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    <title>Edison Investment Research - recent research</title>
    <link>http://www.edisoninvestmentresearch.co.uk</link>
    
    <dc:language>en</dc:language>
    <dc:rights>Copyright 2009</dc:rights>
    <dc:date>2009-11-11</dc:date>
    

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      <title>Coal of Africa - Heating up</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Coal of Africa</link>
      <headline>Heating up</headline>
      <description><![CDATA[Mining - Coal of Africa ({sedol}): Coal of Africa (CoAL) surprised the market with the acquisition of NuCoal, a privately owned thermal coal miner in South Africa. CoAL has agreed to pay 4.8x NuCoal&#146;s FY09 earnings for its Woestalleen Beneficiation Plant, Vuna Colliery and four development stage projects with mining rights and some 22.2Mt of in-situ coal. The deal is a good one insofar as it provides CoAL with access to additional thermal coal production, a number of supply contracts as well as logistics infrastructure. To fund the acquisition, CoAL recently placed 59.9m shares at 95p raising gross proceeds of &#163;56.9m. Considering the impact of a stronger South African rand on operating costs and incorporating NuCoal, we value Mooiplaats and Vele at 102p/share (fully diluted), which rises to 168p/share including Makhado.<br />ISIN: AU000000CZA6]]></description>
      <dc:date>2009-11-11T12:41:38+00:00</dc:date>
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      <title>Hightex Group - Towards the skies</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Hightex Group</link>
      <headline>Towards the skies</headline>
      <description><![CDATA[Construction & Building Materials - Hightex Group ({sedol}): The successful installation and completion of the retractable roof at Wimbledon&#146;s Centre Court and the recent &#128;19m Kiev stadium contract win have confirmed Hightex&#146;s repositioning strategy. We expect at least three new major contracts should be won each year to drive growth in revenues and profits. The balance sheet will continue to be strengthened. This will give further critical mass, economies of scale and financial security to compete for more than three contracts of at least &#128;10m each year over the medium/long term. The share price performance has yet to reflect these improved prospects.<br />ISIN: GB00B19PH233]]></description>
      <dc:date>2009-11-11T12:00:54+00:00</dc:date>
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      <title>Lonrho - Q4 trading update</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Lonrho</link>
      <headline>Q4 trading update</headline>
      <description><![CDATA[Basic Industries - Lonrho ({sedol}): Lonrho&#146;s Q4 trading update surprised on the upside. FY09 revenue of &#163;90.8m was c 2% ahead of our forecast and EBITDA of &#163;2.3m, &#163;0.5m ahead. The five trading divisions &#150; agribusiness, transport, infrastructure, support services and hotels &#150; all performed in line with expectations, with the largest, Agribusiness, accounting for 62% of revenue. The group anticipates being able to record a &#163;3.5m exceptional gain related to an earlier provision for Luba Freeport.<br />ISIN: GB0002568813]]></description>
      <dc:date>2009-11-11T09:36:20+00:00</dc:date>
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      <title>All Star Minerals - Swedish uranium</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/All Star Minerals</link>
      <headline>Swedish uranium</headline>
      <description><![CDATA[Mining - All Star Minerals ({sedol}): The second phase of radon survey results released this week confirms the potential of a new uranium discovery at All Star Minerals&#146; Gilpas project in northern Sweden. In Q110, the company plans to drill Zone 1, the most prospective part of an anomalously radioactive area of c 157,500m2 identified this year. Based on a comparison of the company&#146;s listed peers, we calculate a sector multiple of US$10.1 per pound of in-situ U3O8 resource. Compared to All Star&#146;s enterprise value of &#163;820,000, the market appears to be pricing in a resource of 133,960lbs. This equates to a mineralisation thickness for Zone 1 of just 3.8m compared to two nearby deposits, which have thicknesses of between 7m and 30m.<br />ISIN: GB00B12T7004 ]]></description>
      <dc:date>2009-11-11T09:06:30+00:00</dc:date>
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      <title>Sarantel Group - Update and fund-raising</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Sarantel Group</link>
      <headline>Update and fund-raising</headline>
