Botswana Diamonds share price (LON:BOD) has been given a 6.1p price target by analysts at First Equity.

The 6.1p price target represents significant upside from the current Botswana Diamonds share price of 1.07p.

Botswana Diamonds have recently announced two thick kimberlite zones identified of 19.1 and 13.5 metres at Thorny River and have exercised pre-emption rights over Vutomi Mining meaning BOD now have a 76% interest in the project.

First Equity point to the developments at the Thorny River project as an integral element of their price target but it is in no way the only asset providing potential shareholder value.

In addition to the Thorny River asset, Botswana Diamonds are developing the Ghagoo project which First Equity forecast to be worth $36.1m to BOD.

Analyst Jason Robertson said in a note: “We have taken a very prudent approach by calculating an estimated in-the-ground value using the SAMREC Indicated (at 8% value) and Inferred(1.5%) resource figures on a risked basis to factor in development and re-start risks at Ghaghoo (est. value $36.1m) and the KX36 discovery (est. $29.5m). At Thorny River, we await details of the model being developed to estimate the potential resource before ascribing a valuation, which we believe has potential to emulate the lucrative economic upside of the Marsfontein mine. Other Group projects such as the Sekaka database and Sunland licences are valued at a notional sum at this point.”

“The market has yet to price in the importance and potential upside of Botswana Diamonds’recent project additions, including the high-grade KX36 kimberlite pipe and Sekaka database last year and more recently, in August ’21, a stake and option over Ghaghoo, which constitutes over 50% of our estimated Group enterprise value. Once the model details and potential resource at Thorny River are known, we should understand more about the value of this highly interesting diamond bearing system and its development upside.”

The FTSE 100 gave up ground on Monday morning but outperformed more severe selling across Europe before a broad rally saw most major European indices turn positive.

The FTSE 100 was down 0.17% at 7,014 in early trading on Monday whilst the German DAX and French CAC were down 0.65% and 0.74% respectively.

By lunch time, the FTSE 100, DAX and CAC were all in positive territory.

“There may still be 27 days to go until Halloween, but the fear factors are out in force and investors are not in the mood to be spooked,” says Russ Mould, investment director at AJ Bell.

A culmination of rising energy prices, prospects of higher interest rates and ongoing concerns around Evergrande dented investor optimism.

“Inflation, the energy crisis, supply chain issues, economic growth stuttering, concern that interest rates could go up sooner rather than later and China’s ongoing Evergrande debt problem remain at the forefront, clouding investment decisions and muddying the waters for anyone trying to make money on the market,” said Mould.

Central banks have began to hint at tighter monetary policy which has the potential to derail equities if markets perceive any action to be a policy mistake.

“The FTSE 100 fell 0.2% to 7,012, dragged down by weakness in banks and BT, the latter following media reports that it is set to face growing competition from Virgin Media which is reported to be in talks to receive investment from Sky for its full-fibre broadband rollout.”

Morrisons takeover

Morrisons shares eased slightly after the group received final offers from US parties. CD&R upped their offer to 287p which surpassed a final offer from Fortress of 286p.

“The lively bidding war for Morrisons has come to an end, with CD&R trumping Fortress at the final hurdle. The larger offer values Morrisons at a heady £7.1bn, and is the offer recommended by the Board. That price sounds steep but is a reflection of the significant growth opportunities ahead. In particular, the supply and delivery partnerships with Amazon will have caught the attention of potential buyers,” said Sophie Lund-Yates at Hargreaves Lansdown.

Sainsbury’s and Tesco shares were the FTSE 100 top risers on Monday as investors positioned for the possibility of further buyout activity in the sector.

Castillo Copper shares rose on Monday after the company unveiled the most recent progress at its Picasso Lithium Project.

Castillo said it has verified assay results as part of of its initial due diligence on the project. The project was found to have multiple pegmatite outcroppings after a consultant visit to the site.

Castillo Copper shares rose over 1% on Monday following the announcement.

Simon Paull, Managing Director of Castillo Copper, commented: “Straight out of the gates, the preliminary due diligence has hit a high note at the Picasso Project, with multiple historical surface occurrences being confirmed and photographic evidence there is significant pegmatite outcropping with the potential to host lithium mineralisation. The Board is delighted with these initial findings and looks forward to receiving the assays results back from the laboratory.”

finnCaps revenue grew by 55% in the first half as increased M&A activity led to higher revenues from their finnCap Cavendish unit.

Total revenu grew to £31.8m in the six months ending 30th September, up from £20.5m in the same period a year higher.

Institutional stockbroking revenue grew by 19% to £3.,7mm whilst transactions revenue fell 14% to £8.7m.

“We closed 4 further M&A deals between our AGM update on 23rd September and the end of the first half of the year and group revenue is up 55%,” said CEO Sam Smith.

In H1, we raised £243m of equity for clients, advised on 5 public company M&A transactions with an aggregate value of nearly £500m and on 13 private M&A transactions with an aggregate value of £1 billion.”

Our finnCap Capital Markets team performed well – in a comparatively quieter period – and revenue is in line with our expectations.    finnCap Cavendish has clearly capitalised on a robust M&A market. 

Our overall revenue growth shows the clear benefit of our strategy to diversify our products beyond ECM – undertaken over the past 3 years – to service the broader strategic and financial needs of ambitious growing companies.  Our pipeline is healthy and we now feel confident in delivering a revenue outcome for the year within an upgraded range of £45-50m.

I look forward to announcing our interim results and updating investors on our current trading and dividend expectations for FY22 later in November.”

AIM-Listed Seed Innovations has announced a further investment in CBD company South West Brands.

South West Brands is a London-based female-led CBD company building a portfolio of CBD brands having recently launched LoveMeMeMe and FEWE.

The investment was made via 12-month 8% convertible loan and brings to the total amount invested by SEED in South West Brands to £450,000.

Ed McDermott, CEO of FastForward, commented: “South West Brands have made considerable progress since our last investment with the successful launches of two consumer brands which, from what I have seen, have received a very positive reception from users to date. These first brand  launches, which are generating SWB’s early revenues, are testament to the hard work Rebekah Hall and her team have put in, and I am pleased SEED are able to support SWB in their growth and I look forward to further advances by the team in their quest to grow a credible, sustainable and scalable consumer CBD business.”