FTSE 100 movers: CRH climbs on US speculation, Reckitt disappoints
The FTSE 100 extended its gains thanks to a weaker pound on Friday, though the rise was led by CRH on the back of comments from chief executive Albert Manifold about a possible US listing.
Speaking to the Irish Times after Deutsche Bank analyst speculation that the building materials group could list its US business in New York as the group’s stock trades at a discount to US peers, Manifold said: “In my 20 years in CRH we’ve certainly looked at it a number of times, but every time we’ve looked at it it’s never made sense.
“But we keep an open mind, and it’s something we keep under review with our advisers.” He also answered a question about potential share buyback programmes by saying, "We’ve done it in the past, and I suspect we’ll do it again at some stage."
UBS analysts said the obvious benefit of splitting "would likely be an overall higher valuation" but felt it was is "unlikely in the short term".
The four-day slump in the pound, was helping many of the FTSE 100's overseas focused groups, with dollar-heavy earners such as Imperial Brands, BAE Systems, Experian and Burberry.
"The Bank of England shying away from a rate hike in May and disagreement about the Irish border after Brexit have been a double whammy for the pound," noted analyst Jasper Lawler at London Capital Group after European Union officials poopooed the backstop solution proposed by the UK to solve the Irish border problem post-Brexit.
Leading the fallers was consumer goods manufacturer Reckitt Benckiser as the Durex, Dettol and Strepsils maker reported like-for-like sales growth up 2%, which short of the company-compiled consensus estimate for 2.6%.
Shire shares were lower after the hoped-for bid battle between Japan's Takeda and Dublin-based Allergan evaporated with the withdrawal of the botox maker overnight.
Even the return of Takeda with an improved proposal to acquire Shire for £47 per share, comprised of £21 cash paid in dollars and £26 of new Takeda shares, was not enough to perk investors up. This came a day after Shire said it had already turned down a £46.50 bid, of which £17.75 was in cash.
Market Movers
FTSE 100 (UKX) 7,358.10 0.40%
FTSE 250 (MCX) 20,211.47 0.32%
techMARK (TASX) 3,426.45 0.46%
FTSE 100 - Risers
CRH (CRH) 2,523.00p 4.00%
NMC Health (NMC) 3,700.00p 2.89%
Smiths Group (SMIN) 1,612.50p 2.58%
Standard Chartered (STAN) 764.20p 2.54%
Mediclinic International (MDC) 691.00p 2.43%
Just Eat (JE.) 745.40p 2.25%
Imperial Brands (IMB) 2,401.00p 1.95%
BAE Systems (BA.) 602.40p 1.69%
Experian (EXPN) 1,600.00p 1.59%
Burberry Group (BRBY) 1,740.00p 1.49%
FTSE 100 - Fallers
Reckitt Benckiser Group (RB.) 5,605.00p -3.13%
Shire Plc (SHP) 3,873.00p -2.57%
Smurfit Kappa Group (SKG) 3,128.00p -1.88%
GKN (GKN) 469.70p -1.65%
Rolls-Royce Holdings (RR.) 864.20p -1.44%
WPP (WPP) 1,145.00p -0.95%
DCC (DCC) 6,815.00p -0.94%
Paddy Power Betfair (PPB) 7,280.00p -0.82%
Anglo American (AAL) 1,769.00p -0.81%
easyJet (EZJ) 1,596.00p -0.75%
FTSE 250 - Risers
Ultra Electronics Holdings (ULE) 1,400.00p 5.82%
Capita (CPI) 158.85p 5.09%
Hammerson (HMSO) 541.80p 4.31%
On The Beach Group (OTB) 609.00p 4.10%
Intu Properties (INTU) 201.10p 3.47%
Inmarsat (ISAT) 375.80p 3.24%
IP Group (IPO) 138.40p 3.13%
Dunelm Group (DNLM) 577.00p 3.04%
JD Sports Fashion (JD.) 390.40p 2.79%
TalkTalk Telecom Group (TALK) 125.70p 2.78%
FTSE 250 - Fallers
Alfa Financial Software Holdings (ALFA) 355.00p -3.14%
Greene King (GNK) 562.80p -3.10%
Countryside Properties (CSP) 360.00p -2.96%
Sanne Group (SNN) 609.00p -2.56%
Melrose Industries (MRO) 230.40p -2.46%
Bakkavor Group (BAKK) 184.00p -2.13%
Weir Group (WEIR) 2,205.00p -2.00%
Hochschild Mining (HOC) 220.20p -1.96%
IMI (IMI) 1,064.00p -1.30%
Cranswick (CWK) 2,910.00p -1.29%