      <description><![CDATA[Electronics & Electrical Equipment - Sarantel Group ({sedol}): Sarantel has confirmed that trading in the year to September was broadly in-line with forecasts, but more importantly that the group has successfully raised an additional &#163;2.2m of equity funding. Undoubtedly, visibility across the core GPS, satellite and military customer base is improving. This helps support management&#146;s target of monthly profitability in the next 15 months and the additional cash will accelerate discussions with several of the target higher volume players. <br />ISIN: GB00B065J785]]></description>
      <dc:date>2009-11-10T12:44:41+00:00</dc:date>
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      <title>Shanks Group - Poised for recovery</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Shanks Group</link>
      <headline>Poised for recovery</headline>
      <description><![CDATA[Support Services - Shanks Group ({sedol}): The recent share price performance has reflected expectations of a global economic recovery. The shares are likely to tread water until there is further evidence that a recovery is underway. Debt levels remain high (but within covenant levels) and a catalyst could occur with the sale of equity stakes in any of its three PFI projects.<br />ISIN: GB0007995243]]></description>
      <dc:date>2009-11-09T14:44:28+00:00</dc:date>
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      <title>Discovery Metals - Copper bottomed</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Discovery Metals</link>
      <headline>Copper bottomed</headline>
      <description><![CDATA[Mining - Discovery Metals ({sedol}): Discovery has announced the upgrade of its Zeta resources (to include the &#145;measured&#146; category for the first time) as well as updating the market on the progress of its bankable feasibility study (the BFS Progress Update). On the basis of the BFS Progress Update in particular, we have revised our valuation for the Boseto project upwards by 22%, from US$129m (or 35p per share) to US$157m (or 43p per share) at a relatively conservative long-term copper price of US$5,225/t (US$2.37/lb), compared to a current actual price of nearly US$6,615/t (US$3.00/lb).<br />ISIN: AU000000DML9 ]]></description>
      <dc:date>2009-11-09T11:10:23+00:00</dc:date>
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      <title>Paion - CNS 7056 Phase IIa data</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Paion</link>
      <headline>CNS 7056 Phase IIa data</headline>
      <description><![CDATA[Pharmaceutical & Healthcare - Paion ({sedol}): Positive results from Phase IIa and Phase Ib studies of the short-acting sedative, CNS 7056 bode well for a licensing deal later this year or early next. Meanwhile Paion is planning a Phase IIb study. Almost any deal would secure Paion&#146;s funding position beyond the completion of Phase III studies of desmoteplase, an event which, if successful, triggers its own milestone payments. Paion is therefore, in our view, at a significant value-inflection point. <br />ISIN: DE000A0B65S3]]></description>
      <dc:date>2009-11-06T10:47:03+00:00</dc:date>
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      <title>Merrion Pharmaceuticals - Raising its profile</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Merrion Pharmaceuticals</link>
      <headline>Raising its profile</headline>
      <description><![CDATA[Pharmaceutical & Healthcare - Merrion Pharmaceuticals ({sedol}): Merrion is raising its corporate profile with a move to new facilities that should allow a significant scale up of its R&D activities. Meanwhile, it continues to build awareness of lead programme Orazol, with presentations at key oncology conferences aimed at attracting a partner. The investment case relies to a large extent on of the formation of a partnership for Orazol, which is an oral version of Novartis&#146;s currently iv only blockbuster Zometa. Regulatory feedback on the proposed design of registration studies for Orazol, due shortly, could be a trigger for a deal. <br />ISIN: IE00B282VY28]]></description>
      <dc:date>2009-11-05T15:07:09+00:00</dc:date>
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      <title>ClearStream Technologies Group - FY09 profit; FY10 invest</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/ClearStream Technologies Group</link>
      <headline>FY09 profit; FY10 invest</headline>
      <description><![CDATA[Pharmaceutical & Healthcare - ClearStream Technologies Group ({sedol}): ClearStream reported its maiden full year profit of &#128;1.9m as a listed company. Sales were in line with expectations at &#128;13.9m, but a much more profitable sales mix with 53% higher margin peripheral catheters (up from 30% FY08) pushed the H2 gross margin to 46% and gave a second half profit of &#128;1.8m. Full year operating costs were well controlled at &#128;3.5m, up 4%. The &#128;3.7m fund-raising in July gave the cash to acquire the global rights to the Intrepide stent. In FY10, investment in marketing and stent clinical trials will hold profits back to c &#128;0.5m, before an anticipated rebound in FY11.<br />ISIN: IE00B03QHM52]]></description>
