Road to COP: How can banks stop planetary frying? 5 Oct 2021 In the first instance, financial institutions can reduce travel budgets and replace radiators in office buildings and branches. The real leverage comes in how they manage customer assets and deploy balance sheets, UBS Chief Executive Ralph Hamers says in a chat with Rob Cox.
China’s bad loan markets will pad property crash 5 Oct 2021 The real estate crisis is rich pickings for distressed debt investors, as new exchanges and special courts have become more efficient at resolving duff loans. President Xi Jinping is no capitalist, but when it comes to popping bubbles, he’s allowed room for market forces.
Facebook outage is dry run for worse web crashes 5 Oct 2021 The $920 bln firm’s eponymous and Instagram social networks, plus messaging platform WhatsApp, just went kaput for hours. People use them for more than cat snaps. But a similar mess at Amazon, say, would have a bigger impact. Some internet services may now be too crucial to fail.
Capital Calls: Pandora, Facebook files pack punch 4 Oct 2021 Concise views on global finance: A leak with rich people’s offshore activities and a Facebook exposé reinforce perceptions with facts; GitLab’s float shows Microsoft’s wise 2018 buy; Volvo IPO aims to supercharge EV plans; BT’s bid to rule UK broadband may face U.S. competition.
Drahi drags satellite M&A into near-earth orbit 4 Oct 2021 France’s Eutelsat rejected the telecom billionaire’s $3.2 bln bid. If a follow-up offer succeeds, Drahi could pursue a cost-saving merger with rival SES, whose TV-signal business is also succumbing to gravity. A chunky spectrum refund from the U.S. government makes a deal easier.
Solvay activist’s Greenpeace costume doesn’t wash 4 Oct 2021 Smug from shaking up Danone, Bluebell Capital is chiding the chemicals group for dumping limestone on a Tuscan beach. With only token economic exposure, its bid to oust boss Ilham Kadri lacks heft. It’s also unclear what other investors gain from joining its eco-warrior campaign.
Dollar stores have more than an inflation problem 1 Oct 2021 Dollar Tree is upping the number of stores that sell goods for $3 and $5 rather than $1. Part of the problem is skyrocketing costs. But Americans' shopping habits are also changing. For CEO Michael Witynski, charging higher prices is just the first step.
Data center holdout needs new class of buyer 1 Oct 2021 The nearly $10 bln CyrusOne is exploring a sale after missing out on previous consolidation. A historical discount to rivals is an opportunity for infrastructure investors keen on the expanding sector. But any suitor will have to overlook challenges that put off others.
Jefferies will go from banking standout to misfit 30 Sep 2021 As a rare stand-alone investment bank, Rich Handler’s firm is riding high on ebullient markets and dealmaking. Revenue rose 19% last quarter. But as Wall Street peers' businesses shift and interest rates rise, favoring traditional banking, Jefferies could start to look lonely.
Capital Calls: Merck pill, Zoom deal 1 Oct 2021 Concise views on global finance: Investors are being stingy about the pharma firm’s new drug to treat Covid-19; the video-conference company and Five9 are dropping their $15 bln transaction.
Capital Calls: Biodiversity, Email, Gene IPO 30 Sep 2021 Concise views on global finance: Taskforce on Climate-Related Financial Disclosures gets a nature-based counterpart; Sweden’s Sinch clinches its fourth communication-software deal in seven months; a 40% bounce on Oxford Nanopore's market debut puts some life into London.
Europe’s chip champion can weather tech cold war 30 Sep 2021 ASML, which supplies machines to semiconductor makers, expects sales to grow 11% a year for a decade. That’s key to the Dutch company’s $310 bln market value. Despite restrictions on exports to China, countries seeking to secure chip supplies will provide an extra boost.
Alphawave crash exposes fragility of UK tech hype 30 Sep 2021 The chip designer’s market value halved after a media report raised fears about related party transactions. Its punchy $4 bln IPO in May was a high point of London’s push to attract startups. Even then, a reliance on a handful of customers left a worryingly thin margin for error.
Viewsroom: Basket-case Britain; Gambling in Macau 30 Sep 2021 Trucker shortages, partly thanks to Brexit, have been blamed for all manner of UK economic hardships, from toilet paper scarcities to long queues at petrol stations. Ed Cropley and Peter Thal Larsen explain. And our columnists in Hong Kong discuss casinos and investment banking.
Chancellor: Evergrande is all China’s woes in one 30 Sep 2021 The property developer’s spectacular collapse is the fruition of a massive real estate bubble, over-investment, excessive debt buildup and a wobbly credit system. As China’s bubble economy deflates, it will be replaced by a new one under President Xi Jinping’s absolute command.
Merger market could be headed for the big “meh” 29 Sep 2021 The post-summer period is often fruitful for M&A. This time round, the breakneck pace of deals has slowed. Regulatory uncertainty is partly to blame. Corporate chieftains also have their hands full with workforce dilemmas, supply chain drama, and general malaise.
NordicTrack owner sets up underdog IPO 29 Sep 2021 Fitness firm iFit isn’t as exciting as rival bike maker Peloton, and it doesn’t have as many subscribers. But sales are growing about as fast, margins are better and it sells bikes to gyms, an advantage as basements become a bore. Plus at $6.7 bln, it’s cheap compared to Peloton.
Capital Calls: Reliance Industries, Mediobanca 29 Sep 2021 Concise views on global finance: The Indian giant is trying to stave off an investor rebellion against its board appointment; top shareholder Leonardo Del Vecchio is proposing a governance shakeup at the Italian bank.
Nordic retail robot IPO carries steep price tag 29 Sep 2021 AutoStore, the SoftBank-backed firm that sells automated warehouses, is listing in Oslo for up to $15 billion. It’s a bet on the boom in online shopping and grocery delivery. Yet the rich valuation relies on breakneck growth in a competitive market and downplays legal risks.
Evergrande restructuring is well-balanced so far 29 Sep 2021 Local officials are helping suppliers get paid and consumers receive flats bought in advance, soothing buyer anxieties. Bigger investors in the struggling Chinese developer will therefore shoulder bigger losses. It’s a tolerable mix of political expedience and financial sense.