Superdry (SDRY) founder Julian Dunkerton was reinstated as the fashion chain’s chief executive last night after a bitter power struggle saw almost the entire board resign. At a dramatic showdown in the City of London, 51.5% of shareholders backed his plan to return and revive its ailing fortunes. The knife-edge decision marked a humiliating defeat for Superdry chairman Peter Bamford and chief executive Euan Sutherland, who quit along with six of the other seven directors. The mass exodus followed a five-month public battle between co-founder Dunkerton and bosses at the fashion chain he set up in 2003. Seizing the job as chief executive last night following his victory, Dunkerton outlined plans to ‘rebuild the Superdry brand and the business’, adding: ‘The hard work starts now.’ But the company’s shares fell 8.8%, or 48p, to 500p.
Doorstep lender Provident Financial (PFG) claims a rival that is trying to buy it paid illegal dividends. As the takeover battled turned nastier, the Provvy claimed £9.5million was doled out to shareholders by bidder Non-Standard Finance (NSF) in breach of company law. In a stock market announcement, the Provvy said NSF did not have enough reserves to legally make the payments.NSF shifted £11million between subsidiaries to make it seem money was available for handouts, Provvy claimed in an attack after NSF said it had support for the takeover from investors who control more than 50 per cent of Provvy stock.
An £850,000 contract with a ‘major Government department’ sent shares in Sabien Technology Group (SNT) soaring as much as 75% higher. The AIM-listed firm provides technology to make boilers more efficient, with energy use cut by up to a quarter. Sabien said the contract brings total orders to date for this financial year, which ends in June, to £1.1million, more than double the £480,000 in orders it booked last year. Shares closed up 56.3%, or 0.04p, to 0.12p.
Shares in Rolls-Royce Holdings (RR.) have hit more turbulence after Singapore Airlines grounded two jets because of engine trouble. The airline removed the two Boeing 787-10 planes, which have Rolls’ Trent 1000 TEN engines, from service until new ones are fitted because checks showed that the blades were deteriorating too quickly. FTSE 100 aerospace giant Rolls had already warned airlines that the engines have a shorter-than-expected shelf life – and its engineers are scrambling to develop and test a new, improved version. It is the latest bump in the road for the Trent 1000 turbines.
Housebuilder Galliford Try (GFRD) unveiled a partnership deal with Homes England to build more than 850 houses in Redcar, Cheshire, Staffordshire and Dorset. The first properties will be completed by next spring. Galliford did not disclose the size of the deal. On Monday it announced it had won £35million of work on two water industry contracts.
Wizz Air Holdings (WIZZ) shares gained traction after it said profits for the year to March will be in the upper half of its guidance, which stands at £232million to £257million. An increase in passengers wanting to fly on its central and eastern European routes helped in 2018. It was a change in tone after Easyjet on Monday warned that Brexit uncertainty was hurting its business.
Polling expert YouGov (YOU) suffered on the stock market despite reporting strong first-half revenue and profit growth due to US demand and increased take-up of its custom research services. Profits rose 28% to £13.7million, while revenue rose 18% to £66.5million, though it said business has been hurt by ongoing political uncertainty in the UK and Europe. The company unveiled a five-year plan that will make more data publicly available and aims to double revenue.
The City was keen on Hostelworld Group (HSW), however, even though last year’s bumper UK heatwave and the timing of the football World Cup almost halved its profit to £5.7million. Revenue at the hostel booking site fell 5.3%, and it cut its final dividend by a quarter to nine euro cents per share. But there was a glimmer of light due to a 4% rise in bookings made through its main Hostelworld brand.
Fevertree Drinks (FEVR) shares fizzed after Merrill Lynch launched coverage of the stock market darling with a ‘buy’ rating and 4290p target price.
