Some of Europe’s biggest names in fashion – including the UK’s Burberry Group (BRBY) and Mulberry Group (MUL) – sank after investment bank Morgan Stanley released a damning report on the sector. LVMH, the heavyweight owner of brands such as Louis Vuitton and Christian Dior, reported stronger-than-expected sales in its fashion and leather goods divisions late on Tuesday. But a warning from the firm over what it described as an ‘uncertain geopolitical and monetary context’ put investors in flight.
Advanced Oncotherapy (AVO) was on the up after announcing another breakthrough for its proton beam therapy system. The treatment is designed to be cheaper and more efficient than any currently available in the UK. The firm added that work to create the first proton therapy centre, on London’s Harley Street, was on track to complete by the second half of 2020. Shares flew by 27.3%, or 9p, to 42p.
Telford Homes (TEF) shares tumbled after it issued a trading update. Though the firm said it had just 90 homes left to sell by March in order to achieve profits of £50million, it warned that plans for Britain to leave the EU were pushing down London property prices. Recent ‘negative commentary around the outcome of Brexit’ was adding to a ‘more general downturn in the market for expensive prime homes in London’, Telford said. Though the company focuses on more ‘affordable’ properties with an average price of £540,000, which it believes will continue to be in demand, shares still flopped 7%, or 27.5p, to 366.5p.
Packaging giants Mondi (MNDI), Smith (DS) (SMDS) and Smurfit Kappa Group (SKG) also weighed heavily, after four industry competitors joined forces to create a new sustainable company. Bway, Mauser Group, National Container Group and Industrial Container Services have merged to create a new threat to the FTSE players. Mondi fell 8.7%, or 170p, to 1775.5p, DS Smith dropped 6.5%, or 29p, to 418.2p and Smurfit Kappa tumbled 5.7%, or 156p, to 2580p.
Newly listed online lender Funding Circle (FCH), whose shares had slumped after it floated last week, finally began picking up after it emerged that fund managers Invesco and Merian took sizeable stakes in the business. Aston Martin Holdings (AML), which floated on the same day, is still miles below its debut price of 1900p even after climbing 1%
Mining company Vast Resources (VAST) shot up 10.3%, or 0.06p, to 0.64p as it was granted approval from Romania’s government to open the Baita Plai metals mine. It is the first time such a licence has been granted in Romania for 19 years. Vast’s 80% stake in the mine is thought to be worth £37.6million, and currently the company itself is only trading at a value of £35million.
Pitcher & Piano’s parent company, Marston’s, is raising a toast to record annual profits and sales after the heatwave and World Cup prompted a surge of pub-goers. The FTSE listed firm said the summer rush helped make up for a rough patch at the start of the year during the Beast from the East. As a result, Marston’s (MARS) is expecting to post profits of around £104million for the year – up 3.9%, and record sales of £1.1billion – up 15%
High street cafe chain Patisserie Holdings (CAKE) is fighting for survival after discovering a £20million black hole in its accounts and an unpaid tax bill. The company, part-owned by Pizza Express tycoon Luke Johnson, said it was investigating ‘significant, and potentially fraudulent, accounting irregularities’. More than £20million could be unaccounted for and the Serious Fraud Office is now investigating.
