KEY STORIES:
Benchmark (BMK) reported a £73m pre-tax loss during the year to September, due to the impairment of intangible assets related to the INVE business as the outlook for the advanced nutrition division worsened. Weakness in the shrimp and sea bass/bream markets has continued, management said, and while some recovery is expected it is unlikely to recover to 2018 levels in 2020. Investment in research and development also meant net debt jumped more than half to £87m.
Yesterday afternoon, Naspers and Takeaway.com made increased and final offers for Just Eat (JE.). Under Naspers’ new offer, Just Eat shareholders would receive 800p per share, valuing the group at around £5.5bn in total. Takeaway.com came back with an offer valuing each Just Eat share at 916p, based on Takeaway.com’s closing price of €88.90 on 18 December. Under the latter offer, Just Eat shareholders would own around 57.5 per cent of the combined group. Takeaway.com added that it had received acceptances for its offer pertaining to 41.1 per cent of Just Eat’s share capital. The deadline for accepting either final offer is 1pm on 10 January 2020. Just Eat said that its board is currently reviewing the final Naspers offer and the final Takeway.com offer. It said that shareholders are advised to take no action with regards to the final offers at this time.
Renewi (RWI) has received the long-awaited tick of approval from the Dutch authorities for use of thermally treated soil. A ban on this product has kept the company’s earnings and valuation down and saw it cut the dividend earlier this year. The news sent Renewi’s share price up 23 per cent, to 33p. Renewi said it would not update guidance for the next year as it still needs local permits to use building materials made with the thermally treated products.
Oil and gas supermajor Royal Dutch Shell (RDSA) has said poor price conditions and lower downstream margins in the December quarter would see a post-tax impairment charge of between $1.7bn (£1.3bn) and $2.3bn for the period. The company said refining and marketing margins were struggling because of the “weak macro environment”. Deferred tax charges will also knock $500m-600m off Shell’s December earnings.
