Personal Assets Trust Share News (PNL)

LONDON (Alliance News) - Shares have opened sharply lower in London Thursday, amid continued concerns about the Greece situation, despite some positive news late Wednesday, and as a number of stocks go ex-dividend.

DIY retailer Kingfisher leads blue-chip gainers, up 2.2%, after the stock was upgraded to Neutral from Underperform by Merrill Lynch. EasyJet shares are up 1.6% after reporting a strong rise in passenger numbers in May.

Johnson Matthey shares are down 3.6%, despite reporting a profit and declaring a dividend that were both above market expectations.

Intriguingly, all the companies involved in the Horse Hill project in Surrey, England, have asked to have their shares suspended, citing their interests in the license as the reason.

Here is what you need to know at the London market open:
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MARKETS
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FTSE 100: down 0.8% at 6,894.23
FTSE 250: down 0.5% at 18,166.06
AIM ALL-SHARE: down 0.1% at 777.61
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Hang Seng: up 0.1% at 27,683.63
Nikkei 225: closed up 0.1% at 20,488.19
DJIA: closed up 0.4% at 18,076.27
S&P 500: closed up 0.2% at 2,114.07
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GBP: flat at USD1.5325
EUR: down at USD1.1237

GOLD: down at USD1,181.90 per ounce
OIL (Brent): flat at USD63.69 a barrel

(changes since end of previous GMT day)
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ECONOMICS AND GENERAL
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Thursday's Key Economic Events still to come
(all times in BST)

