Plans for Nightcap’s possible offer for rival Revolutions Bars lay in tatters after it was concluded that Nightcap’s plans were unworkable.

After a series of meetings, Nightcap and Revolution Bars concluded that completing a deal was heavily reliant on additional fundraising rounds. Revolution Bars deemed these a bridge too far, given the current environment for the pubs and clubs industry and the wider equity market. 

The UK’s bars and pubs scene has never quite recovered from the pandemic. It also faces worrying trends of people increasingly drinking at home and younger people drinking and going out to bars less than they used to. Younger people now tend to prefer attending the UK’s many festivals rather than spending time in bars. This favours neither Nightcap or Revolution Bars.

“Revolution Bars appeared to confirm suspicions that combining with Nightcap would just double the problems facing the two troubled night spot operators. It is striking to see a company say a bid is ‘incapable of being delivered’ and Revolution Bars continues to push shareholders to stick with its own restructuring plan,” said Dan Coatsworth, investment analyst at AJ Bell.

“The bigger issues, throbbing away in the background like an insistent beat, are the rising costs and waning demand faced by this end of the hospitality sector. Fewer younger people are in the habit of going out drinking on a regular basis, meaning late-night operators need to come up with new ways to keep people frequenting their outlets.”

Revolution Bars shares were down over 6% at the time of writing.

Chariot Limited, the Africa-focused transitional energy group, has announced promising results from its latest gas well in Morocco.

The OBA-1 well, part of a two-well drilling campaign at the Dartois prospect in the Loukos Onshore license, was drilled safely and efficiently on schedule and within budget.

Evaluation of the well data, including wireline logs, cuttings, and gas readings, revealed the presence of reservoirs spanning approximately 200 meters in gross thickness – matching pre-drill targets.

Significantly, and most interestingly for investors, an approximate 70-meter gross interval exhibited elevated resistivities coincident with elevated mud gas readings, indicating potential gas pays with no water-bearing reservoirs identified.

Chariot Limited shares were 5% at the time of writing.

Further analysis is underway to prepare for well flow testing, which will determine the well’s productivity and the gas resource potential of the discovery. The well will be suspended to facilitate future rigless flow testing operations and potential use as a producer well, after which the rig will be demobilized.

Chariot, as the operator with a 75% stake in the Loukos license, has partnered with ONHYM, which holds the remaining 25% interest. The company’s successful drilling campaign in Morocco marks a significant step forward in its Africa-focused transitional energy strategy.

“We are very pleased to report the successful drilling of the OBA-1 well at the Dartois prospect which now concludes Chariot’s first onshore drilling campaign in Morocco and brings with it positive results for the potential of the Dartois area,” said Duncan Wallace, Technical Director of Chariot.

“We will now integrate the comprehensive data we have obtained from both the RZK-1 and OBA-1 wells with recently reprocessed 3D seismic data to understand the resource potential of the Dartois area, to confirm the optimal future work programme on the discovery and the impact on wider prospectivity across the Loukos licence. Our two first wells have both been successful in confirming our geological model for reservoir distribution and the presence of gas which bodes well for future exploration activity.

“I would like to thank both our operational team, who once again have shown that that they can drill safe, efficient and successful wells, and ONHYM for their ongoing support and partnership. Our focus on the Loukos licence is to get any commercial discoveries to first gas as quickly as possible.

“We now look forward to the offshore drilling campaign planned for Q3 2024, on the Anchois gas field, with our new partners Energean, where we are looking to increase the development to over 1 Tcf.”

Tekcapital’s Innovative Eyewear rocketed 429% higher in just one trading session on Friday despite no fresh news being released through official channels. In addition, there weren’t any notable broker research notes released last week.

So, why did shares in Innovative Eyewear, a NASDAQ-listed Tekcapital portfolio company, surge over 400% before the Memorial Day holiday in the US?

Innovative Eyewear shares rose in spectacular fashion on high volume on Friday. More Innovative Eyewear shares traded than Tesla, AMD, Nvidia, Apple and Amazon combined – a total of LUCY 912m shares changed hands in Friday’s session.

As there was no obvious spark for the rally, the move higher was likely the culmination of positive news flow since the beginning of the year coming to a head.

The company has recorded a step change in revenue generation in recent quarters as the company begins the commercial roll out of its products following years of R&D.

Innovative Eyewear was the first company to enable smart eyewear with ChatGPT functionality last year and has since announced a series of fresh innovations and new ranges. Its attention is now firmly focused on getting its smart eyewear to as many people as possible.

At Innovative Eyewear, we recognize the transformative potential of AI agents and their integration into apps and operating systems. As these technologies become ubiquitous, we are strategically positioned to meet the growing demand with our innovative smart eyewear solutions…

— Lucyd Eyewear (@LucydEyewear) May 24, 2024

CEO Harrison Gross provided notable insight into the group’s sales and distribution strategy in a recent earnings update. The update set out how the company plans to achieve higher margins by focusing on distribution through retail partners who will provide the prescription lenses for the glasses.

This sales strategy builds on a global market strategy spearheaded by high-profile brand ambassadors, including football pundit Micah Richards. Investors now have the clearest picture of Innovative Eyewear’s go-to-market strategy, which would have contributed to Friday’s rally.

After the launch of Nautica smart eyewear at the beginning of 2024, investor anticipation will be building around the launch of additional branded smart eyewear, including Reebok and Eddie Bauer smart eyewear powered by Lucyd, later this year. The new ranges promise to bolster LUCY’s top line.

Hit the trails in style with the #Dockside frames from @nautica powered by #Lucyd ⛰️ These frames seamlessly blend #fashion with cutting-edge #technology. Whether you're conquering peaks or exploring the trails, stay #connected and look sharp with Dockside. pic.twitter.com/Ofo7V2nZ27

— Lucyd Eyewear (@LucydEyewear) May 23, 2024

The market may also be waking up to the potential for Innovative Eyewear’s smart eyewear range to carve out meaningful market share alongside alternatives developed by the world’s largest technology companies.

The smart eyewear market is forecast to grow to $33bn by 2030. Innovative Eyewear only needs a very small proportion of this market to create substantial shareholder value.