29th Mar 2018 11:27
LONDON (Alliance News) - The following is a summary of top news stories Thursday.----------COMPANIES----------NEX Group and CME Group said they have agreed to a takeover of NEX by CME in a deal valuing the UK markets infrastructure firm at GBP3.90 billion. CME has offered 500 pence in cash as well as 0.0444 of a new CME share for every NEX share held. Based on CME's closing share price on Wednesday of USD158.84, this values the deal at 1,000p per share. The offer price represents a 49.2% premium to NEX's closing share price on March 15, being the day prior to the offer period beginning. After the transaction, CME will retain it headquarters in Chicago but will maintain its European base in London. Spencer will join the CME board. ICAP - now known as NEX Group - and Tullett Prebon in June 2016 agreed for Tulett to acquire the ICAP voice broking and information business, becoming TP ICAP in the process. The deal was completed at the end of December 2016. CME Group is a US-based options and futures exchange operator, with a market capitalisation of around USD54.50 billion.----------Teva Pharmaceutical Industries as won a court ruling reversing a US jury's more than USD235 million verdict for infringing a patent of GlaxoSmithKline's blood pressure drug Coreg. US District Judge Leonard Stark in Wilmington, Delaware ruled Wednesday that Teva's generic version didn't infringe Glaxo patent. As per the ruling, the evidence did not support the jury's finding that Teva caused doctors to prescribe the generic for congestive heart failure. According to the judge, doctors were relying on other information. In June, the jury had awarded GSK USD234.1 million in lost profits and said GSK deserved an additional USD1.4 million in royalties. The jury also had rejected Teva's contention that the patent was invalid. Responding to the verdict, GSK said: "We are disappointed with the judge's decision and are reviewing our options."----------Utility provider SSE confirmed its intention to grow its full-year dividend, as it said Thursday it expects its wholesale business to see a sharp rise in profitability while forecasting a challenging new financial year amid a number of changes. For the current financial year ending Saturday, SSE expects to increase its dividend at least in line with UK retail prices index inflation of 3.7%. In financial 2017 SSE paid 91.3 pence per share in dividends, suggesting at least 94.68p for financial 2018. SSE also anticipates all three of its units - wholesale, retail and networks - to be profitable, despite mixed fortunes. In wholesale it expects operating profit to be "significantly" higher than the year before. This is after it increased its electricity output from its renewable and gas-fired generation plant. ----------Online price comparison platform Moneysupermarket.com Group has agreed to acquire internet and mobile phone comparison business Decision Technologies for GBP40 million. Decision Technologies operates both a business-to-business service as well as one directly to consumers through brands such as broadbandchoices.co.uk.----------Softbank is nearing an agreement to acquire a minority stake in Swiss Re, according to a Bloomberg report. Softbank is planning to buy a 25% stake at a price of CHF100 to CHF105 per share, the news agency reported. Swiss Re sahres closed at CHF95.16 on Wednesday, up 1.3% on the day. Back in February, Swiss Re had said it was engaged in preliminary discussions with SoftBank regarding a potential minority investment in Swiss Re.----------MARKETS----------London share prices were firm in late morning trade Thursday ahead of the long Easter weekend, amid weakness in the pound. Wall Street indices were called higher, with the tech-heavy Nasdaq Composite pointed up 0.8%, while the Dow was indicated up 0.3% and the S&P 500 up 0.4%. Technology shares have been under pressure of late over data privacy concerns.----------FTSE 100: up 0.5% at 7,077.55FTSE 250: up 0.4% at 19,442.16AIM ALL-SHARE: down 0.1% at 1,013.43GBP: down at USD1.4053 (USD1.4102)EUR: down at USD1.2300 (USD1.2345)GOLD: soft at USD1,323.30 per ounce (USD1,329.15)OIL (Brent): soft at USD68.61 a barrel (USD68.79)(changes since previous London equities close)----------ECONOMICS AND GENERAL----------The UK economy expanded at a slower pace as previously estimated in the fourth quarter, final data from the Office for National Statistics showed. Gross domestic product grew 0.4% quarter-on-quarter, slower than the 0.5% expansion seen in the preceding period. The rate came in line with the second estimate published on February 22. The statistical office confirmed 1.4% annual growth for the fourth quarter. GDP growth for 2017 was revised up marginally to 1.8% from 1.7%. Nonetheless, this was slightly weaker than the 1.9% growth seen in 2016.