Markets & Finance

On the Move:E.On, EADS, Ryanair


Plus: CS Group, Ericsson, Adidas and other European companies making headlines Monday

From Standard & Poor's European MarketScope

UK

CABLE & WIRELESS was up £0.03 to £1.75. Credit Suisse upped its target to £2.00 from £1.24 and kept its outperform rating.

BARRATT DEVELOPMENT was up £0.52 to £12.80. The company and Wilson Bowden have agreed to the terms of a recommended cash and share offer by the company to acquire the entire issued and to be issued ordinary share capital of Wilson Bowden.

RYANAIR was up £0.77 to £11.99. The company deputy CEO Michael Cawley said that the company may bid for Aer Lingus again in May if the European Commission okays its earlier lapsed bid offer.

France

ACCOR was up €1.25 to €67.00. UBS raised its target to €85 from €70, and kept its buy rating, having revised its 'blue sky' scenario looking at the implications of the company's restructuring program on 2008 forecasts.

EADS was down €0.45 to €25.15. Germany has issued a blunt warning that defense contracts with the company could be cancelled if jobs and production are shifted out of the country as part of the restructuring of Airbus, the FT reported.

ATOS was down €0.95 to €43.32. The company posted a slight drop in fiscal 2006 sales to €5.397 billion, down 1.14% year-over-year, though in line with the consensus of €5.395 billion. It said this was due to delays in securing public sector contracts in the UK.

Germany

Q-CELLS was up €7.10 to €48.80. The company reported 2006 EBIT of €129 million on sales of €539.5 million. Both figures were better than expected. Net profit came in at €87.7 million.

E.ON (EON) was down €0.46 to €108.97. The company upped its bid for Endesa to €38.75 per share - valuing the Spanish utility at €41 billion. The increased and final offer came a day after Gas Natural pulled out of the bidding race.

ADIDAS was up €0.87 to €38.20 as Credit Suisse upgraded the company to outperform from neutral.

Italy

FASTWEB was down €1.01 to €41.12. The company's board reportedly may opt to shelve the payment of a jumbo dividend for 2006. The company's main shareholder Silvio Scaglia is under formal investigation for false accounting by the Rome prosecutor's office.

Netherlands

PHILIPS (PHG) was down €0.22 to €29.70. The company has a €15 billion-€20 billion acquisition war-chest and may buy as many as 15 companies over the next two years, wrote Il Corriere della Sera citing the company's chief marketing officer Andrea Ragnetti.

Nordics

RENEWABLE ENERGY was down NOK18.00 to NOK141.00. Orkla bought 12.4% to get it to 39.9% of the total share capital. A 40% stake triggers a mandatory bid in Norway.

ERICSSON was up SEK0.65 to SEK26.40. Carnegie upgraded the company to neutral from underperform. It said long-term challenges persist but it expects cost-cutting and SonyEricsson to offset the gross income decline in the first half, resulting in pretax profit growth year-over-year.

Spain

ENDESA was down €0.94 to €38.10. E.On raised its bid for the company to €38.75 per share, valuing the Spanish utility at €41 billion.

GAS NATURAL was up €0.74 to €31.59. Moody's is no longer considering cutting the company's ratings. It said the outlook was stable.

Switzerland

SWISS RE was down CHF1.70 to CHF102.10. The company sold the 'Gherkin' tower in London to an affiliate of German real-estate corporation IVG Immobilien AG for £600 million.

CS GROUP was down CHF0.60 to CHF88.10. The FT reported that the company is preparing to award a contract for its telecoms needs to BT Group (BT), in a deal worth about CHF1.4 billion over seven years.

Rocio Opazo-Aniotz, Claudia Perotti, Michael Sanderson, Emma Stevenson, Mariella Mongio, Pawan Girglani, Guarav Panchal, Julien Manrique, Isabell Witt, Sara Oscarsson, Ben Marino, John West

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