Boris Johnson’s government would be looking for ways to take a stake in UK airlines such as Virgin, Easyjet or British Airways.The British government wouild intend to inject millions of pounds in exchange for shares in the companies, reported FT. These would later be sold to private investors. The main problem is that British Airways is part of the IAG group, based in Spain.
Telefónica’s business is responding very positively to the exceptional situation we are experiencing in three of its four main markets (Spain, Germany and the United Kingdom) according to data compiled by Renta4 analysts. As the telecoms sector is a defensive one, the analysts believe its results should hold up better than those of most sectors. Particularly given that the government considers it a “basic service”.
Santander has became the first Ibex-35 company to quantify a preliminary impact on its accounts due to the effect of the coronavirus.In a statement to the Spanish Watchdog CNMV, the banking group said it expects no effect on its first quarter figures. But in a scenario of rapid recovery or “V”, the crisis will trim 5% off full-year 2020 profits, it added.
Inditex recorded net income of 3.63 billion euros in the fiscal year 2019-2020 (from 1 February 2019 to 31 January 2020), a rise of 6% compared to a year earlier. This was after making a 287 million euros provision in the Gross Margin to adjust the estimated value of the spring/summer campaign’s inventory affected by the Covid pandemic. Without this impact, its Gross Margin would have amounted to 16.09 billion euros, 56.9% of sales.
Renta 4 | The present difficult conditions caused by Coronavirus prevent the IAG directive from announcing an estimated operational performance guide for 2020. In principle, the most complicated months should be April and May.
PharmaMar’s shares were trading slightly lower, down 0.20%, at midday today. However that is following a rebound of 33% on Friday, making it the best performing stock on the Spanish stock market. This was after the company announced positive results from studies on Aplidin to combat the coronavirus. As a result, it will ask for tests to be carried out on infected patients.
Ferrovial has won a contract from the UK Ministry of Justice for 632 million pounds (about 725 million euro) through Amey, its UK services subsidiary. This unit is currently up for sale and therefore deconsolidated from the Spanish infrastructure group’s accounts.
Iberdrola has increased its ambition in the offshore wind industry, following the conclusion of an agreement to take 100% ownership of Ailes Marines. The company, which previously owned 70% of the consortium’s capital, has acquired the remaining 30% from Avel Vor. With a global 12.4 GW offshore wind project pipeline, Iberdrola currently operates three offshore wind farms: West of Duddon Sands (389 MW), Wikinger (350 MW) and the 714-MW East Anglia ONE (to be fully commissioned in 2020).
The drop in demand for travel driven by fear of the coronavirus resulted last week in the first corporate bankruptcy, namely British airline Flybe. The firm was already in serious financial trouble after Brexit and rivalry with other companies in the sector. Amongst the victims of Flybe’s bankruptcy is Spanish group Ferrovial. Through a joint venture with the Australian financial group Macquarie, it controls some of the airports used by the airline.
Naturgy will incorporate BlackRock’s Global Energy & Power Infrastructure Fund (GEPIF) as a financial partner in its purchase of 34.05% of Medgaz. To this end, it has sold 50% of the vehicle which will control its participation in the underwater gas pipeline running between Spain and Algeria.