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FTSE 100 up 0.1%, FTSE 250 flat
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Anglo American jumps on $53 bln merger deal with Canada's
Teck
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Computacenter rises on flagging strong start to Q3
Sept 9 (Reuters) -
Britain's FTSE 100 edged up higher on Tuesday as industrial
miners advanced after Anglo American jumped on a merger deal.
The blue-chip FTSE 100 edged up 0.1% by 0927
GMT, while the domestically focussed mid-cap index was
flat.
Industrial miners rose 3.2%, led by Anglo
American, that rose 9.9%, to top the FTSE 100, after the
miner said it has agreed to merge with Canada's Teck Resources ( TECK )
in a $53 billion deal to form a newly combined
company Anglo Teck.
"Despite the uncertainties around whether the Teck takeover
will truly generate value for the company and investors...the
deal is a win for the UK stock market as the enlarged Anglo Teck
group will have its primary listing in London," said Russ Mould,
investment director at AJ Bell.
"Anglo clearly believes the UK works well as a listing venue
and that sends a positive message to other businesses undergoing
M&A."
Precious metal miners rose for a third day,
tracking higher gold. Endeavour Mining ( EDVMF ) added 2.1%, while
Hochschild Mining rose 1.3%.
The real estate sector also advanced, with Segro ( SEGXF )
up 1.7%.
On the flip side, Aerospace and defence companies
led sectoral declines with Rolls-Royce
down 1.4%, while BAE Systems fell 1.1%.
Other industrials stocks such as Spirax ( SPXSF ) and Experian ( EXPGF )
also declined.
Among other moves, homeware retailer Dunelm ( DNEMF ) fell
8.3%, to the bottom of the mid-cap index, after it cautioned
that it has yet to see signs of sustained recovery in consumer
demand.
Gamma Communications ( GAMCF ) rose 5.8%, to top the mide-cap
index, on strong first-half revenue growth.
Technology and services provider Computacenter
gained 2.5% on flagging strong start to third-quarter.
Insurer Phoenix Group ( PNXGF ) was up 2.3% following a 7.6%
decline in the previous session when it said it would rebrand as
Standard Life in March 2026, and reported a larger-than-expected
drop in book value due to market moves.
Meanwhile, a survey showed British shoppers spent more in
August, helped by summer weather.