HOPES that Stanley Leisure will be among the beneficiaries of today’s update from the Government on its plans to overhaul casino regulation gave the gaming operator the best rise in the FTSE 250.
Tessa Jowell, the Culture Minister, is due to unveil a six-page document setting out her plans ahead of the publication of the draft Gambling Bill in October. The first clauses of the draft legislation, which mainly focused on the establishment of a new regulator, the Gambling Commission, to replace the Gaming Board of Great Britain, were published last month, but analysts are seeking more clues on government thinking today.
That prompted an anticipatory rally in Stanley Leisure, the owner of Crockfords, 15p better at 347½p, although it still has to regain its level before April’s profit warning, caused by a disastrous Cheltenham Festival. Rank Group, owner of the Grosvenor casino chain, eased 1½p to 287p, with the FTSE 250 off 59.1 points at 5,296.0.
Trinity Mirror added 7½p at 494½p after a well-received presentation by the chief executive Sly Bailey to the sales force of ABN Amro, its joint house broker. The Dutch firm is impressed by the cost-cutting measures unveiled at last week’s strategy briefing and has raised its target to 520p.
Upgraded forecasts and a raised 120p price target from Numis Securities saw Big Food Group add 1¼p to 107½p. After studying industry data, the broker thinks like-for-like sales at the food retailer have continued to improve. It has lifted its current-year profit forecast by 3.6 per cent, and those for the next two years by 7 per cent and 11 per cent.
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Atlantic Global, the AIM-listed software house, eased ½p to 72½p, despite suggestions of a clutch of further contract wins after last month’s deal with Norwich Union. A contract from the US Government failed to move ParthusCeva, steady at 480p, which licenses technology to the semiconductor industry. The US Department of Defence has commissioned the company to design a global positioning system for military test and research using its NavStream 300 technology.
Profit-taking after reassuring first-half figures saw NMT fade 0.02p to 1.45p. However, some dealers hear that the drug delivery group is in contention for a large contract, which could pull it into profit.