- The FTSE 100 rose 93.78 points to 6,675.41.
- The FTSE 250 gained 186.53 points and closed at 17,482.53.
- The FTSE All Share increased by 48.02 points to 3,536.21.
- The FTSE AIM All Share finished 5.05 points higher at 749.82.
Centamin (CEY) has been upgraded from a “hold” to a “buy” by Canaccord Genuity and the broker also increased its target price on the gold miner to 75p. Centamin upped its production guidance yesterday, but Canaccord believes that the new estimates are still fairly conservative. Gold prices remain a cause for concern, but the company is able to produce at relatively low all in costs. Centamin shares dropped 1.9% to 59.85p.
Real estate investment trust Hammerson (HMSO) has sold its stake in a French shopping centre for €63.2 million (£45.5 million). The property is located south west of Angers and contains 57 units. Hammerson shares climbed 7p to 647p.
Hotel operator Intercontinental (IHG) has agreed to sell the Intercontinental Hong Kong for $938 million (£604 million), of which $94 million (£60.5 million) has been paid. Intercontinental will continue to manage the facility for at least another 37 years, for which it will earn around $8 million per annum (£5.15 million). Numis said that the price was around $150 million (£96.6 million) higher than it would have expected and that “the disposal will be around 3%-4% dilutive to FY16 earnings per share: this based on the assumption that IHG keeps the cash, but, in our opinion, it is far more likely that IHG will pay another special dividend“. Intercontinental shares ended the day at 2,686p, up by 80p over the day.
Sirius Minerals (SXX) is working to raise funds for its York potash project and expects to complete the first round of financing for the construction phase by early 2016. The company believe that it will receive government approval for its project around September, but sources familiar with the matter say this might be somewhat optimistic. Analysts from Investec said the size of the project was “mind boggling”, but require more details before passing judgement. Sirius shares dropped by 6% to 19p.
Monday’s news today
Beowulf Mining (BEM) and SyQic (SYQ) are among the firms that will publish final results on Monday morning.
Quote of the day
“A wild and crazy weekend involves sitting on the front porch, smoking a cigar, reading a book.”
– Robert M. Gates