Share watch: Speedy Hire price doubles, WYG up 262%

Speedy Hire’s share price doubled in the past month - and all as a result of a statement issued by the company on 1 April.

Those words triggered an overnight share price jump from 126p to 163p. The momentum continued throughout the month, with shares peaking at 248p.

The share price collapsed back in January following an earlier statement by Speedy, the theme being the need for a dialogue with its banking syndicates. The City read much uncertainty into that situation and marked shares down accordingly.

Those worries have now evaporated. Speedy says that revised terms with all of its banks have been agreed and an amended banking facility signed. Also, the lenders are satisfied with Speedy’s operational plan and its financial projections.

Settling the new deal resulted in a cost of £45m. However the board has retained the right to set dividend and bonus payments - something for its shareholders and senior managers to celebrate.

WYG thrown a life-line

White Young Green, currently involved in a survival game, has been given a breather thanks to a 262% share price gain over the past four weeks.

WYG’s shares had crashed from over 300p to just 8p in the space of a year, but they have now bounced back into 30p-40p.

However Michael Parkinson, analyst with Brewin Dolphin, still throws in a note of caution saying: “The key to survival will be the pace with which new management can drive through efficiency savings and improved cash collection to counteract the further weakening of the group’s end markets.”

Michelmersh has the holes… and tippers want them

Michelmersh Brick unveils a pre-tax loss of £2.8m (following a profit of £250,000 in the previous year) and what happens? Its share price bounces upwards from 9p to 36p at peak, before settling at 25p.

The euphoria is based on the fact that the loss was not greater. In addition to brick manufacture, Michelmersh provides holes for tipping things into. Tipping rates are booming - up by 81% from £3.30/t to £5.90/t in the space of just one year.