Ocado retail sales surge 40 per cent in second quarter on stockpiling May 6, 2020 Ocado retail sales have jumped 40 per cent year on year after ramping up capacity to meet delivery demand amid shopper stockpiling during the coronavirus crisis. The online supermarket, which stopped accepting new customers for its delivery service amid the stockpiling craze at the start of the UK lockdown, today said that trend has now [...]
Hiscox launches share placing and predicts business interruption insurance hit of £10m to £250m May 5, 2020 Lloyd’s insurer Hiscox launched an equity placing of 20 per cent of its share capital and said its business interruption insurance exposure could range from £10m to £250m today. Based on its share price at close the placing could raise approximately £400m. Hiscox is facing potential legal action from a group of policyholders who say [...]
Activists and coronavirus: Funds will target devalued firms after crisis May 5, 2020 Much has been made of the comparison between the coronavirus crisis and the global financial crash over a decade ago. The pandemic has left dozens of listed UK companies in need of a lifeline, with the travel and leisure sectors devastated by government-imposed restrictions. FTSE firms across all sectors have witnessed their stocks implode as [...]
Coronavirus: Grosvenor Group ‘very cautious’ on new property deals May 5, 2020 Property group Grosvenor today said it was “very cautious” on new commitments due to the “severe” economic shock caused by the coronavirus crisis. Despite the cautious outlook the company, which is owned by the Duke of Westminster, said it was positive about its planned projects, including a 1,500 home development in Bermondsey and a joint [...]
McDonald’s to reopen 15 UK restaurants amid lockdown – with one big difference May 5, 2020 McDonalds has announced which 15 restaurants it plans to open for delivery this month, including four branches in London. The fast food giant announced this morning that it will reopen its Tooting, Dalston, Harrow and Welling restaurants on 13 May. However, in order to comply with social distancing measures, McDonald’s will offer a limited menu [...]
How have sustainable companies performed during the Covid-19 crisis? May 5, 2020 Rather than being a luxury or an optional extra, our analysis shows that a focus on sustainability would have helped relative performance during the recent market turbulence. Here at Schroders, our view of sustainable investing is that companies who treat their stakeholders fairly will see better share price performance than those who do not. There [...]
Real Estate: COVID-19 may permanently quarantine inflexible leases May 5, 2020 Real estate leases have long represented a point of disagreement between accountants and financial analysts. This disagreement was the primary reason why the London-headquartered International Accounting Standards Board (IASB) and the US Financial Accounting Standards Board (FASB) went separate ways in finalising lease accounting standards. Figure 1. Lease Accounting Survey Report (October 2013) For a [...]
J Crew files for bankruptcy as coronavirus derails turnaround plan May 4, 2020 J Crew has filed for bankruptcy after the coronavirus pandemic forced it to close stores and derailed the retailer’s turnaround plans. Under the terms of the filing, the New York-based clothing brand’s main creditors will take control of the business in exchange for wiping out $1.65bn of debt. Anchorage Capital Group, Blackstone, GSO Capital Partners [...]
Telefonica confirms talks to merge O2 with Virgin Media May 4, 2020 O2’s Spanish parent company has confirmed reports that it is in discussions with Liberty Global over a potential merger with Virgin Media. Telefonica this morning said it has just begun talks with Virgin Media owner Liberty, which is led by telecoms billionaire John Malone, over a tie-up between the British mobile operator and cable company. [...]
Coronavirus: There are opportunities for wily – and brave – investors May 4, 2020 Britain’s investors could be forgiven for feeling desperate in the current crisis. They have faced a triple whammy from world markets, governments and companies. Not only have they seen the value of their portfolios fall by up to 20%, but with company after company cancelling dividends, their income has fallen by half. Heavyweights such as [...]