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CORRECTED-STOCKS NEWS UK SMALL-Just Retirement extends gains on bid hopes
Mon, 10th Nov 2008 19:17
STOCKS NEWS Reuters Results diary
Europe Real-time Equity News
UK
UK smallcaps
Stocks on the move
(Changes name in second paragraph to Cinven fron CVC Partners, after brokerage corrects)
14:08GMT 10Nov2008-Just Retirement extends gains on bid hopes
-------------------------------------------------------------
Shares in Just Retirement Plc extend their earlier rise to trade 50.5 percent higher at 73 pence -- the best performing stock in the market -- after the company confirms it has received preliminary expressions of interest for the business. A report in The Sunday Times said 52 percent shareholder Langholm Capital LLP has put the business up for sale at a suggested price of 300 million pounds, or 102 pence a share.
Stockbrokers Panmure Gordon said potential acquirers include private equity firm Cinven and some of the larger UK life assurers such as Legal & General Plc , Aviva Plc and Prudential Plc.
'Just Retirement is now in play and we believe it will be taken out at around 100 pence a share,' the broker said. It has raised its target price for the stock from 75 pence to 100 pence and revised its investment recommendation from 'hold' to 'buy'.
For more click on; company statement
malcolm.locke@thomsonreuters.com; +44 207 542 0964
13:38GMT 10Nov2008-Sinclair falls on financing concerns
-------------------------------------------------------
Shares in skin specialist Sinclair fall 12 percent over market concerns that it will have to raise more money, and that it may be vulnerable to a consumer downturn.
'There are general concerns in the marketplace that they are at some point going to have to do a little bit of refinancing especially in H1 2010,' said an analyst. 'You could (also) argue exactly how exposed to a consumer downturn some of the products are, especially there are quite a lot of co-pay elements in there and dermo cosmetics.'
Reuters messaging rm://ben.deighton.reuters.com@reuters.net
12:47GMT 10Nov2008-JKX Oil & Gas higher on Ukrainian gas news
-------------------------------------------------------------
Shares in JKX Oil & Gas Plc rise 8.6 percent after it completes the tie-in of its Ukrainian gas production to the Soyuz trunk line, effectively removing any delivery constraint on the amount of sales gas that can be delivered.
Evolution Securities says this will now clear the way for increasing gas exports in 2009. It repeated its 'add' advice for the shares and reiterated its 450 pence price
target for the stock.
For company statement click
malcolm.locke@thomsonreuters.com; +44 207 542 0964
12:27GMT 10Nov2008-FTSE Small Cap Index up 1.3 pct by mid-session
-----------------------------------------------------------------
The FTSE Small Cap Index rises 1.3 percent as UK markets rally following a strong close in the United States on Friday and on news of a stimulus package in China, with the FTSE 100 Index up 2.4 percent.
Emerald Energy lifts 7.1 percent as the group announces a positive update on its Capella No.2 Well in Columbia and an amendment to its farm-out agreement with Canacol Energy Inc, prompting Evolution Securities to repeat its 'buy' stance.
GoIndustry-DoveBid, the AIM-listed industrial machinery and equipment maker, falls 17.4 percent after warning its full-year 2008 performance may not meet market expectations, due to recent turbulence in global financial markets.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
12:19GMT 10Nov2008-Churchill Mining up on positive coal update
--------------------------------------------------------------
Shares in AIM-listed Churchill Mining Plc rise 3.1 percent to 33 pence after an independent study for its East Kutai coal project indicates a combination of road and river barge transport is now possible. The group says this may 'considerably decrease' its capital expenditure requirements. It also raises its initial tonnage target for the first year up to 3 million tonnes, while for the second year it now looks for 5 million tonnes.
Stockbrokers Ambrian says this is positive news for the group and is supportive of the project's key drivers. It reiterated its 'buy' recommendation and 80 pence price target for the shares.
For company statement click on
malcolm.locke@thomsonreuters.com; +44 207 542 0964
12:08GMT 10Nov2008-Arc up on in-line update, Panmure says 'buy'
---------------------------------------------------------------
Shares in Arc, the multimedia technology provider, climb 3.4 percent following its in-line trading update, prompting Panmure Gordon to repeat its 'buy' recommendation and 30 pence target price.
