FTSE rallies on retailers and pub group bid

Archived article

Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.

UK stocks started the week on a bright note following advances on Asian exchanges with the benchmark FTSE 100 index closing up 1.1% at 7,195.6

Despite a downbeat Household Finance survey by researchers IHS Markit, supermarkets led the gains with Ocado up 4.6% at £12.04, Sainsbury up 3.2% at 188p and Marks & Spencer up 2.5% at 186p.

The best performing stock was pub group Greene King, up 50% to 848p, after Hong Kong's CK Asset Holdings tabled a bid a £2.7bn bid for the firm.

Greene King directors will recommend that shareholders accept the offer, from Asian billionaire Li Ka-Shing, as 'fair and reasonable'.

Facilities management company Mitie climbed 1.8% to 162p on the back of news that it had agreed to sell its catering and hospitality business to CH&CO for up to £85m.

Sale proceeds would be used to strengthen Mitie's balance sheet and trim debt.

Storage company Safestore gained 2.8% to 639p after announcing that it had formed a joint venture with Carlyle European Real Estate Fund to acquire Dutch group M3 Self Storage.

Safestore would buy a 20% equity stake for around €5m and provide management services to the venture.

Data analytics company Ixico jumped 26% to 43p as it forecast full-year revenue and earnings 'materially' ahead of market expectations.

Mineral processing group Tri-Star Resources jumped 11% to 40p as commercial-grade production commenced at an antimony-gold processing facility in Oman, of which it held a 40% stake.

Antibiotics developer Motif Bio rallied 3.5% to 2.4p on revealing that it was planning to combat Listeria infections.

AfriTin Mining advanced 3.5% to 3.6p on heralding the first production of tin concentrate at its flagship Uis mine in Namibia.

Alternative fuels developer Quadrise Fuels International sank 2.5% to 3.85p after it revealed that it was in advanced talks with a potential funding provider, sparking concerns of a dilutionary equity raising.

Immunotherapy-based cancer treatment developer Scancell fell 7% to 6.75p after it withdrew a delayed regulatory application in the US to allow the UK arm of a clinical trial to proceed.