London Capital Group Holdings Share News (LCG)

LONDON (Alliance News) - UK shares have opened mostly higher Tuesday, following through on a strong close in NY and dovish comments from the US Federal Reserve chair.

Rathbone Brothers has made waves early Tuesday, announcing two major acquisitions and a share placing.

Here is what you need to know at the UK market open:
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MARKETS
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FTSE 100: up 0.3% at 6,618.76
FTSE 250: up 0.4% at 16,334.02
AIM ALL-SHARE: down 0.1% at 850.14
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Hang Seng: up 1.0% at 22,381.92
Nikkei 225: closed down 0.2% at 14,791.99
DJIA: closed up 0.8% at 16,457.66
S&P 500: closed up 0.8% at 1,872.34
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GBP-USD: up at USD1.6664
EUR-USD: up at USD1.3795

GOLD: up at USD1,285.91 per ounce
OIL (Brent): down at USD107.45 a barrel

(changes since end of previous GMT day)
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ECONOMICS AND GENERAL
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Tuesday's Key Economic Events still to come

08:50 France Markit Manufacturing PMI
08:55 Germany Markit Manufacturing PMI
08:55 Germany Unemployment Rate
09:00 EU Markit Manufacturing PMI
09:00 Italy Unemployment
09:30 UK Markit Manufacturing PMI
10:00 EU Unemployment Rate
13:30 Canada Industrial Product Price
13:55 US Redbook index
13:58 US Markit Manufacturing PMI
15:00 US Construction Spending
n/a EU EcoFin Meeting
15:00 US IBD/TIPP Economic Optimism
15:00 US ISM Manufacturing PMI
16:30 US 4-Week and 52-week Bill Auctions
21:00 US Total Vehicle Sales
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Federal Reserve Chairwoman Janet Yellen said Monday that the US central bank will maintain near-zero interest rates for the time being because there is "considerable slack in the economy and the labour market." Her remarks in Chicago at a conference on community investment followed Yellen's recent comments that the Fed could end its buying spree of government-backed bonds by late this year. A majority of Fed members do not foresee starting to tighten the central bank's benchmark interest rate before the first half of 2015.
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The manufacturing sectors in China continued to be in contraction in March, the final reading from the HSBC purchasing managers' index revealed - coming in with a score of 48.0 and contracting for the third straight month. That was shy of forecasts for 48.1, which the PMI's preliminary reading suggested earlier this month. It was also down from 48.5 in February.
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An index monitoring business sentiment in Japan showed mild upside in the first quarter of 2014, the Bank of Japan revealed on Tuesday in its quarterly Tankan business survey - although the outlook for the second quarter is somewhat less optimistic. The large manufacturers index came in with a six-year high score of 17, missing forecasts for 18 but up from 16 in the fourth quarter of last year. But the outlook score tumbled all the way down to 8 - well shy of forecasts for 13 and down from 14 in the previous three months.
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The Japanese government raised sales tax to 8% for the first hike in 17 years, amid growing concern that it could exacerbate an economic slowdown. The tax was raised from 5%, to help cover the nation's swelling social security costs as the elderly population grows. Analysts said the hike could make it more difficult to combat longstanding deflation in the world's third-largest economy.
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Russia is withdrawing a battalion of several hundred troops near the border with Ukraine, the Defence Ministry said Monday in Moscow, easing fears that it could take over more Ukrainian territory. The US and European countries have repeatedly called for Russia to pull back the some 4,000 troops amassed at the border, as a first step to de-escalate the situation. The Russian announcement came as NATO foreign ministers were due to discuss the Ukraine crisis Tuesday in Brussels.
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French President Francois Hollande replaced his top lieutenant Monday, a day after his Socialist Party received a drubbing in municipal elections as voters vent frustration with his leadership.
"I have heard your message - it is clear," Hollande said after scores of Socialist mayors lost their offices to opposition conservatives, centrists and the far-right National Front. Addressing the nation in a prime-time address, Hollande announced he had made popular Interior Minister Manuel Valls France's new premier, replacing Jean-Marc Ayrault, who tendered his resignation over the election losses. Hollande said 51-year-old Valls would lead a new, tighter, "combative" government, which had yet to be unveiled.
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Another frustrating day passed in the search for missing Malaysian Airlines flight MH370 as orange objects seen in the water turned out to be fishing gear Monday. The objects spotted by a search plane Sunday were described as a promising lead, but when ships pulled them from the southern Indian Ocean, hopes for a breakthrough were once again dashed. "Yesterday's finds were nothing of note, nothing related to the plane," an Australian Maritime Safety Authority spokesman said.
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BROKER RATING CHANGES
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TRADERS: KEPLER CHEUVREUX CUTS PEARSON TO 'REDUCE' ('HOLD')
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SOCGEN CUTS BRITISH LAND TO 'HOLD' ('BUY') - TARGET 690 PENCE
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TRADERS: PANMURE RAISES BABCOCK INTERNATIONAL TO 'BUY' ('HOLD')
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TRADERS: NUMIS RESUMES HILTON FOOD WITH 'BUY'
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TRADERS: MERRILL LYNCH CUTS DIPLOMA PLC TO 'NEUTRAL' ('BUY')
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BARCLAYS CUTS AMLIN TO 'UNDERWEIGHT' ('EQUAL WEIGHT') - TARGET 465 (457) PENCE
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BARCLAYS CUTS CATLIN TO 'EQUAL WEIGHT' ('OVERWEIGHT') - TARGET 600 (631) PENCE
