WEBVTT - Shell Down, Bunzl Rises, Schneider Electric Up

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News, The.

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<v Speaker 2>Stock Movers Report, your roundup of companies making moves in

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<v Speaker 2>the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Now, let's take a look at some of the stocks

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<v Speaker 3>on the move today in Europe. I'm Lizzie Burnin with

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<v Speaker 3>Stephen Carroll and we're joined by Bloomberg's Breaking News editor

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<v Speaker 3>Louise Moon. Louise, I want to start with the oil

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<v Speaker 3>majors because obviously they're losing out this morning given the

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<v Speaker 3>news of a US around peace deal and the subsequent

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<v Speaker 3>fall and oil prices. Who's really hurting exactly Yea.

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<v Speaker 1>So if you look at the likes of Shell BP,

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<v Speaker 1>those all majors here in London, they're the biggest fallers

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<v Speaker 1>on the foot seat one hundred as you say, that's

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<v Speaker 1>obviously on the back of the news with the US

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<v Speaker 1>and Iran oil's falling already closed last week, get three months,

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<v Speaker 1>sinking even further this morning, and that's really hitting those

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<v Speaker 1>major oil companies. And then if you look at the

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<v Speaker 1>flip side, you've got the likes of travel surging benefiting

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<v Speaker 1>the travel set. So that's we're seeing this across Europe.

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<v Speaker 1>So easy yet too EI, all of those kind of

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<v Speaker 1>big travel stocks all surging. So we're seeing that divergence

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<v Speaker 1>there as we've been seeing throughout the war between energy,

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<v Speaker 1>oil and travel. So yeah, really playing out this morning

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<v Speaker 1>all the way across Europe.

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<v Speaker 2>Well away from events in the Middle East.

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<v Speaker 1>You've been looking at shares in buns or the Footsy

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<v Speaker 1>one hundred listed distribution group shares hired today.

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<v Speaker 3>What's driving that?

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<v Speaker 1>Yeah, So activist investor Elliott obviously very well known name

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<v Speaker 1>US activist investor, They've taken a five about about five

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<v Speaker 1>cent steak in Bunzel. This is kind of their new

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<v Speaker 1>fresh target. They already have big steaks in BP the

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<v Speaker 1>London Stock Exchange, so this is their latest steak taken

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<v Speaker 1>in a UK company. Now, Bunzel. As you say, it's

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<v Speaker 1>footy one hundred listed, it's relatively under the radar. It's

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<v Speaker 1>a distributor essentially of a whole host of things from

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<v Speaker 1>food packaging to safety equipment, cleaning supplies and more. Essentially,

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<v Speaker 1>what Elliot wants is for Bunzle to buy back shares

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<v Speaker 1>equivalent to about ten percent of its market value over

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<v Speaker 1>the next twelve months. It also wants a strategic review

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<v Speaker 1>with a focus on North America, which is actually Bunzle's

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<v Speaker 1>largest market. It doesn't come totally out of the blue.

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<v Speaker 1>Bunzel had a quite sudden profit warning last April that

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<v Speaker 1>was blamed on that North American unit. And I say

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<v Speaker 1>sudden because it followed almost kind of a three decade

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<v Speaker 1>streak of continuous dividend growth, So it was quite a

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<v Speaker 1>sudden profit warning there. The shares when that happened totally slumped.

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<v Speaker 1>If you look at a graph of their share price,

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<v Speaker 1>it kind of falls off a cliff when that happened

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<v Speaker 1>in April, and it hasn't really gained. It's gained some

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<v Speaker 1>ground since then, but it's not back at levels before then.

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<v Speaker 1>So Elliott thinks that, you know, doing this and separating

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<v Speaker 1>the business could help lift Bunzles valuation. It seems that

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<v Speaker 1>other shareholders agreed. The stock was up about three percent

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<v Speaker 1>this morning on the back of venues.

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<v Speaker 3>Drawing charts in my mind on the radio, love it, Luis.

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<v Speaker 3>Let's just finally talk about the French energy tech giant,

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<v Speaker 3>Schneider Electric, because they look like they're benefiting from the

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<v Speaker 3>AI buildout.

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<v Speaker 1>Yes, indeed, so they have announced collaboration this morning with

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<v Speaker 1>hon Hi in Taiwan, which is obviously Foxconn, a major

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<v Speaker 1>electronics manufacturer known for making Apple products and a whole

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<v Speaker 1>host of things. So they have a collaboration with Schneider.

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<v Speaker 1>They're going to co develop and scale up next generation

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<v Speaker 1>AI data centers, so production is going to begin later

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<v Speaker 1>this year. But yeah, we're kind of two big companies

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<v Speaker 1>coming together on this, and shares of Schneider up over

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<v Speaker 1>three percent.

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