FTSE 100 Rises as Investors Cheer US Debt-Ceiling Deal
0826 GMT - The FTSE 100 Index rises 0.6%, or 44 points to 7534
as investors take heart from U.S. approval of a debt deal. "The
U.S. debt-ceiling deal has cleared the second and last hurdle, with
the Senate passing the bill to raise the ceiling," IG analysts
write. "President Biden can now sign it into law, staving off a
U.S. default." Asian and European markets rallied on the news, with
mining and property stocks among the biggest top-flight risers in
London. BP, Shell and Harbour Energy also gain as the price of
Brent crude advances 1.2% to $75.19 a barrel. Defensive stocks such
as utility and tobacco shares are among a handful of fallers.
(philip.waller@wsj.com)
COMPANIES NEWS:
Gateley to Report FY 2023 Revenue Rise, Underlying Pretax Profit
in Line With Views
Gateley (Holdings) said Friday that it will report a rise of
around 17% in revenue for the year ended April 30, and that it
expects underlying pretax profit to be in line with market
expectations.
---
Dechra Pharmaceuticals Agrees to Lowered GBP4.46 Bln Takeover by
EQT
Dechra Pharmaceuticals said Friday that it has agreed to a new
and lowered 4.46 billion pound ($5.59 billion) takeover by EQT's
Freya Bidco.
---
PayPoint Sees FY 2023 Adjusted Pretax Profit At Top-End of
Expectations
PayPoint said Friday that fiscal 2023 adjusted pretax profit is
expected at the top end of market expectation on the back of a
revenue rise, and that performance in the first quarter of fiscal
2024 has been positive.
---
NatWest, Ireland's Finance Minister Raise EUR110.5 Mln From
Permanent TSB Shares Sale
NatWest Group and the Minister for Finance of Ireland raised
110.5 million euros ($118.9 million) from the sale of shares they
held in Permanent TSB Group Holdings, the bank said on Friday.
---
Revolution Beauty 1H 2022 Pretax Loss Narrowed on Lower Stock
Charge, FY 2021 IPO Costs
Revolution Beauty Group on Friday reported a narrowed pretax
loss for the first half of fiscal 2023 due to a lower stock
provision charge in the period and IPO costs that were booked in
the comparable period.
---
Amur Minerals' Board to Consider Takeover Approach from Ascent
Resources
Amur Minerals Corporation said Friday that its board will
consider the indicative proposal of an all-share offer from Ascent
Resources, which the latter made public Thursday.
---
Gemfields' May Emerald Auction Brings in $43.7 Mln
Gemfields Group on Friday said that it made a record $43.7
million in revenue from an emerald auction it held in the second
half May.
---
NatWest, Ireland's Finance Minister Raise EUR110.5 Mln From
Permanent TSB Shares Sale -- Update
NatWest and the Minister for Finance of Ireland raised 110.5
million euros ($118.9 million) from the sale of shares they held in
Permanent TSB Group Holdings, the bank said on Friday.
---
Zenith Energy to Buy, Operate Some Assets in Oklahoma, US for $2
Mln
Zenith Energy said Friday that it has agreed to buy and operate
a number of oil production and development licenses in Oklahoma, as
well as other states in the U.S., from Stateside Energy for $2
million.
---
Hurricane Energy to Pay GBP37.2 Mln in Special Dividend
Hurricane Energy said Friday it will pay a supplementary
dividend of 1.87 pence a share under the terms of the company's
acquisition of Prax Exploration & Production.
---
Anpario to Return Up to GBP9 Mln via Tender Offer
Anpario said Friday it will propose to return up to 9 million
pounds ($11.3 million) to shareholders via a tender offer and that
current challenges in the agricultural industry had affected its
sale performance in 2023.
---
Ashington Innovation Raises $1 Mln Ahead of IPO
Ashington Innovation said on Friday that it raised 809,437
pounds ($1 million) ahead of its initial float on the London Stock
Exchange's main market.
---
Nostrum Oil & Gas 2022 Revenue Rose on Oil Prices
Increase
Nostrum Oil & Gas said Friday that 2022 revenue rose due to
an increase in average Brent prices, and that it will continue to
focus on developing assets and invest in both upstream and
midstream opportunities.
