2.17pm:Hargreaves Lansdown falls on legal action
Hargreaves Lansdown PLC (LSE:HL.), the wealth platform that handles $122bn in assets under management, is facing a multimillion-pound lawsuit for promoting Woodford Equity Income (WEIF), the failed fund of one-time star manager Neil Woodford.
Hargreaves Lansdown is accused of promoting WEIF up to the fund’s collapse in October 2019, despite allegedly knowing about liquidity and portfolio imbalance issues as far back as 2017.
The fund’s corporate director Link Fund Solutions (LFS) is also in the crosshairs of the legal action.
Today also brought the news that Hargreaves' chief executive officer Chris Hill will step down after five years in the role.
Shares in the company fell 3.72p to 781.80p.
12.02pm: ITV rises on disposal hopes
Shares in ITV PLC jumped 8.7% to 67.25p lifted by a Financial Times report that it is considering selling a stake its production arm ITV Studios.
Britain's biggest free-to-air commercial broadcaster has recently fielded expressions of interest in ITV Studios, the report said citing people familiar with the discussions.
ITV Studios makes programmes such as "Love Island" and "Coronation Street" and is one of the largest producers in Europe. Some analysts say the business could be worth more than its parent company's 2.5 billion pound ($2.82 billion) market capitalisation.
9.02am: Asos slumps on funding concerns
ASOS PLC (LSE:ASC) (ASOS PLC (LSE:ASC)) slumped 7.75% following reports that Allianz Trade had reduced its insurance cover for the group’s suppliers by more than half which could force Asos to pay for products up-front, tightening the squeeze on the company's cashflow.
Sky News reported on Sunday that the retailer was facing deepening troubles after its biggest lenders hired advisers in a move that could pave the way for a formal financial restructuring.
Sky said it has learnt that the London-listed company, which is due to report its full-year results to the City on Wednesday, recently approached the banks behind its £350m lnrevolving credit facility to seek an amendment to its borrowing agreements.
The company responded today by confirming that it was in the final stages of agreeing an amendment to its revolving credit facility.
“This action will give ASOS significantly increased financial flexibility, against the uncertain economic backdrop. ASOS retains a strong liquidity position and this is a prudent step in the current environment,” the company said.