BAE Systems shares march higher on bid talk Shares in the company, which runs the Moma mine in Mozambique, have been unloved, having fallen about 27pc since the start of the year, and Bank of America Merrill Lynch analysts said Kenmare's "long-life and low-cost resource base" may make the group attractive to a predator. Kenmare climbed 1¾ to 33.46p, the biggest rise on the mid-cap index. It had been long-awaited by traders, and the news that Greece's international lenders agreed a deal unlocking the next tranche of aid to the troubled nation predictably provided some support for blue-chip shares in London. ETX Capital market strategist Ishaq Siddiqi said the outcome had already been priced in, although it did lead to a "sigh of relief for stock markets." The FTSE 100 ended the day up 12.99 points at 5,799.71. While the news on Greece gave a lift to UK banks, brokers were also helping some of the lenders higher. Royal Bank of Scotland, up 10 at 295.1p, was bolstered by analysts at UBS, who thought the appointment of Mark Carney as Bank of England Governor would benefit the lender because it heralds an opportunity for "the UK regulatory environment to be recast with a more conciliatory tone." The broker lifted its recommendation on the stock to "buy" from "neutral" and RBS was the best performer on the FTSE 100. Lloyds Banking Group followed in its wake and put on 1.315 to 46.415p while Barclays shares added 3.15 to 243.65p. Capita climbed in the afternoon on the news that the outsourcing group was the preferred bidder for an educational support services joint venture with Staffordshire County Council, in what would be its largest-ever contract. Capita will take a majority stake in the enterprise, which would generate about £85m in revenues per annum for 20 years. Shares in the FTSE 100 company gained 23 to 751p. At the other end of the blue-chip table, investors pushed Aberdeen Asset Management down 7.4 to 328.6p. Although some brokers, including Numis and Credit Suisse, raised their target prices on the shares following Monday's full-year results, Citigroup opted to cut its recommendation to "neutral" from "buy." Despite forecasting 13pc earnings-per-share growth next year and an increase in revenue margins, analysts at the broker reckoned the shares were already "fairly valued." Cruise operator Carnival, which is also listed in New York, was on the back-foot late in the session after revealing its chief operating officer sold 100,816 shares at $38.50 apiece. Carnival ended the day off 12p at £25.05. Back on the FTSE 250, which gained 23.58 points to 11,867.18, relief that Chemring did not sound another profit warning in its latest trading update, after cautioning the market twice about lower earnings in recent months, sent shares in the beleaguered defence equipment company up 8.2 to 238.2p. Analysts at Morgan Stanley were casting their eye over publishing group Informa. The scribblers boosted their recommendation on the company to "overweight" from "equal-weight," arguing that organic growth should resume next year because the company has nearly finished the restructuring of its Events and Professional and Commercial Information divisions. They pointed out that the group, a perennial favourite of those who indulge in bid speculation, has had two takeover offers as well as a merger proposal in the past six years, which "highlight Informa's attractions." Shares in the company climbed 11.3 to 416.8p. Suffering the heaviest fall on the FTSE 250 was pub and restaurant group Mitchells & Butlers. Even though the company posted a 6.4pc increase in full-year profits to £166m, investors were perturbed by the update Mitchells gave on recent trading. The group reported a 0.1pc dip in like-for-like sales growth during the first eight weeks of the 2013 financial year, sending the shares down 18.9 to 312.1p. FOGL shares tumble on abandoned well Punters hoping to find their fortunes in the Falkland Islands were sorely disappointed today. Shares in Falkland Oil & Gas sank after the exploration group updated the market with poor drilling results. The company revealed it would abandon its Scotia well, in which it holds a 40pc interest, because it found a "fairly poor quality reservoir." That sent the shares plummeting 30¼ - 48pc - to 32¾p, a record low. They were valued at above 200p in 2010. The news dragged on other drillers in the region too, with Borders & Southern Petroleum down 2.125 at 16¾p while Rockhopper Exploration lost 2½ to 150p. Desire Petroleum, which said on Friday an independent assessment confirmed the potential of its Falklands prospects, also dipped 0.375 to 20½p.