polo sheets new energy for Alkane and a flying update from Avation
Last week saw some ups and downs in the markets with the FTSE 100 pushing up to 6,874 points mid week from 6,723 at the start of the week and closing at 6,654 points, and the AIM All Share increasing by 5 points to 733, before closing at 724 points. Worries over the US Fed’s stimulus plan are thought to have been the main reason for the weak finish to the week for a number of global markets after comments that the Fed was looking to wind down its bond buying programme. The week thus far has seen the markets push higher with the FTSE opening 56 points higher following a positive session in Asia with signs that stimulus programmes in Europe and Japan will continue. The week ahead sees UK and US consumer confidence, and UK mortgage approvals data being announced.
RGO Funding update, ABDP First day of dealings on AIM, ALK Acquisition and Fundraising, APH AGM Statement, AGL appoints manufacturer for Parsortix, ATC Preliminary results, AVAP Open offer, CTEK Trading Update, ETQ Share Buy Back, GOOD announces financial close on wind farm, NPT Update, ODX fundraising to raise OMI Drilling Commenced, OUT Admission to trading on AIM, PGB Contract Win, POL Drilling update, QPP Major Contract, RENE Interim data, SSY Trading Statement, SPRP Lapsed Offer, SUN funding from industrial partner, ULT Strategic partnership
2ergo announced on 3 May 2013 that its funding negotiations were ongoing but that no further assurance could be given on the future of the Group until it was able to ascertain the quantum and terms of funding available. The Board has not been able to reach a conclusion with one particular fund raising option which was expected to close last week. The Board has immediately begun pursuing a number of other potential fundraising options and will update the market as soon as possible.
AB Dynamics (LON:ABDP)
AB Dynamics, a designer, manufacturer and supplier of advanced testing systems and measurement products to the global automotive industry, last week announced the admission of its ordinary shares to trading on the AIM Market of the London Stock Exchange and the commencement of dealings in its ordinary shares. The Company has raised before expenses through a placing at a placing price of 86p per share. A further has been raised to satisfy the sale of shares pursuant to a vendor placing. The Company will be using the proceeds of the IPO to fund expansion into a new factory, establishing a presence in Asia, further recruitment and the exploration of developing complementary technologies. The Company’s operating subsidiary, Anthony Best Dynamics Limited (ABD) was founded in 1982 and has grown to be one of the key suppliers of testing systems to the automotive research and development industry. It currently provides seventeen of the twenty major international car manufacturers, including Ford, Honda, BMW and Volkswagen, with testing and measurement products for vehicle suspension, brakes and steering for use in both the laboratory and on the test track. The Group is seeking to further establish itself as one of the leading providers of automotive testing systems to the global automotive industry through further investing in its technology and expanding its global reach. Originally ABD focused on mechanical vibration and vehicle suspension before extending its offering with a noise consultancy. Today, the Group has further added to its solution set with products that now fall into key automotive development sectors. The Group has a strong international distributor network, including in the USA, Brazil and the Far East facilitating the penetration of growing markets such as China and India. Tim Rogers, Managing Director of AB Dynamics, commented: “Trading in the current year is in line with management expectations. We believe public company status will support the planned growth of our business through funding a new facility and providing increased production capacity. Proceeds will also be used to establish a presence in Asia and the exploration of complementary technologies. The Company has thus far performed well since floating with the share price rising from 86 pence to as high as 120 pence and now currently at 114 pence.
