SMALL-CAP-MOVER: NetScientific increases after attracting investors

NetScientific was the top performing small cap stock last week, rising 75 percent to 131.5p even after tapping into the fund market.

It’s been little more than two years since the company, which invests in life sciences companies, put itself up for sale and failed to find buyers; The plan in 2019 was to make the company private, but shareholders who turned down the deal when shares tumbled around the 30p mark proved right.

This week’s surge was sparked by news from its portfolio company PDS Biotechnology, where a Phase 2 study for an immunotherapy treatment for HPV cancer has indicated tumor regression.

NetScientific took advantage of the strength of the share price to raise £ 7.7 million – £ 700,000 more than originally planned – by placing shares at 130p each.

The funds will allow NetScientific to accelerate its business plans and pursue attractive transatlantic opportunities in the health and sustainability sectors in a post-covid environment.

“We call it building a transatlantic bridge. A particular pillar of our growth plans is to give our UK companies the opportunity to land in the US, but our US portfolio companies are also keen to land in the UK and build relationships, ‘said CEO Dr. Ilian Iliev to Proactive.

Another investment firm that did well was Asimilar Group, which rose 23 percent to 160.5p on news from one of its portfolio companies, Dev Clever Holdings.

Dev Clever, a developer of online career guidance and development platforms and consumer engagement experience, said it is making encouraging strides in India.

Oddly enough, Dev Clever stock’s price, despite rising 13 percent this week, lagged Asimilar stock’s price.

Sigma Capital rose 35 percent to 201p on Friday after the board recommended an offer of 202.1p per share from a subsidiary of mutual funds managed by PineBridge Benson Elliot.

The terms value the build-to-rent housing provider at around £ 188.4 million.

Kodal Minerals climbed 28 percent to 0.295 pence after upgrading its Bougouni lithium project in southern Mali.

Kodal has received formal correspondence from the Direction Nationale de la Geologie et des Mines in Bamako indicating acceptance of the feasibility study for the Bougoini mining license application.

Kodal has received a request to pay the application fee of £ 135,000 for the delivery of the mining license and Kodal intends to pay this promptly in order to continue the application process.

IQ-AI climbed 14 percent to just under 9p after its synthetic software application T1 + C (Gad-Free) was patented by the U.S. Patent and Trademark Office.

The technology eliminates the need to inject a contrast agent intravenously during medical imaging procedures, the company said, adding that the patent underscores the potential of artificial intelligence in its ability to streamline workflows, improve diagnostic quality, and improve patient safety.

Gulf Marine Services’ share price halved after it was announced plans to raise £ 20 million through a stock placement and open offering at 3:00 p.m.

“The fundraiser announced today is yet another stepping stone into the re-edition of the GMS story,” said Mansour Al Alami, CEO of GMS.

Shareholders hope it’s a step back, two steps forward.

Kropz shares slumped 21 percent this week after the African phytonutrient feed mineral maker announced it would not be able to publish its 2020 audited results before its annual general meeting on June 30th.

A delay in the publication of results always seems to make the market nervous.

The shareholders of Umuthi Healthcare Solutions, the technology-oriented healthcare company that was listed in London in early March, are also likely to be a little nervous.

Trading in the shares was suspended after the Financial Conduct Authority raised concerns that some shareholders who were in a share swap agreement prior to the company’s approval would not be able to trade all of their shares. In some cases, this was due to stock trading accounts not being fully activated, Umuthi said.