London pre-open: Higher start expected

23rd Sep 2009 07:36

Footsie is expected to edge up in early dealings, building on yesterday's modest gains.United Utilities said it is on track to deliver results in line with its expectations of a "sound underlying financial performance" for the six months ending to September. The group said underlying operating profit in the regulated business is expected to broadly be in line with the first half of last year, reflecting ongoing revenue and cost pressures.Property group Liberty International today announced it is placing up to 56.1m new ordinary shares representing up to 9.9 per cent of the Group's issued ordinary share capital immediately prior to the Placing. Housebuilder Barratt is also looking for more funds and has confirmed plans to raise £720.5m through an underwritten placing and a deep discount rights issue alongside a more upbeat update on current trading than recently. The builder will place 72.9m shares at 240p, representing a 10.6% discount to the closing price of 268.5p yesterday.PC and video games retailer Game Group saw profits dive for the half year as the slower rate of hardware sales and the lack of major software launches hit turnover. Profit for the six months to July came in at £10.8m against £32.8 in the same period last year on like-for-like sales that slid 16.3% (total sales down 7%).The sharp downturn in the housing market means that tile and wood floor specialist Topps Tiles expects to sales for the year to 26 September to fall to £186m from £208.1m over the same period the previous year. Like for like sales in the period are likely to be down by 13.4%, the firm, which operates 320 stores, adds.Yellow Pages group Yell is considering a £500m cash call as part of a comprehensive refinancing package being thrashed out with its banks. The firm said it is mulling the £500m share issue to repay debt and strengthen the group's capital structure, along with a reduction of senior term debt by a £300m within 18 months.