Category: Market News

Mkango Resources Ltd (LSE:MKA) has agreed to acquire the Remloy rare earth magnet recycling business from Heraeus Amloy Technologies GmbH for €8 million in cash.

The transaction is expected to complete during the summer of 2026, subject to regulatory approvals, and will be partly financed using proceeds from a recent equity fundraising.

The Bitterfeld facility in Germany is fully commissioned and specialises in recycling end-of-life magnets through a melting process that produces NdFeB alloy powders. Initial commercial sales are targeted before the end of the year, with plans to scale production capacity to around 500 tonnes of alloy annually over the medium term.

Expanding integrated recycling operations

The acquisition also includes a 300-tonne inventory of rare earth magnets and alloys, strengthening Mkango’s recycling platform alongside its existing German operation, HyProMag GmbH.

Management said the deal enhances the company’s “one-stop-shop” offering across sintered, bonded and hot-deformed magnet markets while creating opportunities for operational synergies with limited additional capital expenditure requirements.

Mkango also intends to combine future primary feedstock from its Songwe Hill project with recycled material streams, a strategy designed to improve supply security for European and international customers seeking sustainably sourced rare earth materials.

More about Mkango Resources

Mkango Resources Ltd is a dual-listed rare earths business focused on recycled rare earth magnets, alloys and oxides through its Maginito subsidiary and associated HyProMag recycling operations in the UK, Germany and the United States.

The company also owns the advanced Songwe Hill rare earths project in Malawi and the planned Puławy separation facility in Poland. Both projects have been designated as Strategic Projects under the EU Critical Raw Materials Act and are intended to support supply chains linked to electric vehicles, wind power and clean energy technologies.

Playtech plc (LSE:PTEC) said trading during the opening months of 2026 has been very strong, with performance between January and April driven by robust growth across the United States, Mexico and several core European markets.

The company also reported continued momentum within its Live segment, while management said investments made in recent years are now generating accelerating returns, particularly across the Americas, contributing positively to profitability.

Americas expansion and strategic partnerships

Playtech highlighted the ongoing strength of its long-term partnership with Caliente Interactive in Mexico, which continues to perform strongly within the regulated gaming market.

Management believes the upcoming FIFA World Cup could further strengthen Caliente’s market position and create additional growth opportunities in the region.

Despite wider challenges affecting the online betting and gaming industry, Playtech said its growing presence in regulated markets, broad geographic footprint, scalable technology platform and established customer relationships leave the business well positioned to benefit from future market expansion.

Outlook and valuation considerations

The company’s outlook continues to reflect some concerns around uneven financial performance and the consistency of earnings quality, despite generally healthy cash generation.

However, technical indicators remain supportive, with the shares trading above major moving averages and momentum readings pointing to a positive trend. Playtech’s comparatively low price-to-earnings ratio also suggests the stock may be attractively valued relative to earnings.

More about Playtech

Playtech plc is a London-listed B2B technology provider serving the online betting and gaming industry. Founded in 1999, the company delivers a fully integrated technology platform spanning casino, live casino, sports betting, bingo and poker products.

Playtech operates across more than 50 regulated and regulating jurisdictions worldwide, supplying software, content and services to gaming operators globally.

Knights Group Holdings plc (LSE:KGH) reported a strong trading performance for the year ended 30 April 2026, with revenue expected to increase 28% to approximately £207 million. Organic growth accelerated in the second half of the year, reaching double-digit levels after a more subdued first-half performance.

Underlying EBITDA is projected to rise 19% to around £51 million, while underlying profit before tax is expected to increase 18% to roughly £33 million. The company said disciplined working capital management and stable debtor days supported cash generation throughout the period.

Acquisition strategy continues to expand regional presence

Knights maintained a solid balance sheet during the year, with net debt remaining broadly unchanged at approximately £65.4 million despite around £17 million of cash spending on acquisitions.

