Member Info for mulledwine

http://www.investegate.co.uk/micro-focus-int-plc-(mcro)/rns/acquisition/201212240700122224U/

Valuation: Solid outperformance Afferro has outperformed its peers by a wide margin, delivering 56% YTD. We expect the stock to continue to perform well into 2013 supported by positive newsflow, with the SAP/BIF met test results imminent and the global/DSO resource update in the offing. With c US$90m in cash, Afferro trades at an EV/Resource of US$0.07/t compared to the sector-weighted average of US$0.58/t. While the deterioration in commodity pricing and demand weigh on the sector’s valuation, Afferro’s solid cash cushion should help it weather the downturn and further advance its projects

http://www.edisoninvestmentresearch.co.uk/researchreports/Afferro191212update.pdf

On Monday, APR Energy said it had signed a new 200 megawatt contract in Uruguay, running until mid 2014. That is a significant contract, as typical coal power station produces around 600 to 700 megawatts. It brought APR’s total new contract wins this year to 569 megawatts and contract renewals to 724 megawatts. In the opinion of the Telegraph´s Questor team the above shows that the investment case for temporary power providers is intact and sound. The world is short of power and demand is growing rapidly in emerging economies, even if it is true that contracts in this business will be lumpy – as its rival Aggreko has also found out. Although volatility in earnings will remain, the long-term prospects are sound. Even so, Questor was disappointed with the accounting issues earlier in the year. For that reason it maintains its hold rating but sees the scale of the opportunity if management gets it right.

BUNZL PRE CLOSE STATEMENT Bunzl plc, the international distribution and outsourcing Group, is updating the market today relating to the twelve months ending 31 December 2012 prior to entering its close period. Overall trading has been consistent with expectations at the time of the Interim Management Statement in October. At constant exchange rates Group revenue growth for the year is expected to be approximately 6%, due to underlying revenue growth and the positive impact from acquisitions net of the disposal of the UK vending business in August 2011, with Group operating margin in line with the prior year. Underlying revenue growth for the year is expected to be about 2.5% against the background of a challenging comparative in the second half due to a particularly strong performance in North America last year. Acquisition growth is a key element of the Group's growth strategy. Including the two acquisitions announced today of McCordick Glove and Atlas Health Care, the Company has announced nine acquisitions year to date with annualised revenue from 2012 acquisitions of approximately £210 million. The current environment for acquisitions remains positive. The Group has recently refinanced some of its debt facilities by raising US$350 million of fixed interest rate borrowings in the US private placement market with maturities ranging from seven to 11 years at an average interest rate of 3.4%. US$110 million was drawn earlier this month with the balance due to be drawn in April 2013. Bunzl's strong cash flow and balance sheet should continue to enable the Company to take advantage of opportunities to consolidate further the markets in which it competes and increase shareholder value.

http://www.investegate.co.uk/bunzl-plc-(bnzl)/rns/trading-statement/201212190700108772T/

Commenting on the acquisitions, Michael Roney, Chief Executive of Bunzl, said:- "McCordick Glove enables us to enter the personal protection equipment sector in Canada which is a product area where we have already been very successful in a number of countries. It has a varied and successful range of own brand products which will enhance the Company's existing safety product offering. Atlas Health Care is an excellent addition to our existing healthcare supplies operations in Australia and gives us an enhanced market position in this growing sector. It will also allow us to expand their extensive product offering to our current healthcare customers. We are delighted to welcome all employees of both businesses to Bunzl."

BUNZL MAKES TWO FURTHER ACQUISITIONS Bunzl plc, the international distribution and outsourcing Group, today announces that it has made two further acquisitions in Canada and Australia. The Company has acquired the business of McCordick Glove & Safety Inc in Canada. Based near Toronto, McCordick is a distributor of gloves and other personal protection equipment to a variety of industrial and retail customers as well as to redistributors. Revenue in the year ended 31 December 2011 was C$53.0 million. Bunzl has also acquired Atlas Health Care Pty Limited in Australia. Based in Adelaide, the business is principally engaged in the supply of medical consumables to the healthcare sector. Customers include nursing homes, hospitals and medical centres throughout South Australia and Victoria. Revenue in the year ended 30 June 2012 was A$21.9 million.

http://www.investegate.co.uk/bunzl-plc-(bnzl)/rns/acquisitions/201212190700088771T/

Panmure Gordon has upgraded its rating for security solutions group G4S from 'hold' to 'buy', saying that the stock could rebound following recent underperformance. "We think there is scope for the shares to recover back to its pre-Olympic peak, and do not subscribe to the view that the UK Government outsourcing market is firmly shut for the company," the broker said. "As the outsourcing sector has continued to re-rate, G4S has stood still presenting an attractive entry point heading into 2013E in our view."

Hunting’s trading statement yesterday, like that from John Wood Group last week — another business dependent on the global oil industry — was less of a profit warning than an attempt to rein in some over-exuberant analysts’ forecasts, the Times´s Tempus column wrote on Tuesday. Two of its biggest customers, Halliburton and Schlumberger, have recently published their own trading updates indicating a probable fall in capital spending. The latter on Friday said that fourth-quarter earnings would be hit by lower-than-expected drilling activity in North America and contract delays in Europe and Africa. Some experts think that the number of oilrigs in operation in the US next year could drop by several hundred. Much of that, Tempus believes, is down to the US election and the looming “fiscal cliff”, to which one must add the inherently little forward visibility of business. “The shares now sell on about 12 times next year’s earnings and look like good value, on any optimistic reading of prospects for the oil industry,” Tempus says.

