Maitland/AMO Morning Monitor – Friday 27 September 2019

27th September 2019

Market Information

The FTSE, CAC and DAX are all expected to open up this morning.

Asia stocks have fallen today, largely following growing political uncertainty in the US as the White House faces accusations of a cover-up.


In the news

  • Whistleblower claims the White House tried to cover up President Trump call with the Ukrainian President
  • Airbus CEO warns of 'Lose-Lose Game' in trade war over Jetliners
  • Endeavor Group pulls plan for IPO amid limited investor interest

The political day

  • Parliament is not sitting today. MPs and Peers return to Westminster on Monday
  • Brexit Secretary Steve Barclay is in Brussels for a meeting with the EU’s lead negotiator Michel Barnier
  • The Brexit Party continues its conference tour in London

Top Financial Announcements

* Maitland Client

Grainger PLC Trading Update
  • The group has agreed Head of Terms with Cubex Land to acquire (through a forward funding arrangement) a build to rent scheme in Bristol, Millwrights Place, comprising 231 PRS homes.
  • In July, the group refinanced £275m of debt for the GRIP portfolio at lower rates and longer maturities with Rothesay Life at a blended rate of 2.3%.
  • Hawkins & George has been successfully let in 3.5 months since launch, with rents ahead of underwriting, demonstrating the excellent location and positioning of the product in the Bristol rental market.
  • Grainger is starting to roll out its new technology platform, CONNECT, designed to improve both the rental experience for customers and also underpin Grainger’s growth plans to double it’s 8,500 rental portfolio.
  • Helen Gordon, CEO, said: “I am pleased to report a period of continued strong performance for Grainger. Our disciplined investment decisions and clear focus on operational excellence is delivering sustainable growth for shareholders, customers and communities alike. Since the start of our strategy in 2016 we have committed investment of £1,555m into new private rental housing. During the year, we have competed 912 new private rental homes, with a further 1,150 to come in FY20. Our most recently launched schemes in Bristol, Manchester and Hampshire are leasing well and ahead of expectations. In particular, Hawkins & George in Bristol, which comprises 194 apartments, is now fully let in 3.5 months since launch, well ahead of expectations and our initial underwriting.”
Pennon Group PLC Pennon Trading Statement
  • On track to meet management expectations for 2019/20.
  • Strong funding and liquidity position.
  • Given the strong financial performance and operational progress of Viridor and South West Water, coupled with the imminent start of the new K7 regulatory delivery period for South West Water and the near and medium-term growth opportunities at Viridor, the Pennon Board has concluded that it is an appropriate time to conduct a full review of the strategic focus, growth options and capital allocation policy for the Group. 
  • Reviewing strategic focus, growth options and capital allocation policy for the Group.