12:00 UK BoE Interest Rate and Asset Purchase Facility decisions
12:30 US Challenger Job Cuts
13:30 US Nonfarm Productivity and Unit Labor Costs
13:30 US Initial and Continuing Jobless Claims
15:00 Canada Ivey Purchasing Managers Index
15:30 US EIA Natural Gas Storage
17:00 US Fed's Tarullo speech
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Critical bailout talks between Greek Prime Minister Alexis Tsipras and European officials were to continue Thursday, after a late-night meeting in Brussels left officials upbeat but reached no firm conclusion. "The discussions are going to continue in the coming days," Tsipras said after the meeting with European Commission President Jean-Claude Juncker. "The more we talk sincerely, the closer we will get to a mutually acceptable solution," he said after what many consider to be a final push for a deal allowing Athens to access urgently needed bailout aid in return for reforms. Jeroen Dijsselbloem, head of the Eurogroup of eurozone finance ministers, said the talks were "very good," a sentiment echoed by the European Commission, which described it as a "good, constructive" meeting.
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UK MAY HOUSE PRICES -0.1% ON MONTH: HALIFAX; UK MAY HOUSE PRICES +8.6% 3-MO ON YEAR: HALIFAX
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French unemployment rate decreased unexpectedly in the first quarter, though slightly, data from the statistical office Insee showed. The jobless rate, measured according to International Labour Organisation, or ILO, standards, edged down to 10.3% in the three months ended March from 10.4% in the fourth quarter. Economists had expected the rate to remain stable at 10.4%.
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Ireland's service sector expanded at the fastest pace in three months in May, driven by greater levels of new business on improving economic conditions, survey figures from Markit Economics showed. The Investec services purchasing managers' index rose to 61.4 in May from 60.6 in the previous month. A reading a above 50 indicates expansion in the sector.
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At least 17 people were reportedly killed Wednesday in eastern Ukraine in the bloodiest fighting since the February ceasefire. The Ukrainian government and pro-Russian separatists traded blame for the escalation, which was predominantly within the partially rebel-held Donetsk region.
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Brazil's central bank lifted its key interest rate by 50 basis points despite seeing signs of recession in the economy. The Selic rate was raised by 50 basis points to 13.75% from 13.25%. Policymakers unanimously voted for a rate hike. The bank said policymakers took decision after evaluating the macroeconomic scenario and the outlook for inflation. The central bank intends to bring inflation to 2.5% to 6.5% range. The inflation measured by the 12-month accumulated broad national consumer price index reached 7.7% in February. In the first quarter, the economy contracted 0.2%, which was the first fall in three quarters. The central bank earlier projected the economy to shrink 0.5% this year.
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The US economy continued to plod along after another rough winter, according to the latest Federal Reserve Beige Book released. Seven districts reported "moderate" or "modest" growth in May, while others described growth as "slight," "mixed," or "steady." A number of economists were expecting the US to snap back in the second quarter after a brutal start to the year, but it appears for now that the recovery has stalled. Stronger growth is seen later in the year, but the strong dollar has been hurting manufacturers of late.
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Ailing former FIFA official Chuck Blazer admits that he and others accepted bribes before the votes that gave the 1998 World Cup to France and the 2010 World Cup to South Africa, according to newly unsealed US court documents. A former FIFA executive committee member, Blazer confessed to taking bribes in connection with the votes on the two World Cup hosts, according to a transcript released Wednesday of his November 2013 plea hearing in a closed Brooklyn federal courtroom.
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BROKER RATING CHANGES
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JPMORGAN RAISES ROYAL MAIL TO 'OVERWEIGHT' ('NEUTRAL') - TARGET 515 (535) PENCE
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MERRILL LYNCH RAISES KINGFISHER TO 'NEUTRAL' ('UNDERPERFORM')
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COMPANIES - FTSE 100
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Johnson Matthey reported a large rise in pretax profit and its dividend that both comfortably beat market expectations. The FTSE 100-listed speciality chemicals and metals company reported a pretax profit of GBP495.8 million in the year ended March 31, rising from a GBP406.6 million profit a year earlier. That easily beat analysts' forecasts of GBP437.3 million. Johnson Matthey also raised its dividend by more than expected to 68.0 pence per share for the year, representing a 9% rise and ahead of analysts' expectations of 67.5 pence.
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Low cost airlines easyJet and Wizz Air Holdings reported a strong rise in passenger numbers in May, and their planes were more full as the growth in numbers outpaced increased capacity. EasyJet said it flew nearly 6.5 million passengers in May, up 7.2% from nearly 6.1 million a year earlier, while its load factor, a measure of how full its planes are, rose to 91.6% from 89.4%. Wizz Air, which operates in Central and Eastern Europe and is set to join the FTSE 250 index, said it flew 1.6 million passengers in may, up 20% from 1.3 million a year earlier. That outpaced an 18% increase in capacity meaning its load factor rose to 89.0% from 87.5% a year earlier.
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Smith & Nephew said it has voluntarily removed smaller-size components for its Birmingham Hip Resurfacing system from the market, as recent performance data has shown patients may be "at a greater risk of revision surgery that previously believed". Revision surgery refers to when a hip replacement needs to be replaced. The products account for around 1% of Smith & Nephew's hit implant revenue in 2014 and 0.1% of group revenues, it said, and will have no impact in its guidance for the full year.
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Sports Direct International said it has made Financial Controller Matt Pearson its acting chief financial officer and he will take his place on the board with immediate effect. Pearson joined the sports goods retailer as group financial accountant from EY in June 2007, and subsequently became financial controller.
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FTSE confirmed late Wednesday that Inmarsat will replace Aggreko in the FTSE 100 from the market open on Monday, June 22, following completion of its quarterly review.
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COMPANIES - FTSE 250
