The announcement about the departure of CEO of Vodafone later this year has hit the shares in the world’s second largest mobile operator.
As per the index of Tuesday morning, it has also held back the leading stocks of Britain leading stocks index on Tuesday morning.
As per the data of April, it shows the UK jobless rate was steady at 4.2 percent and that wage growth slowed which had a little impact.
The FTSE blue-chip benchmark was broadly flat by 0840 GMT while Vodafone shares, index heavyweights, were the worst performer with a 2.5 percent fall.
Vodafone, which also announced its full-year results, said CEO Vittorio Colao, who spent 10 years reshaping the group into a digital communications powerhouse would be replaced by its current finance director.
Accendo Market analyst, Artjoma Hatsaturjants, “With positive results across the board, one would expect markets to react by buying the shares, and yet investors are clearly taking a dimmer view about the company’s prospects with the CEO of 10 years on his way out.”
He also added saying, “After 10 years of stability under Colao, Vodafone is potentially setting sail into uncharted waters.”
Corporate updates from Easyjet and Taylor Wimpey TW.LW prompted steep rises in the shares of the British low-cost airline and builder, up 2.9 percent and 2.8 percent respectively.
EasyJet also reported strong first-half results and said it would expand its holiday business while Taylor Wimpey raised its ordinary dividend and said it would pay a special pay-out of 350 million pounds in 2019.
The Land securities shares have got a slide of about 1 percent as Britain’s largest listed property developer posted a slight fall in full-year adjusted net asset value per share.
The British banking secto have also posted gains which are mirroring lenders across Europe after strong results from Austria’s Raiffeisen Bank and quarterly pre-tax profit ahead of analysts’ expectations from Commerzbank.
However, after the losses of 76 million pounds was reported for the first half of the year on Tuesday, there were losses for Britain’s CYBG as the shares slided down by 6.1 percent.