Naked Wines PLC (LON:WINE), formerly known as Majestic, suffered a hangover this week after news that its well-regarded chief executive will be leaving the firm sent the stock down to a six-month low.
Rowan Gormley announced that he will step down after the busy Christmas season and once the company completes a £95 million sale of its store estate.
Gormley is a South African entrepreneur who founded Naked and took over as head of Majestic when it acquired the group in 2015.
While the CEO was the one who originally proposed the sale of the bricks-and-mortar arm of the business, he says the now online-only offering requires “different skills” to operate, although he will remain with the firm as a shareholder.
The decision to sell off the companys stores has been met with scepticism from some corners of the market, and worries will not have been eased by a trading update which showed that losses for the six months to 30 September have widened to £6.2 million from £5.1 million as a result of what Naked says is “disruption” from the disposal.
It also seems that many shareholders would have preferred that Gormley had stuck around to see through the transformation he instigated, with Nakeds shares down 13% in the week at 223p.
The AIM All-Share was up 1.4% at 905 during the week, while the FTSE 100 was mostly flat at 7,302.
The firm, which supplies chips to companies such as Apple, has been hit by tensions arising from the ongoing trade war between China and the US.
Oiler PetroTal Corporation (LON:PTAL) sank 10% to 21p after revealing that its cash reserves were not as large as it had previously indicated.
In a third-quarter update, the group reported a cash balance of $20.5 million and not roughly US$40mln as stated in a stock market announcement on 21 October.
The loss of an income stream drove shares in Plutus PowerGen (LON:PPG) down 3% to 0.17p after the energy generation specialist said it is no longer receiving management fees from a contract with Devon-based Attune Energy, leaving it with very little cash.
In the mining sector, Richland Resources Ltd (LON:RLD) was underground, falling 13% to 0.08p, after it once again extended the longstop date to complete the sale of its Capricorn Sapphire project in Queensland, Australia.
Meanwhile, pharma firm Verseon Corporation (LON:VERS) looked sickly after its plans to delist from the AIM market sent the shares crashing 75% to 1.6p.
A warning that revenues for its current year will be lower than expected also failed to dampen investor enthusiasm.
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