ADR Report: Shares Up As Gains Continue Into Holiday Weekend
December 23 2011 - 4:45PM
Dow Jones News
International companies trading in New York closed higher on
light volume Friday, in line with the broader markets, as investors
cheered the accelerating U.S. economy ahead of the three-day
Christmas weekend.
The Bank of New York Index of ADRs gained 0.6% to 119.92, aided
by the energy sector.
Venezuelan state energy giant Petroleos de Venezuela signed a
supply contract with Spain's Repsol YPF SA (REPYY, REP.MC) and
Italy's Eni SpA (E, ENI.MI) that will allow for development of the
South American country's offshore Perla gas fields. Repsol shares
rose 0.8% to $30.48 and Eni added 0.8% to $41.30.
Shares in other European oil majors climbed as crude futures
inched slightly higher ahead of the Christmas holiday. France's
Total SA (TOT, FP.FR) increased 1.7% to $50.48, Britain's BP PLC
(BP, BP.LN) gained 0.7% to $43.28, and Norway's Statoil ASA (STO,
STL.OS) closed 0.7% higher at $25.69.
The European index climbed 0.7% to 112.09.
Dutch financial services company ING Groep NV (ING, INGA.AE)
said it will raise around EUR745 million after tax from a EUR5.8
billion debt exchange aimed at boosting its capital buffers. The
proceeds of the deals will be used to strengthen the capital
position of ING's banking arm, which will continue on a stand-alone
basis following the planned spin-off of its insurance business.
Shares advanced 1.8% to $7.44.
Vodafone Group PLC (VOD, VOD.LN, VODPF), a provider of mobile
telecommunication services, said that it purchased 6.6 million of
its ordinary shares on the London Stock Exchange via Deutsche Bank
AG London, and that it intends to hold the purchased shares in
treasury. Shares rose 1.3% to $27.72.
The Asian index closed 0.5% higher at 113.62, and the emerging
markets index rose 0.5% to 276.69.
Yanzhou Coal Mining Co. (YZC, K3GD.SG, 600188.SH, 1171.HK)
shares gained 7.2% to $21.47 after Gloucester Coal Ltd. (GCL.AU)
said Friday that its largest shareholder Noble Group Ltd. (N21.SG)
will accept a A$2.2 billion reverse takeover by the
Chinese-controlled entity, all but sealing a deal that would make
Yanzhou the largest stand-alone coal miner on the Australian stock
exchange.
Japan's Hitachi Ltd. (HIT, 6501.TO) signed a preliminary deal
with Lithuania on the building of a new nuclear energy facility to
replace a plant closed in 2009 in the Baltic state under an EU
agreement. Hitachi's shares rose 1.2% to $52.41.
Honda Motor Co. (HMC, 7267.TO) plans to make its vehicles
lighter by adopting new design and assembly methods, The Nikkei
reported early Saturday. The firm plans to revamp production lines
in Japan and overseas and use the new methods on small vehicles
initially, then on all models within several years. By making its
automobiles lighter and cheaper, the carmaker aims to speed its
advance into emerging markets, which is one of its top priorities.
Shares increased 1% to $30.26.
The Latin American index grew 0.4% to 335.10.
The planned $3.51 billion purchase of a 21% stake in
EDP-Energias de Portugal (EDPFY, EDP.LB) by China's Three Gorges
Corp. is a positive for Brazilian unit EDP-Energias do Brasil
(ENBR3.BR), says UBS. "We now see EdB as a consolidator more than a
target." It adds the news is also good for Brazilian utilities
Companhia Energetica de Minas Gerais (CIG, CMIG4.BR, CIGC), or
Cemig, and Centrais Eletricas Brasileiras (EBR, ELET6.BR). Cemig
climbed 2% to $18.03, and Centrais Electricas closed 0.7% higher at
$9.80.
Argentina's government passed legislation that caps foreign
ownership of farmland at 1,000 hectares. Shares of Cresud SA
(CRESY, CRES.BA), one of the country's top agricultural firms,
gained 0.4% to $11.53.
-By Ian Thomson, Dow Jones Newswires; 212-416-2314;
ian.thomson@dowjones.com