Three things you need to know as the UK financial markets open, from Tony Cross.
#1. New CEO appointed as boohoo battle against Frasers continues
Boohoo Group LON:BOO is currently battling major shareholder Frasers LON:FRAS over the appointment of management but has this morning announced that a new CEO has been found for the company. Dan Finely, formerly of JD Sports and the current CEO of Debenhams – wholly owned by boohoo – will now take the helm. Dan and his team are credited with taking a failed department store brand and turning it into a fast growth, capital-light marketplace. The next reaction from Frasers will be closely followed.
#2. IPC results issued to UK market
DS Smith LON:SMDS is currently in the process of being acquired in an all share deal by International Paper Company, who yesterday issued Q3 results and Q4 profit forecasts. The news was welcomed at the time, sending IPC shares up by 13% and having a corresponding effect on Smiths, but are these bumper gains sustainable?
#3. CAP-XX funding round oversubscribed
CAP-XX LON:CPX has had a turbulent week but a funding round launched last night has completed and been announced as oversubscribed. The offer was scaled back as a result, but investor demand here may help limit the downside resulting from the dilution effect.
