Europe Earnings: 3i Group, BTG, Close Brothers, Elan

Nigel Thomas
24 May, 2013
New York City

3i Group offers to acquire Barclays European infrastructure fund division. BTG agreed to acquire targeted therapies division of Nordion for

[R]3:20 PM Frankfurt – 3i Group offers to acquire Barclays European infrastructure fund division. BTG agreed to acquire targeted therapies division of Nordion for £133 million and also signed agreement to buy the EKOS valued £120 million. Close Brothers third quarter unveiled strong results.[/R]

In London trading, FTSE 100 index slipped 0.6% or 40.26 to 6,656 and in Frankfurt the DAX index fell 0.6% or 54.6 to 8,297.

In Paris, CAC 40 index slid 0.1% or 5.13 to 3,962.

3i Group Plc slipped 1.6% to 356.70 pence after the UK based venture capital firm offered to acquire Barclays Plc’s European infrastructure fund business. The offer price is not disclosed.

BTG Plc soared 4.9% to 356.33 after the UK based healthcare company agreed to acquire targeted therapies division of Nordion Inc. for about $200 million or £133 million.

BTG also signed agreement to buy the EKOS Corporation for an initial cash consideration of nearly $180 million or £120 million.

The company plan to place approximately 32.8 million new ordinary share of through an accelerated book-building process.

Revenue for the year ending in March soared 19% to £233.7 million and profit for the year jumped £16.4 million compared to £14.6 million and diluted earnings per share rose 5 pence from 4.4 pence a year earlier.

Close Brothers Group Plc plunged 7.5% to 1,008 pence after the UK based financial services group said its banking division maintained “strong performance” in the third quarter and loan book rose 2% to £4.5 billion and for year-to-date climbed 9%.

The bad debt ratio was in line with the first-half and net interest margin also remained “broadly stable.”

The asset management division had positive sales momentum in the quarter. Total asset under management grew 4% to £9.2 billion and for the year-to-date jumped 10%.

Elan Corporation, plc, the Ireland based biotech firm rejected revised offer of $6.4 billion from investment firm Royalty Pharma of May 20 to acquire all of shares for $12.50 per share from $11.25 earlier.

Robert Ingram chairman of the Elan said, ""The revised offer from Royalty Pharma continues to grossly undervalue our current business. The offer is no more than an opportunistic attempt to acquire the company.”