Home Business MARKET REPORT: Stocks of Airbus suppliers drop

MARKET REPORT: Stocks of Airbus suppliers drop

Airbus supplier Velocity Composites came to power when founder and former boss Jon Bridges called for the board members to be readmitted.

Bridges was knocked down from his position as Chief Executive Officer to Chief Technical Officer in September following his third profit warning. He later left the board.

The 43-year-old, however, together with his co-founders Gerard Johnson and Christopher Banks, demands that he and his former director Peter Turner, who also resigned in August, return to the top brass group.

The founders wrote a letter to Chairman Mark Mills, who took over the responsibility of the chief executive until a replacement was found.

Standstill: Stocks of Airbus' Velocity Composites slumped 74.1 percent last year, wiping out the AIM-listed company by £ 29.5m

Standstill: Stocks of Airbus' Velocity Composites slumped 74.1 percent last year, wiping out the AIM-listed company by £ 29.5m

Standstill: Stocks of Airbus' Velocity Composites slumped 74.1 percent last year, wiping out the AIM-listed company by £ 29.5m

They demanded that a number of unspecified board members, who were believed to include Mills themselves, step down at 5:00 pm yesterday.

Mills does not intend to resign, but Bridges and its partners, who together own 43 percent of the company, have threatened to convene a general meeting if no one volunteers.

This would mean that the roles of the Board – and the reinstatement of Bridges and Turner – would be brought to shareholder vote.

Velocity described the planned conversion as "harmful" and not in the interest of all shareholders.

Mills and two other non-executive directors claimed they would resign if Bridges and Turner returned to the company.

Shares in Velocity, which also produce parts for Typhoon fighters, slumped 74.1 percent last year, wiping out the AIM listed company by £ 29.5 million.

Stock Watch – N4 Pharma

The pharmaceutical specialty company N4 Pharma, which is developing ways to provide vaccines and cancer treatment to cells in the body, has experienced a rapid upturn with the expansion of a research partnership.

N4 has partnered with Medimmune to develop nanoparticle drugs as part of a government-funded project.

This ended last week, but the companies are now signing a cooperation agreement to continue their work.

The shares climbed 17.1 percent or 0.95 pence to 6.5 pence.

Yesterday, they fell 1.7 percent or 0.5 percentage points to 29.5 percent.

After Chancellor Philip Hammond announced last week's budget that national wages would rise for the coming year, Canaccord Genuity Wealth Management said some of FTSE's most recognizable names will be hit hardest.

The 4.9 percent increase in the minimum wage from £ 7.83 to £ 8.21 will benefit around 2.4 million workers. However, companies with the highest payroll compared to their sales will be less welcome as they will see the largest percentage decline in their workforce Gross profit as wages increase.

Bakery Greggs (down 0.7 percent or 8 percent to 1182 percent) will suffer the most, closely followed by Wagamama's new owner The Restaurant Group (down 2.1 percent or 5.4 percent to 252.8 percent), Wetherspoons Pubs ( minus 0.3 percent). or 4p to 1290p), halfords (by 3.5 percent or 11.4p to 312.8p) and the sausage casing company Devro (by 0.6 percent or 1p to 165p), says Canaccord.

The pub groups Mitchells & Butlers (+ 0.4% or 1P at 265P) and Fuller Smith & Turner (+ 1.5% or 14P at 934P) were in the top ten as well as Pets At Home (-0.6 pro Cents or 0.7p to 116.1p), Hotel Chocolat (plus 2.3 percent or 6.5p to 291.5p) and patisserie-infested Patisserie Valerie (flat at 429.5p).

The FTSE 100 closed the day up 0.1 percent, or 9.7 points, at 7103.84, as Russian metal group Evraz was bolstered by higher steel prices in China.

His shares climbed 4 percent or 22 percent to 569.8 percent – and Chelsea Football Club's owner, Roman Abramovich, the company's largest shareholder, received an additional £ 96.9 million.

In the FTSE 250, the insurer Hiscox plunged as the growth in insurance premiums – or the cost of insurance – could be compensated.

The company, part of the Lloyd's of London insurance market, also reported an increase in claims, warning that "sustained economic and global political tensions" would result in a muted return for the full year. His shares fell 5.7 percent or 94 pence to 1552 pence.

In the emerging market in London, the shares of the major venture capital firm Draper Esprit rose by 3.8 percent or 20 percentage points to 550 percent, as it announced strong results for the six months to September.


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