Tag: SFH

Is this a last gasp attempt to remain in the game?

Shares in Specialty Fashion Group continued to fall yesterday after the big slide Wednesday off the back of an early earnings downgrade that halved its estimated first half trading profit.

Specialty Fashion shares plunged yesterday after it confirmed that a $135 million indicative takeover proposal from Al Alfia Holdings, an investment company controlled by the Qatari royal family, was unlikely to proceed.

Specialty Fashion (SFH) shares fell 6% at one stage yesterday yesterday in spite of a solid rebound in profit because doubt has emerged over the $135 million takeover offer from a company associated with the Qatari Royal family.

Shares in Specialty Fashion Group (SFH), the owner of Katies and Millers womens’ clothing chains, soared 26% after it received a surprise takeover offer from a Middle Eastern investment company.

Shares in budget clothing retailer Specialty Fashion surged to a near year high yesterday of 70 cents after it reported a surprisingly good interim financial report.

It’s another example where takeovers destroy value and cause problems out of proportion to the claimed benefits.

Investors took a set against Specialty Fashion (SFH) yesterday after the Sydney-based women’s fashionwear group revealed a sharp rise in sales (from the purchase of the Rivers chain during the year), but a dip in earnings.