3rd Dec 2025 07:58
(Alliance News) - HSBC promotes its interim chair to the permanent position, Smiths Group agrees to sell Smiths Detection at an enterprise value of GBP2.0 billion and Paragon Banking raises its total dividend.
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 0.1% at 9,714.50
GBP: up at USD1.3239 (USD1.3195 at previous London equities close)
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BROKER RATINGS
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Jefferies raises Berkeley Group to 'buy' (hold) - price target 5,037 (4,109) pence
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Jefferies cuts Barratt Redrow to 'hold' - price target 447 pence
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COMPANIES - FTSE 100
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HSBC Holdings appoints Brendan Nelson as group chair. Nelson, who previously worked at KPMG and has also served on the boards of BP and the Royal Bank of Scotland, joined HSBC's board in 2023 and has been acting as interim chair since October this year. The bank says Nelson had been appointed following "a robust process that considered both internal and external candidates". Previous chair Mark Tucker stepped down at the end of September to take up the same post at Hong Kong-based insurer AIA Group. It was announced in May that Tucker would retire by the end of 2025, ending an eight-year tenure at the helm of the bank's board. HSBC senior independent director Ann Godbehere says: "On behalf of the board, I am delighted with Brendan's appointment as our group chair. Since assuming the role of interim group chair, Brendan has demonstrated his excellent leadership capabilities backed by his strong banking and governing credentials." HSBC says that Nelson will remain as chair of the group audit committee until the publication of 2025's results in February 2026.
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Smiths Group agrees to sell Smiths Detection to funds advised by CVC Capital Partners at an enterprise value of GBP2.0 billion. The London-based engineering firm expects to receive net cash proceeds of around GBP1.85 billion from the sale. "The proposed transaction, in combination with the recently announced sale of Smiths Interconnect, represents significant further progress on the strategic actions announced in January 2025. This repositions Smiths as a focused, high-performance, industrial engineering company, and delivers significant value for all stakeholders," the firm says. It expects the sale to complete in the second half of 2026. "We are focusing Smiths as a premium industrial engineering company specialising in flow management and thermal solutions, and today's announcement positions us strongly to deliver enhanced growth and returns," says Smiths Chief Executive Roland Carter. Smiths says it intends to return a "large portion" of the net cash proceeds to shareholders.
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Weir Group holds a capital markets event on Wednesday and leaves its full-year guidance unchanged. The Glasgow-based engineering firm still expects growth in constant currency revenue and operating profit. It says guidance is still for operating margins of around 20% and free operating cash conversion of between 90% and 100% as of July 31.
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COMPANIES - FTSE 250
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Mony Group says its expectations for the full year are unchanged after growth in revenue and adjusted earnings before interest, tax, depreciation and amortisation during the second half of the year. The Ewloe, Wales-based tech-led savings platform says this growth is despite headwinds in insurance and pay-per-click costs. It says the improved performance in the second half has been helped by its Money division, with a strong performance in Energy and "modest" improvements in Insurance. The company reports continued good growth in borrowing, driven by strong credit card deal availability and improved banking performance in its Money arm. It adds that the "gradual easing" of trading headwinds in motor have helped the Insurance division. Mony expects adjusted Ebitda for financial 2025 to be in line with the current market consensus. It sees this consensus as GBP142.7 million with a range between GBP136.5 million and GBP144.9 million. Looking ahead to financial 2026, Mony expects easing headwinds will "create potential for a greater level of stability" in its end markets. "2025 has been a tough trading year so we are pleased with the group's performance, which reflects the relevance of our brands, the resilience of our model, and the breadth of our markets," says Chief Executive Officer Peter Duffy. "We are particularly pleased with the growth in SuperSaveClub which has now reached a milestone two million members. Looking ahead, we are optimistic about the outlook in our end markets, and excited by the opportunities AI brings."
