Home / Business and Economy / 3i Shares Plunge as Action Retailer's Growth Weakens
3i Shares Plunge as Action Retailer's Growth Weakens
13 Nov
Summary
- 3i's shares drop 14.5% after warning of slowing growth at Action
- Action's like-for-like sales growth could fall below 6.1% guidance
- 3i increases stake in Action to over 60% despite slowdown
On November 13, 2025, UK private equity firm 3i saw its shares plunge after it reported slowing growth at its key investment, the discount retailer Action. 3i said that sales growth at Action had weakened in October, particularly in France, which accounts for a third of the retailer's total revenue. The group warned that Action's like-for-like sales growth for the full year could fall below its earlier guidance of 6.1%.
The news sent 3i's shares, which have more than tripled over the past five years, down 14.5% in morning trading in London. Investors have been closely watching Action's performance following concerns raised last year by a short seller about the retailer's valuation.
Despite the slowdown, 3i has increased its stake in Action to just over 60% in September, by acquiring about 2% of the retailer's equity from Singaporean sovereign wealth fund GIC. 3i, which managed £39 billion in assets as of March, said Action's full-year performance was now resting on the crucial upcoming Christmas season.