MARKET TALK:
Gateley's Update Might Prompt Upgrades
0843 GMT - Gateley's update shows the legal-and-professional
services group is demonstrating resilient growth despite
macroeconomic headwinds, Shore Capital analysts Jamie Murray says
in a note. Its update suggests it is broadly on track to meet
full-year expectations--with revenue expected to exceed GBP161
million compared with Shore's forecast of GBP159.6 million-- as the
company is showing resilient growth despite macroeconomic
headwinds, Murray says. Still it is heavily exposed to property and
M&A, which account for 75% of revenue, and this makes it a
risky investment at present, Murray says. "We are likely to
marginally uplift our current year revenue numbers to reflect the
trading update," Murray says. Shore rates the stock hold. Shares
are up 0.9% at 167.50
pence.(anthony.orunagoriainoff@dowjones.com)
---
British American Tobacco Set for Scrutiny in Trading Update
0843 GMT - British American Tobacco is expected to report a
business update on Tuesday ahead of its first-half results. The
FTSE-100 cigarette maker faces a range of longstanding issues that
may weigh on sentiment, including regulatory pushback against
smoking as well as menthol and flavored alternatives, its ability
to create new income streams with next generation products and a
$635 million fine by the U.S. for violating North Korean sanctions,
AJ Bell analysts say in a research note. "All of these issues will
be under scrutiny as [New Chief Executive] Marroco oversees the
second-quarter update, which will be benchmarked against the
full-year guidance for 2023 given by [Former CEO] Bowles alongside
the 2022 full-year results back in February," the brokerage says.
Shares are flat at 2,557.0 pence. (joseph.hoppe@wsj.com)
---
Gemfields' Record Emerald Result Bodes Well for Ruby Auction
0836 GMT - Gemfields shrugs off headwinds in the macroeconomic
environment by setting a record at Friday's auction, Liberum
analysts write in a research note. The mining company, which
produces emeralds and rubies in Africa, set a new record for
high-quality emeralds in a sold-out auction of $43.7 million, up
41% from the previous tender. The auction had the both the highest
number of companies placing bids and overall bids placed, which was
surprising as the rising interest rates were expected to dampen
demand, the analysts say. "This bodes well for the ruby auction
result later in the month," they add. Liberum has a buy rating on
the stock. Gemfields shares are up 10% at ZAR3.96.
(christian.moess@wsj.com)
---
PayPoint Share Price Weakness Looks Unmerited Given Positive
Update
0836 GMT - PayPoint expects pretax profit to come in at the top
end of market expectations, which should result in low single-digit
consensus upgrades to EPS, Jefferies analysts Allen Wells and Kean
Marden write in a research note. The U.K. payments company's update
also hinted at further positive momentum into fiscal 2024, and
consequently an upbeat narrative at preliminary results on July 6,
the analysts note. "This is in sharp contrast to the recent share
price weakness," they say. Jefferies has a buy rating on the stock.
Shares are up 6.2% at 401.00 pence. (christian.moess@wsj.com)
---
Prudential, AXA Seen as Attractive Buying Opportunities, JPM
Says
0823 GMT - Insurers Prudential and AXA are J.P. Morgan's key
calls into the second quarter, the brokerage says placing them on
its positive catalyst watch. JPM sees some attractive opportunities
into the quarter despite the IFRS17 accounting change "fog" making
it hard to form a view on companies' potential to beat or miss
expectations, analyst Farooq Hanif writes. "Prudential is still on
track to beat new business sales and profit consensus under its
embedded value framework," Hanif says, pointing to year-to-date
trends. On Axa, he remains convinced that the property and casualty
division can outperform company guidance, he adds. Prudential
shares in London rise 3.6% and is among the top FTSE 100
performers, while Axa gains 1.4% in Paris.
(elena.vardon@wsj.com)
---
Gemfields' Record Auction Results Highlight Strength of Colored
Gemstone Market
0809 GMT - Gemfields Group posted an excellent result with
record highs for an emerald auction since 2009, finnCap says in a
note. The ruby and emerald mining company reported record revenues
and average price per carat for its auction held from May 15 to
June 1. "It is worth pointing out that recent sales from the
diamond producers have been relatively weak, so this auction
highlights the continuing strength of the colored gemstone market,"
analyst Martin Potts writes. Shares in Johannesburg, South Africa,
jump 10% at ZAR3.96. (elena.vardon@wsj.com)
---
Gateley's Balance Sheet, Net Cash Position Seen as a
Differentiator
0737 GMT - Gateley's update pointing to top line growth of
around 17% for FY 2023 and a performance in line with consensus at
underlying pretax profit level indicates that its diversified model
continues to work as intended, Liberum analysts James Allen and
Nick Anderson say in a note. "Gateley's net cash position and
strong balance sheet remain a differentiator, providing the ability
to trade through a weaker macro environment and a potential
increase in the time taken to pay by clients," they say. Liberum
rates the stock buy and cuts its target price to 290 pence from 320
pence. Shares are up 5.7% at 205 pence.
(anthony.orunagoriainoff@dowjones.com)
Contact: London NewsPlus, Dow Jones Newswires;
(END) Dow Jones Newswires
June 02, 2023 05:07 ET (09:07 GMT)
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