SMALL CAP MOVERS: Trump’s election won’t stop clean energy gains

As the dust settled on Donald Trump’s comprehensive mishandling of opponent Kamala Harris in the US presidential election, much of the focus shifted to the potential consequences for US markets and the global economy as a whole.

Given Trump’s climate skepticism and passionate love for fossil fuels, it’s safe to say that the renewables sector has a lot to worry about, at least in the US.

But here in Britain, a small alternative energy company in the AIM market ignored the fuss and made a stunning 25 percent gain on its market capitalization.

UK-based green hydrogen technology and manufacturing company Clean Power Hydrogen plc saw its valuation rise after signing a licensing agreement with Hidrigin, allowing the Irish company to use Clean Power’s IP-protected Membrane-Free Electrolyser.

Hidrigin has secured €100 million in funding to develop a host of renewable energy developments and Clean Power shareholders apparently expect the company to reap some of the benefits.

Global markets experienced an immediate wave of bullishness following Trump’s victory, although this was short-lived and barely reflected in the AIM market’s performance.

The junior market saw a small rise after the election, followed by a sharp pullback on Thursday. Not even a 25 basis point rate cut by the Bank of England could push the AIM All-Share Index back into the green – it was closing in on 0.45 percent lower at 735.4 on Friday afternoon.

The FTSE 100 experienced an even sharper pullback. After an initial post-election recovery, the blue chip index fell back to end the week 1.3 percent lower at 8,073.

Speaking of hydrogen, AFC Energy plc was another big gainer, up more than 20 percent following the unveiling of an agreement to deploy the first 45kVA H-Power system in Saudi Arabia with exclusive distributor The Machinery Group (trading as TAMGO).

On the right side of the periodic table, Helium One Global Ltd confirmed the completion of the farm-in agreement with Blue Star Helium for a 50 percent interest in the Galactica-Pegasus helium project in Las Animas, Colorado. Shares rose 18 percent.

Bigblu Broadband plc was the biggest riser of the week after confirmation of the takeover interests of subsidiary Salter Brother of the Australian airline SkyMesh.

“The transaction remains subject to final terms and financing arrangements, and there can be no assurance that any transaction will close,” management said. Shares rose 61 percent.

B2B video streaming solutions company Aferian plc added 50 percent after reporting that sales are expected to rise 20 percent this year.

On the topic of divestments, Christie Group plc announced the sale of its subsidiary Orridge Holdings to RGIS Inventory Specialists for £5 million.

Founded in 1846, Orridge is Europe’s oldest inventory management company, providing inventory management services to the retail, warehousing and pharmaceutical sectors in the UK, Germany and Belgium. Christie’s share price rose 20 percent.

Everyone’s favorite model train maker Hornby plc added 19 per cent after the Frasers-backed AIM group confirmed the sale of its wholly owned subsidiary LCD Enterprises, which also includes hobby brand Oxford Diecast, to EKD Enterprises for £1.38 million.

Africa-focused gold producer Hummingbird plc took the crown for this week’s biggest AIM faller, in light of a debt restructuring that is likely to lead to a delisting.

Ongoing problems at its mining operations “have placed significant strain on Hummingbird’s balance sheet and its ability to meet near-term debt service obligations,” management said.

The solution? A debt-to-equity swap in which lender CIG effectively takes control of the company at a significant discount per share, after which CIG plans to delist Hummingbird from AIM. Shares then fell 66 percent to 2.13p.

Clinical infrastructure specialist Feedback plc’s valuation was downgraded following its full-year results and a diluted equity round.

Feedback’s cash position almost halved in the period, while a share issue of £5.2m at 20p each represented a 55 per cent discount to market prices. The shares then fell by 50 percent to match the offer price of 20 cents.

Oil and gas explorer Empyrean energy was also involved in a £1.12 million fundraising effort to support a potential acquisition of an option to participate in the Wilson Project in Australia. The shares saw a technical downward adjustment of 40 percent.

Also in the energy sector, gas explorer Synergia Energy Ltd fell by more than 23 percent as a result of an operational update.

Synergia said ‘solid progress is being made’ in its 50:50 joint venture with Port energyalthough a discounted equity round (a rather recurring theme this week) put pressure on shares.

In the technology space, chip maker EnSilica plc Shares fell 24 percent in response to a full-year trading update. While revenues rose 23 percent, gross margins fell from 40 percent to 36 percent due to a “major tape-out contract.”