Jadestone Energy is showing promising signs of growth with its new Akatara onshore gas project. After facing several challenging years, the company is now shifting its focus towards generating cash flow.
In its recent end-of-year update, Jadestone, which primarily operates in Asia, reported record production levels. They expect to see further growth in 2025. Notably, Tyrus Capital, a major shareholder, has increased its stake to 26.6% by purchasing 900,000 additional shares on February 6.
The end of 2024 also saw a surprise change in leadership as Paul Blakeley, who transformed Jadestone into a productive entity, was replaced as CEO. Under Blakeley’s leadership, the company was producing over 24,000 barrels of oil equivalent per day by the end of December.
However, the company’s stock price has suffered despite the production gains, dropping from over 100p in 2022 to 24p recently, mainly due to operational challenges at the Montara field in Australia and uncertainties related to the Akatara project in Indonesia.
Executive Chair Adel Chaouch is now tasked with revitalizing the company amidst a tough gas market. Having joined the board in early 2023, he is preparing to release 2025 guidance shortly and is also working on finalizing sales agreements for offshore discoveries in Vietnam.
Analyst David Round from Stifel predicts a production rate of 23,100 boepd for this year, with the company expected to return to profitability, estimating an adjusted pre-tax profit of $83 million, following losses in 2023 and 2024.
In another update, data analytics firm GlobalData is looking to transition from the AIM market to the main market to enhance its visibility and investor appeal. The company’s dissatisfaction with its valuation has led to a share buyback initiative.
GlobalData’s CEO Mike Danson has acknowledged the company’s low market capitalisation, approximately £1.6 billion, which trades at a significant discount compared to its peers. Recently, Danson has reduced his own stake after selling shares totaling £7.9 million.
On February 6, Danson expressed confidence that now is the appropriate time for the company to move to a more prominent market. GlobalData aims for annual revenues of £500 million and a 45% margin by the end of 2026, driven by both organic growth and acquisitions.
Since selling a portion of its healthcare business, the company has acquired four firms and, despite a decrease in net cash due to these buybacks, it has secured a £340 million debt facility to support future growth.
GlobalData expects to achieve around £286 million in revenues for 2024, representing a 4% increase from the previous year. As corporate spending continues to be challenging, stakeholders will be eagerly awaiting the full-year results to see if the company stays on track with its growth plans.