1 00:00:02,520 --> 00:00:08,720 Speaker 1: Bloomberg Audio Studios, podcasts, radio news, The. 2 00:00:08,720 --> 00:00:12,560 Speaker 2: Stock Movers Report, your roundup of companies making moves in 3 00:00:12,600 --> 00:00:15,880 Speaker 2: the stock market, harnessing the power of Bloomberg Data. 4 00:00:16,520 --> 00:00:18,160 Speaker 3: Well, let's take a look at some stocks on the 5 00:00:18,200 --> 00:00:20,520 Speaker 3: move today in Europe. I'm Stephen Carroll. I'm joined by 6 00:00:20,520 --> 00:00:23,079 Speaker 3: Bloomberg's Chloe Melee for more. Chloe, good morning. 7 00:00:23,280 --> 00:00:23,440 Speaker 2: Good. 8 00:00:23,520 --> 00:00:26,760 Speaker 3: Let's start in the UK with Greg's, an activist investor 9 00:00:27,000 --> 00:00:30,280 Speaker 3: urging the food chain to cut costs. What's the latest. 10 00:00:30,800 --> 00:00:33,560 Speaker 1: Yeah, so the activist investors said that greg Greg's could 11 00:00:33,560 --> 00:00:35,920 Speaker 1: be taken over if it doesn't cut a minimum of 12 00:00:35,960 --> 00:00:39,400 Speaker 1: twenty million pounds of annual costs. So Greg's share price 13 00:00:39,479 --> 00:00:42,320 Speaker 1: is down about forty percent this yet it's also London's 14 00:00:42,320 --> 00:00:45,080 Speaker 1: most shortaged stock, so it's clearly under quite a lot 15 00:00:45,080 --> 00:00:48,360 Speaker 1: of pressure. And the hedge fund Lower Asset Management, which 16 00:00:48,400 --> 00:00:51,400 Speaker 1: is a big shareholder in Greg's, said that Greg's management 17 00:00:51,479 --> 00:00:53,440 Speaker 1: was timid and that it should be a lot more 18 00:00:53,440 --> 00:00:56,600 Speaker 1: aggressive in trying to write size its costs. So it's 19 00:00:56,640 --> 00:00:59,920 Speaker 1: a company that's struggling with rising prices for it's rowing 20 00:01:00,120 --> 00:01:04,720 Speaker 1: radients and minimum wage increases as well. But David mccurio, 21 00:01:04,760 --> 00:01:07,520 Speaker 1: who heads up that Hedgephund said that the expected cost 22 00:01:07,520 --> 00:01:11,040 Speaker 1: growth next year of about eight percent was far too 23 00:01:11,160 --> 00:01:13,759 Speaker 1: high if we consider the context that the UK minimum 24 00:01:13,800 --> 00:01:16,560 Speaker 1: wages will be increasing by a by four percent in 25 00:01:16,600 --> 00:01:20,280 Speaker 1: twenty twenty six. So he said that there are efficiencies 26 00:01:20,319 --> 00:01:22,800 Speaker 1: that Greg's could find, but that A has so far 27 00:01:22,959 --> 00:01:25,240 Speaker 1: kind of ignored, and so it said that if it 28 00:01:25,280 --> 00:01:27,760 Speaker 1: doesn't kind of sort those things out, private equity in 29 00:01:27,800 --> 00:01:30,360 Speaker 1: particular could be circling. So there's quite a lot of 30 00:01:30,360 --> 00:01:33,479 Speaker 1: pressure there. But the shares have been of this morning 31 00:01:33,560 --> 00:01:35,400 Speaker 1: as all of those discussions are going on. 32 00:01:35,760 --> 00:01:39,480 Speaker 3: Okay, so that's in Greg's. Turning to Italy next, shares 33 00:01:39,560 --> 00:01:42,640 Speaker 3: in montet Pasco di Siena falling for the third consecutive 34 00:01:42,720 --> 00:01:47,560 Speaker 3: day investors digesting an investigation into its takeover of Italian 35 00:01:47,680 --> 00:01:48,880 Speaker 3: rival Medio Banco. 