LONDON (Alliance News) - UK stocks are called to open higher Monday ahead of yet another emergency summit of eurozone leaders addressing Greece's debts.
Over the weekend, Greek Prime Minister Alexis Tsipras presented new proposals to European leaders aimed at ending his country's debt crisis. EU cabinet chief Martin Selmayr said the new proposals from Greece have been received by EU Commission President Jean-Claude Juncker and provide a "good basis" for a special summit of eurozone leaders on Monday.
Also to be discussed at the summit is an extension of the European Central Bank's emergency liquidity assistance for Greek banks as they deal with accelerated withdrawals. Greek media reported on Saturday that between EUR1.7 billion to EUR2 billion flowed out of bank accounts in Greece on Friday alone. The ECB raised its ELA for Greek banks on Friday, but the Financial Times reported that it was less than the EUR3 billion increase in assistance requested by the Bank of Greece.
"While the ECB's extraordinary unscheduled extension of the Emergency Liquidity Assistance to Greek banks on Friday - with another call scheduled for later today - sets the scene for a possible agreement, the onus nevertheless remains on the convergence of sufficient political will from all sides, with event risk high," says Michael Sawicki, senior economist at Lloyds Bank.
IG says futures indicate the FTSE 100 to open higher at 6,752.0. The index closed flat at 6,710.45 points Friday.
On Wall Street Friday, the DJIA ended down 0.6%, the S&P 500 closed down 0.5%, and the Nasdaq Composite ended down 0.3%.
In Asia Monday, the Nikkei in Tokyo closed up 1.3% and the Hang Seng trades up 0.6%. The Shanghai market is closed to celebrate Dragon Boat Festival Holiday.
Canadian investment giant Borealis Infrastructure is considering a GBP5 billion approach for Severn Trent, two years after the FTSE 100 water company rejected an earlier takeover attempt, The Sunday Times reported. The newspaper, citing "sources close to the situation", said it is understood that the two sides opened talks last month, and discussions are at an early stage with no certainty a deal.
Private healthcare provider Spire Healthcare Group said the major shareholder in South Africa-based private hospital group Mediclinic has acquired a 29.9% stake in the company for GBP432 million. The shareholder, Remgro, has acquired the stake in Spire at 360 pence per share. Spire shares closed at 320 pence on Friday. Spire said the intention is for Mediclinic to acquire the stake in Spire from Remgro in the "near future". Mediclinic and Remgro have confirmed they have no intention to acquiring the rest of Spire.
Bwin.Party Digital Entertainment said it has agreed to sell its entire interest in World Poker Tour to Ourgame International Holdings for USD35 million in cash. FTSE 250-listed Bwin.Party said it will continue to sponsor a number of World Poker Tour events and television shows in the US and Europe until the end of December 2016, and will have first refusal on any sponsorship opportunities that could become available until the end of December 2016.
US financial services company Fidelity reaffirmed its intentions regarding its takeover bid for FTSE 250-listed telecommunications and IT services company Colt Group, insisting it will not raise the price it offer on Friday.
London-listed private equity fund JZ Capital Partners Ltd said its net asset value rose in the three months to the end of May, its financial first quarter, as it invested USD68.4 million over the period. JZ said its net asset value at the end of May was USD695 million, up from USD655 million a year earlier, a 6.1% rise. Its total net asset value return for the year to the end of May, including dividend payments, was 9.2%, it said.
In a quiet economic calendar, the Chicago Federal Reserve national activity index is at 1330 BST. At 1500 BST there are US existing home sales and preliminary eurozone consumer confidence data.
By Neil Thakrar; neilthakrar@alliancenews.com; @NeilThakrar1
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Spire Healthcare (SPI)
Jz Capital (JZCP)
Severn Trent (SVT)