Three key news stories unfolding as the UK stock market opens. Check out our companies reporting diary for upcoming results from FTSE 350 and selected international stocks.
1. MITIE agree sale to OCS – but another name to leave the London market
Facilities management company MITIE [LON:MTO] issued a Q1 trading update this morning but of greater significance to the market will be news that management have agreed terms with OCS to sell the business at 221.6p per share, a 45% premium to last night’s closing price. Whilst the acquisition will result in a stronger UK-headquartered group with revenues of close on £9bn, it will result in another name disappearing from London’s listed market.
2. SEGRO and Prologis both fire fresh volleys as bid window closes
The battle between SEGRO [LON:SGRO] and Prologis continues as the clock counts down to the end of the takeover talk window closing tomorrow. Prologis this morning issued a retort noting that the target’s management were failing to maximise the opportunity available to them, but in a defensive move SEGRO published a short investor presentation underlining how shareholders will be better off in the long term maintaining the status quo.
3. Compass Group Q3 update highlights growth in target and strength of pipeline
Caterers Compass Group [LON:CPG] issued a Q3 update this morning noting organic revenue growth of 7.1% and new business growth meeting the 4-5% target set by the business. Full year guidance has been reiterated and management add that the sector focused nature of the model is serving them well, supported by a strong pipeline of opportunity.
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