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Speaker 2: Stock Movers Report, your roundup of companies making moves in
Speaker 2: the stock market, harnessing the power of Bloomberg Data.
Speaker 3: Well, let's take a look at some stocks on the
Speaker 3: move today in Europe. I'm Stephen Carroll and I'm joined
Speaker 3: by Bloomberg's Breaking News editor Louise Moon. Louise, good morning.
Speaker 3: Let's start with the big deals news in the UK.
Speaker 3: Forty two to fifty listed Roadtork being snapped up by
Speaker 3: the Swiss group ABB.
Speaker 1: Indeed yet a huge deal there. So that's for five
Speaker 1: point five billion US dollars. So if we look at
Speaker 1: ABB first shares fell just over three percent. They had
Speaker 1: initially gained and then they fell separately. They had second
Speaker 1: quarter results. Their numbers are strong, but the focus is
Speaker 1: really on this buyout of their smaller arrival, road Talk.
Speaker 4: As I say, five point five billion US dollars.
Speaker 1: This is all in the industrial space, so some consolidation there.
Speaker 1: It's its largest acquisition ever and essentially it's pushing more
Speaker 1: into electrification automation, and lists are saying it makes strategic sense.
Speaker 1: Road Talk is a high quality asset, but it's a
Speaker 1: hefty price tag, So it's a big, big deal for
Speaker 1: them now. The CEO has actually told BlueBag TV this
Speaker 1: morning that they've got deep pockets for more deals. They're
Speaker 1: in a strong position, they got strong balance sheep, as
Speaker 1: I say. Shares falling slightly on that, on that, on
Speaker 1: that hefty price tag. In terms of road Talk here
Speaker 1: in London, shares sawed sixty seven percent initially at open.
Speaker 1: For them, it's a premium for in terms of the
Speaker 1: price that it's being bought for. But for London, obviously
Speaker 1: it's another loss from the London Stock Exchange as we've
Speaker 1: been seeing kind of across the board, and there are
Speaker 1: other also deals ongoing at the moment as well, So
Speaker 1: a loss for London, but for road Talk, shares up
Speaker 1: sixty seven percent at open.
Speaker 3: Okay, Well that's a share that's rising sharply. One that's
Speaker 3: falling sharply though is a Cardo what's going on?
Speaker 4: Yeah?
Speaker 1: And more headwinds really for Rocado, so they've sunk to
Speaker 1: twenty thirteen low. Shares are down fourteen percent this morning. Initially,
Speaker 1: first glance looks relatively positive. It was their first half
Speaker 1: results performers in line. They're expecting positive free cash flow
Speaker 1: in the first half and in twenty twenty seven.
Speaker 4: But there is still a lot of weakness there.
Speaker 1: There's weakness in its key tech unit, and it's also
Speaker 1: delayed the opening of two of its customer fulfillment centers
Speaker 1: in the US that's a core part of its offering.
Speaker 1: As I say, it's kind of the latest setback for Acado.
Speaker 1: They've had two North American customers, two key North American customers,
Speaker 1: pulling back on partnerships and shouting warehouses over the past
Speaker 1: few months. That's kind of prompted questions over its entire
Speaker 1: business model, struggling to convince investors essentially about the viability
Speaker 1: of that business model, about its robot technology. That's also
Speaker 1: triggered leadership questions. So the CEO is stepping down at
Speaker 1: the start of twenty twenty eight. So they're in the
Speaker 1: middle of final successor So despite what was seemingly relatively
Speaker 1: positive of actual numbers for you know, the overriding numbers
Speaker 1: that week performance in its tech unit and that that
Speaker 1: setback in terms of those customers and the fulfillment centers
Speaker 1: in the US is dragging a cardo this morning in London.
Speaker 3: Okay, And finally you've got some news from the home
Speaker 3: builder in the UK.
Speaker 1: Chris Nicotton, Yes, first half results and the focus here
Speaker 1: is it is on their financing, their funding essentially, so
Speaker 1: these first results already been delayed.
Speaker 4: They wanted more time for talks with their lenders.
Speaker 1: They didn't want to breach their terms of its debt
Speaker 1: and they've already offered sorry, already issued a series of
Speaker 1: profit warnings. That was before the Iran war, and then
Speaker 1: the Iran War kicked off, which is obviously further headwinds
Speaker 1: for the whole housing and home building industry. Shares fell
Speaker 1: again eight percent this morning, so they've avoided an equity raise.
Speaker 1: They have a greed and extension with their lenders, but
Speaker 1: Alyss is saying that is the only positive there. Chris
Speaker 1: Nicholson also saying that four year earnings will be in
Speaker 1: the lower half of the guidance. Rage volumes are down,
Speaker 1: they're reducing land by their marketing noncore land for sale,
Speaker 1: so you know that the funding issue may be sold
Speaker 1: for now or until at least they've agreed the extension
Speaker 1: till the end of September, but there's still questions over
Speaker 1: its performance and a lot of headwinds in the housing market.
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