Panmure says it remains a buyer of the stock because of Arc's audio and video strategy and strong cash position.
However, the broker has reduced its revenue expectations for 2009 by 1 million pounds to 20.4 million pounds due to the anticipated tougher licensing environment.
For more double click on
Reuters Messaging rm://david.brett.reuters.com@reuters.net
12:02GMT 10Nov2008-Dignity rises on update, Investec 'buy'
----------------------------------------------------------
Shares in Dignity, Britain's only listed funeral services company, rise 7.9 percent as it says its 9-month operating profit is up 10.5 percent and its outlook is in line with expectations, prompting Investec Securities to repeat its 'buy' stance and 740 pence target price.
Investec says Dignity has not seen any material impact from the current downturn and, while no business is immune, it is probably about as close as it gets.
The broker says recent share price weakness is a great opportunity to stake-build in a business that should be both robust in the downturn and perform well if the sentiment improves.
For more double click on
Reuters Messaging rm://david.brett.reuters.com@reuters.net
11:26GMT 10Nov2008-Rank rises on legal tax win
----------------------------------------------
Shares in Rank Group Plc. rise 3 percent to 65.25 pence as the bingo, casino, and online gaming firm receives 59.1 million pounds from the UK government in returned taxes.
'I would have though it would have gone up a bit more than it has done today but we're in very difficult markets so I can understand what's happened,' says one analyst who estimates that the legal win is worth six or seven pence per share.
To see Rank's statement please click on
Reuters messaging rm://ben.deighton.reuters.com@reuters.net
11:03GMT 10Nov2008-Carr's Milling higher after profits double
-------------------------------------------------------------
Shares in Carr's Milling Industries Plc. advance 4.6 percent to 507.5 pence after it reports more than doubled full year profits and says it is well placed for the current financial year. Pretax profits for 2007/08 increased by 113 percent to 12.9 million pounds, although 4.1 million of this was due to inventory and foreign exchange gains.
Investec Securities said while the group benefited from this windfall, there was equally a fair degree of solid underlying improvement from volumes and margin gains. Excluding the windfall element, the broker expects further progress and is forecasting pretax profits of 9.9 million pounds for 2008/09. It reiterated its 'buy' recommendation and 550 pence price target for the stock.
For more click on; company statement
malcolm.locke@thomsonreuters.com; +44 207 542 0964
10:57GMT 10Nov2008-Powerleague up, Altium says 'buy' and target price 60p
-------------------------------------------------------------------------
Shares in Powerleague, the five-a-side football centre operator, climb 15.3 percent after Altium Securities repeats its core 12-month 'buy' rating and 60 pence target price.
Altium says shares in Powerleague, which reported in line full-year results at the beginning of October, have fallen over 70 percent in the last 12-months, meaning they are the hardest hit in the leisure sector.
The broker says the fall leaves peer Goals Soccer Centre, which it rates as 'sell', trading at a 76 percent premium.
Altium says in paying down debt and ensuring 10 new centres are opened in 2008 the management are making the right decisions to maximise long-term shareholder value.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
10:07GMT 10Nov2008-Rentokil up, press reports FD to step down
-------------------------------------------------------------
Shares in Rentokil Initial rise 2.1 percent after weekend reports in the Financial Times that finance director Andrew Mcfarlane is to step down early next year, news which Seymour Pierce says is of little surprise.
In a note, Kevin Lapwood, an analyst at Seymour Pierce, says: 'Mcfarlane was the only remaining member of the senior management team that sanctioned the acquisitions of Target Express and Pink Hygiene, both of which are now causing acute problems for the new management team.'
Following Friday's third-quarter figures, Seymour Pierce reduces its full year 2009 pretax numbers for Rentokil down to 105 million pounds, with an adjusted EPS of 4.8 pence, while it cuts its stance to 'sell' from 'hold' with a target price of 40 pence.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
10:00GMT 10Nov2008-Aurelian Oil & Gas up on Poznan farm-out deal
----------------------------------------------------------------
Shares in AIM-listed Aurelian Oil & Gas Plc jump 16.3 percent to 25 pence after it agrees to farm-out a 40 percent interest in the Poznan concessions in Poland to Canamens Energy Ltd in a deal which should secure sufficient funding to take the project to the next stage of its development.
