LondonMetric snaps up Savills IM, Syncona offloads Gyroscope Therapeutics

London pre-open

The FTSE 100 was being called to open 14.5 points higher ahead of the bell on Wednesday after closing 1.38% firmer at 7,297.41 in the previous session.

Stocks to watch

Property company LondonMetric has acquired Savills IM Income and Growth Fund in a corporate transaction valued at £122.2m, reflecting a blended yield on cost of 4.3% and an anticipated reversionary yield of 4.9%.

LondonMetric said on Wednesday that Savills' portfolio of 15 assets generates £5.35m of rent per annum and has a weighted average unexpired lease term of 11 years, with key occupants including the likes of Decora, Fujitsu, Grafton, HSBC, Iveco, MKM and Volkswagen.

Investment trust Syncona said on Wednesday that it had sold its portfolio company Gyroscope Therapeutics Holdings to Novartis for up to $1.5bn on a cash and debt-free basis.

Syncona said the deal includes an upfront payment of $800.0m, with a further $700.0m potentially due upon the achievement of certain customary milestones related to clinical development, regulatory approvals and reimbursement.

Newspaper round-up

Rishi Sunak has been accused of failing to do enough to help embattled hospitality businesses through the Omicron wave after refusing to bring back furlough for the hardest-hit firms. Succumbing to intense pressure to offer financial support amid a collapse in pre-Christmas trade for pubs, restaurants and hotels, the chancellor announced a £1.0bn bailout package on Tuesday consisting of business grants and help with sick pay. - Guardian

Nightclubs have warned that dozens of venues across the country will go bust if a "lockdown by stealth" means they are unable to welcome guests as near to normal as possible on New Year's Eve. The head of the Night Time Industries Association said clubs are being "crippled" by the government's decision to avoid a costly national lockdown in England that would have triggered greater support payments to businesses forced to close. - Guardian

Airbus and Boeing have urged the Biden administration to delay turning on 5G mobile networks over fears they could affect US aircraft safety. Bosses of the world's two largest plane makers have asked the US Transport Secretary, Peter Buttigieg, to support postponing the rollout that is due to start in early January. - Telegraph

The cost to the taxpayer of running Bulb, the failed energy supplier, could spiral by £1.0bn or more as gas prices hit fresh record highs, according to industry estimates. Britain's seventh biggest energy supplier collapsed last month with 1.6m household customers and was placed in government-backed special administration with a £1.7bn taxpayer loan to fund its operations. - The Times

Renewed deal speculation and relief that it has dodged a pre-Christmas profit warning have revived the stock market fortunes of THG after a turbulent year. Shares in the ecommerce-to-technology logistics business rose for a fourth consecutive day yesterday after Bloomberg reported that it was again talking about quitting the stock market. Sources had said previously that a decision would be made in the new year if the company's market valuation remained depressed. - The Times

US close

Wall Street stocks closed higher on Tuesday following a three-day slump for major indices.

At the close, the Dow Jones Industrial Average was up 1.60% at 35,492.70, while the S&P 500 was 1.78% firmer at 4,649.23 and the Nasdaq Composite saw out the session 2.40% stronger at 15,341.09.

The Dow Jones closed 560.654 points higher on Tuesday, reclaiming some of the losses recorded in the previous session as market participants monitored a resurgence in global Covid-19 cases due to the fast-spreading omicron variant