Alkane Energy (LON:ALK)
Alkane Energy, the independent gas to power company, has conditionally agreed to acquire certain of the coal mine methane assets of Maltby Colliery from Maltby Colliery Ltd, a wholly owned subsidiary of Hargreaves Services (LON:HSP 877p/ The initial consideration for the acquisition of the Maltby CMM Asset is payable in cash, with an additional payment of payable, inter alia, upon completion of the full closure of the mine, expected to be during the first half of 2014. The acquisition will significantly increase the Group’s installed electricity generating capacity from CMM, bringing immediately operational assets and cash flow, thus avoiding the development lag of organically developed sites. Alkane is also pleased to announce that the Company has, via a cash box placing conditionally raised (gross) at a price of 27 pence per share. The initial consideration of the acquisition will be funded through an extension of existing bank facilities provided at the time of the acquisition along with the net proceeds of the placing. Excess financing will be used to provide additional working capital to support the continued investment by the Group in its core gas to power activities. As part of the financial arrangements at the time of, and conditional upon the completion of, the acquisition, Alkane has extended by its Group banking facilities. Neil O’Brien, Chief Executive Officer, commented: “This latest acquisition consolidates Alkane’s market leading position in CMM and it adds significantly to the Group’s core CMM operating capacity and provides an opportunity to further develop our Power Response business. Investor support for the Placing demonstrates commitment to Alkane’s growth strategy. We are committed to continue to develop the Group as the UK is beginning to see a tighter generating market and rising electricity prices.”Alliance Pharma, the speciality pharmaceutical company, held its Annual General Meeting in London last week. Michael Gatenby, the Company Chairman, said that trading in the first four months of 2013 has been six per cent ahead of the same period last year, with turnover of HydromolTM sales have continued to grow well. There have been reduced sales of Nu SealsTM in Ireland although measures to counteract generic competition are helping to mitigate the impact. Sales of the products acquired in 2012 were Adjusting for these acquired products, and for the unavailability of ImmuCystTM, sales have shown underlying growth of five per cent. Michael Gatenby said: continue to assess a number of acquisition opportunities and remain confident of bringing further transactions to completion in the near future. (LON:AGL)
The specialist medtech company this morning announced that the Company has appointed a manufacturer for its Parsortix non invasive cancer diagnostic product. ANGLE has selected Cogent Technology Limited to manufacture the Parsortix automated machine. The consumable for the system, the Parsortix cassette, will continue to be produced by specialist nano manufacturer thinXXS. The Parsortix automated machine can be configured either for the counting and identification of circulating tumour cells (CTCs) in the blood, or for the capture and harvesting of the CTCs from the blood for further molecular analysis. The appointment of Cogent enables ANGLE to increase manufacturing volumes to meet expected demand, initially for the research market and then for the clinical market. Cogent will provide robust manufacturing services and supply chain management in accordance with the necessary quality assurance methods for electro mechanical products destined for critical markets such as healthcare. The Company out sourcing strategy continues to be the best way to deliver the roll out of Parsortix, without the associated investment and running costs of undertaking these activities in house.
Atlantic Coal (LON:ATC)
Atlantic Coal, the opencast coal production and processing company with activities in Pennsylvania USA, announced unaudited preliminary results for the year ended 31 December 2012, which saw strengthened revenues of US$19,657,105 generated for the year (2011: US$13,991,971) and a reduced Group loss of US$2,661,557 (2011: loss of US$3,149,606). On an operational front, the Company saw increased production and sales experienced at Stockton during 2012 161,529 tons of clean coal produced and sales of 140,213 tons achieved (2011: 100,139 and 106,403 respectively), whilst also successfully relocating the Norfolk Southern Railroad diversion providing access to approximately 1.0 million tons of previously unworkable coal. Post period end, the Company has seen a 67 per cent increase in clean coal production at Stockton and a 91 per cent increase in coal sales in Q1 2013 to 53,131 tons and 53,324 tons respectively (Q1 2012: 31,729 tons and 27,913 tons), whilst also exercising of lease option agreement over the fully permitted 410 Pott Bannon anthracite coal mining property believed to contain 4.1 Mt of clean coal. The open offer was at 60p per share (representing a discount of 20.5 per cent to the closing middle market price on May 3), raising approximately (net of expenses), which will be used to fund the on going “Pre Delivery Payments” programme for the supply of new aircraft under the 4 March 2011 sale and purchase agreement between the Company and ATR, with such aircraft to be leased to Virgin Australia. The balance of the purchase price for these aircraft is proposed to be funded with debt.
China ChainTek United Co (LON:CTEK)
China ChainTek United Holdings Co., Ltd, the provider of logistics services to manufacturers of consumer goods in China, this morning gave an update on trading for the four month period ended 30 April 2013. Trading for the period has been slightly ahead of management expectations with revenue of RMB110.3m (approximately which represents a 7 per cent increase to the comparable quarter in 2012. Of this, the logistics services business represented RMB95.1m (approximately with the inventory solutions business accounting for RMB15.2m (approximately In line with the Company stated strategy of diversifying its logistics services client base, 30 per cent of revenues in the period came from industries other than sport shoes and apparel, compared to 27 per cent in the equivalent period in 2012. Since the start of the year, the Company has added seven new customers in its logistics services business (one in food industries, four in construction materials industries and another two in other industries) and one new customer in its inventory solutions business. EBITDA for the period was RMB92.6m (approximately compared to RMB83.5m (approximately for the equivalent period in the prior year. PBT was RMB91.6m (approximately which represents a 12 per cent increase to the comparable quarter in 2012 of RMB81.8m (approximately As at 30 April 2013, the Group had a net cash position of RMB210.5m (approximately As announced on 19 March 2013, the Company intends to build a logistics park which will be located on a plot of land in an industrial zone in Jinjiang just 14km from the Group existing operational headquarters, and which already houses a number of ChainTek existing manufacturer customers. The Company has entered into agreements with the local government and the developer of the logistics park to acquire the Land Use Right over the plot of land and will satisfy the final condition of the acquisition when it pays the final tranche of the consideration, which it anticipates doing in Q4 2013. These shares were immediately to be cancelled. The Company advised that, following the buy back and cancellation, the Company’s issued ordinary share capital will be 2,860,516 Ordinary Shares. Following the buy back and cancellation, Elsina Limited holds 470,000 Shares, representing, 16.4 per cent. of the issued ordinary share capital of the Company.
