Secretive hedge fund Elliott Advisors has waved through a £610m takeover of Poundland after months of speculation it might block the deal. Bosses were last night breathing a sigh of relief after 97.9% of investors, including Elliott, voted in favour of the new deal (The Daily Mail).
Steinhoff wants to build up its UK presence and is understood to be looking to turn Poundland from a single-price retailer into a multi-price chain (The Telegraph). The vote means Steinhoff is poised to finally complete a takeover of a British-listed retailer, after its attempts to buy Home Retail Group, the owner of Argos, and Darty, the French electrical retailer, were rebuffed (The Guardian).
Asda increased its profits last year, despite a sharp downturn in sales, after slashing overheads and shrinking staff numbers. Savings were also made in procurement, as Asda dealt more directly with producers and expanded its food sourcing business to leverage its vast buying power. (The Telegraph)
Activity in Britain’s factories collapsed in the month after Brexit, according to the first official figures on the state of the economy since the referendum. Manufacturing shrank 0.9% between June and July, the biggest monthly fall in a year, as the industry responded to the surprise result. (The Times £)
Brexit is a big “prize” for the fishing industry and will enable it to become a world-leading seafood exporter like Norway, the House of Lords has been told. Withdrawal from the EU would enable Britain to regain control of its waters after decades of “common grazing” rights assigned to European neighbours, fishing leaders said. (The Guardian)
Amazon is taking on Deliveroo, Uber and Just Eat by entering the growing market for delivering restaurant food to busy Londoners (The Guardian). The internet firm said in a statement that its ‘Amazon Restaurants’ service would be available to subscribers of its Prime scheme and that delivery would be free for orders over £15 (The Daily Mail).
Just Eat shares tumbled yesterday after investors worried that Amazon was about to eat its lunch. The American group confirmed its long-expected foray into the takeaway market with the launch of one-hour restaurant deliveries to its Prime customers in London. (The Times £)
Usually, when money is lent at below-zero rates, “what on Earth are you thinking” is shouted at the lender. On Tuesday, Henkel of Germany and Sanofi of France finished as joint winners in the race to be the first public corporate paid to borrow, agreeing minus 0.05% for two and 3.5 year notes, respectively. (The Financial Times £)
Dissident investors in Chipotle welcomed Pershing Square’s investment in the burrito chain on Wednesday, as the company’s shares jumped following disclosure from the activist group that it had built a 9.9% stake. (The Financial Times £)
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