16th Jan 2026 07:56
(Alliance News) - Next confirms the redemption of B shares as part of its GBP421 million capital return, Johnson Service reports resilient 2025 trading with rising earnings, and Irish Residential Properties REIT announces a CFO transition.
Here is what you need to know before the London market open:
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MARKETS
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FTSE 100: called down 0.2% at 10,222.64
GBP: higher at USD1.3390 (USD1.3388 at previous London equities close)
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BROKER RATINGS
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Oddo BHF cuts Land Securities Group to 'neutral' - price target 650 pence
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BofA cuts British Land Co to 'neutral' ('buy') - target 440 pence
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BofA raises Watches of Switzerland Group to 'buy' - price target 550 pence
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COMPANIES - FTSE 100
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Next says the redemption of B shares issued under its previously announced capital return scheme will take place on Friday. The Leicester, England-based clothing and homeware retailer adds that eligible shareholders are expected to receive payment on or before January 28. The move forms part of the Next's planned GBP421.3 million return of capital, outlined on December 19, when Next said it had chosen a B share scheme - priced at 360 pence per share - as the most effective method of distributing funds following a strong 2025. The scheme received shareholder approval at a general meeting on Thursday.
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COMPANIES - FTSE 250
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Johnson Service Group reports "resilient" trading in 2025, with revenue and profit both improving. The Cheshire, England-based textile services says full-year revenue rose 4.3% to GBP535.6 million from GBP513.4 million, or 1.4% on an organic basis. Horeca revenue increased to GBP390.0 million from GBP371.2 million, while Workwear rose to GBP145.6 million from GBP42.2 million, supported by a 94% customer retention rate. Tight cost control and efficiency gains delivered strong adjusted operating profit growth, in line with market expectations, and an improved margin "heading towards" the group's 2026 target of at least 14%. Organic revenue growth for the year is expected at 1.0% in Horeca and 2.4% in Workwear. Net debt rose to about GBP112 million from GBP68.6 million, reflecting a GBP54.7 million outflow for share buybacks. Johnson Service has now returned GBP90.3 million to shareholders via buybacks since 2022. "Notwithstanding the ongoing uncertain economic outlook, the Board remains confident in delivering another year of progress in 2026 and we remain on track towards achieving our targeted margin of at least 14.0% in 2026," says Johnson Service.
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Genus lifts full-year expectations after a stronger-than-expected first half and confirmation that its Chinese porcine joint venture remains on track. The animal biotechnology and genetics company says adjusted pretax profit for the six months to December 31 will be about GBP50 million, ahead of expectations, or GBP55.6 million including a USD7.5 million, around GBP5.6 million, milestone payment linked to its porcine JV in China. Genus says trading in its PIC division remained strong through the half, while ABS performed in line with expectations. As a result, full-year adjusted pretax profit excluding the milestone payment is now expected to come in "moderately above" the top of the current GBP82.7 million to GBP85.0 million guidance range.
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RTW Biotech Opportunities notes Boston Scientific's USD14.5 billion takeover of Penumbra, a portfolio company representing 1% of its NAV at year-end. The investment firm says the agreed cash-and-stock deal values Penumbra at USD374 per share, a 19% premium to its Wednesday's 14 closing price. Pnumbra develops devices for treating cardiovascular conditions, including ischaemic stroke and venous thromboembolism. Boston Scientific, a Massachusetts-based biotechnology and biomedical engineering firm, will fund the acquisition with roughly 73% cash and 27% stock, with completion expected in 2026. RTW CIO Rod Wong says the transaction highlights renewed momentum in biotech and medtech dealmaking, following the year's first IPO from another portfolio firm, Aktis. "This deal shows the high level of activity in our portfolio, underscores the value being placed on differentiated technologies addressing critical unmet needs, and reflects broader momentum returning to biotech and medtech deal-making," Wong says.
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Impax Environmental Markets sets out a two-stage tender offer plan as it seeks to protect shareholders amid pressure from activist investor Saba Capital, its largest holder with a 20.7% stake.
The London-based investment manager focused on sustainable ventures says it will propose a tender offer allowing all eligible shareholders to redeem up to 100% of their shares at close to NAV, but only if Saba tenders all or "materially all" of its own holding and shareholders approve the plan by special resolution. If Saba blocks the proposal or declines to tender, the board will instead put forward a second 'exit tender offer', also for up to 100% of shares, requiring only an ordinary resolution and not conditional on Saba's participation. Chair Glen Suarez accuses Saba of pursuing short-term objectives that risk destabilising the company and the wider UK investment trust sector. He says the continuation tender offer gives investors a choice between liquidity and remaining invested in environmental markets under the current strategy, while the contingency offer ensures shareholders are not "trapped in a Saba-controlled vehicle" should the activist seek greater influence. The board says it has exhausted alternatives and consulted widely with investors following Saba's increasing stake and ongoing activism. Directors intend to vote in favour of the continuation tender offer and will not tender their shares unless it fails and the exit tender offer moves ahead.
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OTHER COMPANIES
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Polar Capital Holdings says its board approves a new repurchase programme of up to GBP15 million, to be conducted through open-market purchases on the London Stock Exchange from Monday until July 19 at the latest. The London-based specialist fund manager says the buyback, funded from existing cash, will cancel all shares acquired. Deutsche Numis has been appointed to manage the programme. The company may repurchase shares up to the limit authorised at its 2025 AGM.
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Irish Residential Properties REIT says Chief Financial Officer Brian Fagan will retire this summer after nearly five years with the company. He will be succeeded by Mari Hurley, currently CFO of Ireland's state broadcaster RTE, who will join first as CFO-designate before formally taking over upon Fagan's departure. Hurley brings "extensive" experience from senior finance roles across listed, private and semi-state organisations, including the AA (Ireland), Premier Lotteries Ireland, Hostelworld and Sherry FitzGerald Group. CEO Eddie Byrne thanks Fagan for his "immense contribution", citing his work on internalisation, finance transformation and long-term funding, and says Hurley's broad track record will be a "significant and complementary addition".
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By Eva Castanedo, Alliance News reporter
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GenusRtw BiotechImpax Asset ManagementNextJohnson ServicePolar CapitalHostelworldLand SecuritiesBritish LandWatches Switz