Bayer Reduces Covestro Stake, VW Booked

Sarla Buch
29 Sep, 2017
New York City

Aviva sell its stake in Italy-based subsidiary Avipop Assicurazioni to Banco BPM. Bayer reduced its stake in Covestro. Carillion tumbled after it lowered its fiscal revenue forecast. Volkswagen booked

[R]4:00 PM Frankfurt – Aviva sell its stake in Italy-based subsidiary Avipop Assicurazioni to Banco BPM. Bayer reduced its stake in Covestro. Carillion tumbled after it lowered its fiscal revenue forecast. Volkswagen booked €2.5 billion charges from diesel scandal.[/R]

In London trading, FTSE 100 index advanced 53.78 or 0.7% to 7,377.10 and in Frankfurt the DAX index jumped 81.99 or 0.6% to 12,786.14.

In Paris, CAC 40 index increased 13.51 or 0.3% to 5,307.08.

For the week, FTSE 100 index rose 0.9%, the DAX index advanced 1.5% and the CAC 40 index gained 0.5%.

For the month, FTSE 100 index increased 0.6%, the DAX index soared 7% and the CAC 40 index jumped 5.5%.

For the nine-month, FTSE 100 index jumped 3.3%, the DAX index surged 11.4% and the CAC 40 index soared 9.2%.

Aviva Plc increased 0.9% to 514.50 pence after the U.K.-based insurer agreed to divest its stake in Italy-based subsidiary Avipop Assicurazioni SpA to Banco BPM SpA for about €265 million.

Bayer AG gained 1.5% to €114.60 after Germany-based chemicals, pesticides maker today said that it reduced its stake in the plastic materials manufacturer Covestro to 24.6% after selling off 6.9% stake for €1 billion or $1.2 billion.

In fiscal 2017, Bayer already divested three separate blocks of shares in Covestro for €3.7 billion.

Carillion Plc tumbled 17.1% to 53.25 pence after the U.K.-based construction services provider said revenues in the first-half ending in June were flat from a year ago at £2.5 billion.

Net in the period swung to a loss of £1.2 billion from profit of £71.7 million in a year ago six-month period and diluted loss per share swung to 261.2 pence from diluted earnings per share of 13.2 pence.

Net debt in the period nearly doubled to £571 million from £291 million in the same period of a year ago.

Carillion reported pretax loss in the period swung to a loss of £1.16 billion from profit of £84 million in a year earlier after impairment charge of £134 million in the U.K. and Canadian businesses.

The construction services provider lowered fiscal 2018 revenues forecast to between £4.6 billion and £4.8 billion from the earlier estimated range between £4.8 billion and £5 billion.

Volkswagen AG fell 0.3% to €138.05 after Germany-based automobiles maker forecasted operating profit in the third-quarter to be lower by €2.5 billion or $2.9 billion due to buy back or retrofit diesel engine cars in North America.

Volkswagen is scheduled to release its third-quarter result on October 27.