UK Budget's Pension Changes Are More Material Than Might First Appear

UK Budget's Pension Changes Are More Material Than Might First Appear

1339 GMT - The pension changes in Wednesday's U.K. Budget will have a massive effect on wealth managers and investment platforms even if not forever, says Shore Capital in a note. "While the number of people breaching the [lifetime allowance] was not large, that which might have been on course to do so will be of a different magnitude," say analysts Ben Williams and Vivek Raja. They note that many will strive to use the new GBP60,000 annual contribution limit while they can--given the Labour party's statement that if elected they would reinstate the just-scrapped LTA--as they'd also expect there to be a historical LTA protection even in the event of a more left-leaning government.(elena.vardon@wsj.com)

COMPANIES NEWS:

Predator Oil & Gas to Raise GBP2 Mln via Share Placing

Predator Oil & Gas Holdings PLC on Friday said it has placed shares to raise 2 million pounds ($2.4 million) to fully fund its MOU-3 well in Morocco.

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UnitedHealth Takeover of EMIS Could Hurt UK National Health Service, Antitrust Regulator Says

The U.K. competition regulator's initial investigation into UnitedHealth Group Inc.'s 1.24 billion-pound ($1.50 billion) deal to buy EMIS Group PLC could reduce competition, leading to worse outcomes for the National Health Service and patients and taxpayers, it said Friday.

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John Wood Extends Apollo's Takeover Offer Deadline

John Wood Group PLC said Friday it has extended the deadline by which Apollo Global Management Inc. is required to make a formal offer for the company.

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Diploma PLC Raises GBP236 Mln via Equity Issues

Diploma PLC said Friday that it has raised 236 million pounds ($285.8 million) via the equity issues first announced late Thursday.

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EnQuest Delays Publication of 2022 Results

EnQuest PLC on Friday delayed the publication of its 2022 results and confirmed its guidance for 2023 is unchanged.

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Yourgene Health CFO Barry Hextall Steps Down

Yourgene Health PLC on Friday said its Chief Financial Officer Barry Hextall is stepping down from the role with immediate effect to pursue other opportunities.

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Bodycote 2022 Pretax Profit Rose on Price Increases

Bodycote PLC said Friday that pretax profit and revenue rose in 2022, as inflationary costs were offset by price increases and surcharges, and that it has recommended an increased dividend.

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Celsius Resources Requests Voluntary Share Suspension in Australia

Celsius Resources Ltd. said Friday that it has requested an immediate voluntary trading halt in its shares on the Australian Securities Exchange ahead of an announcement.

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Rolls-Royce Wins Funding for Nuclear-Powered Moon Base Research

Rolls-Royce Holdings PLC said Friday that it has secured 2.9 million pounds ($3.5 million) from the U.K. Space Agency for research into how nuclear power could support a future moon base.

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Kazatomprom 2022 Profit, Revenue Rose as Uranium Price Increased, Tenge Weakened Against Dollar

NAC Kazatomprom JSC said Friday that it met guidance in 2022, booking increased revenue and profit, as the average uranium price rose and due to the weakening of the tenge against the dollar.

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Circle Property Starts GBP46.2 Mln Capital Return

Circle Property PLC on Friday said it has started its first capital return to shareholders as it progresses in the sale of its assets in view of delisiting from London's AIM market.

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Amala Foods Terminates Deal With Terra Rara UK; Raises GBP405,000

Amala Foods PLC said Friday that it has terminated the proposed transaction with Terra Rara UK Ltd. due to administrative issues relating to some of the mining assets of Terra Rara following due diligence.

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Neometals' Vanadium Recovery JV Project Enters Funding Appraisal Stage

Neometals Ltd. said Friday that its joint-venture company Recycling Industries Scandinavia AB has passed the funding consideration stage by the European Investment Bank and has now entered a formal appraisal stage.

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Non-Standard Finance Shares Fall on Scheme of Arrangement Plans

Shares in Non-Standard Finance PLC fell on Friday after the company said it is planning a scheme of arrangement which, if successful, will provide certainty on its liability for historical redress claims and pave the way for a capital raise.

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Petroneft Resources Sees Grounds to Reduce Debt Claim by Nord Imperial

Petroneft Resources PLC said Friday that it believes it has grounds to reduce a claim amount owed to Nord Imperial LLC after a regional court made a decision on Nord Imperial's first claim.

MARKET TALK:

Sterling Could Fall as BOE Cautious Despite High Inflation

1358 GMT - The Bank of England may continue to be perceived as more cautious compared with the Federal Reserve or European Central Bank and this may weaken sterling this year, Commerzbank says. The BOE's stance raises concerns that it could fall behind the curve in raising interest rates, Commerzbank currency analyst You-Na Park-Heger says in a note. "For the pound, monetary policy therefore remains a burdening factor against the backdrop of still high inflation data," the analyst says. Sterling weakness may continue next year as the BOE could cut rates due to a weak economy and somewhat lower inflation, Park-Heger says. Commerzbank expects EUR/GBP to rise to 0.91 by December 2023 and to 0.93 by December 2024 from 0.8750 currently. (renae.dyer@wsj.com)

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European Banks' Performance Should Stabilize, UniCredit Says

1316 GMT - European banks will face more volatility, but current developments in the sector are manageable and performance should stabilize, UniCredit says in a note. "We expect the volatility in the market's perception of potential risks to remain high," lead equity strategist Christian Stocker says, noting that the resumption of outperformance is unlikely in the near term and buybacks, the factor that drove up bank prices recently, have been put into question. The performance of the sector should return to its medium-term trend of outperformance with the start of the first-quarter reporting season in mid-April, which might lead to a more stable market environment, he says. The STOXX Europe 600 Banks index falls 1.6% on Friday afternoon, but is still in positive territory year-to-date, up 0.9%. (elena.vardon@wsj.com)

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PensionBee's Path to Profitability Is Further Derisked

1305 GMT - PensionBee's 2022 results highlight the long-term attractions of the company, BofA Global Research says in a note after the online pension company published its earnings and said it is on track to meet its profitability target by the end of 2023. "We think PensionBee has identified an attractive, growing niche and has built a strong offering and brand. The benefits are showing through and we think this will continue," say analysts at the brokerage, noting the changes from the U.K. Budget are helpful but not game changing. They add that it is highly comforting, especially given current volatility, that the group had GBP19 million in surplus capital and that it reiterated its profitability guidance. BofA has a buy rating on the stock. (elena.vardon@wsj.com)

Contact: London NewsPlus, Dow Jones Newswires;

(END) Dow Jones Newswires

March 17, 2023 10:27 ET (14:27 GMT)

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