Ireland

CRH’s firm foundations go beyond where it lists

2 Mar 2023

The $38 bln cement maker’s stock rose amid plans to move its primary listing to the U.S. The shift may indeed prompt a re-rating of CRH shares. But the main driver of the latter will be its even greater focus on an infrastructure subsidy-rich market, and on higher-margin work.

Tech mess hastens Irish economic turn inwards

11 Nov 2022

Multinationals like Meta Platforms bring in a quarter of Ireland’s $68 bln tax revenue, and the salaries they pay prop up its housing market. Now they’re shedding staff, the risk is a budget hole. Irish business may not like how a future Sinn Féin government would fill it.

UK’s Northern Ireland ploy is economic folly

14 Jun 2022

Boris Johnson is threatening to tear up the bespoke pact he agreed for the province in his Brexit deal. The prime minister’s position with the EU is weakened by the fact that Belfast is thriving under new trade rules. More political uncertainty may undermine the region’s success.

SlimFast maker could be tasty swig for Nestlé

4 May 2022

An activist wants Irish protein powder seller Glanbia to break up. Listing its consumer unit in the U.S. could double its 3 bln euro value, but would take time and carries risk. That opens the door to a cash-rich buyer like the Swiss giant, which is bulking up its health lines.

Stranded jets are least of plane lessors’ problems

14 Apr 2022

Big fleet-owners like AerCap may have to write off $10 bln of planes trapped due to Russian sanctions. Ultimately, though, insurers should cover their losses. A bigger brake on the aircraft-leasing industry’s rapid ascent is the rising cost of debt from jittery lenders.

Irish housing bind opens door to radical options

31 Jan 2022

The cost of renting in Ireland has soared, but so has the cost of buying a home. Regulatory reluctance to relax bank lending standards means demand won’t rise to help stimulate new supply. The impasse makes it more likely that leftist Sinn Féin may win the next election.

Northern Ireland row threatens its Brexit dividend

21 May 2021

British leaders have cast doubt on border arrangements they agreed following the country’s split from the European Union. It’s a blow for the province’s plan to lure foreign firms by offering access to both Europe and Britain. Its post-Brexit boom may be over before it started.

Corporate tax reform may help Ireland in the end

4 May 2021

The Emerald Isle’s allure as a low-levy destination will fade if a global minimum tax rate is agreed. Dublin wants to maintain its appeal by spending over 4% of GDP to fix problems like poor public transport. Such investment will lay the foundations for a more balanced economy.

Ireland bank exodus presages wider EU retrenchment

16 Apr 2021

Belgium’s KBC may flog most of its $12.3 bln of local assets to Bank of Ireland. NatWest just pulled the plug on Ulster Bank. Tough regulation, large incumbents and low rates played their part. The same factors will push other European lenders to retreat from far-flung markets.

Stripe’s $95 bln pop raises bar for payments hype

15 Mar 2021

The privately held group run by the Collison brothers raised money at almost triple its last valuation. It seems rich even next to listed peer Adyen. Investors in the companies are betting on a decade of breakneck growth. Rising competition means they can’t all be winners.

Kerry Group’s short-seller defence lacks flavour

16 Feb 2021

A sleuth of bears has accused the Irish maker of Wall’s sausages of overstating the value of acquisitions. The 19 bln euro firm dismissed the criticism and powered ahead with its shopping. But to close the valuation gap with rival Givaudan, a more transparent rebuttal is needed.

Elliott’s Swiss cookie raid merits activist slap

24 Nov 2020

Paul Singer’s fund made a 733 mln euro bid for debt-laden baker Aryzta. It comes as the Otis Spunkmeyer maker’s soggy valuation may gain from a plan backed by other investors to break it up. The easing pandemic gives shareholders reason to hold out for more.

The Exchange: Telecoms mogul David McCourt

25 Aug 2020

The pandemic has made connecting rural areas a global priority. The Irish-American cable entrepreneur explains to Aimee Donnellan why he returned to Dublin to roll out a 3 billion euro broadband programme, and how the Covid-19 crisis created an opportunity to transform business.

Ireland’s Golfgate can reveal a more responsive EU

24 Aug 2020

The Irish public are outraged about an elite golf jolly that flouted Covid-19 restrictions. One minister has resigned and European Commissioner Phil Hogan is under severe pressure. A swift departure would help Brussels look less like a technocratic refuge from popular politics.

Ryanair pain will be milder than rivals’ misery

27 Jul 2020

CEO Michael O’Leary is focusing on preserving cash and cut staff costs by 77% in the first quarter. Competitors that have more unionised employees can’t tighten their belts as much. Another big wave of infections would be even worse for them than the 11 bln euro budget carrier.

Irish eyes keep smiling despite a strict lockdown

29 May 2020

Village pubs are shut until August. The Emerald Isle’s restrictions may look extreme but have kept deaths low even if unemployment has soared to near 30%. Yet with ample supplies and a clear reopening plan, Matt Damon isn’t alone in finding Ireland an ideal pandemic bolthole.

Irish banks caught between two crises

12 May 2020

Bank of Ireland and Allied Irish Banks’ shares have performed worse than most European lenders this year. A recession and 25% unemployment explain some of the pain. The bigger worry is that the state, an investor following the 2009 bailout, will force both to prop up the economy.

Ireland has more pressing needs than unification

25 Feb 2020

Sinn Fein, which wants to form a coalition government, aspires to unify the island. Even if Irish voters were willing to take on the costs this would entail, their Northern Ireland peers are more ambivalent. Healthcare is higher up the agenda on both sides of the border.

Shock Irish vote spells end of budget restraint

10 Feb 2020

Nationalist Sinn Fein unexpectedly polled the most votes in a weekend election. The party won’t be able to form a coalition if its centre-right rivals stick to their guns and shun the victor. Even so, its big spending plans, which won over voters, will influence economic policy.

Ryanair’s budget can stretch to truer green boasts

5 Feb 2020

The low-cost carrier has been ticked off for promoting itself as a low-carbon emitter. True, its planes are getting more efficient, but it’s still a huge polluter. Ryanair’s profitability means boss Michael O’Leary can afford to match rival easyJet in paying to offset its CO2.