IAWS acquisition grabs investor attention for day

Market report: The Irish stock market was little changed yesterday as a handful of stocks like IAWS and Readymix provided most of the newsflow.

Shares in IAWS jumped by 33 cents, or nearly 3 per cent, to €11.58 as the food group announced the €130 million acquisition of Paris-based Groupe Hubert, a move that was well received in the market.

In contrast, Readymix had a bad day as the market responded to Friday's warning that profits this year would be substantially below market forecasts. The shares lost 15 per cent of their value in early trade before recovering slightly to finish 8 per cent, or 15 cents lower, on the day at €1.70.

Elan also had a poor day, losing 33 cents or around 1.5 per cent of its value to €20.82 as Smith Barney initiated coverage of the company with a "sell" rating, setting a price target of $25. In a research note, the broker said the stock's valuation already reflected a rapid rise and "the risk ... is to the downside".

C&C was on the positive side of a broker note, however, as Goldman Sachs noted that its export cider brand, Magners, had taken hold in the UK while the impact of the smoking ban has proved less than expected. The shares still lost ground on the day, easing by three cents to €2.87.

Financial stocks had a relatively quiet day as the sector awaited the publication of the Competition Authority's report into the sector today. AIB added five cents to €14.90, Bank of Ireland was up by 25 cents to €11.90, while Irish Life & Permanent added five cents to €13.20.

But Anglo Irish did not fare so well, losing 23 cents or 1.3 per cent to €17.35 as it suffered some profit-taking.

Shares in Tullow closed unchanged at €2.11, despite speculation that the company might be a bidder for North Sea assets being sold by Shell and Exxon.

Waterford Wedgwood shares were off more than 2 per cent to €0.08 ahead of today's e.g.m.

Settlement Day: December 16th