Mike Ashley makes shock attempt to seize control of Debenhams (DEB) and stand down from . On Thursday night Sports Direct called for a general meeting of the department store chain to hold a vote on whether Mr Ashley, who controls a near-30% stake in the retailer, should be placed on its board in “an executive role”. His company also called for a boardroom clearout, with the removal of all directors bar Rachel Osborne, who only joined as finance director last September. Sports Direct said Mr Ashley would “focus on the Debenhams business, including building a strong board and management team”.
Greggs (GRG) is hoping to grab a slice of the evening takeaway market by keeping stores open later and offering home deliveries after sales hit £1bn for the first time. Roger Whiteside, chief executive, said evenings were a new growth area for the baker after being “pleasantly surprised by the extent of demand for delivery from our existing menu”. “Most delivery demand for food is in evening, so if we can develop our food options to be more appealing in the evening… then we see a real opportunity to extend the trading ours from our existing estate,” he said.
Aviva (AV.) new chief executive has pledged to leave “no stone unturned” as he seeks to appease impatient investors after years of slow growth. Maurice Tulloch, an Aviva lifer who took over the business earlier this week, said after its full-year results were published on Thursday that the group is “far too complex and this is holding us back”. The former international head warned of a “lack of clear accountability,” echoing comments he made last time he worked at Aviva in the UK when he said there were “too many layers of management” and little clarity. Mr Tulloch did not comment on whether he planned to review certain divisions, including operations overseas.
Melrose Industries (MRO) was upbeat about the progress of its £8bn takeover of GKN last year after beating analysts’ expectations. The FTSE 100 company posted a loss of £550m for 2018, weighed down by charges relating to the takeover. When those costs were stripped out, pre-tax profits came in at £703m. Shares ended 2% higher. Melrose took control of 259-year-old GKN in March after the largest hostile takeover battle the City had seen for almost a decade. David Roper, executive vice-chairman, said Melrose was “very pleased” with the integration of GKN: “We did not have access to the company before we bought it -[but] we discovered no black holes.”
The Serious Fraud Office (SFO) has been dealt another blow after a judge accused its investigators of failing to secure key evidence for a landmark trial of four former Barclays (BARC) bankers. A court heard on Thursday that Mr Justice Jay had ruled before the trial began in January that the SFO “failed to take reasonable and appropriate steps” to obtain potentially crucial documents. The SFO has accused the bankers, including former chief executive John Varley, of keeping fees paid to Qatar in exchange for two emergency fundraisings a secret from other investors at the height of the financial crisis.
National Grid (NG.) is preparing to jump into the US renewable energy market by paying up to $225m (£171m) for wind and solar company Geronimo Energy. The grid operator’s latest move deeper into the US energy industry will see it pay $100m for Geronimo, which owns a 2.2GW stable of wind and solar farms. National Grid has also entered talks to buy a 51% share in a pipeline of solar and wind generation projects totalling 378MW for $125m. The deals underline the company’s commitment to the “evolution and decarbonisation of our energy system”, said Badar Khan, president of National Grid Ventures.
Record profits put another £3,600 bonus in pockets of Admiral Group (ADM) staff. Admiral’s 10,000 staff have been given another wad of free shares worth £3,600 after unveiling record full-year profits. The FTSE 100 car insurer, which also owns Confused.com, said pre-tax profits shot up 18% to a record £479.3m for 2018. It increased the dividend by 14% to 66p. “Mostly happy staff, mostly happy customers, and increased dividends. Something for everyone,” said chief executive David Stevens. Employees were given the same bonus this time last year. However Mr Stevens admitted that last year’s boost was largely due to a change in the way UK personal injury claims are calculated.
A second consecutive annual loss of more than £200m for Countrywide (CWD) sent the UK’s biggest estate agent sliding to the bottom of London’s market as Brexit angst threatens to derail its turnaround. The company is implementing a “back to basics” plan to kick-start its recovery but Countrywide revealed that the turnaround has been hampered by a slump in property transactions as Brexit uncertainty bites. The company’s shares have been under pressure since last summer when it tapped investors for a £140m lifeline, aiming to slash its debt pile. It revealed that full-year losses widened to £218m in 2018, warning that the weakness has spilt over into the new year.
Schroders puts heiress Leonie on board as it counts cost of difficult year. Schroders (SDR) has put the daughter of Bruno Schroder, the billionaire head of the banking dynasty who died last month, on its board after consulting with top investors. The FTSE 100 fund manager said Leonie Schroder had joined the company’s 11-person board. Her father, the great-great-grandson of the group’s co-founder John Henry Schroder, had been on the board since the 1960s. The company said that it made the decision, which had been widely expected, after engaging with a “number of major institutional shareholders” who backed the plan. The 44-year-old has not previously worked in financial services but is director of the Schroder Charity Trust.
Questor: a rising dividend from Legal & General Group (LGEN) and more good news on debt from Premier Oil (PMO). Questor Income Portfolio: the insurer is well placed to continue to grow while the oil explorer’s focus on cutting debts is just what we as bondholders want to hear
