Shell company Advance Energy (LON: ADV) was the best performer of the week rising 111% to 0.175p before trading was suspended. A fundraising generated £425,000 at 0.085p a share. There are warrants attached to each new share that are exercisable at 0.13p a share. The cash will enable management to investigate a suitable reverse takeover candidate and fund due diligence. Management is already assessing candidates and is in talks with the majority owner of a European oil and gas company. Any deal will be funded with shares and via an earn-out based on production. The suspension will continue until a prospectus is published or the deal does not happen.
Tertiary Minerals (LON: TYM) has signed a technical co-operation agreement with First Quantum Minerals for two copper projects in Zambia – Mukai and Mushima North. Mukai is next door to First Quantum’s Trident project. First Quantum also has interests in the same region as Mushima North. First Quantum will supply historical exploration date for the areas. First Quantum does not have any first right of refusal over the projects. Tertiary Minerals increased by 72.1% gain to 0.185p a share.
Labro Investments Ltd, which is associated with Chaarat Gold Holdings (LON: CGH) chairman Martin Andersson, has acquired shares in the Kyrgyz Republic-focused gold producer. It bought 261,373 shares at 9.82p each and 260,000 at 11.18% each. That takes the stake associated with Martin Andersson to 45.6%. the share price increased by 53% to 14.5p.
Baby products retailer Mothercare (LON: MTC) bounced back after its full year figures were reported. The share price was 45.6% ahead at 9.975p. Revenues fell from £85.8m to £82.8m, but Mothercare returned to profit. The figures were at the top end of expectations and the company was cash generative. finnCap forecasts a fall in pre-tax profit from £8m to £1.9m this year, but net debt should fall from £9.9m to £8.7m. The pension deficit is declining.
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Fallers
Retail brand Joules (LON: JOUL) has ended its talks with retailer NEXT (NEXT) about a cash injection, leaving it with the need to find another source of funding. That could require a share issue and it led to a 61% decline in the share price last week to 8.2p. Octopus has sold its entire 9.93% stake and Canaccord Genuity reduced its shareholding from 9.54% to 4.63%.
More delays have hit printed circuit technology supplier Trackwise Designs (LON: TWD) and it is trying to renegotiate the large contract with a UK electric vehicle client. Production volumes will be even lower than previously expected and that causes problems with the financing of capital equipment leaving Trackwise Designs short of cash. The company hopes to secure an advanced payment from the EV customer to ease the problem, but further funding will be required. Trackwise Designs is seeking partners in certain sectors, including EV, medical and aerospace. The share price slumped 54.8% to 9.5p.
Broker and administrator Jarvis Securities (LON: JIM) has appointed Ocreus to review systems and controls at its main subsidiary. This will take between three and six months. Jarvis has voluntarily agreed not to take on new clients from certain existing Model B corporate clients until the systems have been reviewed. Dividends will only be payable to Jarvis Securities with the FCA’s approval. The restrictions should not hamper forecast revenues and profit, although the costs of the review could hamper shareholder dividends from Jarvis Securities. This news was announced late on Friday and the shares slumped 48.4% to 94p.
Reabold Resources (LON: RBD) says terms have been agreed for the sale of investee company Corallian Energy for £32m (320p a share). Reabold Resources will receive £12.7m from the sale, compared with a total investment of £7.5m. It has also completed the acquisition of a portfolio of projects from Corallian for £250,000. The rest of the cash can be reinvested in other oil and gas assets. Investors do not appear to be happy with the disposal price and there was a 36.1% fall in the Reabold Resources share price to 0.31p.