Research firm Fox-Davies Capital says the deal effectively de-risks the Poznan asset almost entirely, and reduces the overall cash call to production to $6 million from $60 million previously. 'The transaction provides an implied floor valuation for the shares of about 36 pence, a 70 percent upside on the current price,' the broker says. It maintains a 'buy' recommendation for the stock.
For more click on; company statement
malcolm.locke@thomsonreuters.com; +44 207 542 0964
09:58GMT 10Nov2008-Rambler Metals rises drilling update
-------------------------------------------------------
Shares in Rambler Metals rise 2.7 percent after impressing investors with its latest set of drilling results, which lead Seymour Pierce to repeat its 'buy' recommendation.
In a note, Asa Bridal, an analyst at Seymour Pierce, says: 'Rambler has released more excellent drilling results from its ongoing programme at the Ming mine in Newfoundland, Canada.'
Bridal adds the latest assays for the 1806 Zone continue to display strong gold signature of the mineralisation and have helped to quantify the dimensions of the zone.
Futhermore, Bridal says: 'Development work on the 1807 zone is also reported to be progressing and with strong assays continuing to flow from the project we look forward to the new resource estimate expected in first-quarter 2009.'
Reuters Messaging rm://david.brett.reuters.com@reuters.net
09:48GMT 10Nov2008-Meldex reverses losses on fundamentals
---------------------------------------------------------
Shares in drug delivery specialist Meldex rise 13 percent, reversing most of the losses suffered after the company announced a bridge loan on Friday, underlining its fundamentals.
'They're moving in the right direction towards funding of the working capital,' says Keith Redpath, analyst at house broker JM Finn. 'The stuff on Friday was at least positive on that ... people had the opportunity to read it over the weekend,' he says, adding that the company was revenue generating and needed the cash because of the time it takes for customers to pay.
To see Friday's statement please click on
Reuters messaging rm://ben.deighton.reuters.com@reuters.net
09:47GMT 10Nov2008-G4S up on Q3 update, Seymour Pierce 'buy'
------------------------------------------------------------
Shares in G4S, the global security company, climb 2.8 percent after reporting a strong third-quarter performance and saying it is confident for the full-year 2008, prompting Seymour Pierce to reiterate its 'buy' stance and 240 pence target price.
Seymour Pierce says G4S's third-quarter organic growth was well ahead of its forecast, while flat margins were inline with its expectations.
The broker says G4S's shares trade on a 2008 price earnings estimate of 12.3 times, a figure comparable to peers Securitas and Niscayah, but it argues that neither has the same level of operational diversity or global growth potential as G4S.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
09:42GMT 10Nov2008-Kier up on positive trading statement
---------------------------------------------------------
Shares in construction company Kier Group rise more than 6 percent to 751 pence after it reports a strong start to the year for its building division and says overall first quarter trading met management hopes.
Kevin Cammack at Singer Capital Markets says the group's construction business is proving to be robust and the statement is reasonably reassuring.
'I think it was a reminder to the market that they've taken a hit as a result of what's happened in the residential market, but it's not getting worse,' he says.
Reuters Messaging: philip.waller.thomsonreuters.com@reuters.net
09:30GMT 10Nov2008-Emerald Energy up on well update
---------------------------------------------------
Shares in Emerald Energy Plc edge up 5.9 percent to 352.75 pence as the group announces a positive update on its Capella No.2 well in Colombia and an amendment to its farm-out agreement with Canacol Energy Inc. 'The well is flowing at a rate of 345 barrels a day, over 40 percent higher than the Capella No.1 well,' the company said in a statement.
Evolution Securities reiterates its 'buy' and says the results from the Capella No.2 well are 'encouraging'. It points to the field being 'potentially commercial and potentially large', while the revision to the farm-out will give Emerald a bigger slice of the project.
For company statement click on
malcolm.locke@thomsonreuters.com; +44 207 542 0964
09:34GMT 10Nov2008-Plethora rises on funding outlook
----------------------------------------------------
Urological health specialist Plethora Solutions sees shares rise 17 percent, making it one of the biggest risers on the Alternative Investment Market, as last week's research update increases its chances of getting a licensing deal.
