London shares make advances in early trade on Wednesday, bouncing back after a Greece-inspired sell-off pushed the FTSE 100 to a new five-month low on Tuesday. The benchmark index is up around 50 points at 6,570, while midcaps and the wider market make similar gains.
Airline stocks also make healthy gains after an Airports Commission report declared that a third runway should be built at Heathrow. The Commission said the runway was 'crucial for the UK’s long-term prosperity.' Easyjet (EZJ), IAG (IAG), Flybe (FLYB), Dart (DTG:AIM) and Ryanair (RYA) are all in positive territory.
Long-suffering shareholders in outsourcer Serco (SRP) finally get a break as shares gain 10.5% to 130p on a better-than-expected first half trading update. Progress has been made exiting loss-making contracts and negotiations on the sale of its non-core private sector outsourcing business are progressing well, chief executive Rupert Soames says.
Another day, and another equipment hire firm files a profit warning. HSS Hire’s (HSS) weak second quarter, reported yesterday, is followed by a dire update from market leader Speedy Hire (SDY). CEO Mark Rogerson resigns and chairman Jan Astrand will become executive chairman until a successor is found.
Central Rand Gold (CRND:AIM) soars by 13.5% to 14.75p after the miner got approval to reclassify the gold mineralisation in its South African project, thereby more than doubling its resource base from 4.5 million to 9.9 million ounces of contained gold.
A £600,000 discounted share placing pulls back Ortac Resources (OTC:AIM) by 10% to 0.09p. The money will be used to exercise an option on buying a stake in a private Zambian miner that owns a hot piece of copper real estate.
North Sea E&P Independent Oil & Gas (IOG:AIM) secures limited breathing space as management subscribe for £50,000 worth of stock. The capital injection takes the company through to the end of July but not up to a 15 August completion date for a long-term financing deal with a 'multi-billion dollar' market cap and follows news the company has not received £145,000 due 30 June from a third party subscriber to its shares. The stock sinks 13% to 18p. Read Shares exclusive here.
Investors react to potential dilution at Indian tight gas play Oilex (OEX:AIM) - the shares down 10.7% to 2.68p - as the dual-listed firm's shares in Australia are suspended at its own request pending a capital raise.
Elsewhere, pub group Greene King (GNK) gains 1.4% to 856p on an in line set of full year results with pre-tax profit excluding one-off items down 0.8% to £168.5 million as a result of slower like-for-like sales growth and the disposal of 275 pubs. Revenue rose 3% to a record £1.3 billion in the 12 months to 3 May.
Topps Tiles (TPT), the UK's biggest tile specialist, cheapens 1.29% to 142.63p on profit-taking following a very strong run. The running Shares Play of the Week's short-but-sweet third quarter trading update flags like-for-like sales up 5.9%, building on the first half's positive trends.
Mobile communications tester Anite (AIE) unsurprisingly barely budges despite posting a big jump in adjusted operating profits to £22.7 million for the year to 30 April. The equivalent figure was £15.3 million in 2014, but investors have accepted the likelihood that the recent recommended takeover of the company will get the green light. Anite is the subject of a £388 million offer from Dutch test and measurement kit maker Keysight.
Organ transportation device-maker Lifeline Scientific (LSIC:AIM) surges 4.8% higher to 195p. The move comes after US research promotes wider use of organ transportation devices, beyond kidneys donated by older people, which deteriorate faster than those from younger donors.
Former FTSE 100 oil explorer Tullow Oil (TLW) pleases the market with an operational update - the shares rising 1.2% to 343.9p as it raises production guidance on a better than expected performance from its flagship West African fields. It now expects to produce between 72,000 and 78,000 barrels of oil equivalent per day (boepd) in 2015, up from the previously expected 69,000-77,000 boepd.