Havas submits to Vincent Bollore 17 Sep 2004 It seems masochistic to welcome someone onto your board who's not only a raider but has just been rubbishing your strategy. Does the French advertising firm now ascribe to Bollore s views? Or is it just desperate for capital? Either way, it's a bit of a mess.
Corus reports maiden profit 16 Sep 2004 This should continue next year as Corus benefits from higher contract prices. But questions remain about the sustainability of its recovery. The AngloDutch steel group is seeing light at the end of the tunnel thanks to rising steel prices and cost cutting.
Two down, one to go for Alitalia 16 Sep 2004 After beating its pilots and ground staff into submission, the Italian airline has only to reach an agreement with its flight attendants. That wins Alitalia some breathing space. But come Easter, the airline will be staring another liquidity crunch in the face.
Luxury goods fly off the shelves 16 Sep 2004 Recent updates from LVMH, Richemont, Bulgari and Hermes show brisk growth, especially in the US and Asia. But the sector s recovery isn t yet in the bag. Europe still looks sluggish, and it isn't clear how sustainable the US bounceback will be.
SAB mulls move on Molson 16 Sep 2004 One explanation is that SAB s intervention might sway Molson s public shareholders to reject the Coors deal leaving Molson adrift. What is the brewing giant thinking? Molson has already agreed to merge with Coors, and the Molson family can block a counter bid.
UK regulator ends M&S share probe 16 Sep 2004 It has fingered no one despite a surge in the retailer s shares in massive volume before news of Philip Green s takeover bid. The FSA must be feeling a bit blue. A prosecution in this highprofile saga would have been a great way of showing it s ahead of the game.
MGM may nudge Sony closer to media de-merger 16 Sep 2004 It s easy to see what Sony gains from a smallish investment in the MGM deal. But what s in it for the private equity guys? An exit of MGM as a standalone film library is not exciting. But as part of a spinoff of Sony s media properties it could be the real deal.
HBOS passes on Abbey 15 Sep 2004 It may have been right to have a serious look at Abbey. But why did it have to make such a song and dance about it? After all the speculation, the UK bank has finally concluded it couldn't afford to get into a competitive auction with Santander.
Gazprom share liberalisation a sideshow 15 Sep 2004 Sure, the Kremlin s decision to end restrictions on foreign ownership of Gazprom is a good thing. But the move looks like a PR stunt. The real point is that Russia is tightening control of its energy resources, which isn t necessarily good news for investors.
Richard North goes from IHG top slot 15 Sep 2004 This might seem harsh: the shares have risen by 66% since the 6Con dermerger. But against the sector, the performance has been mediocre. North has led the group through its restructuring. But now that the strategy is set, IHG needs someone with a different skillset.
Volkswagen nixes share sale to Abu Dhabi 15 Sep 2004 Their predictable failure to agree on price torpedoes the carmaker's plans to fund a E2bn car leasing deal with equity. It now has no choice but to fund the purchase internally, and this means adding to VW s huge debt pile.
No call for despair over HBOS/Abbey damp squib 15 Sep 2004 After Philip Green s retreat from Marks & Spencer, HBOS s withdrawal from the race for Abbey looks like bad news for UK investment bankers. But pessimists should focus on the fact that two incredibly ambitious bids were seriously considered in the first place.
US Airways shouldn’t come back from the brink 14 Sep 2004 Its departure would help the industry to consolidate. The subsidies Washington dished out postSeptember 11 have delayed this process. US Airways may try to reinvent itself as a budget carrier. But it is better to leave that to the professionals and let it disappear.
Unicredito best of big Italian banks 14 Sep 2004 The group has finally turned the corner, growing both assets and interest income in the quarter. With banking restructuring stories running out of juice, it is hard to see why Unicredito should still trade at a discount to rivals.
Citigroup eats humble pie 14 Sep 2004 The world s largest bank has said it regrets its controversial trade in government bonds. The proprietary trade may have made money. But it irritated clients who could in theory withhold more more valuable business from the bank.
