The global distribution and outsourcing company Bunzl published its final results this morning, but despite some positive signs such as growing margins and a 32nd consecutive year of dividend increases, market sentiment remained against the firm. Currency headwinds had taken a toll, the note acknowledges uncertainty in the wider economic landscape and there’s no prospect of a further improvement in operating margins for the current financial year. The Bunzl share price was 5% lower in early trade.
Gains for Spirent this morning as the rather drawn out takeover process that it reached agreement on almost a year ago takes another step forward. Regulators had insisted that Keysight, the acquiring party, disposed of Spirent's high-speed ethernet and network security business lines. That has now been concluded, which has been sufficient to lead the Spirent share price up by just over 2% shortly after the open.
Geopolitical developments over the weekend have seen genuine commitments to dramatically increasing defence spending both from the UK and other European nations. As a result, those companies involved in the defence sector have been in the spotlight in early trade, with the BAE Systems share price leading the charge, up almost 16% by 8.30am. Peers including Rolls Royce, QinetiQ, Chemring and Babcock are also finding meaningful support.
Most read news on Investegate this morning
Sale of Argos Store Card Portfolio - - Sainsbury (J) (SBRY)
Update on Acquisition of Spirent by Keysight - - Spirent Communications (SPT)
