Hammerson Buys Rival Mall Operator Intu, Steinhoff Collapses on Fraud

Sarla Buch
06 Dec, 2017
New York City

Elior Group profit declined. Hammerson agreed to buy smaller rival Intu Properties for

[R]4:00 PM Frankfurt – Elior Group profit declined. Hammerson agreed to buy smaller rival Intu Properties for £3.4 billion. RWS reported strong revenues and earnings growth. Stagecoach forecasted fiscal 201. Germany-based retailer Steinhoff stock collapsed 64% on accounting fraud.[/R]

In London trading, FTSE 100 index increased 36.18 or 0.5% to 7,363.55 and in Frankfurt the DAX index dropped 127.23 or 0.9% to 12,920.81.

In Paris, CAC 40 index slipped 21.69 or 0.4% to 5,353.92.

Elior Group SA declined 12.5% to €16 after France-based catering services provider reported revenues in the year ending in September soared 8.9% from a year ago to €6.4 billion.

Net profit in the period plunged 15.6% to €114 million from €135 million in a year ago period and diluted earnings per share dropped to €0.66 from €0.78.

The catering services provider forecasted fiscal 2018 sales increase of about 3% from a year ago.

Hammerson Plc dropped 4.3% to 511.50 pence after the U.K.-based shopping centers owners agreed to acquire smaller rival Intu Properties for about £3.4 billion or $4.56 billion.

Intu Properties Plc stock surged 16.5% to 231.80 pence.

RWS Holdings Plc rose 0.3% to 431.39 pence after the U.K.-based legal services provider said revenues in the year ending in September surged 34% from a year ago to £164 million.

Net profit in the year soared 35.1% to £33.9 million from £25.1 million in a year ago period.

Stagecoach Group Plc jumped 5.2% to 185.60 pence after the U.K.-based passenger transport reported revenues in the first-half period ending on October 28 plunged 10% from a year ago to £1.8 billion.

Net profit in the year soared 7.3% to £78.1 million from £72.8 million in a year ago period and diluted earnings per share increased to 13.6 pence from 12.7 pence.

The transport services provider estimated fiscal year ending on April 28, 2018 will be unchanged.

Steinhoff International Holdings NV tumbled 64.4% to €1.07 after Germany-based household goods and apparel retailer said chief executive officer Markus Jooste resigned.

The retailer postponed its fiscal results and the company board will investigate accounting irregularities. Moreover, the company said previous years’ accounting statements will required to rechecked and will have to be restated and will release results only when the company is ""in a position to do so.""