London’s AIM Index dropped for a seventh successive session today, testing territory below 1,200 and reaching the bell off by almost 18 points at 1200.42
- Botswana Diamonds +26%
- Falanx Group +22%
- Polarean Imaging -61%
- TekCapital -10%
- Marshall Motor Holdings +8%
Botswana Diamonds [LON:BOD] was the day’s best performer, adding 26% by 4.15pm and extending the run of gains which have been in play since the start of the week. On Monday, the company announced that prospecting licenses owned by a subsidiary had been renewed, covering an area where there’s potential for significant new diamond finds.
Falanx Group [LON:FLX] also fared well, running into the close some 22% ahead off the back of news that it had sold its Assynt Strategic Intelligence Division for £4.6 million. Proceeds will be used for earnings enhancing acquisitions in the pure-play cyber security arena, which is one that it believes will be capable of delivering fast growth.
Polarean Imaging [LON:POLX] saw its shares down some 61% just before the bell after the company announced that US regulator the FDA has said it is unable to approve a new drug application in its current form. Although the company believes it can answer the FDA’s concerns, this move was unexpected and pushes back the timeline. The company does however have sufficient cash to fund operations during the review process which will take between 2 and 6 months to complete. This news takes the stock back to levels last seen just over a year ago.
TekCapital [LON:TEK] also struggled today, shedding 10% and finding itself close to the bottom of the board. Portfolio company Bellascura was also under pressure in the wake of its half year results which were published this morning and with nothing overtly negative being seen here, it does seem to be a case of some opportunistic profits being booked.
A notable mention for Marshall Motor Holdings [LON:MMH] which advanced 8%. Shares reacted to today’s trading update which saw management increase expectations for the year, despite the well documented issues in terms of vehicle supply. Tailwinds in the used car market have also been exploited by the business and full year profits are now expected to exceed £50m, some £10m ahead of the estimate given back in August.