National Express Rises After Elliott Sells Stake: London Mover
National Express Group Plc (NEX) rose the most since May 9 as Elliott Capital Advisors sold its remaining 9.9 percent stake in the U.K.’s largest coach operator.
National Express shares advanced 3 percent to 212.4 pence in London trading, the second-biggest gain in the 21-company Stoxx 600 Europe Travel and Leisure Index. Elliott now has no stake in National Express, the bus and train company said in a statement today. Elliott previously sold another 9.9 percent stake in March.
“When they sold down half the stake, the market’s immediate thinking was, ‘When will they sell the rest?’” John Lawson, an analyst at Investec Plc (INVP), said in a phone interview. “If they’re clearing up that uncertainty, that removes some overhang.”
National Express came to a truce with Elliott two years ago, agreeing to adjust the composition of its board after the investor demanded that management consider a takeover or breakup to boost earnings.
Elliott, part of New York-based hedge fund Elliott Associates LP, sold the remaining 9.9 percent stake, or 50.6 million shares, through an offering handled by UBS AG, according to terms obtained by Bloomberg News yesterday.
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