Iconic Lab (AIM:ICON ) shares skyrocketed 67.57% to 0.0155p
The media group saw shares surge off the back of a completed contract to produce research, data and insights for an unnamed multinational consumer goods company.
The Company said the new contract represents an innovative type of consultation service which the company will look to offer to a range of new clients going forward.
Separately, Iconic is working under the management services agreement with JOE Media and is managing production and distribution of bespoke social content through its UK business. As reported, the overall contract value is expected to be in excess of £150,000.
The Company has also made substantial early progress in re-focusing JOE Media's UK operations as well as increasing the sales pipeline for the third and fourth quarters.
In a separate statement, the company said it has notified the European High Growth Opportunities Fund (EHGOF) that it does not intend to draw down under its previously announced financing facility and will seek to replace the Facility.
‘With the company now experiencing material growth in activity, partially due to the management services contract with JOE Media, the Company intends not to serve any further notices to draw down under the Facility going forward,’ Iconic wrote to investors.
Zoetic International (AIM:ZOE ) shares were up 24.19% at 19.25p with new contract
Zoetic has signed its second international distribution contract covering the distribution of its Chill brand of tobacco alternative CBD products in over 15 markets across Europe.
The contract follows its first international distribution contract for the Chill range of products back in July and indicates extensive interest and global demand for its products.
The vertically integrated CBD company also noted the continued progress of its core CBD business. As a result of increasing significant demand for its Chill brand products, the group said it has restocked its range of tobacco alternative CBD smokes online.
With hemp, calm and mint varieties now back in stock, the Company said it will now focus on continuing to grow its market share of its top-quality, USDA certified organic products.
The Company expects to launch its Chilli brand with the US distributors over the next few months whilst the groundwork and logistics for the international distributors is finalised.
Zoetic hopes to have sales in non-US markets for the Chill brand before the end of 2020.
Commenting on the significant demand, Trevor Taylor, Co-CEO of Zoetic, added:
"We knew our smokable line was going to be a big hit and are pleased to get our inventories built up ahead of the rollout of our larger retail launch, both in the US and internationally."
Prophotonix (AIM:PPIX ) shares increased 21.43% to 1.7p on back of its half-year results
The LED illumination systems manufacturer reported a 21.7% profit increase to $3.3m from $2.7m in H1 2019 while gross profit margin improved to 47.1% compared with 37.2% mainly due to a shift in product mix and the absorption of manufacturing overhead into inventory.
Adjusted EBITDA was a profit of $0.4m, as compared to a loss of $0.5m in 2019’s first half.
The group’s cash position improved to $1.9m from $1.5m at year end due to increased operating profits, strict working capital management, and Covid-19 related State aid.
The debt position ‘improved substantially’ in the first half of 2020 as it repaid the $0.9m revolving credit facility in full. Meanwhile, as at 30 June 2020, Prophotonix held a net cash position of $1.3m versus a net debt position as at 31 December 2019 of $0.1m.
The company said that due to the uncertainties surrounding COVID-19, it continues to believe it ‘inappropriate’ to give forward looking guidance to investors and analysts at the current time.
Shares in the Prophotonix have climbed over the past three months from lows of 0.88p. Last week, the group announced an extension of its range of PROdigii digital laser modules.
City of London Group (AIM:CIN ) shares jumped 13.28% with intended capital raise
The UK-based investment company announced plans to raise up to £30m.
The company entered into an agreement with an investment company, Parasol V27 Limited under which the latter has agreed to subscribe 31.2m shares at 80p for £25m in cash while City also intends to place a further 6.2m shares at 80p to raise proceeds of up to £5m.
"Today's announcement of the conditional subscription of £25 million is a tremendous endorsement of our strategy and our team, and the excellent progress we have made to date in readying a new bank for the UK's under-served SME community,” said Colin Wagman, Chairman of COLG.
Commenting on the capital raise, Michael Goldstein, CEO of COLG, said:
“This acknowledges the quality of what we have delivered as a business thus far, the excellent plan we have in place, and the fantastic team we have built to do this, as well as the importance of the UK's under-banked SME sector to our national economy.”
Gfinity (AIM:GFIN ) shares rose 5.77% to 3.85p after new appointment by Cadbury
The esports provider was appointed by Cadbury to deliver a new gaming tournament - the "Cadbury Heroes Parents League" - in exchange for an undisclosed six-figure fee.
Gfinity will be responsible and remunerated for sourcing gaming-based talent, facilitating the tournament play and broadcasting the final from its Gfinity Arena in Fulham.
Gfinity will be paid the six-figure fee to deliver the tournament which it said will contribute positively towards its target of moving into profitability in the first quarter of 2021.
"A key pillar of our strategy is building communities of gamers for brands. We are excited to be working with Cadbury in this way as it makes its first move into competitive gaming entertainment,” said John Clarke, Chief Executive of Gfinity.
The news follows the company’s recent win last week of several distribution rights agreements with three leading broadcasters for its new V10 R-League championship.
While financial details of these contracts also remain undisclosed, they will also play ‘a key role’ in supporting its target of moving into profitability and further business growth.