(evening standard)
Sterling’s 10-month high near $1.25 will be tested today by an update on activity in the UK’s key services sector.
PMI readings for March should highlight a pick-up in confidence, even as interest rates continue to rise.
On the corporate front, FTSE 100-listed components supplier RS Group and car showroom business Lookers posted figures.
De La Rue activist investor steps up pressure
08:03 , Graeme Evans
Banknote printer De La Rue is facing another vote for the position of president, Kevin Losemore.
The company’s second largest shareholder, Crystal Amber, said it had sent a demand notice requiring De La Rue to call a general meeting. It wants Losemore to be removed from his position, with Pepin Dinandt, chief executive of the automotive industry, stepping in as chair.
The activist investor wrote to shareholders today telling them that the turnaround plan launched in 2020 by Loosemore and Chief Executive Clive Wachter has failed. Since March 2021, De La Rue’s share price has declined by 75%.
Losemore was given the backing of shareholders in December, when de la Rue held a general meeting in response to pressure from Crystal Amber.
Franco Manca owner Fulham Shore to be snapped up by Japanese food company Torridol in £93million deal
07:58 , simon hunt
Fulham Shore, owner of Franco Manca and The Real Greek restaurant brands, is to be bought by Japanese food group Torridol in a £93million deal.
Fulham Shore board members have voted unanimously to approve the acquisition and it has been put to a vote by shareholders, who will be offered 14p per share, a premium of 35% on yesterday’s closing share price.
TORIDOLL President and CEO Takaya Awata said: “Fulham Shore has two exciting and fast-growing brands that are true to TORIDOLL’s slogan “Filling Our Planet with Dining Experiences That Will Move You.” and has the potential for significant future growth internationally.
“With the strength of these brands and our partnership with restaurant sector specialist fund Capdasia, we have the opportunity to leverage our combined expertise and significant resources to accelerate their growth even further. We look forward to Fulham Shore’s management and staff We look forward to working closely with you as we enter the next phase of the company’s growth.
Entain Media expands into Brazil with site acquisition
07:58 , Daniel O’Boyle
Ladbrokes owner Entain has bought football news site 365scores in a deal that could be a key springboard for its operations in Brazil.
The deal expands Anten’s operations into the media space for the first time, but also gives it a Brazilian office, which is likely to become a requirement when the country introduces new sports betting laws this year. Brazil is 365Scores’ top market.
Anten will make an upfront payment of £120 million, plus £8 million as a contingency payment.
“The combination of 365 Score’s deep expertise in data-driven sports media content, along with Anten’s global scale and market-leading platform capabilities, will provide customers with a comprehensive offering of interactive content and experiences,” said Anten’s board.
“The acquisition unlocks opportunities for further growth and supports our global strategic ambitions.”
Services sector in focus, FTSE 100 flat
07:31 , Graeme Evans
The stock market fell in February after the number of US job openings for 2021 fell below 10 million for the first time, raising concerns about the world’s largest economy.
The Dow Jones Industrial Average and S&P 500 both closed down about 0.6%, while the FTSE 100 index also surrendered earlier gains to end in negative territory.
London’s top flight is expected to open this morning largely unchanged at 7638 as attention is drawn to various PMI releases from Europe’s service sector.
The reading for the UK, due to appear at 0930, is expected to show a further expansion in activity.
Michael Hewson, chief market analyst at CMC Markets, said: “While manufacturing is struggling, and in large part contracting, services activity is increasing across the board, whether in the US, Europe or the UK.
“Energy prices are also falling, especially petrol prices as well as natural gas, resulting in higher than expected disposable income for consumers.
“This has had the effect of exerting upward pressure on services inflation raising concerns over a more stable prices than expected.”
Ofcom refers Cloud Market to CMA after investigation
07:14 , simon hunt
Ofcom is to refer the cloud market to the UK competition watchdog after an investigation uncovered what it said were “concerning practices” by major market players.
Ofcom said it is calling the Competition and Markets Authority because it is “particularly concerned about the practices of Amazon and Microsoft because of their market position.”
Charging customers to leave the cloud, restrictions on interoperability between different providers and offering discounts for moving all their cloud services to one provider were among the issues raised during the investigation.
Ofcom director Fergal Farragher said: “We’ve taken a deep dive into the digital backbone of our economy, and uncovered some of the associated practices, including some of the world’s biggest tech firms.
“The high barriers to switching are already hurting competition in a fast-growing market. We think it’s important to make sure it’s working well for the people and businesses who rely on these services. More thorough investigation is required.
read more here
(PA Archive)
Recap: Yesterday’s Top Stories
06:50 , simon hunt
Good morning. Here’s a roundup of our top stories from yesterday:
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Richard Branson’s Virgin Orbit filed for bankruptcy after failing to obtain sufficient funding to continue operations.
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Rathbones bought the wealth and investment division of rival Investec Group in a deal worth around £839 million.
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JP Morgan boss Jamie Dimon said the current banking crisis is “not over yet”, as he hit out at the US Federal Reserve’s role in the collapse of the Silicon Valley bank.
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TikTok was fined £12.7 million by the UK watchdog for mishandling children’s data.
Today we are expecting:
Source