Mark Carney's talk about further accomodative monetary policy continues to boost shares in London. Click here for The Trader Nicole Elliott's latest views on the markets.
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The burgeoning gambling company GVC (GVC) has made it onto the main market. The formerly Aim-listed company had applied to move upstairs but progress appeared slow. But it is now expected to enter the FTSE 250 given its £1.7bn market capitalisation - something which has been inflated via major deals including the most recent purchase of rival Bwin. That transaction meant management decided upon a dividend holiday for 2016 while its target is integrated. But payments are due to resume next year. Buy.
Shares in Trinity Mirror (TNI) climbed 5 per cent after the Daily Mirror publisher said first-half trading was on track. Sharp declines in print advertising and circulation sales offset a 14 per cent rise in digital publishing sales, meaning comparable turnover slid 8 per cent. Buy.
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The odds of winning the lottery are extremely low but DJI Holdings (DJI) is feeling lucky. The company, whose technology is used for mobile payments, online bookings and lottery transactions in China, has announced a conditional placing of 30.5m shares in order to raise a gross £29m. Management says the cash will enable it to enact its growth plans, which will no doubt include its recently-struck relationship with Xinhuatong, the exclusive provider of key functionality to the Xinhua News App owned by China's national news agency. In the past year, the shares have risen just more than 70 per cent which has helped ramp the Aim-listed group’s market cap up to nearly £180m.
The legal fallout from the tailings dam disaster at Samarco has provided yet another unwelcome twist for BHP Billiton (BLT). Brazil’s Superior Court of Justice has now issued an interim order suspending the decision of the country’s Federal Court of Appeal to ratify an earlier agreement to establish a retribution fund. The commodities giant, which is facing separate lawsuits related to the disaster, said it would appeal the decision.
Regular readers of our Chronic Investor blog will be familiar with the predicament facing the debt-saddled Premier Oil (PMO). The mid-tier oil explorer and producer this morning announced that discussions with its lending group are “progressing well”, though a financial covenant test due today has been pushed back a month to make amendments to Premier’s medium term loan covenants and debt maturities. The necessary sacrifice of additional (though unspecified) security for debt holders sent shares in the group down by 2.6 per cent.
Fellow highly-indebted UK continental shelf driller Enquest (ENQ) had better news this morning. The company said this year’s drilling programme in the Central North Sea has been “excellent”, with the Scolty and Crathes development wells completed ahead of schedule, under budget, and led to small reserves upgrades. Meanwhile, data from the Eagle exploration well has indicated “excellent reservoir properties”, with no oil water contact encountered.
In a transformative financing and capital restructuring, Mozambique-focused miner Kenmare Resources (KMR) has raised $275m from the equity and debt markets. The group, which had a market capitalisation below £30m prior to the deal, received the backing ahead of an expected uptick in a titanium feedstock market which had previously been flooded with supply.
