London open: Lacklustre start ahead of US jobs

3rd Dec 2010 08:52

Footsie has drifted lower with the freezing temperatures and transport chaos keeping many City folk away from work.All eyes will be on the US non-farm payrolls report at lunchtime, but ahead of that data there has been some profit taking after the big gains of the previous two days. Mining giant Rio Tinto is to be the junior partner in a joint venture (JV) with Chinalco. The new company has been formed to explore mainland China for world-class mineral deposits. Rio Tinto will own 49% of the JV and will appoint the chief executive of the new company.Temporary power and temperature control specialist Aggreko has beefed up its presence in the oil and gas market with a US acquisition. The company is paying $26m for Northland Power Services, a leading provider of power solutions for the oil and gas exploration and production market in the Rocky Mountain region of the United States.Premier Foods admitted today it has received bids for its meat-free business from multinational food groups and private equity firms. There has been speculation that Nestlé is to buy the unit.Pub group and brewer Greene King posted record first half revenues as Scottish subsidiary Belhaven and its retail division stormed ahead. Underlying profits in the half year to Mid-October jumped 17% to £73.1m, from £62.4m, on sales up 4.2% to £484m.Powered aerial work platforms leaser Lavendon Group is on the shopping list of Belgian rival Group Thermote & Vanhalst. TVH Services, the principle holding company of Group Thermote & Vanhalst, has made two bid approaches to Lavendon, the most recent one being an offer to buy the company's shares at 111p each.Recruiter SThree expects profits this year to come in slightly ahead of market forecasts with all areas of its business now improving. Group gross profit to November will be about £167m, down 2% year on year (2009: £171.1m).E-learning group Promethean World is teaching its investors some harsh lessons about new issues with a second profit warning since its listing in March.Promethean World says order deferrals mean fourth quarter revenues will be lower than in the same period last year and full year results will be below market expectations. India-focused oil and gas company Indus Gas saw its shares rise to a 52-week high after an upbeat resource update. The group's gross 'proven plus probable' (2P) reserves have been increased to 307 bn cubic feet (Bcf), according to a report by an independent evaluator.