FTSE 100 movers: Man Group leaps on UBS comments

24th Apr 2012 14:49

Hedge fund manager Man Group was leading the risers in London ahead of its quarterly assets under management update next week. UBS reiterated its buy recommendation on the stock this morning, saying that the firm is a "likely take-out candidate" and is on its 'M&A Watch List'. "With Man Group shares having traded below 150p for a six-month period, we believe that a 50%+ premium bid offer to the current share price would be sufficient to obtain shareholder approval," the Swiss broker said. Airlines group IAG was also flying high after an upgrade by Credit Suisse from neutral to outperform.The first quarter of 2012 has been along much the same lines as 2011 at publishing group Reed Elsevier, prompting the group to reaffirm full-year expectations of underlying revenue and profit growth and spark a two per cent rise in the share price. Meanwhile, business process outsourcing and professional services group Capita was a heavy faller after placing 40m new ordinary shares (equal to 6.5% of its existing issued share capital) at 685p each, well below last night's closing value, to raise additional capital to make further bolt-on acquisitions and pay down debt. Smartphone chip designer ARM Holdings also fell despite seeing profits jump again in the first quarter as digital technology continues to spread. The firm reported adjusted pre-tax profits of £61.9m in the first three months of 2012, up 22% on the year before. FTSE 100 - RisersMan Group (EMG) 96.55p +4.32%International Consolidated Airlines Group SA (CDI) (IAG) 167.30p +2.89%National Grid (NG.) 667.00p +2.14%Reed Elsevier (REL) 525.50p +1.94%Associated British Foods (ABF) 1,238.00p +1.89%Aviva (AV.) 304.40p +1.77%IMI (IMI) 977.00p +1.61%Hammerson (HMSO) 414.50p +1.59%Glencore International (GLEN) 414.90p +1.55%BP (BP.) 436.15p +1.50%FTSE 100 - FallersCapita (CPI) 681.00p -6.58%ARM Holdings (ARM) 540.50p -4.59%Royal Bank of Scotland Group (RBS) 22.65p -2.08%British Sky Broadcasting Group (BSY) 668.50p -1.55%British American Tobacco (BATS) 3,169.50p -1.37%Smiths Group (SMIN) 1,039.00p -1.24%Vedanta Resources (VED) 1,155.00p -1.03%Imperial Tobacco Group (IMT) 2,495.00p -0.91%Tate & Lyle (TATE) 675.50p -0.81%Rio Tinto (RIO) 3,349.00p -0.80%NR