In its Trading Update on 10 December 2024, Centrica (CNA) announced a £300 million extension of the Company’s share repurchase programme to be completed by the end of September 2025. The Company today announced the commencement of the 2024-25 Extension which is to be conducted over the next 9 months from 27 December 2024 to 26 September 2025 to buy back ordinary shares of 6 pence each up to an aggregate maximum consideration of up to £300 million.
Comment: Clearly, the former British Gas has plenty of cash it does not know what to do with, apart from buy its own shares. What a comforting thought for those heating, or attempting to heat their homes this winter.
Zenith Energy (ZEN), the listed international energy production and development company, announced that it has now received the latest decision of the Arbitral Tribunal of the International Centre for Settlement of Investment Disputes arbitration against the Republic of Tunisia held in Washington, D.C. initiated by the Company’s fully owned subsidiaries, Zenith Energy Africa Ltd. (British), Zenith Overseas Assets Ltd. (British), Compagnie du Désert Ltd. (British) (collectively, against the Republic of Tunisia as Respondent. ZEN said progress in respect of our international legal arbitrations against the Republic of Tunisia, with claims totalling approximately US$639.5 million, continues without pause. It was pleased by the fact that the decisions in respect of both the ICC-2 Arbitration, expected during the summer of 2025, and the ICSID Arbitration, expected during the first two quarters of 2026, are no longer in the distant future and are increasingly within sight.
Comment: Shares of ZEN have more than doubled in the past week, quite rightly given that the initial $9.7m win was basically worth the market cap. An expedited timetable as far as the up to a remaining $600m could really light a fire under a market cap of still only £12.5m even before today’s news focusing on weeks rather than months.
Rome Resources (RMR), the DRC-focused tin explorer, provides the following update in relation to the Company’s Strategic Investment. The Company confirmed that the Subscription monies from Stanvic have now been received. Accordingly, it is expected that Admission will become effective and that dealings in the Subscription Shares will commence on AIM at 8.00 a.m. on or around 30 December 2024, taking into account the intervening Bank Holidays.
Comment: Given how fussy the market is these days regarding contracts being signed, and money actually hitting the bank account, confirmation that money has actually hit the bank account should allow shares of RMR to continue their rebound, more imminent discoveries in DRC notwithstanding.
genedrive plc (GDR), the point of care pharmacogenetic testing company, announced that the clinical performance of its CYP2C19-ID Kit has been published in the Journal of Molecular Biology. GDR said it was delighted with the clinical performance of our CYP2C19 ID Kit reported in this publication. With recommendation by NICE as the PoC test of choice for CYP2C19 genotyping in IS/TIA in NHS England, dominant health economic modelling by NICE, positive value assessment by the Scottish Health Technology Group, together with this study evidencing superior performance compared to laboratory testing and by extrapolation our nearest competitor product.
Comment: While GDR shares still have a circus having left town vibe about them since the end of the pandemic, they also have a bumping along the bottom feel to them too. Today’s news with regard to NICE merits a recovery of sorts.
SRT Marine Systems (SRT), a global provider of maritime domain awareness systems and technologies for security, safety and environmental protection advised that following the contract award announcement last month (November), that the contract has been signed and is active and that implementation has commenced. The contract is for the upgrade of an existing SRT system with an existing Middle East Coast Guard customer. The contract is worth a total of US$9 million over a ten year period. SRT said it was delighted to have commenced this system upgrade with this long-standing and highly valued Coast Guard customer and look forward to many more years of business with them as they grow and enhance their national maritime surveillance and intelligence capabilities.
Comment: Shares of SRT are already some 4x above their brief June lows, and with a market cap of more than £100m. Today contract confirmation should help maintain this momentum into 2025.
VSA Capital Group plc (AQSE: VSA) announced its interim results for the half year ending 30 September 2024. Successful first half in difficult market conditions and a cautiously optimistic outlook for the future. Turnover of £1.76m. EBITDA of £0.62m. Cash position of £0.94m. Retained Corporate Clients – 29. VSA said market conditions are improving. It has had an increased portfolio of client companies and a good pipeline of transactions as it enters 2025. The new strategic partnership with Drakewood Capital Management Limited has considerable potential to enhance its offering to clients in the natural resources arena and alongside activities in its other sectors. Notwithstanding the challenging geopolitical and economic conditions, it looks forward to the months ahead with cautious optimism.
Comment: Apart from insolvency practitioners, there are possibly very few corporates who are looking forward to 2025. Nevertheless, VSA has shown a surprising amount of resilience, and for this alone the company can be praised. It looks as though Drakewood could be a life saver.
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