BUSINESS LIVE: Currys sells Greek business;  Safestyle UK becomes ‘cash shell’; Wickes sees DIY dip

Safestyle UK directors will ‘likely’ place the firm into liquidation after the retailer collapsed into administration earlier this week.

Just before close, the FTSE 100 was 0.64% lower at 7,398.84.

Meanwhile, the FTSE 250 was 0.99% higher at 17,943.63.

Lidl today ended rival Aldi‘s 16-month run as Britain’s cheapest supermarket for an average basket of groceries, according to consumer group Which?.

Experts compare the average price of a basket of items at eight supermarkets each month, with Aldi coming out cheapest every month since summer last year.

A planned £245million infrastructure injection from Sir Jim Ratcliffe ‘will not touch the sides’ when it comes to a redevelopment of Old Trafford.

The rise-and-fall of crypto exchange FTX as well as its founder Sam Bankman-Fried became one of the most dramatic sagas in the US financial history.

On Thursday, Bankman-Fried hit rock bottom when a New York jury convicted him of fraud for stealing at least $10 billion from customers and investors.

Richard Carter, head of fixed interest research at Quilter Cheviot, comments on the latest monthyl US jobs data:

Following a slew of robust and strong data prints, the US economy is finally showing signs that cracks are appearing in what has been a formidable façade. While the number of payrolls dropping was expected, the fact it missed expectations quite significantly can’t be ignored by the Federal Reserve and will give it serious thought for its next interest rate decision.

The market is on tenterhooks for signs that the hiking cycle is over, and following a pause earlier this week, this latest data may just confirm that 5.25%-5.5% is the limit the Fed is happy to go to.

Clearly, Jerome Powell is keen to stress that we are in a higher interest rate period for longer, but with the effects of the hikes to date still to fully take effect, its job at achieving a ‘soft landing’ is far from over. It will be mindful that it does not want to tip the economy into recession, all the while ensuring we do not get another bout of inflation.

The US added 150,000 in October, a significant reduction on the month prior and an indication that the economy may finally be starting to cool.

October’s moderation in employment growth would is also compensates slightly for September’s enormous gains – the largest in eight months.

(PA) – At least 10,000 jobs are being axed worldwide at global shipping giant AP Moller Maersk amid a slump in demand for container freight.

The Danish group revealed it is slashing its workforce from 110,000 in January to below 100,000 as it looks to cut costs by $600million (£491million) next year.

Maersk said it had already cut around 6,500 jobs since early 2023 and that another 3,500 would go as it ramps up cost-saving actions.

Up to 2,500 of those additional cuts will go in the “coming months”, with the remainder in 2024, it added.

The firm – the world’s second biggest shipping container business – declined to give details on the impact of the jobs losses on its UK operations.

Maersk has a number of sites based at UK ports, including a main office in Liverpool, as well as in Belfast in Northern Ireland, Felixstowe in Suffolk, Grangemouth in Scotland, London Gateway in Corringham, Portsmouth, South Shields, Southampton and Tilbury in Essex.

Overall, it has sites at 12 ports, 23 depots and nine dedicated refrigerated container facilities across the UK and Ireland.

It also has a technology team based in Maidenhead and a further office in Birmingham among its bases in the UK.

Wickes Group revenues suffered a dip in DIY sales in the third quarter, partially as a result of software issues.

The retailer saw like-for-like DIFM (Do It For Me) sales reduce by 4.4 per cent in the three months to 30 September, which it told investors was ‘partially driven by a more normalised order book compared with the first half’.

Currys has struck a deal to sell its Kotsovolos retail business to the largest power generation company in Greece.

The electronics retailer launched a strategic review of its Greek division during the summer and concluded that its brand strength, dominant market position, and long-term record of profitability were not demonstrated in the firm’s valuation.

Apple revenues fell for a fourth quarter in a row despite strong demand for the company’s new iPhone.

The tech giant reported sales of £73.5bn for the three months to the end of September – down 1pc on the same period last year.

The bosses of British life science firm Instem scooped a multi-million-pound windfall after pushing through a £203m buyout yesterday vehemently opposed by major shareholders.

