Newspaper Summary
The Times
Americans blaze a trail with low-cost investment service: Looking at the margins of Hargreaves Lansdown, it is not surprising that Vanguard decided the British market was ripe for the taking and has launched a low-cost online rival to the investments giant.
Rivals will cut prices to fight Aldi of fund supermarkets: The decision by Vanguard, the low-cost fund manager, to create its own fund supermarket to sell its goods, is likely to have a long-term impact on the investment industry similar to that of Aldi and Lidl on U.K. food retailing.
Cancer specialist boosts BTG: The acquisition of a U.S. cancer treatment company has helped BTG beat City forecasts for its annual revenue.
Old Mutual presses ahead with break-up: Old Mutual is selling a further 15% stake in its U.S. asset management division as part of the financial services group’s wider strategy to break itself up.
‘Share plans earlier’ to stop investor rebellions: Executives need to share long-term pay plans with shareholders “much earlier” to help avoid investor rebellions at annual meetings, the Chief Executive of Crest Nicholson has warned.
Two fund Chiefs will work, says Chairman: Sir Gerry Grimstone is confident that a power sharing agreement at the top of the merged Standard Life and Aberdeen Asset Management will work.
Pub chain uses cashflow boost to call time on debt: Britain’s biggest pub company said it planned to channel its improving cashflow into paying down its debt and investing in its pubs, dashing immediate hopes of a resumption of dividends.
The Independent
Microsoft donates £5 million to UN to prevent human rights abuses: The United Nations human rights office on Tuesday welcomed a $5 million (£3.8 million) donation from Microsoft and called on the rest of the private sector, which makes up only a tiny proportion of its donors, to “step up to the plate”.
Tesco to use 100% renewable electricity this year in U.K.: Tesco has announced it will run 100% on renewable electricity in the U.K. and Ireland this year and worldwide by 2030 in a move which one solar panel company said would create “huge demand” in the sector.
Business groups call Labour manifesto unrealistic and ‘knee-jerk’: Some of the U.K.’s pre-eminent business groups have criticised Labour’s election manifesto, dismissing certain policies as unrealistic and labelling others as knee-jerk reactions that don’t fully consider the challenges facing Britain as it begins the arduous process of disentangling itself from the EU.
Yorkshire workers are the happiest in the U.K., research reveals: The best region in Britain for workplace happiness and satisfaction is Yorkshire and the Humber, according to new research.
Vodafone loses £5.2 billion in 2016 but shares rise: Vodafone, the world’s second biggest mobile operator, reported a €6.1 billion (£5.2 billion) loss for the year to the end of March, dragged down by the troubled Indian unit it is spinning off.
The Daily Telegraph
Boost for Brexit free trade deal chances after landmark EU court ruling: Britain’s ambition to sign a quick Free Trade Agreement with the European Union after Brexit has received a significant boost after a landmark ruling by the European Court of Justice handed expanded trade negotiation powers to Brussels.
Twitter co-founder Biz Stone rejoins company: Biz Stone, one of the three co-founders of Twitter, said he is returning to the social network to fill a “Biz-shaped hole”, causing shares in the company to rise 1.25% to $19.49 on Tuesday.
World’s largest wind turbines may double in size before 2024: The wind developer behind the world’s largest working wind turbines has said the size of its giant offshore blades, currently in U.K. waters, will double again within seven years.
Standard Life sets Brexit wheels in motion as Dublin plans get lift-off: Standard Life has set the wheels in motion for an EU subsidiary in Dublin, with its Chairman noting the business “can’t take a chance” on Brexit as its £11 billion merger with Aberdeen Asset Management draws nearer.
France fines Facebook €150,000 for ‘unfair tracking’: Facebook has been fined €150,000 (£128,000) by French authorities for “unfair tracking” of its users following a pan-European investigation into the internet giant.
DCC profits jump by almost 24% after acquisition spree: Irish support services firm DCC has reported a 23.7% jump in pre-tax profits thanks to a string of acquisitions.
Balfour Beatty faces shareholder revolt over Executive pay plan: Construction company Balfour Beatty is facing a possible shareholder revolt at its annual general meeting on Thursday after influential adviser Institutional Shareholder Services recommended voting down its pay policy.
Development of new London offices shows signs of stalling as firms consider options: The number of new office buildings completed in London hit a 13-year high in the last six months, as demand for new space from financial services firms and the technology sector remains strong.
