TRADING UPDATES: East Star makes buy; Kromek wins USD17 million deal

(Alliance News) - The following is a round-up of updates by London-listed companies, issued on ...

Alliance News 26 October, 2021 | 5:39PM
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(Alliance News) - The following is a round-up of updates by London-listed companies, issued on Tuesday and not separately reported by Alliance News:

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East Star Resources PLC - shell company eyeing acquisition in natural resources sector - Enters into deal to acquire Discovery Ventures Kazakhstan Ltd, which has rights to certain prospective gold and base metals exploration licences in the Chu-ili and Rudny Altai mineral belts. Deal to be funded with issue of 45.0 million shares to shareholders of DVK. Deferred, performance-based consideration of 75.0 million shares also part of deal. "We are very excited to have completed the conditional acquisition of DVK. At a time of higher prices across the base metals complex and increasing resource scarcity we see enormous opportunity in Kazakhstan. Historically Kazakhstan has been a significant producer of precious and base metals but has remained largely underexplored by modern exploration techniques," East Star Director Sandy Barblett says.

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Kromek Group PLC - Sedgefield, England-based detection technology supplier - Wins seven-year supply deal with US-based "sector-leading industrial OEM". Customer has a "global" client base, Kromek notes. Says deal is to supply Kromek's contaminant detection solution and has value of up to USD17 million. Expected to begin in current financial year.

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Strategic Minerals PLC - London-based exploration and production company - Reports on third quarter sales from Cobre magnetite operation in New Mexico, US Says sales amounted to USD607,000, down from USD632,000 a year earlier. Sales volumes fall to 10,259 tonnes of ore, from 10,987 a year prior. Sales and volumes also below pre-pandemic levels of USD755,000 and 12,704 tonnes, respectively. "Cobre sales remain strong and the company continues to move its projects forward," Managing Director John Peters says. "The company has had significant discussions associated with debt style funding for the LCCM project and believes the rising copper price will result in securing such funding to allow the commencement of production at Leigh Creek which, subject to finance, is expected to commence in the first quarter of 2022."

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AfriTin Mining Ltd - African tin mining company which operates the Uis tin mine in Namibia - Begins drilling programme to potentially increase current lithium and tantalum inferred resource at Uis mine. Also to expand initial confirmatory drilling programme "to potentially expand the historical resource and reserve estimates at Uis". "The exploration programme has been split into various phases that will be initiated in the coming weeks and run over a period of approximately three years, with a focus on the high priority targets," company adds.

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Power Metal Resources PLC - exploration company seeking metal discoveries in the US, Australia and Africa - Says sampling at Tait Hill property at Athabasca Basin in Canada shows "uranium mineralisation both on the property, and extending outside of the previous property boundary". "Several significant historic uranium occurrences have now been mapped across the Tait Hill, Clearwater, and Thibaut Lake Properties and a Phase I work programme consisting of rock sampling and prospecting has commenced to follow up on several of these occurrences," Power Metal says.

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Anglo-Eastern Plantations PLC - palm oil and rubber producer in Indonesia and Malaysia - Says output of fresh fruit bunches rises 13% yearly in nine months to September 30. Says crude palm oil ex-Rotterdam price averages USD1,156 per metric tonne over nine months, up 74% year-on-year. "CPO prices are expected to be strong for the remaining part of the year due to strong demand as the Covid pandemic eases worldwide. Projected wetter-than-normal weather in most parts of Indonesia with elevated flood risks for the last quarter of 2021 could hamper the robust crop production, which in turn could sustain the current trend of CPO prices," Anglo-Eastern says.

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MetalNRG PLC - London-based investor in natural resources and energy - Notes Eqtec PLC says commissioning of waste-to-energy plant in Italy "continuing on track". MetalNRG is part of a consortium of co-investors at asset, led by London-listed Eqtec. Recent developments include an Eqtec technical team being on site and completing engineering surveys. MetalNRG notes site has been fully cleaned. "EQTEC Advanced Gasification Technology and associated technology items, including the syngas filter, water treatment unit, heat exchanges and thermal cracker reactor burner, have now been ordered and deliveries are due to start arriving in late November," company says. MetalNRG adds financial close of transaction, as well as fully recommissioning of plant, expected in second quarter of 2022. Adds: "We are confident, at this stage of proceedings, that this announced time-line will be maintained. We expect to provide another update on progress to the market in early 2022."

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Agronomics Ltd - invests in cellular agriculture and cultivated meat - Participates in EUR6 million bridge round for investee company Solar Foods Oy. Agronomics invests EUR3 million in form of convertible loan note. " This follows the announcement that the state-owned Finnish climate fund has invested EUR10 million to aid the build out of Solar Food's demonstration facility. Also joining this round are existing investors CPT Capital and Happiness Capital Ltd and new investor, LOSA Group," Agronomics says. Agronomics says the loan notes are expected to give it a 5.8% ownership in Solar Foods. In addition, Agronomics says proceeds it received from sales of shares in Insilico Medicine Inc was lower than first thought. Agronomics says sales proceeds were GBP378,561, lower than initially thought GBP475,540.

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Unicorn AIM VCT PLC - venture capital trust - Plans subscription to raise up to GBP25 million. "The prospectus, which will contain the full details and terms and conditions of the offer, is expected to be available in January 2022," Unicorn AIM says.

