Sometimes no news is bad news.
Tate & Lyle, alongside the release of its earnings, didn’t announce a conclusion to the fate of the artificial sweetener-making primary products division it put up for sale last month. Tate & Lyle TATE, -5.40% shares fell 5%.
“We are exploring the potential to separate our Food & Beverage Solutions and Primary Products businesses through the sale of a controlling stake in Primary Products to a long-term financial partner,” the company said, largely reiterating a comment made in late April. It said discussions with potential new partners were ongoing and it has already paid £19 million ($27 million) for work on the potential breakup.
The company reported a 12% rise in adjusted earnings per share in the year ending March 31, with revenue edging up 1%, while it expects current-year earnings per share to fall, due to significantly lower profits in its commodities division and a rising adjusted effective tax rate.
The pound GBPUSD, +0.37% rose after bullish comments from Bank of England voting member Gertjan Vlieghe, who said a rate rise could be appropriate soon after the first quarter of next year, when the central bank would have a clear view of the post-furlough unemployment and wage dynamics.
Johnson Matthey JMAT, -3.97% fell 4%, as the catalytic-converter maker reported in-line results for the year ending March and said operating performance would improve this year.