LondonMetric Share News (LMP)

LONDON (Alliance News) - Shares in London have started the second half of 2015 on the front foot, despite the expected failure by Greece to pay its debts to the IMF on time.

Shares in Sirius Minerals are by far the biggest gainer on AIM, up 80% after the North York Moors National Park Authority gave the green light for the company to build the world's largest potash mine in the Yorkshire park near Whitby.

Sirius Minerals shares resumed trading Wednesday after the Park Authority held a special committee meeting Tuesday to deliberate on Sirius's application to build a potash mine under the North York Moors National Park, which has now been approved.

Sirius Minerals said the approval is a "major step forward" and the company will release a "full status update" on the next steps for the mine next week. At its current price, Sirius's market cap has swelled to GBP610 million, placing it within sight of inclusion in the FTSE 250 index.

The top gainer in that mid-cap index Wednesday is outsourcer Serco, up 13% after saying trading in the first half of 2015 has been slightly better than anticipated.

Here is what you need to know at the London market open:
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MARKETS
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FTSE 100: up 0.7% at 6,566.66
FTSE 250: up 0.5% at 17,627.22
AIM ALL-SHARE: up 0.7% at 760.80
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Hang Seng: up 1.1% at 26,250.03
Nikkei 225: closed up 0.5% at 20,329.32
DJIA: closed up 0.1% at 17,619.51
S&P 500: closed up 0.3% at 2,063.11
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GBP: down at USD1.5702
EUR: down at USD1.1126

GOLD: up at USD1,173.95 per ounce
OIL (Brent): down at USD62.70 a barrel

(changes since end of previous GMT day)
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ECONOMICS AND GENERAL
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Wednesday's Key Economic Events still to come
(all times in BST)

