Trending tickers: Royal Mail, Nvidia, Anglo American and American Airlines

International Distributions Services (IDS.L)

Royal Mail owner International Distribution Services said it has agreed to a £3.57bn ($4.56bn) takeover offer from Czech billionaire Daniel Kretinsky’s EP Group.

The offer consists of 360p in cash, plus a final dividend of 2p per share and a special dividend of 8p per share. Including debt, the deal values IDS at £5.28bn.

IDS said if the deal goes through Royal Mail would continue its universal service obligation to one-price-goes-anywhere first-class post six days a week, and keep the company’s branding and UK headquarters.

Read more: The tax pledges to watch for in the UK election

Read more: FTSE 100 LIVE – European stock markets head lower as Royal Mail agrees £3.5bn takeover

It also said it would protect existing employment rights of all IDS staff, and that there is “no intention to make any material changes to overall headcount or reductions in the number of frontline workers” beyond existing plans.

Nvidia (NVDA)

Heavyweight chip maker Nvidia surged by almost 7% to a new high this last session and is the number one trending ticker in pre-market trading as the AI darling eyes Apple’s (AAPL) spot as the world's second most valuable company by market cap, behind Microsoft (MSFT).

Nvidia shares soared to a record high on Tuesday, putting it close to overtaking Apple with Nvidia now valued at $2.8tn, just shy of Apple's $2.9tn. Shares finished the day above $1,140.

The milestone moment comes after Elon Musk’s artificial intelligence startup xAI said Sunday that it raised $6bn in a Series B funding round, sending Nvidia stock up as much as 8% the following trading day.

"The market has been struggling to keep up with the company's ever improving growth trajectory. At a mid-thirties forward earnings multiple, this still doesn't feel like bubble territory," said Derren Nathan, head of equity analysis at Hargreaves Lansdown.

The stock has now jumped by a third since the start of May, and by 137% over the year to date.

Anglo American (AAL.L)

BHP (BHP.L) has called for further extension to a bid deadline to allow for more talks over a £39bn takeover of rival Anglo American.

Under UK takeover rules, the Sydney-based company faces a deadline of 5pm UK time on Wednesday to make an offer for Anglo or walk away for 6 months.

"BHP believes a further extension of the deadline is required to allow for further engagement on its proposal,” it said.

The mining company said that it was ready to offer a break fee to Anglo American if the deal was blocked due to anti-trust reasons or if it failed to gain regulatory approval.

Read more: What's next for state pension? Sunak unveils 'Triple Lock Plus'

“BHP is confident that the measures it has proposed to the board of Anglo American provide a viable pathway to resolve the matters raised by Anglo American and would support South African regulatory approvals,” it added.

Anglo previously claimed the offers were too risky and complex. The latest bid valued it at £38.6bn. It came after BHP had put forward two prior bids, valuing Anglo at £31.1bn and £34bn respectively.

American Airlines (AAL)

Shares in American Airlines sunk over 15% after the company cut its guidance on second profit as softer demand is expected to dent revenue.

The Texas-based carrier now expects second-quarter adjusted earnings in the range of $1.00 to $1.15 per share, compared with its previous forecast of between $1.15 and $1.45 per share.

It forecast total revenue per available seat mile, a proxy for pricing power, to be down about 5% to 6% from a year ago. That compares with a decline of 1% to 3% expected earlier.

The airline also announced that its chief commercial officer, Vasu Raja, will leave the company next month. He has been in the role since April 2022.

American Airlines said its vice chair and chief strategy officer Stephen Johnson will take on Raja’s brief with immediate effect.

Jefferies, which had upgraded the company earlier this year over cost controls, said it was downgrading the stock to "hold" as "the strategy has not gone as planned."

Watch: Nvidia aiming beyond chips with AI ecosystem

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Matt Earle

Matthew Earle is the Founder of MiningFeeds. In 2005, Matt founded MiningNerds.com to provide data and information to the mining investment community. This site was merged with Highgrade Review to form MiningFeeds. Matt has a B.Sc. degree with a minor in geology from the University of Toronto.

By Matt Earle

Matthew Earle is the Founder of MiningFeeds. In 2005, Matt founded MiningNerds.com to provide data and information to the mining investment community. This site was merged with Highgrade Review to form MiningFeeds. Matt has a B.Sc. degree with a minor in geology from the University of Toronto.

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