Category: Market News

European equity markets started Thursday’s session with a mixed performance, as major regional indices showed only modest moves while investors remained cautious. Renewed tensions in the Middle East and a recovery in oil prices tempered optimism following the previous day’s market rally.

At 07:08 GMT, the pan-European Stoxx 600 declined 0.2%, while Germany’s DAX also slipped 0.2% and France’s CAC 40 dropped 0.3%. In contrast, the UK’s FTSE 100 moved higher, gaining 0.2% in early trading.

Trump warns of further action as ceasefire uncertainty persists

Market sentiment weakened after U.S. President Donald Trump said U.S. military forces would remain positioned around Iran until a “real agreement” is fully complied with, warning that further conflict could follow if the terms are violated.

His remarks come as doubts grow over the stability of the fragile ceasefire between the United States and Iran. Iranian officials have suggested that negotiations may be “unreasonable” under current circumstances, even as the country plans to send a delegation to Pakistan for talks.

At the same time, continued Israeli military strikes in Lebanon—including new raids that destroyed residential buildings—have raised additional concerns about whether the truce can hold, increasing fears of a wider escalation across the region.

Oil rebounds amid ongoing supply concerns

Oil prices moved higher on Thursday after sharp declines in the previous session, as uncertainty around shipping through the Strait of Hormuz continued to weigh on the global supply outlook.

Brent crude climbed to roughly $97 per barrel, while U.S. West Texas Intermediate traded near similar levels. Prices were supported by limited and tightly regulated vessel traffic through the strategically important waterway.

Although a tentative ceasefire is in place, maritime activity remains restricted, with Iran retaining substantial control over transit in the area, keeping concerns about potential supply disruptions elevated.

Gold eases as oil rebound fuels inflation worries

Gold prices slipped slightly, with spot gold holding steady while U.S. gold futures declined by around 0.6%. The drop followed the rebound in oil prices, which renewed concerns about inflation.

The precious metal had recorded modest gains during the previous session as investors sought safe-haven assets. However, a firmer U.S. dollar and rising bond yields limited further upward momentum.

Shares of Playtech Plc (LSE:PTEC) declined more than 3% on Thursday after Evolution AB announced it had asked a U.S. court to include Playtech as a defendant in an ongoing defamation case.

Evolution said it submitted a request to the Superior Court of New Jersey seeking permission to amend its complaint so that Playtech, along with Black Cube, Calcagni & Kanefsky LLP, and other parties, would be formally named in the lawsuit. The company alleges that these parties were involved in a campaign aimed at spreading defamatory allegations about its business.

“It continues to be disappointing that a direct competitor would go to such extreme lengths to orchestrate a covert campaign designed to harm our business and avoid competing fairly in the marketplace,” Evolution said in a statement.

According to Evolution, Playtech hired the intelligence firm Black Cube to prepare and distribute a report that contained false claims about Evolution’s operations. The report was allegedly circulated to regulators and media outlets.

Evolution further accused Playtech of trade libel, fraud, and racketeering, adding that the company did not disclose its alleged role in the matter to shareholders despite what Evolution described as the involvement of Chief Executive Mor Weizer.

The legal dispute began in December 2021 when Evolution filed a lawsuit in New Jersey targeting the law firm Calcagni & Kanefsky LLP and unidentified parties responsible for the report. Black Cube was later added to the list of defendants.

Evolution said the report had been submitted in November 2021 to both the New Jersey Division of Gaming Enforcement and the Pennsylvania Gaming Control Board, accompanied by a cover letter from the law firm.

U.S. regulators ultimately closed their investigations in February 2024 without taking any action. Evolution pointed to findings by the New Jersey Division of Gaming Enforcement stating there was “no evidence … showing that Evolution took illegal bets from New Jersey, another state, or any other prohibited jurisdiction.”

According to court documents cited by Evolution, the New Jersey Superior Court ordered the disclosure of the report’s authorship in 2025 and later characterised the report as “objectively baseless.”

Evolution said Black Cube was eventually compelled to identify Playtech as the party that commissioned the report. The lawsuit, which was first filed in December 2021, remains ongoing in New Jersey.

British American Tobacco PLC (LSE:BATS) said Thursday that Dragos Constantinescu has been appointed Chief Financial Officer and Executive Director, with his tenure set to begin on September 1.

