27 November 2015

Virotec to raise £9m

Robert Tyerman

Environmental and extractive waste-treatment specialist Virotec International is raising £9.3 million at 30p and says it expects to report a maiden profit for the year to last month.

Queensland-based Virotec, headed by executive chairman Brian Sheeran, lost the equivalent of £6 million in 2003-04 (on revenues of £770,000 and after directors' fees of £3 million). More recently it has begun to turn the corner. In December, the AIM-quoted company says it expects to report pre-tax profits of between £1.35 million and £1.75 million for the year to June.

Last December, Virotec received £650,000 in cash and debt repayment from selling its oil refining technology business HydroDec to another company, Vert-eco. The deal also brought the company a 38 per cent stake in the purchaser's equity and it keeps a five per cent royalty on HydroDec's gross revenues.

Last month, Virotech won a contract to treat waste rock at Skytop Mountain in Pennsylvania, whose initial phase could be worth up to £700,000, says Sheeran. The company has now also clinched an exclusive agreement with Saudi Arabia's family-owned Al-Othman group, whereby Al-Othman will sell Virotec's environmental services throughout the desert kingdom (which has only lately become aware of alarming contamination levels from its oil industry).

Broker Numis is handling the placing for Virotec, whose shares were up 2p this morning to 33.75p. They could make further gains.

Cash Shells 2015

Published in September 2015 this annual research report provides a comprehensive overview of cash shells on the Main Market, AIM and PLUS landscape. Order your copy today


Superb investment toolkit for private investors

SharePad is the new web-based service from ShareScope. Easier to use and more powerful. Perfect for tablets, Macs and Windows PC. Covers ALL your investment requirements.

Growth Company Investor: free trial

Since 2008, our share tips outperformed the benchmark by 281%. Take a free trial and get access to our recommendations today. Start free trial now.

Directors' Pay on AIM 2015

The most comprehensive review of AIM directors' pay available, and this year includes a record sample of 1000+ AIM-quoted companies. The full report is available to order for £385 + VAT. Click here for more info


Latest small-cap and growth company news

Daily coverage of small-cap company stocks on London's junior markets AIM and PLUS, breaking news, stock research and latest share price information for investors. Full sector coverage with all the latest news on smaller listed companies, updated several times a day with financial reports, trading statements and links to further web resources.

Popular News

Latest News

Be Heard takes first step towards building a new digital ad network

Advertising industry veteran Peter Scott has returned to the stock market as Executive Chairman of Be Heard (AIM: BHRD). The company has just raised £5.5 million and acquired digital marketing and analytics business, Agenda 21. This is the first step on a journey towards building a new network of digital marketing agencies.

German work ethic is good news for Sirius

Sirius Real Estate (AIM: SRE) interim results show the company on track for a shareholder return in the mid-teens for 2015 as a whole. Net asset value rose by 5.5 percent in the first half, and adding the dividend makes a 7.3 percent return for this period. Further property acquisitions and the refinancing of a significant loan will help boost future periods.

McKay sees a solid outlook for SE property

Property investor McKay Securities (LSE: MCKS) has reported a good set of results for the half year to September. Having raised £130 million in new debt and equity last year, the company has been putting these funds to work.

Starcom looks for new products to unlock growth

Starcom (AIM:STAR) has been a very disappointing stock since it floated on AIM over two years ago. Based in Israel, it has a range of tracking products which should be a good play on the internet-of-things theme.

AB Dynamics motors ahead

Automotive testing system manufacturer AB Dynamics (AIM: ABDP) has produced an excellent set of results for the year to August. Revenue grew by 19 percent and operating profit was up 41 percent. The company has benefited from rising R&D spending by the automotive industry and is reaping the rewards of having built some strong relationships with its leading companies.

Falanx looks to benefit from cyber crime

The recent data breach at Talk Talk where thousands of customers had their personal information stolen has had a big negative impact on the company. However it also serves to highlight the opportunities for companies specialising in poviding cyber security.

More News