Market report: Tuesday close

NOT EVERYONE appears to have been caught out by speculation about a proposed shake-up at satellite broadcaster

It was one of the biggest fallers in the top 100, losing 12p at 624 1/2p, on reports that 35%-shareholder Rupert Murdoch wants changes that could result in the departure of chief executive Tony Ball.

The shares were a flat market last week as whispers did the rounds that something was afoot. Morgan Stanley is said to have handled the business for one big institutional seller which is reckoned to have taken three days to unwind its position.

The shares have fallen from a peak of 724p at the start of August. Looks like someone managed to reduce their losses.

The FTSE 100 rose up 38.1 at 4299.0, helped by a strong opening on Wall Street.

WPP rose 2 1/4p to 547p after Credit Suisse First Boston began coverage of the advertising group with a neutral rating and a 580p price target. The broker said the group is its favourite pick in the sector having started coverage of advertising rivals Havas and Publicis with underperform ratings.

BT Group rose 3p to 188 1/4p. I hear Lehman Brothers is pushing the shares. It has upgraded them from underweight to equal weight and has set a price target of 220p, pinning its hopes on a gradual improvement in revenue trends.

Defence contractor Cobham rallied 10p to 1217 1/2p as it made another US military acquisition that will take its turnover from the lucrative defence sector to 50%. Its troubled Westwind division in Poole, Dorset, has returned to profit, making it more attractive to prospective purchasers. Cobham raised £106m in July to reduce debt.

Drugs supplier Oxford BioMedica slipped 2 3/4p to 22 1/2p after announcing plans to tap shareholders for £20m to develop its treatments in oncology and neurotherapy. The company has planned a 27-for-50 rights issue at 17p to be fully underwritten by broker Collins Stewart. Full-year pre-tax losses widened to £6.08m from £5.9m.

There were cheers all round at Enterprise Inns as the price rose 18p to 894 1/2p on a bullish trading update. The pubs chain reports that trading in the year to September was comfortably in line with expectations. These results will include the first contribution from the Laurel pub chain acquired in May last year. Peel Hunt says the news will help sustain the shares at current levels.

AIM-listed AIT Group firmed 3 1/2p to 72p after reporting that it was now trading profitably. Chairman Richard Hicks said the group had made good progress with its turnaround, which has seen strict financial controls put into place. He was confident of a return to the profitability and growth of the company's first 15 years.

Also on AIM, Access Plus rose 4p to 159p after assuring shareholders that bid talks with an unnamed suitor were continuing. Interim pre-tax profits rose from £1.98m to £2m.