Primark and the sister food group within Associated British Foods would likely each be in the FTSE 100 if ABF proceeds with a demerger. Photograph: Danny Lawson/PA
This week, investors channelled their best version of Vogue Magazine supremo Anna Wintour, as Associated British Foods (ABF) paraded a plan to split its fast-fashion Primark unit – Penneys in Ireland – from its food business down the London City runway.
Far from the usual share price bump that listed conglomerates typically get by unveiling plans to spin off a business, ABF’s stock had fallen as much as 5 per cent a little over 24 hours after the announcement, as the market digested the landmark proposal. They ended the week lower, too.
[ Penneys owner ABF explores spinning off fashion chainOpens in new window ]
The initial critic reviews are in – and they’re not exactly gushing.
“[A] separation is unlikely to swing t
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