Speaker 1: Bloomberg Audio Studios, Podcasts, radio News, The.
Speaker 2: Stock Movers Report, your roundup of companies making moves in
Speaker 2: the stock market, harnessing the power of Bloomberg Data.
Speaker 3: Well, let's take a look at some stocks on the
Speaker 3: move today in Europe. I'm Stephen Carroll and I'm joined
Speaker 3: by Bloomberg reporter Chloe Melee. Chloe, good morning. Let's start
Speaker 3: with the worst performing share on the stock six hundred
Speaker 3: this morning, the French train maker Alsom, down twenty six
Speaker 3: percent at the moment.
Speaker 1: Yeah, not a good time, not a good day at
Speaker 1: all for Alstom.
Speaker 4: So the chas plunged, as you said, massively this morning,
Speaker 4: and it is because it withdrew its guidance. And the
Speaker 4: reason it gave is that there are some projects for
Speaker 4: railway rolling stock, which it means trains essentially are facing
Speaker 4: some really big delays and so that means lower margins
Speaker 4: and cash for the company and that really impacts the outlook.
Speaker 4: And Awsome didn't actually clarify which projects or in which
Speaker 4: regions that was affected, but we know that it has
Speaker 4: been dealing with really slow progress with a UK project
Speaker 4: called Aventra, which is actually Elizabeth Lion Trains and that's
Speaker 4: a contract it inherited from its acquisition in twenty twenty
Speaker 4: one of a Canadian rival, and it has seen quite a
Speaker 4: lot of delays and took a lot of different measures
Speaker 4: in the last few years to kind of shore up
Speaker 4: debt as a result of that deal.
Speaker 1: So we know that there's issues there.
Speaker 4: But then the rest of it is a little unclear.
Speaker 4: And of course market, the market reacted very negatively this
Speaker 4: morning to the company kind of pulling guidance all together
Speaker 4: rather than just cutting it. So and this are talking
Speaker 4: of a lack of cash, discipline and inconsistent execution as well.
Speaker 4: So it's probably going to take a lot for Alstom
Speaker 4: to get back on.
Speaker 3: Track, back on track, Well, don't know. Let's turn to
Speaker 3: office with unintentional or was that ye see, I mean
Speaker 3: big magic. Let's turn to a company in London their
Speaker 3: workspace warning of a profit squeeze.
Speaker 1: Yeah.
Speaker 4: So, having also very tough morning today, it said it
Speaker 4: faces a substantial profit squeeze because of higher costs, lower
Speaker 4: rents and of course the world on everybody's lips, which
Speaker 4: is macro uncertainty. And it said that because of those pressures,
Speaker 4: it was forced to cut its dividend, and if we
Speaker 4: know anything about shareholders is that they obviously like their
Speaker 4: shareholder return, so that was not taken very well this morning.
Speaker 4: This puts really additional pressure on that company because it's
Speaker 4: already the target of the activist investor Saba Capital Management,
Speaker 4: and the new CEO is essentially trying to reposition the
Speaker 4: business and trying to make it as the budget landlord
Speaker 4: of choice for London startups and small businesses. But he
Speaker 4: worn that, you know, that would have a short term
Speaker 4: hit on performance, and the problem is that those London
Speaker 4: small businesses are suffering at the moment from a really
Speaker 4: difficult economic outlook and from higher taxes. So if there's
Speaker 4: one thing that they might come back on is that
Speaker 4: kind of flexible office space.
Speaker 1: So Workspace does have.
Speaker 4: A plan, but it might take time to kind of
Speaker 4: deliver on it, and in the meantime, those shares are really.
Speaker 1: Taking a hit this morning.
Speaker 3: Yeah, I certainly are to some more upbeat news then
Speaker 3: Adalyas say they're baffled by a major share sale Delivery
Speaker 3: Hero Why.
Speaker 4: Yeah, so Uber has raised its steak and delivery Hero
Speaker 4: essentially purchasing a four point five percent steak from the
Speaker 4: biggest shareholder and Delivery Hero, which is Process, and that
Speaker 4: amounts about two hundred and seventy million euros. And that's
Speaker 4: part of the process of a Process selling down at
Speaker 4: steak in Delivery Hero, which was required by European antitrust
Speaker 4: authorities after it completed. It still for just Eat, which
Speaker 4: obviously is a direct kind of rival, and the shears
Speaker 4: are rising this morning. But as you mentioned, one analyst
Speaker 4: has said that he was baffled by the actions from
Speaker 4: Process because he said there was no imminent pressure to
Speaker 4: sell and they could have been a better price if
Speaker 4: they had been a little more patient.
Speaker 1: That's quite interesting.
Speaker 4: Process is also said to be considering selling a ten
Speaker 4: percent steak to Aspects Management, which would make Aspects the
Speaker 4: new biggest shareholder, and that would have major implications for
Speaker 4: Delivery Hero, given that Aspects has been threatening to try
Speaker 4: and replace the Delivery Hero management if it doesn't try
Speaker 4: and push ahead with the sell of more assets.
Speaker 1: And so there's quite a lot of happening with a
Speaker 1: Delivery Hero.
Speaker 4: We'll be getting some news, some earnings and news as
Speaker 4: well a little bit later this month, so definitely a
Speaker 4: stock to watch out for.
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