36 00:01:49,400 --> 00:01:52,080 Speaker 1: Yeah, we are seeing that weakness continue as we get 37 00:01:52,080 --> 00:01:55,120 Speaker 1: a little bit more details on that probe. So documents 38 00:01:55,160 --> 00:01:58,920 Speaker 1: from prosecutors alleged that the CEO of Montepesci and two 39 00:01:58,960 --> 00:02:02,760 Speaker 1: big Italian investors has had coordinated actions to seize control 40 00:02:02,840 --> 00:02:07,240 Speaker 1: of Mediobanker, with the ultimate goal of being to control Generale, 41 00:02:07,280 --> 00:02:10,480 Speaker 1: which is Italy's biggest insurer, and so a key step 42 00:02:10,480 --> 00:02:13,200 Speaker 1: in that plan was the purchase last year of a 43 00:02:13,280 --> 00:02:16,760 Speaker 1: Montepesci stake by the Italian government, and that is part 44 00:02:16,760 --> 00:02:20,520 Speaker 1: of a process that prosecutors have described as orchestrated and 45 00:02:20,720 --> 00:02:25,080 Speaker 1: lacking in transparency. And so this probe into this alleged 46 00:02:25,120 --> 00:02:31,160 Speaker 1: market manipulation is risking delaying the integration of Mediobanker and Montepesci, 47 00:02:31,200 --> 00:02:33,959 Speaker 1: which is already a process that's facing quite a lot 48 00:02:34,120 --> 00:02:37,400 Speaker 1: of challenges because the business models are already so different. 49 00:02:37,480 --> 00:02:40,800 Speaker 1: So this is just an additional obstacle there. And as 50 00:02:40,840 --> 00:02:42,840 Speaker 1: I have said that the merger was already in an 51 00:02:42,840 --> 00:02:46,519 Speaker 1: elevated risk of failing even before the investigation, and now 52 00:02:46,560 --> 00:02:48,480 Speaker 1: this is making it a lot more worse. So we're 53 00:02:48,560 --> 00:02:50,919 Speaker 1: just kind of a wait now for more details on 54 00:02:50,960 --> 00:02:51,880 Speaker 1: this as it comes. 55 00:02:52,720 --> 00:02:55,160 Speaker 3: Okay, and chares in the bank down two point eight 56 00:02:55,240 --> 00:02:58,920 Speaker 3: percent at the moment. Turning to air bos next and 57 00:02:58,919 --> 00:03:01,240 Speaker 3: an updates from the plane maker this morning after that 58 00:03:01,360 --> 00:03:02,280 Speaker 3: software glitch. 59 00:03:02,840 --> 00:03:05,160 Speaker 1: Yes, there's been quite a weakness in the shares this 60 00:03:05,200 --> 00:03:09,040 Speaker 1: morning after this disruption over the weekend. So the software 61 00:03:09,120 --> 00:03:12,959 Speaker 1: update for A three twenty aircraft required an urgent fix 62 00:03:13,040 --> 00:03:17,040 Speaker 1: because it left flight controls vulnerable to cosmic radiations, and 63 00:03:17,080 --> 00:03:19,640 Speaker 1: so that meant that airlines had to rush this weekend 64 00:03:19,680 --> 00:03:22,760 Speaker 1: to fix this to avoid grounding during what was obviously 65 00:03:22,760 --> 00:03:26,720 Speaker 1: a very busy Thanksgiving period, and most airlines actually managed 66 00:03:26,760 --> 00:03:29,239 Speaker 1: to fix things fairly quickly, and Ebers said this morning 67 00:03:29,280 --> 00:03:33,000 Speaker 1: that the vast majority of aircraft had received that necessary 68 00:03:33,040 --> 00:03:35,839 Speaker 1: modification over the weekend, that there were very few now 69 00:03:35,880 --> 00:03:39,440 Speaker 1: that were left to fix, but it's still quite a setback, 70 00:03:39,480 --> 00:03:42,600 Speaker 1: and that created some delays and also raised questions about 71 00:03:42,640 --> 00:03:46,720 Speaker 1: whether that software update was rolled out without the appropriate safeguards. 72 00:03:46,720 --> 00:03:50,040 Speaker 1: And Ebbus has been benefiting from a reputation of safety, 73 00:03:50,160 --> 00:03:53,600 Speaker 1: especially in contrast with Boeing and its well documented issues, 74 00:03:54,200 --> 00:03:56,440 Speaker 1: so that weakness in those shares this morning is not 75 00:03:56,480 --> 00:04:01,360 Speaker 1: surprising given the widespread issues that came from this from 76 00:04:01,440 --> 00:04:02,240 Speaker 1: this software update. 77 00:04:03,440 --> 00:04:07,680 Speaker 2: The Stockmover's report from Bloomberg Radio. 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