08:45 Italy Markit Manufacturing PMI
08:50 France Markit Manufacturing PMI
08:55 Germany Markit Manufacturing PMI
09:00 Italy Public Deficit/GDP
09:00 EU Markit Manufacturing PMI
09:30 UK Markit Manufacturing PMI
10:30 UK Financial Stability Report
12:00 US MBA Mortgage Applications
12:30 US Challenger Job Cuts
13:15 US ADP Employment Change
14:45 US Markit Manufacturing PMI
15:00 US ISM Manufacturing PMI
15:00 US Construction Spending (MoM)
15:30 US EIA Crude Oil Stocks change
18:30 US Total Vehicle Sales
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The Greek crisis worsened as the debt laden nation missing its EUR1.6 billion loan payment to the International Monetary Fund, after the Eurogroup earlier rejected any bailout extension in spite of the European Central Bank's decision to hold a meeting to review the emergency funding assistance. In a release, IMF Director of Communications Gerry Rice confirmed the non-receivable of the debt payment and informed that Greece is now in arrears, which means once the country clears the debt only then it can receive further financing from the lender. During last minute efforts, the Greek government submitted a request for a two-year bailout with the European Stability Mechanism to fully cover its financing needs, along with debt restructuring, the state-backed ANA-MPA news agency reported citing a statement from the office of the Prime Minister Alexis Tsipras. The ECB is set to hold a Governing Council meeting on Wednesday to review the emergency funding assistance to Greek banks. The lender had refused to raise the cap of its emergency liquidity assistance on Sunday as the Eurogroup rejected any bailout extension a day earlier.
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IRELAND JUNE MANUFACTURING PMI 54.6 VS 57.1 IN MAY
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China's manufacturing sector contracted at a slightly slower pace in June, HSBC said in its revised manufacturing PMI with a score of 49.4. That was a downward revision from last month's preliminary reading of 49.6 - but it's up from the 49.2 reading in May. "The final reading of the HSBC China Manufacturing PMI pointed to a further decline in the health of the manufacturing sector in June. This was predominantly driven by the sharpest rate of job shedding across the sector since early-2009, while output also fell slightly on the month," said Markit economist Annabel Fiddes.
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The manufacturing sector in Japan continued barely to expand in June, the latest Nikkei Manufacturing PMI showed on Wednesday, with a score of 50.1. That was up from last month's preliminary reading of 49.9, although it was down significantly from 50.9 in May.
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An index measuring business sentiment in Japan picked up steam in the second quarter of 2015, the Bank of Japan revealed in its quarterly Tankan business survey. The large manufacturers' index came in with a score of 15, beating forecasts for 12, which would have been unchanged from the previous quarter. The outlook score was also positive, suggesting that the index will climb to 16 in the third quarter - also topping forecasts for 14 after showing 10 in the previous three months. The survey is closely watched by the Bank of Japan for formulating policies.
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US President Barack Obama warned that his diplomats would break off talks on a far-reaching nuclear deal unless Iran made concessions, shortly after negotiators decided they need up to seven more days close gaps on the agreement. "I will walk away from the negotiations if it's a bad deal," Obama said in a Washington press conference. Iran and six major powers including the US had previously set a Tuesday midnight deadline for the agreement that would curb Iran's civilian nuclear activities in return for the removal of sanctions. But they made clear Tuesday evening that they would extend talks for up to a week, when they announced that they would prolong until July 7 the measures that both sides have been implementing as confidence-building steps.
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Ukraine failed to secure a new contract on gas supplies from Russia for the next cold season, the European Commission said after it had brokered talks between the two sides in Vienna. Russia would nevertheless continue shipping gas to Ukraine's eastern Donbass region, Russian Energy Minister Alexander Novak was quoted as saying by Russia's Tass news agency. The area is controlled by pro-Russian separatists who have been fighting the Ukrainian army. Cash-strapped Ukraine is heavily dependent on energy from Russia and is also a key transit country for supplies to Western Europe.
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BROKER RATING CHANGES
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Canaccord Cuts Tullett Prebon To Hold From Buy, Ups Price Target To 375p From 330p
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GOLDMAN RAISES INVESTEC TO 'BUY' ('NEUTRAL') - TARGET 691 (553) PENCE
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CITIGROUP CUTS COLT GROUP TO 'NEUTRAL' ('BUY') - TARGET 190 (175) PENCE
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COMPANIES - FTSE 250
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Greene King reported a drop in profit in its recently-ended financial year as it booked impairment charges and costs related to pub disposals, but revenue grew, driven by its Retail division. The pub company, which recently bought Spirit Pub Co, reported a drop in pretax profit in the year ended May 3 to GBP118.2 million from GBP105.2 million the year before. Revenue grew slightly to GBP1.32 billion from GBP1.30 billion. Greene King said it will pay a dividend of 29.75 pence for the full year, up 4.8% from the 28.4p it paid the year before.
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AA said it has struck a deal with TVS Automobile Solutions Ltd to create a roadside assistance joint venture in India. AA will take a 49% stake in the joint venture in return for a GBP4 million investment. The joint venture will give it access to TVS's network and will allow it to leverage its existing relationships with car manufacturers in the Indian market. TVS is an India-based roadside assistance business and is a unit of TVS & Sons, the Indian automotive conglomerate.