Constantinescu is currently Chief Executive Officer of Asahi Europe & International and has been part of Asahi Breweries since 2019. During his time at the company, he held several senior leadership roles across the region, including Managing Director for Czech, Slovakia, Germany & Austria, as well as Managing Director for Romania & Hungary.

Prior to joining Asahi, Constantinescu spent 16 years with BAT, where he held a range of senior finance and management positions. These included General Manager for Central Europe North and Finance Director and General Manager for BAT Poland.

Javed Iqbal will remain in the role of Interim Chief Financial Officer until Constantinescu formally assumes the position. After the transition, Iqbal will return to his previous post as Director, Digital & Information.

“He brings a strong combination of financial expertise, broad enterprise leadership and international experience in both Nicotine and the wider FMCG sector,” said Luc Jobin, Chair of the Board.

Chief Executive Tadeu Marroco added that Constantinescu’s global experience and familiarity with the company would support BAT’s strategy as it pursues quality growth and executes its medium-term growth plans.

Under the terms of his appointment, Constantinescu will receive a base salary of £820,000 annually. Additional components of his remuneration will follow the framework set out in the Directors’ Remuneration Policy approved by shareholders at the April 2025 AGM. He will also receive replacement awards to compensate for forfeited short- and long-term incentives, subject to the company’s malus and clawback provisions.

ITM Power (LSE:ITM) has secured £86.5 million in UK government-backed funding to support the development of a new 1 gigawatt automated production line for its next-generation Chronos electrolyser stacks at its Sheffield facility. The package includes a £40 million equity investment from the state-owned energy company Great British Energy and a planned £46.5 million grant from the Department for Energy Security and Net Zero.

The funding follows an independent due diligence process and is intended to strengthen the UK’s domestic clean energy technology capabilities. The new manufacturing line is expected to enhance ITM Power’s cost competitiveness and production efficiency while supporting the creation of hundreds of skilled jobs in South Yorkshire. The company also indicated that the investment improves its financial outlook for FY26, boosting its cash guidance by approximately £40 million as it works toward accelerating growth and progressing toward profitability.

Despite this strategic support, the company’s investment outlook remains challenged by weak financial performance, including ongoing losses and negative operating and free cash flow. Technical indicators also point to a bearish trend, with the share price currently trading below key moving averages. However, these concerns are partly balanced by signs of operational progress highlighted during recent earnings discussions, including record first-half revenue, improving backlog quality, and reaffirmed growth guidance. ITM Power also maintains a relatively low-leverage balance sheet, though near-term risks related to profitability and cash flow timing remain.

More about ITM Power

ITM Power is a UK-based developer and manufacturer of proton exchange membrane (PEM) electrolysers and hydrogen production systems. The company focuses on enabling large-scale green hydrogen generation for industrial and energy applications. With more than two decades of research and development and vertically integrated manufacturing operations in Sheffield, ITM Power serves a global customer base that includes major energy and industrial companies, positioning itself as a key technology provider in the expanding clean hydrogen market.

Zephyr Energy (LSE:ZPHR) has revealed that one of its U.S. subsidiaries was targeted in a sophisticated cyberattack that redirected a contractor payment of approximately £0.7 million to an external third-party account. The company said it immediately contacted law enforcement agencies, financial institutions, and specialist advisers in an effort to trace and recover the funds.

A leading cybersecurity firm has since reviewed the incident and confirmed that the breach has been contained. Zephyr added that its systems are currently under close monitoring to ensure no further intrusion occurs. Management stated that business operations and corporate activities remain unaffected by the event.

The company emphasized that it maintains sufficient working capital and that the isolated loss will not impact its ability to meet operational commitments. In response, Zephyr has strengthened its security framework by introducing additional safeguards on top of its existing industry-standard systems and payment controls, highlighting a renewed focus on cyber risk management.

From an investment perspective, the company’s outlook continues to be shaped largely by its strategic developments. Zephyr’s ability to secure financing and expand its asset portfolio provides a positive strategic backdrop, helping offset some concerns around its current financial performance and valuation metrics.

