Fidelity joins rush for shares in MySale after rocky market debut

 
Michael Bow
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US fund group Fidelity has snapped up more than six per cent of MySale, the online fashion site backed by Sir Philip Green and Newcastle United chairman Mike Ashley.

The group, one of the largest mutual fund managers in the world, said it had bought 9.2m shares in MySale after it floated on Tuesday, worth 6.09 per cent.

It follows Sports Direct’s purchase of a 4.8 per cent stake on Wednesday, which puts Mike Ashley’s group on a shareholder register occupied by Sir Philip through his wife Tina, who owns 22 per cent of the business.

MySale had one of the more eventful stock market debuts of the year so far when a mispricing of shares caused the stock to slump by nearly one third. Brokers on the deal from Macquarie mistakenly input the price in pounds rather than pence, listing shares at 2.26p rather than 226p. Automatic trading programmes read the price as a 99 per cent decline and automatically started selling the stock before a market announcement was made to clarify the situation.

Shares remained lower than their issue yesterday at 208.5p.

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