'It's got a funding requirement and that can be met by a licensing deal most likely. Obviously positive data you could argue increases the chances of signing a deal,' says Jacob Plieth, an analyst at Edison. 'It's continued positive sentiment on the back of the study that they reported last week.'
For the article on the trial result click on
Reuters Messaging rm://ben.deighton.reuters.com@reuters.net
09:12GMT 10Nov2008-Eckoh higher on move back to profit
------------------------------------------------------
Shares in Eckoh Plc, the hosted speech services company, trade 4.9 percent higher at 5.375 pence as the group moves back into the black at the half-way stage and says it is looking to explore all its strategic options to deliver shareholder value.
Stockbrokers Seymour Pierce says all the group's key metrics are now moving in the right direction. 'Now that the group has moved into profitability and the deal momentum has shown a material pick-up, we expect the shares to be re-rated,' the broker said. It reiterated its 10 pence price target for the stock and 'buy' recommendation.
For company statement click
malcolm.locke@thomsonreuters.com; +44 207 542 0964
09:11GMT 10Nov2008-Blinkx up as losses narrow, Citi says 'buy'
--------------------------------------------------------------
Shares in Blinkx, the AIM-listed video search company, surge 12.7 percent after reporting narrowing first-half losses, prompting Citi to repeat its 'buy' recommendation and 80 pence target price.
Citi says revenues and gross margin were strong, while cash burn was also encouraging, adding that cash of $32.4 million with free-cash-flow break-even estimated in 2010 leaves the group with plenty of headroom.
As a result of a more focused strategy, the broker marginally reduces its estimated EBITDA loss for 2009 and EBITDA profit for 2010, but says its content and distribution deals continue apace.
For more double click on
Reuters Messaging rm://david.brett.reuters.com@reuters.net
08:49GMT 10Nov2008-FTSE Small Cap Index up 0.7 pct early
--------------------------------------------------------
The FTSE Small Cap Index rises 0.6 percent, following the trend set by the wider UK markets, as the FTSE 100 Index jumps 2.7 percent.
Fortune Oil surges 7.8 percent on the back of strong growth in its third-quarter natural gas sales. The company says slowing China GDP growth is not expected to affect revenues.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
08:40GMT 10/11/2008-Dairy Crest shares plunge on profit warning
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Dairy Crest shares drop 21 percent to a 7-1/2 year low of 260 pence after the chilled foods group says full-year profits will be about 10 percent below the previous year due to the consumer downturn, weaker dairy ingredients markets and delays in selling surplus property.
'Given the current low visibility in the UK consumer environment and some of the Dairy Crest specific-issues (namely the Dairies business), we can no longer justify a Buy rating,' Citi analysts say in a research note, cutting their rating to 'Hold' and their target price to 330 pence from 490 pence.
For more information please click on and
Reuters Messaging: rm://mark.potter.reuters.com@reuters.net
08:25GMT 10Nov2008-Majestic Wine lower as interim proftis fall
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Shares in Majestic Wine Plc fall 8.1 percent to 136 pence after the wine retailer reports a 25.5 percent fall in half-time pretax profit to 5.6 million pounds and says the key Christmas trading period will be challenging.
Evolution Securities said trading was worse than expected and that estimates for the full year are likely to come back by about 20 percent. It now looks for pretax profits of 13.5 million pounds for 2008/09, compared to 17.2 million previously.
However, the broker is maintaining its 'buy' recommendation for the shares based on fundamental valuations, although it expects the stock to fall in the short-term.
