Time Inc owners could yet thank Bronfman 28 Nov 2016 The $1.4 bln magazine group reportedly rejected a bid from the former Seagram heir. A 30 pct premium sounds decent for an indebted publisher with falling sales, and selling shareholders needn't fret about Bronfman's poor record. Time's bosses are on notice to find a better offer.
A weakened free press comes at a price 25 Nov 2016 Donald Trump's antagonism toward the media keeps rising. Turkey, meanwhile, has jailed more than 140 journalists. Struggling publishers are cutting staff. Research suggests less restraint on news gathering helps GDP growth. That makes the current environment an economic threat.
Aussie gamblers up the stakes in friendly takeover 25 Nov 2016 Tabcorp has grabbed 10 pct of target Tatts. The share raid is unusual midway through an agreed deal. It warns gatecrashers away from the $5 bln tie-up, and heads off talk of a Tatts breakup. But if competition approval is not forthcoming, Tabcorp will have overplayed its hand.
Fake-news vortex envelops Corporate America 18 Nov 2016 Facebook's Mark Zuckerberg is no longer alone with the problem. In the days after the U.S. election, New Balance, Pepsi and Ford have been caught out by the spread of bogus information. Donald Trump's willingness to distort the truth creates a boardroom risk that is all too real.
Dish boss may play part of AT&T deal spoilsport 17 Nov 2016 Consumer advocates and antitrust academics often influence telecom mega-merger reviews, but corporate foils have clout, too. Netflix and Sprint are recent examples. Charlie Ergen, the litigious CEO of pay-TV company Dish, could be a factor in the $85 bln Time Warner takeover bid.
Viewsroom: Should Facebook root out fake news? 17 Nov 2016 The social network is under fire for allowing erroneous and downright misleading media reports on its platform that may have swayed the U.S. presidential election. Meanwhile, Canada and Mexico prepare for a Donald Trump presidency. And Warren Buffett eats his words on airlines.
Chinese copper firm goes off-script in Hollywood 15 Nov 2016 Loss-making Anhui Xinke is buying the studio behind "The Hurt Locker" for $350 mln. It is not the first Chinese acquirer of a U.S. film producer but it might be the most out of place. Betting on pictures for profits to cure the hurt in the bloated metals sector is pure fantasy.
Disney can draw bigger audience to ratings fight 7 Nov 2016 The $150 bln media giant is squawking over Nielsen figures that show fewer households getting its ESPN sports network. Investors already are worried that the company's biggest business may be challenged. One way to combat confusion would be for Disney to release some data itself.
Review: The folly of shorting the American dream 4 Nov 2016 "Betting on Zero" dramatizes Bill Ackman's battle to prove Herbalife is a pyramid scheme that dashes most recruits' hopes of prosperity. The short-seller is still down on his $1 bln wager. But the nutrition marketer's attempts to muzzle the documentary could backfire.
ProSieben’s golden M&A formula merits more credit 4 Nov 2016 The German broadcaster's 515-million-euro capital increase has got the thumbs down from investors. Their dilution anxiety is overdone. Judging by the group's successful 1.1-billion-euro digital M&A spree since 2014, its replenished war chest can quickly yield decent returns.
Golden Globes make problematic prize for Wanda 4 Nov 2016 Wang Jianlin's company is already big in Hollywood. Now it is buying Dick Clark, the U.S. TV awards producer, for about $1 bln. The sellers should be happy. But Washington's Sino-sceptics may not want to see Wang rolling out the red carpet for many more entertainment firms.
Time Warner’s sale to AT&T obscures future hurdles 2 Nov 2016 The HBO operator handily beat quarterly expectations as it prepares for its $85 bln sale to the telephone company. Still, small signs serve as a warning for the buyer. Chief among these is the long-term sustainability of cable fees from its powerful Turner networks division.
Gannett deal flop helps case for new mogul era 1 Nov 2016 The USA Today publisher dropped its bid for Tronc, a merger that would have brought cost savings. A relentless downturn is forcing painful cuts in many newsrooms. Business-model experiments work best away from public markets. More sole proprietors like Jeff Bezos are welcome.
Tronc may have to face newspaper free fall solo 27 Oct 2016 Michael Ferro, chairman of the absurdly renamed L.A. Times and Chicago Tribune publisher, spent months resisting Gannett's entreaties. Now the buyer is in trouble: a double-digit plunge in ad sales and nasty losses. Ferro may find himself, well, tronced by his own petard.
Viewsroom: AT&T’s dog of a deal 27 Oct 2016 CEO Randall Stephenson's $85 bln offer for Time Warner lacks strategic rationale, has politicians of all stripes criticizing it and has destroyed shareholder value while denying owners a vote. All it lacks – so far – is an activist shareholder demanding it be scrapped.
Twitter’s Jack Dorsey can’t square two-job circle 27 Oct 2016 The $12 bln social-media service will slash 9 pct of its workforce after a botched sale process. Revenue and user growth is slowing, making next year's profit target optimistic. The whole mess suggests it's time for Twitter's lame one-year experiment with a two-timing CEO to end.
Comcast schools AT&T on media M&A 26 Oct 2016 The cable giant now streams a third of its revenue from NBC Universal, a deal it concluded in early 2013. The regulatory and political climate was more accommodating and CEO Brian Roberts' strategy sound. AT&T's $85 bln bid for Time Warner, by contrast, is a dog's breakfast.
Cox: AT&T opens itself up to activist attack 25 Oct 2016 CEO Randall Stephenson is an old-fashioned empire builder cut from Jean-Marie Messier cloth. In an era of pushy investors, however, running roughshod over shareholders to play Hollywood mogul doesn't fly. There's a blueprint for challenging this terrible plan to buy Time Warner.
AT&T runs corporate finance into populist uprising 25 Oct 2016 The $85 bln acquisition of Time Warner would consolidate an industry already controlled by a small group. It's just the sort of concentrated power that gave rise to the likes of Donald Trump and Bernie Sanders. This deal, which both oppose, could become a symbol for the movement.
AT&T’s media mega-deal is doomed sooner or later 24 Oct 2016 The $85 bln Time Warner takeover got off to an ominous start, trading 20 pct below the agreed price. Political backlash has begun and regulatory approval is uncertain. Even if AT&T clears those hurdles, all the buzzwords in the world won't save the muddled strategic logic.