FTSE 250 movers: BBGI Global soars on takeover; WoS slips
By Frank Prenesti
Date: Thursday 06 Feb 2025
(Sharecast News) - FTSE 250 (MCX) 20,983.96 1.06%
BBGI Global Infrastructure shot higher on Thursday after saying it had agreed to be bought by Canadian pension fund manager British Columbia Investment Management in a £1.06bn deal.
Under the terms of the acquisition, BBGI shareholders will receive 147.5p per share in cash. This is a premium of 21.1% to the closing share price on Wednesday.
BBGI chief executive Duncan Ball said: "Since its launch in 2011, BBGI has grown to become one of the UK's largest listed infrastructure funds, with a globally-diversified portfolio of 56 low-risk, core infrastructure assets that deliver sustainable and long-term index-linked cash flows. Over this period, we have delivered a total net asset value return of 176.3%.
"Although both the BBGI supervisory board and the BBGI management board are confident that BBGI can continue to deliver sustainable cash flows to BBGI shareholders, the offer from BCI represents a premium to undisturbed share price and to net asset value, and provides BBGI shareholders with the opportunity to realise the value of their holdings in cash, at an attractive value in excess of the reasonable medium term prospects for BBGI on a standalone basis.
"As a result, both the BBGI supervisory board and BBGI management board have concluded that the offer is in the best interests of BBGI shareholders and BBGI as a whole."
Wizz Air took off on reports of short covering, along with a weaker oil price and US dollar.
Shares in Babcock spiked on Thursday as the UK defence contractor upgraded full-year expectations on the back of double-digit organic growth in its nuclear operations and strong growth in the marine division.
The company said it now expects revenue in the year to March 31 to come in at £4.9bn compared with forecasts of £4.51bn - £4.78bn and underlying operating profit to beat the top end of a £327.1m - £339.7m range. Babcock stock jumped 7.5% on the news.
Babcock on Thursday said its first-half strong trading performance had continued throughout the third quarter of the year, and the preliminary view of performance in January was also "encouraging".
"In nuclear, growth is driven by increased new build and decommissioning work in civil nuclear, as well as increased submarine support activity and higher than originally expected infrastructure revenues. In marine, the growth is enhanced by higher LGE volumes as well as the ramp-up of the (UK military satellite) Skynet programme," the company said on Thursday.
Broker Shore Capital maintained its 'buy' rating on Babcock shares, noting that "positive secular trends around defence spending and nuclear investment and decommissioning" would create strong value in Babcock's fundamental multiples, "especially as the balance sheet continues to strengthen".
"We hope to see further upgrade opportunities emerge as we enter Babcock's new financial year with more granular and firmer guidance," they added.
Shares in London-listed miner Ferrexpo rallied by 21% after the miner on Tuesday said a civil claim worth 157 billion Ukrainian hryvnia (£3bn) had been filed against its Ukrainian unit Ferrexpo Poltava Mining (FPM) in relation to alleged sale of waste products from the production of iron ore pellets. The stock tanked by 40% immediately after the news.
Watches of Switzerland backed its full-year guidance on Thursday as it trading in the 13 weeks to 26 January was in line with its expectations.
The luxury watch retailer said trading over the holiday period in the UK and US was "good", underpinning a third-quarter performance in line with its expectations.
The group said demand for its key luxury brands, particularly products on Registration of Interest lists, remains strong, outstripping supply in both the UK and US markets.
Market Movers
FTSE 250 - Risers
Ferrexpo (FXPO) 89.50p 21.60%
BBGI Global Infrastructure S.A. NPV (DI) (BBGI) 143.80p 18.06%
Wizz Air Holdings (WIZZ) 1,444.00p 13.61%
Babcock International Group (BAB) 582.00p 7.28%
International Public Partnerships Ltd. (INPP) 120.00p 4.90%
Ocado Group (OCDO) 325.50p 4.66%
Wood Group (John) (WG.) 70.75p 3.66%
Aston Martin Lagonda Global Holdings (AML) 107.80p 3.55%
NextEnergy Solar Fund Limited Red (NESF) 68.25p 3.41%
TBC Bank Group (TBCG) 3,490.00p 3.25%
FTSE 250 - Fallers
Chemring Group (CHG) 303.50p -2.88%
Indivior (INDV) 852.50p -2.63%
Harworth Group (HWG) 166.50p -1.77%
Baltic Classifieds Group (BCG) 340.00p -1.59%
CMC Markets (CMCX) 224.50p -1.54%
ITV (ITV) 73.85p -1.53%
Hill and Smith (HILS) 1,936.00p -1.33%
Paragon Banking Group (PAG) 771.00p -1.28%
Pollen Street Group Limited (POLN) 776.00p -1.02%
PayPoint (PAY) 696.00p -1.00%
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