In the papers: TalkTalk, JD Wetherspoon, Microsoft
Date
6/21/2016 6:55:48 AM
(MENAFN- ProactiveInvestors - UK) Proactive Investors, 07:59
The Times
Funding Circle agrees 100 million deal with Europeans for small business: The European Investment Bank will invest 100 million in Britain''s small and medium-sized companies through a deal with Funding Circle, the online lending platform.
Households have record spending money boost: The supermarket price war and the national living wage have helped average weekly disposable income to rise to a record 201 a week per household, according to research from Asda.
TalkTalk Chief''s pay rises despite losing 80 million to cyberhack: The pay package for TalkTalk''s Chief Executive almost trebled last year despite the group suffering a hacking attack in which the personal details of 157,000 customers were stolen.
Prosecutors investigate former VW Chief for failing to come clean on emissions: The former Chief Executive of Volkswagen has been placed under investigation in Germany for failing to inform investors soon enough about the carmaker''s rigged emissions tests.
L & C mortgage broker eyes up 300 million float: Britain''s biggest fee-free mortgage broker could float on London''s stock market with a valuation that would give its Chairman a bumper pay day.
Royal Mail wraps up deal for Spanish parcel network: Royal Mail has made its biggest European acquisition in a decade with the takeover of Spain''s second largest Express parcels network.
IMF calls for bold measures in Japan: The slow economic growth that has beset Japan since the early 1990s could take several more years to resolve unless the government commits to bold reforms, the International Monetary Fund said in a tough assessment.
Modi opens India to foreign investors as bank Chief quits: India announced a package of economic reforms, loosening strict rules on foreign direct investment as the government moved to bolster growth and create jobs.
My Local collapse set to add to high street woes: Thousands of jobs are at risk after it emerged that a company that bought more than 100 convenience stores last year from the supermarket chain Wm Morrison is on the verge of collapse nine months later.
Ruby miner digs up $44 million treasure trove: Gemfields, the Africa-focused producer of rubies and emeralds, delighted investors by announcing a record $44.3 million in proceeds from its auction of precious stones in Singapore.
Allergy drug failure leads to Circassia shares crash: Shares in Circassia Pharmaceuticals, the biotech company in which Neil Woodford has a 19.1% stake, lost two thirds of their value after the apparent failure of a trial for a product to combat allergies to cats.
The Independent
JD Wetherspoon pub Chief Tim Martin sends new Brexit message to George Osborne on beer mats: JD Wetherspoon has printed half a million new beer mats calling for the U.K. to leave the EU in the final days of campaigning.
Microsoft becomes first tech giant to invest in legal weed industry: America''s burgeoning weed industry just seems to be climbing higher. Tech giant Microsoft announced Thursday it is partnering with a cannabis industry-focused software company called Kind Financial.
The Daily Telegraph
George Soros warns consequences of Brexit vote could be worse than Black Wednesday: George Soros has warned that a vote to leave the European Union will create a ''Black Friday'' far more damaging than when he bet against sterling and forced the U.K. out of the European Exchange Mechanism in 1992.
Ex-Barclays traders await verdict in Libor trial: The jury in the trial of five former Barclays traders accused of fraud by Libor manipulation has been sent out to consider its verdict at the end of a three-month court battle.
BP fast-tracks Egyptian gas project: BP will push forward with plans to develop its deepwater natural gas field in Egypt''s East Nile Delta by early 2018, just three years after the energy giant made the discovery.
BT loses battle with Ofcom over broadband prices: BT has lost a court showdown with Ofcom over broadband prices, one year after launching an appeal against the watchdog''s restrictions on the wholesale price of superfast broadband.
Twitter pays $150 million for London AI startup Magic Pony: Twitter has acquired London artificial intelligence startup Magic Pony for around $150 million (102 million), according to sources close to the company.
Top golf ball maker Titleist to float in U.S. - under the ticker ''golf'': Golf group Acushnet which owns the Titlest, Footjoy and Scotty Cameron brands is planning to go public and list on the U.S. markets under the ticker ''golf''.
HBOS report delayed again as audit watchdog fumbles probe: The report into HBOS''s accounts has been delayed yet again, as the audit watchdog missed its own target date for publishing the results of its investigation.
Healthcare tycoon turns attention to helping Brits turn down that fifth pint: One of the U.K.''s most successful healthcare entrepreneurs has revealed plans for a new preventative medicine start-up, which he claimed will reduce pressure on the NHS and help people to make better lifestyle choices.
