(Alliance News) - The following stocks are the leading risers and fallers among London Main Market small-caps on Friday.
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SMALL-CAP - LOSERS
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ScS Group PLC, down 9.6% at 225.00 pence, 12-month range 178.00p-320.00p. Like-for-like orders in 16 weeks to November 20 up 0.9% from two years ago, but down 11% from a year before, following "unprecedented" period of pent-up demand at the beginning of the prior year. "Over the last seven weeks, the group has seen a reduction in store footfall and conversion with consumers spending less on big ticket discretionary purchases. This appears to be driven by a change in behaviour with consumers shopping earlier for Christmas when compared with previous years," the upholstered furniture and floorings seller says.
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Caffyns PLC, down 3.0% at 485.00 pence, 12-month range 310.00p-525.00p. Reinstates dividend payments in a promising first half performance that saw healthy revenue and profit growth although the car dealer cautions that supply problems remain around new cars. For the half year ended September 30, revenue climbs 30% to GBP110.8 million from GBP85.4 million a year before. Pretax profit widens to GBP2.3 million from GBP1.4 million in the same period. Caffyns says customer demand for used cars remains strong, with few signs of slowing. Following the trading rebound in the first half, Caffyns announces resumption of dividend payments with a 7.5 pence per share payout. The company decided against paying dividends last year due to Covid-19. Looking ahead, the car dealer notes a forward-order book for new cars at a "historically high level", encouraging for 2022 when new car availability may improve.
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Kavango Resources PLC, down 6.5% at 5.33 pence, 12-month range 2.45p-6.20p. Enters exclusive, three month option to acquire 85.2% of Kalahari Key Mineral Exploration Proprietary in a proposed all share-transaction. Kavango can exercise the option at its discretion. KKME is a privately owned company that owns 100% of prospecting licences PL310/2016, PL311/2016 and PL202/2018 in Botswana, collectively known as the Molopo Farms project. After the deal, Kavango would hold an interest of between 50.7% and 51.2% in KKME, Evrima PLC would hold between 9.3% and 8.9% and Power Metal Resources PLC would own the remaining 40%. Kavango notes proposed deal is valued between GBP1.2 million and GBP1.9 million based on performance of Kavango's share price. Power Metal shares are down 2.9%.
Separately, signs memorandum of understanding to accelerate its 90% ownership of the LVR joint venture in the Kalahari copper belt. The LVR JV incorporates prospecting licences PL082/2018 & PL 083/2018, which cover 1,091 square kilometres of prospective ground the KCB. Kavango will issue to LVR 2.0 million shares at 5.5p per share, and 2.0 million warrants, exercisable at 8.5p over the next two years.
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By Paul McGowan; paulmcgowan@alliancenews.com
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Caffyns (CFYN)
Kavango Resources (KAV)
Power Metal (POW)