The morning news update with Aviva, Merlin Entertainments and Forbidden Technologies

FTSE 100

AstraZeneca (AZN) – the US Food and Drug Administration has accepted for filing the New Drug Application for IRESSA® (gefitinib) as a targeted monotherapy for the first line treatment of patients with advanced or metastatic epidermal growth factor receptor mutation positive non-small cell lung cancer.

Aviva (AV.) – Aviva and Friends Life have reached agreement on the terms of a recommended all-share acquisition of Friends Life by Aviva. Friends Life shareholders will receive 0.74 new Aviva Shares for each Friends Life Share they hold.

FTSE 250

St Mowden Properties (SMP) – full year results will reflect an uplift in property valuations – profit before all tax is therefore likely to be at the top end of market expectations.

Merlin Entertainments (MERL) – has traded well since the summer with all three Operating Groups showing continued revenue growth. Expects to deliver EBITDA in the range of £407 million to £411 million for 2014.

MITIE (MTO) – has extended its partnership delivering integrated facilities management for Lloyds Banking Group for the next eight years, through to the end of 2022.

Small caps

Forbidden Technologies (FBT) – sales during the second half of the current financial year are expected to be broadly in line with the first half, which is below previous expectations.

KBC Advances Technology (KBC) – awarded a $48.6 million consulting contract award for an extension to an Operational Excellence project with a South American oil and gas company.

Plastics Capital (PLA) – pre-tax profits down by 11% at £1.55 million for the six months to September.

Northern Bear (NTBR) – pre-tax profits up by £0.2 million at £0.92 million in the six months to September, net bank debt cut from £6.6 million to £4.7 million.

Firestone Diamonds (FDI) – Liqhobong Mine development currently on time and on budget, the company has now secured all major contracts and placed orders for all long lead items.