Westminster Group (LON: WSG) has signed a 15 plus year contract for security services at four airports in Gabon. The company will invest in upgrading the security equipment at the airports. Pantheon A Family Office has invested £1.2m at 1.2p/share. The share price recovered 27.3% to 1.4p.
Johnson Service Group (LON: JSG) reported slightly better than expected full year results with underlying 2024 pre-tax profit of £54.8m with Investec expecting an improvement to £66.2m this year. The growth is coming from the hotel and catering market with volumes improving and the new Crawley facility coming on stream. Workwear revenues are flat, and profit contribution was slightly lower despite good customer retention. New contracts should improve the results of the division. The positive outlook enabled a 43% increase in total dividend to 4p/share and a £30m share buyback. Net debt is £68.6m. Johnson Service Group is considering a move to the Main Market. The share price improved 10.2% to 145.3p.
KRM22 (LON: KRM) has won a three-year contract with an existing futures commission merchant client. The £1.1m contract is for its risk management software product. Annualised recurring revenues are £7m. The share price rose 4.08% to 25.5p.
Gelion (LON: GELN) has secured £100,000 of phase 2 grant funding and a booster grant of £75,000 for commercialisation of its battery recycling technology. This would be followed by pilot trials in 2026. The recycling technology could be highly valuable to the company. The share price rebounded 3.92% to 13.25p.
FALLERS
Shares in Savannah Energy (LON: SAVE) returned from suspension and raised £30.6m at 7p/share. There is also a $200m acquisition facility for the oil and gas company. In 2024, total income was $393.6m, including rebilling of foreign exchange losses. Net debt was $634m at the end of 2024. The proposed deal to acquire the interests in Petronas in South Sudan has not happened. The share price slumped 63.3% to 9.625p.
Vela Technologies (LON: VELA) has raised £1.1m at 0.0025p/share to invest in its new strategy and is changing its name to Caledonian Holdings (LON: CHP). Jim McColl, former boss of Clyde Blowers, and Chris Cooke have joined the board. A share capital reorganisation is required to lower the par value and issue the shares. The new policy is to invest in financial services businesses, particularly wealth management, fintech and specialist lending. The share price declined by two-fifths to 0.003p.
An acceleration by Google of the move from Adsense for Domains (AFD), set for 19 March, is going to hit revenues of Team Internet Group (LON: TIG). The uncertainty has also led to the Verdane deciding not to make an offer for the company. AFD is an important contributor to the search business and the company guides a reduction in EBITDA from $57m to $20m-$25m in 2025 as it adjusts to the switch to Related Search on Content (RSOC). Management believes that it can rebuild profitability as clients switch and it learns how to optimise results. The rest of the business continues to grow so the 2025 EBITDA guidance is a fall from $92m to $60m-$65m. Net debt will continue to reduce from the current level of $97m, but at a slower pace than previously expected. The share price dived 40.1% to 59.1p.
Cloud based editing technology supplier Blackbird (LON: BIRD) reported a 17% decrease in 2024 revenues to £1.6m because of the loss of the A+E Networks contract. The loss reduced from £2.6m to £2.4m. The elevate.io collaborative editing product has more than 40,000 users and in February the first paid plan was launched. The share price fell 20.8% to 4.75p.