Frasers Group launches £80m share buyback, Hill & Smith acquires Enduro Composites

London open

The FTSE 100 is expected to open 26 points higher on Monday, having closed down 0.1% on Friday at 8,004.36.

Stocks to watch

Retailer Frasers Group on Monday said it was starting an £80m share buyback. Frasers, controlled by Mike Ashley and owner of Sports Direct, said the repurchase would be used to reduce the company’s share capital, adding that it would run until April 30.

Hill & Smith announced the completed acquisition of Enduro Composites on Monday, for $35m (£29.05m) in cash. The FTSE 250 company said Enduro designs, manufactures and supplies engineered composites for the industrial and infrastructure sectors, with products used in applications requiring strength, light weight, and corrosion resistance. It said the acquisition would expand its customer base, product range, and manufacturing facilities, and was expected to be earnings-enhancing in 2023.

Newspaper round-up

Nearly 15,000 British retail jobs have already been cut since January in a “brutal start to the year” for the high street. A total of 14,874 retail job losses have been announced by companies so far, according to analysis from the Centre for Retail Research (CRR). – Guardian

Online chatbots such as ChatGPT will be regulated under new internet legislation, the Government has confirmed. Lord Parkinson, a junior minister in the department for culture, media and sport, said artificial intelligence bots would be covered by the Online Safety Bill, which is currently going through parliament. – Telegraph

Facebook’s parent company Meta has launched a paid-for subscription service for the first time as it struggles with falling advertising revenues. Mark Zuckerberg, founder and chief executive, said Meta Verified will cost users $11.99 (£9.96) a month and include extra features such as verified accounts and increased security. – Telegraph

Zopa does not need to focus on profitability “at all costs” in pursuit of an initial public offering, an investor and former board member of the bank has said. The digital-only lender has long said that reaching profitability would be a precondition for floating the business, and it was on track for that target during the final quarter of last year. – The Times

HM Revenue & Customs “prioritised” payouts under a high-risk tax credit scheme to boost small businesses during the pandemic before having to pause claims due to abuse and fraud. The £6.6 billion research and development (R&D) tax credit scheme forms a key part of the government’s industrial strategy by supporting innovative companies, but an investigation by The Times last year revealed that businesses were putting in “spurious” claims for projects such as vegan menus and staff performance reviews. – The Times

US close

Stocks in the US closed in a mixed state on Friday, with the Dow Jones Industrial Average up 0.39% at 33,826.69.

The S&P 500 was meanwhile down 0.28% at 4,079.09, and the Nasdaq Composite lost 0.58% to 11,787.27.