON:IQG)

Significant new contract for software and services with a major tier 1 Canadian telecoms network operator. The new contract has an order value of £1.2m for software licence subscriptions and implementation services to be recognised over three years. IQGeo™ is leading developer of geospatial software, which delivers improved productivity and collaboration across enterprise planning, design, construction, maintenance and sales processes for telecoms and utility network operators. 

 

Head Chef

Derren Nathan

0203 764 2344

[email protected]

Status of this Note and Disclaimer

This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectives, financial situation or needs of any specific entity and is not a personal recommendation to anyone. Recipients should make their own investment decisions based upon their own financial objectives and financial resources and, if any doubt, should seek advice from an investment advisor.

The information contained in this document is based on materials and sources that are believed to be reliable; however, they have not been independently verified and are not guaranteed as being accurate. This document is not intended to be a complete statement or summary of any securities, markets, reports or developments referred to herein. No representation or warranty, either express or implied, is made or accepted by Hybridan LLP, its members, directors, officers, employees, agents or associated undertakings in relation to the accuracy, completeness or reliability of the information in this document nor should it be relied upon as such.

Any and all opinions expressed are current opinions as of the date appearing on this document only. Any and all opinions expressed are subject to change without notice and Hybridan LLP is under no obligation to update the information contained herein. To the fullest extent permitted by law, none of Hybridan LLP, its members, directors, officers, employees, agents or associated undertakings shall have any liability whatsoever for any direct or indirect or consequential loss or damage (including lost profits) arising in any way from use of all or any part of the information in this document.

This document is sent to you as market commentary only. As market commentary this document does not constitute any of (i) investment research and financial analysis or other forms of general recommendation relating to transactions in financial instruments for the purposes of section B of annex I to Directive 2014/65/EU (“MIFID II Directive”); or (ii) investment research as defined in article 36(1) of Commission Delegated Regulation 2017/565/EU made pursuant to the MIFID II              Directive; or (iii) non-independent research (as such term is defined in the Financial Conduct Authority’s Conduct of Business Sourcebook).

This document should not be relied upon as being an independent or impartial view of the subject matter. The individuals who prepared this document may be involved in providing other financial services to the company or companies referenced in this document or to other companies who might be said to be competitors of the company or companies referenced in this document. As a result both Hybridan LLP and the individual members, officers and/or employees who prepared this document may have responsibilities that conflict with the interests of the persons who receive this document. Hybridan LLP and/or connected persons may, from time to time, have positions in, make a market in and/or effect transactions in any investment or related investment mentioned herein and may provide financial services to the issuers of such investments.

In the United Kingdom, this document is directed at and is for distribution only to persons who (i) fall within article 19(5) (persons who have professional experience in matters relating to investments) or article 49(2) (a) to (d) (high net worth companies, unincorporated associations, etc.) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (SI 2005/1529) (as amended) or (ii)  persons who are each a professional client or eligible counterparty (as those terms are defined in the Financial Conduct Authority’s Conduct of Business Sourcebook) of Hybridan LLP (all such persons referred to in (i) and (ii) together being referred to as “relevant persons”). This document must not be acted on or relied up on by persons who are not relevant persons. For the purposes of clarity, this document is not intended for and should not be relied upon by any person who would be classified as a retail client under the Financial Conduct Authority’s Conduct of Business Sourcebook.

Neither this document nor any copy of part thereof may be distributed in any other jurisdictions where its distribution may be restricted by law and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Distribution of this report in any such other jurisdictions may constitute a violation of territorial and/or extra-territorial securities laws, whether in the United Kingdom, the United States or any other jurisdiction in any part of the world.

Hybridan LLP and/or its associated undertakings may from time-to-time provide investment advice or other services to, or solicit such business from, any of the companies referred to in this document. Accordingly, information may be available to Hybridan LLP that is not reflected in this material and Hybridan LLP may have acted upon or used the information prior to or immediately following its publication. In addition, Hybridan LLP, the members, officers and/or employees thereof and/or any connected persons may have an interest in the securities, warrants, futures, options, derivatives or other financial instrument of any of the companies referred to in this document and may from time-to-time add or dispose of such interests.

This document may not be copied, redistributed, resent, forwarded, disclosed or duplicated in any form or by any means, whether in whole or in part other than with the prior written consent of Hybridan LLP.

Hybridan LLP is a limited liability partnership registered in England and Wales, registered number OC325178, and is authorised and regulated by the Financial Conduct Authority and is a member of the London Stock Exchange. Any reference to a partner in relation to Hybridan LLP is to a member of Hybridan LLP or an employee with equivalent standing and qualifications. A list of the members of Hybridan LLP is available for inspection at the registered office, 2 Jardine House, The Harrovian Business Village, Bessborough Road, Harrow, Middlesex HA1 3EX.

LEAVE A REPLY

Please enter your comment!
Please enter your name here