Frasers Group is facing a demotion from the FTSE 100 as shares continue to slide amid its ongoing feud with Boohoo Group.
Shares in the retail giant have plunged more than 10% in the past three months giving it a market cap of £3.3bn, and is expected to drop down into the FTSE 250 next week, according to the quarterly announcement of provisional changes to the index.
The Sports Direct owner returned to the London Stock Exchange’s blue-chip gauge in 2022 following a six-year absence.
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Frasers Group has unsettled the market amid its ongoing feud with Boohoo Group. Its latest open letter calling for the fashion giant to replace its chair with Mike Ashley saw its shares slip near 5%.
The group, which owns a 27% stake in the fashion business, said “the chaos at Boohoo must end” and that its chair Mahmud Kamani “must go”.
Frasers’ relegation from the FTSE 100 is also being joined by B&M, whose shares have plunged 21% in the past three months. The discount chain now has a market cap of £3.4bn.
The retailer reported its adjusted operating profit fell 1.8% to £258m in the six months to 28 September as it faced higher costs following an increase in stores and investment in its supply chain in France.
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