UK Retail Sales Flat, Accenture Falls 1%

Arthi Gupta
20 Dec, 2012
New York City

The UK indexes edged modestly higher after retail sales remained flat in November. Weir Group agreed to acquire engineering company Mathena. Accenture quarterly revenues rose 2% to $7.22 billion. HSBC subsidiary agreed to sell its entire 18% stake in Bao Viet for $340 million.

[R]3:20 PM London – The UK indexes edged modestly higher after retail sales remained flat in November. Weir Group agreed to acquire engineering company Mathena. Accenture quarterly revenues rose 2% to $7.22 billion. HSBC subsidiary agreed to sell its entire 18% stake in Bao Viet for $340 million.[/R]

The UK indexes gained a fraction and the pound was nearly unchanged. Markets in Europe and in London were in a holding pattern after U.S. lawmakers showed no progress on budget negotiations.

UK retail sales remained flat in November

In London, the benchmark index FTSE 100 gained 4.47 or 0.1% to 5,966.11 and the pound edged higher to $1.6288.

UK Retail Sales Flat

UK retail sales including automotive fuel remained flat from a month ago in November, after easing 0.7% in October, the Office for National Statistics said today.

Excluding automotive fuel, sales climbed 0.1% in November following a 0.5% decline in October.

Separately, The Council of Mortgage Lenders estimates that gross lending in November was £12.9 billion.

The CML estimated 950,000 property transactions, £156 billion of gross lending, and £12 billion of net lending in 2013.

Gainers & Losers

Accenture Plc fell 1% to $70.40 after the outsourcing services provider reported first quarter net revenues rose 2% to $7.22 billion from last year. Net income in the quarter rose to $699 million or $1.06 per share compared with $642 million or 96 cents per share last year.

Amlin Plc dipped 0.3% to 387.70 pence after the reinsurer estimated its losses from Superstorm Sandy, net of estimated reinsurance recoveries and inward reinstatement premiums, at £145 million.

Consort Medical plc soared 4.4% to 823.92 pence after the medical devices manufacturer announced the proposed disposal of King to Ambu for a maximum consideration of $170 million, consisting of an initial payment of $120 million and contingent payments of up to $50 million, receivable over the next three years.

HSBC Holdings Plc dropped 0.1% to 652.40 pence after the financial services wholly-owned subsidiary, HSBC Asia-Pacific Insurance Holdings Ltd. agreed to sell its entire 18% stake in Bao Viet Holdings, to Sumitomo Life Insurance Co. for approximately 7,098 billion Vietnamese Dongs or $340 million, in cash.

The Weir Group PLC advanced 3.9% to 1,882 pence after the engineering company agreed to acquire Mathena Inc. Consideration will be via an initial payment of $240 million with a maximum deferred consideration of $145 million payable over two years, contingent upon meeting profit growth targets.