More about Zephyr Energy

Zephyr Energy plc is a technology-driven oil and gas company focused on responsible energy development in the Rocky Mountain region of the United States. Its main asset is the 46,000-acre Paradox project in Utah, which is supported by certified hydrocarbon reserves. The company also holds a portfolio of non-operated production interests across the Williston Basin and other Rocky Mountain regions, backed by a US$100 million strategic growth partnership designed to support further expansion.

MobilityOne (LSE:MBO) has addressed media reports indicating that its Malaysian subsidiary had already secured a full Shariah-compliant Islamic digital banking licence from the Labuan Financial Services Authority. The company clarified that it received conditional approval in December 2025 to establish MBO Bank (Labuan) Limited, which is intended to operate as an Islamic digital bank. However, several regulatory requirements—covering capital, governance, and operational readiness—must still be fulfilled before a full licence can be issued.

The group said it is currently working to meet these conditions set by the Labuan regulator. Until those requirements are satisfied, the banking licence remains conditional and the planned digital banking operations cannot begin. As a result, the initiative is still in the preparation and compliance stage, meaning it will not yet have an immediate effect on the company’s operations or competitive position. Nevertheless, the project reflects MobilityOne’s broader ambition to expand into regulated Shariah-compliant digital banking services.

From an investment perspective, the company’s outlook remains constrained by weak financial fundamentals, including losses, thin margins, negative equity, and pressured cash flows. Technical indicators offer some support, with the share price trending above major moving averages and a positive MACD signal. Valuation remains difficult to assess due to negative earnings and the absence of dividend yield data.

More about MobilityOne

MobilityOne Limited is a Malaysia-based e-commerce infrastructure and payment solutions provider. The company operates as a virtual distributor of mobile prepaid reload and bill payment services while supporting a broader fintech ecosystem. Through integrations with banks, telecommunications providers, utilities, government agencies, and transport operators, MobilityOne delivers services such as digital wallets, e-money, remittances, lending solutions, and payment processing. These services are accessible through multiple channels, including mobile wallets, e-commerce platforms, kiosks, ATMs, and banking interfaces.

SDCL Energy Efficiency Income Trust (LSE:SEIT) has decided to pursue a managed wind-down of its investment portfolio after consultations with shareholders revealed insufficient backing for a proposed strategic transformation of the business. The decision follows ongoing challenges in selling assets at acceptable valuations, highlighted by a recent £105 million disposal completed at roughly a 9% discount to its carrying value, alongside the trust’s persistent share price discount to net asset value.

The previously proposed strategy would have reshaped SEIT from an investment trust into a vertically integrated operating company. Plans included acquiring elements of its external manager, strengthening the leadership structure, and potentially raising new equity with the support of a cornerstone investor to fund further expansion. However, many investors indicated a preference for liquidity and capital returns rather than undertaking a complex corporate restructuring with uncertain timing and execution risks.

As a result, the board intends to begin an orderly realisation of portfolio assets with the goal of eventually liquidating the company and returning capital to shareholders. Management will also explore revised management arrangements and policy adjustments to support the wind-down process, while working to minimise termination costs associated with its investment management agreement. The company acknowledged that asset disposals may face execution challenges given current market conditions but pledged to maintain close engagement with investors throughout the process.

From a financial standpoint, SEIT retains a debt-free balance sheet and continues to generate solid cash flow. However, its investment profile is affected by significant earnings and revenue volatility, as well as weak technical indicators, with the share price trading below key moving averages and momentum measures such as MACD remaining negative. Valuation metrics present a mixed picture: a very high price-to-earnings ratio weighs on the overall assessment, although the trust continues to offer a relatively high dividend yield.

More about SDCL Energy Efficiency Income Trust Plc

SDCL Energy Efficiency Income Trust Plc is a FTSE 250-listed investment trust dedicated to the energy efficiency sector. Its portfolio includes projects across North America, the UK, and Europe, such as cogeneration facilities in Spain, solar and energy storage assets in the United States, a regulated gas distribution network in Sweden, on-site energy recycling for a major U.S. steel plant, and a district energy system serving a large U.S. business park. The trust aims to deliver shareholder value by investing in solutions that provide cleaner, more reliable, and lower-cost energy, targeting total returns through stable dividends, capital preservation, and long-term growth. As of 30 September 2025, SEIT reported a net asset value of 87.6p per share and is targeting a dividend of 6.36p per share for the financial year ending 31 March 2026.