The Questor Column:
Gemfields ruby auction beats estimates: Gemfields the ruby and emerald miner that also owns jeweller Faberge, has endured a tough time as commodity prices moved lower, but the latest figures from a ruby auction mean we''re keeping the faith. The gem miner made $44.3 million (30.2 million) selling 1.5 million carats of rubies from its Montepuez mine. The sale saw nearly all the lots sold and with revenue ahead of expectations, which shows demand is still holding up as the global economy slows. The amount of revenue from selling gemstones now exceeds $170 million for the year to the end of June. Market consensus is for adjusted pretax profits of $33.5 million in the 12 months to the end of June, up from $26.3 million the previous year, giving 0.7p in forecast earnings per share. Gemfields is an interesting proposition as it tries to create a dominant position in the coloured gemstones market from mine to shop. It now has two fully operational gemstone mines: the 75pc-owned Montepuez ruby mine in Mozambique, and the 75pc-owned Kagem emerald mine in Zambia. Both sites increased gemstone production last year. Gemfields has used debt to get the mines into production and this is always a risk in the uncertain world of precious gemstone pricing and sales. That said, it is developing a proven route to market through its auctions and while demand holds up it should be able to pay down the debts. Gemfields'' is always going to be a high-risk stock, as it is Aim-listed and thinly traded. That said, we believe it should be able to make it through this tricky period and long term it has a strong market position and attractive future prospects. Gemfields at 38p-0.125p. Questor says ''Hold''.
Avoid Majestic shares until profits recover: Majestic Wine aimed to reverse falling profits and sales through the takeover of wine crowdfunding platform Naked Wines last year. The sales are moving in the right direction but the annual results show it still has much to do. Majestic is facing a problem that is familiar for many retailers. Increased competition from discount supermarkets who are undercutting them on price. The strategy chosen to fight back against this threat was to buy the rapidly growing Naked Wines in April last year. The rapid sales growth at Naked Wines is impressive, the problem is a high price was paid for that growth. Majestic reported sales up 41pc to 402.1 million during the 12 months to the end of March 28. Breaking that number down the majority of the growth came from adding 104.3 million in sales from Naked Wines which increased 27pc during the year. Majestic alone reported like-for-like sales up 4.8pc to 244 million during the year, the first increase in four years. But rising costs outpaced the improved sales performance, and profit before interest and tax fell 27pc. Naked Wine cost 70 million in total which was split roughly 60pc in cash and 40pc in shares. The deal looks expensive at 70 times profits, or 0.7 times sales. The cash paid for Naked Wines turned an 11 million net cash balance last year, to 25.5 in net debt at March 26. The cash generation of the new combined group also fell sharply to 14.1 million during the year, from 27.2 million a year earlier. The pretax profits tumbled 75pc to 4.7 million, from 18.4 million a year earlier. Majestic made 4.3 million in pretax profits during the first half its financial year, meaning it made just 400,000 during the second-half, which includes the Christmas trading period. Market consensus is for sales to rise about 10pc this year, but adjusted pretax profits are forecast to fall 10pc in the year to the end of March 2017. We think the risks are elevated and until the company can demonstrate a strong year of cash generative and profitable growth we would advise staying away. Avoid. Majestic Wine at 455p+17p. Questor says ''Avoid''.
The Guardian
Pound posts biggest rise in eight years as FTSE jumps 3%: The pound posted its biggest one-day rise for almost eight years and the FTSE 100 share index jumped 3% on Monday, as traders reacted to an apparent shift in support towards a remain vote in Thursday''s EU referendum.
Morrisons'' treatment of suppliers again highlighted by watchdog: Morrisons has been forced to repay cash and discipline staff after it was found to have breached the grocery market code of conduct for a second time by demanding lump sums of about 2 million from suppliers.
Judge allows Starbucks customers to sue over underfilled lattes: A federal judge said two Starbucks customers may pursue a lawsuit accusing the coffee chain of cheating patrons by underfilling lattes.
Nissan to sue Vote Leave campaign over EU referendum flyer: Nissan is to take legal action against the Vote Leave campaign after the Japanese carmaker''s logo was used on leaflets calling for voters to back Brexit in Thursday''s referendum.
Daily Mail
London and Country Mortgages boss Michael Edge set for 210 million payday as firm lines up for a 300 million sale or float: Britain''s biggest fee-free mortgage broker is lining up a 300 million sale or stock market flotation despite the prospect of Brexit.
Healthy diners with a taste for sushi lift restaurant chain Wasabi as it expands across the U.K.: The U.K.''s love of sushi has cost restaurant chain Wasabi its profits as it expands rapidly across Britain.
