Pound Slides on Fed Rate-Rise Prospect, UK Fiscal Worries

0721 GMT - The pound slides to its lowest against the dollar since March 1985 on prospects of a large interest-rate rise from the U.S. Federal Reserve later Wednesday and concerns about upcoming fiscal spending announcements by new Prime Minister Liz Truss, ING analyst Francesco Pesole says in a note. This is despite the prospect of the Bank of England raising U.K. interest rates on Thursday. "The pound may remain volatile today," he says. Reports that Truss may push for tax cuts "may ease some concerns about the clouded U.K. economic outlook, but also fuel doubts about the sustainability of expansionary fiscal policy." GBP/USD falls to a low of $1.1305, according to FactSet. (jessica.fleetham@wsj.com)


Companies News: 

Land Securities London Portfolio Signs New Rent; Occupancy on the Rise

Land Securities Group PLC said Wednesday that operational momentum has continued in its central London portfolio, signing new rent, with occupancy rising since the end of fiscal 2022.


Keywords Studios 1H Pretax Profit Rose Amid Strong Demand Levels for Content

Keywords Studios PLC reported on Wednesday a significant rise in pretax profit for the first half of 2022, as revenue rose on strong demand levels for its content.


S4 Capital 1H Operating Loss Widened Significantly; FY Outlook Unchanged

S4 Capital PLC on Wednesday reported a significantly widened operating loss for the first half of 2022, and said its full-year like-for-like net revenue growth target remains unchanged at 25%.


Aveva Agrees to GBP9.48 Bln Takeover by Schneider

Aveva Group PLC said Wednesday that it has agreed to a 9.48 billion pound ($10.79 billion) takeover by its major shareholder French energy management and automation group Schneider Electric SE.


Galliford Try FY 2022 Pretax Profit Fell; Starts GBP15 Mln Share Buyback

Galliford Try Holdings PLC on Wednesday said that its fiscal 2022 pretax profit fell on a statutory basis, though it rose on an adjusted basis, and that it will buy up to 15 million pounds ($17.1 million) in a share-buyback program.


Ten Entertainment Swung to 1H Pretax Profit as Revenue Rose on Higher Sales

Ten Entertainment Group PLC said Wednesday that it swung to a first-half pretax profit as revenue rose on record sales, and that its performance for the year was in line with expectations.


Games Workshop Early FY 2023 Performance Meeting Views; Declares Dividend

Games Workshop Group PLC said Wednesday that core revenue rose and pretax profit slipped in the three months to Aug. 28, in line with expectations, and declared a dividend.


City Pub Swung to 1H Pretax Profit, Revenue Rose in Covid-19 Recovery

City Pub Group PLC said Wednesday that it swung to a pretax profit in the first half and that revenue rose significantly as it recovered from the effects of the coronavirus pandemic.


Pendragon 1H Pretax Profit Rose on Improved Margins

Pendragon PLC reported on Wednesday an increased pretax profit for the first half of 2022 helped by higher margins on new and used vehicles sales and that it expects supply shortfalls to remain.


WANdisco Signs $25 Mln Contract, Sees 2022 Bookings Beating Market Views

WANdisco PLC said Wednesday that it has signed a $25 million contract with a major global communications company, and that it expects 2022 bookings to significantly exceed market expectations.


LXI REIT in Discussions With Sainsbury's Over GBP500 Mln Sale, Leaseback

LXI REIT PLC said Wednesday that it is in discussions to acquire a portfolio of grocery stores from J Sainsbury PLC on a sale-and-leaseback basis for an expected 500 million pounds ($569 million).


JD Sports Agrees to Deal Worth GBP5.5 Mln With Former Chairman Peter Cowgill

JD Sports Fashion PLC said Wednesday that it has reached a deal with former Executive Chairman Peter Cowgill, which includes enhanced restrictive covenants for a two-year period and a consultancy agreement.


Polyus 1H Revenue Fell on Lower Gold Sales, Higher Costs

Polyus PJSC said Wednesday that revenue fell for the first half as the volume of total gold sales decreased and its total cash cost per ounce sold, or TCC, rose 12% in the period to $435.


Petershill Partners Posts 1H Pretax Loss, Upgrades 2022 Views; Declares Dividend

Petershill Partners PLC on Wednesday reported a pretax loss for the first half of 2022, raised its full-year guidance and declared a dividend payout.


SRT Marine Systems to Report Improved 1H Performance Vs 1H 2022; Shares Rise

Shares of SRT Marine Systems PLC rose 11% on Wednesday after the company said that it expects to report earnings for the first half of fiscal 2023 that are better than the same period a year earlier following an excellent start to the year.


Frontier Developments FY 2022 Pretax Profit Fell Sharply on Higher Costs

Frontier Developments PLC reported on Wednesday a significant decline in pretax profit for fiscal 2022 after the company booked higher costs, and said the board remains confident about meeting views for fiscal 2023.


Warpaint London 1H Pretax Profit Rose on Strong Profit Margin; Raises Dividend

Warpaint London PLC on Wednesday reported an increased pretax profit for the first half driven by a significantly improved gross profit margin and higher revenue.


TP Group 1H Pretax Loss Narrowed on Lower Costs; TPG Maritime Hurt by Legacy Contracts

TP Group PLC said Wednesday that its first-half pretax loss narrowed after booking lower costs, and that the performance of its TPG Maritime division remains hampered by legacy contracts.


SDI Group Sees FY 2023 Earnings in Line With Market Views

SDI Group PLC said it has made a good start to the year and anticipates reporting full-year earnings in line with market expectations.


XPS Pensions Acquires Penfida Limited; Sees 2022 Ahead of Board Views

XPS Pensions Group PLC said Wednesday that it has acquired Penfida Limited for 11.6 million pounds ($13.2 million), and that it expects full-year performance to be above views.

Market Talk: 

Schneider's Deal for Aveva Seems Priced Into Shares

0721 GMT - Schneider Electric's move to acquire the remaining shares in Aveva has questionable merits, but given recent underperformance of the company's shares, market sentiment looks priced in, Berenberg analysts say in a research note. The analysts say they struggle to see how Schneider's GBP31-a-share bid for the U.K. software company would deliver more than 2% to 3% growth to its earnings per share. "In our view, such marginal accretion is outweighed by the impact it has on the glowing capital allocation track record, which the company has spent several years rebuilding," Berenberg says. The deal is an "arguably unnecessary and distracting side-show" to Schneider's focus on electrification and industrial automation, they add. Shares in Schneider lose 2% to EUR113.76; Aveva gains 2.1% to 3,111 pence. (pierre.bertrand@wsj.com)

Contact: London NewsPlus; paul.larkins@wsj.com

(END) Dow Jones Newswires

09-21-22 0356ET