Tuesday tips round-up Amlin, NewRiver Retail

The Times’ Tempus said investors should hold shares in Amlin as it had an attractive dividend yield and special payouts were possible.

Amlin was one of only five listed Lloyd’s of London insurances in a consolidating market, which has accelerated in the past two years.

“With the prospect of a predator swooping an ever-present possibility, Amlin will always be enticing,” Tempus said.

Amlin as a business in its own right, was “of interest”, the above column said, as its half year performance was creditable.

“With a yield of more than 6%, though, the shares are worth owning for the income alone,” Tempus said.

Tempus said investors should buy shares in AIM listed NewRiver Retail, which has just bought 158 pubs from Punch Taverns in England and Wales.

The property developer planned to run the pubs through a third party and mix the use of the properties with a convenience store or post office nearby.

Tempus said more pub companies should start dusting off their bars as acquisitions might not be over.

“This may not be its last spending spree. It has its fingers in lots of pies, or pints in this case, and not just pubs.”

Peel Hunt said £50m is available should further acquisitions arise.

Tempus said investors should by as they should benefit from increased occupier demand.