Morning commuters cross London Bridge on June 14, 2021 in London, England – Rob Pinney /Getty Images Europe
Tate & Lyle to be broken up in £940m private equity deal
Lord Rothermere weighs take-private deal for Daily Mail owner
Ministers in secret visa talks to end haulage crisis
FTSE 100 trades flat after Javid confirms economy will reopen on July 19
Lucy Burton: Chaos looms as return to work meets self-isolation
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04:55 PMFlutter sells Oddschecker for up to £155m
Online gambling giant Flutter Entertainment has agreed to sell Oddschecker Global Media to private equity firm Bruin Capital, valuing the marketing subsidiary at up to £155m.
Flutter will receive £135m in cash upon completion, which is expected in the third quarter of 2021, plus a further £20m depending on conditions not disclosed.
FTSE 100-listed Flutter acquired the affiliate brand when it merged with the Stars Group last year, and in April first said it intended to sell Oddschecker.
The group's main Oddschecker odds comparison site allows users to compare between sites such as Bet365 and William Hill.
04:39 PMFresh highs for Wall St ahead of company earnings and economic data
After a mixed start (see post at 2:45pm), Wall Street's Nasdaq and S&P 500 have hit record highs this morning in New York as investors await the start of the second-quarter earnings seasons, as well as a batch of economic data to gauge where equity markets will go next.
Seven of the S&P's 11 major sectors advanced, with mega-cap tech stocks like Tesla, Apple, Facebook and Amazon leading the charge.
JPMorgan, Goldman Sachs, Bank of America and other big banks were also up ahead of their earnings report starting tomorrow.
In the past few sessions, Wall Street has been dictated by concerns over higher inflation and the spread of the Delta coronavirus variant, with investors seesawing between economy linked-value stocks and tech-heavy growth names.
Now, market participants will closely look at earnings for early clues on the economy and stocks tied to growth. Second-quarter earnings for S&P 500 companies are expected to rise 65.8%, according to data from Refinitiv.
Focus will be also on a series of economic reports including headline US inflation data and retail sales later in the week.
04:22 PMSwatch swings to profit as countries reopenLongines
Swatch Group, the maker of Omega and Longines watches, swung to a profit in the first half as countries eased restrictions on shopping and tourism came back to life.
Operating profit reached 402m francs (£316m). Analysts expected 338m francs. Swatch had a loss in the first half last year amid shuttered shops and travel bans.
It said it expects higher sales in local currencies in the second half compared with 2019 as more pandemic restrictions are eased. That marks an improvement from February, when the company said there’s a good chance revenue in local currencies will approach the levels seen in 2019, with significantly improved margins.
04:02 PMPhoto-Me rises on better than expected results
Photo-Me jumped 3.4pc to 74p today after the photo booth operator upgraded its full-year sales and profit forecasts for the second time this year, to £200m and £21m to£24m respectively.
It comes after a better-than-expected start to the year, and a "promising" return to pre-Covid business conditions, driven by a stronger than anticipated recovery of revenue in its identification section, particularly in Japan, France and the UK.
Revenue for the six months through April was up 3.4pc to £94.6m, mostly due to reduced travel restrictions when compared to a year ago. Pre-tax profit came in at £12m, compared to a loss of £24.2m in the same period in 2020. It didn't declare a payout for the time period, which is unchanged from the year before.
03:33 PMExpert reaction: FTSE underperforms
Michael Hewson, chief market analyst at CMC Markets UK, comments on the day's trading:
Both the FTSE100 and FTSE250 have underperformed despite Health Secretary Sajid Javid confirming that all remaining coronavirus restrictions would be dropped as expected on Monday next week.
The increasing concern over a slower reopening process has once again taken its toll on travel and leisure with the likes of easyJet, IAG and Jet2 all sharply lower, as rising Delta variant rates in Europe offset any optimism that double jabbed passengers can travel without quarantining.
Cineworld shares are also sharply lower, after the Health Secretary said that mask wearing would still be recommended in crowded indoor settings, in what appears to be a classic case of the more things change, the more they stay the same.
The government appears to be shifting the onus onto businesses to manage any Covid risk to front line staff as well as customers, with venues such as nightclubs likely to be expected to require some form of covid certification, although it wouldn’t be a legal requirement.
03:22 PMFTSE boosted by freedom day confirmation
The FTSE 100 has recovered the day's losses and is now trading flat at 7,126.88 points, after health secretary Sajid Javid confirmed the economy will be reopened on July 19.
