Source: Sharecast
Stocks to watch
Convenience food maker Greencore said it had reached agreement in principle to take over rival Bakkavor in a deal worth £1.2bn after two previous approaches were rejected. Bakkavor shareholders would be entitled to receive 85p in cash and 0.604 Greencore shares along with the Bakkavor 2024 final dividend of 4.8p a share. Greencore shareholders would own approximately 56% and Bakkavor investors 44% of the combined group.
Real estate group Great Portland Estates has signed nine leasing deals over the past three weeks worth £7.2m of annual rent. The lettings, which represent 33,500 square feet of office space across six of its buildings, were secured at 14.1% ahead of estimated rental value, as the company pointed to “strong leasing momentum” for its fully managed properties.
Wizz Air said in an update on Wednesday that it carried 5.1 million passengers in March, a 6.4% year-on-year increase, with seat capacity up 6.7% and a load factor of 90.5%, slightly down from 90.8% last year. The low-cost carrier said that despite the shift of Easter to April, March load factor held steady, as it also reported strong forward bookings and higher April fares. Wizz Air also continued to reduce its environmental impact, cutting carbon dioxide emissions per revenue passenger kilometre by 1.0% year-on-year to 51 grams.
Newspaper round-up
A court of appeal ruling that has left lenders fearing PPI-level compensation bills over the motor finance commission scandal “goes too far”, the City regulator said on Tuesday. The Financial Conduct Authority (FCA) made the comments in a written submission to the supreme court on Tuesday, as part of a high-profile case being closely watched by the government. The Treasury, which tried but failed to intervene in the case, is concerned the standing decision could spook businesses and threaten investment in the UK. – Guardian
Ten leading car manufacturers – plus two automotive trade bodies – have been fined more than £77m by a UK regulator after admitting breaking competition law in relation to advertising their green credentials. The Competition and Markets Authority (CMA) launched an investigation after a tipoff from Mercedes-Benz, which allowed the German marque to avoid financial penalties despite also being involved in the cartel. – Guardian
Nearly 400,000 more people will be judged unfit to work after Liz Kendall scrapped Tory reforms in her overhaul of Britain’s welfare system. The decision by the Work and Pensions Secretary to undo tighter criteria for people applying for sickness benefits means many more will qualify for it by the end of the decade. – Telegraph
Energy supplier Rebel Energy has gone bust after allegedly raiding funds that were supposed to be ring-fenced for paying green levies. It means about 80,000 domestic customers and 10,000 businesses have been abruptly left without a supplier. The Bedford-based firm’s collapse followed a compliance order imposed a few weeks ago by Ofgem, the energy regulator, and raises new questions about the watchdog’s ability to protect customers. – Telegraph
Tesla sales in key European markets fell again in March, adding to signs that consumers are shunning Elon Musk’s electric car brand as competition from China stiffens and some protest against his political views. New Tesla sales in France and Sweden dropped for a third consecutive month, contributing to its lowest first-quarter sales figures in the two countries since 2021. The European figures come before the world’s most valuable listed carmaker is due to report on Wednesday how many vehicles it delivered worldwide during the first quarter of 2025. – The Times
US close
Major indices were mostly higher at the close on Tuesday as investors digested a report from the Washington Post that the White House was considering slapping 20% tariffs on most imports into the US.
At the close, the Dow Jones Industrial Average was down 0.03% at 41,989.96, while the S&P 500 advanced 0.38% to 5,633.07 and the Nasdaq Composite saw out the session 0.87% firmer at 17,449.89.
The Dow closed just 11.80 points lower on Tuesday following gains recorded in the previous session as the blue-chip index wrapped up an otherwise disappointing Q1 on a high.
Traders continued to look ahead to Donald Trump's 'Liberation Day' tariff announcements on Wednesday, with the White House expected to unveil reciprocal tariffs on goods from virtually all countries, rather than just the 10-15 with trade imbalances with the US.
Also in focus were a pair of manufacturing purchasing managers' index reports, with S&P Global's manufacturing PMI falling to 50.20 in March, down from 52.70 in February, while the Institute for Supply Management's manufacturing PMI slipped to 49 in March, down from 50.3 in the prior month and below forecasts a reading of 49.5.