Business

FTSE 100 rises as Micro Focus shares surge on HP deal

HPE at New York Stock Exchange Image copyright Hewlett Packard Enterprise

(Close): The FTSE 100 edged higher on Thursday boosted by a big rise for Micro Focus following its $8.8bn (£6.6bn) software swoop.

The UK technology firm is acquiring the software arm of Hewlett Packard Enterprise, including the assets of former UK tech champion Autonomy.

Micro Focus, which entered the FTSE 100 last week, ended the day 14.5% higher after earlier jumping 21%.

The FTSE 100 ended 12 points higher at 6,858.7 points.

British Airways owner International Consolidated Airlines was up 4% after a positive broker's note and a hint from chief executive Willie Walsh that other airlines were keen to join the group.

Dixons Carphone also rose almost 4% after reporting an increase in first-quarter sales and "no detectable impact" from the Brexit vote.

Education publisher Pearson was the biggest faller, dropping almost 8%, following disappointing results from rival publisher John Wiley, which also provides US college textbooks.

On the currency markets, the pound was 0.3% lower against the dollar at $1.32990. Against the euro, it was 0.5% lower at €1.18100.