The index received a boost from motor insurer Admiral which is currently trading 3.75pc higher than Friday's close.
Retailer B&M is up 2.20 pc and lender Natwest also lifted 1.8pc.
02:52 PMSajid Javid confirms lockdown will be lifted on July 19Health Secretary Sajid Javid updating MPs on the governments coronavirus plans, in the House of Commons – House of Commons /PA
UK health minister Sajid Javid has confirmed the lifting of lockdown in England will go ahead on 19 July.
Javid said the summer and the school holidays is the right time to get closer to normal life.
"We firmly believe this is the right time to get our nation closer to normal life,so we will move to the next stage of our road map on July 19," he said.
02:38 PMVirgin Galactic shares plummet after company files to sell stock
Shares of Virgin Galactic have done a dramatic u-turn on Monday, after the company filed to sell up to $500m in common stock.
Follows the commercial spaceflight company’s successful test flight with founder Sir Richard Branson onboard, shares of Virgin Galactic rose as much as 22pc in premarket trading.
However after the company made the stock sale announcement, shares dropped 11pc.
They are currently trading a $43.56, down 11.46pc from Friday's close.
02:22 PMTrustpilot revenue jumps as business 're-accelerates'
Shares of London-listed reviews website Trustpilot are up 3.11pc this afternoon, after the company reported a jump in revenue in the first half of the year.
The business reported that its total revenue was $62m, up 31pc year-on-year.
Trustpilot's business model is based on businesses subscribing to its software services, such as features that enable them display Trustpilot reviews on their website or giving them insights into how customers are interacting with their brand.
The Danish company, which described the bump in business as a "re-acceleration", following the pandemic said total bookings also increased by 37pc to $75m.
Chief executive, Peter Holten Mühlmann, commented:
Trustpilot provides the 'trust layer' for the open commerce ecosystem, giving consumers the confidence to purchase goods and services online, while offering businesses the opportunity to establish trust and thrive. We are encouraged by the progress we have made in the first half of the year and the board remains confident in the strategy and outlook for the business.
01:50 PMMore on Ecotricity's rejected offer for Good EnergyJuliet Davenport, CEO of Good Energy – Christopher Jones /Telegraph
Energy supplier Good Energy has rejected a possible offer from major shareholder and rival Ecotricity, in an escalation of hostilities between leading green energy entrepreneurs, reports Rachel Millard.
Good Energy, founded and led by Juliet Davenport, said the 340p-per share cash approach from Ecotricity, founded and led by Dale Vince, is "inadequate and fundamentally undervalues the group."
"Shareholders are not being offered anything like a full premium for giving up control of their company," it added.
Ecotricity hit back, saying it was “aware of the Board’s view, and are now interested in the view of our fellow shareholders" – setting the stage for a potential hostile bid, although Ecotricity has stressed there is no certainty it will make a formal offer.
Ecotricity has not outlined why it wants to buy its rival. A deal could combine two of the country's earliest and fullest adopters of renewable electricity at a time of growing interest from consumers and concerns about 'greenwash' in the industry.
Both companies say they supply their customers with 100pc renewable electricity, each operating their own wind and solar farms and also buying from other sources. Good Energy also owns 50.1pc of electric vehicle app Zap-Map.
Despite their shared enthusiasm for all things green, Davenport, 53, and Vince, 60, have clashed repeatedly in recent years over the green credentials and direction of their companies as they have grown.
In 2009, Davenport hit back over claims from Ecotricity that Good Energy was overstating its green credentials, while in 2016 Good Energy took issue with Ecotricity's claim that its electricity was the "greenest of any company in Britain."
Vince, a former New Age traveller who also owns vegan football club Forest Green Rovers, pushed for a seat on Good Energy's board in August 2017 having built up Ecotricity's stake, but was accused by Good Energy of having "actively sought to undermine" the company. He did not join the board.
01:45 PMMixed opening for US stocksGeorge Washington overlooks the New York Stock Exchange – Richard Drew /AP
US stocks have opened mixed, as Wall Street prepares for the kick off of corporate earnings season this week.
The S&P 500 is down 3.61 or 0.08pc at 4365.94 and the Dow Jones Industrial is down 36.14 or 0.10pc to 348341.16, while the Nasdaq is up 12.58 or 0.09pc at 14714.50.
Treasuries resumed gains after snapping an eight-session rally Friday. They will remain in focus amid new supply coming to the market this week, as well as key US inflation data and Federal Reserve Chair Jerome Powell’s semi-annual appearance before Congress.
The dollar strengthened against major peers.
01:31 PMAir France-KLM goes shopping
At least one airline is betting on a recovery in travel: Air France-KLM has begun negotiations with Boeing and Airbus on what could be the group’s biggest-ever aircraft order as it seeks to expand low-cost operations and renew part of its main Dutch fleet.
The 160 single-aisle planes would be destined for the Transavia discount division and European operations at KLM, a spokesman said on Monday, Bloomberg reported. The brands currently operate only Boeing jets on short- and mid-range routes.
The contest will pit Boeing’s resurgent 737 Max against Airbus’s A320neo-series narrow-bodies.
01:11 PMEU delays digital tax push
The European Union said today it would postpone its push for a controversial digital levy in favour of a negotiation over a broader minimum global tax deal struck by the world’s largest economies, Bloomberg reports.
The US has lobbied against the levy on digital sales that was likely to hit Silicon Valley giants’ business in Europe. The EU had pledged to introduce a levy if there was no progress on a more sweeping effort to tax corporations more uniformly.
The European Commission had already delayed the rollout of the plan amid pressure to withdraw it or show that it’s compatible with the global effort on how and where to tax the profits of multinational companies.
“We have decided to put on hold our work on a proposal for a digital levy,” Daniel Ferrie, a spokesman for the European Commission, told reporters on Monday.
The EU will focus on the target to reach a global tax accord in October and “to conclude this process we want to concentrate all of our efforts on getting that over the line,” he said.
It comes after US Treasury Secretary Janet Yellen warned Brussels that it must drop “discriminatory” plans for a tax crackdown.
12:48 PMInside the world's most advanced warship
My colleague, Alan Tovey, was given a tour of HMS Glasgow, a future-proofed fighting vessel designed to withstand heavy bombardment and hit back harder, during her construction at the company’s Govan shipyard.
Inside, engineers work in searing heat on what will be the world’s most advanced warship when it is handed over to the military in the mid-2020s.
Scaffolding and cables make moving around tricky, while pipes, studs and other fittings protrude from the floor, walls and ceilings, catching the unwary.
The scene could be described as chaotic.
Not so, says Sir Simon Lister, managing director of BAE’s naval ships business, as he gives The Telegraph a tour of HMS Glasgow.
“Look at this,” he says, pointing to a two inch stud welded to a bulkhead. He explains it wasn’t on the original digital plans, but was added by veteran shipbuilders who saw that cables needed to be directed around what will become the frigate’s operations room
Read Alan's full report here.
12:21 PMFTSE 250 drops
After rising earlier in the day, the FTSE 250 mid-cap index is now down 39.98 points or 0.17pc today, trading at 22870 points.
12:00 PMUS stock futures dip ahead of earnings season
Futures tracking the Dow Jones and the S&P 500 indexes inched lower this morning in New York, as investors awaiting the start of the second-quarter earning season and a batch of economic data.
After reaching record highs on Friday, Dow e-minis were down 159 points, or 0.46pc and S&P 500 e-minis were down 11 points, or 0.25pc in pre-market trading.
Starting Tuesday, earnings reports are due from JPMorgan Chase, Goldman Sachs, Bank of America and other big banks, with markets watching closely for clues on the economy and stocks tied to growth.
Futures linked to the Nasdaq-100 lifted 0.2pc, suggesting technology stocks could make further gains after the index also peaked at a new record last week.
11:39 AMPound dips 0.3pcBritish one pound sterling coins are arranged for a photograph in central London – DANIEL SORABJI /AFP
The pound has dipped 0.3pc to $1.3852 against the dollar today after jumping to above $1.39 on Friday.
The British currency was down in anticipation of Prime Minister Boris Johnson's announcement later today where he is expected to confirm plans to remove nearly all remaining Covid-19 restrictions in England from July 19 despite rising cases.
Commerzbank analysts tied the pound's dip to cautiousness that Johnson's decision could be unsustainable.
"The later the lockdowns are imposed, the stricter and probably longer they are," said Ulrich Leuchtmann, head of FX research at Commerzbank.
"If that were to happen the market's optimism that the Bank of England might dare a lift-off, i.e. the first rate hike, might be shattered somewhat," he added.
