Companies: ADC    BNT    CER    DA.    DMP    GOS    ITM    NOP    SPH    TSTL   

A $5, or eight per cent, drop in the oil price over the week to $58 affected the oil-rich London market. The FTSE 100 fell over 100 points, or nearly two per cent, to 5374.7, while the AIM Index slid 30.1 points, or 2.8 per cent, to 1064.1, faring worse because of the preponderance of resources stocks on the junior market.

Poor performers included Northern Petroleum (NOP), which sank 31 per cent to 41p; Providence Resources (PVR), down 27 per cent to 3.1p; and Celtic Resources (CER), 19 per cent lower at 164p.

The recent US storms continued to make an impact on these shores as Goshawk Insurance (GOS) tumbled 31 per cent to 21p after saying market loss estimates had nearly doubled, causing the company to increase its gross loss estimate by 30 per cent to $130 million.

Green shoots at ITM

‘Significant progress’ at ITM Power (ITM) charged the fuel cell developer’s shares up by 23 per cent to 94.5p this week. The group’s faster than expected development of its durable electrolysers will ‘enable the realisation of a cost-competitive hydrogen fuel as an alternative to hydrocarbons’.

Another environmentally conscious business, Azure Dynamics (ADC), maker of hybrid and electric vehicle engines, glided up 12.5 per cent to 76.5p after announcing the sale of four 20-passenger hybrid electric shuttle buses to an organization backed by a grant from the New York Power Authority.

Bid for Basepoint

Managed office operator Basepoint (BNT) received a bid from its largest shareholder, ACG Rented Properties, at 187.5p, an 18 per cent premium to Thursday’s closing price of 159p. The shares moved up 14 per cent to a surprisingly reticent 181.5p, considering Basepoints’s independent directors unanimously recommended the takeover.

Direct marketing group specialist DM (DMP), which acquires data from the public through its operation of games of skill and chance, signed a possible five-year deal to supply information to insurance company Cornhill Direct. Cornhill will pay commissions to DM, up 1p to 9p, depending upon the foundation of new business.

A major faller was mobile phone software developer DAT Group (DA.). The group, chaired by veteran investor John Gunn, halved in value to 36p after a £5.3 million placing at 30p a share accompanied weak interim figures. DAT also announced a new chief executive and chairman to replace Gunn.

Sinclair on look out

Drug developer Sinclair Pharma (SPH), which lost £2.6 million despite increasing turnover 174 per cent in the year to June, says it is scouting acquisitions after a series of US and European approvals for its products. Year-end cash was down from £7.8 million to £4.9 million and the price slipped 1.5p over the week to 115.5p.

Disinfectant producer Tristel (TSTL), which hopes to take advantage of the current MRSA-inspired push to improve the cleanliness of hospitals, reported operating profits doubled to £440,000 for the year to June. Turnover was up 38 per cent to £3 million, although an exceptional charge of £280,000 pulled profits back on a pre-tax basis. The shares were up seven per cent this week at 47p.

Looking forward

Broker WH Ireland will bring two clients to AIM shortly. Driver, a provider of specialist commercial and dispute resolution services to the construction industry, is scheduled to arrive on 13 October, preceded by a £2 million fundraising.

The broker is also hoping to raise £10 million for Angolan diamond prospector Xceldiam, run by 40-year-old Anglo American and De Beers veteran Tim George. The float will put a £30 million value on Xceldiam, whose board includes Mike Nunn, boss of AIM-quoted blue stone specialist Tanzanite One (TNZ).