For more click on; company statement
malcolm.locke@thomsonreuters.com; +44 207 542 0964
06:50GMT 10Nov2008-Corporate agenda for Monday
----------------------------------------------
BLINKX H1
CABLE & WIRELESS H1
G4S Trading
FORTUNE OIL Trading
HAMMERSON Trading
HSBC Q3 Trading
I-MATE AGM
INMARSAT Q3
JOHN SWAN & SON Q3
MAJESTIC WINE H1
NATIONWIDE H1
OCZ TECHNOLOGY H1
Reuters Messaging rm://paul.sandle.reuters.com@reuters.net
Keywords: MARKETS STOCKSNEWS UK SMALL =3
COPYRIGHT
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The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Europe Real-time Equity News
UK
UK smallcaps
Stocks on the move
(Changes name in second paragraph to Cinven fron CVC Partners, after brokerage corrects)
14:08GMT 10Nov2008-Just Retirement extends gains on bid hopes
-------------------------------------------------------------
Shares in Just Retirement Plc extend their earlier rise to trade 50.5 percent higher at 73 pence -- the best performing stock in the market -- after the company confirms it has received preliminary expressions of interest for the business. A report in The Sunday Times said 52 percent shareholder Langholm Capital LLP has put the business up for sale at a suggested price of 300 million pounds, or 102 pence a share.
Stockbrokers Panmure Gordon said potential acquirers include private equity firm Cinven and some of the larger UK life assurers such as Legal & General Plc , Aviva Plc and Prudential Plc.
'Just Retirement is now in play and we believe it will be taken out at around 100 pence a share,' the broker said. It has raised its target price for the stock from 75 pence to 100 pence and revised its investment recommendation from 'hold' to 'buy'.
For more click on; company statement
malcolm.locke@thomsonreuters.com; +44 207 542 0964
13:38GMT 10Nov2008-Sinclair falls on financing concerns
-------------------------------------------------------
Shares in skin specialist Sinclair fall 12 percent over market concerns that it will have to raise more money, and that it may be vulnerable to a consumer downturn.
'There are general concerns in the marketplace that they are at some point going to have to do a little bit of refinancing especially in H1 2010,' said an analyst. 'You could (also) argue exactly how exposed to a consumer downturn some of the products are, especially there are quite a lot of co-pay elements in there and dermo cosmetics.'
Reuters messaging rm://ben.deighton.reuters.com@reuters.net
12:47GMT 10Nov2008-JKX Oil & Gas higher on Ukrainian gas news
-------------------------------------------------------------
Shares in JKX Oil & Gas Plc rise 8.6 percent after it completes the tie-in of its Ukrainian gas production to the Soyuz trunk line, effectively removing any delivery constraint on the amount of sales gas that can be delivered.
Evolution Securities says this will now clear the way for increasing gas exports in 2009. It repeated its 'add' advice for the shares and reiterated its 450 pence price
For company statement click
malcolm.locke@thomsonreuters.com; +44 207 542 0964
12:27GMT 10Nov2008-FTSE Small Cap Index up 1.3 pct by mid-session
-----------------------------------------------------------------
The FTSE Small Cap Index rises 1.3 percent as UK markets rally following a strong close in the United States on Friday and on news of a stimulus package in China, with the FTSE 100 Index up 2.4 percent.
Emerald Energy lifts 7.1 percent as the group announces a positive update on its Capella No.2 Well in Columbia and an amendment to its farm-out agreement with Canacol Energy Inc, prompting Evolution Securities to repeat its 'buy' stance.
GoIndustry-DoveBid, the AIM-listed industrial machinery and equipment maker, falls 17.4 percent after warning its full-year 2008 performance may not meet market expectations, due to recent turbulence in global financial markets.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
12:19GMT 10Nov2008-Churchill Mining up on positive coal update
--------------------------------------------------------------
Shares in AIM-listed Churchill Mining Plc rise 3.1 percent to 33 pence after an independent study for its East Kutai coal project indicates a combination of road and river barge transport is now possible. The group says this may 'considerably decrease' its capital expenditure requirements. It also raises its initial tonnage target for the first year up to 3 million tonnes, while for the second year it now looks for 5 million tonnes.
Stockbrokers Ambrian says this is positive news for the group and is supportive of the project's key drivers. It reiterated its 'buy' recommendation and 80 pence price target for the shares.
For company statement click on
malcolm.locke@thomsonreuters.com; +44 207 542 0964
12:08GMT 10Nov2008-Arc up on in-line update, Panmure says 'buy'
---------------------------------------------------------------
Shares in Arc, the multimedia technology provider, climb 3.4 percent following its in-line trading update, prompting Panmure Gordon to repeat its 'buy' recommendation and 30 pence target price.