The group continued executing its buy-and-build strategy through the acquisitions of Birkett Long, Rix & Kay and Le Gros Solicitors, strengthening its presence across the South East of England and Wales.

Management also highlighted low employee turnover and a healthy acquisition pipeline, including ongoing discussions involving Moore Barlow LLP, as evidence of continued confidence in the company’s expansion strategy and operating model.

Outlook and market considerations

Knights Group’s outlook is supported by solid financial performance, continued revenue growth and healthy operating cash generation. Technical indicators also remain favourable, with the shares trading above major moving averages and reflecting strong market momentum.

However, valuation remains a potential concern, with the company trading on a comparatively high price-to-earnings ratio. Technical indicators suggesting overbought conditions may also increase the risk of near-term volatility.

More about Knights Group

Knights Group Holdings plc is a UK legal and professional services firm and ranks among the country’s 50 largest law firms by revenue. Unlike the traditional partnership structure used by many law firms, Knights operates as a corporate business model.

The company focuses primarily on regional UK markets outside London and provides services across corporate law, commercial advisory and private wealth management through a network of 29 offices nationwide.

Science Group plc (LSE:SAG) said it expects performance in 2026 to remain resilient and in line with board expectations despite geopolitical uncertainty and delays affecting UK defence contract awards.

Revenue is anticipated to be lower than the previous year as the company intentionally reduces lower-margin defence-related work, a move management said should contribute to improved overall margins. Science Group continues to maintain a strong financial position, supported by significant cash reserves, net funds and access to an undrawn revolving credit facility, with management prioritising adjusted operating profit, margin expansion and cash generation.

Defence operations and technology divisions

The company said its Sagentia Services division remains broadly well positioned, although activity tied to UK defence markets has been affected by delayed procurement decisions.

Meanwhile, CMS2’s submarine-related systems business has proven more resilient and could secure contracts capable of supporting growth visibility into the 2030s.

Frontier’s DAB+ and SmartRadio operations continued to perform steadily, with shipments now underway for its new Auria connected audio platform. However, management cautioned that consumer electronics demand could remain pressured by broader macroeconomic weakness and potential price inflation.

Share buybacks and capital allocation

Over the past year, Science Group returned more than £24 million to shareholders through dividends and share buybacks, while also reducing its voting share capital. Management said these returns have been funded organically alongside continued growth and maintenance of a strong balance sheet.

The board indicated it intends to continue — and potentially increase — the company’s buyback programme. Science Group is also evaluating broader capital allocation options, including the possibility of higher shareholder returns if suitable acquisition or investment opportunities do not emerge.

Management added that the company’s relatively modest valuation on the London market remains a limiting factor in pursuing larger corporate ambitions.

Outlook and valuation considerations

Science Group’s outlook is supported by solid profitability, conservative balance sheet management and comparatively attractive valuation metrics, including a relatively low price-to-earnings ratio.

However, these positives are partly offset by weaker technical indicators, with the share price trading below key moving averages and negative MACD signals pointing to softer market momentum. Recent share buyback activity nevertheless provides an additional supportive factor for investor sentiment.

More about Science Group

Science Group plc is an international science, engineering and technology consultancy and systems business operating across multiple sectors. Through its Sagentia Services division, the company supports clients in industries including MedTech, consumer products, food and beverage, defence and industrial markets.

Other divisions include CMS2, which specialises in defence systems, and Frontier, which focuses on connected audio and digital radio technologies.

Eco Atlantic Oil & Gas Ltd (LSE:ECO) has entered into an agreement to farm down a 37.5% working interest in South Africa’s offshore Block 1 CBK to Navitas Petroleum LP, which will become operator of the licence once regulatory approvals are secured and a US$4 million payment is completed.

Under the arrangement, Eco Atlantic will retain a 37.5% interest in the block while also benefiting from a capped US$7.5 million carry covering part of the work programme. The company may also adjust its retained position through an existing option agreement with local partner OrangeBasin Energies.