There was a sense of déjà vu in yesterday’s profit warning and share price fall for temporary power group Aggreko. In late 2009, the company issued a similar alert that turned out to be an ideal buying opportunity for new investors in the shares and The Telegraph´s Questor team thinks yesterday’s events present a similar situation. Past performance is no guide to the future but yesterday’s 22 per cent share price fall, which wiped about 2bn pounds off the group’s stock market value, looks extreme. Rupert Soames, Aggreko’s Chief Executive, told Questor yesterday that, although the long-term structural drivers of the business are there, investors in key emerging markets have become nervous about committing to large projects because of the economic uncertainty. This, however, is likely to be a short-term issue. Questor thinks the shares will trade sideways for some time and it will be towards the middle of next year before we get any insight into whether 2014 will see an improvement. However, Questor keeps a buy on medium-term prospects.

Down 16% - the market is defo zeroed in on the statement re outlook !

Engineering and construction group Kentz Corporation is firing on all cylinders and last month said it would grow by at least 10% in 2013. Yet the company’s shares have fallen 20%, tarnished by association with less fortunate peers, such as Lamprell and Cape, which have issued a succession of profit warnings. This is unfair, says the Financial Mail on Sunday´s Midas column. Kentz has a different business model, it is performing well and new Chief Executive Christian Brown has ambitious plans. Unlike many of its peers, it focuses on the nitty-gritty of construction – building oil refineries, gas liquefying facilities and metal processing plants around the world. That is exactly one of the skill sets which large oil and gas firms most value. Kentz has nearly £60m of cash on its balance sheet and Brown intends to use it to buy a business that will improve the group’s technical engineering expertise. The firm already has an engineering arm but it is more frequently used to build and maintain projects than design them from scratch. Brown would like to offer a complete package to more of its customers – a move that would also boost profit margins. Some of the larger oil, gas and mining projects are being cut back in light of economic conditions, but Kentz tends to work at the slightly smaller end of the market where business continues to be brisk. “The shares, at 393 3⁄4p, are cheap. Buy,” says Midas

Tis the season to panic. The nine days left before Christmas will make the year for some retailers. For others, it will be the final nail in their coffins. There are few “safe” bets in the sector, but Asos seems better than most. Last week the online fashion website revealed that domestic sales had risen 24%, smacking down sceptics who doubted it could maintain its soaring growth in these austere times. For others, it is a nervous time. IHS Global Insight, the research firm, said: “A serious battle of wills may well develop over the coming days between many consumers holding off from doing their Christmas shopping until the last moment in the hope that increasingly worried retailers will offer more discounts and promotions, and retailers holding firm on prices in the belief that consumers will increasingly buckle and buy as Christmas gets nearer.” Asos has the wind at its back. It is growing like topsy, and is very fully valued — roughly 49 times next year’s projected earnings. The biggest risk for investors is that even the slightest mis-step could knock it off its perch, The Sunday Times´s Danny Fortson writes.

Shares of Wood Group have moved off a six-year high seen earlier this year as it looks like there could be some softening of growth next year. While the yield per share on the company´s stock is just 1.8 per cent (such that income seekers should look elsewhere), analysts still expect earnings per share (EPS) to grow by 19 per cent in 2013 compared with expectations of 37 per cent EPS growth in 2012. As well, in last week’s trading update Wood warned that its Canadian oil sands business was likely to see a slowdown, with profits at its power business also expected to be lower next year. It is true that growth in exploration and production spend by oil companies will be about 7% next year. That marks a slow-down on 2012, but there should be plenty of opportunities for the company. As well, the company´s expertise lies in what are still growth areas, such as operating in extreme environments, such as Arctic engineering. Thus, the medium-term structural drivers of the business are intact. The shares are trading on a 2013 earnings multiple of 11.8, which does not look overstretched. Wood’s portfolio also looks well-positioned and it should continue to outperform the sector and have resilience when markets are weak. The Sunday Telegraph´s Questor team rates the shares a buy for its long-term growth prospects.

Dr Terry O'Brien, CEO of LiDCO, commented "With the above changes to our sales arrangements in the US we are now better placed to drive disposable sales and can now more readily discuss additional commercial opportunities with potential partners in the US market. "

Trading update LiDCO Group Plc (AIM: LID), the cardiovascular monitoring company, is pleased to announce that, as outlined in the interim results and recent equity funding, it has now acquired the existing LiDCOrapid customer base from Covidien, its previous US distribution partner. Consequently LiDCO's own direct sales organization, headquartered near Chicago, has now taken full responsibility for the sale and distribution of all LiDCOrapid products in the US. The Board believes that, after an initial integration and switch-over period, the associated revenues from this customer base will enhance the profitability of the Company. The Company is continuing discussions with a number of potential partners in the US market and will update shareholders in due course. The Company recently demonstrated the LiDCOrapid v2 at the American Society of Anesthesia (ASA) annual meeting in Washington, US and the European Society of Intensive Care (ESICM) meeting in Lisbon, Portugal. The responses from practitioners at both conferences were very encouraging and the Company expects this new product to drive increased disposable use in 2013 and beyond. This is the first monitor to be designed specifically for multi-parameter monitoring, of depth of anesthesia and fluid management, and set to benefit from two recent NICE recommendations for use in high risk surgery patients.

http://www.investegate.co.uk/lidco-group-plc-(lid)/rns/trading-statement/201212170700056030T/

Good news