London pre-open: Neutral start in store

20th May 2010 07:40

After yesterday's shake-out traders are unsure which way leading stocks will jump at the outset.Gas and electricity pipeline grid operator National Grid caught the market on the hop when it announced a 2 for 5 rights issue to raise around £3.2bn. The new shares are being issued at 335p. The cash call accompanied full year results that showed a 12% increase in pre-tax profit to £1,974m from £1,770m the year before. South African brewer SABMiller reported improved full-year figures with Latin America driving growth in the company’s profits. EBITDA increased to $4,381m in the 12 months to 31 March from $4,129m on revenue of $26,350m, up from $25,302m.International specialist bank and asset manager Investec announced improved earnings and substantially higher assets under management for the year to 31 March. Operating profit before tax rose 8.9% to £432.3m from £396.8m the year before while earnings attributable to shareholders climbed 15% to £309.7m from £269.2m.Oil giant BP said on Thursday that it is diverting about 3,000 barrels of oil a day into a drill-ship via a mile-long tube inserted into the broken MC252 oil well following the Deepwater Horizon disaster in the Gulf of Mexico. The group has also skimmed some 187,000 barrels (7.8 million gallons) of oily liquid from the surface of the water.