Stock markets across Europe are set to plummet on Monday morning as the risk of a Greek default and possible exit from the Eurozone increased significantly over the weekend following the breakdown of talks between Athens and its lenders.
City sources predict the FTSE 100 will open around 180 points lower than Friday's close of 6,753.70.
"European markets look set to plunge on the open this morning after Friday's shock announcement by Greek Prime Minister Alexis Tsipras that he would put the latest deal from the creditors to a referendum of the Greek people," analyst Michael Hewson from CMC Markets.
Greece has now effectively run out of time to secure funding to help pay its 1.6bn debt repayment to the IMF on Tuesday, the same day that its current bailout agreement expires.
Athens has confirmed that Greek banks will be closed all week due to an "extremely urgent" need to protect the financial system after the ECB decided to freeze emergency funding. Cash withdrawals from ATMs will be limited to just 60 a day.
The stock market in Athens is also expected to remain closed on Monday.
Stocks to watch
Betting group Ladbrokes has confirmed that talks with Gala Coral over a possible merger remained ongoing. Last week, the FTSE 250 group responded to recent press speculation and confirmed that it was in merger talks with the board of sector peer Coral. In a statement released on Monday, Ladbrokes said negotiation was continuing, though it warned its shareholders that a deal remained far from certain.
Savannah Resources said on Monday that it has raised approximately £0.55m in cash through the placing of 21.9m shares
at 2.5p each with both new and existing investors. The net proceeds will be used to fund work on the recently-announced joint venture with Rio Tinto comprising the Mutamba/Jangamo heavy minerals sands project in Mozambique, including the definition of a Joint Ore Reserves Committee compliant resources and completion of the scoping study.
Amur Minerals remained debt free throughout 2014 and maintained a healthy cash position as is continues with its plans to develop its flagship Kun-Manie nickel copper sulphide project in the Russian Far East. Loss before tax totalled $1.36m in 2014, down from a loss of $3.83m the year before, as finance expensive reduced and the fair value movement on derivative financial assets rose.
AIM-listed Real Estate Investors announced it sold off three properties to the value of almost $10m. The Birmingham based trust said it sold 85/89 Colmore Row in Birmingham for £7.850m; 770-772 Bristol Road in Northfield for £1.425m; and 150 Birmingham Road in West Bromwich £250,000.