MARKET REPORT: North Sea giant Harbor completes £9 billion German deal
British companies are being plucked off the London stock market one by one by foreign predators.
But two deals suggest the siege is not just a one-way street.
North Sea producer Harbor Energy is nearing a takeover of almost £9 billion in a blow to most of the oil and gas assets owned by Germany’s Wintershall Dea.
The acquisition, which was announced in December, has now been approved by Germany and Norway and should be completed in the last three months of 2024.
Harbor also said it expects production to double after the deal, making it a major global player. Shares rose 7.7 per cent, or 21.5p, to 301.1p.
North Sea producer Harbor Energy is nearing a nearly £9 billion takeover in a blow to most of the oil and gas assets owned by Germany’s Wintershall Dea
At the same time, Rolex seller Watches of Switzerland bought Italian jewelery brand Roberto Coin for £104 million.
The group, which owns jewelery chains Goldsmiths and Mayors, added 3.6 per cent, or 11.8p, to 336.8p.
But US private equity appears to have won the battle for the Hipgnosis Songs Fund after a rival pulled out.
Apollo-backed Concord will not increase its £1.2 billion bid for the music rights owner, paving the way for Blackstone’s £1.3 billion takeover bid. The hipgnosis fell 2.5 percent, or 2.6p, to 102p.
The FTSE 100 rose 0.3 percent, or 27.30 points, to 8,381.35 and the FTSE 250 rose 0.2 percent, or 39.31 points, to 20,531.30.
Life for Cambridge chip designer Arm is proving to be a little more difficult than it seemed a few months ago.
Stock watch – Robinson
Robinson, which makes plastic bottles, tubs and containers, rose 12.5 percent, or 12.5 cents, to 112.5 cents after raising its full-year forecasts following a strong start to the year.
The company, whose clients include Reckitt Benckiser, Unilever and Fortnum & Mason, said sales in 2024 should be higher than last year and profits are likely to be around £3 million – up from £2.2 million in 2023 .
In the first four months of the year, sales increased by 8% year-on-year.
About £6 billion was wiped off its value in early trading after an update from the Nasdaq-listed company left investors disappointed.
It expects sales of between £3 billion and £3.3 billion for the year to March 2025. Shares are down 40 percent since their peak in February.
But they continue to rise 75 percent since it made its debut on the New York stock market in September, a turnaround described by analysts as “another kick in the teeth” for the Square Mile.
Back in London, Frontier Developments fell 0.3 percent. or 1p, to 299p after it struck a deal to make a third Jurassic World game.
Private equity group 3i reported a drop in returns and higher costs as it warned that continued economic pressures and geopolitical tensions are likely to erode market confidence. Shares fell 5.2 percent, or 154p, to 2820p.
BAE Systems said US aid to Ukraine and additional British defense spending will further boost already high demand, pushing it up 0.8 percent, or 10.5 cents, to 1,392 cents.
Avon Protection won a £38m contract to supply gas masks to the Ministry of Defence, gaining 4.2 per cent, or 52p, to 1,286p.
Asset manager Rathbones said assets under management and administration rose 2.1 per cent to £107.6 billion in the first quarter to the end of March.
Shares rose 0.6 percent, or 10 cents, to 1,776 cents.
Engineer IMI’s revenues rose 4 percent between January and March, pushing its share price up 0.3 percent, or 5 cents, to 1,851 cents.
Infrastructure group Balfour Beatty is cashing in on projects for BP and Rolls-Royce and expects annual profits to rise. It rose 0.6 percent, or 2.4p, to 384.4p.