Nordea, DNB Sell Luminor Stake, J D Wetherspoon Net Soars

Sarla Buch
14 Sep, 2018
New York City

Close Brothers plans to sell its retail finance business to Sweden-based Klarna Bank. Investec will spin-off of its Investec Asset Management business. J D Wetherspoon profit soared on higher sales. Nordea and DNB Bank jointly sell its 60% stake in Luminor to Blackstone.

[R]4:00 PM Frankfurt – Close Brothers plans to sell its retail finance business to Sweden-based Klarna Bank. Investec will spin-off of its Investec Asset Management business. J D Wetherspoon profit soared on higher sales. Nordea and DNB Bank jointly sell its 60% stake in Luminor to Blackstone.[/R]

In London trading, FTSE 100 index rose 14.93 or 0.2% to 7,296.50 and in Frankfurt the DAX index advanced 61.11 or 0.5% to 12,116.73.

In Paris, CAC 40 index increased 26.04 or 0.5% to 5,354.13.

Close Brothers Group Plc gained 1.8% to 1,619 pence after the U.K.-based banking and securities trading services provider plans to sell its retail finance business to Sweden-based payment solutions provider Klarna Bank AB for an undisclosed amount.

The sale is expected to close by the end of this year.

Investec Plc soared 7.7% to 522.20 pence after the U.K.-focused asset manager plans to spin-off and separately listed its Investec Asset Management business.

The demerger is expected to complete on or before September 2019.

Investec forecasted first half operating profit to surpass the previous year data despite ""macro challenges"" in both South Africa and the U.K.

J D Wetherspoon Plc slipped 1.8% to 1,257 pence after the U.K.-based pubs operator said revenues in the year ending in June rose 1.8% from a year ago to £1.7 billion.

Comparable sales in the year jumped 5.5%.

Net income in the period soared 17.8% to £66.7 million from £56.6 million in a year ago six-month period and diluted earnings per share advanced to 63.2 pence from 50.8 pence.

Nordea, the Sweden-based financial services provider said net interest income in the first-half ending in June declined 7.9% to €3.5 billion.

Net income in the period surged 18.8% to €1.9 billion form €1.6 billion in the same period a year ago and diluted earnings per share increased to €0.47 from €0.39.

Separately, today the bank along with DNB Bank A/S jointly agreed to sell its 60% stake in third-largest bank in the Baltic region Luminor to a consortium led by Blackstone for €1 billion or $1.16 billion in cash.

“This is a good deal for both Luminor and the current owners,” said chief financial officer DNB, Kjerstin Braathen.

The transaction is expected to close during the first-half of 2019.