Traders Cafe with Zak Mir: Alba, All Active Asset Capital, Audioboom, Caerus, Dukemount Capital, EQTEC, Poolbeg Pharma
Shares of technology investor All Active Asset Capital (AAA) offered the stock market not so much as a bang, but a Boom! Indeed, in terms of the news of a possible takeover of podcast specialist Audioboom, one would imagine that shareholders of both companies might regard the deal as being as sweet as Candy, literally. AAA said that any offer, were it to be made, would consist of 12.5 new AAA shares and 200p in cash per Audioboom share. Based on the price of 80p per AAA Share at which the recent AAA Placing was announced, the proposed terms would value each Audioboom share at £12.00, a premium of 35.6% over the closing mid market price of 885p versus Friday's close.
It was a case of two TR1 top ups in one day, as announced by long dated income play Dukemount Capital (DKE). Both RNS's showed the respective investors above the 5% level in the company, where investors are waiting on news regarding the funding of the recently announced gas peaking joint venture.
Alba Mineral Resources (ALBA) updated on its ongoing activities at the Clogau-St David's Gold Mine. The company said the key objective of the second phase of surface drilling at Clogau-St David's was to prove up the continuity of the Main Lode Extension, and it is now projecting this to have a strike extent of 585 m and a depth extent of up to 63 m. Alba said the next phase will be focused on key gold targets identified through drilling, such as Llechfraith Lode, Main Lode Extension, Grandfathers Extension and 7-10 Extension.
Caerus Mineral Resources (CMRS) announced the start of the Phase II drilling programme at Troulli, acquired from the recent takeover of PR Ploutonic Resources. The mineral and resources development company focused on Cyprus said the goal of the programme is to expand the coverage over the high-grade epithermal gold zone and targeting the underlying copper-gold sulphide mineralisation. It will be drilling two Volcanogenic Massive Sulphide bodies to build on the known high-grade sulphide mineralisation within the Troulli Licence.
Almost as if to celebrate “Freedom Day” the stock market has a newcomer amongst its number, Poolbeg Pharma (POLB), the first of what could be several spin offs from the Open Orphan (ORPH) stable. In the case of Poolbeg, a clinical stage infectious disease pharmaceutical company with a capital light clinical model, its admission to AIM will see the stock initially priced at priced at 10p per with a market capitalisation of £50m. This comes after an oversubscribed fundraise which will be used to fund clinical trial costs associated with development of the Company's POLB 001 asset as a treatment for severe Influenza and potentially other areas with label extensions. The cash will also be used to work on advancing other portfolio assets to monetisation, and to acquire and develop other infectious disease assets.
There was healthy sounding news from gasification solutions company EQTEC (EQT) as it is provided a trading update for Q2 2021. It was able to boast an increase in pipeline opportunities moving into project development: the financial close of a Market Development Centre in Italy and a second targeted in Croatia, with the Billingham RDF project completing concept design and progressing toward financial close. Revenue and EBITDA on track for 2021, and a recent £16 million capital raise providing the cash for strategic growth from project development business.
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