Strategic partnership expansion

The transaction further strengthens Eco Atlantic’s partnership with Navitas Petroleum, combining Eco’s exploration exposure across high-impact Atlantic Margin acreage with Navitas’ offshore production and development expertise gained in the U.S. Gulf and South Atlantic regions.

Management said the agreement is expected to reinforce Eco Atlantic’s balance sheet, reduce risk across its Atlantic Margin portfolio and support the advancement of exploration activity in South Africa.

The company added that the deal complements its broader collaboration with Navitas across projects in Namibia, the Falkland Islands and Guyana, supporting longer-term growth opportunities and shared-risk development strategies across its offshore assets.

More about Eco Atlantic Oil & Gas

Eco Atlantic Oil & Gas Ltd is an exploration-focused oil and gas company listed on both AIM and the TSX Venture Exchange. The group concentrates on offshore Atlantic Margin opportunities, with interests spanning Guyana, Namibia and South Africa.

Eco Atlantic targets low-carbon-intensity oil and gas developments located near established infrastructure, holding both operated and non-operated stakes across a portfolio of offshore petroleum licences in emerging energy markets.

Impax Asset Management Group plc (LSE:IPX) reported significantly weaker interim results for the six months ended 31 March 2026, as assets under management declined to £22.3 billion from £26.1 billion at the beginning of the financial year. Revenue fell to £58.8 million compared with £76.5 million in the prior-year period.

Adjusted operating profit decreased to £11.3 million, while the adjusted operating margin narrowed to 19.2%. The company also reduced its interim dividend to 2.0 pence per share, although management highlighted continued balance sheet strength with cash reserves of £46.0 million.

Investment performance improves despite continued outflows

Impax said investment performance strengthened considerably from January onwards, with around 70% of assets under management outperforming benchmarks during the early months of 2026. Active listed equity strategies particularly benefited from broader market participation and improved stock selection.

However, the group said historical underperformance continued to weigh on investor sentiment, contributing to net outflows of £3.6 billion, primarily from institutional clients. The outflows placed pressure on fee income and demonstrated the difficulty of reversing redemptions even as investment performance improves.

Cost controls and product diversification

In response to the challenging environment, Impax is implementing targeted cost reductions and simplifying its operating structure in an effort to improve efficiency while maintaining core investment capabilities.

The company is also expanding its product offering across active listed equities, systematic strategies, fixed income and private markets. Management highlighted the launch of its first US ETF as an important step in broadening both distribution and access to the group’s sustainable investment expertise.

Impax said growing political and corporate emphasis on energy security and energy-efficient technologies continues to support the long-term investment case for sustainability-focused strategies.

The firm is also seeking to deepen strategic partnerships and strengthen direct distribution channels, particularly among intermediary clients where outflows have started to moderate. Management noted that the leadership team collectively owns approximately 18% of the company, while reiterating its disciplined approach to capital allocation and cost management.

Outlook and market considerations

Impax Asset Management’s outlook remains supported by a strong balance sheet and relatively healthy operating margins. However, weaker business momentum, declining revenues and lower free cash flow continue to weigh on sentiment.

Technical indicators also remain notably weak, with the share price trading well below key moving averages alongside negative momentum signals and oversold conditions. Valuation metrics provide some support through a moderate price-to-earnings ratio and comparatively high dividend yield, while management commentary suggests near-term pressures may persist despite strategic and operational improvements.

More about Impax Asset Management

Impax Asset Management Group plc is a specialist investment manager focused on strategies linked to the transition toward a more sustainable global economy. Founded in 1998, the company manages £22.3 billion in assets across listed equities, systematic strategies, fixed income and private markets.

The group targets investment opportunities connected to themes such as climate change, resource efficiency, pollution reduction and energy transition, serving institutional and intermediary clients globally. Listed on London’s AIM market, Impax emphasises investments in higher-quality businesses with durable models and disciplined risk management, aiming to generate attractive long-term risk-adjusted returns.

