Market report: Tuesday close

EASYJET was one of the biggest fallers among second-liners today after founder Stelios Haji-Ioannou dumped more shares in the budget airline.

The price dropped 7p to 241p in heavy turnover of more than 16m shares, bolstered by the sale of a parcel of 8m (2%) at 245 1/4p, worth £19.62m, late on Friday.

At least 5m of those shares were later sold on at 245.618p, providing a small turn for the broker executing the deal. It drops Haji-Ioannou's stake in the company to 18%, or 70m shares. He said he wanted the money to help fund new business ventures. 'I have consistently said from time to time I will be selling a bit of my past to finance my future,' he insisted.

In June, Haji-Ioannou forgot to inform the market he had sold a parcel of 3m shares at 163p. It only emerged a few weeks later when he unloaded another 4.5m shares at 229p.

The rest of the market saw sellers emerge as it dropped back below the 4200 level. Opening falls on Wall Street left the FTSE 100 index down 48.5 at 4177.4.

WPP retreated 10 3/4p to 568p in the wake of last week's interim results. Deutsche Bank has raised its rating on the shares from sell to hold while lifting its target price from 390p to 550p. Deutsche says that while the results were disappointing, the company's upbeat comments about current trading have prompted it to raise its earnings forecast.

Britain's third-biggest drugs company Shire Pharmaceuticals dropped 6p to 475 1/4p despite reports that it has received several approaches for its vaccines business.

Packaging specialist Bunzl failed to make the best of an upgrading by broker WestLB Panmure, the price falling 3 3/4p to 446 1/4p. It has raised the shares from neutral to buy and lifted its target price from 450p to 505p following better-than-expected first-half numbers.

Arm Holdings fell 3 1/2p to 103 1/2p as we finally saw the other end of a share trade in 35m at 99 1/2p.

Quoted stockbroker Collins Stewart tumbled 32 1/2p to 457 1/2p following allegations at the High Court of insider trading and pumping up share prices by one of its former analysts, James Middleweek.

Bob Holt's Mears Group, unmoved at 119p, has bought Scion, which provides building maintenance, electrical and mechanical services and estate management, for an initial consideration of £1m. Scion made pretax profits of £68,034 on turnover of £27.5m last year.

Broker UBS has raised its rating on electronic fire alarms and security specialist Kidde from neutral to buy and upped its target price from 78p to 113p. The shares were unchanged at 92p.

UBS has also raised Renold, unmoved on 83 1/2p, from neutral to buy and lifted its target price from 58p to 108p. AIM-listed Axiomlab was suspended at 0.90p pending an announcement.

Systems Union rose 3 1/2p to a high for the year of 88 1/2p after interim pre-tax profits grew from £1.6m to £2m. Brokers have pencilled in £5m for the systems provider in the full year.

Symphony Plastic Technologies, which makes degradable plastic bags for the likes of Kwik Save and Somerfield, sported a rise of 3 1/4p to 27 1/4p. The group has signed a deal for Matrix Investments to distribute its plastic bags and wrapping in the US and Canada.

A 50% rise in pre-tax profits to £756,900 lifted Metal Bulletin by 11 1/2p to 173 1/2p.