CRH, Ash Grove Agrees on Revised Deal; Glencore, Chevron in Africa Deal

Sarla Buch
06 Oct, 2017
New York City

Amadeus and Air Canada sign technology agreement. CRH agreed to acquire the U.S. based Ash Grove Cement for $3.8 billion. EasyJet forecasted upbeat profit on record summer passengers. Glencore agreed to buy Chevron units in South Africa and Botswana for $973 million.

[R]4:00 PM Frankfurt – Amadeus and Air Canada sign technology agreement. CRH agreed to acquire the U.S. based Ash Grove Cement for $3.8 billion. EasyJet forecasted upbeat profit on record summer passengers. Glencore agreed to buy Chevron units in South Africa and Botswana for $973 million.[/R]

In London trading, FTSE 100 index rose 11.35 or 0.2% to 7,519.34 and in Frankfurt the DAX index edged down 7.41 to 12,960.83.

In Paris, CAC 40 index fell 14.55 or 0.3% to 5,364.65.

For the week, FTSE 100 index advanced 2%, the DAX index jumped 2.9% and the CAC 40 index increased 0.6%.

Amadeus It Group SA, formerly Amadeus IT Holding SA gained 1.4% to €55.81 after Spain-based tourism and travel information technology provider signed an agreement with Air Canada to expand its business in the North American.

Under the terms, Air Canada agreed to full access Amadeus Altea Suite passenger service system, including reservations, inventory, and departure control solutions which is estimated to implemented in 2019.

CRH Plc slipped 1.3% to 2,774 pence after Ireland-based building materials provider announced an agreement to buy the U.S.-based privately held cement manufacturer Ash Grove Cement Company for about $3.8 billion, higher than the earlier offer.

On September 21, CRH said agreed to acquire Ash Grove for $3.5 billion.

The transaction is expected to close before the end of this year or in the early 2018.

EasyJet Plc dropped 2.6% to 1,251 pence after the U.K.-based low-cost airline operator forecasted fiscal 2017 pretax profit between £405 million and £410 million, at the upper end of the previously guided range as the fuel bill is estimated to decrease to between £230 million and £235 million and net cash of about £357 million.

Passenger benefitted from low summer fares and in the quarter the count jumped to 24.1 million while load factor soared to new high of 95.6%, driven by capacity expansion by 8%. Fleet capacity is expected to improve by 6% improve in the year.

""easyJet finished the year with strong second half. Passenger numbers and load factor in the final quarter set new records and the second half profit was over £100 million, higher than summer 2016,” said chief executive officer Carolyn McCall.

Glencore Plc slid 0.1% to 369.95 pence after the Switzerland-based metals and minerals producer agreed to acquire 75% stake in Chevron South Africa Proprietary Ltd and Chevron Botswana Proprietary Ltd for about $973 million.

The transaction is expected to close in the mid-2018.

Melia Hotels International SA, formerly Sol Melia SA jumped 2% to €12.31 after Spain-based hospitality services provider said it will open new five-star hotel in the city of Venice and inaugurate by the end of 2018.

Separately today, the luxury hotels operator said it will open Melia Iguazu, in the Iguazu National Park in Argentina, one of the Seven Natural Wonders of the World and World Heritage site by UNESCO.

We are pleased to bring our Spanish hospitality to one of the most beautiful corners of the planet,"" said vice president and chief executive officer Gabriel Escarrer.