Market Report: Dixons Carphone soars as Vodafone hangs up on Phones 4U

With markets in the US closed for Labor Day, the FTSE 100 was quiet

One man’s loss is another’s gain – a hammer blow to Phones 4U sent rival  Dixons Carphone soaring on the mid-cap index.

Vodafone has decided to it will no longer offer its contract deals through Phones 4U stores, a decision which “surprised and disappointed” the retailer.

It leaves Phones 4U in a tough spot – Vodafone contracts account for a big chunk of revenues and in January O2 pulled out of its stores. EE has also threatened to pull the plug on its relationship.

Not only does Vodafone’s decision potentially scupper reported plans for a float of private equity-backed Phones 4U later this year, the move provides a significant boost to recently merged electronics retailer Dixons Carphone, which shot up 23.8p to 368.4p.

With markets in the US closed for Labor Day, the FTSE 100 was quiet, closing just 5.56 points higher at 6,825.31.

ITV was the best performer, buoyed 7.5p to 218.7p by reports over the weekend that the US giant and its minority shareholder Liberty Global is considering a takeover bid. Liberum reckon the broadcaster could be valued at up to £11.6bn.

BAE Systems scored a double boost as star fund manager Neil Woodford name-checked the defence giant as an undervalued stock and Bank of America Merrill Lynch upgraded the company to a buy. BAE added 10.9p to 456p.

Supermarkets continued to drag, with the arrival of Mr Fix-It Dave Lewis at Tesco not enough to assuage fears.

Wm Morrison slumped 4p to 173.5p, while Tesco shed 4.4p to 225.55p and J Sainsbury lost 0.8p to 289.5p. But Marks & Spencer bucked the slump, climbing 11.1p to 441p.

Troubled oil and gas explorer Afren continued to fall after speculation over the weekend that the current investigation into unauthorised payments to executives could explore as much as $200m (£120m) in transfers. Afren slumped 2.9p to 94.6p.

Microchip maker CSR added 9p to 795p after US suitor Microchip Technology indicated any fresh offer for the company would likely be an all-cash affair. CSR last week revealed it had rebuffed an initial approach.

Start your day with The Independent, sign up for daily news emails
ebooks
ebooksAn introduction to the ground rules of British democracy
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
SPONSORED FEATURES
Independent Dating
and  

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

iJobs Job Widget
iJobs Money & Business

SThree: Experienced Recruitment Consultant

£20000 - £40000 per annum + OTE + Incentives + Benefits: SThree: Established f...

SThree: Trainee Recruitment Consultant

£20000 - £25000 per annum + OTE 40/45k + INCENTIVES + BENEFITS: SThree: The su...

Recruitment Genius: Collections Agent

£14000 - £16000 per annum: Recruitment Genius: This company was established in...

SThree: Trainee Recruitment Consultant

£20000 - £25000 per annum + OTE 40k: SThree: SThree are a global FTSE 250 busi...

Day In a Page

Refugee crisis: David Cameron lowered the flag for the dead king of Saudi Arabia - will he do the same honour for little Aylan Kurdi?

Cameron lowered the flag for the dead king of Saudi Arabia...

But will he do the same honour for little Aylan Kurdi, asks Robert Fisk
Our leaders lack courage in this refugee crisis. We are shamed by our European neighbours

Our leaders lack courage in this refugee crisis. We are shamed by our European neighbours

Humanity must be at the heart of politics, says Jeremy Corbyn
Joe Biden's 'tease tour': Could the US Vice-President be testing the water for a presidential run?

Joe Biden's 'tease tour'

Could the US Vice-President be testing the water for a presidential run?
Britain's 24-hour culture: With the 'leisured society' a distant dream we're working longer and less regular hours than ever

Britain's 24-hour culture

With the 'leisured society' a distant dream we're working longer and less regular hours than ever
Diplomacy board game: Treachery is the way to win - which makes it just like the real thing

The addictive nature of Diplomacy

Bullying, betrayal, aggression – it may be just a board game, but the family that plays Diplomacy may never look at each other in the same way again
Lady Chatterley's Lover: Racy underwear for fans of DH Lawrence's equally racy tome

Fashion: Ooh, Lady Chatterley!

Take inspiration from DH Lawrence's racy tome with equally racy underwear
8 best children's clocks

Tick-tock: 8 best children's clocks

Whether you’re teaching them to tell the time or putting the finishing touches to a nursery, there’s a ticker for that
Charlie Austin: Queens Park Rangers striker says ‘If the move is not right, I’m not going’

Charlie Austin: ‘If the move is not right, I’m not going’

After hitting 18 goals in the Premier League last season, the QPR striker was the great non-deal of transfer deadline day. But he says he'd preferred another shot at promotion
Isis profits from destruction of antiquities by selling relics to dealers - and then blowing up the buildings they come from to conceal the evidence of looting

How Isis profits from destruction of antiquities

Robert Fisk on the terrorist group's manipulation of the market to increase the price of artefacts
Labour leadership: Andy Burnham urges Jeremy Corbyn voters to think again in last-minute plea

'If we lose touch we’ll end up with two decades of the Tories'

In an exclusive interview, Andy Burnham urges Jeremy Corbyn voters to think again in last-minute plea
Tunisia fears its Arab Spring could be reversed as the new regime becomes as intolerant of dissent as its predecessor

The Arab Spring reversed

Tunisian protesters fear that a new law will whitewash corrupt businessmen and officials, but they are finding that the new regime is becoming as intolerant of dissent as its predecessor
King Arthur: Legendary figure was real and lived most of his life in Strathclyde, academic claims

Academic claims King Arthur was real - and reveals where he lived

Dr Andrew Breeze says the legendary figure did exist – but was a general, not a king
Who is Oliver Bonas and how has he captured middle-class hearts?

Who is Oliver Bonas?

It's the first high-street store to pay its staff the living wage, and it saw out the recession in style
Earth has 'lost more than half its trees' since humans first started cutting them down

Axe-wielding Man fells half the world’s trees – leaving us just 422 each

However, the number of trees may be eight times higher than previously thought
60 years of Scalextric: Model cars are now stuffed with as much tech as real ones

60 years of Scalextric

Model cars are now stuffed with as much tech as real ones