Cenkos Securities Share Discussion Threads

[tole] 21/5/2020 12:35

Has this been tipped?

[speedsgh] 21/5/2020 09:08

Cenkos has acted as Nomad on a £172 million placing for Dart Group (DTG). Canaccord Genuity (broker), Barclays & HSBC acted as joint global co-ordinators/joint bookrunners so Cenkos will likely only receive a nominal fee.

[quepassa] 15/5/2020 12:29

New piece of Research from Edison just out today on peer-group competitor/leader, Numis Corp.

Numis have certainly been busy in past few weeks which corroborates an ongoing strong sector demand for equity raisings.

What is particularly noteworthy is that Numis are currently trading at 2.2x Book Value and modestly ABOVE their 10 year average of 1.9x.

Whereas Cenkos are trading at just less than 1 x Book Value and LESS THAN HALF of their 10 year average Book Value of 2.3x.

An enormous Book Value differential between Numis and Cenkos.

Is such a hefty discount to ten year average Book Value justified?

It seems to me that the recovery potential for Cenkos is significantly ignored, likely overlooked and perhaps indeed mis-priced by the market.



See both excellent research pieces from Edison for full details.

ALL IMO. DYOR.
QP

[quepassa] 14/5/2020 08:34

Excellent Research Update on Cenkos just released this morning by Edison.

[martomarto] 13/5/2020 20:56

Appreciate posts.

[trident5] 13/5/2020 15:56

Appreciate your posts Speedsgh

[speedsgh] 13/5/2020 15:22

RE the Rosslyn Data Technologies (RDT) placing. The prospectus states the placing has conditionally raised gross proceeds of £7.3m, net proceeds of approx £6.8m. I'll leave you to do the maths...

[speedsgh] 12/5/2020 08:19

Cenkos, acting as Nomad/broker, is helping to raise £7.3m via placing for Rosslyn Data Technologies (RDT). Announcement released last Thurs pm (7 May)...

[speedsgh] 12/5/2020 08:14

Cenkos has acted as Nomad on a US$85.8 million (approx £69.4 million) fundraising for Diversified Gas & Oil (DGOC). Stifel Nicolaus Europe, Mirabaud & Credit Suisse acted as joint global co-ordinators/joint bookrunners so Cenkos will likely only receive a nominal fee for the transaction.

[quepassa] 12/5/2020 07:41

This morning.

Numis Half-Year Report.


Resilient performance and declare 5.5p dividend.


In the circumstances, a pretty upbeat Outlook. Likely an interesting sector read-across.


Some snippets:

"Transaction volumes have increased in recent weeks as corporate clients accessed the equity markets to complete recapitalisations."

"Our pipeline of recapitalisation transactions for clients continues to grow, partially offsetting the decline in M&A,"

"These market conditions will inevitably present opportunities to achieve market share gains and build a stronger business in an evolving competitive landscape,"


See today's Numis RNS for full context.

ALL IMO. DYOR.
QP

[speedsgh] 06/5/2020 09:00

#NUM #CNKS

Stockwatch: these two AIM stocks are a geared play on market trends -

A scenario exists where stocks remain generally at a premium to intrinsic values, given investors now fear inflation and any yield at all may be better than what you might get from bonds or troubled property tenants.

Yet business margins will be compromised by social distancing as attempts to ease lockdown are made. These two trends imply firms will resort to equity, rather than riskier and costlier debt, to bolster their balance sheets. So, even if flotations are lacklustre, we can expect more placements in due course.

It might not be a fundraising bonanza, yet the context for corporate stockbrokers has been a difficult two years, where the Brexit impasse then General Election damaged revenue, and their operational gearing hit profits even more. So, it is possible that a medium-term turning point already exists.

A tale of two rather contrasting brokers

The two chief means to play this theme – both AIM-listed – are poster boy Numis Corporation (LSE:NUM), capitalised at around £280 million with its price at 269p, and relative ugly duckling Cenkos Securities (LSE:CNKS), valued at around £27 million with its price at 47.5p... [cont'd]

[martomarto] 02/5/2020 20:11

Been a big holder for a while. They just need a bit of post Corona business to make an exponential leap forward. Well managed, disciplined, but short of the current opportunities. IMO.

[albert zog] 30/4/2020 08:39

That is brilliant analysis speedsgh. Well done. Would be interesting to see the average annual share price over this timeline

[speedsgh] 30/4/2020 08:07

A comparison of today's finals against previous years.



REVENUE
2011: £37.4m
2012: £43.2m
2013: £51.3m
2014: £88.5m (AA IPO)
2015: £76.5m (BCA Marketplace IPO)
2016: £43.7m
2017: £59.5m
2018: £45.0m
2019: £25.9m

PROFIT BEFORE TAX on continuing operations
2011: £5.1m
2012: £7.0m
2013: £10.7m
2014: £27.0m (AA IPO)
2015: £19.9m (BCA Marketplace IPO)
2016: £4.4m
2017: £10.0m
2018: £3.2m
2019: £0.1m

BASIC EPS on continuing operations
2011: 5.2p
2012: 12.1p
2013: 14.2p
2014: 35.2p (AA IPO)
2015: 27.2p (BCA Marketplace IPO)
2016: 4.7p
2017: 13.2p
2018: 4.4p
2019: -0.2p