CT Automotive Group Plc (LSE:CTA) delivered a resilient performance for FY25 despite continued disruption across the automotive industry linked to volatile trade policies and reduced production volumes from major OEMs.

Revenue declined 4% to $114.8 million as customer de-stocking and delayed programme launches affected sales volumes. However, gross margin improved to 31%, while adjusted profit before tax increased 20% to $9.5 million. The company said this marked a third consecutive year of profit improvement, supported by cost efficiencies and wider adoption of AI, automation and robotics across operations.

Mexico expansion and technology strategy

CT Automotive continued expanding its manufacturing operations in Mexico, securing 15 new contracts representing approximately $47 million in annualised revenue. Management said the facility is increasingly positioned as a near-shoring solution for customers seeking more tariff-resilient supply chains.

The company also highlighted a record request-for-quotation pipeline alongside ongoing investment in both Mexico and China. In addition, CT Automotive has begun rolling out an agentic AI factory system designed to improve manufacturing efficiency and operational performance.

Management also addressed recent changes to the board and finance function while reiterating plans to reduce net debt as newly awarded programmes move into production through FY27.

Outlook and valuation considerations

The company’s outlook is supported by improving operational performance, including stronger margins, manageable leverage levels and solid operating cash generation. Its comparatively low price-to-earnings ratio also suggests an inexpensive valuation relative to earnings.

However, these positives are partially offset by weak technical indicators, with the shares trading below major moving averages and momentum readings pointing to heavily oversold conditions.

More about CT Automotive

CT Automotive Group Plc designs, develops and manufactures bespoke automotive interior finishes and kinematic assemblies for global OEMs and Tier One automotive suppliers. Headquartered in the UK, the company operates low-cost manufacturing facilities in China, Mexico and Türkiye, with distribution networks spanning Europe, Asia and the United States.

The group follows a price-leadership strategy serving both mass-market and premium automotive brands, including major electric vehicle manufacturers.

Gem Diamonds Limited (LSE:GEMD) said its Letšeng mine in Lesotho generated revenue of US$32.1 million during the first quarter of 2026, with its primary production export of 16,727 carats achieving an average selling price of US$1,501 per carat.

Production during the period was weighted toward ore from the lower-grade Main Pipe, while output from satellite ore sources declined. The number of carats sold was also lower due to certain parcels being carried forward for sale in the second quarter.

High-value diamond recoveries support pricing

The company highlighted continued strength in pricing for premium stones, including the sale of a 52.24-carat white diamond that achieved US$32,908 per carat. Four diamonds sold for more than US$1 million each during the quarter.

Gem Diamonds also recovered two diamonds exceeding 100 carats, with one of the stones scheduled for sale in the following quarter.

Management stated that all key operational and financial indicators, including carat sales volumes, remain within the company’s guidance range for 2026, reflecting steady operations and ongoing demand for Letšeng’s high-value diamond production despite normal fluctuations in ore mix and quarterly volumes.

Outlook and market considerations

Gem Diamonds’ outlook continues to be weighed down by weaker financial performance, including substantial margin compression, a significant net loss and negative free cash flow recorded during 2025.

Technical indicators remain broadly neutral, offering limited evidence of a sustained upward market trend, while valuation support is constrained by the company’s negative price-to-earnings ratio and the absence of dividend yield data.

More about Gem Diamonds

Gem Diamonds Limited is a global producer of high-value rough diamonds and holds a 70% interest in the Letšeng mine in Lesotho. Letšeng is recognised for producing large, high-quality white diamonds and is widely regarded as the world’s highest dollar-per-carat kimberlite diamond mine, positioning the company within the premium segment of the global diamond market.

Goldplat plc (LSE:GDP) delivered a strong improvement in third-quarter trading, with combined operating profit from its South African and Ghanaian gold recovery businesses rising to £3.86 million. Profit before tax for the period reached £3.43 million.

