Anglo-Australian miner BHP Billiton (BLT) has moved to rebuff calls to overhaul its corporate structure and spin-off its US oil division. Minor shareholder and activist investor Elliott International had called on management action to boost shareholder returns but BHP has batted off the demands, calling Elliott’s proposal flawed and would involve costs far beyond any benefits.
‘BHP Billiton is now a stronger, simpler company, well-positioned for future economic conditions,’ states Andrew Mackenzie, CBHP chief executive officer. ‘We are confident we have everything in place to increase returns and significantly grow shareholder value,’ he goes on to add. Shares in the mining giant nudge 0.6% lower to £13.065 in early trade on Wednesday.
The FTSE 100 index nudges around 12 pojnts, or about .013%, higher I early deals, following on from Tuesday’s rough 0.2% gains for blue-chip stocks.
Britain’s biggest supermarket Tesco (TSCO) hit forecasts for full year profit, showing its recovery is picking up pace and potentially giving a boost to its stuttering campaign to win investor backing for a takeover of wholesaler Booker (BOK). The retailer posted pre-tax profit of £145m, down from £202m a year earlier, although investors remain worried, with the share price staying largely flat at 195.25p.
Oilfield services company Hunting (HTG) confirms better first quarter revenue than expectations thanks to ongoing high demand for US shale gas. That gives the shares a 1.9% boost to 598p, valuing the business at £976m.
British books, newspaper and stationery retailer WH Smith (SMWH) posts a 3.75% rise in first half pre-tax profit as its travel business continues to outshine lagging high street or town centre retail operations. But investors are still concerned about the group’s longer-term prospects, marking the stock more than 3% lower at £17.68.
UK recruiter PageGroup (PAGE) reports record first quarter gross profits. The company says it is seeing growth in its markets outside the UK, where client and candidate confidence levels are constrained by uncertainty after Britain's vote to leave the EU. The share price rallies more than 6% to 471p on the news.
