Smaller companies report: Weds close
UK SMALL caps closed lower today, hit by heavy losses across the broader market, while disappointing trading news hit Real Good Food and Sarantel, dealers said.
The FTSE small cap index closed 12.8 points lower at 3,353.6, while the FTSE 100 ended the day 91.6 points lower at 5,587.1.
On the downside, buyers lost their appetite for Real Good Food, 19½p lower at 49½p, after the group, which owns a series of high-end niche food businesses, warned that problems in the sugar market are likely to dent group profits.
In an AGM statement, the company said that already reported problems in the sugar market would hit profits at its Napier Brown Foods operation and the group as a whole but it added the company's other businesses are on track to achieve results in line with expectations.
Elsewhere, talk of large institutional sales and disappointing drilling news knocked Equator Exploration almost 30% lower, down 57p to 140p, after announcing that it has discovered gas in one of its wells in offshore Nigeria.
Sellers were also around in FirstAfrica Oil, 0.45p adrift at 3.25p, after the company revealed it is proposing to raise up to $65m via a placing to fund the further field development and provide working capital.
Again with the losers, Sarantel Group 'A' issues ran back 5½p to 33p after the manufacturer and supplier of filtering antennas for wireless devices again disclosed interim losses.
And Molins dipped 6½p to 104p as the engineering group said it plans to sell its loss-making Sasib SpA subsidiary or close Sasib's manufacturing and operations facility in Italy.
MJ Gleeson dropped 5¾p to 385¼p as the housebuilder warned full-year profits would be very substantially below market expectations as it continues its major refocusing programme including a swathe of disposals.
On the upside, buyers chased Gulfsands Petroleum and Emerald Energy higher after the Aim-listed oil & gas explorer and development company revealed that their Souedieh North well in Syria has encountered a series of live oil and gas shows.
Gulfsands added 18½p to 168½p, while Emerald, which also announced positive drilling news in Columbia, added 20¼p to 285p.
Elsewhere, IT solutions and services provider DCS moved ahead 4p to 30p after Reynolds & Reynolds made an agreed 31½p-per-share cash offer.
HR Owen shares were also in demand, adding 12½p to 136p, after announcing that its on-going businesses are in aggregate, operating profitably at the pre-tax level, thanks to last year's restructuring.
Plectrum Petroleum jumped 1.37p to 16.62p after announcing that it is in the process of finalising a fundraising of up to £2.5m through the issue of new shares at 14p each.
And Interactive Prospect Targeting Holdings jumped 15p to 212½p as traders in the online direct marketing company responded eagerly to the agreed acquisition of Directinet for up to €33m.
IPT will pay an initial €24.5m - €16.2m in 5,376,243 shares being placed at 205p with institutional investors and €8.3m by the issue of 2,820,172 shares in IPT at 202p which will be retained by the vendors.
Buyers also came for Encore Oil, 2¼p firmer at 23¾p, after news that two directors - the chief executive and chief financial officer - have both snapped up 100,000 shares at a price of 21½p apiece.
On the results front, Mothercare jumped 14p to 343p after the retailer's full year numbers came in above market expectations, prompting Seymour Pierce to upgrade the stock to 'buy' from 'outperform'.
Kuju also attracted support and advanced 1p to 10p after the game developer revealed a new project for Kuju's Brighton studio, a funded development of an undisclosed project in collaboration with Sony Computer Entertainment Europe's London Studio.
Most watched Money videos
- BMW meets Swarovski and releases BMW i7 Crystal Headlights Iconic Glow
- Volvo's Polestar releases new innovative 4 digital rearview mirror
- Skoda reveals Skoda Epiq as part of an all-electric car portfolio
- How to invest for income and growth: SAINTS' James Dow
- Tesla unveils new Model 3 Performance - it's the fastest ever!
- Mercedes has finally unveiled its new electric G-Class
- 'Now even better': Nissan Qashqai gets a facelift for 2024 version
- 2025 Aston Martin DBX707: More luxury but comes with a higher price
- Land Rover unveil newest all-electric Range Rover SUV
- Blue Whale fund manager on the best of the Magnificent 7
- Mini Cooper SE: The British icon gets an all-electric makeover
- Mini celebrates the release of brand new all-electric car Mini Aceman
- Snoop Dogg cannabis firm to ditch London after losing 97%...
- BUSINESS LIVE: BoE base rate decision; ITV eyes ad market...
- Ford confirms it will cull another of its best-selling...
- TSB to close one in six branches: More than 6,000 shut by...
- Hedge fund tycoon's £34m silver salvage claim sunk at the...
- Watches of Switzerland buys Italy's Roberto Coin Inc for...
- ITV hit by Hollywood strikes as it pins hopes on Euros...
- Avon Protection handed £38m gas mask contract by MoD
- Controversial Brewdog founder James Watt steps downs
- We do need to resolve inequality admits £8m-a-year...
- Drivers abandon Direct Line after insurance premium hikes
- Why we need more than a British Isa to move the dial on...
- Mortgage rates are climbing again - should we be worried?...
- Used car sales hit a five-year high as fresh supply of...
- BAE Systems tools-up for growth as Britain plots defence...
- Oil industry engineer Wood Group rejects £1.4bn Dubai...
- Millions kept in the dark over City watchdog's mystery...
- Spring property bounce is a damp squib - Rics estate...