Daily Business Live

Amazon buys MGM; SSE sets out SGN sale timetable


6.15pm: Frasers denies Hugo Boss rumour

In a statement issued after the markets closed Frasers Group said “wishes to make a market clarification that Frasers Group does not intend to bid for Hugo Boss”.

4.30pm: FTSE pick up

Blue chips came off their lows as Wall Street steadied on the back of Fed attempts to calm nerves on inflation.

The FTSE 100 closed just 2.86 points lower at 7,026.93.

2.30pm: Amazon busy MGM

Online shopping giant Amazon is buying MGM, the movie and TV studio behind James Bond, and will see it as a way to load up its video streaming service.

Amazon is paying $8.45 billion for MGM, making it the company’s second-largest acquisition after it bought grocer Whole Foods for nearly $14 billion in 2017.

… more follows

10.30am: GDP rises

Scottish GDP in March increased 2.1%, with broad-based growth across all sectors, although the economy remains 5.4% below the pre-pandemic level of February 2020.

Economy Secretary Kate Forbes said: “Businesses continue to face considerable challenges as we emerge from lockdown, but today’s figures indicate we are taking tentative steps towards recovery.

“Economic recovery is a priority of the Scottish Government and we will work closely with business to unlock the potential in our economy and create jobs.”

8.30am: London higher

The FTSE 100 has edged higher, up 9 points at 7,038.64 after investors in Asia turned positive.

7am: Marks & Spencer closing more stores

M&S label

Marks & Spencer is to close more stores after reporting a huge loss.

The group currently has 254 stores selling food and clothing, but it plans to reduce this to around 180 over the next 10 years, with some of these being replaced by food-only or purely clothing and home sites.

Full story here

7am: SSE disposal plan

Energy group SSE is expected to commence a disposal process for all of its interest in Scottish Gas Networks during mid-summer, with the intention of having an agreed sale by the end of the calendar year.

It announced it would sell its 33% stake in SGN in April as part of its plan to focus on renewable generation.

The Perth-based company announced annual adjusted profit before tax was up 4% to £1.064 billion.

The Perth-based company will recommend a final dividend of 56.6p per share for payment on 23 September, making a full-year dividend of 81.0p per share.

7am: Mattioli Woods acquires Maven

Mattioli Woods, the specialist wealth and asset management business has announced a double swoop on Maven Capital Partners and LWMG Topco, the holding company of Ludlow Wealth Management Group.

Maven, a leading private equity investor in UK SMEs with £772 million of assets under management, will be acquired in a £100m cash and shares deal.

Full story here

7am: Inflows higher at St James’s Place

Wealth manager St James’s Place said gross inflows for the five months to May would be around 23% higher than at this time last year.

“The combination of improving client confidence and the high level of accumulated savings, has driven strong engagement between our advisers and their clients,” the company said.

Global markets

Wall Street closed in negative territory with the Dow Jones Industrial Average closing down 0.24%, the S&P 500 falling 0.21% and the Nasdaq 0.03% lower.

However, easing inflation worries saw a positive performance in Asia this morning, with Japan’s Nikkei 225 rising 0.35% while Hong Kong’s Hang Seng is up 0.78%

The one area which may provide some fireworks in the cryptocurrency markets as the third day of the Consensus industry conference kicks off.

Sterling was 0.11% higher against the dollar at $1.416.

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