boohoo Group PLC (LON:BOO) is making “tangible” steps forward on the change agenda, said JP Morgan, following last week’s “reassuring” update.
The fast-fashion retailer its UK supplier list for the first time, along with the second report from Sir Brian Leveson, who is providing independent oversight on the group’s plans to improve governance.
READ: boohoo cleans up UK supply chain but still ‘miles behind’ competitors, experts say
It also announced the launch of a new sustainability strategy, called ‘UP.Front Fashion Ready for the Future’.
The investment bank said the UK supplier list publication is a key milestone because it adds transparency, protects against unauthorised subcontracting and enables a much tighter grip on standards.
It added that recent investor feedback is that Governance remains a key question, particularly given that boohoo’s Chairman is an Executive rather than independent.
The AIM-listed firm has appointed Shaun McCabe as a new non-executive director and looks to add another one with ESG experience to balance the board.
“With around 40% of the Levitt recommendations now implemented (and the majority of the rest in progress), we believe that boohoo is on the right path to start rebuilding confidence,” analysts commented.
“The report is not only reassuring in tone, but encouraging on boohoo’s progress.”
Shares rose 1% to 340.08p on Monday morning.