Category: Top Story

AstraZeneca (LSE:AZN) has agreed to pay Chinese biotechnology company Dizal Pharmaceutical $600 million upfront to acquire the worldwide development and commercialisation rights to its lung cancer treatment, Sunvozertinib, according to a filing made by Dizal with the Shanghai Stock Exchange.

Sunvozertinib, marketed as Zegfrovy, is already approved in both the United States and China for the treatment of adults with locally advanced or metastatic non-small cell lung cancer (NSCLC).

According to the American Cancer Society, non-small cell lung cancer accounts for around 77% of all lung cancer cases, making it the most common form of the disease.

Clinical data from a late-stage multinational trial involving 324 patients demonstrated that those treated with Sunvozertinib achieved a median progression-free survival of 10.3 months, compared with 7.5 months for patients receiving chemotherapy.

Under the terms of the agreement, Dizal will receive an initial payment of $600 million and could earn up to an additional $900 million through development, regulatory and commercial milestone payments.

The transaction gives AstraZeneca exclusive global rights to further develop and commercialise the therapy, expanding the company’s oncology portfolio and strengthening its position in targeted lung cancer treatments.

Dave Fredrickson, Executive Vice President of AstraZeneca’s Oncology Haematology Business Unit, said: “With this agreement, we will bring a differentiated, oral targeted treatment to these patients with limited options across the globe.”

Capita plc (LSE:CPI) has been selected to join the Omnia Training consortium, led by Raytheon UK, to help deliver the British Army’s new Collective Training System under a 15-year contract valued at £2 billion.

As part of the programme, Capita expects to receive approximately £54 million for providing a range of training support services. The award strengthens the company’s position within the UK defence sector and builds on its existing work supporting military training programmes.

Capita will be responsible for carrying out strategic training needs analysis, coordinating training schedules, managing programme delivery and evaluating performance across the Army’s collective training activities. These services are designed to help ensure personnel are prepared for future operational requirements through more effective planning and assessment.

The latest contract expands Capita’s defence portfolio, adding to its existing work supporting Royal Navy training and the Army Adventurous Training programme. Management believes the award reinforces the company’s expertise in defence support services and could improve long-term revenue visibility while strengthening its position in the UK military training market.

Although the new contract represents a positive strategic development, Capita’s broader financial outlook remains affected by declining revenue, a return to losses, inconsistent cash generation and relatively high leverage compared with its equity base. Technical indicators also remain weak, with the shares continuing to trade in a downward trend and momentum remaining negative. Valuation is also constrained by the company’s loss-making position and the absence of a dividend.

About Capita plc

Capita plc is a UK-based outsourcing and professional services company that delivers technology-enabled business solutions to clients across the public and private sectors. Operating primarily in the UK and Europe, the group provides services that help organisations manage complex processes more efficiently, with expertise spanning customer services, government operations, defence, education and digital transformation.

BRCK Group plc (LSE:BRCK) reported resilient results for the year ended 31 March 2026, while completing a major operational reorganisation designed to improve efficiency and strengthen the business for future growth despite challenging conditions across the UK construction sector.

As part of its Business Change Project, the company has streamlined its 32 operating businesses into two core divisions—Distribution and Design & Install. Management said the simplified structure is intended to improve operational efficiency while supporting its capital-light business model, which is built on strong supplier relationships and technical expertise. The group believes this positions it well to benefit from any recovery in the housebuilding and repair, maintenance and improvement markets.

Revenue increased 1.3% to £645.4 million during FY26, while adjusted EBITDA rose 4.5% to £51.0 million. Adjusted profit before tax also improved, increasing 4.9% despite subdued construction activity and continued pricing pressure across the sector.

Although basic earnings per share declined significantly due to a non-cash impairment charge, adjusted earnings per share increased and the company maintained its dividend. BRCK also strengthened its financial flexibility by securing refinancing facilities of up to £150 million. Net debt increased modestly during the year, while the acquisition of fencing specialist H.S. Jackson & Son after the reporting period further expands the group’s presence in the premium residential and commercial fencing markets.

The company’s outlook is supported by steady revenue growth, strategic operational changes and an attractive dividend yield. However, management continues to monitor profitability and cash flow closely amid ongoing market uncertainty. Technical indicators remain relatively weak, although recent corporate actions and investment in growth initiatives are expected to support the group’s longer-term development.

About BRCK Group plc

BRCK Group plc is a UK-based distributor and specialist provider of construction products and installation services. Operating through its Distribution and Design & Install divisions, the company supplies a broad range of products and technical services to the construction industry. Founded in 1985, BRCK has grown through a combination of acquisitions and organic expansion, focusing on a capital-light operating model and a portfolio of specialist brands serving residential and commercial construction markets.

British Land (LSE:BLND) has made a strong start to its new financial year, with solid leasing activity across its London campuses, retail parks and urban logistics portfolio reinforcing confidence in its outlook for FY27. During the period, the company completed leases covering 567,000 square feet at rental levels above both previous rents and estimated rental values, while a further 1.1 million square feet remains under offer.

