The FTSE 100 is heading for its worst week since mid-April, yet small-cap stocks have navigated the turbulent period with relative calm and resilience.
A volatile bond market placed a risk premium on blue-chip shares, prompting investors to flip the usual playbook and seek out cheaper growth stocks on AIM.
The resulting shift, modest as it was, drove a 0.5% rise in the AIM All-Share index, bringing weeks of persistent selling to at least a temporary halt.
Measured against the FTSE 100, which was down 1.9% at the time of writing, the AIM performance represented an encouraging start to the new quarter.
Ethernity Networks (AIM:ENET, OTCQB:ENETF) was the standout mover, surging 217% across the week and pushing against the price at which 14.9 billion warrants become exercisable at 0.004p.
The AIM-listed chip technology company issued those warrants alongside two February placings, and full exercise of all warrants would raise £597,500 for a business that held just £25,000 in cash at the end of June.
There has been no fresh news from Ethernity since interim results flagged its efforts to license seven US patents covering AI infrastructure technology.
MicroSalt (AIM:SALT) climbed 39% after the low-sodium salt maker expressed confidence in achieving $15 million in sales for 2027, with advanced talks with major food manufacturers potentially adding $3.1 million this year.
Half-year revenue at MicroSalt reached a record $1.4 million, up 67%, while full-year revenue could reach $4.5 million if current commercial conversations convert successfully.
Nativo Resources (AIM:NTVO, FRA:A3Z) rose 37% after the gold developer secured a three-month repayment holiday on its £2.1 million unsecured loan, easing near-term financial pressure on the business.
ProService Building Services Marketplace jumped 51% after shareholders approved giving the board powers to raise new investment quickly, signalling confidence in the company’s near-term funding strategy.
On the other side of the ledger, Litigation Capital Management (AIM:LIT) crashed 75% after the litigation funder announced it would wind down operations, with lender Northleaf first in line to receive any proceeds from ongoing cases.
A strategic review concluded without a deal, meaning LCM will make no new investments and will instead direct case proceeds entirely toward repaying its lender.
Metir (AIM:MET) fell 50% after the water testing technology group published interim results that flagged an uncertain road ahead, with its going concern note warning that a fundraising “remains an acute priority.”
Investors were told that any failure to secure new funding could lead to an “insolvency process,” a stark warning that understandably rattled shareholders already navigating a difficult period for the stock.
TomCo Energy (AIM:TOM, OTC:TMCGF) dropped 35% after issuing discounted, dilutive new shares to raise £700,000, with the funds earmarked to advance its ambitions in Utah.
Checkit (AIM:CKT), which sells software and sensors to replace paper-based checklists for businesses with large deskless workforces, slumped 28% after ending a sale process that began in March without finding a buyer willing to meet its valuation.
On a brighter note, Pathos Communications (LSE:NEWS) gained 8% to 27p on Friday after the Financial Times named it the fastest-growing British business in its sector, a recognition that may prompt a more realistic market appraisal of the PR technology company.
Founded by former BBC presenter Omar Hamdi in 2019 and floated on AIM last December, Pathos charges clients only when an article appears in a named publication, supported by AI tools PathosMind and Pressella, while broker Cavendish maintains a 42p price target on the stock.