Cardpoint crashes as Plethora leaps

During a week in which individual shares oscillated massively in both directions, the market as a whole barely moved. The AIM Index fell 2.6 points to 1014.2 whilst the FTSE 100 shed 8.7 points to 5511.8.

A profits warning played havoc with the share price of Cardpoint (CASH), culling the ATM group’s market value by 42 per cent to 73.5p. Despite posting a 93 per cent rise in annual profits, Cardpoint explained this August’s takeover of closest rival Moneybox wasn’t proceeding as smoothly as planned.

At the other extreme, pharmaceutical concern Plethora Solutions (PLE) shot up 80 per cent to 224p on positive phase II results for its treatment for premature ejaculation. Application of the spray, invented by Dr Michael Wyllie, who brought erectile dysfunction drug Viagra to market for Pfizer, increased the length of time before ejaculation by 3.7 minutes.

Elsewhere, Broker Network (BNH) sparked up 11 per cent to 114.5p as the network of independent community insurance brokers said interim figures to October would beat market forecasts. Strong trading twinned with a one-off improvement in contract terms with insurer partners has boosted the numbers, due out in January.

Remaining in the financial sector, two of AIM’s debt advisers reported strong figures this week. This helped Debt Free Direct (DFD), which declared a maiden dividend, to rise 31 per cent, and smaller rival Debtmatters (DEBT) to put on 25 per cent to 144.5p.

Hargreaves hops onto market
In another frantic week for new issues, Hargreaves Services (HSP), the largest bulk haulage company in Britain providing transport and support services to the energy and waste sectors, joined AIM with a £21.5 million funding at 243p.

The shares have already accelerated to 275p. Based in County Durham and bossed by chief executive Gordon Banham, the group’s activities cover mineral trading, coke production, waste handling and transportation, as well as the handling of minerals through ports as well as bulk road haulage.

Also off to a flyer is Seeing Machines (SEE), which debuted on Thursday having raised £1.65 million at 3p with the help of Insinger de Beaufort. Based in Canberra, the company has developed a computer-vision processing technology that allows machines to see human faces and moving objects. The shares have since ticked up to 4.75p.

Looking forward
A former Lord Mayor of London is chairman of a Russian-owned chemicals business that plans to float in the next fortnight. The $12 million fundraising will value Zirax at $50 million. Sir Michael Oliver, a stockbroker who was Lord Mayor in 2001, will chair the developer of certain calcium chloride chemicals for use in oil services and de-icing applications.

Prior to the fundraising, 85 per cent of the group is owned by founders Mikhail Baranov and Eldor Azizov. The remainder belongs to chief executive Valery Andosov, who joined the company in 2003. Their holdings will be diluted by around 20 per cent following the placing.

Zirax’s chemicals are currently produced in Volgogad but the company is considering moving production to the EU. In the nine months to September earnings before interest and tax rose 64 per cent to $2.2 million on sales up 24 per cent to $14.7 million.

One client of Zirax’s oil product is Halliburton, the Texan oil company connected with President George W Bush. Westhouse acts as nominated adviser and Metropol is broker to the float.