Published on : Jan 12, 2015
As deals in the pharmaceutical industry indicated a renewal of confidence after last week’s decline, the European markets have rebounded on Monday.
News broke in that London has been reflected as a laggard city in comparison to other major European regions. Other European exchanges are on the rise with just a 0.58% to 6,536. Region such as Frankfurt was up by 1.64% at 9,806, Paris, the Cotation Assistée en Continu (CAC) 40 was up by 1.53% at 4,243 and Madrid, the IBEX 35 rose by 1.6% at 9,874.
Roche - Swiss Pharma Company rose by 1.53% after willing to pay Cambridge, Mass.-based cancer specialist Foundation Medicine (FMI) a value of $1.03 billion for up to 56.3%. However, fresh from its break in deal of $49 billion with Chicago’s AbbVie (ABBV), Ireland’s Shire declined by 0.3% to 4,727 pence in London. This was resulted after agreeing to purchase the rare disease specialist company NPS Pharmaceutical for around $5.2 billion.
Brent crude- UK’s oil industry performed hesitantly trading well below $49 a barrel - which was ultimately its lowest price since April, 2009. In addition, Afren - a mid-cap oil producer declined by almost 20% to 31.50 pence. This reduction was estimated after the reserves at Barda Rash field situated in Iraqi Kurdistan suggested that strategic options for Iraq have to be thought of. In the meantime, Lamprell - oil rig maker declined by 13.33% to 97.50 pence because it was warned that a reduction in capital spending by various oil exploration companies would slash its revenue for 2015.
However, other oil and gas service providers, producers and companies also declined.
On the other hand, in the airline industry, Aer Lingus fell by 5.6% after refusing a revised offer worth 1.3 billion euros ($1.53 billion) from British Airways and Spain’s Iberia increased by 1.63% to 473 pence.
Hong Kong’s Hang Seng index in Asia closed up 0.45% at 24,026.46. The market in this region responded positively to Li Ka-shing plans to merge and restructure his Cheung Kong and Hutchison Whampoa companies. Additionally, Tokyo market was closed for a holiday.