Capital Calls: China’s bank reserves 9 Jul 2021 Concise views on global finance: Beijing released more cash into its financial system as growth slows.
South Korea’s Krafton plays hit-or-miss China game 9 Jul 2021 The maker of blockbuster video-game franchise "PUBG" wants to go public at a $21 bln valuation. Geopolitical tension between Seoul and Beijing hampers access to its biggest market by sales. Krafton and top backer Tencent devised a workaround, but too much depends on it.
UK credibility on China inward M&A gets wafer-thin 8 Jul 2021 Britain’s government initially declined to review Chinese-owned Nexperia’s $87 mln deal to buy the country’s largest semiconductor plant. It has now U-turned, which makes sense given the world chip shortage. But the mixed messages hardly inspire confidence in the process.
Europe’s Zoom finds home-working boom has downside 8 Jul 2021 TeamViewer lost $1 bln of market value after it said customers who panic-bought last year are now paying less. The remote-software group’s shares have retraced to pre-Covid levels. The whole episode distracted from its real goal: connecting machines, rather than people.
Capital Calls: Gates split, Chinese IPOs, Telenor 8 Jul 2021 Concise views on global finance: Bill and Melinda Gates agree a post-divorce plan for their joint charitable organisation; medical data firm LinkDoc is among the first to pull its U.S. listing; the Norwegian telco gets just $105 mln for unit hobbled by Myanmar junta.
Satellite image IPO race is growing crowded 7 Jul 2021 Planet Labs’ merger with a blank-check firm values the Google-backed company at $2.8 bln. Making rapidly updated images of the planet searchable may unlock a big market and launch costs are falling. But these are the same reasons why multiple rivals are popping up on the radar.
Capital Calls: U.S. jobs, Fitness IPO 7 Jul 2021 Concise views on global finance: U.S. employment vacancies tip scales towards workers; Mark Wahlberg-backed F45’s IPO values it at twice what an attempted SPAC deal did last year, justifiably.
Wise’s low-fee vision goes blurry in London float 7 Jul 2021 The money-changing app is paying Goldman Sachs and others 13 mln pounds for its direct stock market listing. That’s steep relative to the tiny number of shares on offer, though investors benefit from future liquidity. Either way, it’s more ambiguous than Wise’s cheap FX rates.
China IPO crackdown will cast chill over Caymans 7 Jul 2021 A Caribbean islands domicile has enabled $60 bln Didi and others to easily list in New York. But new rules from the powerful state cabinet will tighten oversight on overseas floats. Companies that have long relied on offshore structures to skirt local rules may find it harder.
Nextdoor may struggle to keep up with Joneses 6 Jul 2021 The neighborhood social network is merging with a SPAC in a $4.3 bln deal. Sure, it’s useful to communities posting about yard sales and missing pets. But it’s not profitable and its model is easily replicable - by Facebook. Nextdoor may be living beyond its means.
Capital Calls: JEDI’s demise, Toyota’s weird world 6 Jul 2021 Concise views on global finance: The cancelation of a $10 bln U.S. government cloud contract shows negotiating big projects is sometimes a matter of guesswork. Meanwhile, the auto firm that pioneered just-in-time manufacturing is cashing in on a chip stockpile and red-hot market.
Capital Calls: Glencore chair, Chinese e-commerce 5 Jul 2021 Concise views on global finance: The commodity giant picks a new chair familiar with its stamping grounds; Beijing cranks up the pressure on companies over data abuses.
How much is Wise worth? 5 Jul 2021 The money-changing app is listing in London without setting a price. Its worth depends largely on how much more foreign-exchange business CEO Kristo Käärmann can win from banks. A Breakingviews calculator shows Wise is due a roughly 20% upgrade from last year’s $5 bln price tag.
Wise’s FX land grab merits $6 bln valuation 5 Jul 2021 The money-changing app is listing in London without setting a price. Its worth depends largely on how much more foreign-exchange business CEO Kristo Käärmann can win from banks. A Breakingviews calculator shows Wise is due a roughly 20% upgrade from last year’s $5 bln price tag.
India’s e-commerce rejig looks too protectionist 5 Jul 2021 A ban on discounted flash sales and other proposed rules shield offline sellers and squeeze Amazon and Walmart, but excessive compliance requirements will make it hard for small businesses too. It’s an ill-timed setback for one of the country’s most exciting growth stories.
Capital Calls: U.S. jobs, Didi probe, Pharma LBO 2 Jul 2021 Concise views on global finance: The U.S. added 850,000 jobs in June but the recovery isn't happening everywhere. Meanwhile, Didi is hit with an investigation by a Chinese regulator days after its U.S. listing, and a pharma buyout by EQT and Goldman is a game of hot potato.
Capital Calls: It sure feels good to be a banker 1 Jul 2021 Concise views on global finance: Global deals in the first half of the year broke all records.
Big Tech trustbusters need to disrupt themselves 30 Jun 2021 A U.S. judge tossed out a government suit against Facebook mainly because the FTC didn’t show how to measure the social network’s market share of a service people don't pay for – despite saying it was 60%-plus – or name competitors. Regulators need to rethink their toolbox.
Wall Street enlists Main Street for IPO advantage 29 Jun 2021 Clear Secure’s underwriters are allocating 1% of its offering to trading platform Robinhood. That tips bankers off if the airport security firm creates retail buzz. If so, it should enable them to leave less value on the table while also giving Robinhood traders a chance to play.
Drahi’s mystery pounce gives BT plenty to ponder 28 Jun 2021 The Franco-Israeli tycoon may have used derivatives to collar 12% of the British telco. Such deals typically cap an investor’s economic exposure. Buying the underlying shares would align his interests with those of other holders and let him benefit from a BT broadband shakeup.