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London afternoon: Gloomy mood continues

Fri, 22nd Oct 2010 15:25

Blue chips are stuck in the red as Wall Street failed to arouse much enthusiasm and miners continue to wallow in negative territory as dollar strength trims commodity prices.US company earnings have been largely well-received, but talks about currency tensions at this weekend's G20 meeting in Korea are making traders cautious.Lonmin, Eurasian Natural Resources Corp, Vedanta and Anglo American are lower, but much of the attention is focused on IPOs.AIA, the Asian arm of the American insurance giant AIG, is raising $20.5bn from the float, which it priced at HK$19.68, at the top of the indicated range. The price values AIA at $30.5bn - exactly matching the price Prudential eventually baulked at paying earlier this year after months of shilly-shallying.Meanwhile online betting firm Betfair has priced its London float at 1,300p, valuing it at a more modest £1.39bn.Legal & General is red-faced as it revealed its third quarter results more than two weeks early after sending them to analysts last night by mistake. Included were figures revealing total worldwide new business on an annual premium equivalent (APE) basis of £466m in the three months to 30 September, taking the nine-month number to £1.35bn, up 27% on 2009. Elsewhere, BSkyB is higher after it added more customers than expected in the first quarter, boosting revenue by 15% and profit by 25%, but there's no word on News Corp's bid to take over the satellite broadcaster. Net customer growth of 96,000 in the three months to 30 September took the total to 9.96m, while a 12% increase in net product growth of 989,000 was a record. African Barrick Gold's profit fell 8% during the third quarter and revenue dipped 1%. Net income dropped to $40m during the three months to 30 September from $43m a year ago and sales of $209m compare with $211m in 2009. The company, which recently slashed production forecasts at its Buzwagi operation following a huge fuel theft, blamed the quarterly drop in revenue on a drop in ounces sold, though this was partially offset by 29% increase in the average realised gold price to $1,233 an ounce.Home credit group Provident Financial played down the possible impact of the government's welfare and spending cuts even though its core customer base are low to middle income earners. Events and publishing group UBM's trading environment is improving steadily with revenue for the nine months up 3.9% to £643m (Sept 2009: £619m) and underlying revenue up 2.1%.Internet gambling firm PartyGaming, which is merging with rival bwin Interactive Entertainment, raised revenue by 9% in the third quarter and has named Simon Duffy as chairman of the enlarged group.
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30 Jul 2010 10:47

UK MARKET TALK ROUNDUP: BROKERS COMMENTS

Broker comments in the UK today. Compiled by Dow Jones Newswires Markets Desk, markets.eu@dowjones.com Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com 0947 GMT [Dow Jones] Collins Stewart raises PartyGaming (PRTY.LN) price target to 350p from 265p, following its proposed merg

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30 Jul 2010 07:59

UK MARKET TALK ROUNDUP: BROKERS COMMENTS

Broker comments in the UK today. Compiled by Dow Jones Newswires Markets Desk, markets.eu@dowjones.com Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com 0659 GMT [Dow Jones] Shore Capital upgrades PartyGaming (PRTY.LN) to hold from sell following the announcement of its plan to

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30 Jul 2010 07:59

MARKET TALK: Shore Capital Upgrades PartyGaming To Hold

0659 GMT [Dow Jones] Shore Capital upgrades PartyGaming (PRTY.LN) to hold from sell following the announcement of its plan to merge with Bwin (BWIN.VI). This deal is highly attractive and could provide significant future earnings accretion, says Shore. However, there remains some transaction risk an

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29 Jul 2010 16:33

London close: US gloom offsets company cheer

Footsie closed slightly in the red, despite starting well on the back of well-received company updates, as weakness in the US spread across the Atlantic. AstraZeneca closed sharply higher. The group's potential blockbuster heart drug Brilinta has received the backing of a US advisory panel just as

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29 Jul 2010 14:28

London afternoon: Footsie off the top

The Footsie drifted lower over the lunch time session though still remained in positive territory, thanks in large part to enthusiastic responses to results from heavy hitters AstraZeneca, BT and Reed Elsevier. AstraZeneca is sharply higher. The group's potential blockbuster heart drug Brilinta has