Daily Express
Growing firms put mobile connections at heart of overseas trading: Growing firms are forecasting 25 cents of their growth will come from international trade over the next five years, with the U.S. and Western Europe offering the best opportunities and mobile technology at the heart of the expansion.
Home sellers asking for 100k above sale prices: Home sellers are demanding tens of thousands of pounds more than the sale price they are likely to achieve, figures have revealed.
First time buyers priced out of Help To Buy as housing market soars: Sky-high house prices in England have left first-time buyers frozen out of a government scheme that is supposed to help prospective owners on to the property ladder.
The Scottish herald
Business Growth Fund to ramp up activity in Central Belt and Aberdeen: Business Growth Fund Chief Executive Stephen Welton has said it plans to ramp up activity in Scotland where the Central Belt and Aberdeen could offer rich pickings.
EnQuest shares rise after update: Shares in North Sea-focused EnQuest have risen 11% as investors appeared to welcome a statement saying the oil and gas business is not in any company specific talks with the regulator about its finances, writes Mark Williamson.
Scottish dairy company aims to build major export business: Graham''s The Family Dairy has revealed plans to build a major export business, with its managing Director highlighting opportunities to sell butter to China, Japan, and South Korea and win sales in the Middle East.
FirstGroup adjusts pay scheme after bonus crash: FirstGroup has reshuffled the measures used to calculate annual Executive bonuses, after Chief Executive Tim O''Toole saw his bonus crash from 578,000 to 162,000 due to a dent in operating profits.
Scots drug firm raises 4.3 million in first round of funding: Mironid, a Lanarkshire pharmaceutical firm, has raised 4.3 million in Series A funding to continue research and preclinical development programmes into degenerative kidney disease, major inflammatory disease and cancer.
Morton Fraser extends Scottish Government work: Law firm Morton Fraser has been appointed as sole external legal adviser under the Scottish Government Framework 2015, providing litigation services to various Scottish Government Directorates and agencies and to the office of the advocate general.
Scottish firm sets Motability vehicle supply record: Glasgow-based Allied Vehicles sold more than half of all wheelchair accessible vehicles supplied through the Motability scheme in the U.K. last month.
RBS faces new litigation threat over GRG: Small businesses who believe they were pushed under by Royal Bank of Scotland''s controversial Global Restructuring Group are being offered a fresh opportunity to join a legal action against the bank.
The Scotsman
Law firm Gillespie Macandrew bolsters Edinburgh office: Gillespie Macandrew has appointed corporate and commercial solicitor Chris Gibson to its Edinburgh office.
Highland Spring taps Whitespace to ''rejuvenate'' brand: Edinburgh-based creative agency Whitespace has won a contract to take bottled water firm Highland Spring on a ''brand rejuvenation journey''.
Border Biscuits donates a strawberry summer gift: Lanark based Border Biscuits has donated a strawberry patch to Lanark Community Development Trust to support its regeneration of Castlebank Park and mark the launch of a new range of cookies.
City A.M.
Facebook shareholders give green light for share issue to keep Zuckerberg in control: Facebook Chief Executive Mark Zuckerberg will maintain control of the tech titan after investors approved a proposal to issue $5.7 billion (3.9 billion) non-voting shares.
Royal Dutch Shell''s shale unit to become ''catalyst for change'' at the oil major: Royal Dutch Shell''s recently revamped shale unit is set to become a blueprint for change across the oil major.
EU referendum: Voting Remain could create another 75,000 jobs in London, according to Confederation of British Industry: There is the potential to create more than 75,000 jobs in London if the U.K. votes to remain in the EU, according to new research.
Tobacco volumes decline in China for the first time in two decades and bring down global volumes: Smokers in China stubbing out their cigarettes helped the world''s largest tobacco market shrink last year, while Western Europe enjoyed growth.
Telecom challenger eyes profit in late 2016 as second U.S. tie-up looms: U.S. wireless service provider FreedomPop has said it will be profitable before the end of the year. FreedomPop, which launched in the U.K. last September, is also targetting a partnership with a second U.S. carrier by the year''s end.
SABMiller Chief exec''s earnings drop 17% ahead of megabrew deal: The Chief Executive of British drinks giant SABMiller has taken an almost 17% hit to his pay packet after failing to deliver on share price earnings last year.
Brexit would leave London ''isolated'' according to the boss of City Airport: Brexit would fundamentally undermine Britons'' ability to trade and travel, according to the Chief Executive of London''s City Airport.
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