Roadside (ROAD) announced that Roadside Retail Limited, its joint venture with Meadow Real Estate Fund VI LP, set up to acquire and develop UK-based roadside real estate assets, has signed an agreement to acquire Brampton Hut services at the junction of the A14 and A1 near Huntingdon in Cambridgeshire. The initial consideration for the Acquisition is £4.81 million which will be funded from the JV’s existing cash resources. ROAD said the JV has almost deployed £100 million in just over 13 months and it looks forward to adding further assets in due course. Brampton Hut is a high-quality cluster of ESG-compliant Drive Thru and Drive2 units, let to household names at the junction of the A14 and A1, an area recently enhanced by £1.5 billion of investment in new road infrastructure.
Comment: Judging by the near 4x rise in ROAD shares this year, its JV investment strategy, is not only the gift that keeps on giving, it is also appreciated as such by the market, something which is not easy in current stock market conditions.
WH Ireland Group (WHI) announced its Interim Results for the Six Months ended 30 September 2024. Revenue of £8.5m (H1 2023: £10.7m). Underlying loss before tax of (£1.32m) (H1 2023: (£1.81)m). WH Ireland’s interim results reflect the challenging market backdrop which has had another significant impact on our performance in the period. We have an improved chance of returning Wealth Management to a break-even position following the cost reductions over the last year, supported by a more stable financial position, and without anticipating any potential improvement in our markets.
Comment: Given the ongoing destruction of the London stock market, one can say that the performance of WHI is actually something to be admired. That said, unless something changes significantly, just hunkering down until the storm blows over is the best that can be done.
Kazera Global (KZG), the AIM-quoted investment company, announced its Final Results for the year ended 30 June 2024 and the publication of its Annual Report. KZG said that during the year and up to the date of this report, it achieved significant milestones in developing substantial local infrastructure and establishing two operating plants in readiness for commercial production at our diamond and heavy mineral sands projects in South Africa. KZG also entered into an offtake agreement for its heavy mineral sands with commercial production of HMS imminent.
Comment: Shares of KZG have rallied hard since the summer, as the company managed to successfully differentiate itself from other small caps in its space. The promised of production should keep the shares on the front foot.
Westminster Group (WSG), a supplier of managed services and technology-based security solutions worldwide, announced that its German subsidiary, GLISS GMBH, has secured a contract to provide sophisticated mobile phone detection systems in a number of European Prisons, in order to detect, locate and trace mobile phones, smart watches, tablets, laptops and other similar communication devices being smuggled into or used within prisons. WSG said mobile phones and other illicit communication devices are a significant and growing problem in prisons and custodial centres due to their potential to facilitate illegal activities and compromise security. Such devices are used to coordinate criminal activities, including drug trafficking, harassment, and escape attempts.
Comment: illicit communication devices aside, WSG has needed the kind of announcement delivered today for quite some time, as the shares have drifted since their spring peak.
boohoo Group (BOO) noted yesterday’s publication of another open letter by Frasers, this time in response to the voting recommendations published by Glass Lewis and Institutional Shareholder Services Inc., (ISS) the independent proxy advisers, which recommended shareholders vote “AGAINST” the Resolutions, at to the Company’s forthcoming General Meeting. BOO said that due to obvious conflict points and because of their historical ties to Frasers, Mike Ashley and Mike Lennon are not appropriate candidates to join the Board in any circumstances, whatever commitments are offered.
Comment: It remains unclear as to whether BOO’s protest AGAINST is more to do with the board wanting to keep their jobs, or in the interest of shareholders. Presumably, all will be revealed soon.
Helium One Global (HE1), the primary helium explorer in Tanzania with a 50% working interest in the Galactica-Pegasus helium development project in Colorado, USA, updated and acknowledged the announcement released today by Blue Star Helium (ASX: BNL) regarding the Galactica-Pegasus project in Las Animas County, Colorado, USA. BNL said the Operator has decided to reschedule the start of drilling into mid-January to avoid standby costs over the Christmas period. The delay to the start of drilling is not expected to affect the overall project development timeline or targeted production commencement, which remains H1 2025.
Comment: Having switched to what is presumably an easier geography in the US, rather than Tanzania, HE1 finds that it is not a party there either.
Predator Oil & Gas Holdings (PRD), the Jersey-based Oil and Gas Company with near-term hydrocarbon operations and production focussed on Morocco and Trinidad is pleased to announced the appointment of Flagstaff Strategic and Investor Communications as its public relations adviser. Paul Griffiths, the Company’s Chief Executive Officer, will be holding a live Investor Q&A session via the Investor Meet Company platform on 23rd January 2025 at 5.30pm (UK Local time).
Comment: The timing is right for PRD to sing from the rooftops, given that the market is waiting on the Helium potential at the MOU-5 prospect at Guercif. If all goes well, the current share price near at 5.75p will appear modest indeed.
Orosur Mining (OMI), announced an update on the progress of exploration activities at the Company’s flagship Anzá Project in Colombia. OMI said results from PEP014 continue the story that there is something at Pepas. Work to date has been very geologically focussed in trying to define trends and it now thinks it has some inkling so it looks forward to progressing our drill programme and developing this picture.
Comment: The excitement here at OMI is perhaps not so much the present operational side, but whether the shares can sustain their latest attempt at breaking out of the 2p-6p trading range.
Orcadian Energy (ORCA) is pleased to announce that, the company has agreed to sell 50% of the ordinary shares of HALO Offshore UK Ltd (“HALO”) to The Independent Power Corporation Plc. Peter Earl and Mark Preece will join Steve Brown and Alan Hume on the board of HALO. Orcadian and IPC intend to seek production acquisition opportunities for HALO with a preference for low-emissions, non-operated, gas producing licences. IPC has also undertaken to secure £5m of acquisition finance as part of an initial programme of gas field buy-outs.
Comment: ORCA has certainly turned itself around since the end of October, with the latest news underpinned by the prospect of acquisition finance, one would expect further recovery.
De La Rue (DLAR) said it was talks to sell up to a 40% stake in the business for GBP98 million as it also explores a possible sale of the currency division. The group said it was in discussions with UK private equity firm Disruptive Capital GP and Pension SuperFund Capital over the potential stake sale, which would price its shares at GBP1.25 each.
Comment: With the shares still around 15p below the stake sale price, there may be an opportunity for some to get in / stay in for the ride. This is especially the case given how DLAR is a classic private equity investment situation.
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