(Alliance News) - The following is a round-up of updates by London-listed companies, issued on Monday and not separately reported by Alliance News:
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Just Group PLC - Reigate, Surrey-based provider of retirement financial services to individuals and companies - Opens tender offer for its GBP300.0 million fixed rate reset perpetual restricted Tier 1 contingent convertible notes, which has the full GBP300 million outstanding. "The purpose of the offer is to optimise the capital structure and debt profile of the group," company explains. Alongside tender offer, will launch proposed issue of new sterling-denominated fixed rate reset perpetual restricted Tier 1 contingent convertible notes. Company continues: "The company intends that an amount equal to the net proceeds of the issue of the new notes will be used by the issuer for its general corporate purposes, including to fund the purchase of target notes pursuant to the offer and the financing or refinancing, in whole or in part, of sustainability projects."
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Randall & Quilter Investment Holdings Ltd - Bermuda-based firm focused on non-life legacy insurance and programme management - Sinks to pretax loss in six months to June 30 of USD45.4 million versus USD731,000 profit year before. Books USD53.4 million goodwill impairment on intangible assets in first half compared to USD5.4 million charge year before. Gross written premiums drop to USD527.0 million from USD644.3 million, with net written premiums collapsing to USD97.9 million from USD400.5 million. As a result, net earned premiums falls to USD97.6 million from USD411.2 million. Declares interim dividend of 2.0 pence, down from 3.8p year before. Chief Executive William Spiegel says: "R&Q is repositioning the business to become an asset manager for Legacy Insurance business, focusing on our core strengths of insurance origination, underwriting and claims management. This change reduces our reliance on the capital markets to support our growth. The launch of Gibson Re simplifies our Legacy Insurance revenue model from one with lumpy Underwriting Income and seasonality to one with a predictable and high-quality recurring Fee Income. Importantly, by reducing the capital intensity of Legacy Insurance, we free up capital to support our previously announced progressive dividend policy and reduce our reliance on the equity markets for additional funding."
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Mattioli Woods PLC - Leicester-based asset manager - Completes Ludlow Wealth Management acquisition. Chief Executive Ian Mattioli says: "Completion of this acquisition, together with the recently completed acquisitions of Maven Capital Partners and Richings Financial Management, represents meaningful steps toward our ambitious medium-term goals, extending the Group's existing investment proposition and adding scale, distribution and product to our client proposition. These acquisitions make us better-positioned than ever to provide our clients with the proactive advice and bespoke investment solutions they require. We are very pleased to welcome the Ludlow Wealth Management team to the Mattioli Woods Group." In mid-May, agreed to buy Ludlow, a financial planning business in the North West of England with assets under advice of GBP1.6 billion, for up to GBP43.5 million.
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Palace Capital PLC - investor in regional UK commercial real estate - Sells 9,600 square foot industrial unit in Rustington, West Sussex to a private property investment company for GBP860,000, which is above book value and a price representing close to a 135% uplift on the value of the asset when Palace Capital acquired it in 2014, company says. "The transaction is in line with Palace Capital's disposal strategy which targets GBP30 million of sales this year, comprising properties that are either non-core or where maximum value has been created through the conclusion of business plans. This property was originally let to June 2021 at a rental of GBP36,000 per annum exclusive, but as part of a tailored value add programme agreement was reached for a new 10-year lease with Precision Products Ltd on a rising rent to GBP65,000 per annum exclusive in June 2025," company adds.
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Belluscura PLC - London-based oxygen enrichment technology developer - Sinks to pretax loss in six months to June 30 of USD2.4 million versus USD6,279 profit year before. Administrative expenses rise to USD2.5 million from USD23,099. Does not generate any revenue in either period. Chief Executive Bob Rauker says: "I am extremely pleased to announce that the group has achieved its target timeframe and distributed the first X-PLO2RTM units off the production line to customers on September 3. Initial demand for X-PLO2RTM has been strong. To date we have received orders that meet this year's forecast unit sales and expect to exceed the forecast in the coming months." Looking ahead, will up production with market demand.
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PCI-PAL PLC - London-based call centre software provider - Pretax loss in year to June 30 narrows to GBP4.2 million from GBP4.4 million. Revenue improves to GBP7.4 million from GBP3.0 million. Total contracted recurring annual contract value ended period up 41% at GBP9.5 million. Administrative expenses rises to GBP9.5 million from GBP7.3 million. Chief Executive James Barham says: "We have taken another sizeable step forward in financial 2021. Our advanced cloud capabilities have allowed us to continue to grow our customer reach through our expanding partner eco-system, serving customers not only in our primary geographic focus areas, but across the world. With our key sales metric of TACV having grown by a further 41% year-on-year, I have been particularly pleased to see a real cohesion in the business this year, as despite a near doubling in new contracts won, we have maintained a strong deployment performance of customers going live in the year."
