No Littlewoods deal, says Lanica

Shares in Lanica Trust, formerly New Guernsey Trust, are set to fall sharply this morning after the shell company vowed to remain an investment trust rather than become a vehicle for listing Littlewoods' retail businesses.

Speculation about a big deal between Lanica, run by 31-year-old dealmaker Andrew Regan, and privately owned Littlewoods, the Liverpool-based pools and department store group, sent the share price soaring from 137p to as high as 2050p in the past three months.

But in an after-hours statement issued to the Stock Exchange, Lanica said it knew of no reason for the substantial increase in its share price in recent months.

It added: "Lanica has managed and will continue to manage its investment portfolio in accordance with the listing rules in respect of investment companies and in accordance with the investment policy set out in the offer document for the company."

Lanica cannot invest more than 20 per cent of its gross assets in any one investment, the statement continued.

Last night shares in Lanica closed 125p lower at 1550p, still way above the 203p per share paid by Mr Regan when he took control late last year. They have been on the slide for more than a week since Littlewoods denied rumours of an important link, worth up to pounds 1bn, with Lanica.

Littlewoods was said to be interested in reversing its mail order and high street businesses into Lanica to gain a stock market listing.

Instead Littlewoods revealed it was discussing a small deal to supply Lanica with goods and infrastructure for a mail order business due to be launched for the armed forces.

Earlier this week Littlewoods paid pounds 390m to buy the Freemans mail order business from Sears, the Selfridges-to-shoes group.

Mr Regan, son of Roger, the company doctor at kitchen and bathrooms group Spring Ram, paid pounds 4.06m in cash for New Guernsey after mounting an unsolicited bid last October. The company was later renamed Lanica Trust.

He made his name using a vehicle called Hobsons to buy the Co-Op's food manufacturing arm.

Hobsons was then sold to Hillsdown Holdings for pounds 121m in 1995.

At Lanica, Mr Regan has already clinched a mail order deal with Naafi, the armed forces' trading company, to sell non-food items to almost 250,000 service personnel.

Start your day with The Independent, sign up for daily news emails
  • Get to the point
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Claims Administrator

£16000 - £18500 per annum: Recruitment Genius: This is an excellent opportunit...

Recruitment Genius: Senior SEO Executive

£24000 - £28000 per annum: Recruitment Genius: A Senior SEO Executive is requi...

Recruitment Genius: Online Customer Service Administrator

£16000 - £18000 per annum: Recruitment Genius: An Online customer Service Admi...

Recruitment Genius: Digital Marketing Executive

£18000 - £22000 per annum: Recruitment Genius: This global, industry leading, ...

Day In a Page

'It was first time I had ever tasted chocolate. I kept a piece, and when Amsterdam was liberated, I gave it to the first Allied soldier I saw'

Bread from heaven

Dutch survivors thank RAF for World War II drop that saved millions
Britain will be 'run for the wealthy and powerful' if Tories retain power - Labour

How 'the Axe' helped Labour

UK will be 'run for the wealthy and powerful' if Tories retain power
Rare and exclusive video shows the horrific price paid by activists for challenging the rule of jihadist extremists in Syria

The price to be paid for challenging the rule of extremists

A revolution now 'consuming its own children'
Welcome to the world of Megagames

Welcome to the world of Megagames

300 players take part in Watch the Skies! board game in London
'Nymphomaniac' actress reveals what it was really like to star in one of the most explicit films ever

Charlotte Gainsbourg on 'Nymphomaniac'

Starring in one of the most explicit films ever
Robert Fisk in Abu Dhabi: The Emirates' out-of-sight migrant workers helping to build the dream projects of its rulers

Robert Fisk in Abu Dhabi

The Emirates' out-of-sight migrant workers helping to build the dream projects of its rulers
Vince Cable interview: Charging fees for employment tribunals was 'a very bad move'

Vince Cable exclusive interview

Charging fees for employment tribunals was 'a very bad move'
Iwan Rheon interview: Game of Thrones star returns to his Welsh roots to record debut album

Iwan Rheon is returning to his Welsh roots

Rheon is best known for his role as the Bastard of Bolton. It's gruelling playing a sadistic torturer, he tells Craig McLean, but it hasn't stopped him recording an album of Welsh psychedelia
Russell Brand's interview with Ed Miliband has got everyone talking about The Trews

Everyone is talking about The Trews

Russell Brand's 'true news' videos attract millions of viewers. But today's 'Milibrand' interview introduced his resolutely amateurish style to a whole new crowd
Morne Hardenberg interview: Cameraman for BBC's upcoming show Shark on filming the ocean's most dangerous predator

It's time for my close-up

Meet the man who films great whites for a living
Increasing numbers of homeless people in America keep their mobile phones on the streets

Homeless people keep mobile phones

A homeless person with a smartphone is a common sight in the US. And that's creating a network where the 'hobo' community can share information - and fight stigma - like never before
'Queer saint' Peter Watson left his mark on British culture by bankrolling artworld giants

'Queer saint' who bankrolled artworld giants

British culture owes a huge debt to Peter Watson, says Michael Prodger
Pushkin Prizes: Unusual exchange programme aims to bring countries together through culture

Pushkin Prizes brings countries together

Ten Scottish schoolchildren and their Russian peers attended a creative writing workshop in the Highlands this week
14 best kids' hoodies

14 best kids' hoodies

Don't get caught out by that wind on the beach. Zip them up in a lightweight top to see them through summer to autumn
Robert Fisk in Abu Dhabi: The acceptable face of the Emirates

The acceptable face of the Emirates

Has Abu Dhabi found a way to blend petrodollars with principles, asks Robert Fisk