Lunchtime small cap wrap: who’s scored, who’s dropped the ball
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Here are the key gainers and losers at 12pm AEST.
The ASX Small Ords was trading down 5.2 points at 2644 at 12.45AEST.
In the green
News of a takeover has sent Atlas Iron (ASX:AGO) shares up 44 per cent to trade at 2.7c.
AGO told investors today that MinRes is offering 1 MinRes share for every 571 of its own shares, which implies a price of 3.02c per share – a 59 per cent premium to Atlas’ share price prior to the news.
Mineral Resources (ASX:MIN) is a $3.2 billion company, its share price closing at $17.24 before it went into a trading halt last Thursday.
The deal is a friendly one, with both companies inking a scheme of arrangement and Atlas’ directors unanimously recommending that shareholders vote in favour of the tie-up.
Golden Cross Resources (ASX:GCR) was up 33 per cent to 2c on no news.
Moving into blockchain advisory saw a positive move for IOT Group (ASX:IOT) – shares were trading up 30 per cent at midday at 0.65c.
It told the market it had been granted the right to develop a Blockchain Applications Centre to provide wholesale power for Blockchain operators in conjunction with Hunter Energy.
The group is working to recommission an existing power state in the Hunter Valley – what IOT says could allow for lower power costs for its future clients in a power-hungry industry.
RedFlow (ASX:RFX) was trading up 26 per cent at 14.5c.
Last month it announced its first Thai-stack batteries were ready for customers and scheduled for delivery.
Iron ore explorer Aust Sino Resources (ASX:ANS) has continued to surge since rejoining the bourse – trading up 25 per cent to 1.25c today.
The company was reinstated to trade last week after a recapitalisation.
In the red
Diversified explorer Gullewa (ASX:GUL) led the losers today, down 25 per cent at 3c with no news in the market.
After a solid performance last week MetalSearch (ASX:MSE) fell 21 per cent to 1.1c today.
Maiden drilling at the company’s flagship project Kraaipan was completed in the last quarter last year, with encouraging gold assays achieved.
Specialty chemical developer Alexium (ASX:AJX) continued to fall after a note to shareholders described its position as ‘frustrating’.
Shares fell 19 per cent today to 17c – down from 28c in the past 5 days.
Chief Dirk Van Hyning said progress of the company was strong but confidentiality considerations meant he couldn’t share the information with shareholders.
The board of Hazer Group (ASX:HZR) took a hit on Friday, and its shares followed today – down 18 per cent to trade at 27c.
Two directors left the company, including its managing director and founder Geoff Pocock, citing personal reasons.
Another quarter of record results failed to excite Blackham Resources (ASX:BLK) investors today – shares dropping 14 per cent to 8.6c.
The company told shareholders it had increased its previous monthly gold production by 11 per cent – and a further 38 per cent for the quarter.