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29 Jul 2010 14:18

FTSE 250 movers: Gambling stocks in demand

PartyGaming is the star performer after announcing a merger with Austrian rival bwin. The online gambling group said the merger would create the world's largest listed online gaming business. Elsewhere in gambling, casino and bingo hall operator Rank is in demand after a rise in profits. Connaugh

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29 Jul 2010 13:31

MARKET TALK: 'Sensational' Synergies In Bwin/Partygaming

1231 GMT [Dow Jones] The planned merger of online gaming, gambling and betting companies Bwin (BWIN.VI) and Partygaming (PRTY.LN) sounds extremely positive and offers "sensational" synergy effects (EUR55M annually), according to estimates from the companies, says UniCredit MIB analyst Katharina Kast

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29 Jul 2010 13:21

2nd UPDATE: PartyGaming, Bwin Shares Soar On Merger Plan

(Adds detail.) By Simon Zekaria Of DOW JONES NEWSWIRES LONDON (Dow Jones)--Shares in PartyGaming PLC (PRTY.LN) and Austrian peer Bwin Interactive Entertainment AG (BWIN.VI) were sharply higher Thursday after the U.K.-listed gambling group and one of Europe's largest sports book operators s

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29 Jul 2010 13:13

UK MARKET TALK ROUNDUP: SHARES GAINING

Stocks on the rise in the UK today. Compiled by Dow Jones Newswires Markets Desk, markets.eu@dowjones.com Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com 1213 GMT [Dow Jones] UK gambling stocks advance Thursday, helped by a vote to legalize online gaming in the US Wednesday.

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29 Jul 2010 13:13

MARKET TALK: UK Gambling Stocks Gather Pace On US Legislation

1213 GMT [Dow Jones] UK gambling stocks advance Thursday, helped by a vote to legalize online gaming in the US Wednesday. At this stage, this is the most positive step towards the reopening of the US online gaming market since 2006, notes Collins Stewart. "PartyGaming (PRTY.LN) was set to make $750M

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29 Jul 2010 12:52

UPDATE: PartyGaming Shares Soar 25% On Bwin Merger Deal

(Adds CEO comment, analyst comment, detail.) By Simon Zekaria Of DOW JONES NEWSWIRES LONDON (Dow Jones)--Shares in PartyGaming PLC (PRTY.LN) soared 25% Thursday after the U.K.-listed gambling group said it plans to merge with Austrian peer Bwin Interactive Entertainment AG (BWIN.VI), one

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29 Jul 2010 12:01

Partygaming and bwin to merge

Shares in PartyGaming jumped after the online gambling group announced that it is to merge with its Austrian rival bwin. The merger will create the world's largest listed online gaming group and would have, PartyGaming. The two companies combined would have turned over about €682m in 2009, it said.

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29 Jul 2010 12:00

UK MARKET TALK ROUNDUP: SHARES GAINING

Stocks on the rise in the UK today. Compiled by Dow Jones Newswires Markets Desk, markets.eu@dowjones.com Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com 1100 GMT [Dow Jones] Partygaming (PRTY.LN) +22% at 1500p, following the company's proposed merger with Bwin Interactive En

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29 Jul 2010 12:00

MARKET TALK: Partygaming Shares Soar On Bwin Merger

1100 GMT [Dow Jones] Partygaming (PRTY.LN) +22% at 1500p, following the company's proposed merger with Bwin Interactive Entertainment (BWIN.VI). "This makes strategic sense," says an analyst. "I see it as a good fit, with annualized synergies of approximately EUR55M." Says combined, the company's ma

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29 Jul 2010 11:59

UK MARKET TALK ROUNDUP: SHARES GAINING

Stocks on the rise in the UK today. Compiled by Dow Jones Newswires Markets Desk, markets.eu@dowjones.com Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com 1059 GMT [Dow Jones] The proposed merger between PartyGaming (PRTY.LN) and Bwin (BWIN.VI) makes sense, a Daniel Stewart an

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