FTSE 100 advertising giant WPP (WPP) rises 3% to £17.58 as third quarter results benefit from the weak pound. Revenue was up 23.4% to £3.61bn on actual exchange rates - but only up 7.6% if you assume no change to currency rates year-on-year. Operations in the UK slowed in the quarter which WPP suggests could be ‘the first signs of Brexit anxiety’.
WPP is one of the few risers in the blue chip index alongside various miners and travel stocks. Overall, the FTSE 100 index declines 0.4% to 6,965 as the market starts its new trading week, dragged down by oil and financial stocks.
Cigarette filters-to-healthcare packaging group Essentra (ESNT) has poached Coats’ (COA) boss Paul Forman to be its new chief executive. He will replace Colin Day whose five-year tenure has come to an end following a major profit warning in June. Essentra’s shares rise 3.2% to 517p.
Gold miner Centamin (CEY) rises 2% to 159.2p as third quarter financial results beat expectations. It reported $122m earnings before interest, tax, depreciation and amortisation (EBITDA) versus $109m forecast by stockbroker Numis. The other important piece of news is Centamin starting payment of its profit share agreement with the Egyptian government - something we recently warned would soon happen.
The market likes the prospect of Chinese resources group Jinchuan potentially helping develop Amur Minerals’ (AMC:AIM) Kun-Manie nickel project in Russia. Amur’s shares jump 24.6% to 4.33p on news it has signed a memorandum of understanding with Jinchuan for engineering and build work.
Motif Bio (MTFB:AIM) falls 11.9% to 46.25p on a warning it will need more funding or an amendment to the timing of costs for a drug trial. The company says it is confident it will find a solution.
Fracking firm IGas Energy (IGAS:AIM) dips 3.2% to 11.86p after confirming press speculation that bondholder TEOG is pushing for a sale of IGas’ conventional assets.
Full year results from oil wellhead technology group Plexus (POS:AIM) get a lukewarm reaction as dividends remain suspended and the company reports a full year loss of £5.7m on revenue down 60% year-on-year.
Micro cap oil producer Range Resources (RRL:AIM) is ahead 22.8% to 0.46p as drilling contractor LandOcean agrees to subscribe for $20m worth of convertible notes. The cash injection should help the company fund its operations in Trinidad assuming it is approved at a shareholder meeting on 20 December.
Skil Ports and Logisitics (SPL:AIM) gains 23.3% to 12.95p as it raises £37.6m through a placing and open offer at 10p per share. The funds will be used to complete the construction of a port and logistics facility in Mumbai, India by the third quarter of 2017.
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