Below are the key headlines from today’s updated papers, featuring the Financial Times, The Times, The Telegraph, The Daily Mail & more - see the full Press section here.
Fintech giant Worldpay, Inc Class A Com Stk (DI) (WPY) changes hands again after $43bn US swoop. Global payments giant Worldpay changed hands for the fourth time in a decade on Monday after a US rival swooped with a $43 billion (£32.5 billion) takeover. The company, which employs around 4000 people, will come together with US-listed Fidelity National Information Services (FIS) in a cash-and-shares deal that underscores the rapid consolidation in the industry. Worldpay forms the backbone of Britain’s payments system, accounting for 42% of all UK payments, and processing 400 transactions per second.
JD Sports snaps up Footasylum for £90m. The retailer JD Sports Fashion (JD.) has agreed to buy its smaller rival Footasylum (FOOT) in £90 million deal. The offer values each Footasylum share at 82.5p, a 77.4% premium to Friday’s closing price. The price is still well below the flotation price of 164p a share in November 2017. The retailer has faced strong competition from JD Sports, Sports Direct and Asos as customers rein in spending amid Brexit uncertainty since it listed. Last year Footasylum issued two profit warnings in five months and was forced to cut prices after a disappointing run up to Christmas.
Sorrell’s S4 Capital reports 30% revenue growth. Derriston Capital (DERR) , Sir Martin Sorrell’s new advertising venture, said that it was enjoying 30% revenue growth after signing up a number of new clients. In its maiden annual results, the company flagged up “significant” contract wins from the consumer goods giants Procter & Gamble and Nestlé and the food company Mondelez. S4 Capital said that revenue and gross profit had increased by more than 30% on a like-for-like basis in January. Sir Martin, who built WPP from scratch into the world’s largest advertising and marketing conglomerate, said that he was still on the hunt for acquisitions after buying two digital agencies last year.
Cake Box Holdings (CBOX) could be a flyer over the next few years. It might seem a little dangerous backing a cake-seller so soon after the disaster that was Patisserie Valerie. But if the house brokers at Shore Capital are anything to go by then Cake Box could be a flyer over the next few years. According to Darren Shirley, analyst at the brokerage, “we’re expecting double-digit growth and this to be strongly cash generative. It currently has 111 stores and it should open 24 new ones per annum.” Recent results show that sales soared from £8.7 million in 2017 to £12.8 million in the year to March 2018, and pre-tax profits jumped 73% to £3.34 million. Shirley adds: “All of Cake Box’s franchise stores are serviced from the central facility in Enfield, which serves as the manufacturing facility for the egg-free sponge used as the base for all the cakes made instore.” The company says it sells it more than 22,000 cakes every week, at prices ranging from £18.99 to wedding extravaganzas which cost in the region of £250. Just last week the business bought two new warehouses — in Coventry and Bradford — for £1.4 million so that it can expand further in the Midlands and up North
Men’s apparel firm Moss Bros Group (MOSB) has lined up Colin Porter, the chief executive of country clothing brand Joules Group (JOUL) , as its new chairman. Porter, who has been at the helm of Joules since 2010, will take up the role in May when current chairman Debbie Hewitt retires after nine years in the post. Porter’s appointment comes as Moss Bros is trying to revive its fortunes after struggling in recent years. Shares in the company have been in decline after it issued a profit warning last year. But today’s news was well received by shareholders, with Moss Bros stock rising per 5.4% to 24.72p in morning trading.
Low-cost airline easyJet (EZJ) has withdrawn from talks to join a rescue deal for Italy’s troubled carrier Alitalia, which collapsed into administration two years ago. EasyJet had been mulling a capital injection of up to €400m (£341m) as part of a consortium with Italy’s state-controlled railway Ferrovie dello Stato Italiane and US airline Delta in a bid to keep Alitalia afloat. The Sunday Telegraph reported over the weekend that Italian officials had travelled to the US to drum up interest in the ailing carrier as concerns mounted that EasyJet would walk away from discussions to form a “new Alitalia”.