London's benchmark index extended to a new intraday high on Thursday, with investor attention drawn to a takeover agreement that sent one prominent fund manager sharply higher. By 1200 GMT the FTSE 100 was up 0.1% while the British pound rose 0.2% versus the dollar to 1.3649. Elsewhere in Europe, Germany's DAX advanced 1.3% and France's CAC 40 increased 0.8%.
Market participants reacted most strongly to the news that Schroders PLC agreed to be acquired in an all-cash deal valued at £9.9 billion by U.S. asset manager Nuveen. Schroders shares surged about 28.6% in London trading following the announcement. The combined enterprise is expected to manage nearly $2.5 trillion in assets after the transaction.
Schroders also reported strong full-year results for the year ended December 31. On an adjusted basis, operating profit climbed 25% to £756.6 million from £603.1 million a year earlier. Statutory profit before tax rose 21% to £673.8 million, and adjusted basic earnings per share increased 29% to 36.6 pence.
Other listed companies that influenced the market included Relx PLC, which posted robust 2025 results. Relx reported underlying revenue growth of 7% to £9.59 billion and a 9% rise in adjusted operating profit to £3.34 billion, with operating margins improving to 34.8% from 33.9%. The stock edged up 0.2%.
Among consumer and asset-management names, British American Tobacco PLC reported a slightly better-than-expected set of annual figures for 2025, with organic sales rising 2.1% versus a consensus of 1.9%. The company reiterated its full-year guidance at the lower end of its medium-term framework; shares traded down 1.8% in afternoon trade.
Ashmore Group Plc recorded a significant increase in profitability for the six months to December 31, 2025, with profit before tax up 64% to £81.9 million. Assets under management rose 10% to $52.5 billion, and the stock moved up 0.6%.
Unilever PLC met expectations for full-year sales, reporting €50.50 billion and announcing a €1.5 billion share buyback. Despite delivering these results, the stock slipped 1.7% as analysts raised concerns about the company’s prospects for meeting its 2026 growth and margin targets.
On the macroeconomic front, U.K. GDP data for December showed only a 0.1% rise, down from a revised 0.2% expansion in November. Quarter-on-quarter, the fourth quarter of 2025 expanded by 0.1%, the same pace as in the third quarter, leaving calendar-year growth for 2025 at 1.0%, marginally below the 1.1% recorded in 2024.
The mix of takeover activity, corporate earnings and subdued domestic growth provided the backdrop to a market session where gains were concentrated in a handful of financial and corporate names, while some consumer staples and household goods stocks lagged.
Market movers and corporate results - highlights
- Schroders - agreed takeover by Nuveen valued at £9.9 billion; shares jumped ~28.6%.
- Schroders - adjusted operating profit up 25% to £756.6 million; statutory pre-tax profit +21% to £673.8 million; adjusted EPS +29% to 36.6p.
- Relx - underlying revenue +7% to £9.59 billion; adjusted operating profit +9% to £3.34 billion; operating margin 34.8%.
- British American Tobacco - organic sales +2.1% (consensus 1.9%); reiterated guidance at lower end of medium-term framework; shares down 1.8%.
- Ashmore - profit before tax +64% to £81.9 million; AUM +10% to $52.5 billion; shares +0.6%.
- Unilever - full-year sales €50.50 billion; €1.5 billion buyback announced; shares down 1.7% amid analyst concerns over 2026 targets.
The session highlighted how corporate-specific developments - from takeover bids to annual results and guidance - can drive significant moves within the FTSE 100 even when headline growth in the domestic economy is muted.