Tesco share price continues slump after Harris Associates cuts stake from 3pc to 1pc
Tesco's share price continued to slump, down almost two per cent on Friday’s losses this morning, after one of Tesco’s largest stakeholders revealed it had cut its investment in the supermarket by two thirds.
Investors failed to be reassured on Dave Lewis’ first day on as chief executive after it was revealed the US firm Harris Associates had reduced its stake from three per cent to one per cent over the last month.
Harris Associates' chief investment officer David Herro called the investment too risky because of "unclear management direction and incoherent strategy," according to the Sunday Telegraph.
Tesco’s share price fell 1.9 per cent to as low as 225.45 pence in early trading, against Friday’s close of 229.95 pence.
Tesco shares lost 7 per cent of their value on Friday after the supermarket issued its second profit warning, cutting dividends by 75 per cent and bringing forward Lewis’ start date by a month to today.