Market report: Investors shed shares in Devro

Investors shed shares in Devro yesterday as the sausage-skin maker warned profits will be down £8m this year.

The maker of coatings for the British banger, the Chinese Lap Cheong and the south American chorizo said a series of issues, including currency devaluation in south America, weak demand in Europe and a pork import ban in Russia, hurt volumes.

Sales in Germany, Japan, China and the US were better but overall volume and prices were expected to be flat and the shares tumbled 10 per cent, or 25.5p, to 211.5p.

Darren Shirley at Shore Capital said its “margins and returns” are likely to “tread water post the immediate markdown”.

The wider market was buoyant on the back of M&A activity.

Chris Beauchamp, market analyst at IG, said: “The week has got off to a good start… renewed merger and acquisition activity is leading us back [up].” The FTSE 100 edged up 14.47 points to 6,700.16.

Deals included mega-mergers in the pharmaceuticals world such as US drugs giant Pfizer’s attempted move for AstraZeneca. Astra jumped to the top of the leaderboard, 586.5p better at 4,666.5p.

FTSE 250 defence firm Ultra Electronics has bought a Canadian outfit Forensic Technology in a C$94m (£51m) deal. Forensic, whose clients include the UK police’s National Ballistics Intelligence Service, was sold by private investors and its management team. Ultra fired up 1p to 1,734p.

Electra Private Equity has bought a €40m (£33m) stake in Bank of England plastic notes-maker Innovia. Electra with private-equity firm Arle Capital, which has bought Innovia in a €498m deal. Electra rose 25p to 2,665p.

Despite the flurry of deals Ophir Energy’s advances were snubbed by Premier Oil and Ophir said it is no longer “considering making an offer”, which rules it out from bidding again for six months. It had wanted to team up with its FTSE 250 rival to create a £3bn oil explorer and producer. Premier, which said it has found oil in Indonesia and Pakistan, saw its shares firm 2.7p to 329.4p. Ophir slipped 1.9p to 241.4p.

Start your day with The Independent, sign up for daily news emails
ebooks
ebooksAn introduction to the ground rules of British democracy
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
SPONSORED FEATURES
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Guru Careers: Financial Controller

£45 - £55k DOE: Guru Careers: A Financial Controller is required to join a suc...

Recruitment Genius: Sales Consultant / Telemarketer - OTE £20,000

£12500 - £20000 per annum: Recruitment Genius: Scotland's leading life insuran...

Recruitment Genius: Sales Adviser - OTE £24,500

£22500 - £24500 per annum: Recruitment Genius: Inbound and outbound calls with...

Recruitment Genius: Business Development Executive / Sales - OTE £40,000

£18000 - £40000 per annum: Recruitment Genius: This fast growing Insurance Bro...

Day In a Page

Mullah Omar, creator of the Taliban, is dead... for the fourth time

Mullah Omar, creator of the Taliban, is dead... again

I was once told that intelligence services declare their enemies dead to provoke them into popping up their heads and revealing their location, says Robert Fisk
Margaret Attwood on climate change: 'Time is running out for our fragile, Goldilocks planet'

Margaret Attwood on climate change

The author looks back on what she wrote about oil in 2009, and reflects on how the conversation has changed in a mere six years
New Dr Seuss manuscript discovered: What Pet Should I Get? goes on sale this week

New Dr Seuss manuscript discovered

What Pet Should I Get? goes on sale this week
Oculus Rift and the lonely cartoon hedgehog who could become the first ever virtual reality movie star

The cartoon hedgehog leading the way into a whole new reality

Virtual reality is the 'next chapter' of entertainment. Tim Walker gives it a try
Ants have unique ability to switch between individual and collective action, says study

Secrets of ants' teamwork revealed

The insects have an almost unique ability to switch between individual and collective action
Donovan interview: The singer is releasing a greatest hits album to mark his 50th year in folk

Donovan marks his 50th year in folk

The singer tells Nick Duerden about receiving death threats, why the world is 'mentally ill', and how he can write a song about anything, from ecology to crumpets
Let's Race simulator: Ultra-realistic technology recreates thrill of the Formula One circuit

Simulator recreates thrill of F1 circuit

Rory Buckeridge gets behind the wheel and explains how it works
Twitter accused of 'Facebookisation' over plans to overhaul reverse-chronological timeline

Twitter accused of 'Facebookisation'

Facebook exasperates its users by deciding which posts they can and can’t see. So why has Twitter announced plans to do the same?
Jane Birkin asks Hermès to rename bag - but what else could the fashion house call it?

Jane Birkin asks Hermès to rename bag

The star was shocked by a Peta investigation into the exotic skins trade
10 best waterproof mascaras

Whatever the weather: 10 best waterproof mascaras

We found lash-enhancing beauties that won’t budge no matter what you throw at them
Diego Costa biography: Chelsea striker's route to the top - from those who shared his journey

Diego Costa: I go to war. You come with me...

Chelsea's rampaging striker had to fight his way from a poor city in Brazil to life at the top of the Premier League. A new book speaks to those who shared his journey
Ashes 2015: England show the mettle to strike back hard in third Test

England show the mettle to strike back hard in third Test

The biggest problem facing them in Birmingham was the recovery of the zeitgeist that drained so quickly under the weight of Australian runs at Lord's, says Kevin Garside
Women's Open 2015: Charley Hull - 'I know I'm a good golfer but I'm also just a person'

Charley Hull: 'I know I'm a good golfer but I'm also just a person'

British teen keeps her feet on ground ahead of Women's Open
Turkey's conflict with Kurdish guerrillas in Iraq can benefit Isis in Syria

Turkey's conflict with Kurdish guerrillas in Iraq can benefit Isis in Syria

Turkish President Erdogan could benefit politically from the targeting of the PKK, says Patrick Cockburn
Yvette Cooper: Our choice is years of Tory rule under Jeremy Corbyn or a return to a Labour government

Our choice is years of Tory rule under Corbyn or a return to a Labour government

Yvette Cooper urged Labour members to 'get serious' about the next general election rather than become 'a protest movement'