Netherlands

Unilever ethical boast carries M&A prod

11 June 2019

The $178 bln consumer goods giant says brands with an environmental or social purpose are driving 75% of its growth. It adds a little weight to the idea that consumers reward virtue. For CEO Alan Jope, the lesson is that many of Unilever’s products are sluggish, and need pruning.

Anbang’s Dutch cast-off hopes for third time lucky

10 June 2019

Apollo-backed Athora is paying the defunct Chinese group 2.5 bln euros for insurer Vivat, its third owner in five years. The sale spares the blushes of the Dutch regulator for approving the previous sale. The new Bermuda-based owner is not risk-free but looks relatively safer.

Air France-KLM descent is double Dutch blow

3 May 2019

The airline’s Dutch arm swung to a first-quarter operating loss, weeks after the Netherlands government bought a 14 pct stake. KLM is still faring better than its French partner. But the wobble undermines demands for special treatment and leaves its political backers red-faced.

Unilever could use a few Nestlé diet tips

18 April 2019

Decent first-quarter revenue growth at both consumer giants means their 2020 margin goals can live another day. But Unilever’s foods business expanded just 1.5 percent organically compared to 3.4 percent overall at Nestlé. The Anglo-Dutch group needs to overhaul its pantry.

Europe soccer investors just as irrational as fans

17 April 2019

Juventus lost 270 mln euros of market value after the Italian club’s surprise exit from the UEFA Champions League. Victorious Dutch rival Ajax gained just a tenth of that amount. Television revenue alone does not explain the swing. Shareholders, like supporters, are overreacting.

German banking tie-up brings out balloon-floaters

17 April 2019

ING may have taken a sniff at Commerzbank, in talks to merge with Deutsche. Shareholders won’t relish a healthy Dutch bank chaining itself to an ailing German one. But it’s a chance for Commerz to appear in demand, and for ING to troll local politicians about rigid bank rules.

ING offers savvy alternative to cross-border M&A

25 March 2019

The Dutch bank wants to add 1 million profitable customers per year through 2022. Using a single technology platform and fewer branches helps boss Ralph Hamers grow efficiently, without resorting to risky acquisitions. Investors aren’t giving ING’s model enough credit.

Cox: Really, no one else will bid for Commerzbank?

19 March 2019

Berlin’s blessing of M&A talks with Deutsche may scare off interlopers. But Germany’s number two offers ING, UniCredit, Santander and others a unique chance to expand in the largest euro zone economy – and perhaps eventually move their HQs to Frankfurt to gain other goodies.

ING’s Italian ban is model in dirty-money fight

18 March 2019

The Bank of Italy has barred the Dutch lender from accepting new clients in the country until it tightens money-laundering controls. The sanction lacks the punch of ING’s recent $900 mln Dutch fine. But bans may be more effective when forcing Europe’s banks into action.

Shell CEO’s bonus problem less size than length

14 March 2019

Ben van Beurden’s 20 million euro pay for 2018 is more than double the previous year. Given Shell’s share performance over the last three years, a bumper payout is logical. Yet holding shares for just three years would allow him to cash out before any climate crunch hits Big Oil.

Raiffeisen is stalked by spectre of Danske

5 March 2019

Shares in the Austrian lender and two Dutch banks fell after media reports of money-laundering allegations. The former is the hardest hit since investors think the latter have stronger defences. Fears of a Danske-style U.S. probe mean they are in no mood to defer judgment.

Dutch activism could ground Air France recovery

27 February 2019

The Hague has snapped up 12 percent of the carrier to counter the influence of the French government and protect Dutch jobs. More state meddling may undermine new boss Ben Smith’s cost-cutting plan, and exacerbate tensions with French unions, raising the risk of more strikes.

Blackstone cast-offs offer easy fit for Elliott

19 February 2019

The activist has snapped up a 6.1 percent stake in Dutch fund services group Intertrust. Its stock has languished since Steve Schwarzman’s private equity group listed it in 2015, due to disappointing margins. A cheap valuation means Elliott may not need to roll up its sleeves.

Farting cows can propel DSM higher

14 February 2019

The Dutch group’s feed supplements reduce bovine flatulence, a big source of methane emissions. That’s not yet on the market, but shows how DSM’s nutrients and chemicals can defy the economic slowdown. A robust balance sheet means it’s financially sustainable, too.

Heineken sets premium bar high for rival AB InBev

13 February 2019

The world’s two mega-brewers are aggressively wooing customers to pay up for higher-quality, and craftier, suds. The Dutch brewer’s full-year results suggest it’s managing the shift well despite - or perhaps because of - the increased heft of its $129 bln competitor.

Bad debts tarnish ABN Amro’s poster-child image

13 February 2019

The Dutch bank that became a byword for European finance’s post-crisis turnaround reported a slide in fourth-quarter profit as loan losses jumped. Despite robust annual returns, a share price drop is a reminder that investors won’t tolerate “one-offs” even from well-run lenders.

Apple’s Austrian roadkill looks like an M&A target

5 February 2019

Chipmaker AMS is being squeezed by the U.S. tech giant, its biggest customer. A heavy debt pile and rising investment needs have scuppered its dividend. With shares down 70 pct in six months, investors’ best hope may be a sale to a fellow Apple supplier, like STM.

Philips could be a tortoise to Healthineers’ hare

29 January 2019

The 31 bln euro Dutch medical tech group has a lower valuation and operating margin than its larger German peer. Steady growth and a Healthineers stumble could help it close the gap. Global ageing should lift both companies, though Philips has the greater recovery potential.

Apple suppliers have few tools to defy gravity

3 January 2019

The iPhone maker’s profit warning has hurt shares in European chipmakers like AMS. Apple can appease investors with buybacks or extra software revenue. But suppliers are in a bind. Any attempt to diversify means they will have plough cash into new ventures that may easily flop.

German takeaway truce delivers tasty value treat

21 December 2018

Delivery Hero is selling its German business to rival Takeaway.com for 930 mln euros. As with Uber's capitulation to Didi in China's car-share wars, it means an end to cutthroat competition in another gig-economy market - and relief for both companies' investors.