Speaker 1: Bloomberg Audio Studios, podcasts, radio News.
Speaker 2: The Stock Movers Report, your roundup of companies making moves
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.
Speaker 3: Let's take a look at some of the stocks on
Speaker 3: the move today in Europe. I'm Stephen Carroll and I'm
Speaker 3: joined by Bloomberg's Breaking News editor Louise Man and Luise
Speaker 3: good morning. Let's start with steel and a takeover on
Speaker 3: the cards for the metals company Klockner.
Speaker 1: Indeed, yes, so this is the German metals company, as
Speaker 1: you say, takeover deal by a company called Worthington Steele
Speaker 1: in the US. They've agreed to buy it for eleven
Speaker 1: euros Persia in cash. They had already been in takeover talks.
Speaker 1: This was reported in early December. Shares rose quite a
Speaker 1: bit on that at the time and since then have
Speaker 1: stayed higher. And then this morning shares have absolutely saw.
Speaker 1: They've sawd thirty percent back to levels last scene in
Speaker 1: twenty twenty two, hitting that eleven euro mark. Background Wise,
Speaker 1: this comes as Clocklan has been selling off a lot of.
Speaker 4: Its units, been trying units.
Speaker 1: It's been trying to get rid of a lot of
Speaker 1: these more volatile low margin businesses and focus on higher
Speaker 1: value areas, essentially trying to boost profitability. So Anlys is
Speaker 1: saying that, you know, this is a good price. This
Speaker 1: is that they're kind of welcoming this deal, seeing a
Speaker 1: high probability that goes through by the end of the year.
Speaker 1: So shelving off those those kind of non performing units
Speaker 1: and now getting this takeover offer.
Speaker 3: Yeah, and shows up twenty eight percent on the back
Speaker 3: of that as well. Let's start into portion next. Having
Speaker 3: trouble delivering sales.
Speaker 1: Yeah, slightly less good story this morning for them. So
Speaker 1: deliveries fell ten percent last year. That's the steepest drop
Speaker 1: since two thousand and nine, which is obviously the financial crisis,
Speaker 1: So a bad year for them. This is all on
Speaker 1: the back of weak demand for electric vehicles, a slump
Speaker 1: in China. So but both China and Germany led those declines,
Speaker 1: and it comes as a Porsche's been struggling heavily.
Speaker 4: Last year was a bad year for the company.
Speaker 1: It cut us out and look four times and it's
Speaker 1: this has it's been struggling with kind of a host
Speaker 1: of issues. You know, there was tariffs in the US,
Speaker 1: which is its most important market. They've also been trying
Speaker 1: to correct what was a bit of an overly ambitious
Speaker 1: rollout of electric vehicles. In September, they dropped down from
Speaker 1: the blue chip index, the DAX in Germany to the
Speaker 1: m DAX, which is the MidCap. So they've pledged to
Speaker 1: improve that this year. They've got a new CEO that
Speaker 1: started in January. But yeah, this is all on the
Speaker 1: back of last year not being a good year, deliveries
Speaker 1: falling ten percent.
Speaker 3: Okay, well want to watch as well from here a
Speaker 3: more positive market reception though, for the gains at the
Speaker 3: Gym Group are not just those from their clients.
Speaker 1: Yes, they've been raised to an outperform by RBC. So
Speaker 1: now Gym Group has got nine buys, one hold and
Speaker 1: no cells, so good analyst ratings there. RBC are seeing
Speaker 1: what they're calling revenue driven profit growth. That's after Gym
Speaker 1: Group introduced even cheaper off peak memberships. Obviously they're known
Speaker 1: for being a low costume that's their Murdos Operendi, and
Speaker 1: they've introduced cheaper off peak memberships obviously of seeing potential
Speaker 1: volume growth as well, and as you say, I mean
Speaker 1: this comes in in the peak health season. Everyone's I'm
Speaker 1: sure getting their memberships for January to start the year
Speaker 1: well so.
Speaker 4: Some good news ye at this morning for Gym Group.
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