Three things you need to know in the financial markets this morning from investment writer, Tony Cross.
Haynes Publishing Group
Publisher Haynes [LON:HYNS] has hoisted the for-sale sign over its entire business this morning. Having undertaken a strategic reshaping in recent years, from a publisher of manuals to a content, data and workflow solutions business for the automotive sector, the board believes they need to be part of a business with deeper pockets to realise the full value of the company. Shares have doubled in price over the last six months, helped along by the company having reported bumper profits back in September. This announcement could fuel further buying interest today.
Carpetright [LON:CPR] seems set to vanish from the stock market, with directors having recommended that the company be acquired by Meditor Holdings, a subsidiary of Meditor Fund which already owns 29.9% of the business. The vehicle had purchased the lenders interests in Carpetright’s Revolving Credit Facility, which is due to expire at the end of the year. There’s a weight of support for the deal already and shareholders will get 5p per share. Whilst that’s something, it’s a long way short of the 300p share price from just over a decade ago.
Fuller, Smith & Turner
There’s a trading update from pub group Fullers [LON:FSTA] out this morning. Like for like sales growth is up 3.2% for the last 32 weeks, although the company does note margin erosion as a result of cost pressures. It also adds that, following the sale of its brewing business, some unexpected expenses have been incurred, although the impact here won’t be felt in the current financial year. Expectations are for full year profits to be in line with last year’s figure.