blur Group, SolGold and Falcon

“Blue-chips opened in negative territory on the anniversary of the Brexit vote following a after a mixed performance on Wall Street and gains in Asia. Investors will be looking to a raft of eurozone PMI data out this morning,” says AJ Bell Investment Director Russ Mould.

“Online marketplace blur Group’s shares plummeted after warning it was running out of cash. The group’s cash burn is around $1m per quarter and it had a balance of just over $1.1m at the end of May. The directors have been in talks with new and existing potential cornerstone investors but have been unable to reach any agreement. The board feels the investment terms put forward included onerous conditions which were not in the best interests of shareholders. The group is now looking at alternative sources of funding but if none is forthcoming within the next three to six weeks, the board will have to take steps to protect creditors which could result in the value attributable to shareholders being severely reduced or becoming nil. The group’s shares were down by more than 54.4% in early trading.

“SolGold’s shares rose following an update on the assay results from Cascabel, its copper-gold porphyry project in Ecuador. SolGold's Alpala deposit continues to grow with each new drill hole. More than 39,000 metres of drilling has been completed along the greater Alpala trend. Current drilling focuses on defining the geometry of the growing porphyry copper-gold deposit at Alpala, which is open in virtually all directions. SolGold’s shares were up by 2.9%.

“Falcon Media House was an early riser after it signed a memorandum of understanding with Tata Communications (UK) to collaborate on an over-the-top service aimed at brands and content rights' holders. The MoU is in line with Falcon’s strategy to establish Q-Flow as the leading enabling technology that powers the rapidly expanding OTT streaming market. Falcon’s shares were up by 8.7%.”

These articles are for information purposes only and are not a personal recommendation or advice.