Euronext to learn terms for LSE bid
The Competition Commission will today publish the terms under which Euronext, one of two remaining bidders, can make a formal offer for the London Stock Exchange. Euronext, which operates four continental exchanges, was expected to be told to weaken its links with the clearing service that acts for London equities. It was expected to be told to reduce its stake in LCH.Clearnet from 41 per cent to 14.9 per cent, and the seats it controls from four to one.
Sainsbury slows
J Sainsbury saw a slowdown in sales growth in January, as did the whole supermarket sector, according to figures from TNS, the market tracking survey. In January Sainsbury’s sales rose 4.2 per cent compared with the same month a year ago, but in November and December growth was 7 per cent. Industry growth slowed to 3.1 per cent from 4.9 per cent in December.
Advertisement
BOC ahead
BOC, the gases group that last month rejected a £7.6 billion bid approach by Linde, has reported record first-quarter profits and forecast a year of “steady progress”. Tony Isaac, chief executive, said that the quarter’s results showed BOC’s growth prospects. He unveiled adjusted operating profits of £151 million, up 2 per cent.
Reckitt record
Reckitt Benckiser shares soared 43p to a record £19.78 after the world’s biggest cleaning products group raised its profit margin forecast amid strong growth for brands such as Vanish and Cillit Bang. Bart Becht, chief executive, refused to rule out a bid for Pfizer’s consumer products division.
SMEs failing to help staff save
Advertisement
Almost two thirds of small and medium-sized enterprises (SMEs) are failing to offer their employees a stakeholder pension. Companies that employ more than five workers have been legally obliged to offer staff a stakeholder pension since October 2001, but 64 per cent of SMEs in Britain are failing to comply, according to new research from Bibby
Financial Services, a business-to-business services group. Employers are exempt from offering a stakeholder pension if they provide their staff with access to an occupational or personal pension scheme. However, only 3 per cent of owners and managers surveyed said they provide employees with access to a personal pension scheme, while 15 per cent have an occupational scheme in place.
Bill for innovation
Government departments should be compelled to set aside 2.5 per cent of their external research and development budgets for contracts that encourage innovation by small businesses, according to a Private Members’ Bill proposed in the Commons on Tuesday. The Government has already pledged to do this, but Kitty Ussher, Labour MP for Burnley and Padiham, who proposed the Bill, said many departments had not done so.
Ask the watchdog
Advertisement
The City watchdog has set up an online course to help small businesses to get to grips with their regulatory requirements. The course, launched by the Financial Services Authority yesterday, is designed to help those with little or no accounting knowledge to work out what financial resources they need to meet regulations. The e-learning package can be found via the FSA’s website, www.fsa.gov.uk/smallfirms
Young guns
Being the youngest child in the family is perfect training for an entrepreneurial future, it seems. A survey by Royal Bank of Scotland found that the average entrepreneur was likely to be the youngest sibling and someone who had been competitive at school sports and left school after GCSEs. Many entrepreneurs started to earn money as young as 13, mainly via a paper round, and one in five had no educational qualifications, RBS said.
Patent review
The Patent Office has begun consultations on whether too many trivial patents are being granted. It is also asking inventors, engineers and legal experts to consider how well the present legislation maximises innovation and competitiveness. The review centres on the inventive step — the part of an invention that makes it new — that is currently required for a patent to be granted.