Shares in Itsarm (LON: ITS) jumped 1480% to 3.15p, which is the highest it has been since March. David Craven and Jean-Paul Rohan are joining the board and the winding-up petition has been withdrawn. James Sharp and Richard Monaghan are stepping down without compensation and are not being paid fees for July. A new proposal reduces liabilities to around £140,000 and current cash is £223,000. The company is a shell and trading in the shares will be suspended if it does not find a takeover candidate by 27 September.
Battery technology developer AMTE Power (LON: AMTE) announced it has secured a £1m loan facility from Arena Investors, which has relinquished conversion rights on the £3.75m convertible bond in return for warrants over 2% of the enlarged share capital. This latest loan will provide time to complete a £2.5m subscription by an unnamed investor at an indicative price of 1.7p/share, subject to due diligence. The new investor would own 80% of AMTE Power and there will be enough cash until September. The share price soared 160% to 9.75p.
Engineering and technical recruitment company RTC Group (LON: RTC) increased interim revenues by one-third and moved from a £400,000 loss to a £1m pre-tax profit. An interim dividend of 1p/share is proposed. There was a strong recovery in the rail business, despite strikes. Management believes that there will be further progress in the second half. There had been no trades in the shares for more than one week and there were more than 430,000 shares traded in the last three days of the week. On Thursday there were more shares traded than in any single day for nearly two years. The share price jumped 122% to 40p.
Analytics-as-a-Service company Actual Experience (LON: ACT) has signed a letter of intent with Logicalis International, a subsidiary of Datatec, for the first sale of a joint venture product based on the company’s Digital Workplace Management Platform delivered via the Logicalis platform. The share price doubled to 1.05p, having reached 1.55p at one point after the news was announced.
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Fallers
Wandisco (LON: WAND) shares slumped 93.1% to 90p after the data software company returned from suspension. Wandisco recently raised £23.8m at 50p/share. The share suspension came about because of fraudulent irregularities in its accounts. There were $115.5m of false orders in 2022 and $14.9m of this was recognised as revenues. The additional cash raised will help to boost sales and marketing. The interim chief executive is in place and two non-execs have been appointed.
WH Ireland (LON: WHI) has raised £5m at 3p/share and this has knocked two-thirds off the share price to 7.5p. The broker is loss making and it does not believe that trading is going to improve this year. Cash outflows meant that WH Ireland did not have the required regulatory capital and the FCA may have required a solvent wind down of the business if cash were not raised. This is why the placing discount was so high. There are plans to reduce annual overheads by up to £4m. Management will take some of their salary in shares. This should help to make the company more financially stable. Asset sales are a possibility.
Safestyle UK (LON: SFE) says interim trading is in line with forecasts, but the loss is much higher. Demand has been hit by increasing interest rates and that means that the second half will be poor. The windows supplier has been hit by a lower number of installations and a decline in the average number of frames for each installation. Costs savings have helped to offset the decline, but Zeus has downgraded its 2023 forecast from a pre-tax profit of £2m to a loss of £5.5m. The share price slumped by 43.9% to 10.15p.
RBG Holdings (LON: RBGP) is writing off the value of £13.3m of its remaining litigation cases, including an unsuccessful case valued at £9.3m. Any return from the cases will be treated as revenues. The core business is taking longer to complete transactions. This has led to a reduction in the underlying 2023 pre-tax profit forecast to £5.9m and RBG has decided to reduce debt rather than paying dividends. The share price dived by one-third to 17.5p.