Panmure says it remains a buyer of the stock because of Arc's audio and video strategy and strong cash position.
However, the broker has reduced its revenue expectations for 2009 by 1 million pounds to 20.4 million pounds due to the anticipated tougher licensing environment.
For more double click on
Reuters Messaging rm://david.brett.reuters.com@reuters.net
12:02GMT 10Nov2008-Dignity rises on update, Investec 'buy'
----------------------------------------------------------
Shares in Dignity, Britain's only listed funeral services company, rise 7.9 percent as it says its 9-month operating profit is up 10.5 percent and its outlook is in line with expectations, prompting Investec Securities to repeat its 'buy' stance and 740 pence target price.
Investec says Dignity has not seen any material impact from the current downturn and, while no business is immune, it is probably about as close as it gets.
The broker says recent share price weakness is a great opportunity to stake-build in a business that should be both robust in the downturn and perform well if the sentiment improves.
For more double click on
Reuters Messaging rm://david.brett.reuters.com@reuters.net
11:26GMT 10Nov2008-Rank rises on legal tax win
----------------------------------------------
Shares in Rank Group Plc. rise 3 percent to 65.25 pence as the bingo, casino, and online gaming firm receives 59.1 million pounds from the UK government in returned taxes.
'I would have though it would have gone up a bit more than it has done today but we're in very difficult markets so I can understand what's happened,' says one analyst who estimates that the legal win is worth six or seven pence per share.
To see Rank's statement please click on
Reuters messaging rm://ben.deighton.reuters.com@reuters.net
11:03GMT 10Nov2008-Carr's Milling higher after profits double
-------------------------------------------------------------
Shares in Carr's Milling Industries Plc. advance 4.6 percent to 507.5 pence after it reports more than doubled full year profits and says it is well placed for the current financial year. Pretax profits for 2007/08 increased by 113 percent to 12.9 million pounds, although 4.1 million of this was due to inventory and foreign exchange gains.
Investec Securities said while the group benefited from this windfall, there was equally a fair degree of solid underlying improvement from volumes and margin gains. Excluding the windfall element, the broker expects further progress and is forecasting pretax profits of 9.9 million pounds for 2008/09. It reiterated its 'buy' recommendation and 550 pence price target for the stock.
For more click on; company statement
malcolm.locke@thomsonreuters.com; +44 207 542 0964
10:57GMT 10Nov2008-Powerleague up, Altium says 'buy' and target price 60p
-------------------------------------------------------------------------
Shares in Powerleague, the five-a-side football centre operator, climb 15.3 percent after Altium Securities repeats its core 12-month 'buy' rating and 60 pence target price.
Altium says shares in Powerleague, which reported in line full-year results at the beginning of October, have fallen over 70 percent in the last 12-months, meaning they are the hardest hit in the leisure sector.
The broker says the fall leaves peer Goals Soccer Centre, which it rates as 'sell', trading at a 76 percent premium.
Altium says in paying down debt and ensuring 10 new centres are opened in 2008 the management are making the right decisions to maximise long-term shareholder value.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
10:07GMT 10Nov2008-Rentokil up, press reports FD to step down
-------------------------------------------------------------
Shares in Rentokil Initial rise 2.1 percent after weekend reports in the Financial Times that finance director Andrew Mcfarlane is to step down early next year, news which Seymour Pierce says is of little surprise.
In a note, Kevin Lapwood, an analyst at Seymour Pierce, says: 'Mcfarlane was the only remaining member of the senior management team that sanctioned the acquisitions of Target Express and Pink Hygiene, both of which are now causing acute problems for the new management team.'
Following Friday's third-quarter figures, Seymour Pierce reduces its full year 2009 pretax numbers for Rentokil down to 105 million pounds, with an adjusted EPS of 4.8 pence, while it cuts its stance to 'sell' from 'hold' with a target price of 40 pence.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
10:00GMT 10Nov2008-Aurelian Oil & Gas up on Poznan farm-out deal
----------------------------------------------------------------
Shares in AIM-listed Aurelian Oil & Gas Plc jump 16.3 percent to 25 pence after it agrees to farm-out a 40 percent interest in the Poznan concessions in Poland to Canamens Energy Ltd in a deal which should secure sufficient funding to take the project to the next stage of its development.
