Investors marking time until key summit, and Philip Green-backed MySale puts itself up for sale

“The FTSE 100 was flat in early trading on Monday with the potential catalysts not scheduled until this coming Friday when the G20 summit is held,” says AJ Bell Investment Director Russ Mould.

“All the attention will be on Donald Trump and his Chinese counterpart Xi Jinping and whether they can dial down the mood music on trade which of late has been set at death metal levels.

“The outcome could help set the tone for the markets over the remainder of the summer."

MySale / Philip Green / Mike Ashley

“In an everything-must-go bonanza unlikely to attract the sort of interest its ‘flash’ sales are used to, troubled online retail play MySale has put itself on the shelf with the hope of attracting a buyer.

“Flash sales are time-limited sales events in which fashion, beauty and homeware products are offered to a closed member base. Customers get access to leading brands at low prices, while firms have an avenue to dispose of excess stock at a discount.

“This seems like it could be a winning proposition, but it is one on which MySale has failed to execute.

“Given Mike Ashley’s appetite to own even the most beaten-up retail vehicles, think Debenhams or House of Fraser, the fact the Sports Direct owner put his holding on the scrapheap last month should have been a clear warning sign that MySale was in trouble.

“Today’s news is the culmination of a steady decline which has seen the business go from a £340m valuation at its listing in 2014 to a little over £10m before the shares were suspended.

“The company exited the UK market earlier this year and its core Australian business has been hit by changes in regulation.

“Fellow retail tycoon Philip Green continues to hold a large stake in the company but probably has enough on his plate rescuing Arcadia to come to MySale’s rescue.”

These articles are for information purposes only and are not a personal recommendation or advice.

The daily market update is written by Russ Mould, AJ Bell’s Investment Director and his team. The article highlights the movement in the main index, winners and losers on the day and any macro-economic announcements.