May 2 Shares in British set-top box maker Pace Plc
fall as much as 5.6 percent, making it the top percentage loser on Britain's
mid-cap FTSE 250 index, after a report saying AT&T has approached
DirecTV about a possible purchase of the satellite TV company.
Pace, which supplies decoders to both companies, derived more than half of
its revenue from North America in 2013.
"Pace is a provider to both ... I guess perhaps there are order
uncertainties in the near term," Jefferies analyst Lee Simpson says.
Worries over the impact of any such merger on the supply chain and order
book has been driving the market, Simpson adds.
The company said last month it expected revenue to increase by about 9.3
percent in 2014, while its operating margin would be about 8.5 percent, up from
7.8 percent in 2013.