Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: The Stock Movers Report, your roundup of companies making moves
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.
Speaker 3: Let's take a look at some of the stocks on
Speaker 3: the mid Day and Europe. I'm James Wilcock with Caroline Hepker,
Speaker 3: and we are joined by Bloomberg reporter Chloine Melee Cloy.
Speaker 3: Let's start with fashion topic, clothes of both of our hearts.
Speaker 3: The well known brand Hugo Boss is in the spotlight today.
Speaker 3: Tell us more.
Speaker 1: Yeah, so there's a bit of takeover interest in Hugo Boss.
Speaker 1: So Frasers, which owns brands like Sports Direct, house a
Speaker 1: Fraser Jack Wills already has a stake of about twenty
Speaker 1: six percent in Hugo Boss and has essentially offered to
Speaker 1: buy the rest of it. And so this is an
Speaker 1: unsolicited offer, and Hugo Boss has said that it would
Speaker 1: review it. But and List seem to be saying that
Speaker 1: this is actually quite unlikely to actually happen. This deal
Speaker 1: so JP Morgan and List said the offer was not
Speaker 1: particularly attractive, and Bloomberg Attendents and List said that the
Speaker 1: move was opportunistic and probably will not be accepted by
Speaker 1: shareholders because of the very small premium, so we're talking
Speaker 1: about a four percent premium on the closing price. It's
Speaker 1: also not just a matter of money. It's really unclear
Speaker 1: how Frasers would be able to actually help Yugo Boss
Speaker 1: with its ongoing turnaround. But overall it's not surprising that
Speaker 1: Frasers is doing this. It has a reputation for taking
Speaker 1: stakes in retailers and trying to influence bought decisions and
Speaker 1: the direction that the company is taking. Has done that
Speaker 1: with Booho for example, but with Yugo Boss it's actually
Speaker 1: very unlikely that we'll see, at least at this price,
Speaker 1: a deal actually happening. But in the meantime, Hugo Boss
Speaker 1: shares have seen a bit of a boost on the
Speaker 1: back of that.
Speaker 4: Yeah, it's been really interesting journey for Phrasers Group as
Speaker 4: it has hoovered up, you know, names on the UK
Speaker 4: high street and sort of is quite a dominant player
Speaker 4: now in terms of director consumer sales. I mean yes
Speaker 4: in the sports where, but how they've expanded that into luxury.
Speaker 4: I think it's a really sort of interesting UK high
Speaker 4: street story. I mean, Britain's had a lot of individual
Speaker 4: kind of retail leaders in terms of building retail empires
Speaker 4: based on one person or one family. Anyway, let's think
Speaker 4: about Standard Charter what's the story there.
Speaker 1: Yeah, so the stand Chartered had seed some weakness recently
Speaker 1: because there's been growing concerns around Chinese authorities looking to
Speaker 1: restrict flows and wealth flows from mainland China into Hong Kong.
Speaker 1: And so this is something that would affect banks like
Speaker 1: Standard Chartering in HSBC because they have this big presence
Speaker 1: in Asia and in China in particular. So under the
Speaker 1: new regulation that's being proposed, new investment accounts from mainland
Speaker 1: Chinese clients would go into deposit accounts rather than some
Speaker 1: more lucrative investment products. And so this is something that
Speaker 1: could potentially affect earnings for HSBC and Standard Chartered. And
Speaker 1: it was really seen as a reminder that the wealth
Speaker 1: opportunity in China does have some limitations. But today we
Speaker 1: had JP Morgan analysts actually saying that the sell off
Speaker 1: now creates a compelling entry point for those shares that
Speaker 1: we're seeing that stock rebound on the back of that,
Speaker 1: but we're probably going to see investors remain quite cautious
Speaker 1: on those banks until we get a bit more clarity
Speaker 1: on that regulation.
Speaker 3: And finally, glory tech firm Halma announcing its latest set
Speaker 3: of earnings this morning. How we're investors taking it?
Speaker 1: Yeah, So Hama a slightly niche name. So it's essentially
Speaker 1: a group of companies that make what they call life
Speaker 1: saving technologies. So what that means is things like hazard detectors,
Speaker 1: building sensors, air quality monitors, etc. So it's a company
Speaker 1: that has been doing really well recently. We've seen shares
Speaker 1: really steadily climbing up until today where we've seen quite
Speaker 1: a big drop. And so the issue seems to be
Speaker 1: quite cautious guidance in one area of the business, which
Speaker 1: is the photonics business. So photonics being the optical version
Speaker 1: of electronics about the generation manipulation of light. And that
Speaker 1: photonics business has had been a really bright spot for
Speaker 1: quite a while now because it essentially supplies data center
Speaker 1: customers and they because they need things like high speed
Speaker 1: optical infrastructure for air applications, and so of course, any
Speaker 1: indication of a potential slowdown in something that is related
Speaker 1: to AI to data centers, that's usually taken quite negatively.
Speaker 1: And so this slightly conservative guidance has been reacted to
Speaker 1: in that way for Holmer, but Morgan Stanley Aliss did
Speaker 1: say that it could be just quite a conservative guidance
Speaker 1: and could be actually boosted throughout the year.
Speaker 2: So we'll see the stock movers report from Bloomberg Radio.
Speaker 2: Check back with us throughout the day for the latest
Speaker 2: roundup of companies making news on Wall Street and for
Speaker 2: the latest market moving headlines. Listen to Bloomberg Radio Live,
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