Sunday share tips: Aggreko, Essar, Scholium

9th Mar 2014 14:05

As Rupert Soames leaves Aggreko for Serco after 11 years as Chief Executive, it is time to sell the shares, Questor advised in the Sunday Telegraph. The shares rose from 140p to £16 in Soames' time as boss at the temporary power company. Profits peaked in 2012 when Aggreko supplied power for the London Olympics and reconstruction projects in Japan after the tsunami. With that business gone, Aggreko's price to forward earnings ratio of 19.2 is too high. The announcement of more capital returning to shareholders also suggests growth prospects are fewer.Shareholders in Essar Energy should probably accept the founding family's offer to take the company private, Danny Fortson wrote in his Sunday Times Inside the City column. The deadline for the Ruia brothers to price their offer - mooted at 70p a share - is March 14th. They already own 78% of the company. Some investors are furious because Essar floated four years ago for 420p a share. Essar has suffered bad breaks but the Ruias are responsible for its woes too. Their other companies owe Essar $730m. "It's probably best to take the meager lump of coal on offer and walk away".Buy shares when Scholium, the rare book dealer, floats on the stock market, Midas advised in the Mail on Sunday. The business, owned by former Blackwell Publishing director Philip Blackwell, is selling shares at 100p each to raise £10m to buy more stock and to hold cash in reserve for when prized collections come to the market. The money will also be used to develop Scholium's art bookshop and high-end library-compiling business. Demand is growing from rich foreign buyers. Pretax profits are expected to more than double in coming year and a dividend is planned from 2015.Please note: Digital Look provides a round-up of news, tips and information that is impacting share prices and the market. Digital Look cannot take any responsibility for information provided by third parties. This is for your general information only as not intended to be relied upon by users in making an investment decision or any other decision. Please obtain a copy of the relevant publication and carry out your own research before considering acting on any of this information.