Smaller companies report: Thursday close

By THIS IS MONEY
Updated: 12:23 EST, 15 December 2005

SHARES in UK smaller companies closed higher, at the session peak, outperforming the weak blue chip trend with some upbeat trading statements providing support for the stock market minnows.

At the close, the FTSE Small Cap index was 15.4 points higher at 3,246.6, the session peak, having reached a low of 3,231.8. The FTSE 100 index ended 25.8 points lower at 5,495.3.

Among the gainers, much-reduced half-year losses and an upbeat statement provided the spur for Intercede shares, up 7p to 34½p.

For the six months to 30 September, the smart card and software group advanced posted a pre-tax loss of £48,000, compared to a loss of £558,000 a year earlier.

Datamonitor shares took on 20¼p to 243¼p as the business information firm revealed that trading has remained strong since its interim numbers, and that results for the year to end December will be ahead of expectations.

The group added that it expects results for the year to end December 2006 to also come in ahead of market forecasts as a result of strong service sales.

And shares in Zyzygy, which invests in companies in the emergent technologies sector, took on 0.05p at 0.67p after the group posted a pre-tax profit of £421,000 in the six months to end June.

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Zyzygy said it is confident of continuing to deliver growth from its investment strategy.

On the downside, shares in Television Corporation dropped 7p lower to 61p after the company said it had terminated discussions on a possible all cash offer.

TV Corp advised shareholders to take no action regarding the offer from Tinopolis - shares in which shed 6½p at 40p - before reading the board's detailed response which it will be sending shortly.

Sellers also held sway in Universal Salvage shares, 8½p lower at 111½p after the damaged-cars company warned that Provident Financial's decision yesterday to close immediately its Yes Car Credit division will hit pre-tax profits by about £350,000 in the current year to 29 April.

Universal Salvage said it will immediately review its cost base to minimise the impact of the closure.