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Sure Ventures PLC - venture capital fund which invests in early stage software companies - Says investee Admix raises USD25 million in series B funding round. Admix plans to "scale up its In-Play solution worldwide and establish it as the content monetisation layer for gaming worlds and the formative metaverse". Sure Ventures has stake in Admix through 26% shareholder in Sure Valley Ventures. Pires Investments PLC, which holds interest in Sure Valley Ventures, notes Admix news.

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Tintra PLC - Windsor, Berkshire-based investment and advisor company formerly known as St James House - In pre-application stage for international financial entity licence in Puerto Rico. "A Puerto Rican IFE will provide the Ccompany with direct access to the New York Federal Reserve, allow the group to offer banking services to international (non-Puerto Rican resident) clients and will act as the company's pivot between Latin America, the US & Europe," Tintra says. Renegotiates terms of zero-coupon, secured loan note issued by MDC Nominees Ltd to company. It formed part of a restructuring in July 2018 which saw Tintra sell some units, one of them was Emex Technologies Ltd, sold to MDC. The GBP2 million 10-year loan note was to be repaid through a sinking fund made of amounts generated from a commercial agreement, Tintra says. Tintra says a review showed nothing achieved in relation to commercial agreement. However, one Emex legal claim was material with "considerable amount of work" undertaken. "As a result of the opinion, Emex has entered into a contingent fee arrangement with solicitors to progress this matter further," Tintra says. This sum is "considerably in excess" of GBP2 million loan note amount. Under new terms, the first GBP2 million received by Emex will repay loan note. "The company will on top of the amount due under the loan note now receive 60% of any amounts recovered after the payments made," Tintra adds.

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Empresaria Group PLC - Crawley, West Sussex-based specialist staffing - Says momentum picking up in second half of 2021. Says full year net fee income to be in range of GBP57 million and GBP59 million, with adjusted pretax profit to land between GBP7.4 million and GBP7.9 million, 9% to 16% ahead of market consensus. Net fee income in 2020 was GBP54.0 million, while adjusted pretax profit amounted to GBP5.2 million.

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Cambridge Cognition Holdings PLC - Cambridge, England-based digital neuroscience company - Pens deal for another "sizeable schizophrenia trial" with existing client. To provide digital cognitive assessments and specialist study management services. Latest deal is worth over GBP600,000 over three years.

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Yourgene Health PLC - Manchester, England-based diagnostics products firm - Says revenue in six months ended September 30 up to GBP17.5 million, increasing more than double from GBP8.2 million a year earlier. Also ahead of previous GBP15.0 million guidance. Expects swing to adjusted earnings before interest, tax, depreciation and amortisation of GBP2 million, from GBP200,000 loss a year prior. Expects annual revenue "to exceed current market expectations". Yourgene adds: "However, the exact scale of out-performance remains difficult to judge at this stage in the financial year."

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NetScientific PLC - London-based life sciences and sustainability, technology investment and commercialisation firm - Corporate finance and venture capital division EMV Capital Ltd advises GBP843,000 fundraise by Sofant Technologies, a 5G and Satcom antenna developer based in Edinburgh. NetScientific invests GBP300,000. "The investment will provide funding for new patented radio technology solutions which address several major challenges facing wireless communication systems today, including soaring energy costs. The funding also positions Sofant to launch its series A fund-raise in the coming year, after the demonstration of a commercial antenna module which is currently in development and expected to be completed later this year," company explains.

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Studio Retail Group PLC - online clothing and electricals retailer - Says product sales in first half ended September 24 "marginally ahead of the exceptional performance seen in the prior year" and 38% higher than two years earlier. On global supply chain and logistics disruption, company says: "As has been well publicised, global shipping container availability and costs have been materially disrupted in recent months. The business took a conscious decision early in the summer to secure its supply chain for the crucial trading period leading up to Christmas, aided by Studio's in-house sourcing office based in Shanghai. This included use of our contracted container shipping plus additional charter ships, which gives more guaranteed stock availability." Studio Retail says stock position is strong, with inventory levels about 10% higher than prior year. Company cautiously adds: "Studio typically delivers around 40% of its full-year product sales during the upcoming Q3 period that includes Black Friday and Christmas. Whilst the business is well positioned with a strong overall stock position, there are continuing headwinds in the wider market that make the outlook more uncertain than usual at this stage of the year."

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Tremor International Ltd - Tel Aviv-based advertising technology company - Partners with smart TV operating system provider VIDAA, which is pre-installed on most televisions manufactured by Hisense. "The partnership enables Tremor's technology platform to gain exclusive access to VIDAA's automatic content recognition data, both in the US and internationally," Tremor says.

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By Eric Cunha; ericcunha@alliancenews.com

Copyright 2021 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
MetalNRG PLC 0.26 -
Unicorn AIM VCT Ord 207.00 015 -
Agronomics Ltd 24.50 -
Sure Ventures Ord 97.50 708
Kromek Group PLC 13.25 -
NetScientific PLC 116.00 -
East Star Resources PLC 4.85 -
Tremor International Ltd 566.00 -
Yourgene Health PLC 12.50 -
EQTEC PLC 1.45 -
Studio Retail Group PLC 166.00 -
Tintra PLC 50.00 -
AfriTin Mining Ltd Ordinary Shares 4.90 -
Cambridge Cognition Holdings PLC 124.50 -
Anglo-Eastern Plantations PLC 730.00 -
Empresaria Group PLC 77.00 -
Strategic Minerals PLC 0.33 -
Power Metal Resources PLC 1.60 -
Pires Investments PLC 6.30 -

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