SMALL CAP MOVERS: Powerhouse supercharged by patent dispute settlement

Powerhouse Energy’s shares rocketed to the top of the small-cap movers list this week after putting an evidently frustrating patent dispute with Onunda (formerly GetGo Recycling Limited) over European patents in the rearview mirror.

Powerhouse said the dispute, initially brought by GetGo in October 2023 before the High Court in London, was successfully resolved, paving the way for further patent applications in Europe and further abroad.

‘This is a major step forward for Powerhouse and I am pleased that this matter has been resolved,’ stated Powerhouse chief executive Paul Emmitt. 

‘The whole process has been extremely time-consuming and a significant diversion for the team over the last seven months.’

Powerhouse Energy shares soar after patent dispute, initially brought by GetGo before the High Court in London, was successfully resolved

It was a positive week all around for Powerhouse patents, having been granted a UK patent giving intellectual property protection around the utilisation of recirculated synthesis gas.

‘We are delighted to have secured this GB patent, which will allow us to accelerate the development of commercial applications for our technology,’ said Emmitt.

The result? Powerhouse shares flew by 89 per cent higher come Friday.

The wider junior market was buoyant, if not particularly exciting. A brief spike in activity on Monday sent the AIM All-Share Index to a year-to-date high before steadily correcting in the following days. It closed 1.4 per cent higher at 805.

In the blue-chip space, a packed week of large-cap earnings wasn’t enough to motivate the FTSE 100, which closed 1.3 per cent lower.

A sorely disappointing retail sales print on Friday surely didn’t help. Sales over the course of April fell 2.3 per cent month-on-month, against a 0.2 per cent decline in March and worse than expectations for a 0.4 per cent drop.

Following the underwhelming print, EY analysts predicted the UK economy to cool in the current quarter.

Roquefort Therapeutics was a top mover in the biotech space. Shares rose 20 per cent after signing a term sheet to out-licence its Midkine antibody portfolio to Dubai-based PDC. The deal includes an upfront payment of $10million.

Roquefort will also receive a non-dilutive equity stake in a special purpose vehicle (SPV) that PDC will use to develop the Midkine antibodies. The exclusive worldwide licence will last for 20 years.

Aptamer Group shares added 10 per cent after the company announced a deal to develop a new diagnostic tool that could enhance early detection of cervical cancer.

Arecor Therapeutics’ shares rose by 11 per cent following the release of encouraging trial data and a subsequent increase in its price target by a major bank.

The positive trial results demonstrated the potential of Arecor’s therapeutic candidates, while the raised price target reflected increased confidence from financial analysts.

CT Automotive Group shares jumped by 20 per cent following the announcement that its trading has rebounded strongly after the pandemic. 

The company reported improved sales and operational performance as market conditions normalised.

In the mining space, soaring gold prices and the formal launch of its Tulu Kapi mine in Ethiopia sent KEFI Gold and Copper’s 11 per cent higher.

KEFI said it has formally launched the project after a decision by the board of local subsidiary TKGM, which includes representatives from the Ethiopian Federal and Oromia Regional Governments.

‘Our launch timing is fortuitously coinciding with the improved conditions in Ethiopia and all-time high gold prices,’ said KEFI’s executive chairman Harry Adams.

Thriving gold prices may have also contributed to Katoro Gold’s 20 per cent rally.

Clean technology company EQTEC rallied a bumper 68 per cebt after it told investors it had agreed a refinancing of its existing secured lending facility with YA and Riverfort.

‘We are pleased to secure a new term loan with our secured lenders which we believe is a positive development for EQT,’ chief executive David Palumbo said in a statement.

United Oil & Gas plc jumped 36 per cent after agreeing a settlement with its debt provider for a final outstanding sum of $839,200. 

‘This leaves the company free to concentrate its efforts on advancing its other assets, particularly the Jamaican work program and farm-out process,’ said the group in a statement.

Finally, Naked Wines chief executive Robrigo Maza said the group is becoming “leaner and stronger” in comments accompanying the firm’s pre-close trading update.

‘With higher levels of cash, a moderating decline in sales and demonstrable underlying profitability we have a strengthening platform from which to build as we continue to drive towards profitable growth,’ he said in the statement.

Shares notched up 24 per cent worth of gains over the week.