Word on the street is that Quilter PLC (QLT) is likely to see significant ‘corporate activity’ in the very near future. City sources said the business may soon be involved in a ‘major corporate move’ such as a merger. However, the precise details remain hazy at the very best. Some investors suggested that Quilter – formerly known as Old Mutual Wealth Management – might be planning to announce a special dividend or share buyback following the completion of the £445 million sale of its life insurance business, Quilter Life Assurance, to ReAssure Group. The company said last week it expects to finalise the potential cash return to shareholders no later than when Quilter’s full-year results are released in March.
Tesco (TSCO) led the pack of supermarket giants during a sluggish Christmas period that saw deep price cuts and some shops left deserted. Britain’s largest grocer may even have increased its sales in a lacklustre December, leaving some of its main rivals in the shade, according to City predictions. Christmas is a key month in the retail calendar and the end of a ‘golden quarter’ on which bosses are scrutinised. Such a performance would be a relief to chief executive Dave Lewis, who wants to leave Tesco in good shape when he departs later this year. Analysts said the group’s British shops delivered a ‘robust’ performance compared with stock market-listed rivals Sainsbury (J) (SBRY) and Morrison (Wm) Supermarkets (MRW). Cautious shoppers are understood to have made fewer trips to the shops in December amid political uncertainty around the Election.
MIDAS SHARE TIPS: Rev up your returns with our fast-moving trio of tips for 2020. Midas verdict: Codemasters (CDM) is a fast-growing business in a resilient industry. At £2.78, the shares are a buy. Midas verdict: Yourgene Health plc (YGEN) went through tough times but it has emerged from its battles with renewed strength and vigour. Genetic medicine is growing fast, reproductive health is a key area within it and Yourgene is at the forefront of the field. Management, including Rees, own more than 20 per cent of the stock as well, so they are incentivised to make the business work. At 13.75p, the shares are a buy. Midas verdict: The UK stock market has underperformed many of its peers but that should begin to reverse this year and beyond. Murray Income Trust (MUT) offers investors the chance to reap the benefits as that underperformance unravels – and there is a generous income stream too. At £9.02, the shares are a buy.
