Mineral sands project developer Capital Metals (LON: CMET) has signed a potential 100% offtake and investment agreement with LB Group, which is the largest manufacturer of titanium dioxide pigments and sponge. LB Group will fully fund the Eastern Minerals project in Sri Lanka up to the estimated cost of $81m in the preliminary economic assessment. After that the joint venture will fund additional costs on a 50/50 basis. The plan is to build up production to 1.65 million tonnes per annum. Most of the due diligence for the deal has already been done. The share price jumped 54.5% to 4.25p
Marechale Capital (LON: MAC) says investee company Burgh Island has announced a proposed sale, enabling a realisation of the 4.9% investment. Investee company Weardale Lithium has extracted lithium carbonate from geothermal brines. The share price rose 32.6% to 1.525p. NAV was 3.6p a share at the end of 2022.
Restaurants operator Comptoir (LON: COM) says revenues grew in double digits and there are plans to open more restaurants. Pre-tax profit fell from £1.5m to £902,000 in 2022 because of higher overheads. Net cash was £7.7m at the end of 2022. The share price increased 21.7% to 7p.
Coal miner Bens Creek (LON: BEN) says shareholder MBU Capital has sold a 29.9% stake at 18p a share to Singapore-based Avani Resources, which trades raw materials for steel and power production. The share price improved 17.7% to 20.6p.
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Fallers
Purplebricks (LON: PURP) says that the number of new instructions did not increase in the fourth quarter and that means revenues and EBITDA will be worse than expected in the year to April 2024. The company’s payment processor is withholding a portion of remittances and cash was £9.1m at the end of April 2023, compared with previous expectations of £15m. The formal sale process continues, and management says that it wants to conclude this as soon as possible so the future of the business is clarified. Strike Ltd has decided not to make an offer. The share price dived 72.9% to 1.485p.
Marwyn Investment Management has decided not to invest £10m at 10.5p a share in Unbound Group (LON: UBG) and the share price has slumped by 58.6% to 3p. There is concern about the footwear retailer’s trading. Management says that it will require further covenant waivers from its funders. Options for raising cash are being considered.
PetroNeft Resources (LON: PTR) says Stimul-T LLC, operator of licence 61, has filed for voluntary bankruptcy in Russia. PetroNeft is one of two shareholders in WorldAce Investment, which owns Stimul-T, and it has issued the holding company a demand notice for service charges of $980,000. The closure of a pipeline has led to the suspension of operations on licence 61. PetroNeft is trying to sell licence 61 and the producing licence 67. An auditor is being sought, but the 2022 accounts will not be published by the end of June, which will lead to share trading being suspended. The share price dipped 56.4% to 0.12p.
Data processing technology developer Ethernity Network (LON: ENET) raised £783,500 at 3p a share. There was a broker option that could have raised a further £100,000, but no additional shares were issued. The cash will be used to buy capital equipment for testing facilities and for working capital. There is increasing interest in the company’s products and 2023 revenues could reach $9m. The share price fell 55.2% to 2.8p.