WEBVTT - Hugo Boss Offer, Wizz Air Wipeout, ASML Cuts 

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio News, The.

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<v Speaker 2>Stock Movers Report, your roundup of companies making moves in

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<v Speaker 2>the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Let's take a look at some stocks on the move

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<v Speaker 3>today in Europe. I'm Stephen Caralworth, Caroline Hepker, and we're

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<v Speaker 3>joined by Bloomberg's Breaking News editor Louise Moon. Luise, good morning.

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<v Speaker 3>Someone is looking to be the new boss of Hugo.

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<v Speaker 1>Boss, indeed, and it is Mike Ashley's Frases Group in London.

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<v Speaker 1>Here in London, so they offered two billion euros to

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<v Speaker 1>buy the remainder of Hugo Boss. Obviously, over in Germany,

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<v Speaker 1>they already own about twenty six percent of Hugo Boss,

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<v Speaker 1>but they want to buy the rest out so they

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<v Speaker 1>currently sell so obviously, Frases Group is the owner of

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<v Speaker 1>sports Direct and a host of other brands as well,

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<v Speaker 1>and they sell Hugo Boss already online and in stores.

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<v Speaker 1>But full ownership will obviously give it control of a strategy,

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<v Speaker 1>capital allocation, etc. For Hugo Boss. It comes as it's

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<v Speaker 1>trying to turn itself around. They've seen softer demand in China,

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<v Speaker 1>quite a bit of weakness in their women's wear sector,

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<v Speaker 1>and then for Frasers Group, it's you know, partly they've

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<v Speaker 1>been turning slightly more premium or a bit more of

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<v Speaker 1>a focus on premium, and it's also part of their

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<v Speaker 1>kind of ongoing playbook that we've been seeing over the years.

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<v Speaker 1>They've got quite a reputation of growing steakes and businesses

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<v Speaker 1>trying to buy out other retailers. There's frequent clashes. You've

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<v Speaker 1>seen them class recently, for example, with Boohoo quite a lot,

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<v Speaker 1>and actually with Hugo Boss over the past year or so,

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<v Speaker 1>there have been quite a few clashes. They're not convinced about,

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<v Speaker 1>you know, some of their decisions. So for example, last

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<v Speaker 1>year they threatened to vote against the proposed dividend, arguing

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<v Speaker 1>that cash should instead be invested for growth, for longer

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<v Speaker 1>term growth. Says they've already seen some clashes and now

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<v Speaker 1>trying to take that full ownership. An interesting note from

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<v Speaker 1>bluemogon intelligencying it's not that obvious what phrases could do

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<v Speaker 1>to make that recovery for Hugo Boss faster, and also

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<v Speaker 1>saying on on a kind of a separate point that

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<v Speaker 1>it seems a bit opportunistic and it's unlikely that shareholders

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<v Speaker 1>will accept it given the small premium in terms of

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<v Speaker 1>the offer price. Hugo Bos shares up as much as

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<v Speaker 1>seven percent in Germany, phrases actually falling in London. So

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<v Speaker 1>we'll keep an eye that if this happens. But as

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<v Speaker 1>I say, it's quite a Mike Ashley kind of playbook

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<v Speaker 1>to put pressure on brands to try and buy them up.

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<v Speaker 4>Yes, I'm surely opportunistic. Is kind of is very much

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<v Speaker 4>part of the brand, isn't it for for Mike Ashley?

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<v Speaker 4>And in terms of yeah, style of business. But look

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<v Speaker 4>what about Wizair. I've been thinking a lot about oil

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<v Speaker 4>prices today and how this is affecting well, so many industries,

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<v Speaker 4>but including airlines.

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<v Speaker 1>What's been happening, Yeah, so withz I mean kind of

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<v Speaker 1>again just demonstrating that, really demonstrating how much the war,

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<v Speaker 1>the rise and oil prices, the rise and fuel costs

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<v Speaker 1>is upending the aviation sector. So if you look at

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<v Speaker 1>their profits, they slumped down to two point two million euros.

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<v Speaker 1>That's compared to two hundred and twenty five or two

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<v Speaker 1>hundred twenty six almost million euros a year earlier, So

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<v Speaker 1>a massive slump there has to be said, though it

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<v Speaker 1>is better than expected. They were expected to come in

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<v Speaker 1>profits were expected well, it was about to have a

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<v Speaker 1>big loss essentially, so they've missed that, but but profit's

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<v Speaker 1>still slumped, so showing that impact. Obviously, you know, as

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<v Speaker 1>it's been said many times, fuel costs are higher high affairs.

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<v Speaker 1>As a result, bookings, people are kind of holding off bookings,

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<v Speaker 1>particularly in the peak summer season. And obviously no resolution

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<v Speaker 1>yet in the Middle East, so there's no end in

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<v Speaker 1>sight to and there's kind of a lack of visibility,

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<v Speaker 1>and that's what WIZ has been saying this morning, saying

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<v Speaker 1>that because of that that lack of visibility, they're not

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<v Speaker 1>giving an outlook for the full year, the next full

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<v Speaker 1>year coming. Despite you know, that kind of bad news

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<v Speaker 1>that negativity shares actually rose this morning. It's as much

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<v Speaker 1>as five percent. Focus being that they didn't hit they

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<v Speaker 1>didn't make a loss, They made that profit, even if

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<v Speaker 1>it was a small profit, particularly compared to last year,

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<v Speaker 1>so focusing on that. Analysts are saying also that there's

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<v Speaker 1>signs of normalization in consumer confidence. They gave some solid

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<v Speaker 1>revenue guidance for the first quarter of next year, despite

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<v Speaker 1>not giving a full outlook, and the CEO is on

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<v Speaker 1>bloombog TV this morning kind of vowing to take advantage

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<v Speaker 1>and push for growth in the market. So it's still

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<v Speaker 1>lots of risks ahead, but some glimmers there that shares

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<v Speaker 1>are reacting.

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<v Speaker 3>On okay, and just briefly then on ASML cutting back

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<v Speaker 3>on jobs.

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<v Speaker 1>Yes, they are cutting back on jobs, but now fewer

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<v Speaker 1>job cuts than planned before of negotiations with trade unions.

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<v Speaker 1>So in January they announced plans to cut about thy

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<v Speaker 1>seven hundred jobs, which is about four percent of their

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<v Speaker 1>overall staff. The new figure isn't exactly known, but they're

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<v Speaker 1>saying it's going to be a lot less than a thousand,

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<v Speaker 1>so shares reacting on the back of that into the

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<v Speaker 1>green leading tech gings across Europe.

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<v Speaker 2>The Stock Movers report from Bloomberg Radio. Check back with

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