• About the Group
• Corporate Benefits
• Financial Planning
• Insurance Brokers
• Investment Management
• Mortgages
• Pensions

News

Cambridge Index Update 17th March 2006

Cambridge Index Up 1.3%

The Cambridge Index rose 1.3% to 1383 last week, a weak performance in comparison to the main indices in the UK and the US. The FT Actuaries Allshare and the Standard &Poor’s both rose 2.0% but the TechMARK in the UK improved by the same amount as the Cambridge Index, up 1.3%. Amongst the Cambridge constituents, Cytomyx Holdings rose 50% from the depressed level of 2.25p on news of its disposal of a major part of the Group, and there were rises of 13% and 10% in the shares of Netcall and Domino respectively. Amino Technology was the worst performer with a 11.5% fall to 146p. No other stock fell by as much as 10%.

The inkjet printing technology group, Xaar, reported an increase in its turnover by 23% last year to £42.8m and profits up almost 75% (excluding exchange adjustment costs) at £11m or £10m including the exchange loss. Earnings per share rose from 7.7p to 11.6p expected to have a further rise for 2006. The dividend was increased 50% to 1.5p. Ian Dinwoodie, Chief Executive, said that the initial work on the Cambridge plant for the next generation of inkjet heads was already under way.

Dialight reported its results for the year 2005, a year that included the sale of Solartron, the change of name from Roxboro and the return on £46.5m to shareholders. The profit on disposal in two separate transactions for a total of £72.1m was £22m before tax of £9m. The results for the year showed a profit of £8.7m including £4.5m from the continuing businesses with a strong improvement in the second half compared to the first. Roy Burton, Group Chief Executive, said that Dialight was now well positioned to grow as the application of solid state lighting technology expands. The acquisition of Lumidrives, early in 2006, enhances its position in this emerging sector. In future Dialight’s business is to be reported in two segments: Components comprising indication products and electromagnetic components; Signals/ Illumination which includes Traffic and Rail Signals, Obstruction Lights and the new Solid State Lighting products of the Group.

Vernalis reported a full year pre-tax loss of £34.4m up from £27.4m for 2004 but said it could be cash generative within two years if Frova, its treatemnt fror menstrual migraine is given approval this year. Vernalis expects Phase III clinical trial data in May this year and is hoping for FDA approval shortly thereafter. In any case the company’s income is expected to increase in 2006 as a full year of sales from Apokyn in North America will be recognised compared with two months in 2005. In addition, revenues from frovatriptan in Europe are expected to show a small increase. If Frova is approved for premenstrual migraines Vernalis will be entitled to £40m from Endo over a period of years and a 20% royalty on sales. Vernalis indicated a number of key milestone dates this year – starting with the Phase III efficacy test on Frova followed by the FDA submission. V3381, acquired as part of the Cit purchase in November 2005 was expected to start a Phase II test in the first half of 2006. V1512, for treating Parkinson’s disease is due to conduct a Phase II test in the second half of 2006.

Medical Marketing International said that Phase I/IIa trials for bespoke, tumour specific, and broad spectrum cancer vaccines and for cytomegalovirus have all obtained regulatory and ethical approval and are ongoing. A full report will be issued once blood samples from the other centres as well as Southampton have also been analysed. The data obtained so far enable the clinical programme to move to the next stage of targeting universal (non-bespoke) tumour-specific antigens. Genvax technology is approved for use in a multi-centre clinical trial targeting a prostate cancer tumour-specific antigen. The prostate cancer vaccine trial involving patients with advanced prostate cancer is now at the second of three escalating dosage levels. No toxic or adverse events have been reported. Efficacy data are being collected but will not be released until completion of the trial.

Angus & Ross said that its 52% owned subsidiary, Queensland Gold & Minerals Ltd, has signed a joint venture agreement with Oxiana on its Warroo project in South East Queensland. Under the terms of the agreement, Oxiana is required to spend a minimum of A$0.5M this year and up to A$4M over the following four years to earn up to an 80% interest in the property. The Warroo project, three hours west of Brisbane, is focused on the potential for large, low-grade disseminated gold and copper porphyry deposits suitable for open pit mining. Angus & Ross Chairman, Robin Andrews, added: that this agreement is significant to the shareholders of Angus & Ross as it demonstrates the company's intention of ensuring that its interests outside Greenland are separately financed and managed. This joint venture with Oxiana is an indication of the quality of the portfolio that QGM has built over the last eight years. QGM will now seek to raise A$4 million to fund exploration work on its prospects through an IPO on the Australian Stock Exchange.

Autonomy Corporation said that the University Library of Utrecht in the Netherlands had selected Autonomy to power its online digital collection. The site allows university students and staff to navigate the library's digitized collection of scientific manuscripts and journals in various languages.

Bango said that it will support the new X-Pay model for mobile payments. X-Pay is a cross-operator initiative started in the U.K. by Vodafone and Orange that provides a transparent and unified payment standard aiming to build trust by ensuring customers have a clear understanding of what and how they will be charged for mobile content across all operator networks. The Bango payment system for mobile content is used by brands including News Corp, Sony BMG, Channel 4 TV, EMI Music, and many smaller companies.

Cytomyx Holdings has sold its subsidiary Cytomyx Limited to Serologicals U.K. Holding Company Limited for $7m (£4m) in cash, but subject to a few adjustments. The proceeds will be used to repay outstanding loans to the Company and used for working capital. After the disposal, Cytomyx Holdings will be focussed on the provision to the pharmaceutical industry of high quality human tissue samples through Cytomyx LLC, its biorepository business based in Massachusetts in the U.S. The corporate headquarters of the Company will remain in the U.K., which will also be the focus of the European sales of the company's biorepository business. Cytomyx LLC is currently working with many of the world's leading pharmaceutical and biotechnology companies, providing them with samples that assist them in developing new drugs based upon a clearer understanding of patients' individual biochemistry. New drugs such as Herceptin, a new treatment for breast cancer, and Gleevec for the treatment of Chronic Myeloid Leukaemia, have already demonstrated the value of this approach.

SafeNet has received valid acceptances in respect of 16,449,727 nCipher shares representing 58.27% of the company and has made the relevant filing with the U.K. Office of Fair Trading in connection with the Offer and that this is subject to ongoing review. SafeNet expects the Office of Fair Trading to reach its decision within the overall timescale permitted by the Takeover Code. The offer is being extended until March 24.

TTP Communications said that a consortium led by Scottish Equity Partners and including Intel Capital and Rothschild Gestion, has invested £8.5m in its subsidiary ip.access, reducing TTP Communications stake to 42% on a fully diluted basis. In line with TTP Communications' previously stated objectives, the new funds will finance the expansion of ip.access' current successful second generation pico base-station business and the development of low cost third-generation access points for use in homes and small businesses. ip.access will subsequently seek £2m to buy back shares owned by TTP Communications reducing the stake further to 32.3%. At March 2005 ip.access had net assets of £4.7m and made a loss of £4.6m in the year to that date.