Market movers: Aviva, Friends Provident, Petrofac, Quindell, Eland Oil...
London’s top share index fell as the recent oil price fall took its toll on fabrications firm Petrofac (LON:PFC), which nosedived 23% following a profit warning.
The North Sea had also been a problem, said chief executive Ayman Asfari, who added the business has fallen short on a small number of projects.
As a result, 2015 net profits will be around $500mln, nearly 10% lower than previous predictions. Shares slumped to 903p.
Elsewhere, Friends Life Group (LON:FRG) added 7% to 372p, a rise of 25p, as traders reacted to news of a possible £5.6bn merger with rival insurer Aviva (LON:AV.).
A tie-up would create the UK's biggest insurance, savings and asset management business.
Aviva put out a statement after markets closed on Friday confirming it was close to an all paper deal. Shares in Aviva were 4% lower at 519p.
Financials were the best performing blue chip stocks, which added 10 points to 6,761.
London Stock Exchange (LON:LSE) shares jumped up 52p to 2,155p, while Royal Bank of Scotland (LON:RBS) rose 3p to 238p.
Italian bank Intesa SanPaolo is looking at a bid for Coutts International, the wealth management arm of Royal Bank of Scotland, according to reports.
Miners were struggling with Fresnillo (LON:FRES) down 10p to 753p, Randgold Resources (LON:RRS) dipped 46p to 4,450 while Anglo American (LON:AAL) was 14p lower at 1365p.
Troubled insurance claims processor Quindell (LON:QQP) bounced 27% higher and was the best performing stock among the mid-caps.
The firm may try to sell some of its peripheral businesses following the resignation of founder Rob Terry, according to reports.
In the junior space, MotiveTV (LON:MTV) shares were 25% higher. Last week, the firm’s partner Siyaya Free To Air TV was awarded a television licence by the Independent Communications Authority of South Africa.
Eurasia Mining (LON:EUA) added 18% to 0.5p. The company was recently granted a 'discovery certificate' for a 21.5sq km area of alluvial platinum reserves in Russia.
Eland Oil & Gas (LON:ELA) chief George Maxwell said management is ‘very pleased’ with operational progress being made on its flagship Opuma Field, part of the OML40 licence area in the Niger Delta.
Production is over 3,500 barrels of oil a day, or a net 1,575 to the company’s local subsidiary, while the average ‘uptime’ of this month has been around 90%. Shares rose 9% to 78.3p.
Horizon Discovery (LON:HZD) has negotiated an exclusive licensing and distribution agreement with Adarza BioSystems, a developer of a new early stage disease diagnostics tool. Shares rose 5% to 156p.
Sound Oil (LON:SOU), meanwhile, has launched an all-paper offer that values Antrim at 3.44p a share, or £6.35mln in total.
At the other end of the chart, MoPowered Group (LON:MPOW) dropped 30% to 5p as the mobile commerce software specialist signed up less customers than forecast and predicted lower revenues of £1.6mln.
Engineering group Avingtrans (LON:AV.) dropped 20% as it said "significant restructuring" by one of its key customers was affecting short-term demand in its aerospace division.
Meanwhile International Ferro Metals Limited (LON:IFL) was down 13% to 5p following news that two of its ferrochrome furnaces in South Africa were suspended for three days after a health and safety incident
- Proactive Investors
- Published on:
- November 24, 2014
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