Good Energy Group (LON:GOOD)
Good Energy Group, owner of Good Energy Limited, the 100 per cent renewable electricity company, last week announced that it has reached financial close on its 8.2MW onshore wind farm site located in Hampole, near Doncaster. Following the acquisition of the consented wind farm site from RWE Npower Renewables Limited earlier this year, Good Energy has now secured the requisite debt financing for the project. The total cost of the project is circa Under the financing arrangements, Investec will provide a non recourse project debt facility and Good Energy will provide the balance from existing cash resources. Good Energy will retain 100 per cent of the equity in the project. The site has planning permission for the construction of four turbines with a total generation capacity of 8.2MW. Good Energy has agreed to purchase the turbines from Repower Systems SE. The wind farm is expected to generate around 20,000 MWh a year equivalent to approximately 4,800 homes nearly doubling the amount of electricity that Good Energy generates from wholly owned generating assets. Commissioning of the wind farm and its operational commencement is expected to take place in Q1 2014. The wind farm will form part of Good Energy’s plans to achieve 110MW of new renewable energy generating capacity by 2016.
NetPlay TV (LON:NPT)
NetPlayTV, the interactive gaming company, held its AGM today at which the Chairman stated that Q2 average daily net revenues continue to grow compared with the same period last year. This follows results for the year to 31 December 2012 which saw profits increase by 470 per cent to (2011: and a good Q1 performance. The Company is also recommending a maiden final dividend of 0.225p per share. NetPlayTV expects to announce its Q2 KPIs on 9 July 2013.
Omega Diagnostics Group (LON:ODX)
Omega, the medical diagnostics company focused on allergy, food intolerance and infectious disease, last week announced that it has conditionally raised before expenses at 17 pence per share. As part of the Company expansion plans, it intends to use the net proceeds of the Fundraising to continue the implementation of its allergy instrumentation strategy and to fund a final instalment due under the Patent Licence Agreement with IDS. A large proportion of the net proceeds will also be used to fund the initial Visitect CD4 inventory build requirement and to roll out the test into field trials. The remainder of the net proceeds of the Fundraising will be used by the Company to explore opportunities that may exist in the HIV viral load area, settle outstanding loans when falling due and for general overheads and working capital.
Orosur Mining (LON:OMI)
Orosur Mining Inc. announced that drilling has commenced at the Company’s Anillo gold silver prospect in northern Chile. In line with Orosur’s plans, the Company initiated the drilling of an initial 3,000 meters of Reverse Circulation Drilling at Anillo on May 23th, distributed in approximately 10 holes to test the highest priority targets for El Pe type, high grade epithermal gold mineralisation. Outsourcery is one of few independent pure play Cloud Service Providers and is establishing market leadership in the UK. Outsourcery is positioned to take advantage of the systemic market shift in the provisioning of ICT from an or service deployment model to a Cloud based model. Outsourcery provides a wide range of Cloud based IT and communications services via its network of partners to both larger enterprises and SMEs. Outsourcery has secured commercial relationships with companies such as Vodafone, Virgin Media Business, BT, HP and Atos to enable these and over two hundred smaller partners to deliver Cloud Services to their end customers. The Group has won a number of notable direct customer contracts, including Pearson plc and London Business School. Outsourcery works closely with its partner network to deploy its Cloud Services to their end customer base. The Company has thus far performed well since floating on the AIM with the share price rising from 110 pence to as high as 140 pence, and now currently at 135 pence. Outsourcery Cloud Services are deployed on its proprietary O Cloud platform. The Directors estimate that the Group has invested approximately to date in developing its business and the O Cloud platform.