----------UK mortgage approvals declined more than expected in February, the Bank of England reported. The number of loans approved for house purchases fell to 63,910 from 67,110 in January. The expected level was 66,000. Secured lending grew at a faster pace of GBP 3.7 billion after rising GBP 3.4 billion in January. Consumer credit increased by GBP 1.6 billion or 0.8%. This was bigger than the expected growth of GBP 1.4 billion. Data showed that loans to non-financial businesses rose GBP 3.6 billion, in contrast to a decline of GBP 1.5 billion in January.----------UK house prices increased at a slower pace in March, data from Nationwide Building Society showed. House prices grew 2.1% year-on-year in March, slower than the 2.2% increase seen in February. A similar slower growth was last seen in August. Economists had forecast a 2.6% rise. On a monthly basis, house prices dropped unexpectedly by 0.2% following February's 0.4% decrease. This was the second consecutive fall in prices. Prices were forecast to rise 0.2%. "Looking ahead, much will depend on how broader economic conditions evolve, especially in the labour market, but also with respect to interest rate," Robert Gardner, Nationwide's chief economist, said.----------UK consumer sentiment strengthened to the highest level in ten months in March, survey data from GfK showed. The consumer confidence index rose to -7 in March from -10 in February. This was the highest score since May last year, when the reading was -5.----------The number of cars built in the UK has fallen again following the seventh consecutive month of decline in the domestic market, new figures show. Just under 145,500 cars rolled off production lines last month, 4.4% fewer than in February last year, the Society of Motor Manufacturers and Traders reported. There was another double-digit decline in production of cars for the UK, down by 17%, following falls of 24% in December, 28% in November and 14% in September. Exports also fell, by 0.8%, with 117,139 vehicles shipped overseas, 80% of the total output. Mike Hawes, SMMT chief executive, said: "Another month of double digit decline in production for the UK is of considerable concern, but we hope that the degree of certainty provided by last week's Brexit transition agreement will help stimulate business and consumer confidence over the coming months.----------With one year to go until Brexit, UK Prime Minister Theresa May is mounting a whirlwind tour of the four nations of the UK with a promise to keep the country "strong and united". Speaking to voters in England, Scotland, Northern Ireland and Wales, May will say that, whether they voted Leave or Remain, what is important now is making Brexit "a success for everyone". As the final year countdown began, she was buoyed by the EU's approval for a 21-month transition period after the official date of Brexit on March 29, 2019 to allow the UK to prepare for its new relationship with Europe. But tough negotiations on the nature of the future relationship lie ahead over the months before a planned agreement in the autumn.----------Voters are more pessimistic about Brexit, but few have changed their minds about whether the UK should remain part of the European Union, according to a leading pollster. John Curtice, who correctly predicted the Conservatives would lose their majority in the 2017 general election, said there is "far from sufficient evidence" that a second referendum would reverse the result of the original vote. Analysis of polling since the 2016 ballot shows "increased pessimism" about the likely outcome of the withdrawal talks - but little shift in voter intentions, according to the University of Strathclyde academic.----------The two Koreas have agreed to hold a summit on April 27, the South Korean news agency Yonhap has reported, following talks in the border village of Panmunjom on Thursday. The summit - only the third to take place since the 1950-53 Korean War - is to be attended by North Korean leader Kim Jong Un and South Korean President Moon Jae In. The pair will meet in the Peace House on the southern side of Panmunjon, Yonhap reported. The two sides are also to hold working-level contacts on Wednesday to discuss protocol and security arrangements.----------US President Donald Trump dismissed his secretary of veterans affairs, a move that had been expected for weeks amid a shakeup of personnel on Trump's team. Trump announced in a tweet his intention to replace Veterans Affairs Secretary David Shulkin, a medical doctor and former hospital executive, with White House doctor Ronny L Jackson. Jackson, a Navy admiral, was in the spotlight in January when he declared Trump "fit for duty" and "mentally very sharp, very intact" after conducting his first physical examination since taking office.----------
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