STOCK WATCH:  Ryanair and easyJet go to court; Rivals bid for Just Eat; Brother acting Cleverley

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STOCK WATCH: Ryanair and easyJet go to court; Rivals bid for Just Eat; Brother acting Cleverley

By Jamie Nimmo For The Financial Mail On Sunday

Published: | Updated:

All airline industry eyes will be trained on Dublin tomorrow when the Irish High Court is due to rule on a bitter legal spat between Michael O’Leary’s Ryanair and easyJet.

The row centres on Peter Bellew, Ryanair’s departing chief operations officer, who was poached by easyJet chief executive Johan Lundgren in the summer.

Ryanair is trying to prevent Bellew from joining its bitter rival next month.

EasyJet

The legal row between Ryanair and EasyJet centres on Peter Bellew, Ryanair’s departing chief operations officer, who was poached by easyJet chief executive Johan Lundgren in the summer. Ryanair is trying to prevent Bellew from joining its bitter rival next month

The Irish airline argues that Bellew – formerly the chief executive of Malaysia Airlines – is contractually blocked from starting at a competitor within 12 months of leaving Ryanair.

In a fraught legal battle, Bellew accused O’Leary of bullying him to stay.

In return, O’Leary denied any bullying and accused his former employee of underperformance in the boardroom – by comparing him unfavourably with a star goalscorer at his favourite football team, Manchester City. ‘If I am hiring Sergio Aguero,’ he told the court, ‘I expect him to score goals. I don’t expect to have to show him which side of the goal to shoot at!’

Battle over Just Eat near its end 

The £5billion battle for control of Just Eat appears to be nearly over after Dutch firm Takeaway.com outbid its rival Prosus last week in the final round.

Takeaway.com needs only a few more shareholders to agree to its deal to get it over the line before the January 10 deadline.

Most shareholders have been quids-in, but one investment firm appears to have lost out.

Little-known Hong Kong outfit Sylebra Capital built up a short position of more than 1 per cent of Just Eat’s shares by October.

It began to reduce this when the bidding battle came but its bet against Just Eat is still worth about £34million. 

Block Commodities

Tory chairman James Cleverly is probably still celebrating his party’s Election win but his cousin Chris Cleverly has a vote of his own this week.

Chris runs Block Commodities, a business listed on London’s NEX Exchange that focuses on African agriculture but with a blockchain twist. However, Chris has big plans. He wants to turn the firm into a so-called ‘pot stock’ importing medicinal cannabis from Africa.

He needs shareholder approval in Guernsey on Friday to expand the strategy to include ‘opportunities in the medicinal cannabis, CBD wellness and hemp sectors’.

Christmas Blues

Investors will hope that the ‘Santa rally’ – when shares traditionally surge in the run-up to Christmas – will continue this week.

However, retail shares could suffer if there are signs that sales in the run-up to Christmas have been underwhelming.

Several blue-chips, such as BT and British American Tobacco, also go ‘ex-dividend’ on Christmas Eve, which could hit the Footsie.

If a company’s share price dives after it goes ex-dividend then it often suggests that shareholders only hung around to get the latest payout, and are doubtful about its prospects. 

Contributor: William Turvill

 

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