Product management software supplier Sopheon (LON: SPE) has received a bid approach from IOps Buyer Inc, which is a subsidiary of Wellspring Worldwide Inc. The two companies have agreed in principle to a 1000p/share bid. The share price jumped 84.7% to 905p. Due diligence has been completed and discussions are advanced. Chicago-based Wellspring Worldwide provides software and data systems for managing technology transfer and intellectual property.
Real Good Food (LON: RGD) says first half revenues were 2% ahead at £16.1m, although volumes fell by 10%. October revenues appear set to be 6% higher. The cake decorations supplier has significantly reduced its loss due to higher margins. A shortage of cash has held back growth, but the company could be profitable for the full year. Talks continue concerning the extension of the loan agreement with Hilco Private Capital. Interim results will be published in December. The share price recovered 45.8% to 1.75p.
Explorer Orosur Mining Inc (LON: OMI) reduced its first quarter loss, although there were no revenues. The focus is likely to become the new joint venture lithium asset in Nigeria. The share price advanced 36.6% to 2.8p.
Digital content services provider Zoo Digital (LON: ZOO) has launched a new facility in Chennai, and combined with director buying, that pushed up the share price 34.9% to 49.9p, which takes it back to the level at the end of September. Zoo Digital believes there is significant growth potential in India and that is why it has opened a second facility in the country. Chairman Gillian Wilmot 162,905 shares at 36.99p each.
FALLERS
Velocys (LON: VLS) is the worst performer today because the conditions for the $15m strategic investment from Carbon Direct have not been met. To receive this cash the sustainable fuel developer needs to raise $40m, including $8m already raised, and management is still trying to secure investors. The $15m cash injection is no longer binding. Velocys needs more cash before the end of the year. There is a significant market opportunity in sustainable aircraft fuel, but Velocys is in a weak position when discussing additional funding and the share price slumped 69.8% to 0.31p.
Carbon ceramic disc brakes developer Surface Transforms (LON: SCE) has reduced revenue guidance for 2023 to £8.6m, having generated £6.3m up until October. The previous forecast for 2023 revenues was £13m. There have been problems ramping up production in the second half and it will not be completed until early next year. A new debt facility is being negotiated to enable an increase in annual capacity to £150m. The share price declined 36.6% to 16p.
Powerhouse Energy (LON: PHE) is deferring development of the Longford project in Ireland. It will assess the position with Hydrogen Utopia (LON: HUI). The Powerhouse Energy share price slipped 30.7% to 0.26p.
Mineral sands company Base Resources (LON: BSE) says mining will end at Kwale in December 2024. There is insufficient resource development potential to extend the mine life, which would require significant capital spending. The share price fell 30% to 6.125p. In the quarter to September 2023, ilmenite and rutile prices improved, but zircon was lower. There was $77.2m in cash at the end of September 2023, having paid a dividend of $29.9m on 28 September, which is not much less than the market capitalisation of £71.4m.
