Notable losses for the bakery to fast food business which reported a quarterly trading update this morning. Whilst sales continue to march higher – up 10.6% over the 13 weeks to 28th September – that’s below the 12.7% year to date rate seen. Inflation pressures are also easing and management have reiterated full year guidance but that hasn’t been enough to mitigate investor concerns. The Greggs share price is down around 3% in the first hour of trade on Tuesday.
The sprawling retail juggernaut found a small bump in the road this morning after fashion brand Mulberry rejected its approaches. Frasers already has interest in almost 40% of the business and tabled an offer yesterday to buy the remaining stake at 130p. That was however only an 11% premium to Friday’s closing price and Mulberry’s directors have been quick to reject the bid. The Frasers share price is down by around 0.25% on the day, although still comfortably above the support level around 820p it had found during the summer.
Small cap Tavistock saw its shares finding favour on Tuesday morning after the company announced it had reached terms on the disposal of two of its subsidiary businesses for a total consideration of up to £37.75m. Whilst there will be no shareholder windfall from the cash, the funds will be used for future acquisitions and may see some share buybacks, too. The Tavistock Investment share price was just over 50% higher by 9.30am.
Headlines we expect on Wednesday
JD Sports Fashion Interim Results
This time last year Revenue £4784m, Pre-tax profit £375m, Dividend 0.3p
