Warpaint London (LON: W7L) is bidding 48p/share in cash for Brand Architekts (LON: BAR), valuing the company at £13.9m. There is a share alternative. Warpaint London believes that its relationships with retailers will help to boost sales of the health and beauty brands, such as Skinny Tan and Super Facialist, owned by Brand Architekts, which has high overheads compared with its revenues. The acquisition should be earnings enhancing in 2025. Brand Architekts shares doubled to 48p. Warpaint London shares fell 6.12% to 522p. That is after raising £14m at 510p/share with up to £1m more to come from a retail offer.
Cannabis-based medicines developer Celadon Pharmaceuticals (LON: CEL) has finally received the balance of £150,000 from the May 2024 subscription at 105p/share. The share price increased 40.8% to 17.6p.
Blue Star Capital (LON: BLU) said it did not know why the share price was rising. After this announcement it turned out that Christophe Sebakhi had increased his shareholding from 4.1% to 6.2%. The share price ended the week two-fifths higher at 0.0175p.
K3 Business Technology (LON: KBT) is selling its UK SYSPRO business NexSys to SYSPRO owner Advent for £36m. This business generated 109% of group EBITDA and 28% of group revenues. K3 Business Technology intends to return cash to shareholders. The company’s remaining operations are K3 Fashion and Pebblestone, the IKEA software business and other retail software. The share price improved 37.6% to 86p.
FALLERS
SDX Energy (LON: SDX) plans to leave AIM because of the costs of the quotation and the greater flexibility as a private company. Potential investors would prefer to invest in an unquoted company. It is the intention to put in place a matched bargains facility. The strategy continues to be to become a vertically integrated gas and renewable energy producer in Morocco. If shareholders agree, then the quotation will be cancelled on 9 January. SDX Energy joined AIM in May 2016 at 18p/share. The share price slumped 63.6% to 0.71p.
Fashion retailer Quiz (LON: QUIZ) has been hit by falls in online and stores revenues, although there was an improvement in international revenues, in the four months to the end of November. There was a sharp decline in November. Overall revenues fell 6% to £24.9m. Annual costs will be increased by £1.7m as a consequence of the Budget. Net debt is £2.8m and the £4m of bank facilities could be fully utilised by early 2025 and additional funds will be required. The company’s founder has offered a £1m loan. The share price dipped 43.2% to 3.04p.
United Oil & Gas (LON: UOG) has not received the $620,000 owed following the disposal of Egyptian and discussions continue with EGPC. Costs are being reviewed and they will be reduced to a bare minimum. Talks concerning the farm out in Jamaica have been suspended until the New Year. The share price dipped 41% to 0.115p.
Goldstone Resources (LON: GRL) is in talks with Blue Gold International concerning an extension for the repayment of the £2.7m owed through convertible loan notes. It was due to be repaid at the end of November and Goldstone Resources has five business days to negotiate the extension or it will be obliged to repay the loan notes. The share price fell 39.7% to 0.95p.