FULL YEAR DIVIDEND PER SHARE
2011: 5.0p
2012: 7.5p
2013: 12.0p
2014: 17.0p (AA IPO)
2015: 14.0p (BCA Marketplace IPO)
2016: 6.0p
2017: 9.0p
2018: 4.5p
2019: 3.0p

SIZE OF CORPORATE CLIENT BASE (as at 31 Dec)
2011: 111
2012: 119
2013: 125
2014: 130
2015: 124
2016: 116
2017: 117
2018: UNDISCLOSED
2019: 100

[speedsgh] 30/4/2020 07:54

Annual Results for the year ended 31 December 2019 -

HIGHLIGHTS

Revenue: £25.9 m (2018: £45.0 m)
Profit before tax: £0.1 m (2018: £3.2 m)
Profit after tax: £0.0m (2018: £2.4m)
Cash: £18.3 m (2018: £33.6 m)
Net assets: £24.7m (2018: £27.6m)
Basic earnings per share: -0.2p (2018: +4.4p)
Full year dividend per share paid and proposed: 3.0p (2018: 4.5p)

Commenting the Company's Chief Executive Officer, Jim Durkin said:

"Difficult markets in 2019, and uncertainty surrounding the UK's exit from the European Union, has resulted in a reduction in revenue compared to last year. This result was set against the backdrop of a 30% reduction in the total funds raised by AIM companies in 2019. Performance related payments to staff have been reduced in line with net revenue, leading to a modest pre-tax profit for the year.

The outlook for 2020 is clouded by the, as yet unknown, economic impact of COVID-19. I am however, pleased to report that we have started the year well, completing the largest IPO on AIM so far this year and despite unprecedented market circumstances have also executed a number of secondary fund raisings. We are continuing to work closely with our corporate clients to assess the impact of COVID-19 and the disruption that many of them are currently experiencing. We have a good pipeline, a cost base that is significantly below the 2019 level and a strong balance sheet, so I look forward to 2020 with tempered optimism. We are well placed to face the challenges ahead."

[tanneg] 28/4/2020 11:45

New mandate,

Pelatro Plc (AIM: PTRO), the precision marketing software specialist, is pleased to announce that it has appointed Cenkos Securities plc as sole broker and Nominated Adviser with immediate effect.

[speedsgh] 22/4/2020 12:38

Loss of mandate. Peterhouse Capital have replaced Cenkos as corporate adviser to Sativa Group (AQSE:SATI) who are listed on the AQSE Growth Market. Bizarrely Cenkos had only replaced Peterhouse as corporate adviser in June 2019.

[speedsgh] 20/4/2020 11:50

Announcement released on Friday pm. Intelligent Ultrasound Group (AIM:MED) are looking to £5.2m via a placing. Cenkos is acting as Nomad & broker...

Placing to raise £5.2m and Notice of GM -

[topvest] 15/4/2020 20:43

This looks a very good piece of work for Cenkos:



Cenkos are well positioned to assist with all the fundraising events coming along.

[speedsgh] 14/4/2020 09:02

Cenkos are acting as agent on a £1m placing for Empyrean Energy (EME)...

Subscription and Proposed Placing -

... Further, the Company announces that it proposes to raise up to £1.0 million (before expenses) through a placing (the "Placing") of new ordinary shares of 0.2p each (the "Placing Shares") at the Issue Price. The Placing is being conducted through an accelerated bookbuild process (the "Bookbuild") which is managed by Cenkos Securities plc, the Company's broker ("Cenkos")...

[quepassa] 09/4/2020 09:14

The FCA relaxation on rules and disclosures for emergency fund-raisings due to the corona crisis will potentially be a BIG BOOST for the NOMAD sector at a time when pipe-line IPO's may potentially be delayed.

An article in today's FT on page 2 refers and contains this quote from the interim CEO at the FCA :

"The UK's capital markets will play a vital role providing finance to business to help aid the recovery from the crisis. Our aim is to help companies quickly and effectively, while ensuring they respect the need of investors".

The message from the FCA seems loud and clear to get out and help companies suffering financial disruption through no fault of their own in these unprecedented times.


Not only will this relaxation of FCA requirements be a big fillip for NOMAD business volumes but DEBT ADVISORY services will also be in great demand.


ALL IMO. DYOR.
QP

[speedsgh] 08/4/2020 17:20

The recommended acquisition of Share plc (SHRE) by Antler Holdco Ltd (the holding company of Interactive Investor and the ii Group) was approved today. Cenkos act as Nominated Adviser and broker to Share plc.



Pg82 of the Scheme document gives an indication of the scale of fee to be earned by Cenkos for advising Share plc on the transaction.

"The aggregate fees and expenses which are expected to be incurred by Share plc in connection with the Offer are estimated to amount to £1.6215 million plus applicable VAT. This aggregate number consists of the following categories:
(a) financial and corporate broking advice: £0.91 million plus applicable VAT;"...

[carcosa] 08/4/2020 10:06

"FCA statement this morning states that companies may raise 20% of share capital without a prospectus, rather than 10%, alongside other measures to help companies raise capital quickly. It is a reminder of the significant issuance to come. I can’t help but suspect that Cenkos and Numis will be beneficiaries and note that Cenkos is trading at cash."