LONDON MARKET PRE-OPEN: Glaxo Chair To Exit; William Hill Profit Down

LONDON (Alliance News) - Stock prices in London are set for a marginally higher open on Monday, with investors optimistic about US-China trade relations and hopeful for economic stimulus in China following weak 2018 growth figures.IG futures indicate the FTSE 100 index is to open 11.0 points higher at 6,979.33. The blue-chip index closed up 133.41 points, or 2.0%, at 6,968.33 on Friday. "Asian markets traded higher on Chinese stimulus hopes following slowing GDP growth. Investors also demonstrated confidence that trade tensions would ease as they looked towards talks later this month with optimism," said London Capital Group analyst Jasper Lawler.China's economy grew 6.6% in 2018, the country's statistics bureau said Monday, in the slowest rate since 1990.In the final quarter of 2018, the economy grew 6.4% amid signs the world's second-largest economy is slowing as China grapples with issues including the ongoing trade war with the US.Growth for 2019 is widely expected to fall to 6.5% or lower, according to the World Bank and economic experts.Premier Li Keqiang said Thursday that China would aim to keep growth within a "reasonable range" through innovation and macroeconomic policies, according to state news agency Xinhua.The economy has taken a hit from the US trade war, which if left unresolved past its March deadline for negotiations could further inhibit growth.The Japanese Nikkei 225 index ended up 0.3% Monday. In China, the Shanghai Composite ended up 0.6%, while the Hang Seng index in Hong Kong is up 0.4% in late trade.US markets will be closed Monday for the Martin Luther King Jr Day holiday. On Friday, Wall Street ended higher, with the Dow Jones Industrial Average closing 1.4% higher, the S&P 500 up 1.3%, and the Nasdaq Composite 1.0% higher.In early UK corporate news, the blue-chip pharmaceutical company GlaxoSmithKline said Non-Executive Chairman Philip Hampton will step down and the search for his successor has begun."Following the announcement of our deal with Pfizer Inc and the intended separation of the new consumer business, I believe this is the right moment to step down and allow a new chair to oversee this process through to its conclusion over the next few years and to lead the board into this next phase," Hampton said.In December, Glaxo announced that it will combine its consumer healthcare business with that of the US's Pfizer, creating a new joint venture. The combination will have sales of GBP9.8 billion, and GSK will have a majority controlling equity interest of 68%.Turning to London mid-caps, William Hill said it expects its adjusted operating profit for the year to January 1 to be GBP234 million, down 15% on the year prior. The result is in line with the betting company's operating profit guidance of GBP225 million to GBP245 million. More positively for William Hill, underlying operating profit increased 4% year-on-year, with the Online division delivering good growth. The company has also highlighted an "excellent" growth in the US and said it plans to invest in rapid expansion in the country.Separately, William Hill said it now holds 92% stake in online gambling company Mr Green & Co, and expects to secure the acceptances of its takeover offer for the remaining 8% interest by the end of January.Meanwhile, takeaway food delivery marketplace Just Eat said Chief Executive Officer Peter Plumb is stepping down from the board with immediate effect, and will be replaced by Chief Customer Officer Peter Duffy until the appointment of successor. The company also said that 2018 has been a transformational year, and it expects to report annual orders of 221 million, with revenue of GBP780 million, up from GBP546 million generated in 2017. Underlying earnings before interest, taxes, depreciation, and amortization is anticipated to total between GBP172 million and GBP174 million. In 2017, Just Eat reported underlying Ebitda of GBP164 million. Looking ahead, Just Eat expects to invest in the significant opportunity it sees in the high-growth markets of Brazil and Mexico. It also sees 2019 revenue in a range of GBP1.0 billion to GBP1.1 billion and underlying Ebitda of GBP185 million to GBP205 million. Components firm Meggitt said it signed a USD750 million contract with Pratt & Whitney to continue the supply of advanced composite components for the F119 and F135 engines which power the F-22 Raptor and F-35 Lightning II aircraft."These components will be produced in our new state-of-the-art facility in San Diego, California which opened in August 2018 to support the rapid growth in demand for advanced engine composite components across the aerospace industry," said Meggitt Chief Executive Tony Wood.Elsewhere, Patisserie Holdings confirmed it is still in talks with its bankers to extend the standstill of its bank facilities beyond January 18. On Sunday, The Times reported that the cake chains main trading subsidiary Patisserie Valerie has a potential to collapse as soon as Tuesday if emergency talks between major shareholder Luke Johnson and its lenders fail.The newspaper said Patisserie Valerie's Chair Johnson intends to extend a standstill agreement on the cake chain's bank facilities, which expired on Friday last week. If he fails, HSBC Holdings and Barclays could demand repayment of GBP9.7 million of overdraft debt.Turning to Brexit, May is to set out her next steps to build a Commons majority for a Brexit deal amid signs she is still unwilling to give ground on her central demands.Following the crushing defeat last week of her agreement with Brussels, the prime minister will make oral and written statements to the House explaining how she intends to proceed.She will also table a "neutral" motion to be debated and voted on - along with any amendments tabled by MPs - on January 29.Government sources said she would be holding further talks with MPs, as well as business leaders and trade unionists, throughout the week in an attempt to find a way forward.But after she briefed the Cabinet in a conference call on Sunday about her first round of cross-party contacts last week, there was little expectation she was ready to offer concessions that could win over opposition MPs.The pound was lower, quoted at USD1.2870 early Monday, soft compared to USD1.2897 at the close Friday.The economic events calendar Monday will see world leaders gather in Davos, Switzerland for the World Economic Forum starting on Tuesday.