The Ghana operation produced stable earnings, supported by process improvement investments and higher gold prices, while the South African business benefited from stronger sourcing of by-products, additional once-off processing batches and solid recoveries from its low-grade circuit.

Strategic development projects progress

Goldplat continued advancing a number of strategic initiatives during the quarter, including updated JORC resource work and technical studies relating to its South African tailings storage facility. Management said the work is aimed at reducing development risk around future processing opportunities and supporting commercial discussions with DRDGOLD Limited.

The company also commissioned equipment at its newly licensed Brazilian operation as part of its broader expansion plans in South America.

Goldplat maintained a strong cash position across the group and declared an interim dividend of £300,000. The board indicated it intends to continue making regular shareholder distributions while balancing working capital requirements and future capital investment needs.

Outlook and market considerations

The company’s outlook remains supported by healthy cash generation and a strong balance sheet. However, declining revenue levels and pressure on profit margins continue to present challenges.

From a technical perspective, market momentum remains positive, although indicators such as RSI and stochastic measures suggest the shares may be approaching overbought territory. Valuation metrics are viewed as broadly balanced in light of recent operational and financial pressures.

More about Goldplat

Goldplat plc is an AIM-listed mining services and gold recovery group specialising in the treatment of mining by-products. The company operates primarily in South Africa and Ghana, while also sourcing material from South America.

Goldplat serves mining clients across Africa and South America and is expanding its presence in Brazil while evaluating opportunities in additional precious metals markets to diversify supply sources and strengthen long-term resilience.

Experian plc (LSE:EXPN) reported record results for the financial year ended 31 March 2026, with revenue from ongoing operations increasing 13% at actual exchange rates and 8% organically. Benchmark EBIT from continuing activities rose 15%, helping expand margins to 28.6%, while post-tax return on capital employed improved to 17.2%.

Growth was recorded across all major regions, with North America delivering 10% revenue growth, Latin America 8%, UK and Ireland 2%, and EMEA and Asia Pacific 5%. Both the B2B and Consumer Services divisions benefited from sustained customer demand, continued cloud migration initiatives in North America and Brazil, and approximately US$2 billion in revenue generated from newer and scaling products.

Earnings growth and shareholder returns

Benchmark earnings per share increased 15% during the year, while statutory basic EPS rose 29%. Strong cash generation supported a benchmark operating cash flow conversion rate of 93%, with net debt to Benchmark EBITDA standing at 1.7x.

The company increased its full-year dividend by 11% and completed US$725 million of share repurchases during the period. Experian also invested US$792 million in acquisitions aimed at strengthening its data and technology capabilities.

In addition, the group announced a new US$1 billion share buyback programme, reflecting management’s confidence in continued double-digit earnings growth, additional margin expansion and further opportunities across its addressable markets despite broader macroeconomic uncertainty, including geopolitical risks linked to the Middle East.

Outlook and market considerations

Experian’s outlook continues to be supported by strong financial execution and positive sentiment following its latest earnings update. The newly announced share repurchase programme is also viewed as supportive of shareholder returns.

However, some technical indicators point to a weaker market trend, while the company’s elevated price-to-earnings ratio has raised concerns about valuation levels despite ongoing operational momentum.

More about Experian

Experian plc is a global data and technology business providing analytics, software and platform solutions across industries including financial services, healthcare, automotive, insurance and agrifinance. The company supports areas such as lending, fraud prevention, digital marketing and healthcare decision-making.

Listed on the London Stock Exchange and a constituent of the FTSE 100, Experian employs around 25,200 people across 33 countries and is headquartered in Dublin, Ireland.

The group also operates a large consumer services platform, offering tools designed to help individuals improve their financial wellbeing. More than 215 million free members worldwide use its services, supporting future monetisation and product expansion opportunities.