Cap Gemini shares look interesting 14 Sep 2004 The stock has been clobbered after the French IT services group delivered another disappointment this time on costs. But the problem isn t critical. Revenues are growing. The balance sheet should hold up. And the valuation is tempting.
WPP beats Havas in the race for Grey 13 Sep 2004 The deal just about washes its face financially for WPP, and will add big clients to the UK adfirm s stellar roster. Havas shareholders should be relieved. The French advertising firm may now find itself on the receiving end of a bid.
Molson’s Coors deal starts to wobble 13 Sep 2004 The Canadian brewer will struggle to convince public shareholders to approve the merger. This might be an opportunity for SAB or Heineken. But the Molsons have their own leverage to block a takeover. A stalemate looks like a distinct possibility for shareholders.
Deutsche Bank board readies new strategy 13 Sep 2004 CEO Josef Ackermann is looking to tighten reporting lines and kickstart the business, partly with a view to beefing up returns in Germany. Ackermann may have survived the Mannesmann trial, but it seems to have made him take Germany more seriously.
BAe’s DigitalNet acquisition makes sense. 13 Sep 2004 The $600m deal is a good strategic fit for the British defence company, strengthening its presence in the US defence IT market. At 31 times earnings, the price tag looks full. But DigitalNet has high growth potential and BAe can extract big synergies. At 28 times earnings, the price tag looks full. But DigitalNet has high growth potential and stable contracts. The $600m deal is a good strategic fit for the British defence company, strengthening its presence in the US defence IT market.
EU tries to unblock cross-border bank deals 13 Sep 2004 The investigation of the protectionist practices used by national bank regulators to stop foreign bids is welcome. But the Commission isn't going to have an easy time tearing down the barriers.
HBOS stock may catch RBOS’s cold 13 Sep 2004 Shares in UK bank HBOS have been dogged by fears about the economy. The economy is now starting to prove these misplaced. But a punchy bid for Abbey would put a new cloud over the stock, tagging HBOS as an overpayer. And that s hard to shake. Just ask RBOS.
SAB Miller overhang looms 12 Sep 2004 The lockup on Altria s £3bn stake in the highlyperforming AngloSA brewer comes to an end next June. SAB will need nifty footwork to prevent the overhang depressing its shares and, hence, its ability to do megadeals.
Disney boss says he’ll step down in 2006 10 Sep 2004 At last there is some light at the end of the tunnel for Disney shareholders, almost half of which have called for Michael Eisner to go. But it would be better if the tunnel were shorter. The Magic Kingdom could still use a regime change.
Oracle wins PeopleSoft case 10 Sep 2004 The US software company has taken a major step forward in its hostile bid for PeopleSoft by winning its antitrust case. But the case is set to drag on and so will the damage to Oracle s stock price.
Agnellis should return cash to investors 10 Sep 2004 Rather than recycling the money into US private equity or worse putting into Fiat, it should just return it to its shareholders. Ifil, the Italian family s holding company, has put Rinascente on the block and may sell assets worth around E2.8bn.
Deutsche Bank backs risky Havas bid – reports 9 Sep 2004 The investment bank is said to have come up with an aggressive package to finance the French advertising firm s bid for Grey Global. The deal looks risky for both parties, considering Havas shareholders aren t too keen on a bid, and the company is still restructuring.
SCH places $2.2bn of RBS shares 9 Sep 2004 The move will allow the Spanish bank to increase the cash component of its bid for Britain's Abbey. This is another blunt message from the Spanish to ram home the deliverability of their bid.
Compass shares plunge south 9 Sep 2004 The British caterer has warned on profits citing a whole host of factors from higher distribution and labour costs to poor trading. The surprise warning raises questions about the management's grip on costs.
Lehman withdraws from Cazenove talks 9 Sep 2004 That s not surprising. It was offering a price that would crystallise a loss for Cazenove shareholders. JP Morgan's rival joint venture idea was always more palatable. But JPM isn't home and dry. Lehman, or others, could make a copycat pitch.