      <dc:date>2009-11-04T14:13:55+00:00</dc:date>
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      <title>Red Rock Resources - Cue investment</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Red Rock Resources</link>
      <headline>Cue investment</headline>
      <description><![CDATA[Mining - Red Rock Resources ({sedol}): Red Rock has announced that it has taken a 15.78% interest in Cue Resources (a company incorporated in Canada and listed on the TSX Venture Exchange) via a subscription for 9.898m units (comprising one share and one warrant each) at a price of C$0.10 each for a total consideration of C$989,800 (approximately &#163;565,000). Each warrant entitles Red Rock to subscribe for one further share at a price of C$0.15 prior to 1 November 2011. Cue&#146;s current share price is C$0.105 and its market cap C$4.1m.<br />ISIN: GB00B0CQLF79]]></description>
      <dc:date>2009-11-04T11:05:13+00:00</dc:date>
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      <title>Amino Technologies - Operational headwinds</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Amino Technologies</link>
      <headline>Operational headwinds</headline>
      <description><![CDATA[Technology - Amino Technologies ({sedol}): Amino has warned that its H209 performance will be negatively affected as a result of component shortages and order slippage in relation to MPEG-4 set-top boxes. Despite a record period for order intake, including recent wins with Tele2 in the Netherlands and Pioneer Telephone Cooperative in North America, our checks with the company indicate that around 20% of orders originally scheduled for delivery in H209 have been delayed, mainly as a result of component shortages. Consequently, we are cutting our FY09 revenue estimate from &#163;39.7m to &#163;24.3m and our adjusted EPS forecast falls to a loss of 9.7p. After yesterday&#146;s warning, the shares are trading at an all-time low, and 25% below NAV, offering speculative appeal to value hunters. <br />ISIN: GB00B013SN63]]></description>
      <dc:date>2009-11-04T10:03:52+00:00</dc:date>
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      <title>RPC Group - Positive site visit</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/RPC Group</link>
      <headline>Positive site visit</headline>
      <description><![CDATA[Basic Industries - RPC Group ({sedol}): A recent site visit in Germany confirmed our view that RPC is weathering the recession relatively well. We expect 2010 to show signs of recovery boosted by &#145;RPC 2010&#146;, the group&#146;s restructuring programme started in June 2008. We believe RPC&#146;s focus on its in-house design team offers a competitve advantage by creating higher value products, of which c 70% of sales (by value) are bespoke. With restructuring benefits to be realised over the next 18 months and backed by an attractive yield, there is scope for upwards re-rating of the shares. Interim results are due 27 November, at which point we will review our forecasts.<br />ISIN: GB0007197378]]></description>
      <dc:date>2009-11-04T09:39:43+00:00</dc:date>
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      <title>Pharming Group - Rhucin   a new indication</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Pharming Group</link>
      <headline>Rhucin   a new indication</headline>
      <description><![CDATA[Pharmaceutical & Healthcare - Pharming Group ({sedol}): Pharming Group is putting the troubles of the last few years behind it. Rhucin&#146;s formulation for hereditary angioedema (HAE) gives better efficacy than plasma-derived competitors. The US market has established HAE reimbursement and a $3,900 per dose price. The new preclinical data on Rhucin in managing ischemic side-effects supports large potential follow-on indications. The first indication will be the alleviation of damage to transplanted organs; Pharming is preparing exploratory clinical trials. The debt burden has been cut to &#128;10.9m with a 6.875% coupon.<br />ISIN: NL0000377018]]></description>
      <dc:date>2009-11-03T10:36:38+00:00</dc:date>
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      <title>Lookers - Still outperforming</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Lookers</link>
      <headline>Still outperforming</headline>
      <description><![CDATA[General Retailers - Lookers ({sedol}): Following positive statements elsewhere in the sector, the contents of Lookers&#146; IMS should have come as no real surprise to the City. The group continues to outperform the market in each segment of the business, leading to a further upgrade in estimates. Uncertainty remains about the extent of UK economic recovery in 2010, tempering our enthusiasm slightly. Lookers still justifies a higher rating.<br />ISIN: GB00B17MMZ46]]></description>