A crunch vote on the Staffordshire company’s future came down to the wire but investors eventually backed the 883p per share offer from French private equity firm Archimed.

Revolut has hired a new UK chief executive as the former fintech darling awaits a decision on its two-year bid to obtain a banking licence in this country.

The troubled company has appointed Francesca Carlesi, a one-time Deutsche Bank director who is currently the chief executive of little-known digital mortgage lender Molo.

The maker of a weight-loss drug vowed to supply ‘significantly’ more doses next year as sales and profits soar.

Danish giant Novo Nordisk has struggled to keep up with booming demand – particularly in the US – for the appetite-suppressing anti-obesity injection wegovy.

Sam Bankman-Fried’s parents broke down in court on Thursday night after their son was found guilty of embezzling $10 billion of his clients’ money, in what the prosecutor said was ‘one of the biggest financial frauds in American history.’

Bankman-Fried now faces up to 115 years in prison.

Philip Jansen may face one further challenge before he hands over his position as chief executive of BT to Allison Kirkby at the end of this year.

Aggressive cost cutting and stronger pricing have reversed the slippage in BT revenues in the latest quarter.

Wickes Group has reiterated 2023 guidance despite a 4.4 per cent dip in like-for-like sales within its do-it-for-me (DIFM) business during the third quarter.

The group told investors this was partially driven by ‘a more normalised order book’ compared to previous quarters, as well as ‘delays to delivered sales as a result of the transition to a new software solution fulfilling customer orders’.

Wickes said actions are being taken to resolve the issue, but admitted there will be ‘some impact’ on delivered sales in the final quarter of this year.

David Wood, CEO of Wickes, said:

‘Once again thanks to our amazing colleagues we have delivered a solid performance in a challenging market as we continue to deliver against our strategic growth drivers. In our Core business we have gained further market share and achieved a return to volume growth. We have fulfilled strong demand from our Trade customers and been encouraged by greater stability in DIY.

‘As we continue to rollout our programme of store openings and refits, I am confident that we have the right product offer and the most attractive locations – enabling us to deliver value for customers and shareholders.’

Safestyle UK has become a ‘cash shell’ after the glass company fell into administration earlier this week.

The group, which recently reported a £6.7million pre-tax loss, fell into administration after talks with stakeholders to strengthen its debt-laden balance sheet failed. Its failure will cost nearly 700 jobs.

Safestyle UK said this morning: ‘Upon the appointment of the administrators, Safestyle ceased to control and/or conduct substantially all of its business activities and assets and, as a consequence, Safestyle is now regarded as an AIM Rule 15 cash shell.

‘In light of such developments, the Directors are now taking legal advice and are likely to be required to place Safestyle into liquidation in due course.

‘As an AIM Rule 15 Cash Shell, Safestyle is required to make an acquisition, or acquisitions, which constitutes a reverse takeover under AIM Rule 14 or seek to become an investing company pursuant to AIM Rule 8 within six months from 30 October 2023, failing which its shares will remain suspended.

‘Given the liquidation process which is now expected to commence, Safestyle is not currently pursuing such a transaction and it is therefore anticipated that once liquidators have been appointed, the admission to trading on AIM of the Company’s ordinary shares will be cancelled.’

Shell will hand its investors almost £20billion this year in a share buyback and dividend bonanza despite a slump in third-quarter profits.

The gas and oil giant yesterday said it will buy back another £2.9billion of shares over the next three months as well as pay a 27p dividend for the third quarter.

That brings the total payouts planned for this year so far to a total of £19billion.

The bumper payday for shareholders sparked a backlash from unions who accused the firm of profiteering from high consumer energy bills.

Currys has agreed the sale of its Greek Kotsovolos unit to Public Power Corporation for an enterprise value of £175million in efforts slash debts and reduce its pension deficit.

Currys, whose shares have fallen 29 per cent over the last year, said the disposal will simplify its structure enabling it to focus on its larger markets of the UK and Ireland and Nordics.

The deal, expected to be about £156million after various costs, will also strengthen its balance sheet, increase flexibility to invest and grow the business, and improve shareholder returns.