25th Sep 2026 07:59
(Alliance News) - United Utilities leaves its financial guidance for 2027 unchanged, while Harworth backs an increased takeover offer from Peel Holdings. Meanwhile, Iran proposes a seven-day plan to reopen the Strait of Hormuz and restart talks with the US.
Here is what you need to know before the London market open:
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MARKETS
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FTSE 100: called up 0.4% at 10,722.49
GBP: lower at USD1.3214 (USD1.3227 at previous London equities close)
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ECONOMICS
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Iran proposes a seven-day plan to reopen the Strait of Hormuz and restart talks with the US, Foreign Minister Abbas Araghchi says, according to US media. Brent oil prices are lower, helped by the prospect of a reopening of the key energy shipping route, trading at USD104.93 a barrel early Friday, down from USD107.25 late Thursday. Araghchi says the plan has been delivered through intermediaries and depends on certain conditions being met, which he says go no further than those agreed between Washington and Tehran in June. Iranian state media reports that Tehran's conditions include the immediate lifting of the US naval blockade off the Iranian coast, the release of frozen Iranian assets and an end to the war on all fronts. A White House official tells CNN that discussions through mediators have been "positive and constructive". US and Iranian representatives held talks on Tuesday on the sidelines of the UN General Assembly, their first negotiations in months.
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BROKER RATINGS
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HSBC raises BP to 'buy' - price target 640 pence
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UBS raises Glencore to 'buy' - price target 650 pence
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COMPANIES - FTSE 100
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United Utilities Group leaves its financial framework and guidance for its current financial year 2027 running until March 31 unchanged, continuing to target regulatory returns of 10% to 11% during the AMP8 regulatory period. The water utility says operational performance is in line with expectations and its capital programme continues to progress as planned. It remains on track to invest around GBP2 billion in financial 2027 and GBP11.5 billion across AMP8, supporting compound asset base growth of around 10%. Separately, United Utilities submits its response to Ofwat's 2026 cost change draft decision, seeking support for around GBP1 billion of investment to improve network resilience, add water and wastewater capacity and support economic growth in north-west England. Its response includes GBP191 million of strategic infrastructure investment progressing through a gated mechanism and GBP79 million of asset-specific infrastructure to be funded directly. United Utilities remains on track to access around GBP2.5 billion of investment through the AMP8 re-opener mechanism, with Ofwat's final decision expected in December.
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AstraZeneca says its supplemental biologics license application for Imfinzi, or durvalumab, in combination with enfortumab vedotin has been accepted and granted Priority Review in the US. The treatment is intended for patients with muscle-invasive bladder cancer who are ineligible for or have declined cisplatin-based chemotherapy. AstraZeneca expects a regulatory decision during the fourth quarter of 2026.
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COMPANIES - FTSE 250
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Peel Holdings raises its offer for Harworth Group to a best and final 187 pence per share in cash, valuing the property regeneration company at around GBP631.7 million. The new offer is 8.4% above Peel's previous 177.5p bid and represents a 30% premium to Harworth's closing share price on August 5, before the offer period began. Harworth's board changes its previous recommendation and now unanimously recommends shareholders accept the increased offer, after considering the certainty of the cash proposal against the risks of pursuing its standalone strategy. The 187p offer remains at a 10% discount to Harworth's diluted EPRA net disposal value of 208.8p per share at June 30. Peel also agrees to acquire a further 72.1 million Harworth shares at 187p. Once those purchases settle, expected on September 29, Peel will own or have valid acceptances for around 52% of Harworth and expects the offer to become unconditional.
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Schiehallion Fund reports a 29% net asset value return for its ordinary shares in the six months to July 31, while its share price returns 10%. NAV per share rises to 228.89 US cents from 177.28 cents at January 31, while shareholders' funds increase to USD2.35 billion from USD1.80 billion. The investment company says portfolio performance was supported by milestones including the IPOs of Merlin Labs, Space Exploration Technologies and Bending Spoons. Its shares ended the period at a 14% discount to NAV, compared with a 0.4% premium at the start, prompting the company to repurchase 650,000 shares into treasury. Schiehallion says: "The first half of 2026 marked an encouraging period for later-stage private growth investing. A number of successful public listings, including several from the company's portfolio, demonstrate that high-quality private businesses are once again finding pathways to the public markets. While market conditions remain selective, these developments are encouraging both for portfolio companies seeking access to capital and for investors in the asset class."
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OTHER COMPANIES
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Genel Energy increases its recommended cash offer for Capricorn Energy to USD5.74 per share, valuing Capricorn at around USD436 million, or GBP330 million. The offer comprises USD4.75 in cash and an expected special dividend of USD0.99 per share, and represents a 10% premium to DNO's rival USD5.21-per-share offer. Capricorn's board withdraws its recommendation of the DNO offer with immediate effect and instead backs Genel's increased proposal. Genel has irrevocable undertakings covering around 39% of Capricorn's issued share capital, while the Egyptian condition remains the final outstanding regulatory condition. The takeover is expected to become effective in the fourth quarter of 2026.
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Ferrexpo says revenue falls 57% to USD196 million in the first half of 2026 from USD453 million a year earlier, as lower production and sales volumes reflect power, liquidity and working-capital constraints amid continued Russian attacks on Ukraine. Total commercial production falls 54% to 1.6 million tonnes from 3.4 million tonnes, while the company swings to an underlying Ebitda loss of USD4 million from a USD4 million profit. Pretax loss narrows to USD11.0 million from USD186.9 million, helped by the absence of the USD154 million impairment booked a year earlier. Ferrexpo ends June with net cash of USD21 million and says it has cut costs and scaled operations back to one pelletising line to preserve liquidity and remain financially viable.
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By Eva Castanedo, Alliance News senior economics reporter
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Copyright 2026 Alliance News Ltd. All Rights Reserved.
Related Shares:
United UtilitiesHarworth GpThe Schiehalli.AstrazenecaGenel EnergyCapricorn Energy PLCFerrexpoBPGlencore