The AIM index broke fresh highs for 2020 today, adding just over four and a half points, closing at 978.19.
- Asiamet Resources up 72%
- Osirium Technologies up 36%
- Petro Matad down 19%
- Remote Monitored Systems down 17%
- Oncimmune Holdings up 12%
Asiamet Resources [LON:ARS] found itself firmly at the top of the table today after the company signed a heads of agreement which will see it dispose of an Indonesian subsidiary. The part-cash, part-shares deal is reported to be worth a total of $163m, yet the market cap currently stands at £63m. Management warn that there are a number of steps to completion – if they align then more upside could be warranted.
Osirium Technologies [LON:OSI] also marched higher, adding 36% by the close following the announcement of a competitive contract win with a major UK retailer. There’s no word of who the buyer of the technology is, but the note reveals that they have displaced an incumbent. The gains need to be put in the context of a spread which is currently quoted at 12%, but the field – cybersecurity – seems unlikely to fall from favour any time soon.
Petro Matad [LON:MATD] was the day’s biggest faller, off 19% following an operational update ahead of the market open. Critically there have been delays in receiving approvals of Exploitation Licenses, with Mongolian bureaucracy delaying the process. There’s no suggestion that the process will fail, but a lack of a solid timeline may be giving some cause for concern.
Remote Monitored Systems [LON:RMS] was another laggard, off 17% as investors digested a news update. RMS has committed to buy Pharm 2 Farm (P2F), a company which in turn has developed an antiviral face mask, with 12 million orders for next year alone. P2F has however hit problems with its testing facility, which could put the production timeline at risk. A brighter note over another portfolio company involved in wind turbine production failed to take the edge off that potential production delay.
A notable mention for Oncimmune [LON:ONC], which made it into our RNS round-up on Tuesday morning. Shares rose 12% today with no fresh news having been released. Given the muted response seen earlier in the week to word of that government funding, is this just the market finally catching up?