FTSE in-depth: Full steam ahead for Forth Ports
It's a jackanory that continues to float the City's boat. Forth Ports is set to become one of the first big takeover stories of 2010.
Geoff Foster: The fabulous festive Footsie returned to the level seen prior to the collapse of Lehman.
Shares of the ports and property group steamed further ahead and touched £12 before closing 46p higher at 1146p on growing speculation that 23.5% shareholder Arcus Infrastructure Partners will launch a bid in the New Year.
Forth Ports' shares have risen strongly in recent months despite disappointing first-half results in August and a warning earlier in December from management that it expects full-year results to be at the lower end of analysts' forecasts after a challenging year.
Corporate activity does look on the horizon for a group that over the years has attracted the attention of venture capitalist Duke Street and Aussie investment bank Macquarie.
Forth Ports owns and operates seven commercial ports in the UK - Tilbury on the Thames, Dundee in the Firth of Tay and five in the Firth of Forth. Perhaps of greater interest to any bidder is the 400 acres of land it owns that are available for development and which form the major part of Edinburgh's waterfront.
The fabulous festive Footsie returned to the level seen prior to the collapse of Lehman Brothers in September 2008. The pivotal move came despite many traders extending their holiday, preferring to eat the rest of the turkey and mince pies rather than wait for the phone to ring in half-empty dealing rooms. However, it moved the blue-chip index 35.2 points higher to 5437.61, to trade 21 points above the pre-Lehmans close and at a 15-month peak.
Wall Street edged 20 points higher in thin trading with news that US consumer confidence had risen to a three-month high in December, reinforcing the view that the world's largest economy is gradually recovering.
Oil looks set to rise above $80 a barrel within days as concern over the stability of Iran, cold winter conditions and falling stockpiles in the US add upward pressure to crude.
Oil briefly touched a five-week high yesterday of $79.39 a barrel, a rise of 62 cents, before retreating in thin but volatile trading in New York.
Miners sewed a rich seam as the price of copper rose almost 3% to $7,273 a metric ton on expectations for increasing demand from China and ahead of strike votes at two of Chile's biggest mines.
Copper producer Kazakhmys rose 22p to 1310p after securing a bigger-than-expected £1.7bn loan from China. Antofagasta rose 37p to 972.5p, Lonmin 61p to 1941p, Vedanta Resources 80p to 2620p and Xstrata 26.5p to 1114.5p.
Strongly supported after concluding the sale of its Alcan Packaging division to Amcor for £1.2bn, Rio Tinto jumped 50p more to 3420p. Accendo Markets rates Rio as a buy, not only after selling Alcan to reduce debt, but also on the basis that the stock looks set for further upgrades as analysts move to raise aluminium price forecasts for 2010.
Property group Liberty International, which owns many of the UK's biggest shopping malls, including Lakeside in Thurrock, the MetroCentre in Gateshead and Harlequin in Watford, gained 24p at 510.5p. Former boss Sir Donald Gordon and family interests own 14.8%.
Other property groups attracted buyers amid hopes that UK interest rates will remain at mezzanine levels in 2010. Segro added 10.7p at 343.7p, British Land 14.3p at 462.3p and St Modwen 10.7p at 190.7p.
Smiths Group, which makes X-ray scanners that airports use for screening, climbed 26.5p to 1007p on hopes for more orders following the failed terrorist attack on a jet bound for Detroit on Christmas Day.
After a regional wing of Al Qaeda warned Americans to expect more terrorist attacks, British Airways slipped 3p to 189p. Looming strike action also rendered BA friendless. The airline got a reprieve from a planned 12-day strike before Christmas after the High Court upheld BA's complaint that union Unite had breached industrial relations law by balloting staff who had left the company. But Unite said it would move towards a new ballot once the festivities were over.
Despite the spending frenzy that has gripped the High Street before and after Christmas, department store Debenhams fell 2.55p to 77.4p on fears it has underperformed its rivals.
Shares of Gem Diamonds continued to sparkle at 233.2p, up 11.4p. Buyers have piled in since it announced a long-term agreement to supply fancy yellow diamonds from the Ellendale mine in Western Australia to the world's premier jeweller, Tiffany & Co.
Most watched Money videos
- 2025 Aston Martin DBX707: More luxury but comes with a higher price
- Fiat pledges to cease grey car production as they launch new EV
- Land Rover unveil newest all-electric Range Rover SUV
- Blue Whale fund manager on the best of the Magnificent 7
- Tesla unveils new Model 3 Performance - it's the fastest ever!
- Mercedes has finally unveiled its new electric G-Class
- 'Now even better': Nissan Qashqai gets a facelift for 2024 version
- Mini Cooper SE: The British icon gets an all-electric makeover
- Skoda reveals Skoda Epiq as part of an all-electric car portfolio
- How to invest for income and growth: SAINTS' James Dow
- BMW meets Swarovski and releases BMW i7 Crystal Headlights Iconic Glow
- Mini celebrates the release of brand new all-electric car Mini Aceman
- Avon Protection handed £38m gas mask contract by MoD
- MARKET REPORT: North Sea giant Harbour closes in on £9bn...
- Bailey pulls his punches on interest rates yet...
- BBVA goes directly to shareholders as it steps up bid for...
- Bank of England paves way for Britain to cut interest...
- Watches of Switzerland buys Italy's Roberto Coin Inc for...
- ITV hit by Hollywood strikes as it pins hopes on Euros...
- BAE Systems tools-up for growth as Britain plots defence...
- Ford confirms it will cull another of its best-selling...
- Takeover target Wood Group hit by slump in revenues as...
- Used car sales hit a five-year high as fresh supply of...
- Mortgage rates are climbing again - should we be worried?...
- Why we need more than a British Isa to move the dial on...
- BUSINESS LIVE: BoE base rate decision; ITV eyes ad market...
- ITV hopes for summer ad boom as it continues to reel from...
- Vodafone told to boost security as £15bn Three merger is...
- Cameron left red-faced as Greensill sues Government over...
- Two in five believe ovens will become obsolete as the air...