11:08 AMBrent slips as variant concern clouds outlook
Brent oil has dropped 1.6pc today to $74.34, as investors asses the demand outlook amid a Covid-19 resurgence in many regions.
The optimism sparked by the vaccine rollout and economic rebound across major economies is now being tempered by the spread of the highly infectious delta variant and uncertainty over supply from the OPEC+ alliance due to an ongoing dispute between the UAE and Saudi Arabia.
There are also signs that China’s rebound is slowing. It’s economy was always expected to descend from the heights reached during the initial rebound but economists say the softening has come sooner than expected.
10:58 AMSpending surges ahead of euros
Pubs and bars made the most of England’s record run to the finals of the Euros with football fans sending sales soaring last month, reports Tim Wallace.
Takings jumped by 38.1pc in June compared with the same month of 2019, the last pre-Covid summer, according to data from Barclaycard.
Off-licences’ and specialist food stores’ sales rocketed by more than three-quarters, while supermarkets also benefitted from a rise of almost one-fifth as a spell of hot weather encouraged families and friends to meet up at barbecues and picnics.
Footfall on the high street was up by almost 10pc on Sunday compared with the same day a week earlier, according to data from Springboard, indicating the scale of the surge in pub goers watching the final.
However some sales are flagging, suggesting pent up demand from lockdown may have run its course.
Clothing sales were up by less than 3pc, while spending on furniture is up by around one-quarter, halving May’s rate of growth.
Meanwhile two-thirds said they have noticed price rises, indicating concern around inflation.
10:51 AMMoney round-up
Here's the daily round-up from The Telegraph's Money team:
Money Makeover: 'Should I sell my pub and invest or do it up for £60k?' Our reader wants to leave a legacy to his children, but the pub's state of disrepair is causing an inheritance headache
Can my neighbours force me to cut down a tree in my garden? Ask a Lawyer: a beloved beech tree overhangs a neighbouring property, who has the legal ownership?
For sale: The fairy-tale '£1,000 house' where R.C. Sherriff wrote 'Journey's End': It was built for £1,000 in 1926 – the equivalent of £62,700 now
10:43 AMVirgin Galactic shares surge 22pcVirgin Galactic founder Sir Richard Branson(L), with Sirisha Bandla on his shoulders, cheers with crew members after flying into space aboard a Virgin Galactic vessel, a voyage he described as the “experience of a lifetime” – PATRICK T. FALLON /AFP
Shares of Virgin Galactic Holdings Inc. jumped as much as 22pc in premarket US trading on Monday, following Richard Branson’s trip more than 50 miles above Earth over the weekend.
They were up 7.1pc as of 5am in New York, adding about $841m to the Las Cruces, New Mexico-based company’s market value.
The 70-year-old billionaire and five employees completed a long-awaited test flight to space on Sunday, reaching an altitude of more than 50 miles during the hour-long journey.
“Welcome to the dawn of a new space age,” Branson told guests at the Spaceport America complex near the town of Truth or Consequences, New Mexico.
My colleague Io Dodds was there on the scene. Read her full report here.
10:32 AMChaos looms as return to work meets self-isolation
If Rishi Sunak really wants office working to roar back to life then the rules need rethinking and businesses need to be clearer, says Lucy Burton in her latest column.
Food always brings people together. So it is no surprise that weary business leaders wondering how to get staff back at their desks without using force are plotting ways to tempt workers back with the breaking of bread. On a recent call of more than 50 business executives, City insiders say the conversation turned to how “extra nice lunches” could be used as “one of several attraction strategies” to get people back in.
If only it were that easy. In this next stage of the pandemic, employers will be faced with two incompatible forces that will be difficult to stomach.
Given that the return to the office and the lifting of restrictions is colliding with soaring Covid cases and continued rules on self-isolation, there should be no wishy-washy messaging on what the next steps are. In the grip of the greatest crisis since the Second World War, trying to lure people into work with gimmicks such as a nice lunch is not going to cut it.
Read her full story here.
10:06 AMBritish business optimism to translate into investment and employment, says reportOn the day that the UK government eased Covid restrictions to allow non-essential businesses such as shops, pubs, bars, gyms and hairdressers to re-open – Richard Baker /Telegraph
Business optimism has risen to its highest level in six years, as two thirds of UK private sector companies expect an increase in business activity as Covid-19 restrictions are lifted during the year ahead, according to a new survey report by Accenture an IHS Markit.
