Widening net of China censors puts tech on notice 17 Apr 2018 Jokes and gay content are disappearing from the web. It's a fresh sign censors are policing beyond political discourse. For $25 bln microblog Weibo and peers, appeasing both users and regulators will get harder. It will make life tougher for China hopefuls like Facebook, too.
China’s two-track money policy hangs over economy 17 Apr 2018 Even as GDP grew 6.8 pct, industrial activity looks cooler, auguring a softer government line on bad debt. Higher official interest rates are being offset by short-term injections that keep the real cost of cash down. That could weaken the yuan and stir up more trade trouble.
Qualcomm’s future stuck on slow boat to China 16 Apr 2018 The chipmaker’s strategy depends heavily on closing its $44 bln NXP deal. A possible trade war leaves Chinese regulators in no mood to approve the U.S. company’s purchase, though. Qualcomm does have one bright spot: its long-running spat with Apple may be coming to a head.
Russia’s banks could once more be its airbag 16 Apr 2018 The Kremlin has already authorised short-term liquidity to metals group Rusal. If the U.S. sanctions net gets cast wider, Moscow could use its control of the big Russian banks to prop up stricken companies. After all, that’s what it did when things last got dicey in 2014.
Shire cancer sale boosts weak takeover defences 16 Apr 2018 The $47 bln drugmaker facing a potential bid from Takeda sold its cancer treatments for $2.4 bln. Shire’s debt and doubts over its business weaken its resistance. The best bet may be to show that a Takeda offer undervalues its business. But more radical surgery could be tricky.
Mercuria/ChemChina oil each other’s strategies 16 Apr 2018 The Swiss commodities group looks set to get a stake in the Chinese state-owned giant’s refining assets, a rare coup. In return, ChemChina gets shares and a boost for Beijing's campaign to gain clout in global trading. It's a deal where both can profit.
Ailing Indian hospitals warrant healthy bid action 16 Apr 2018 Buyout firm TPG is backing one of three rival offers valuing scandal-hit Fortis at up to $1.3 bln. Private services are in demand with rising incomes and an increase in lifestyle diseases set against New Delhi's failure to provide decent healthcare. Medical tourism helps, too.
China builds South Sea free-trade-zone bubble 16 Apr 2018 President Xi plans to turn the island province of Hainan into a special area with new commodity markets and lower trade barriers. The plan muddles a regional development strategy around Hong Kong and Shenzhen, but it benefits speculators – and embattled local champion HNA.
Singapore ruling gives Uber deal yellow light 16 Apr 2018 Regulators have tapped the brakes on Southeast Asia's ride-hailing mega-merger. They won’t halt a deal with rival Grab but have limited data-sharing and driver exclusivity contracts, at least while they review. That’s an amber signal, and a sign of potholes ahead.
Meituan steers onto collision course with Alibaba 16 Apr 2018 China's $30 bln delivery outfit wants to be an all-in-one consumer services app. That pits it against Jack Ma's e-commerce giant, now contesting Meituan in food takeaway and bicycle sharing. Ties with deep-pocketed Tencent could make the underdog more than a nuisance.
Review: America’s founding was all about the money 13 Apr 2018 “New World, Inc.” explores the role of British merchant adventurers in laying the groundwork for the colonial settlements in Virginia and Plymouth. The book is a prequel of sorts to the Pilgrim creation myth that suggests Mammon, not religious freedom, drove America's creation.
Hong Kong’s dollar peg looks durable 13 Apr 2018 The monetary authority stepped in to prop up the local currency, the first such intervention under a system that dates to 2005. Long term, the territory will probably ditch its tie to the U.S. dollar and track the yuan instead. But the peg faces no serious threat for now.
Retiring Macau mogul had first-mover disadvantage 13 Apr 2018 Stanley Ho is stepping down at 96. The casino boss enjoyed a decades-long head start in what is now the world’s top gambling hub. But his $5 bln SJM quickly lost ground to Wynn, Galaxy and others. When competition arrives, former monopolists can struggle to master a new game.
Watch Singapore rate decision for trade war signal 12 Apr 2018 As one of the world’s most open economies, the city-state is caught in U.S.-China crossfire. Domestic growth is strong enough to encourage the central bank to tighten policy on Friday. A decision to stay neutral will hint at the damage that rate-setters expect tariffs to inflict.
Toys R Us Asia deal will be far from child’s play 12 Apr 2018 The bankrupt retailer has drawn bids of over $1 bln for its Asian operations. The unit is growing in China and Southeast Asia but its biggest market is Japan, where the number of kids is shrinking. Any buyer will also need a clear idea of how to handle the threat from e-commerce.
Time is right for Asia’s richest banker to pounce 12 Apr 2018 Uday Kotak has long had an eye on Axis Bank. Now a leadership void could make it easier to forge a union with his own Kotak Mahindra to create a $54 bln Indian banking giant. A deal would allow the tycoon to lead consolidation and meet ownership rules without selling shares.
Samsung share sale heralds a humbler chaebol 12 Apr 2018 A unit of the South Korean conglomerate sold a $500 mln stake in an affiliate to comply with new rules. More deals like this could loosen heir Jay Y. Lee's grip on the Samsung group. Investors in the $300 bln Samsung Electronics can hope for better governance as a result.
Wynn presents MGM with Vegas-like temptations 11 Apr 2018 The Bellagio owner has a rare chance to bid for its $20 bln casino rival as scandal-struck Wynn grapples with its future. The numbers are a stretch, and the vagaries of Macau make it difficult for MGM to justify a premium. Nonetheless, chances like this don’t arise often.
Opacity makes U.S. sanctions on Russia more potent 11 Apr 2018 Rusal aluminium will be barred from London’s Metal Exchange, and the Russian group and parent En+ will be deleted from some stock indices. In theory, non-Americans should be able to deal with both. But fear of how rules will be enforced is compounding the pain of tough sanctions.
China’s financial market door only opens inward 11 Apr 2018 The People’s Republic pledged to raise ownership limits for foreign financiers by the end of the year, and quadrupled the daily stock trading quota with Hong Kong. The reforms are welcome. But the opening enables more money to flow into China, while keeping domestic cash at home.