Research firm Fox-Davies Capital says the deal effectively de-risks the Poznan asset almost entirely, and reduces the overall cash call to production to $6 million from $60 million previously. 'The transaction provides an implied floor valuation for the shares of about 36 pence, a 70 percent upside on the current price,' the broker says. It maintains a 'buy' recommendation for the stock.
For more click on; company statement
malcolm.locke@thomsonreuters.com; +44 207 542 0964
09:58GMT 10Nov2008-Rambler Metals rises drilling update
-------------------------------------------------------
Shares in Rambler Metals rise 2.7 percent after impressing investors with its latest set of drilling results, which lead Seymour Pierce to repeat its 'buy' recommendation.
In a note, Asa Bridal, an analyst at Seymour Pierce, says: 'Rambler has released more excellent drilling results from its ongoing programme at the Ming mine in Newfoundland, Canada.'
Bridal adds the latest assays for the 1806 Zone continue to display strong gold signature of the mineralisation and have helped to quantify the dimensions of the zone.
Futhermore, Bridal says: 'Development work on the 1807 zone is also reported to be progressing and with strong assays continuing to flow from the project we look forward to the new resource estimate expected in first-quarter 2009.'
Reuters Messaging rm://david.brett.reuters.com@reuters.net
09:48GMT 10Nov2008-Meldex reverses losses on fundamentals
---------------------------------------------------------
Shares in drug delivery specialist Meldex rise 13 percent, reversing most of the losses suffered after the company announced a bridge loan on Friday, underlining its fundamentals.
'They're moving in the right direction towards funding of the working capital,' says Keith Redpath, analyst at house broker JM Finn. 'The stuff on Friday was at least positive on that ... people had the opportunity to read it over the weekend,' he says, adding that the company was revenue generating and needed the cash because of the time it takes for customers to pay.
To see Friday's statement please click on
Reuters messaging rm://ben.deighton.reuters.com@reuters.net
09:47GMT 10Nov2008-G4S up on Q3 update, Seymour Pierce 'buy'
------------------------------------------------------------
Shares in G4S, the global security company, climb 2.8 percent after reporting a strong third-quarter performance and saying it is confident for the full-year 2008, prompting Seymour Pierce to reiterate its 'buy' stance and 240 pence target price.
Seymour Pierce says G4S's third-quarter organic growth was well ahead of its forecast, while flat margins were inline with its expectations.
The broker says G4S's shares trade on a 2008 price earnings estimate of 12.3 times, a figure comparable to peers Securitas and Niscayah, but it argues that neither has the same level of operational diversity or global growth potential as G4S.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
09:42GMT 10Nov2008-Kier up on positive trading statement
---------------------------------------------------------
Shares in construction company Kier Group rise more than 6 percent to 751 pence after it reports a strong start to the year for its building division and says overall first quarter trading met management hopes.
Kevin Cammack at Singer Capital Markets says the group's construction business is proving to be robust and the statement is reasonably reassuring.
'I think it was a reminder to the market that they've taken a hit as a result of what's happened in the residential market, but it's not getting worse,' he says.
Reuters Messaging: philip.waller.thomsonreuters.com@reuters.net
09:30GMT 10Nov2008-Emerald Energy up on well update
---------------------------------------------------
Shares in Emerald Energy Plc edge up 5.9 percent to 352.75 pence as the group announces a positive update on its Capella No.2 well in Colombia and an amendment to its farm-out agreement with Canacol Energy Inc. 'The well is flowing at a rate of 345 barrels a day, over 40 percent higher than the Capella No.1 well,' the company said in a statement.
Evolution Securities reiterates its 'buy' and says the results from the Capella No.2 well are 'encouraging'. It points to the field being 'potentially commercial and potentially large', while the revision to the farm-out will give Emerald a bigger slice of the project.
For company statement click on
malcolm.locke@thomsonreuters.com; +44 207 542 0964
09:34GMT 10Nov2008-Plethora rises on funding outlook
----------------------------------------------------
Urological health specialist Plethora Solutions sees shares rise 17 percent, making it one of the biggest risers on the Alternative Investment Market, as last week's research update increases its chances of getting a licensing deal.
