WEBVTT - Beazley Dips, B&M Rises, Telenor Down

0:00:02.520 --> 0:00:08.720
<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio News, The.

0:00:08.720 --> 0:00:12.560
<v Speaker 2>Stock Movers Report, your roundup of companies making moves in

0:00:12.600 --> 0:00:15.880
<v Speaker 2>the stock market, harnessing the power of Bloomberg Data.

0:00:16.480 --> 0:00:18.000
<v Speaker 3>Well, let's take a look at some stocks on the

0:00:18.000 --> 0:00:20.520
<v Speaker 3>move today in Europe. I'm Stephen Carroll with Lizzie Burden,

0:00:20.560 --> 0:00:22.960
<v Speaker 3>and we're joined by Bloomberg's Breaking News editor Louise Me

0:00:23.079 --> 0:00:27.680
<v Speaker 3>and Louise Good morning. Let's start with the UK insurer Beasley,

0:00:27.840 --> 0:00:30.280
<v Speaker 3>shares dropping after it rejected a takeover bid.

0:00:30.680 --> 0:00:34.440
<v Speaker 1>Indeed, yes, so rejected a bid from Zurich, the Swiss

0:00:34.479 --> 0:00:37.800
<v Speaker 1>insurance firm, and that's for seven point seven billion pounds,

0:00:37.800 --> 0:00:41.839
<v Speaker 1>so it's almost thirteen pounds a share essentially. So Beasley

0:00:41.840 --> 0:00:44.600
<v Speaker 1>have rejected that just earlier this morning, saying that it

0:00:44.680 --> 0:00:48.559
<v Speaker 1>materially undervalues the company and they're kind of emphasizing their

0:00:48.600 --> 0:00:52.239
<v Speaker 1>long term prospects as a standalone company. So this is

0:00:52.280 --> 0:00:56.760
<v Speaker 1>the third proposal from Zurich Insurance. They've all been rejected

0:00:56.760 --> 0:00:59.560
<v Speaker 1>by Beasley, but they've only actually gone public with this

0:00:59.720 --> 0:01:02.200
<v Speaker 1>with the with the third one, the actual offer that

0:01:02.320 --> 0:01:05.440
<v Speaker 1>was on Monday, So that's the as I say, they

0:01:05.560 --> 0:01:08.920
<v Speaker 1>almost thirteen pounds a share, which marked a fifty six

0:01:08.959 --> 0:01:12.319
<v Speaker 1>percent premium to buz's closing price the day before that,

0:01:12.360 --> 0:01:14.360
<v Speaker 1>on the last trading day before that, on the friday.

0:01:14.800 --> 0:01:17.720
<v Speaker 1>So when they went public, shares swored about thirty to

0:01:17.840 --> 0:01:21.680
<v Speaker 1>thirty percent, and then, as you say today, they once

0:01:21.720 --> 0:01:24.360
<v Speaker 1>they've rejected that offer, shares fir about seven percent, and

0:01:24.360 --> 0:01:26.600
<v Speaker 1>then I've actually paid their losses slightly books, but they're

0:01:26.600 --> 0:01:28.360
<v Speaker 1>still far higher than they were a week ago before

0:01:28.400 --> 0:01:29.479
<v Speaker 1>this offer was disclosed.

0:01:29.640 --> 0:01:32.639
<v Speaker 4>So the question now is what will happen.

0:01:32.680 --> 0:01:35.160
<v Speaker 1>Will Zurich follow up with a higher bid, or will

0:01:35.160 --> 0:01:37.400
<v Speaker 1>this attract more suitors. So we'll be keeping an eye

0:01:37.680 --> 0:01:40.039
<v Speaker 1>for potential M and A in their insurance space.

0:01:40.160 --> 0:01:40.319
<v Speaker 3>Well.

0:01:40.319 --> 0:01:42.880
<v Speaker 1>In the meantime, turning to B and M, louise turnaround

0:01:42.959 --> 0:01:46.080
<v Speaker 1>costs weighing on the discount retailer. Indeed, yes, so B

0:01:46.160 --> 0:01:49.960
<v Speaker 1>and M cut their guidance again today. They are essentially investing,

0:01:49.960 --> 0:01:51.800
<v Speaker 1>as you say, in their turnaround plans, they're going back

0:01:51.840 --> 0:01:54.680
<v Speaker 1>to basics. They've said that this investing in prices in

0:01:54.720 --> 0:01:57.720
<v Speaker 1>clearing stock is all weighing on profits. They now see

0:01:57.720 --> 0:02:00.680
<v Speaker 1>earnings next year of up to four hundred and seventy

0:02:00.720 --> 0:02:03.960
<v Speaker 1>five million pounds. It was previously five hundred and twenty

0:02:04.000 --> 0:02:07.160
<v Speaker 1>million pounds. This is ongoing struggles. They had a profit

0:02:07.200 --> 0:02:10.200
<v Speaker 1>warning on October. They cut their guidance again two weeks