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BARCLAYS RESUMES CINEWORLD WITH 'EQUAL WEIGHT' - TARGET 325 PENCE
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GOLDMAN INITIATES ESSENTRA WITH 'BUY' - TARGET 1045 PENCE
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COMPANIES - FTSE 100
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Babcock International Group PLC said it has been named the preferred bidder on a 21-year fleet management contract by the London Fire and Emergency Planning Authority to manage the London Fire Brigade's vehicle fleet. The engineering support provider's contract win follows the successful completion of an interim fleet management contract with the LFEPA, awarded to Babcock in November 2012. Babcock said the contract is slated to be become operational November 13, 2014.
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The National Audit Office said said the privatisation of Royal Mail PLC did not achieve the best value for the taxpayer. The spending watchdog said the government's "deep caution" and emphasis on completing the sale within this parliament led to a sale price that short-changed the taxpayer. The UK government's sale of a 60% stake in Royal Mail last October for 330 pence per share has been heavily criticised as too cheap, with shares now more than 85% higher, closing at 563.00 pence on Monday.
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The Weir Group PLC is in talks for an GBP8.5 billion merger with a Finnish rival, The Times newspaper reported. The Glasgow-based engineering firm is in talks with Helsinki-listed Metso Oyj, The Times said. Weir has a market capitalisation of GBP5.41 billion, while Metso's market cap is EUR3.56 billion. Metso operates in mining and construction technology, energy and environmental technology, and paper and fibre technology.
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Aberdeen Says Its Assets Under Management Were GBP186.5B At February-end; Net Outflows GBP3.9B In Period To February-End; Combined Assets Under Management GBP324.5B At February-End; Says SWIP Acquisition Complete
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The Chief Executive of the Financial Conduct Authority Monday admitted the regulator faces "serious questions" over its handling of media coverage that resulted in "a clear reaction from the market" on Friday, when the FTSE 350 life insurance index fell by as much as 7.1%. Martin Wheatley, speaking at City Week 2014, said: "This was clearly not the FCA’s finest hour – but it does serve as a timely reminder of the importance to all parties involved in markets of the care and thought that is needed when handling the significant amounts of information we hold as a part of going about our day-to-day business."
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COMPANIES - FTSE 250
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LondonMetric Property PLC said it has exchanged contracts to develop a retail distribution centre in Northamptonshire. The 70 acre site, located on the A14 in Islip, was acquired from Greatline Developments and already has an outline planning consent. Construction of the main works is expected to commence late summer with practical completion targeted for summer 2015, said the firm.
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Rathbone Brothers Buys Tilney Wealth Business For GBP14.3M And Jupiter Fund Management Private Client & Charities Operations For Up To GBP53.9M; Announces GBP24.4M Placing; Expects Acquisitions To Be Earnings Neutral In 2014, Earnings Enhancing In 2015
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ICAP: Global Broking Trading Activity Levels Declined Since Q3 Announcement;February, March Global Broking Revenue Contracted By 14% Against Prior Year
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Wood Group Has Acquired Sunstone Projects In Canada For CAD14.5M; Says Sunstone Will Rebrand As Wood Group Mustang
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COMPANIES - ALL-SHARE AND AIM
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Atlas Mara Co-Nvest Ltd said it has agreed to acquire a majority stake in sub-Saharan African bank ABC Holdings Ltd and ADC African Development Corp AG for up to USD265 million in cash and shares. In a statement, Atlas Mara, co-founded by ex-Barclays Chief Executive Bob Diamond, said it has reached conditional purchase agreements to acquire a majority of BancABC for USD0.82 per share or the Atlas Mara share equivalent. Atlas Mara said it has also agreed to make a voluntary public takeover offer for all outstanding ADC shares. Another agreement, under which Atlas has said it intends to make a mandatory public offer for all remaining outstanding shares of BancABC, subject to completion of the conditional purchase agreements.
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Shares in Optare PLC were trading up 9.1% after it announced it had won an order for 17 Solo electric buses worth GBP3.6 million from Nottingham City Council. This order was partly funded by the fourth round of the UK government's Green Bus fund. Optare said it will begin delivery of the vehicles in July. Optare designs buses and provides after market support and bus refurbishment.
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Westminster Group Wins USD2.6M Contract For Vehicle Screening System In Asia
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Doriemus Has Received Final Approvals From UK Government To Drill Side-Track Well At Brockman; Expects Brockman Drill Rig to Spud In 10-14 Days, Completed As A Producer By End April
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London Capital Group FY Loss Before Tax GBP4.8M Vs GBP1.1M Loss; Adjusted Profit Before Tax GBP2.2M Vs GBP0.8M; Revenue From Continuing Operations Down 5% To GBP25.2M Vs GBP26.6M; UK Spread Betting/CFD Revenue Up 2% To GBP20.8M Vs GBP20.5M; Does Not Declare A Dividend: Results Need To Demonstrate Further Progress Says Board
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Tuesday's Scheduled AGMs/EGMs

Al Noor Hospitals Group
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By Tom Waite; thomaslwaite@alliancenews.com; @thomaslwaite

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