News

Your daily news update straight from the City PM newsroom in London

BEST OF THE BROKERS

October 11, 2009

VEDANTA RESOURCESGoldman Sachs cut its 2010 earnings estimates for Vedanta to $1.75 per share following the miner’s second-quarter production release and an investor conference call. The broker retains a “neutral” stance on the stock, with a lower price target of 2,426p, to reflect the lower estimates and higher March 2010 net debt. HALFORDSKBC Peel Hunt [...]
Small investors to launch RBS claim

October 11, 2009

A GROUP of small shareholders is planning to sue Royal Bank of Scotland, claiming it misled investors in its May 2008 prospectus for a rights issue to pay for its acquisition of Dutch bank ABN AMRO. The Royal Bank of Scotland Shareholders’ Action Group said yesterday it had hired forensic accountant Paul Klumpes and was [...]
J Sainsbury set to ramp up banking arm by luring customers in with points

October 11, 2009

J Sainsbury, Britain’s third biggest supermarket, is ramping up its banking arm, by launching a new scheme that will see shoppers rewarded for buying its financial services products. Sainsbury’s Finance will allow customers to earn double Nectar points for taking out home insurance, or opening an account, but it will also give Sainsbury’s account holders [...]
Profits crumble at United Biscuits

October 11, 2009

Weak sterling drove up the cost of raw materials for United Biscuits, the makers of Jacob’s Crackers and McVitie’s Digestives, hurting profit margins. Profits did rise by three per cent to £196m, but failed to match sales growth of five per cent at £1.2bn. Pre-tax losses were £16.6m after debt interest payments.
New M&Ahead at miner ENR

October 11, 2009

Former head of investment banking at Commerzbank, Mehmet Dalman, will lead a M&A committee at Eurasian Natural Resources, the Kazakh miner. It is the company’s clearest indication yet that it intends to continue buying global mining assets, after buying Central African Mining & Exploration Company for £584m.
BGGroup set to sell off power arm

October 11, 2009

BG Group is set to announce that it has accepted a bid for part of its £1.5bn power generation business, after it received an unsolicited offer. Goldman Sachs has been appointed to advise on the bid, which is not thought to cover all of the company’s operations, which span Europe, Asia and America.
Li & Fung eyes up US acquisitions

October 11, 2009

Li & Fung, the biggest supplier of clothes and toys to US groups Wal-Mart Stores and Target, said it is considering acquisitions of several US companies with hundreds of millions of dollars in annual sales. The company has a $1bn (£631m) acquisition fund, and is eyeing “multi-hundred-million-dollar-sales companies,” in the US.
Top lady shot takes the helm at a new City member’s club

October 11, 2009

CLAIRE Zambuni could be dangerous. A leggy blonde with Baywatch-style features and a big smile, I’d not be surprised to hear that men routinely fall at her feet. But its her way with a gun that makes her particularly worth buttering up – she’s the UK’s best lady shot, in the top three best shots [...]
PARTY STALWART TEBBIT HAPPY TO STICK HIS NECK OUT FOR THE CITY

October 8, 2009

TO ONE of the City’s favourite haunts, Boisdale of Bishopsgate, last night for a special members’ game dinner hosted by Lord Tebbit, staunch Thatcherite and eternal bearer of the beacon of those on the right of politics. Tebbit, as is his wont, was happy to wax lyrical about the issues facing the Tories in the [...]
WINTER OF DISCONTENT

October 8, 2009

BRITAIN is facing a “winter of discontent” with strikes looming at Royal Mail, British Airways, Irish carrier Aer Lingus, and electronics giant Fujitsu. Staff at Royal Mail yesterday voted three to one in favour of a national strike, which is set to bring misery to businesses over the Christmas period, while costing London hundreds of [...]