      <dc:date>2009-10-30T11:40:01+00:00</dc:date>
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      <title>Gold One - Ramp up as expected</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Gold One</link>
      <headline>Ramp up as expected</headline>
      <description><![CDATA[Mining - Gold One ({sedol}): In its quarterly activities report, Gold One announced an operational performance broadly in line with our estimates and an expectation that its flagship asset, Modder East, will both move into commercial and continuous production in the current quarter and become cash-flow positive. Updating our valuation to take into account current forex rates (particularly ZAR/US$ and A$/US$) and recent moves in the gold price, we calculate a value for Gold One of 52.35Ac per share &#150; a 2.6% increase compared to our estimate of 51.00Ac in August.<br />ISIN: ZAE000075867]]></description>
      <dc:date>2009-10-29T12:03:39+00:00</dc:date>
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      <title>Protonex Technology Corporation - 2010 product launches</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Protonex Technology Corporation</link>
      <headline>2010 product launches</headline>
      <description><![CDATA[Electronics & Electrical Equipment - Protonex Technology Corporation ({sedol}): The year end trading update offers cause for optimism with levels of development revenues recovering in H2, and a strong likelihood that several products will generate sales in 2010. The attractiveness of the investment case depends on the speed at which unit sales accelerate further in 2011 and beyond. Contract announcements during the upcoming year should make this clearer.<br />ISIN: USU743101003]]></description>
      <dc:date>2009-10-29T11:12:04+00:00</dc:date>
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      <title>Share plc - Momentum maintained</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Share plc</link>
      <headline>Momentum maintained</headline>
      <description><![CDATA[Financials - Share plc ({sedol}): The strong momentum seen in dealing commissions during H1 has been maintained into Q3 and adds considerable confidence to our full year estimates. Against the background of very high levels of activity in the retail investment market, Share has continued to outperform its peer group. Meanwhile the acquisition of a minority stake in WAY Group is a commercially useful strategic step.   <br />ISIN: GB0001977866]]></description>
      <dc:date>2009-10-29T08:40:25+00:00</dc:date>
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      <title>Lonrho - Conglomerate ambitions</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Lonrho</link>
      <headline>Conglomerate ambitions</headline>
      <description><![CDATA[Basic Industries - Lonrho ({sedol}): Lonrho is a play on African development. Operating in 17 countries, the company comprises five divisions: agribusiness, transport, infrastructure, support services and hotels, thereby spreading both operational and geopolitical risk. With impressive recent revenue growth, the group is moving towards profitability. The short-term drivers of growth involve expansion plans focusing on developing tried and proven businesses across the continent, although capital will be required to meet these objectives. Using a sum of the parts valuation our base case value for Lonrho is 17p per share, potentially rising to 37p/share as revenue targets are met.<br />ISIN: GB0002568813]]></description>
      <dc:date>2009-10-28T15:39:15+00:00</dc:date>
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      <title>Wolfson Microelectronics - Stuck in a holding pattern</title>
      <link>http://www.edisoninvestmentresearch.co.uk/research/category/Wolfson Microelectronics</link>
      <headline>Stuck in a holding pattern</headline>
      <description><![CDATA[Electronics & Electrical Equipment - Wolfson Microelectronics ({sedol}): Our bullish outlook on the UK semiconductor sector since June 2009 (see our sector note Sailing Turbulent Seas) excluded Wolfson, largely on the grounds that the shares were high enough in the context of the company&#146;s top-line turmoil (including share loss at Apple) and a drab outlook for many of its consumer electronics markets. Since then the shares are up just 2% at 117p in stark contrast to our top picks ARM (up 38%), CSR (up 28%) and IQE (up 89%). After Q309 results, we are cutting our estimates for FY09 due to Wolfson&#146;s lacklustre backlog. There appears little in the way of company-specific catalysts to drive a near-term re-rating. <br />ISIN: GB0033563130]]></description>
      <dc:date>2009-10-28T13:57:18+00:00</dc:date>
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