STOCKS NEWS EUROPE-FTSE Small Caps, AIM indexes up 0.3 pct
The FTSE Small Caps index and junior-listed AIM index rise 0.3 percent each, slightly underperforming the mid-caps.
Mothercare (LSE: MTC.L - news) rises 2.3 percent to 383.6 pence after JPMorgan (Other OTC: JPAPZ - news) initiates the baby goods retailer at 'overweight' with a 450 pence price target.
"In its home market, Mothercare is a turnaround story. A new management team, appointed after the 2011 profit warning, has launched a business recovery plan that we believe will allow the company to return to a profitable run-rate in the UK by FY2015," analysts at JPMorgan say in a note.
Strategic Natural Resouces tumbles 32.8 percent after the AIM-listed natural resources developer says its 74 percent-owned subsidiary Elitheni Coal has been offered a 15 million rand loan which may be converted into a 10 percent shareholding in Elitheni to be taken from SNR's stake.
"This in effect implies a valuation of 6.8 million pounds for SNR's interest (before any conversion) - versus the current market cap of 12.4 million pounds - which we expect will be further reduced if and when funding is obtained from "other potential South African investors"," Shore Capital writes.
Reuters messaging rm://antonina.vorobyova.thomsonreuters.com@reuters.net