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Avation PLC - Singapore-based passenger aircraft leasing company - Customer Philippine Airlines files voluntary petition for relief under Chapter 11 of the US Bankruptcy Code in order to complete a prearranged restructuring process. Avation and PAL have agreed terms for PAL to retain the use of a Boeing 777-300ER aircraft on lease from Avation. "PAL have advised that sufficient creditors, including Avation, have agreed to support the restructuring and the airline has a high level of confidence that the process will be completed successfully. A successful restructuring will ensure that Avation's aircraft will remain with PAL and that Avation will recommence collecting cash rent on the aircraft for the first time since mid-2020," company explains. Executive Chair Jeff Chatfield adds: "A successful restructuring outcome for Philippine Airlines would amount to significant step forward to provide Avation with certainty on lease duration in respect of its Boeing 777-300ER. A successful restructuring returns this aircraft to revenue generation and ensures rent collection which is a positive outcome for Avation."
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Vector Capital PLC - London-based commercial lender - Pretax profit in six months to June 30 broadly flat year on year at GBP1.3 million. Revenue rises to GBP2.5 million to GBP2.1 million. Administrative expenses grow to GBP378,000 versus GBP214,000. Loan book grows 24% to GBP40.6 million from GBP32.7 million at same point year before. Chief Executive Agam Jain says: "Vector Capital's first half performance has been strong. We have continued to make excellent progress against our strategy and we are well placed to capitalise on the healthy property market and demand for our loans. In response to this demand and ensure we have a strong capital base, we raised a further GBP1.5 million in the period and increased our wholesale banking facilities to GBP30 million. Reflecting our performance and the confidence we have in the business, we are declaring an interim dividend of 0.95 pence per share."
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Spectra Systems Corp - Rhode Island-based authentication technology provider - Pretax profit in six months to June 30 jumps to USD3.0 million from USD1.9 million year before. Revenue rises to USD4.6 million from USD4.4 million. Chief Executive Nabil Lawandy says: "The company's first half revenues and earnings are up substantially from the six months ended June 30 and in line with the board's expectations for the first half." Expects to pay annual dividend in line with year before, at USD0.095. "We have obtained new business from a long standing central bank customer which supports our position as the technology leaders for difficult technological requirements. To date we have been granted contracts worth USD8.8 million for this customer's sensor development program and have recently successfully demonstrated a key design milestone to the customer. Based on the current program timeline, we continue to plan around a 2024 delivery for the first order of sensors. Although we have yet to receive the materials order from this customer, we expect it to be robust and above the average order size of the pre-Covid-19 yearly orders," Lawandy adds.
Separately, signs first orders from a new customer using the company's materials in K-cups for Keurig brewers. New customer expected to purchase over USD500,000 of materials per annum, more than doubling the existing high margin business.
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City of London Group PLC - owns UK small-business lender Recognise Bank - Signs sale & purchase agreement for the sale of Milton Homes Ltd to Max Barney Investments Ltd for GBP9.3 million. The net proceeds from the deal are intended to contribute to the regulatory capital of its subsidiary Recognise Bank Ltd. This sale is in line with the company's approach to develop a new UK SME bank. The sale will be made up of cancelling inter-company loan of GBP7.8 million between the company and Milton by HPB Pension Trust; an initial GBP1.2 million up front payment; and GBP250,000 once the deal is completed.
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Pelatro PLC - London-based marketing software specialist - Says customer activity has continued throughout the summer months and notes some existing managed services contracts are now producing "attractive" revenue. "The resulting additional revenue gives the directors full confidence in meeting its revenue target for the year, with current visibility standing at approximately USD7.2 million," company says. Chief Executive Subash Menon adds: "We are seeing real momentum in our business and continue to build our work-in-progress pipeline to secure and underpin our ongoing and expanding operations."
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Wishbone Gold PLC - precious metals trading and exploration company with assets in Australia - Signs land access agreement with the Western Desert Lands Aboriginal Corp acting on behalf of the Martu People. "Wishbone has a group of highly prospective properties in the Patterson Ranges area: the Red Setter project located 13 kilometres south-west of Newcrest Mining's Telfer gold-copper mine, two smaller tenements to the east of Red Setter and the Cottesloe project, located 55 kilometres south-west of the Telfer gold mine and about 35 kilometres south-east of Red Setter," company explains. The agreement will see Heritage Survey carried out at site. Chair Richard Poulden says: "The signing of this milestone agreement is a big step forward for our plans to drill Red Setter and Cottesloe as soon as we can. We look forward to working with the Martu People and WDLAC in exploring this recently discovered and highly prospective region."
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By Paul McGowan; paulmcgowan@alliancenews.com
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