London pre-open: Footsie to creep higher

22nd Mar 2011 07:38

Stocks are set for another day of gains, though early indications are the FTSE 100 will only make up a handful of points early on. Cairn Energy has yet to reach an agreement with the Indian authorities over the proposed sale of its Rajasthan assets to Vedanta. Hopes had been raised that Cairn would announce a deal had been struck with today's results, but the group just repeated that the sale of its 51% stake in Cairn India is awaiting approval. The sale could rise $6bn and once approved Cairn is expected to return between is worth between 90p and 135p a share to its owners. Cairn posted a net profit of $1.08bn in 2010, up from $53m, nearly all of which came from the Indian business, which turned in a net profit of $1.4bn. The ongoing business, which includes the drilling in Greenland lost $303m. Punters will have to wait an extra day for the much anticipated strategic update from struggling pubs group Punch Taverns. The company had been due to announce the outcome of a review today, but has pushed it back to Wednesday. No reason has been given. It said a number of options have been considered, including a potential demerger of the Spirit managed pubs business.Ports operator Forth Ports has agreed a bid worth 1,630p a share from major shareholder, the Arcus European Infrastructure Fund. Shareholders will also get to keep the proposed final dividend of 20p a share expected to be paid on 13 May. "The Arcus offer gives Forth Ports shareholders the opportunity to realise their investment for cash at a fair price," chairman David Richardson said.