Europe Movers: Air France-KLM, BP, Evotec, Serco Group, Vivendi

Inga Muller
14 Dec, 2023
Frankfurt

Benchmark indexes in Frankfurt soared to a record high and in Paris advanced to a multi-year high after the U.S. Federal Reserve held its key lending rate and signaled possible rate cuts over the next two years. 

The DAX index increased 0.7% to 16,893.28, the CAC-40 index rose 0.9% to 7,600.03, and the FTSE 100 index advanced 1.9% to 7,696.55.

The yield on 10-year German bonds decreased to 2.03%; French bonds traded lower to 2.56%; the UK gilts eased to 3.67%; and Italian bonds inched higher to 3.75%.

Air France KLM soared 6.9% to €13.04 after the international carrier reiterated its outlook for the period between 2024 and 2026 and lifted its operating margin to above 8% for the period between 2026 and 2028.

The airline's debt was rated BBB- with a stable outlook by Fitch and BB+ with a stable outlook by S&P Global Ratings.

Serco Group advanced 3.9% to 161.40 pence after the UK-based outsourcing company estimated 2024 profit to increase to £260 million.

BP plc increased 2.1% to 469.45 pence after the company denied £32.8 million in cash and stock remuneration to former chief executive Bernard Looney.

The board confirmed the immediate termination of the former chief executive after concluding an investigation that found "serious misconduct."

BP said that Looney knowingly misled board members last year when they inquired about allegations regarding his previous relationships with colleagues and assurances about his future behavior.

Looney's remuneration soared to £10 million in 2022 from £4.5 million in 2021.

Vivendi SE increased 7.8% to €9.66 after the media company announced a plan to study the separate entities as independent listed entities: Canal+, Havas, and an investment company.

Evotec SE soared 10% to €20.46 after the biotech company announced a partnership with Charité-Universitätsmedizin Berlin to create a molecular patient database for ANCA-associated vasculitis, a rare autoimmune condition that causes inflammation of blood vessels with various manifestations.