The property group said demand continues to outstrip supply across its core markets, supporting rental growth and occupancy levels. It also highlighted progress at major development projects, including Broadgate Tower and Canada Water, alongside the successful integration of its recently acquired life sciences portfolio. Retail parks continue to perform strongly, with occupancy remaining close to full capacity.

British Land has also continued to reshape its portfolio through active capital recycling. During the period, the company completed £83 million of property disposals while acquiring the Telford Bridge retail park as part of its ongoing investment strategy.

The company reiterated its guidance for underlying earnings per share of at least 30.5p for FY27. Management expects performance to be supported by like-for-like rental growth at the upper end of previous guidance and estimated rental value (ERV) growth of between 3% and 5%, reflecting continued strength across its prime UK real estate assets.

British Land’s outlook is supported by an attractive valuation, including a relatively low price-to-earnings ratio and a strong dividend yield, together with an improving cash flow profile and positive share price momentum. However, earnings remain subject to the valuation movements typical of real estate investment trusts (REITs), while higher financing costs and the execution of development projects continue to present potential challenges.

About British Land Company plc

British Land Company plc is one of the UK’s largest commercial property owners and developers, with a portfolio focused on London campuses and retail parks. The company owns or manages property valued at £15.8 billion, with British Land’s share amounting to £10.1 billion. Its strategy centres on development, repositioning and active asset management to create high-quality, sustainable destinations for occupiers and investors.

BP PLC (LSE:BP.) expects stronger oil and gas prices to help offset lower production during the second quarter, while also projecting a significant reduction in net debt despite recording around $1 billion in impairment charges.

In a trading update released ahead of its second-quarter results due early next month, the FTSE 100 energy company said net debt is expected to decrease by at least $2.3 billion from the $25.3 billion reported at the end of the first quarter. The reduction follows the repayment of €2.5 billion in hybrid bonds and a $1.1 billion payment relating to Gulf of America settlement obligations.

The company expects improved commodity prices to provide a substantial boost to upstream earnings. Oil production and operations realisations are forecast to contribute between $1.8 billion and $2.1 billion compared with the previous quarter, while gas and low carbon energy realisations are expected to add a further $0.5 billion to $0.7 billion.

BP’s customers and products division is also anticipated to deliver stronger performance, supported by seasonal increases in fuel demand, firmer fuel margins and improved refining margins. Together, these factors are expected to contribute between $1.2 billion and $1.4 billion.

These gains are likely to be partially offset by lower production levels. Oil production and operations are expected to average between 1,420 and 1,450 thousand barrels of oil equivalent per day during the quarter, down from 1,541 thousand barrels in the first quarter. Refinery throughput is also forecast to decline due to scheduled maintenance and reduced activity at the Whiting refinery following a third-party incident in April.

The company also expects exploration write-offs of approximately $0.5 billion, primarily related to the disposal of the Bay du Nord project in Canada. In addition, second-quarter results are expected to include post-tax impairment charges of around $1 billion, mainly associated with transition businesses within BP’s gas and low carbon energy segment.

Broker Cuts Rating Following Clinical Disappointment

AstraZeneca (LSE:AZN) came under pressure on Monday after HSBC lowered its recommendation on the pharmaceutical giant to Hold from Buy and reduced its price target from 16,500p to 13,750p following the failure of the Phase 3 Wainua study to achieve its primary endpoint.

“Wainua setback impairs our bull case, given the more difficult catalyst path ahead,” HSBC analyst Rajesh Kumar said.

Shares fell 1.3% in London trading, while the company’s U.S.-listed stock declined 1.5% in premarket dealings.

Delayed Growth Catalysts Shift the Risk Profile

HSBC noted that its previous bullish stance had been supported by expectations for the CARDIO-TTR programme, which it believes represents a market opportunity worth more than US$5 billion.

Although the broker still sees a route to annual peak revenue above US$80 billion by 2030, it believes that outlook now relies on a series of higher-risk clinical milestones that are not expected to materialise before 2027.

Focus Moves to SERENA-4 and AVANZAR

The investment bank also expressed caution over AstraZeneca’s next major clinical updates, particularly the SERENA-4 and AVANZAR studies due in the second half of 2026.

HSBC said its own analysis leaves it “rather uncomfortable” about the prospects for both programmes.

Kumar also warned that another string of unsuccessful trial outcomes could damage confidence in the company’s research engine.

“if three trials fail in a sequence, the widely held view of Astra’s market-leading R&D platform might lose its shine,” he said.

HSBC Sees Limited Upside in the Near Term

According to HSBC, weaker-than-expected results from the remaining 2026 clinical catalysts could intensify concerns over AstraZeneca’s ability to replace revenue lost through major patent expiries expected in the early 2030s.

The broker believes this could restrict further gains in the shares over the next six to nine months, leaving investors increasingly dependent on a stronger pipeline of catalysts in 2027.

“We downgrade the stock to a Hold rating (from Buy) as we no longer find the risk-reward balance attractive, particularly with the remaining catalyst path for 2026 (SERENA 4, AVANZAR) skewed to downside risks,” Kumar concluded.