British Firm Filtronic Sees Shares Surge on Major SpaceX Order

Shares in British firm Filtronic experienced a significant surge this week following the announcement of a substantial new order from SpaceX. The Leeds-based manufacturer of radio frequency components confirmed it had received a $68.1 million follow-on order for its Cerus E-band gallium nitride amplifiers. This represents the largest single order transacted between the two companies.

The news propelled Filtronic's shares up by 19% over the week, contributing to an almost 80% gain year-to-date. Over the past year, the stock has more than doubled, increasing by 153%, driven by the growing commercial adoption of Filtronic's gallium nitride technology within the rapidly expanding satellite communications market, particularly through SpaceX's Starlink network. The company expects to fulfill this latest order during its 2028 financial year.

Filtronic is identified as one of AIM's larger companies, with a market valuation exceeding £700 million. The company's proprietary gallium nitride technology is increasingly finding application in the burgeoning satellite communications sector. This sector is experiencing rapid expansion, largely spearheaded by initiatives like SpaceX's Starlink network, which aims to provide global internet access.

In other market news, Mercantile Ports & Logistics (MPL) saw its stock more than double as legal proceedings in India concerning the recovery of the Karanja Port, near Mumbai, entered their final stages. MPL is engaged in a legal battle to regain control of the port, which it financed, developed, and built, alleging that lenders and a debt resolution firm unfairly prevented it from settling its debts and retaining the facility. Final submissions have been made, and a judgment is anticipated soon.

Separately, automotive diagnostic tools maker Power Probe rose 34% after announcing a $1 million share buyback, facilitated by a review of its finances that uncovered excess cash. Floor coverings distributor Likewise Group also gained 24% after agreeing to acquire assets from rival Headlam Group for £14.9 million, a deal that Likewise states will make it the UK's largest floor coverings distributor.

Conversely, eEnergy Group, a Net Zero energy services provider, fell 77% after raising £8.3 million through a share offering, with approximately £4 million allocated to overdue trade creditors and the remainder for working capital. Networking chip supplier Ethernity Networks dropped a further 43% following a going concern warning tied to its interim results, citing material uncertainty over its future and minimal cash reserves. Data solutions company Celebrus Technologies also declined 43% after warning of significantly lower-than-expected full-year results due to a lost customer and slower new business acquisition. Litigation Capital Management, a dispute financing specialist, saw its shares fall another 33% after an Australian court ruled against it in an insolvency claim, resulting in a 96% drop from its peak and reflecting diminished confidence in its business model.