LSE Agreed to Acquire Russell Investments for $2.7 B

Nigel Thomas
26 Jun, 2014
New York City

Barclays was sued by the New York attorney general for falsifying marketing material for dark pool trading. Dixons Retail net loss narrowed to

[R]4:00 PM Frankfurt – Barclays was sued by the New York attorney general for falsifying marketing material for dark pool trading. Dixons Retail net loss narrowed to £70.3 million. Dart Group profit surged 15% to £36 million. LSE agreed to acquire the U.S.-based asset manager Frank Russell for $2.7 billion. Standard Chartered fell on weak outlook.[/R]

In London trading, FTSE 100 index slid 0.2% or 12.26 to 6,721.36 and in Frankfurt the DAX index fell 0.8% or 78.45 to 9,789.30.

In Paris, CAC 40 index slipped 0.8% or 35.12 to 4,425.48.

Barclays Plc plunged 8.5% to 210.50 pence after the U.K.-based bank is facing civil lawsuit from New York State alleging that the bank falsified its marketing material regarding dark pool trading operations and misled investors.

Dixons Retail Plc rose 0.3% to 48.20 pence after the U.K.-based consumer goods retailer retailing and service provider reported revenue in the year ending in April increased 3% to £7.22 billion from £7.11 billion a year ago.

Loss in the year narrowed to £70.3 million compared to £172.4 million and diluted loss per share dropped to 1.9 pence from 4.5 pence a year earlier.

Dart Group Plc plunged 24% to 190.88 pence after the U.K.-based airline and logistic company said revenue in the year ending in March soared 29% to £1.12 billion from £869.2 million a year ago.

Profit in the year surged 15% to £35.9 million compared to £31.2 million and earnings per share jumped to 24.28 pence from 21.44 pence a year earlier.

The company said operating profit for the period climbed 30% to £49.2 million from £37.9 million a year ago period.

London Stock Exchange Group Plc climbed 5.9% to 1,981 pence after the U.K.-based trading services provider agreed to acquire the U.S.-based asset manager Frank Russell Co., a unit of Northwestern Mutual Life Insurance Co. for $2.7 billion.

Standard Chartered Plc declined 4.4% to 1,204 pence after the U.K.-based retail and commercial bank said group income in the first half ending in June is expected to fall by a mid-single digit percentage and loan impairment to increase by a high-teens percentage from a year ago period.

The bank said transaction banking income is expected to be down by a low single-digit percentage and income from financial markets is estimated to plunge 20%. Corporate finance income will be nearly flat and principal finance income is expected to decline 10%.