London’s AIM Index recorded another day of gains, albeit at a slightly more modest pace that seen on Tuesday, closing up nine points at 1198.95, making for what I believe is a new multi-year closing high.
- Sabien Technology up 26%
- Zephyr Energy up 20%
- AFC Energy up 19%
- Location Sciences Group down 15%
- Bacanora Lithium down 15%
Small cap engineering firm Sabien Technology [LON:SNT] which is focused on carbon reduction in the commercial heating sector saw its shares jump 26% today, although this needs to come with the usual caveats of a £2m market cap and a 7% market spread. Although gains were building across the day, news of a £450,000 capital injection from the company’s chairman was announced shortly before the close which may raise some eyebrows. The new financing could be transformative and given the tear many green energy stocks have been on in recent weeks, a degree of excitement here is probably to be expected.
Zephyr Energy [LON:ZPHR] bucked its recent trend of losses by adding 20% during Wednesday’s trade. Shares remain below the highs seen at the start of last week but a project partner of the oil & gas explorer has pushed some positive news out of the US today, which appears to be lending some support. The 6% spread needs to be taken into account, but more good news could yet follow.
Location Sciences Group [LON:LSAI] is back on the agenda, this time finding itself as the biggest faller on the day, settling off by almost 15.5%. The stock made gains in the latter part of January, although there has been no firm news here and in light of that, confidence behind that run higher appears to have abated.
Bacanora Lithium [LON:BCN] was the day’s second biggest casualty, although the decline was only a very measured 15%. The company has however today completed a hugely significant funding round, with $65m being raised. Shares were offered at a 20% discount, but the note suggests this allows the company to move from being an exploration company to a Lithium producer by 2023.
A notable mention for Alkaline Fuel Cell play AFC Energy [LON:AFC], whose shares added 19% on the day. As with many green energy stocks, AFC enjoyed a boost going into the year end, but had struggled to maintain at least some of that upside. Today’s move reverses that with peripheral news around the company lending some support. One thing that’s clear is this sector isn’t going anywhere any time soon.