Debenhams (DEB) bondholders rejected Mike Ashley’s attempts to install himself as chief executive of the department store chain just days before the sportswear tycoon went public with his boardroom assault, The Telegraph understands. The bondholders are crucial to the retailer’s survival as they control its £300m debt pile, which must be refinanced in the coming months. Shares in Debenhams spiked more than 30% on Friday after Mr Ashley launched a nuclear attack on the struggling retailer by calling a shareholder meeting to oust the entire board except finance chief Rachel Osborne, and become its CEO.
A round a quarter of Ocado Group (OCDO) shoppers would ditch the online grocer if Waitrose products were no longer available, according to a fresh poll of its customers. Ocado struck a £750m tie-up with Marks & Spencer Group (MKS) last month that will spell the end of its 20-year relationship with Waitrose. As a result of the new joint venture, Waitrose-branded goods will be replaced by M&S groceries and Ocado’s own branded products from next September. According to a survey of 250 Ocado customers by analysts at HSBC, 22% of shoppers said they would not shop at Ocado if Waitrose products were not available and 17% would not shop there if Waitrose products were replaced by M&S.
Worries about the global downturn in the automotive sector have been shrugged off by Bodycote (BOY), the company whose heat treatments toughen up metals. Reporting annual results it said revenue rose 5.6% to £728.6m last year, while pre-tax profit was 13% better at £132.2m. Veteran chief executive Stephen Harris, who has led the company since 2009, said Bodycote was “conscious of the global macro-economic backdrop … but it has been softer on us than people thought”. Automotive makes up about 30% of the FTSE 250 company’s revenues, but despite troubles in the wider sector, Bodycote posted a 7% rise in sales to car makers.
A five-a-side pitch operator backed by Sports Direct tycoon Mike Ashley has been rocked by “accounting errors”. Goals Soccer Centres (GOAL) warned annual profits would be “materially below” City expectations and it had breached banking terms. The company declined to comment on the precise financial impact of its problems but said: “The board, together with the auditors, are working to resolve certain accounting errors, and are reviewing some accounting practices and policies.” A banking covenant breach had been triggered at the end of December.
Plastic maker RPC Group (RPC) has agreed to a “superior” takeover offer from Berry Global in favour of an earlier bid from private equity firm Apollo Management. The Indiana-based company swooped in last month to gate-crash Apollo’s £3.3bn bid, which RPC had originally accepted. However, on Friday RPC’s board unanimously recommended Berry’s offer to shareholders, which values the company at £3.34bn. Chairman James Pike said: “The combination of RPC and Berry would create a leading global plastics products design and engineering company and represents a strong strategic fit.” He added that both companies were “highly complementary” in terms of products, customers and geographic footprint.
Non-Standard Finance (NSF), the doorstep lender trying to snap up its much larger rival Provident Financial (PFG), has issued its results earlier than planned as it fights to drum up support for its hostile bid. The company, which is run by Provident’s former boss John van Kuffeler, told investors on Friday that losses narrowed from £13m to £1.6m in 2018 while revenues soared 47% to £158.8m. Despite already being rejected by the company NSF reiterated that Provident was still its target, adding that the planned takeover would “unlock substantial value for all shareholders”.
Shares in the owner of Ladbrokes owner collapsed on Friday after the chairman and chief executive sold shares worth almost £20m. GVC Holdings (GVC), part of the FTSE 100, fell as much as 18% after boss Kenny Alexander and chairman Lee Feldman pocketed £13.7m and £6m respectively from selling almost three million shares in total. They sold the stock at 666p a share – considerably higher than the 599p GVC was trading at on Friday afternoon. Mr Alexander attempted to calm investors’ nerves, saying in a statement: “We have both held large personal shareholdings in GVC for a long time and continue to do so.
