Americas

How new stock rules are boosting Europe’s startups

9 Apr 2024

Young companies in the European Union have traditionally lagged US rivals in both value and numbers. But in this Exchange podcast, Index Ventures Partner Hannah Seal explains how friendlier regulations on employee share ownership are helping EU-based entrepreneurs fill that gap.

Rabanne-owner IPO offers a scent of prestige

9 Apr 2024

Perfumes-to-skincare conglomerate Puig wants to list in Madrid. At a discount to beauty giants L’Oréal and Estée Lauder, the Spanish group may be worth $18 bln. European markets remain fragile, but premium fragrances’ rising appeal may turn the listing into a rare bright spot.

Airbus obsessives have a shaky grasp of history

9 Apr 2024

The $140 bln pan-European group is flying high as rival Boeing stutters. Now carmakers and others are wondering if similar collaboration could help them face down overseas competitors. But Airbus’s idiosyncrasies and convoluted road to success make copycat plans pie-in-the-sky.

China’s overcapacity is here to stay

9 Apr 2024

US Treasury Secretary Janet Yellen warned Beijing not to hobble Western firms by flooding markets with cheap exports. It’s a valid concern: banks are lending more to industry amid weak local demand. But China’s growth target means its factories have to keep churning out goods.

Blackstone’s apartment deal has only so much room

8 Apr 2024

A $10 bln buyout of AIR Communities and its 27,000 US rental units is the biggest of its ilk in a while. It hews to COO Jon Gray’s plan to invest before a market recovery. But unlike his firm’s post-2008 spree, deep pockets aren’t enough. The Fed and the economy loom larger now.

Eclipse overshadows Texas’ solar power strength

8 Apr 2024

The Lone Star State’s grid can handle Monday’s dimming of the sun. A bigger test comes when less-predictable natural events occur. Battery storage is growing fast enough that, soon, cheap solar energy should be available when the sun unexpectedly doesn’t shine.

Jamie Dimon sends missive from political Neverland

8 Apr 2024

The JPMorgan boss’s annual letter is a manifesto for the middle. From climate to regulation, diversity to deficits, he argues for keeping the US on top and markets working - but no more. It’s a vision a shareholder should love. But this fairytale centrism is not on the ballot.

Blackstone dodges worst of Asia’s exit angst

8 Apr 2024

It plans to float more businesses in India this year, including a diamond certification firm at up to 6 times the value it paid last year. Apart from being one of the region’s biggest private equity investors, it is one of the least exposed to China. That strategy is paying off nicely.

Next Chinese trade war could benefit the planet

8 Apr 2024

As Beijing floods the world with cheap green goods, the West will put up trade barriers. That will delay the energy transition in the United States and EU. But the glut of EVs, solar panels and the like will speed it up in China and much of the Global South.

Elon Musk bets big on Tesla, not cars

5 Apr 2024

A move to ditch its cheap car, which Reuters reported, to focus on self-driving dashes shorter-term growth hopes at the $525 bln automaker. But boss Musk has scale with data which can help AI. With a tenuous EV crown, reinventing transportation is very Tesla and very risky.

Hollywood monarchs cling to a fading empire

5 Apr 2024

Paramount owner Shari Redstone and Endeavor CEO Ari Emanuel are involved in complex bids designed in part to suit their needs. Disney boss Bob Iger won a bitter fight to keep a friendly board. Tinseltown is losing its luster. Moguls’ resistance to giving up crowns slows progress.

Google will struggle with Apple-generated AI query

5 Apr 2024

Artificial intelligence presents the first serious threat to the search engine’s 25-year dominance. Parent Alphabet has the money and tech nous to fend off rivals. The bigger financial risk is its $120 bln relationship with the iPhone maker as trustbusters try to pry them apart.

UAE flips own script with $4 bln oil pipeline deal

5 Apr 2024

Abu Dhabi’s $100 bln fund, Lunate, bought KKR and BlackRock’s 40% stake in ADNOC’s infrastructure arm. In recent years the UAE has raised cash from foreign investors by selling minority stakes in its oil giant. The latest deal does the opposite.

US bid has paper-thin lead in packaging M&A race

5 Apr 2024

Tennessee-based International Paper pegged the savings from a proposed all-share deal with DS Smith at $500 mln. If they’re viable, they help keep the US group’s investors on side. The onus is now on rival bidder Mondi to offer more, or show its own cost cuts would be higher.

Beauty boom is busted

4 Apr 2024

Ulta Beauty’s stock plummeted 15% after the $21 bln makeup company’s CEO said lipstick-wearers had less money to put towards their routines. The industry’s M&A trend suggests the glam business can’t stay attractive forever – it has succumbed to a typical cycle like everyone else.

Hollywood super-agent casts himself as deal star

4 Apr 2024

Endeavor boss Ari Emanuel was unexpectedly humbled: some of his bonuses went unpaid because the company’s stock price has sputtered. A $13 bln sale to buyout shop Silver Lake fixes the problem. Between equity, royalties and other goodies, he stands to pocket more than $400 mln.

US antitrust push invites creative dealmaking

4 Apr 2024

Policymakers and trustbusters are eyeing new restrictions on mergers and acquisitions. In this Viewsroom podcast, Breakingviews columnists unpack some imaginative workarounds being used by companies ranging from Big Tech to fast food.

Ben & Jerry’s rocky ESG road bucks vanilla trends

4 Apr 2024

The purpose-driven ice cream brand is being scooped out of Unilever as corporate activism increasingly invites controversy. And yet the maker of flavors like Empower Mint has grown faster than its parent. Social values, especially when authentic, can mix well with financial aims.

Bob Iger now under pressure to wow with an encore

3 Apr 2024

Disney’s CEO worked some magic to stop mouthy Nelson Peltz from being elected to the board. The next trick is to fix streaming and narrow a valuation gap with Netflix. Even if Iger pulls another contract extension out of his hat, shareholders want to see a financial showstopper.

GameStop saga ends. Winner: capital markets

3 Apr 2024

The game retailer cashed in on meme stock mania, revamped management, but failed to reinvent itself. Reddit-fueled investors, eager to fight shortsellers, may just lose their shirts. It would be a costly lesson that, some broken pockets aside, the market was working all along.