The media sector was mixed on Wednesday as traders awaited key interest rate decisions and after trading closed, the US Federal Reserve slashed rates by 0.5%, enhancing hopes of a similar move by the Bank of England today.
Reuters was the market’s big story as a result of unusually heavy turnover in shares which prompted speculation of a possible take-over. The aggressor is understood to be Canadian financial group, Thomson. The group was also in focus on news it is to undertake widespread job cuts in its editorial division. The stock was seen up 4.79%.
Meanwhile, Pearson was under pressure as it became the latest company to close its final salary pension scheme to new members just a day after the government urged companies to stop aborting such schemes. The stock was seen rising 0.15%.
Elsewhere, Telewest announced that it had sold its 17% stake in SMG and plans to sell its television studios in Kent to raise money to fund its restructuring process. Telewest was seen stable at 1.25p.
The closing prices of media company shares on Wednesday were:
