Member Info for mulledwine

Arbuthnot Securities has initiated coverage of International Ferro Metals (IFL) with a "buy" recommendation, setting a target price of 35p. The broker says that the ferrochrome producer, operating in South Africa, has suffered from operational issues at its furnaces and cost inflation over the last two years. However, Arbuthnot claims that the company has made a turnaround and is now well positioned to take advantage of rising commodity prices and a weaker Rand. The shares dropped 0.75p to 16.5p.

AstraZeneca (AZN) retained its "buy" rating from Panmure Gordon, with a target price of 3,600p. The broker notes that the pharmaceutical company's axing of 400 jobs should save around 150 million dollars (96.7 million pounds). The move is part of a restructuring programme announce in July 2007 and Panmure says that the company is looking to save a total of 2.9 billion dollars (1.9 billion pounds). Separately, the broker expects a strong performance from the diabetes division as its competitor Merck's drug, Januvia, was linked with pancreatic cancer. AstraZeneca shares edged down 1.5p to 2,959p.

XP Power, the London-listed, Singapore-based manufacturer of power control components for the electronics industry, disappointed shareholders with its latest interim management statement yesterday, says the Investment Column in the Independent. Not that there is anything new in this, as shares in XP Power have fallen by about a half in the past seven months against a backdrop of growing concerns about the challenges faced by the global economy. XP Power continued to put a brave face on things yesterday, arguing that the low interest rates that have resulted from tough economic conditions in the West should increase demand for the equipment made by its customers. However, the company conceded that demand for its products would be hit by what it described as "the increasing negativity of global end-market growth forecasts". Although the company's share price has taken a hammering in recent months, the shares are still trading at levels well above their historical average, and the likely slump in the global economy suggests they may have further to fall. We'd keep away, recommends the paper.

Victrex is, to quote from a note from Numis Securities, “easily the world’s leading producer of polyaryletherketone products”, and, indeed, it is a claim that few would be inclined to dispute, says the Tempus column in the Times. The substance we shall henceforth refer to as PEEK is a high performance polymer with resistance to chemicals, wear and extreme temperatures, and it is increasingly used as a lighter replacement for metals. Victrex delivers around the world in days, but when customers stop needing PEEK, demand falls off rapidly. The shares are on almost 13 times this year’s earnings, a high rating in these markets, and given the uncertainty over earnings visibility, do not seem to have anywhere to go in the short term. Hold, says the Times.

Yield is a rare commodity in today's economic climate and even 5 per cent seems impossibly rich, but Hays offers a prospective 9 per cent, according to the Investment Column in the Independent. Of course, unusually high yields are often matched by high risks, and this is very much the case with Hays. Britain's biggest recruiter has been under a cloud as far as its share price is concerned because of the potential impact of the prevailing economic turmoil on its prospects. The fear is that companies will stop hiring and employees will sit tight and stop moving. That is already the case in Britain. On the upside, Hays' overseas operations account for 68 per cent of the business. And, despite pressures closer to home, Hays does have opportunities in the UK, where 80 per cent of vacancies are filled by recruiters. The US and the Netherlands boast similarly high rates. Still, even if the divvy does face a cut next time round, Hays shares look cheap at just 8.5 times September 2012 earnings. Hays is a risky bet, but could just be worth a punt in light of the valuation. Buy, recommends the Independent.

Commenting on the statement, Christophe Evain, CEO, said: "The events of the summer have further highlighted the imbalance between supply and demand for credit which will remain a feature of the European credit markets for the foreseeable future. This imbalance is placing considerable stress on credit markets and therefore presents considerable opportunities for specialist lenders to generate high returns by acquiring debt at attractive discounts in a distressed market, providing recovery finance to existing buyouts and offering reliable financing solutions for new transactions. The first close of our next European mezzanine fund and the extension of debt maturities for our balance sheet, despite the volatile conditions, highlight the trust of our business partners in our ability to generate value in this environment."

Embargoed until 7.00am on Thursday 6 October 2011 TRADING UPDATE Intermediate Capital Group plc (ICG) releases a trading update for the six months to 30 September 2011. The Half Year Results statement will be published on 22 November 2011 at 7.00am Highlights * €1.1bn first closing of ICG Europe Fund V, including €500m co-investment commitment from the Investment Company (IC) * £242m final close on Longbow UK Real Estate Debt Investments II, including £50m commitment from ICG * IC portfolio performing well * Strong balance sheet with headroom of c. £540m; £117m debt extension agreed

http://www.investegate.co.uk/Article.aspx?id=20111006070000H2528

Even if all the analysts in all the world think your shares are a raging buy, it may not help much in these markets, says the Tempus column in the Times. Intermediate Capital Group (ICG) shares, before yesterday’s 16p bounce to 214p, had lost 41 per cent of their value since August 7. Therefore, according to which analyst you believe, the shares are “undervalued”, the fall “looks overdone”, or they are “staggeringly cheap”. ICG was one of my tips for 2011 so, unsurprisingly, I am inclined to agree. They sell on about 7.5 times this year’s earnings. House broker Royal Bank of Scotland has cut its forecast for dividends this year because the turbulent markets mean disposals and realisations on investments will henceforth be subdued, but even on a flat out-turn and a total of 18p again, the shares still yield 8.4 per cent. Sometimes the market can take a long time coming round to the right point of view, says the paper.