The Questor Column:
This Aim-listed firm’s sugar substitute could be a winner as the world fights obesity: Pure Circle, the sweetener and sugar substitute provider, could be of interest to risk-tolerant contrarian investors given how the shares have rallied after last week’s trading alert, especially as the firm has appointed a new Chief operating officer and Chief financial officer and its competitive position looks as intriguing as ever. The Malaysia-headquartered company produces Stevia, a plant extract-based sweetener that has huge potential given the global fight against obesity and food and beverage providers’ need to find alternatives to sugar, owing to taxes or consumer demand or both. Stevia is already doing well in Europe and Latin America. The origins of the profit warning - and the share price plunge of the past 12 months - lie in America, which blocked imports of Stevia, citing the use of forced labour in its production. PureCircle vigorously denied the allegations but the eight-month pause hit sales, which have also taken longer than expected to rebuild after the lifting of the ban in January. Questor says ‘Speculative Buy’.
Update: GB Group: This week’s rampant run in the shares of GB Group, the identification security management expert, leaves us comfortably in profit and although the valuation will deter some investors the firm’s strong niche position means that it should be worth letting this portfolio winner run. The shares have soared following this week’s £73.8 million purchase of PCA Predict, a specialist in postcode validation for more than 9,000 small and medium-sized companies. PCA is profitable and appears to be an excellent strategic fit, while it is encouraging to hear GB Group say it expects the deal to boost earnings within barely a year. Questor says ‘Hold’.
The Guardian
Lloyds reaches landmark as government sells final shares: The government has sold its remaining shares in Lloyds Banking Group in a landmark moment for the banking sector almost a decade after the £20.3 billion bailout of the high-street lender.
Ex-BHS owner Dominic Chappell could be pursued by Sir Philip Green for millions: Dominic Chappell, the former owner of BHS, could be pursued for millions of pounds owed to Philip Green’s business empire as well as to creditors of the now collapsed department store.
Tata Steel moves to safeguard U.K. arm by offering £550 million for pensions scheme: Tata Steel has taken a step towards helping secure the future of its U.K. operations – including the Port Talbot works in south Wales – by reaching an outline agreement over the restructuring of its pension scheme.
Leasehold now the No 1 concern for U.K. homeowners, study finds: Leasehold has become the No 1 concern for homeowners in the U.K., according to a new study, after it emerged that many new homebuyers have been trapped by spiralling ground rents.
McDonald’s pulls ad that ‘exploited child bereavement’: McDonald’s has pulled its new advert from TV screens and apologised for any upset caused after it was accused of exploiting childhood bereavement.
Vodafone pulls out of £20 million naming-rights deal for West Ham stadium: Vodafone has abandoned plans to sponsor the London Stadium in a £20 million deal, dealing the latest blow to the venue’s troubled conversion to West Ham United’s home.
Daily Mail
Armchair investors favourite Hargreaves Lansdown plummets as U.S. firm offers rival services at less than half the price: Investment house Hargreaves Lansdown saw £583 million wiped off its value as shareholders worried it could lose large swathes of customers to lower-cost rivals.
U.S. vultures pushing for Dulux takeover now want to break up U.K. oil giant BHP Billiton: U.S. vultures have attacked mining giant BHP Billiton by demanding a sale of its oil business. Hedge fund Elliott, which is currently trying to persuade Dulux paint’s owners to agree to a takeover, has accused BHP of under-performing.
Virgin Money Boss Jayne-Anne Gadhia cashes in £2.1 million of stock: Virgin Money’s Boss has sold £2.1million of stock to fulfil a family promise.
City hits out at European swoop for London’s euro clearing business: City officials have hit out at European efforts to snatch away London’s lucrative euro clearing business. Brussels bureaucrats have long been jealous of the £1.3 trillion-a-day industry and some see Brexit as a chance to steal it back.
Developer Crest Nicholson claims housing market remains ‘robust’ despite hiking prices 12% as sales slow: Crest Nicholson said the housing market remains ‘robust’ as it revealed that the average price of its homes has risen 12% to more than £400,000.
Nuclear crisis as National Grid pulls out of its role in the £10 billion Cumbria plant: Britain’s nuclear power strategy has been thrown into chaos after National Grid pulled the plug on its role in plans to build a £10billion plant in Cumbria.
Daily Express
The safety-first for savers and pensioners trying to secure shares: Savers and pensioners face a renewed squeeze, with inflation soaring to a four-year high and destroying cash in real terms.
EasyJet takes £350 million hit by plunge into red: More than £350 million was wiped from EasyJet’s value as the budget airline plunged deeper into the red due to a weaker pound and later Easter.
