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Proactive UK has moved.
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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Retail

Sosandar slumps as growth plan spooks investors

A move away from price promotions is part of the plan

Sosandar (AIM:SOS) dropped by almost 25% as investors reacted coolly to interim losses and a decision by the online womenswear retailer to go omnichannel and open its own stores.

Aim-listed Sosandar (AIM:SOS) is also going international with agreements with The Iconic in Australia and The Bay in Canada to begin selling online later in this fiscal year.

Funding for these initiatives will come from internal resources, it said, with a move away from promotions also part of the plan and full pricing to be introduced by Spring 2024.

That is likely to have a short-term impact on sales, it added, though it expects to still grow and be profitable.

Revenues in the six months to end September 2023 rose 6% to £22.3 million while there was a pre-tax loss of £1.3 million.

Shares fell 24.5% to 13.40p in early trade.

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