Hard pressed motorists are leaving their cars at home and getting on their bikes – helping Halfords counter falling sales in car maintenance products. The retailer said that bicycle sales rose 5.7 per cent in the second quarter, boosted by strong accessory sales and the launch of its new range of Carrera bikes. Chief executive David Wild said: “Cycling is a very good news story at the moment because it is so much in tune with contemporary trends," according to the Daily Express.

Nomura has downgraded Smiths Group, the medical devices and airport scanner maker, from neutral to reduce, saying that the firm is “likely to grow slower than other companies in our coverage universe”. “Smiths Group is a conglomerate of five businesses and its end market exposure is one of the most diversified, which normally gives the group stability. This looks now uncertain as sales are 40% to the public sector and only 15% to emerging markets.” As a result, the target price is cut from 1,150p to 1,050p.

Current trading During the period, the management team's focus has included the continued integration of the acquired businesses into the Group and the Board is pleased to confirm that trading for the period is in line with market expectations. Integration The Group previously announced the acquisition of the trading assets of Telinet Ltd and certain trading assets of Ipitomi Ltd on 04 April 2011, and the acquisition of the Vodafone mobile service business of Outsourcery Ltd on 31 March 2011. These businesses have now been successfully integrated within the Group's Retail Division. The Group will be announcing its results for the six months ended 30 September 2011 on 30 November 2011.

Daisy Group plc Trading Update Daisy Group plc (AIM: DAY), a leading provider of unified business communications services, is pleased to issue the following trading update. The highlights of today's announcement are: · Trading for the six months ended 30 September 2011 in line with market expectations · Acquired businesses successfully integrated and operating in line with management expectations

http://www.investegate.co.uk/Article.aspx?id=201110070700107442P

Altium Securities upgrades Goals Soccer Centres from hold to buy, target price unchanged at 112p

Surely not - Peel Hunt downgrades Mouchel Group from hold to sell, target price cut from 32p to 5p.

Mark Rollins, Group Chief Executive, commented: "Given the ongoing uncertainty in the financial markets, it is pleasing to report that the new facility secures the Group's funding requirements for the foreseeable future. Senior remains strongly cash generative". The Interim Management Statement for the third quarter will be issued on Tuesday 25 October 2011.

New Long Term Funding Senior plc ("Senior" or "the Group") announces that it has agreed a new five-year £60m Revolving Credit Facility maturing in October 2016. The new agreement also includes an additional uncommitted £20m accordion facility. The new facilities have been arranged with a four bank syndicate comprising Lloyds TSB Bank plc, HSBC Bank plc, KBC Bank NV and Crédit Industriel et Commercial, London Branch. They replace an existing, currently undrawn, £80m revolving credit facility that was due to expire in July 2012. Following this transaction, the Group will have total committed borrowing facilities of £191m1, with a weighted average maturity of 5.3 years. This represents an increase in maturity profile of 1.7 years. The Group's next material refinancing is now not due until October 2014. At the end of June 2011, the Group had net debt of £63m, comprising fully drawn US dollar private placement loan notes of $185m (£116m1) and net cash of £53m.

http://www.investegate.co.uk/Article.aspx?id=201110070700097439P

Maintel LONG-TERM BUY 03/10/2011 Miles Nolan Telecoms to data services specialist Maintel (MAI) has unveiled the acquisition of mobile telecoms provider Totility for up to £6.8m. Maintel is paying £2.8m upfront, with £2.4m of this in cash and the balance in shares. The additional consideration of £4m depends on its customer retention and profit performance post-acquisition. Totility manages approximately 1,100 customers (mainly for 02 and Vodafone) and 12,000 mobile connections under these contracts. In the year to March, the South Croydon-based firm achieved sales of £2.3m and pre-tax profits of £1m. To help fund the deal, Maintel chairman John Booth is lending the AIM counter £1.5m to partially finance the acquisition. The loan has a 6.5 per cent rate of interest and is due to be repaid on 28 Feburary 2013, but it does allow Maintel the added firepower to make further acquisitions if it sees fit. Totility should bring useful cross-selling opportunities and is being acquired on a sensible multiple. Maintel continues to trade well. In the six months to June, sales increased 20% to £12.7m as adjusted pre-tax profits leapt 16% to £1.7m. It continues to generate cash at an impressive rate, allowing an 18% hike in the interim dividend to 4.6p a share. We highlighted the attractions of Maintel in June at 245p, so the recent dip in price has more to do with the market than its own trading position. Broker finnCap expects full-year adjusted pre-tax profits of £3.7m and EPS of 26.6p. The shares remain overlooked – long-term buy.