Markets are in freefall this morning but Wood Group is managing to comprehensively underperform despite the backdrop. The company had been in the sights of Sidara in terms of an acquisition, but this morning the suitor has advised that in light of rising geopolitical risks and financial market uncertainty, a firm offer won’t now be forthcoming. The Wood Group share price is down 38% in early trade.
Another underperformer in the FTSE-250 this morning was Clarkson, who published interim results ahead of the open. These presented something of a mixed bag with profits down a fraction but the forward order book was reported as looking robust, management were convinced that full year expectations would be met and the interim dividend was hiked by 6%, too. The market is however showing a degree of reluctance here with Clarkson’s share price being one of the worst performers in the FTSE-250, down 8% an hour into the day – although this was a far better position than the close on 20% loss printed earlier.
One good news story from the market this morning at least was from Guild Esports, the gaming company which David Beckham invested into. After last week’s announcement of a strategic review, this morning a note has been issued stating that DCB Sports has signed a Letter of Intent to acquire the whole business including its liabilities. DCB is a California-based investment management company specialising in emerging sports teams and novel leagues. This would be DCB’s first foray into esports. The Guild Esports share price is up 125% just after 9am, having recovered the bulk of last week’s losses as a result.
Headlines we expect on Tuesday
Intercontinental Hotels Interim Results
This time last year Total gross revenue $15.2bn, Operating Profit $584m, Interim dividend 48.3c
Travis Perkins Interim Results
This time last year Revenue £2,472m, Adjusted operating profit £112m, Interim dividend 12.5p