As a result, UK companies are increasingly making plans to boost business investment and increase employment, the report said.
Accenture an IHS Markit added that staff hiring plans were strong, with a record 41pc of companies expecting to increase employment in the coming year.
The survey data indicated that most firms had seen a recovery in business activity from the COVID-19 pandemic, with approximately 51pc of survey respondents stating that output was the same or higher than February 2020 levels.
Commenting on the survey, Rachel Barton, Accenture's strategy and consulting lead, said:
Despite continued uncertainty, it is hugely encouraging that confidence remains high amongst British businesses.
However, the most positive signal is that the confidence appears to be translating into action, with companies now hiring and investment plans at a high point.
The challenge for business is to invest in a way that inspires sustainable growth by hiring people with the right skills and investing in the right technologies that will deliver for the long term.
09:47 AMHeathrow says closed UK borders mean the airline is falling behind European rivals
Heathrow passenger numbers remain almost 90pc down on pre-pandemic levels, below EU rivals, the airport said on Monday.
"Both [Amsterdam] Schiphol and Frankfurt have surpassed their 2019 cargo volumes, growing by 14pc and 9pc respectively compared to 2019, whereas cargo tonnage at Heathrow, the UK's biggest port is still down 16pc," the airport said.
Heathrow warned that that transatlantic trade is at risk if borders remain closed.
Chief executive, John Holland-Kaye, commented:
While it's fantastic news that some double-vaccinated passengers will no longer need to quarantine from amber countries, Ministers need to extend this policy to US and EU nationals if they want to kickstart the economic recovery.
These changes will be critical for exporters who are losing out to EU rivals and families who have been separated from loved ones. We have all the tools to safely restart international travel, and now is the time for Global Britain to take off!
09:26 AMRyanair to hire 2,000 new pilotsA Ryanair plane takes off from Dublin Airport on September – AFP
Ryanair today announced plans to hire 2,000 new pilots over the next three years, as the budget airline bets on a global travel resurgence following the pandemic.
The company said more pilots are necessary to fly the 210 Boeing 737-8200 Gamechangers the airline has ordered.
Last summer, the airline said it would have to cut around 3,000 pilot and cabin crew jobs. However the company said it was able to "significantly" reduce that number after staff signed up to pay cuts and work practice changes.
Ryanair’s people director, Darrell Hughes, said:
As we take delivery of more than 210 Boeing 737-8200 gamechanger aircraft, Ryanair will recruit 2,000+ pilots over the next 3 years to fill positions created by this growth.
This is great news for experienced and aspiring pilots but also for our own pilots who will enjoy fast tracked promotions.
Throughout the pandemic, Ryanair has worked closely with our people to save jobs and we are delighted to start planning for a return to growth over the coming years as we recover from the Covid-19 crisis and grow to 200m guests by FY2024.
More on this story here.
09:12 AMTikTok owner shelves IPO plans as China ramps up scrutinyZhang Yiming, founder of Beijing ByteDance – Giulia Marchi /Bloomberg
TikTok owner ByteDance has indefinitely delayed its plans to list offshore after Chinese officials told the company to address data-security risks, Dow Jones reported.
Founder Zhang Yiming decided to shelve plans for a potential IPO in late March after meetings with cyberspace and securities regulators, where the company was asked to focus on addressing data-security risks and other issues, the news agency reported, citing people familiar with the matter.
The firm also delayed the listing because it didn’t have a chief financial officer at the time, according to the report.
The Cyberspace Administration of China and the China Securities Regulatory Commission didn’t respond to Dow Jones’s requests for comment.
On Saturday, China proposed new rules that would require nearly all companies seeking to list overseas to undergo a cybersecurity review, a process that would significantly tighten oversight over its internet giants.
Companies holding data on more than one million users must now apply for cybersecurity approval when seeking listings in other nations because of the risk that such data and personal information could be “affected, controlled, and maliciously exploited by foreign governments,” the Cyberspace Administration of China said in a statement.
08:58 AMDelta variant fears stalk European stocks
European stocks have also dropped lower this morning, as investors sold economically sensitive sectors on worries that the spread of new coronavirus variants will slow the global economic recovery.
The pan-European STOXX 600 index slipped 0.1pc after marginal opening gains.
Banking, mining, travel, and auto stocks fell between 0.4pc and 1.2pc, with investors unwinding bullish bets on the global economy as the Delta virus variant tears through large parts of Asia.