'It's got a funding requirement and that can be met by a licensing deal most likely. Obviously positive data you could argue increases the chances of signing a deal,' says Jacob Plieth, an analyst at Edison. 'It's continued positive sentiment on the back of the study that they reported last week.'
For the article on the trial result click on
Reuters Messaging rm://ben.deighton.reuters.com@reuters.net
09:12GMT 10Nov2008-Eckoh higher on move back to profit
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Shares in Eckoh Plc, the hosted speech services company, trade 4.9 percent higher at 5.375 pence as the group moves back into the black at the half-way stage and says it is looking to explore all its strategic options to deliver shareholder value.
Stockbrokers Seymour Pierce says all the group's key metrics are now moving in the right direction. 'Now that the group has moved into profitability and the deal momentum has shown a material pick-up, we expect the shares to be re-rated,' the broker said. It reiterated its 10 pence price target for the stock and 'buy' recommendation.
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malcolm.locke@thomsonreuters.com; +44 207 542 0964
09:11GMT 10Nov2008-Blinkx up as losses narrow, Citi says 'buy'
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Shares in Blinkx, the AIM-listed video search company, surge 12.7 percent after reporting narrowing first-half losses, prompting Citi to repeat its 'buy' recommendation and 80 pence target price.
Citi says revenues and gross margin were strong, while cash burn was also encouraging, adding that cash of $32.4 million with free-cash-flow break-even estimated in 2010 leaves the group with plenty of headroom.
As a result of a more focused strategy, the broker marginally reduces its estimated EBITDA loss for 2009 and EBITDA profit for 2010, but says its content and distribution deals continue apace.
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08:49GMT 10Nov2008-FTSE Small Cap Index up 0.7 pct early
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The FTSE Small Cap Index rises 0.6 percent, following the trend set by the wider UK markets, as the FTSE 100 Index jumps 2.7 percent.
Fortune Oil surges 7.8 percent on the back of strong growth in its third-quarter natural gas sales. The company says slowing China GDP growth is not expected to affect revenues.
Reuters Messaging rm://david.brett.reuters.com@reuters.net
08:40GMT 10/11/2008-Dairy Crest shares plunge on profit warning
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Dairy Crest shares drop 21 percent to a 7-1/2 year low of 260 pence after the chilled foods group says full-year profits will be about 10 percent below the previous year due to the consumer downturn, weaker dairy ingredients markets and delays in selling surplus property.
'Given the current low visibility in the UK consumer environment and some of the Dairy Crest specific-issues (namely the Dairies business), we can no longer justify a Buy rating,' Citi analysts say in a research note, cutting their rating to 'Hold' and their target price to 330 pence from 490 pence.
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Reuters Messaging: rm://mark.potter.reuters.com@reuters.net
08:25GMT 10Nov2008-Majestic Wine lower as interim proftis fall
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Shares in Majestic Wine Plc fall 8.1 percent to 136 pence after the wine retailer reports a 25.5 percent fall in half-time pretax profit to 5.6 million pounds and says the key Christmas trading period will be challenging.
Evolution Securities said trading was worse than expected and that estimates for the full year are likely to come back by about 20 percent. It now looks for pretax profits of 13.5 million pounds for 2008/09, compared to 17.2 million previously.
However, the broker is maintaining its 'buy' recommendation for the shares based on fundamental valuations, although it expects the stock to fall in the short-term.
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malcolm.locke@thomsonreuters.com; +44 207 542 0964
06:50GMT 10Nov2008-Corporate agenda for Monday
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BLINKX H1
CABLE & WIRELESS H1
G4S Trading
FORTUNE OIL Trading
HAMMERSON Trading
HSBC Q3 Trading
I-MATE AGM
INMARSAT Q3
JOHN SWAN & SON Q3
MAJESTIC WINE H1
NATIONWIDE H1
OCZ TECHNOLOGY H1
Reuters Messaging rm://paul.sandle.reuters.com@reuters.net
Keywords: MARKETS STOCKSNEWS UK SMALL =3
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