A landlord is trying to coax online shoppers into its pubs with parcel collection points. NewRiver REIT (NRR), which owns 700 pubs across the UK, is trialling the service with delivery firm Collect Plus in the run up to Christmas. Customers will be able to buy their presents online and then collect them at the same time as enjoying a pint and a curry. Pubs will receive a commission for each parcel that is collected in return for offering the service.
Superdry (SDRY) co-founder Julian Dunkerton is preparing to launch a battle against the clothing brand’s management as he plans a return to the board. The entrepreneur is working with advisers to call for an extraordinary general meeting where shareholders would vote on whether he should be reinstated as a director. Dunkerton is Superdry’s largest shareholder, with a stake of 18.5%
Faroe Petroleum (FPM) has sent a stern hands-off warning to Norwegian oil firm DNO, which has tabled a hostile £610 million takeover bid. The British company has rejected the bid and warned that it will fight any move by DNO – already Faroe’s largest shareholder with a stake of nearly 30% –to get a seat on the board. AIM-listed Faroe accused DNO of trying to buy ‘on the cheap’ because it pounced after the recent oil price fall which has hit share prices across the industry.
Independent shops hit by the turmoil on Britain’s High Street have turned to the internet to double their Christmas sales instead. More than 500 small stores across the country now list their products on Trouva, which is only available to small retailers with a bricks-and-mortar presence. Of those, 42 have hit six-figure sales this month using the platform’s website. Retailers have lost more than 90,000 jobs this year due to poor trading.
Miserly hedge funds clearly haven’t got into the Christmas spirit. They are predicting more pain for online fashion retailer ASOS (ASC), even after its 45% share price dive last week. Asos has come under fire from short-sellers betting £230 million that its share price will keep falling after Monday’s profit warning, caused by hefty discounting. The company’s short position hit a three-year high on Thursday of 12.09%, according to IHS Markit, which analyses a wide variety of holdings. That is up from less than 9% before the profit warning.
MIDAS SHARE TIPS: UK shares are at a low – but we strike gold as our mining tip, Anglo Asian Mining (AAZ), has doubled. Anglo Asian shares were undervalued in September. Now the price is a more accurate reflection of where the business is. Shareholders who bought three months ago may well consider selling half their stock and hedging their bets. Anglo Asian is certainly better run than it was but the shares have a history of volatility so investors would be wise to exercise caution. Midas loser: Raspberry of the year goes to Xeros Technology Group (XSG), a technology firm that has pioneered a way of cleaning clothes using tiny polymer beads called Xorbs. These beads mean that washing machines use far less water and detergent, operate at lower temperatures and clean more effectively. Midas tipped the stock in July, when the shares were 69p and Xeros had just announced a major deal with a Chinese washing machine maker. On Friday, Xeros shares closed at less than 12p. Xeros has attracted attention from companies around the world, as Xorbs can be used to clean firefighters’ uniforms and process leather as well everyday clothing. But progress is painfully slow. Neil Woodford, once a star investor, now owns almost 40% of the stock and he is known for his long-term investment approach. Patient investors may choose to follow him and stick with Xeros. Less confident shareholders may prefer to cut and run.
MIDAS SHARE TIPS UPDATE: Law firm Gordon Dadds Group (GOR) makes a case for expansion. Back in January, our three top picks for 2018 were law firm Gordon Dadds, life sciences group Syncona and specialist engineer Porvair. Dadds has risen 27% to £1.82p, as revenues and profits have grown significantly. But the shares have been suspended since September, when chief executive Adrian Biles revealed he was pursuing a merger with Ince International, a larger rival.Biles believes the transaction will make Gordon Dadds a bigger and better company, but investors will have to peruse the details before deciding whether to continue holding the shares. Life sciences group Syncona Limited NPV (SYNC) has risen 22% to £2.57, as the firm – which invests in promising healthcare businesses – has delivered strong growth and shown that it can source rewarding investments. Backed by the Wellcome Trust, Syncona should have a strong future ahead of it. has fared less well, falling more than 8% to £4.16, despite revealing this month that earnings for the year to November 30 would be above expectations, while revenues would show an increase of more than 10%. The company has suffered from widespread disaffection with the manufacturing sector but brokers remain positive about the long term and investors should too.