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Spire Healthcare Group said it has received an approach about acquiring the St Saviour's Hospital, the site the FTSE 250-listed private healthcare provider said in June that it would shut. Spire said the talks are at a preliminary stage, and no formal agreement has been reached. It added there is no certainty that an agreement to sell the hospital will be sealed.
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Outsourcer Serco Group said trading in the first half of 2015 has been slightly better than anticipated, though it maintained its expectations for the full year and still forecasts a fall in revenue and flat trading profit in the half-year period. The FTSE 250-listed company said it expects revenue in the first half to the end of June to be at least GBP1.7 billion, down from GBP2 billion a year earlier.
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Tullow Oil increased its full-year production guidance from West Africa but reported an expected fall in revenue and profit in the first half of 2015, reflecting the fall in oil prices. In a trading statement, Tullow reported a gross profit of USD300 million in the half year to June 30, down from USD700 million a year earlier, as revenue fell to USD800 million compared to USD1.30 billion a year earlier, reflecting the fall in world oil prices. Tullow is scheduled to provide its full interim results on July 29.
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LondonMetric Property said it has exchanged contracts to acquire and forward fund the development of a 524,000 square foot retail distribution centre in Wakefield for GBP39.4 million. The warehouse, which LondonMetric has acquired from CDP, the development arm of the Marshall Construction Group, has been pre-let to Poundworld Retail Ltd on a 15-year lease at a rent of GBP2.5 million a year. The cost to LondonMetric reflects a net initial yield of 6.3%.
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COMPANIES - LONDON MAIN MARKET AND AIM
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Speedy Hire was dealt a triple blow after it said its results for the full year will not meet expectations, that talks about selling its oil and gas assets have fallen through, and that its Chief Executive Mark Rogerson has retired from his role with immediate effect. Speedy Hire said current Finance Director Russell Down has assumed the role of CEO. The equipment and tool hire company said results for the full year will be "materially below" expectations and down year-on-year, after it had a "slower than expected start" to the year due to end March 31, 2016.
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Topps Tiles said that like-for-like sales grew in the third quarter of its financial year, although growth was slower than in the same period the year before. The bathroom and kitchen tile maker said that like-for-like revenue rose by 5.9% in the 13 weeks to June 27, although this was slower than the 6.3% growth it reported in the same period the prior year.
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Supply chain services company Wincanton said it has won a contract with FTSE 250-listed car parts and bicycles retailer Halfords Group. Wincanton did not provide financial details on the contract but said it will see it become the sole operator of Halfords' national transport contract. The deal will start over the summer and will see Wincanton operate more than 80 vehicles overseeing distribution from Halfords' operational base in Coventry.
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Dragon Oil and Emirates National Oil said they have agreed terms for the 750.0 pence per Dragon share cash offer made by ENOC. Emirates, which is owned by the government of Dubai, is already Dragon Oil's majority shareholder, and the offer for the stake it doesn't own is worth about GBP1.7 billion in total. It said its offer is 47% above Dragon Oil's share price on March 13, the day before it first approached Dragon Oil. The offer values the whole of Dragon Oil at around GBP3.7 billion.
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Irish budget carrier Ryanair Holdings kicked off its 'Keep Europe's Skies Open' petition in the European Union, a call to prevent consumers in Europe from having their holiday plans disrupted by striking Air Traffic Control unions. Ryanair said it has repeatedly called on the European Commission and European Parliament to take action against strikes by these unions, specifically French ATC unions, which have staged 39 days of strike action since 2009.
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COMPANIES - INTERNATIONAL
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Nike said Phil Knight plans to step down as chairman of the company sometime in 2016. Knight has informed the Nike board of his recommendation to have Mark Parker, the company's chief executive officer, succeed him. Knight, who founded Nike, said he will continue to be actively involved with the company well beyond the time he steps aside as chairman.
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Media and entertainment giant Walt Disney said Christine McCarthy, the company's treasurer for the past 15 years, will succeed James Rasulo as Chief Financial Officer. Disney announced earlier this month that Rasulo, a 29-year company veteran, would step down as CFO at the end of the month.
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Apple entered the booming on-demand music streaming business with the debut of Apple Music. The service aims to capture some of the tens of millions of customers worldwide who subscribe to existing online music streaming services, including Spotify and Pandora, and the hundreds of millions who listen to music on the internet for free. The updated versions of the Apple Music mobile app and iTunes platforms include streaming access to 30 million songs in the iTunes library, the company's new Beats 1 live internet radio broadcast, and the Connect social network.
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General Electric said the members of its two largest unions have voted to approve new four-year national labor contracts with the company. Voting by members of the IUE-CWA and the United Electrical, Radio and Machine Workers of America was completed today, and the national agreements were ratified.
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Wednesday's Scheduled AGMs/EGMs

Home Retail Group
Renewable Energy Holdings
Kibo Mining
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By Tom Waite; thomaslwaite@alliancenews.com; @thomaslwaite

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