Alien Metals shares rise 17.39% to 0.675p on financing and offtake agreement with Anglo American
Alien Metals announced an agreement with Anglo American for the exclusive right to negotiate up to US$15m in project funding and 100% of offtake from the Hancock iron ore project in Pilbara, Western Australia. Alien Metals acted through its wholly-owned subsidiary Iron Ore Company of Australia (IOCA).
The agreement includes a US$10m advance payment facility and 100% offtake for sinter fines and lump from the Hancock Project. Offtake terms will include vessel prepayments for up to US$5m for the 12 months.
Anglo American will enjoy an exclusivity period of 60 days and will receive an agreed royalty for 24 months.
Revolution Beauty shares rise 11.12% to 19p on continued volatility following delay of audited results
Revolution Beauty shares continued their rollercoaster ride today, this time rising 11.12% after the company confirmed yesterday that trading of its shares would be suspended on AIM, as it could not file audited accounts by the 31 August deadline.
This news follows much volatility after the company's August 2nd's announcement of a 7% revenue downgrade for FY23 and subsequent news of audit complications. Shares had mounted a steady recovery until August 19 when news of the possible trading suspension reversed much of it.
Despite the revenue downgrade, Revolution Beauty's top line is still set to expand 15%-20% (ex Russia/Ukraine) this year and the company should still be profitable with the seasonally stronger second half, meaning it is likely to hit broker Zeus's 1.5p EPS target.
Cake Box shares fall 29.89% to 125.5p on profit warning
Cake Box, a UK "go to provider" of specialty cream cakes reported "significantly more challenging" trading in a market update today.
This reflects not only elevated input cost inflation - notably flour, energy, labour and freight - which has compressed gross margins, but also softer like-for-like franchisee sales in the year to date, especially in July & August, of -2.8% against +12% in the 10 months ending March 2022.
Consequently FY 2023 results are now expected to be “significantly below [consensus]”, with Shore Capital forecasting adjusted PBT and EPS of £5.5m and 10.9p, respectively, on revenues of £35.1m. That's against previous expectations of £7.2m and14.3p, and £7.0m and 13.8p last year.
More positively, price increases are being implemented and cash levels remain robust at £6.7m (£5.3m net) prior to a £2.0m dividend payment, against £6.6m (£5.2m net) in March 2022.