(Alliance News) - The following stocks are the leading risers and fallers among London Main Market small-caps on Wednesday.
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SMALL-CAP - WINNERS
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Superdry PLC, up 26% at 54.56 pence, 12-month range 36.85p-168.00p. The clothing retailer says it will establish an intellectual property joint venture in India in collaboration with Reliance Brands Holding UK Ltd, a company that partners with clothing firms and luxury goods sellers. Will sell its intellectual property assets, including its brand and related trademarks in India, Sri Lanka and Bangladesh to the joint venture vehicle for GBP40.0 million. Superdry will hold a 24% stake in the JV, with Reliance Brands holding the remaining 76%. Superdry anticipates gross proceeds of GBP30.4 million from the sale, which it will use to improve its balance sheet and liquidity and fund its ongoing working capital requirements as part of its turnaround plan.
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SMALL-CAP - LOSERS
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XP Power Ltd, down 8.4% at 916.00 pence, 12-month range 900p-2,750.00p. The company extends losses from the past two days, after it warned that third-quarter trading was below expectations. On Monday, the Singapore-based manufacturer of power controllers said: "The economic uncertainty in China has also led to a reduction in demand in that market. These conditions are likely to continue for the remainder of the year, leaving the outlook below our prior expectation, with operating profit for the year ended 31 December 2023 now expected to be broadly similar to last year." XP Power believes third-quarter revenue is 2% lower at constant currency on-year at GBP75 million. The stock is down 61% over the past five days.
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By Elizabeth Winter, Alliance News senior markets reporter
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Superdry (SDRY)
Xp Power (XPP)
