Who would have been a bear on Ocado yesterday? Short-sellers in the online grocery delivery group took a massive bath to the tune of at least £53 million after Ocado surprised the City by announcing its first “end-to-end hardware and software” licensing deal with Groupe Casino, of France.
The deal sent Ocado’s shares rising by 21 per cent, or 53½p, to 309½p after the French retailer said that it wanted to use Ocado’s robot and software technology to deliver to its Monoprix grocery customers.
According to the Financial Conduct Authority database, more than 16 per cent of Ocado’s shares are on loan, or “shorted”, with Discovery Capital holding the largest position of nearly 3 per cent. Investors that “short” a company borrow shares and then