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Kromek Group left investors cheering this week as it unmasked a road to profitability via a deal with Siemens Healthineers.
Shares in the radiation and bio-detection specialist rocketed almost 38 per cent, fuelled by Thursday’s news of the $37.5million (£30.2million) cash deal with the German medical technology giant.
Equipment to produce cadmium zinc telluride detector tiles, used for medical imaging, would be transferred to Siemens, alongside training and related services.
Payments would be made in return over the coming four years, including $25million initially, covering a string of agreements.
‘These significant agreements enable us to deliver profitability in 2025, significantly ahead of market expectations,’ chief executive Arnab Basu flagged.
He added they laid ‘the groundwork for further growth in revenues and sustainable profitability beyond that’ and left scope to ‘significantly’ reduce debt.
Kromek would also remain the largest independent maker of such detector tiles, despite Siemens taking 15 of its 174 production furnaces, the company said.
Transformational: Kromek Group shares rocketed after the firm agreed a £30.2million cash deal with the German medical technology giant Siemens Healthineers
Kromek separately published interim figures showing revenue of £3.7million, against £7.1million a year earlier, as its margin widened from 54.2 per cent to 56.9 per cent.
Basu noted the Siemens deal meant Kromek would grow revenue for a fifth consecutive year come 2026.
He said: ‘Consequently, the board looks to the future with confidence.’
Kromek’s jump placed it well among the junior market’s risers in a solid week across the board for London-listed companies.
The AIM all-share had added 0.5 per cent to reach 718 come Friday morning, albeit lagging once again against mid and blue caps, which enjoyed hefty gains.
Indeed, the FTSE 100 repeatedly broke its own records late in the week, having climbed 2.2 per cent by Friday to reach 8,687.
While the FTSE 100’s lack of technology exposure saw it avoid a global sell-off early on after the release of DeepSeek’s cheaper and less data-hungry artificial intelligence bot, the FTSE 250 had faced pressure before bouncing back for a 1.7 per cent rise to 20,875.
Several junior market constituents outperformed against their larger counterparts though, not least Marechale Capital.
Shares in the firm skyrocketed 127 per cent for the week as speculation built around looming approval for a project by investee Weardale Lithium Limited.
Marechale on Wednesday flagged Durham County Council had recommended approving the lithium project, which would be the UK’s largest such extraction site, before a hearing in early February.
Mosman Oil & Gas was another major riser, jumping almost 56 per cent thanks to updates on Thursday, including news of advancements at its American helium venture.
Vecta Oil and Gas, of which Mosman owns 20 per cent, had penned a deal with contractor Desert Eagle Operating to begin drilling at up to five wells ‘as soon as possible’.
Mosman separately unveiled an extension for an exploration permit in the Amadeus Basin, Northern Territory, Australia as a sale of the asset to Echelon Resources continued.
Among other AIM risers, Fevertree Drinks PLC gained 24 per cent on an exclusive sales, distribution and production deal with Molson Coors for its carbonated mixers in the US.
Molson Coors would also buy an 8.5 per cent stake in Fevertree for £71million under the agreement, which the latter said would be used for a share buyback.
Expectation-beating full-year figures took transport management software firm Microlise up 41 per cent for the week.
A 12.9 per cent increase in revenue to £81million and 20.2 per cent jump in adjusted earnings to £11.3million had left it comfortably ahead of market expectations, Microlise said.
Quadrise got a late boost on Friday as it continued a run of successful fundraising among AIM-listed firms.
Some £6.53million had been raised, the clean energy technology provider said, after a retail offer under a wider fundraiser was doubled in size on strong demand.
News of proposed fundraising did little to help Metals One though, which sat as the week’s biggest junior market faller.
Shares dropped almost 44 per cent, as Friday saw efforts revealed to bring in £5million, including through a £4.4million equity raise.
Metals One acknowledged the plans to raise funds would see ‘significant dilution for shareholders’ but said these would support operations for the coming 18 months.
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