Rocketed? Soared? Took off? Whatever word you choose, news that Elon Musk’s SpaceX could become a major Filtronic shareholder definitely set a fire under the AIM-listed microwave technology company.
Filtronic on Wednesday confirmed that it will supply ‘E-band Solid State Power Amplifier’ modules for SpaceX’s Starlink satellite constellation under a $19.7million deal.
In conjunction with the strategic partnership, Filtronic will issue a total of 21.7 million warrants to SpaceX, allowing the US rocket group to acquire 10 per cent of Filtronic’s equity base.
The first modules are scheduled for delivery in 2025, with further order flow expected to continue thereafter to support the ongoing deployment of SpaceX’s Starlink constellation.
SpaceX’s vice president of Starlink engineering Mike Nicolls called Filtronic an ‘outstanding supplier for Starlink’.
Eyeing deal: Elon Musk’s SpaceX could become a major shareholder in tech firm Filtronic
Previously little-heard-of Filtronic’s shares took to the air, ascended to the stars etc etc, adding 43 per cent over the week to smash an all-time high of 47.34p.
The AIM All-Share Index had a resoundingly solid week in general, having climbed 1.5 per cent over the five-day session to hit 756 come Friday.
This was only half as good as the FTSE 100 index though. Stellar earnings from domestic big caps including AstraZeneca, LSEG, Barclays, Reckitt and more (not to mention a good showing from Microsoft and Google-parent Alphabet across the pond), sent the blue-chip index to a string of all-time highs amid a 2.7 per cent weekly rally.
Speaking of all-time highs, how many small caps can claim to be at all-time highs right now?
This reporter hasn’t done the requisite research, but there’s at least two now.
AIM-listed cosmetics supplier Warpaint London plc’s sales, margins and profits hit a record last year following significant growth across all geographical regions. Warpaint’s shares spiked to an all-time high of a tidy 500p, closing the week 8.5 per cent higher.
Filtronic wasn’t the only AIM member to benefit from a big-cap tie-up.
ANGLE PLC shares jumped 30 per cent following the announcement of a strategic partnership with AstraZeneca that aims to advance cancer drug development by enhancing ANGLE’s DNA damage response assay.
Specifically, the collaboration will focus on adapting ANGLE’s existing Parsortix-based assay for identifying micronuclei in circulating tumour cells (CTCs), a crucial step in studying DNA damage responses.
ANGLE’s shares fell back a bit later in the week, but still closed a respectable 23 per cent higher.
Base Resources Ltd topped the small-cap leagues with a 131 per cent gain on its share price. The mineral sands miner announced a merger with US-based Energy Fuels to create a global critical minerals business.
Tim Carstens, Base Resources’ managing director, said the deal was the culmination of twelve months of discussions and the group will focus on developing the world-class Toliara project in Madagascar.
Solid-state battery technology group Ilika had what is technically known as a blinder of a week, news-wise.
An early-week trading update noted that cash and cash equivalents for the year are higher than expected due to cost reduction activity resulting from its 10-year deal with US firm Cirtec. Then on Friday, Ilika told investors that it’s teamed up with Tata’s battery business Agratas for a solid-state battery project.
Ilika shares added around 7 per cent throughout the week as a result.
Ferrexpo plc shares added 8.5 per cent as production at the Ukraine-based iron pellet maker hit its highest since the Russian invasion, while exports have also resumed from ports in the country.
Made Tech, the supplier of data and technology services to the public sector, travelled to the top of the movers list with a 43 per cent share price gain. The group was awarded a new £19.5million contract with the Department for Levelling Up, Housing & Communities, thus continuing a strong five-year partnership with the government body.
Video streaming solutions provider Aferian plc was among the biggest weekly fallers on the junior market, with shares falling 40 per cent to an all-time low.
In a trading update, African said revenues and earnings will be at the lower end of previous guidance. A ‘further deterioration’ in trading in its Amino division has forced a further restructuring of the business and it is seeking a refinancing deal with lenders.
Destiny Pharma said it is exploring ‘strategic options’ to advance the development of XF-73 nasal, a breakthrough gel to prevent postoperative infections. Shares dipped 24 per cent.
Ironveld plc fell 80 per cent after signing off on a £125,000 working capital loan with shareholder Tracarta.