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Pets at Home Group posted a substantial rise in pretax profit for its 2015 financial year, boosted by the lack of exceptional costs it booked last year and by robust revenue growth in its merchandise and services businesses. The FTSE 250-listed pet retailer said its pretax profit for the 52 weeks to March 27 was GBP87 million, nearly quadruple the GBP22.5 million it posted a year earlier. The company said it will pay a total dividend for the year of 5.4 pence per share, its maiden payout. The group added it is confident in its prospects for the coming year, with trading in the first quarter of its 2016 financial year in line with its expectations.
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Petrofac said it has amended and extended its USD1.2 billion five-year revolving credit facility, which will now run until June 2020 at lower margins and commitment fees than its original facility.
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Acacia Mining said it has promoted Michelle Ash to chief operating officer, focusing on "realising the geological potential" of the company's assets, freeing up Chief Executive Brad Gordon who was holding the role.
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Ladbrokes may be forced to provide a rival bookmaker in Ireland more information to allow the company to launch a bid for its Irish arm, The Daily Telegraph reports. Boylesports, the largest independent bookmaker in Ireland, has said it is interested in acquiring Ladbrokes' Irish business, but claims the assets were placed under court protection to prevent them being sold. The 'examinership' process gave Ladbrokes' business in Ireland protection from creditors while the FTSE 250-listed company formulated a rescue plan to turnaround the unit.
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FTSE confirmed the following changes will take effect to the constituents of the FTSE 250 index from the market open on Monday, June 22, following completion of its quarterly review.
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Adds:
Auto Trader Group
B&M European Value Retail
Aldermore Group
John Laing Group
Wizz Air Holdings
Shawbrook Group
Woodford Patient Capital Trust
Onesavings Bank
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Deletes:
SOCO International
Imagination Technologies Group
Law Debenture Corp
Personal Assets Trust
Infinis Energy
BlackRock World Mining Trust
De La Rue
RPS Group
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COMPANIES - LONDON MAIN MARKET AND AIM
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The companies involved in the Horse Hill project in Surrey, England, all have released statements prior to the market open Thursday saying their shares have been suspended upon request, citing their interests in the license as the reason. The owners of the exploration PEDL137 license near Gatwick Airport, which was subject to controversy earlier this year over the amount of oil that has been discovered there, are Horse Hill Developments with a 65% stake and Magellan Petroleum with 35%. UK Oil and Gas Investments holds a 30% stake in Horse Hill Developments, whilst Doriemus, Stellar Resources, Solo Oil and Alba Mineral Resources each hold 10% stakes in it, with Evocutis holding a 2% stake and the balance is owned by Angus Energy, in which UK Oil & Gas has a 6% stake. None of the companies released any further information regarding the suspension early Thursday.
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High-pressure engineering manufacturer Pressure Technologies issued a profit warning as the fall in world oil prices eat into its Precision Machined Components and Engineered Products divisions. The weak market conditions for the two divisions are expected to continue into the next financial year and will then also start to hit its Cylinder Division, the company said. The group added the planned restructuring of its Alternative Energy arm has been completed, but the arm has seen delays in securing new orders, which will also hit its performance in 2015. The combination of all these factors mean the company now expects its results for the current and the next financial year will be materially lower than market forecasts.
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Midatech Pharma said it will acquire NASDAQ listed oncology supportive care pharmaceutical company DARA BiosSciences Inc for up to USD29.7 million. It will pay an initial consideration of USD24.0 million through the issue of 5.4 million new shares, based on a Midatech share price of 291 pence, representing around USD1.20 per DARA share. Following completion DARA shareholders would own around 16% of the enlarged company.
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Scisys said it will see a "substantial short-fall in profits" for 2015 compared to guidance it gave in March, as a result of issues with a development project in its enterprise solutions and defence division, and a continued hit from the strength of sterling against the euro. In March the software systems company gave cautious guidance, and said it expected its performance in 2015 to be flat on 2014 as a result of the strength of sterling and a challenging first half.
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COMPANIES - INTERNATIONAL
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Diversified conglomerate General Electric has hired banks to start the sale of USD20 billion of assets in its healthcare, railcar and franchise finance divisions, Bloomberg reported, citing people with knowledge of the matter. According to the Bloomberg report, GE is working with JPMorgan Chase & Co to sell GE Capital Healthcare Financial Services, with about USD10 billion in assets. The unit lends to health-care companies that specialize in senior housing, hospitals and pharmaceuticals, among other businesses. Meanwhile, GE has also reportedly hired Deutsche Bank to find a buyer for the railcar unit, which leases freight and tank cars as well as offers loans and maintenance services. Further, the company has hired Barclays to sell the franchise lender, which lends to middle-market operators in the restaurant and hospitality industries.
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Dish Network is in formative stage merger talks with T-Mobile US that would combine the country's second-largest satellite TV operator with the fourth-largest wireless carrier in the US, according to Wall Street Journal report. Dish currently has a market capitalization of USD32.8 billion, while T-Mobile is a little lower at USD31.1 billion. Germany's Deutsche Telekom, which owns 67% of T-Mobile US, has for several years been looking to either sell the unit or merge it with another.
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French nuclear giant Areva and state-controlled electricity supplier EDF will form a joint venture called Areva NP that merges their nuclear reactor businesses, Elysee Palace announced. EDF will be the majority shareholder, and the government will recapitalize Areva "to the extent necessary" as part of the deal. Exact figures were not disclosed.
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Thursday's Scheduled AGMs/EGMs

G4S
Fidelity Japanese Values
Camellia
Air Partner
Augean
Michael Page International
Wm Morrison Supermarkets
Chariot Oil & Gas
Litebulb Group
Gaming Realms
Invesco Perpetual UK Smaller Companies Investment Trust
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By Tom Waite; thomaslwaite@alliancenews.com; @thomaslwaite

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