Home / Royal Mail / Royal Mail owner’s results to be clouded by takeover progress By Proactive Investors

Royal Mail owner’s results to be clouded by takeover progress By Proactive Investors

Proactive Investors – International Distributions Services PLC (LSE:IDS)’s interim results on Thursday, November 21 come against the backdrop of its looming takeover by Czech billionaire Daniel Kretinsky.

The Royal Mail (LON:) owner’s figures are likely to take a back seat as focus remains on the proposed £3.6 billion takeover as a result, according to UBS analysts.

IDS agreed to the takeover by Kretinsky’s EP Group in May, though this has since faced scrutiny since given security concerns over the prospect of Royal Mail falling into foreign ownership.

Investor focus is likely “to be on the development and outcome of the approval process” of the takeover as a result, UBS said,“not necessarily on the beat or miss”.

A government assessment of the bid under National Securities & Investment Act rules is also due on Friday, though any business department or security concerns could see this delayed.

Number-wise, UBS forecast an adjusted pre-tax loss of £13 million for IDS over the first half, reflecting a 4.2% increase in parcel deliveries but 8% drop in letter volumes.

“Consensus might be laggard [or] unreliable” though, analysts said, given no company-compiled figures in the wake of Kretinsky’s offer.

Read more on Proactive Investors UK

Disclaimer




Source link

About admin

Check Also

Royal Mail owner warns on prices and jobs

Reuters Royal Mail owner IDS warns of cost pressures after return to profit (Reuters) -The …

Leave a Reply

Your email address will not be published. Required fields are marked *