Greek Bonds Drop, Hryvnia Extends Currency Plunge; Puma Net Surges

Nigel Thomas
16 Feb, 2015
New York City

Balfour Beatty divest 80% interest in Thanet offshore transmission project for

[R]4:00 PM Frankfurt – Balfour Beatty divest 80% interest in Thanet offshore transmission project for £40 million. Fidessa profit declined 9% to £29 million. Hammerson net surged 106% to £702 million. Playtech agreed to acquire Yoyo Games. Puma net profit surged to €64 million.[/R]

European markets turned defensive after an agreement between Greece and international lender may not be finalized this week.

German Finance Minister Wolfgang Schaeuble expressed his scepticism to local reporters of a possible deal in the near future with Greece.

Germany’s 10-year bonds traded nearly unchanged with a yield of 0.35% but Greek 3-year note yield increased 1.3 percentage points to 17.15% and 10-year yield added 16 basis points to 9.41%.

In London trading, FTSE 100 index slid 0.3% or 18.40 to 6,855.12 and in Frankfurt the DAX index fell 0.4% or 39.38 to 10,924.02.

In Paris, CAC 40 index decreased 0.2% or 8.25 to 4,751.11 and market indexes in Athens dropped as much as 4%.

Hryvnia Extends the Plunge

Ukraine’s hryvnia dropped 1.5% to a record low after the central bank set the exchange rate at 26.05 against a dollar after the government lifted its inflation forecast to 26% from the estimate of 13% used in the budget.

Prime Minister Arseniy Yatsenyuk said at a press conference that the inflation rate is linked to the recently signed cease-fire agreement and if the agreement fails to hold the rate may have to be revised.

Balfour Beatty Plc gained 1.3% to 238.50 pence after the U.K.-based infrastructure developer announced the sale of 80% interest in the Thanet offshore transmission project for £40 million to funds managed by Equitix.

Balfour Beatty retained its remaining stake of 20% in the Kent wind farm business.

The company acquired the project for about £164 million just two month ago.

Fidessa Group Plc dropped 2.5% to 2,408 pence after the U.K.-based multi-asset trading service provider said revenues in the year ending in December fell 1% to £275 million from £279 million a year ago period.

Profit for the year declined 8.5% from a year ago to £29.1 million compared to £31.8 million and diluted earnings per share slipped to 75.8 pence from 83.5 pence.

Hammerson Plc fell 0.9% to 684.50 pence after the U.K.-based real estate developer said gross rental income climbed 17.3% to £206.5 million from £176 million in a year ago period.

Profit for the year surged 106.2% from a year ago to £702.1 million compared to £340.5 million and diluted earnings per share jumped to 95.7 pence from 47.4 pence.

The company said during the year valuation of the portfolio increased by £776 million, including an underlying valuation increase of £437 million.

Playtech Plc increased 1.3% to 747.38 pence after the U.K.-based online gaming software provider agreed to acquire privately held Yoyo Games Limited for about $16.4 million.

Puma AG Rudolf Dassler Sport slipped 0.2% to €178.65 after the Germany-based sportswear equipment maker reported sales in the year ending in December fell 0.4% to €2.97 billion from €2.99 billion a year ago period.

Net income in the year surged from a year ago to €64.1 million compared to €5.3 million and diluted earnings per share climbed to €4.29 from €0.36.