Skip to main content

Your stock market edge

Poolbeg Pharma (POLB), a biopharmaceutical company, announced that an abstract highlighting the potential of POLB 001 as a groundbreaking therapy has been accepted for presentation at the 18th International Congress of Immunology, to be held 27 November – 2 December 2023 in Cape Town, South Africa. POLB said the acceptance of this abstract at the upcoming IUIS conference underscores the potential of POLB 001 as a groundbreaking therapy. Severe influenza and Cytokine Release Syndrome associated with cancer immunotherapies are significant problems and an effective drug that can address these issues would have a significant impact on global health.

Comment: POLB keeps up the newsflow momentum in the aftermath of beefing up its board. One would expect the shares to now break and remain on the right side of the all important 10p level.

Golden Metal (GMET), a mineral exploration company, announced its consolidated audited results for the year ended 30 June 2023. The company said in its year under review that on 05 June 2023 it announced that Washington, D.C-based Mrs. Chang Turkmani had been appointed as Strategic US Government Advisor. This represents an important step in engaging further with the US Government with the aim of securing non-dilutive Federal funding for the accelerated and enlarged development of its Pilot Mountain tungsten project.

Comment: In current stock market conditions one of the most sweet phrases in the English language is “non-dilutive funding.” It would appear that the distinct prospect of this occurring has not yet been factored into the GMET share price.

Mirriad Advertising (MIRI) announced it has entered a master and service agreement with  a world leading multinational mass media entertainment conglomerate which has over 15% share or the $$$ billions US TV market revenue. It will use MIRI’s   AI-powered virtual in-content advertising platform to generate specific incremental ad revenue via in-content product and brand placements.  Miri’s ad format does not interrupt the program which is much preferred by the viewer. Interims to June reported in August, showed little Revenue growth at £592k while being positive about higher H2 revenues, its operating loss was £7.5m. After a placing of £6.3m at 3p closing cash at June was £9.8m and there is no debt. This is expected to meet the working capital requirement to end of August 2024.

Comment:  At 1.85p with a £9m mkt cap this  ‘new’ advertising format momentum  is building and ultimately the sky is “almost” the limit.

Celadon Pharmaceuticals (CEL), a UK-based pharmaceutical company focused on the development, production and sale of breakthrough cannabis-based medicines, announced that it has entered into a contract for the commercial supply of its pharmaceutical-grade cannabis product with a leading European medicinal cannabis company. CEL said this is its third sales contract in six months, and our most significant to date. It continues our strong momentum and path to meaningful revenue generation.

Comment: The stock market being the stock market in 2023, shares of CEL have halved since their peaks earlier this year. Coming back with a chunky contract today should mean the shares are ready for a revival provided the company has a decent funding runway.

Arrow Exploration Corp. (AXL), the high-growth operator with a portfolio of assets across key Colombian hydrocarbon basins provided an update on the Rio Cravo Este-6 well on the Tapir Block in the Llanos Basin of Colombia, and the Oso Pardo-3 well on the Oso Pardo field in the Middle Magdalena Valley Basin of Colombia where Arrow has a 100% working interest. AXL said the RCE-6 test results in both the Ubaque formation and Carbonera are material and exciting for the Company. The results demonstrate that the Carbonera remains a solid high volume producer while  the Ubaque formation has proven production that extends beyond the Carrizales Norte complex.

Comment: One would have thought that any brakes on the AXL share price getting through 20p and staying above it, such as warrants, should be well behind the company. This is especially true given news like today’s highlighting the company’s ongoing operational success.

Metals One (MET1), which is advancing battery metal projects at brownfield sites in Finland and Norway, announced that the Company has received the first stage payment of £250,000 from Gunsynd Plc pursuant to the subscription and shareholders agreement between Metals One, Metals One Finland Oy and Gunsynd, as detailed in the Company’s admission document. The company said it is in the advantageous position of being carried to a large extent on two work programmes on its assets in both Norway and Finland. It is already in advanced negotiations with key contractors with a view to a rapid commencement of field activities at the Metals One operated Black Schist Project, targeting resource growth on this Finnish asset which sits adjacent to Europe’s largest nickel mine – Talvivaara.

Comment: MET1 continues to underline how it is being carried by third party funding in terms of developing its assets, something which is once again underlined today.

REACT Group (REAT), the specialist cleaning, hygiene, and decontamination company, announced a trading update for year ended 30 September 2023. Revenue of £19.6m (2022: £13.7m) – an increase of 43%. Organic like-for-like revenue growth of 21%. Adjusted EBITDA in excess of £2.2m (2022: £953k) – an increase of more than 130%. The company said the award of new contracts has been consistently robust across the Group with all divisions contributing to the significant growth in revenues.

Comment: In terms of metrics, one of the better RNS updates of the year. REAT is one of the companies that all small cap investors should be invested in, but alas not usually are.

Cadence Minerals (KDNC) advised that the Company and its subsidiary REM Mexico Limited have issued a Request for Consultations and Negotiations to the Government of Mexico under the United Kingdom-Mexico Bilateral Investment Treaty. KDNC said the team at Clifford Chance have many years of experience in mining-related investment treaty arbitration, and have successfully resolved similar cases in the past. With their guidance, it is hopeful that a constructive solution can be reached through consultations and negotiations with Mexico under the BIT.

Comment: It is easy for some to forget that BIT’s are essentially set in stone for just such situations as KDNC is involved in now, when countries are tempted to revert to type in terms of not being fully behind the concept of rule of law.

Great Western Mining Corporation (GWMO), which is exploring and developing gold, silver and copper targets in the Walker Lane trend of Nevada, provided details of a material upgrade in the copper potential of the Huntoon Valley area. The company said it has been working hard in this area for several years now but the work carried out in 2023 has the potential to transform the Company, should a major porphyry be established, in a world transitioning from hydrocarbons where copper will become increasingly important. This is an exciting development for Great Western.

Comment: Today’s announcement from GWMO could be just the type of fundamental bonus to the company that could halt the post summer malaise in the stock. Indeed, stocks tend to snap back disproportionately after catching the doomsters out.