Commodity-heavy UK shares fell 0.5pc, lagging continental European peers.
Volatility picked up across global markets last week after U.S. and China data raised fears that economic growth may have peaked, driving government bond prices higher and stocks lower.
European investors instead moved into defensive parts of the stock market like utilities, real estate, and healthcare, which rose between 0.3pc and 0.9pc.
08:47 AMAsos teams up with Nordstrom to promote Topshop to US consumersPedestrians walk past a Topshop store, owed by Arcadia group on Oxford street in London – SIMON DAWSON /Reuters
Asos said today it’s setting up a joint venture with the US department store Nordstrom and considering a deeper partnership to help promote the Topshop and Miss Selfridge brands in the US and Canadian markets.
Nordstrom will take a minority stake in those brands, plus Topman and HITT, which Asos bought from Philip Green’s ailing retail company Arcadia Group.
Nordstrom will also offer click-and-collect services for Asos in North America.
The US retailer, which has 350 stores, was the first to offer Topshop products to US consumers around 10 years ago. Asos will retain control over the brand, while Nordstrom will help market it.
Nick Beighton, Asos founder and chief executive, commented:
With its long-established connection to Topshop, extensive US consumer insight and unparalleled reach right across North America, Nordstrom is the right partner to help ASOS accelerate the growth of our Topshop and ASOS brands in this key market.
08:27 AMBlue Air plans London listing
Romanian airline Blue Air is planning a London listing which could value the company at £500m, according to The Times.
The budget airline, which is planning to increase 15-plane fleet to 50 over the next five years, has been using the coronavirus to snap up lucrative slots at airports including Heathrow, Amsterdam, Paris and Frankfurt.
Blue Air is already listed in Bucharest and Turin but could make around £250m from floating on London's AIM.
08:18 AMPub chain Young's sells 56 pubs
Pub chain Young's has sold 56 pubs for £53m, as the company continues to shift away from a tenanted model.
The deal means the group now retains seven pubs from its Ram Pub Company, which operated Young's tenanted business, with the remainder going to rival Punch.
The sale was first revealed in May this year and bosses said the disposal will allow them to focus on their strategy of operating "premium, individual, differentiated and predominantly freehold managed pubs and hotels".
Cash from the deal will be used to strengthen Young's balance sheet in a difficult year for the sector and also to buy any new freehold pubs to add to its portfolio.
Chief executive Patrick Dardis said: "Young's sole focus will now be on operating well-invested and premium managed pubs and hotels.
"We have a proven history of making attractive returns from investing in high-quality pubs and this disposal will provide us with additional firepower to upgrade our existing pubs and capitalise on attractive acquisition opportunities that may come to the market."
08:07 AMTenants return to central London, pushing rents back upA view of Shaftesbury Avenue on December 16, 2020 in London, England – Dan Kitwood /Getty Images
Rents in central London have registered their first monthly price increase since the start of the pandemic, estate agent Hamptons International said.
Prices jumped 4.3pc in June compared to the previous month, the fastest on record, as the central London rental market started to recover from Londoners' exodus to the suburbs and the countryside during multiple lockdowns.
“Inner London landlords have suffered more than investors anywhere else in the country. But in recent months rental growth here has changed course,” said Aneisha Beveridge, head of research at Hamptons, who predicts rents in the area will return to pre-pandemic levels over the next year.
07:55 AMAdmiral shares surge
British motor insurer Admiral has jumped 3pc after it said it was on track for a higher-than-expected first-half profit due to lower motor accident claims through pandemic lockdowns.
07:43 AMEcotricity's third offer for the Good Energy Group rejectedThe UK’s largest motorway electric vehicle charging site, which features 24 350kW EV chargers provided by GRIDSERVE, Ecotricity and Tesla at Moto’s new Rugby Services. – Doug Peters /PA
Green energy company, Ecotricity, said today that it has submitted three offer proposals to the board of the Wiltshire-based Good Energy Group which have each been rejected.
Ecotricity, which is Good Energy's largest shareholder, said its latest bid was made on July 2 at 340.0p per share – 10.6pc higher than the company's Friday closing price. That price values the renewable energy company at £56.6m.
"There can be no certainty that a formal offer for Good Energy will be made," Ecotricity said today.
07:30 AMRothermere family considers £810m bid for Daily Mail owner
The Rothermere family is considering a £810m ($1.13bn) bid to take the Daily Mail and MailOnline owner private.
