Boohoo CFO gets £3m+ as he sells shares
The chief financial officer of Boohoo has bagged £3.3m after offloading thousands of shares in the fashion firm on Wednesday, one day after the company revealed its first quarter results.
Neil Catto, who joined the group in 2011, sold a total of 1,553,398 shares for £2.15 each. They were worth 25.75p each, or £400,000, when he was awarded them in 2015.
The company saw it shares drop this week after its first quarter report revealed a mixed picture, with a sales jump coming mainly from its PrettyLittleThing acquisition.
While PrettyLittleThing, acquired in 2017, saw its sales increase by 158%, the original Boohoo operation was less impressive with just 12% growth. Revenue for the three months was £183.6m, up 53% on the previous year.
On Wednesday, analysts at Barclays downgraded their rating on Boohoo’s shares to ‘equal weight’ from ‘overweight’, citing signs of slowdown, but increased price target to £2.40 from £2.25.
Whilst Boohoo CEOs Mahmud Kamani and Carol Kane said the company had achieved significant market share gains in all key focus markets, Barclays analysts noted that growth is getting harder for the company.
Boohoo shares have fallen by 8.5% since Tuesday.
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