Banking group HSBC saw its share price tumble in early trade on Thursday, following an announcement that the company intended to take private Hang Seng Bank, buying up the remaining shares not already owned by the company. However this will be a capital intensive process that will require work to restore capital ratios, something which will be achieved both by organic cash generation as well as suspending share buybacks for the next three quarters. The HSBC share price was 6% lower in early trade.
FTSE-250 listed ventilation product supplier Volution Group published full year results this morning, with revenues up more than 20% and adjusted operating profits seeing a similar uptick. The dividend per share is set to rise by 20%, whilst operating margins also remained above the 20% mark, despite the dilutive effect of recent acquisitions. The Volution share price was up 8% shortly after the open.
The small cap Mongolian oil explorer issued an operational update this morning citing good progress having been made with a recently commenced test drill site producing results that meaningfully exceeded expectations. This paves the way for the location to be developed further, although this does mean that additional exploration on other potential will have to wait until after the winter. The Petro Matad share price was up 27% on Thursday morning.
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