Small Caps Watch: XSO drops 1.2% as uranium names retreat

The S&P/ASX Small Ordinaries fell sharply at the open on Friday as broad market weakness swept through the smaller end of the Australian share market, with uranium stocks among the early decliners. The XSO was trading around 3,361 at 10.14am AEST, down about 40.7 points, or 1.2%, after opening at its session high of 3,401.7 and falling to a low of 3,361. The decline left the index down 21.4 points, or 0.63%, over five sessions. It was also about 16% below its 52-week high of 4,007.1, but remained about 5.5% above the 52-week low of 3,184.5. The small-cap retreat followed a softer opening across the broader market, with the S&P/ASX 200 down about 0.4% shortly after trading began. Elevated oil prices and rising global bond yields kept pressure on risk appetite, while the XSO’s fall from its opening print indicated selling was broad and immediate rather than being driven by a single stock. Despite the weak index, Healius Limited delivered a double-digit gain after confirming a major asset sale, while uranium companies Bannerman Energy Limited, Boss Energy Limited and NexGen Energy Limited moved lower together. Healius jumps on A$160 million Agilex sale Healius Limited was the standout early riser, climbing 11.11% to A$0.40 on turnover of about 4.75 million shares after resuming trade with an agreement to sell Agilex Biolabs to Novotech Health Holdings. The transaction values Agilex at A$160 million and represents 19.8 times the business’s financial year 2026 earnings before interest, tax, depreciation and amortisation on a pre-AASB 16 basis. Healius expects to receive about A$155 million in cash after separation and transaction costs and does not anticipate a tax liability. The procee...