0:02:10.280 --> 0:02:13.200
<v Speaker 1>later after an accounting era, all on the back of

0:02:13.440 --> 0:02:16.560
<v Speaker 1>more competition in the space, higher wages as a lot

0:02:16.600 --> 0:02:21.640
<v Speaker 1>of retailers or all retailers are seeing in Britain. So

0:02:23.280 --> 0:02:25.840
<v Speaker 1>there was a note from Bloomberg Intelligence Intelligence on the

0:02:25.880 --> 0:02:28.360
<v Speaker 1>back of B and m's update today saying, you know,

0:02:28.480 --> 0:02:32.080
<v Speaker 1>it confirms there aren't really any expectations of easy recoveries

0:02:32.120 --> 0:02:34.760
<v Speaker 1>for it, but there is a small glimmer of hope

0:02:34.960 --> 0:02:35.520
<v Speaker 1>or light.

0:02:35.760 --> 0:02:38.280
<v Speaker 4>That same sort of sales fell less than expected.

0:02:38.400 --> 0:02:40.320
<v Speaker 1>So that's their BIA saying that's a bit of an

0:02:40.360 --> 0:02:43.200
<v Speaker 1>early positive sign in terms of their turnaround. And B

0:02:43.280 --> 0:02:45.400
<v Speaker 1>and M themselves has said they're confident in boosting their

0:02:45.400 --> 0:02:49.079
<v Speaker 1>long term performance. So shares initially dropped on the back

0:02:49.080 --> 0:02:51.919
<v Speaker 1>of the guidance cup but last SNY look they pushed

0:02:51.919 --> 0:02:54.880
<v Speaker 1>slightly into the green potentially on that bit of future positivity.

0:02:55.360 --> 0:02:57.320
<v Speaker 3>Yeah, so indeed want to keep an eye on as

0:02:57.360 --> 0:02:59.680
<v Speaker 3>well as we're looking at those BNM shows. As you say,

0:02:59.800 --> 0:03:01.640
<v Speaker 3>just turned into the positive up by six tens of

0:03:01.680 --> 0:03:04.680
<v Speaker 3>one percent. Let's go to Telenor next, the Norwegian telecoms

0:03:04.680 --> 0:03:07.240
<v Speaker 3>provider selling a steak in a tie operator.

0:03:07.480 --> 0:03:08.800
<v Speaker 4>Yes, a bit more MNA action.

0:03:09.000 --> 0:03:12.200
<v Speaker 1>So selling a steak in Thai telecoms firm True Corp

0:03:12.360 --> 0:03:15.200
<v Speaker 1>for three point nine billion dollars. They had about thirty

0:03:15.200 --> 0:03:17.560
<v Speaker 1>percent holding in that company. They've sold it to a

0:03:17.560 --> 0:03:20.760
<v Speaker 1>company that's actually owned by the chairman of True that

0:03:20.880 --> 0:03:23.040
<v Speaker 1>the Tai telencoms firm, and they're part of one of

0:03:23.040 --> 0:03:26.760
<v Speaker 1>Asia's wealthiest families. And it comes with the context of

0:03:27.040 --> 0:03:31.200
<v Speaker 1>Teleanor having been overhauling its operations. They're focusing on their core,

0:03:31.280 --> 0:03:34.640
<v Speaker 1>their Nordic business that accounts for most of their revenue. So,

0:03:34.639 --> 0:03:37.200
<v Speaker 1>for example, they've already sold their Pakistani operations or agreed

0:03:37.200 --> 0:03:39.320
<v Speaker 1>to sell them a couple of years ago.

0:03:39.520 --> 0:03:40.560
<v Speaker 4>They've got a new CEO.

0:03:41.320 --> 0:03:43.760
<v Speaker 1>Shares up this morning on the back of this latest

0:03:43.760 --> 0:03:46.920
<v Speaker 1>steak sale, investors saying, you know, it makes strategic sense.

0:03:47.000 --> 0:03:48.960
<v Speaker 4>It aligns with the aim of reducing.

0:03:48.560 --> 0:03:52.800
<v Speaker 1>Their exposure on Asia and focusing on their Nordic corpusness.

0:03:53.760 --> 0:03:57.760
<v Speaker 2>The Stock Mover's Report from Bloomberg Radio. Check back with

0:03:57.880 --> 0:04:00.440
<v Speaker 2>us throughout the day for the latest roundup of companies

0:04:00.520 --> 0:04:03.600
<v Speaker 2>making news on Wall Street and for the latest market

0:04:03.640 --> 0:04:08.120
<v Speaker 2>moving headlines. Listen to Bloomberg Radio Live. Catch us on YouTube,

0:04:08.200 --> 0:04:11.680
<v Speaker 2>Bloomberg dot com, and on Applecarplay and Android Auto with

0:04:11.760 --> 0:04:13.240
<v Speaker 2>the Bloomberg Business app.