The board of has considered combining House of Fraser with its department store rival Debenhams (DEB), in an admission that will spark speculation of a full takeover bid. Outgoing director Simon Bentley said at Sports Direct’s annual general meeting in London that the board had looked at the option of merging the two chains.
Sir Howard Davies defends taxpayer loss on Royal Bank of Scotland Group (RBS) bailout 10 years on. The chairman of Royal Bank of Scotland has defended the £45bn bailout of the bank 10 years on, despite the near-certainty that taxpayers will make a hefty loss on the rescue. Sir Howard Davies said the move was justified “to save the UK financial system from collapse” and should not be viewed “as a financial investment”.
SSE warns summer ‘wind drought’ will blow a hole in profits. Britain’s summer ‘wind drought’ is set to blow a hole in the profits of energy giant SSE (SSE) as it braces for a further hit from the Government’s looming energy price cap. The embattled “Big Six” supplier revealed in an unexpected update that the balmy summer weather had sapped hydro-power generation and slowed its fleet of wind turbines in a heavy hit to its wholesale energy business.
Dunelm profits stall as Worldstores deal continues to drag. Profits at furniture retailer Dunelm Group (DNLM) have flatlined after taking a near £10m hit over the integration of online homeware business Worldstores. The company booked a £8.9m charge linked to its takeover of Worldstores two years ago, causing pre-tax profits in the retailer’s last financial year, which ended in June, to edge 1pc higher to £93.1m.
Ryanair boss downplays prospect of prolonged flight chaos under no deal Brexit. Ryanair Holdings (RYA) boss Michael O’Leary has downplayed the prospect of prolonged flight chaos under a no-deal Brexit, softening previous warnings that such a scenario could have catastrophic consequences for the aviation sector. The outspoken Irish chief executive reiterated his view that flights would be grounded at the end of March in the event that London and Brussels failed to strike an accord. However, he said: “I don’t believe that a no-flight scenario will last for more than a couple of days or a couple of weeks; because I think politically, it is unassailable.”
Vodafone pushes ahead with ‘gigafast’ broadband plans in challenge to BT Group (BT.A). Vodafone Group (VOD) is moving ahead with its plans to connect homes in Milton Keynes with “gigafast” broadband, saying some parts of the city will have access to the service from October. The firm had been piloting the service over the summer, and said initially the “Vodafone Gigafast Broadband” will be available to around 3,700 homes, before being rolled out across the whole of Milton Keynes by 2020. The service, starting at £23 per month, will also be launched in Aberdeen and Peterborough later this year. It will arrive in Coventry, Edinburgh, Huddersfield and Stirling in 2019.
Lloyds axes a further 15 bank branches despite committing to network. Lloyds Banking Group (LLOY) has announced plans to shut a further 15 branches, just a month after its chief executive António Horta-Osório committed to maintaining the UK’s biggest branch network. The lender said the closures were necessary due to the rapid uptake of online banking by customers and a fall in transactions made in branches.
Brown (N.) Group (BWNG) boss Angela Spindler steps down after leading retailer’s switch to online. Chief executive Angela Spindler, who was in charge for five years, is leaving at the end of the month after transforming the business into an online-only retailer. The move comes three months after the Jacamo and Simply Be owner announced that it would close all its stores and focus on online shopping amid tough conditions on the high street. Steve Johnson, the retailer’s chief executive of financial services, will take up the role of interim group chief executive until a new boss is found.
Mediterranean oil and gas company Energean Oil and Gas (ENOG) has swung to a profit for the first half of this year, just months after it entered the FTSE 250. The Greek producer reported profits of $82.1m (£63m) for the first half of the year, from a loss of $4.4m in the same months last year. The profit boom, in part due to rapidly rising oil and gas prices, comes after the company debuted on the London stock market as the first oil listing in more than a year, and the largest in four years.
Galliford Try cheers investors despite costly Aberdeen bypass. Galliford Try (GFRD) has become the latest construction firm to post record profits despite taking a fresh hit on the troubled Aberdeen bypass project, one of the contracts that was blamed for the demise of Carillion earlier this year. The FTSE 250 company made £144m in pre-tax profits in the 12 months to June, more than twice the previous year’s £59m. That came despite a fresh £20m setback on the Aberdeen contract, which has been delayed by bad weather and other problems that have pushed up costs, taking Galliford’s total bill to £123m.
Safestore enjoys booming demand for self-storage. Growing demand for self-storage units and new sites in the UK and Paris helped London-listed Safestore Holdings (SAFE) post a rise in revenues in its third quarter. Excluding the impact of currency swings Safestore, which vies with Big Yellow to be the biggest player in the UK market, saw an 11pc hike in revenues to £36.4m in the three months to March.
An influential parliamentary committee has delivered a withering assessment of collapse of the East Coast rail line earlier this year, accusing the Government of “encouraging” operator Stagecoach Group (SGC) to overbid for the franchise. While the Transport Committee found Stagecoach, the majority owner of Virgin Trains East Coast, should take “prime” responsibility for falling into default on the franchise, the Department for Transport (DfT) failed to “temper over- optimistic bidding”.