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Paragon Banking raises its total dividend per share and announces a new GBP50 million share buyback programme. The Solihull, England-based bank hikes its final dividend to 30.3 pence per share from 27.2p, taking the total for financial 2025 to 43.9p, up 8.7% from 40.4p. Pretax profit rises 1.1% to GBP256.5 million in the 12 months to the end of September from GBP253.8 million a year ago. Total operating income climbs 3.8% to GBP515.1 million from GBP496.4 million, while net interest income alone jumps 4.0% to GBP502.3 million from GBP483.2 million. The bank reports a net interest margin of 3.13%, down from 3.16% in financial 2024 but ahead of expectations due to "controlled growth and careful management of funding options". "Paragon has delivered another strong performance in 2025, demonstrating the strength and resilience of our specialist model and building on our consistent track record of delivery," says Chief Executive Nigel Terrington. "We enter the new financial year with good momentum. While the external environment remains uncertain, we see plenty of opportunity ahead in our chosen specialist markets. With a strong capital position, a modern digital platform and a clear strategy, Paragon is well placed to continue building on this success, delivering sustainable growth and attractive returns for our shareholders."
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4imprint Group hires Topps Tiles Chair Paul Forman to be its new chair from March 16, when Paul Moody will step down from the board. Forman will join the board of the direct marketer and promotional merchandise distributor on January 1 as an independent non-executive director and chair designate. Forman was previously chief executive at Essentra, Coats Group and Low & Bonar. He is also a former non-executive director of Brammer and Tate & Lyle. Alongside his role as chair of the tile specialist, Forman is also currently chair of Natara and Winder Power, two private equity-backed industrial groups. "We are delighted to welcome Paul Forman to the board. He brings significant and relevant experience along with great passion and enthusiasm that will definitely add to the 4imprint story as we drive the business forward," says Chief Executive Officer Kevin Lyons Tarr.
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OTHER COMPANIES
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Gear4music Holdings raises its full year guidance and says it now expects earnings before interest, tax, depreciation and amortisation to be not less than GBP16.7 million. The York, England-based online retailer of musical instruments and equipment says its "very strong sales momentum" continued over the Black Friday weekend and adds that it dispatched over 14,000 orders in a single day on Cyber Monday. It says this is the highest revenue day in the firm's history. "Our operational infrastructure performed well under the increased levels of demand, and although we are still early in the critical peak trading period, the continued strength of trading provides the board with sufficient confidence to again raise its expectations for the group's financial performance for the year ending 31 March 2026," says Executive Chair Andrew Wass. This follows four previous upgrades in June, September, October and November. In November, it said it expects Ebitda of at least GBP15.0 million, above its prior view of no less than GBP13.7 million. In financial 2025, it totalled GBP10.0 million.
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Sintana Energy says it plans to list on the AIM market in London on December 17. The Alberta, Canada-based petroleum and natural gas explorer is currently in the process of buying AIM-listed Challenger Energy in an all-share deal worth GBP45 million. For each Challenger share owned, shareholders will receive 0.4705 of a new Sintana share. It will mean that Challenger shareholders own roughly 25% of the enlarged firm. Sintana says it expects a market capitalisation of GBP137 million after listing on the AIM market. The firm's shares are currently traded on the TSX Venture Exchange and on the OTCQX market. Sintana has a primary portfolio of assets in Namibia, including its 4.9% interest in PEL 83, or the Mopane discoveries, operated by Lisbon, Portugal-based Galp Energia SGPS SA. The company also has "indirect interests in four other Namibian offshore blocks and one Namibian onshore block".
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Airbus expects to deliver fewer commercial aircraft this year than originally planned due to supplier problems affecting fuselage components for its A320 family. The world's largest planemaker now anticipates delivering around 790 passenger jets, down from the 820 previously targeted. Despite the setback, Chief Executive Guillaume Faury reaffirmed Airbus' 2025 financial targets, saying the company still expects adjusted earnings before interest and tax to reach about EUR7 billion. The company faced similar challenges last year, when it cut its delivery target from 800 to 766 jets.
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By Michael Hennessey, Alliance News reporter
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Related Shares:
Berkeley GroupBarratt RedrowHSBC HoldingsBPSmiths GroupWeir GroupMoneysupermarket.ComParagon Group4ImprintTopps TilesEssentraCoats Group PlcTate & LyleGear4musicChallenger EnergyNatwest