London stocks opened slightly higher on Wednesday, buoyed by a takeover bid for Spectris and a rally in Thruvision, while fresh political and trade concerns loomed in the background.
The FTSE 100 rose 0.1% to 8,792.95, lifted by blue-chip defensives. The FTSE 250 fell 0.5% to 21,632.29, and the AIM All-Share slipped 0.3% to 770.34.
Spectris jumped 4.6% after agreeing to a £4.1 billion cash takeover by private equity giant KKR. The £40 per share offer trumps Advent’s previous bid and represents a near-100% premium to the company’s early June share price. Spectris said it expects the deal to complete by early 2026.
Thruvision surged over 70% on news of a £1 million order from a new Asian government customer for its security screening tech. The company also said its cash runway now stretches into the end of 2025, though it warned this depends on pipeline conversion.
At the other end, Greggs fell 14% as summer heat kept footfall low in June, offsetting a pick-up in cold drink sales. First-half operating profit is expected to fall year-on-year, with full-year profit now forecast to come in modestly below 2024 levels.
Bytes Technology slumped 22% after warning of slower growth. It blamed weak customer demand amid a tough macro backdrop and a restructuring of its sales teams. Operating profit for the first half is expected to be marginally lower than last year.
In Westminster, ministers warned of “financial consequences” following Prime Minister Keir Starmer’s last-minute U-turn on welfare reforms. Around 50 Labour MPs rebelled against the bill despite concessions, including scrapping restrictions to Personal Independence Payment (PIP). Cabinet minister Pat McFadden did not rule out tax rises as a result, hinting more details will come in the autumn budget.
Across the Atlantic, US President Donald Trump ramped up trade tensions, threatening 30–35% tariffs on Japanese imports unless a deal is struck before the 9 July deadline. He singled out Japan’s refusal to buy US rice, calling Tokyo “very tough” and casting doubt on any near-term agreement.
The renewed tariff threat comes as global trade policy remains in flux, with only two deals, with the UK and China, secured since Trump announced a sweeping 10% baseline tariff in April.