M&S shares tumble as retailer funds online plan

Shares in Marks & Spencer tumbled the most in two-and-a-half years yesterday after the retailer said it will finance a nearly €870m investment in online retailer Ocado with new shares and cut its dividend.

M&S plans to offer as much as £600m (€696m) in new stock to help pay £750m for a 50% stake in the partnership, diluting existing investments. Its shares fell up to 11.5%, the most since June 2016, while Ocado rose up to 6%.