SABMiller accepts take-over offer
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The top flight index was being called to start the session 18 points lower from Monday's closing level of 6,371.18.
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SABMiller have agreed to a possible £44 per share takeover offer from AB InBev. Under the terms of the possible offer, SABMiller shareholders would receive £44 per share. The board of SABMiller has indicated to AB InBev it would be prepared to recommend the all-cash offer to shareholders.
Recruitment consultancy Michael Page posted a 10.2% increase in third-quarter gross profit to £139.2m thanks to good contributions from all four regions. At reported rates, third quarter growth was 4.8%, as foreign exchange volatility continued to impact results. The company said market and trading conditions across and within its regions was mixed, with EMEA recording its best quarter for almost four years, and particularly strong performances from France, Germany and Southern Europe.
Off the press
Barclays has chosen a veteran American banker as its new chief executive, signalling a dramatic shift back to its controversial investment bank. Jes Staley, 58, a former JP Morgan banker, is set to be appointed in the next two weeks, subject to regulatory approval. The appointment is likely to spark criticism from politicians and shareholders, who want to see a continued crackdown on excessive pay and poor returns at the bank. - The Times
Royal Dutch Shell is selling two assets in the North Sea as the big energy companies respond to high production costs and a slump in crude prices by turning their backs on the basin. Shell’s stake in the Gannet field, a complex of ageing oil production platforms and pipelines 110 miles east of Aberdeen, is being marketed to potential buyers, according to industry sources. - The Times
Santander is planning to defy rules intended to make banks safer by insisting that much of the power over its British business should remain in Madrid. The bank, the fifth-biggest in Britain, is planning to ask regulators for several waivers to UK ringfencing rules that will come into force in 2019. - The Times
US close
US stocks closed higher on Monday as Federal Reserve policymaker Dennis Lockhart called for an interest rate hike this year.
The Dow rose 0.28% to 17,132 points, the Nasdaq increased 0.18% to 4,839 and the S&P 500 climbed 0.10% to 2,017.
Lockhart said there could be enough economic data to consider an interest rate hike at the 27-28 October meeting but there will be much more available in time for the December meeting.
"I think October is a live meeting, clearly there is the potential that the data coming in, in advance of the October meeting will be sufficient … we have a lot more in December," he said following a speech to a university association in Orlando, Florida, according to Reuters.