Bloomberg News

BMW, GlaxoSmithKline, Royal KPN, Shell: European Equity Preview

April 07, 2011

The following companies’ shares may have unusual moves in European trading. Stock symbols are in parentheses.

The Stoxx Europe 600 Index climbed 0.2 percent to 281.57. The Stoxx 50 Index rose 0.3 percent to 2,635.62. The Euro Stoxx 50 Index (SX5E), a benchmark for nations using the euro, increased 0.7 percent to 2,971.48.

Bayerische Motoren Werke AG (BMW) : The German luxury carmaker was cut to “underweight” from “overweight” by Morgan Stanley, which cited declining earnings momentum. BMW lost 0.3 percent to 60.81 euros.

BG Group Plc (BG/) : The Egyptian Natural Gas Holding Co., Egypt’s state-run company, reached an initial agreement to increase the price of gas exports to BG Group Plc as global oil prices rise, Egyptian Oil Minister Abdalla Ghorab said. The shares rose 0.1 percent to 1,564 pence.

GlaxoSmithKline Plc (GSK) : The London-based drugmaker is among three potential buyers of Turkish drugmaker Biofarma Pharmaceutical Industry Co., two people with knowledge of the matter said. The stock fell 0.4 percent to 1,213 pence.

London Stock Exchange Group Plc (LSE) : TMX Group Inc.’s buyout by London Stock Exchange Group Plc has a 40 percent chance of being approved after Australia set the precedent of rejecting a foreign bid for its exchange, National Bank Financial said. The stock gained 0.9 percent to 869 pence.

Portugal Telecom SGPS SA (PTC PL): Moody’s Investors Service placed Portugal’s biggest phone company on review for a possible downgrade of its Baa2 credit rating. The shares lost 0.3 percent to 8.26 euros.

Rhodia SA (RHA FP): An employee shareholders group recommended Solvay SA’s 3.4 billion-euro takeover offer, saying the price is satisfactory. The shares gained 0.1 percent to 31.33 euros.

Royal Dutch Shell Plc (RDSA) : Europe’s largest oil producer’s application to start shale-gas exploration in South Africa’s Karoo region should be terminated because it lacks sufficient information for regulators to assess it properly, Havemann Inc. attorneys said. The stock advanced 0.7 percent to 2,280 pence.

Royal KPN NV (KPN) : The largest Dutch telephone company is not considering a sale of its German unit E-Plus and is open to partnerships in that country, Chief Executive Officer Eelco Blok told reporters after the annual shareholder meeting. KPN retreated 0.2 percent to 12.24 euros.

Telefonica SA (TEF) : Spain’s biggest phone company was cut to “equalweight” from “overweight” at Morgan Stanley. The shares gained 0.9 percent to 18.09 euros.

To contact the reporter on this story: Whitney Kisling in New York at

To contact the editor responsible for this story: Nick Baker at

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