European Markets Extend Weekly Gains, Merlin and Metrovacesa to Merge

Sarla Buch
22 Jun, 2016
New York City

European markets soared more than 1% and extended weekly gains and banks led the gainers. Spain-based Merlin agreed to merge with Metrovacesa and for the largest real estate group in the country. Debenhams estimated gross margin in the year to be flat.

[R]4:00 PM Frankfurt – European markets soared more than 1% and extended weekly gains and banks led the gainers. Spain-based Merlin agreed to merge with Metrovacesa and for the largest real estate group in the country. Debenhams estimated gross margin in the year to be flat.[/R]

European markets extended weekly gains on the hopes that the U.K. will remain in the European Union and resource stocks and banks led the gainers.

In London trading, FTSE 100 index advanced 69.05 or 1.1% to 6,294.88 and in Frankfurt the DAX index increased 120.62 or 1.2% to 10,133.90.

In Paris, CAC 40 index jumped 43.85 or 1% to 4,412.10.

Debenhams Plc declined 5.7% to 70.05 pence after the U.K.-based department stores operator said sales in the 15-weeks to June slumped 0.5% from 1.6% in the same period a year ago and comparable store sales rose 0.2%.

The retailer said in online sales in the period soared 7% while the group gross transaction value rose by 0.5%.

Debenhams estimated gross margin in the fiscal 2016 to be flat.

NewRiver Retail Limited slipped 1.8% to 323.80 pence after the U.K.-based real estate developer said that it had completed the acquisition of Cuckoo Bridge Retail Park in Dumfries from “large listed property company” for about £20.2 million.

The company has not provided the seller’s name.

Safestore Holdings Plc jumped 2.4% to 397.50 after the U.K.-based self-storage company said it will complete the acquisition of Space Maker Stores by to end of July for £44.4 million.

Telia Company AB advanced 2.2% to 37.82 Swedish kronor after the Sweden-based communication services provider’s Finland-based subsidiary Sonera plans to offer for domestic rival Anvia for €130 million on a cash and debt free basis.