Melrose Industries (MRO) – Fierce fight for GKN (GKN) too close to call. Shareholders split over accepting £8.1bn offer.
Conviviality (CVR) is planning a £100 million-plus emergency rights issue next week, pending the outcome of an investigation into accounting errors that resulted in the suspension of the drinks retailer’s shares this week.
A takeover approach from the CME prompted a rush by investors to Nex Group (NXG) yesterday. Shares rose by more than 30% after confirmation of the preliminary approach from CME. Such a deal could net well over £500 million for Michael Spencer, Nex’s founder and one of the best-known figures in the City. CME said that it was conducting due diligence on Nex, but added there was “no certainty” that an offer would be made.
Berkeley Group Holdings (The) (BKG) has rejected government demands to build more homes, saying that “market constraints” make it impossible to increase supply beyond its present plans.
Sugar tax has sour taste for Wetherspoon (J.D.) (JDW) tycoon Tim Martin.
Safestore Holdings (SAFE) is facing an investor revolt over £14 million of share awards for its chief executive and finance director, with some shareholders in the self-storage company preparing to vote against the entire remuneration committee and other members of the board.
Mitie Group (MTO) is facing higher costs to clean up its own mess.
The two top directors at Evraz (EVR) trimmed their holdings and helped to send the Russian steel producer tumbling.
Smurfit Kappa Group (SKG) was on the up, ending 28p higher at £31.58, after big institutional investors lined up their positions in the Irish paper and packaging group in the hope of a return by a spurned bidder.
Informa (INF) picked up 10p to 729½p as the events and business information group came closer to completing its agreed takeover of UBM, the exhibitions organiser.
Housebuilders suffered a sharp sell-off after Berkeley, down 210p at £37.13, said that it would not build any more new homes than it had planned. Barratt Developments (BDEV) slid 9¼p to 527¼p and Persimmon (PSN) fell 33p to £25.27 in a bad reaction that spilled into the FTSE 250 and hit Crest Nicholson Holdings (CRST), off 23p at 445½p, Galliford Try (GFRD), down 32p to 975p, and Bellway (BWY), off 79p at £30.48.
Dignity (DTY), up 55½p at £10.01, returned to favour after the funeral services group said late on Thursday that directors had been buying shares.
Cairn Energy (CNE) shares added 6p to 205p after analysts at Macquarie lifted their advice on the oil explorer to “outperform” and raised the price target to 250p from 248p after it said this week that it had returned to annual profit.
Mothercare (MTC) shed a further 7% sliding 1¼p to 17¼p, with no update on how talks with its banks were going after its warning of a possible covenants breach and a profit warning.
Arix Bioscience (ARIX) said that it had successfully raised £87 million to help it to capitalise on its pipeline of treatments and bring additional therapies to the market.
Manx Financial Group (MFX) was lifted more than 17%, or 2p, to 13¼p after it reported a 78% increase in annual pre-tax profits to £2.7 million.
