U.K. Finance Split on Case for Extending Crisis Capital Measures

(Bloomberg) — U.K. bankers and investors are split on whether emergency measures that are making it easier for companies to raise much-needed capital during the coronavirus crisis should be extended beyond the summer.

Financial standard-setters recommended in early April that shareholders support U.K.-listed companies that want to sell as much as 20% in new stock — double the usual ceiling — to ease themselves through the pandemic.

U.K.-listed companies including Informa Plc, Compass Group Plc and Asos Plc have sold 14.4 billion pounds ($18.7 billion) in additional equity since then, according to data compiled by Bloomberg, a more than threefold increase on the same period in 2019. The 20% cap is due to expire on Sept. 30.

“Long may it continue, as it is a useful tool,” Luke Bordewich, a managing director at Numis Securities Ltd., said in a phone interview. “The increased cap on equity placings to 20% has

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Capitala Finance (CPTA) Q2 Earnings Expected to Decline

Wall Street expects a year-over-year decline in earnings on lower revenues when Capitala Finance (CPTA) reports results for the quarter ended June 2020. While this widely-known consensus outlook is important in gauging the company’s earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on August 4, 2020, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

While management’s discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it’s worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus Estimate

This business development company is expected to post quarterly earnings of $0.03 per share in

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Check out the 60 fintech startups VCs are betting will be breakout hits

Hello everyone! Welcome to this weekly roundup of Business Insider stories from executive editor Matt Turner. Please subscribe to Business Insider here to get this newsletter in your inbox every Sunday.

2x1 fintech
2×1 fintech

Courtesy of Tusk Venture Partners; Accel; Lightspeed Venture Partners; Spark Capital; Yuqing Liu/Business Insider

Hello!

The financial-services industry is changing at a rapid clip, with fintechs addressing people’s needs among the big winners in the wake of the coronavirus, as Dan DeFrancesco and Shannen Balogh reported this week.

For example:

Robinhood, which has seen massive growth as market volatility continues, is now valued at $8.3 billion after its most recent funding round in May. Meanwhile, other personal finance apps like Chime and Stash have also seen record sign-up numbers recently. 

With that in mind, Dan and Shannen polled 27 investors to discover the fintechs that are on the cusp of breaking out. While investors could pitch

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Centrica sells US business, Vodafone’s IPO plans, strong economic data

British Gas owner Centrica has agreed to sell-off its US energy business for $3.6bn (£2.87bn). Pic: PA
British Gas owner Centrica has agreed to sell-off its US energy business for $3.6bn (£2.87bn). Pic: PA

Here are the top business, market, and economic stories you should be watching today in the UK, Europe, and abroad:

Centrica (CNA.L), the owner of British Gas, has agreed to sell-off its US energy business for $3.6bn (£2.87bn) as part of a turnaround plan.

Centrica said on Friday it had agreed to sell its Houston-based subsidiary Direct Energy to NRG Energy (NRG) for $3.6bn in cash.

News of the deal sent Centrica’s share price surging over 35% at the open in London.

Centrica chief executive Chris O’Shea said the deal was part of plans “to become a simpler, leaner business” that was “focused on the UK and Ireland where we have leading market positions.”

Centrica acquired Direct Energy in 2000 for $912m in cash, giving the company its first

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