Shares of Daily Mail and General Trust Plc were up 4.81pc after it said the Rothermere family was prepared to make a bid if the divestment of its insurance risk division and used car business Cazoo went through.
Jonathan Harmsworth, known as Lord Rothermere, chairs DMGT and his family’s trust owns all of DMGT’s voting shares and about 30pc of the company’s overall stock. The paper was founded by the family in 1896 according to DMGT’s website.
DMGT’s Chief Executive Officer Paul Zwillenberg has spent recent years selling off several large parts of the holding, including an agreement to offload its education technology business Hobsons in March for about £295m ($410m).
More on this story here.
07:17 AMTate & Lyle to sell stake in primary products to US private equity firmTate & Lyle
London listed Tate & Lyle have agreed to sell a controlling stake in its primary products unit for $1.3bn to US private equity firm KPS Capital Partners.
Under the terms of the deal announced Monday, a new company will be set up owned 50pc by both parties, with the private equity firm having board and operational control.
Tate & Lyle said today that the "transformational move" re-positions Tate & Lyle as a global food and beverage solutions business focused on faster growing speciality markets, such as the growing global demand for food and drinks that are lower in sugar, calories and fat, and contain added fibre
“With the pandemic accelerating the trend towards healthier food, now is the right time to focus our business on capturing this growth,” chief executive officer Nick Hampton said.
The company added that that sale also "substantially reduces exposure to commodities markets and bulk ingredients in North America."
The company intends to return $500m to shareholders by special dividend following the deal, and the rest of the proceeds will be used to strengthen the balance sheet and invest to accelerate growth.
The transaction is expected to close in the first quarter of next year. It includes the primary products business in North America and Latin America and some interests in various joint ventures. The new company, which has signed a 20-year supply agreement with Tate & Lyle, will have an enterprise value of $1.7bn.
Shares rose 1.65pc in early trading.
Read more about this story here.
07:07 AMFTSE inches down
The FTSE 100 has opened 0.27pc or 19 points down this morning, currently trading at around 7,102.79.
The FTSE 250 however has edged 0.16pc or 37.71 points higher, at 22,947.03.
06:31 AMMixed start
Good morning. The FTSE is tipped to open lower this moring as Asian shares enjoyed a relief rally.
5 things to start your day
1) Yellen warns Brussels to drop 'discriminatory' digital tax: US Treasury Secretary Janet Yellen has warned Brussels that it must drop “discriminatory” plans for a tax crackdown on Silicon Valley tech titans in the wake of international agreement on global reforms.
2) Gambling giant Flutter delays £13bn FanDuel float until next year: One of the world’s biggest gambling groups has ruled out a lucrative float of its market-leading US sports betting brand until 2022.
3) Give us back the daily rail commute, say staff desperate for freedom: Britons are increasingly keen to restart the daily commute after more than a year of working from home, according to accountant PwC.
4) Klarna swoops on London-based online retail start-up: The buy-now-pay-later lender, is expected to acquire a London-based firm whose clients include Harvey Nichols, Ted Baker and Heal’s.
5) UK supermarkets 'are the most undervalued in the world', says former Sainsbury’s boss: British supermarkets are the most undervalued in the world, the former boss of Sainsbury’s has said, after a takeover race for Morrisons and the sale of Asda to the billionaire Issa brothers.
What happened overnight
Asian stock markets rose on Monday after Wall Street hit a high despite jitters about the spread of the coronavirus's delta variant as investors looked ahead to US earnings reports.
Market benchmarks in Shanghai, Tokyo, Hong Kong and Sydney advanced.
The Shanghai Composite Index rose 1pc to 3,558.13 after the Chinese central bank on Friday reduced the level of reserves commercial banks must hold, freeing up money for lending. That came after forecasters saw signs China's economic rebound might be weakening.
The Nikkei 225 in Tokyo surged 2.3pc to 28,580.78 and the Hang Seng in Hong Kong gained 0.5pc to 27,482.85.
The Kospi in Seoul advanced 1pc to 3,247.13 and Sydney's S&P-ASX 200 rose 0.7pc to 7,326.30. New Zealand and Southeast Asian markets also advanced.
Coming up today
Corporate: Photo-Me (Interim results), Dechra Pharmaceuticals (Trading update)
Economics: Monthly borrowing data (US), FDI (China)