Inflation hits three-and-a-half year high at 2.7%: Inflation hit a three-and-a-half-year high last month as the pound and the timing of the Easter holidays pushed up the cost of living.
FTSE 100 closes above 7,500 for the first time ever: The FTSE 100 has closed above the 7,500 mark for the first time ever.
GBP fluctuates against U.S.D as U.K. inflation surges: After getting off to a dreary start to the week, the pound was able to briefly bounce back against the U.S. dollar following the release of the U.K.’s inflation data.
The Scottish Herald
Standard Life Boss hails Scottish workers: Standard Life Chairman Sir Gerry Grimstone has said the planned £11 billion merger with Aberdeen Asset Management will create a “major, major” global company with its headquarters in Scotland and played down the likely impact on jobs.
Easter lifts sales but consumer caution on big buys: Scottish retail sales value in April was higher than a year earlier, boosted by the timing of Easter, but the non-food category showed another decline.
Chambers warns as inflation leap hits business: Scottish Chambers of Commerce warned of “growing concerns” over businesses’ ability to contain rising costs and a threat to consumer demand, after figures revealed annual U.K. inflation had leapt to 2.7% in April.
Brent decommissioning contract provides boost for Wood Group: Wood Group has won a multi-million-dollar contract to help Shell prepare the giant Brent Bravo platform to be removed from the North Sea.
Confidence growing in Aberdeen as ‘glimmers of light’ appear in the granite: A “cautious optimism” is returning to Aberdeen after 120,000 jobs were lost in the oil and gas industry over the last three years.
Plexus braced for further fall in sales but talks positive: Plexus Holdings has blamed a “further material reduction” in revenue on a cautious approach to project funding taken by oil and gas operators.
Over £45 million LFASS loan payments going out: Payments from a loan scheme designed to help the most vulnerable farmers and crofters in Scotland will soon be going out to eligible applicants – but there is still tension between the industry and government over ongoing problems with the administration of Scottish farm support.
Window industry veterans eye expansion: Two window and glass industry veterans have set up a new holding group to bring together four distinct trading companies under a single umbrella, signalling ambitions to grow sales across the U.K.
Lidl to increase Scottish lines by one quarter: Supermarket chain Lidl is to increase the number of Scottish products in its stores by a further 25%.
TSB Chief to honour founder: The Chief Executive of TSB Bank will give a lecture in Dumfries in honour of Reverend Henry Duncan, founder of the first Trustee Savings Bank in 1810.
The Scotsman
Recruitment guru Paul Atkinson buys Glasgow’s Change: Recruitment industry veteran and serial angel investor Paul Atkinson has acquired Glasgow-based Change Recruitment for an undisclosed sum.
Forestry Commission Scotland HQ sold in £18 million deal: The headquarters of Forestry Commission Scotland have changed hands in a property deal valued at £18 million.
Nicola Sturgeon to address Aberdeen oil and gas forum: Nicola Sturgeon is to address industry leaders at a major oil and gas conference taking place at Aberdeen Exhibition & Conference Centre next month.
Clydesdale owner posts 15% jump in first-half profits: The parent company of Clydesdale Bank said it was on track to deliver a “modest” maiden annual dividend as it reported a rise in earnings for the first half of its financial year.
Labour calls on SNP to back public ownership of the railways: Scottish Labour has called on the SNP “to follow Jeremy Corbyn’s lead” and commit to bringing Scotland’s railways back into public ownership.
City A.M.
Chanel put a $1,500 boomerang up for sale - and it’s come back to haunt them: Luxury French brand Chanel was lambasted for putting a boomerang with a $1,500 price tag up for sale.
U.S. retailer Dick’s Sporting Goods share price plunges as sales grow slower than forecast: Shares in Dick’s Sporting Goods tumbled more than 10% after the U.S. sport retail giant’s sales grew less than expected in the first quarter.
Jackpotjoy grows user numbers and average spend but posts first quarter loss: London-listed online gambling firm Jackpotjoy reported an 11% rise in revenue to £74.1 million for the first quarter of 2017, but failed to shift its debt pile.
Speedy Hire’s shares lift as the tool hiring firm hammers out profit: Speedy Hire’s shares lifted around 3% after the firm unveiled higher profit than expected for the full year as it nails down its turnaround programme.
Zegona sells Telecable to Euskaltel: U.K. telco buyout firm books bumper profit in less than two years: U.K. telecoms buyout firm Zegona booked a chunky profit by selling Telecable, a Spanish cable business, to Basque firm Euskaltel.