Companies & Funds

Carmakers’ US dreams turn to nightmare dilemma

28 Mar 2025

Hyundai is investing $21 bln to ramp up production in the US. It's a risky bet that higher manufacturing costs will be easier to manage than tariff-induced higher import costs. It also underscores the sheer importance of the American market to the South Korean giant.

CoreWeave scripts AI’s Tinker Bell moment

27 Mar 2025

The cloud services firm cut its mooted target IPO valuation by 22% as supplier Nvidia steps in for support. Like the storybook fairy, the business lives on belief, in this case that a few companies will keep feeding a circular silicon economy. Rising doubt could be existential.

Basic rules of banking apply to Klarna too

27 Mar 2025

The buy now, pay later provider wants to be valued as a disruptor in its US IPO. But on conventional metrics, loan losses, which grew 40% to $495 mln last year, compare poorly with credit card users. There’s no sign Klarna and its peers have invented a better way to lend money.

Car investors only take US tariffs semi-seriously

27 Mar 2025

Shares in the likes of BMW and Volkswagen fell after President Donald Trump whacked 25% tariffs on auto imports. Those declines may not be pricing in the worst. Carmakers can soften the blow, and Trump may backtrack. Yet US trade imbalances suggest that may not happen soon.

How UBS can soften or swerve $25 bln capital blow

27 Mar 2025

Swiss lawmakers might whack the bank with demands for extra equity. Chair Colm Kelleher could dodge the punch by moving its head office, but that would be risky. Better for UBS to cushion the impact by shrinking the investment bank - or even offloading its US wealth unit.

US auto tariffs zoom past economic speed limit

27 Mar 2025

President Trump unveiled 25% levies on cars and parts, endangering an interconnected, border-hopping supply chain. At maybe $75 bln or more, the cost could wreck industry profit. Cars are strategically valuable, and the US industry faces threats, but this is too much, too fast.

Dismal dollar-store deal upends recession logic

26 Mar 2025

Discount chain Dollar Tree is selling its down-market brand for $1 bln to private equity, after buying it for $9 bln in 2015. As consumers show signs of struggling, catering to all income levels would seem a safe bet. Tariffs and government cuts turn that rationale on its head.

ECB bank snub is good for Orcel, bad for M&A bulls

26 Mar 2025

The supervisor has queried Banco BPM’s use of the ‘Danish Compromise’ in its swoop on fund group Anima. That’s bad for the acquirer. But it’s good for UniCredit CEO Andrea Orcel, who wants to buy BPM – and for those who want M&A to be based on logic, not capital arbitrage.

UAE’s bumper US bet is AI access down payment

26 Mar 2025

The Gulf state is to fork out $1.4 trln on American energy and mining over the next decade. Given US economic uncertainties, not all these investments may go well. But if it prompts Washington to grant the UAE access to more advanced chips for AI, it may prove money well spent.

China has shaky upper hand in battle of the robots

26 Mar 2025

Elon Musk and Nvidia's Jensen Huang have talked up the potential of humanoid machines. Unitree and peers in the People's Republic have an early lead thanks to the country's sophisticated manufacturing supply chains. But US tech sanctions risk derailing China's robot rise.

Washington texting snafu sends alert to boardrooms

25 Mar 2025

A top-secret group chat accidentally shared with a journalist adds to Team Trump’s list of sloppily handled sensitive information. Confidential financial data, drug trials and more also lurk inside government agencies. Corporate readiness for exposure should now be at DEFCON 3.

Holcim’s US sure thing is now a wait-and-see

25 Mar 2025

The $62 bln Swiss materials group reckons its soon to be New York-listed North American arm can grow strongly up to 2028. Assuming it hits its targets, 'Amrize' may yet get the re-rating that underpins the split’s logic. But the newly wobbly US economy makes that less certain.

What investment firms can teach us about AI

25 Mar 2025

Though artificial intelligence seems new, fund managers have used it to spot patterns for years. In this episode of The Big View podcast, Gary Collier, chief technology officer of Man Group, talks about the surprising lessons he’s learned and debunks some common AI tropes.

Geely is legacy carmakers’ electric poster child

25 Mar 2025

The $23 bln Chinese manufacturer’s core earnings rose 56% last year, mostly by defying shrinking demand for gas guzzlers in its home market. Yet it’s also nurturing fast-growing but often unprofitable EV brands like Zeekr. Rivals from Ford to Stellantis will look on with envy.

Prudential’s India listing may prove short-sighted

25 Mar 2025

The insurer might seek a $12 bln valuation for its local asset management unit. Returning proceeds to shareholders could boost Pru's stock, which trades at a discount to AIA. But a sale would be a partial retreat from a fast-growing market while giants like BlackRock pile in.

Dun & Bradstreet crystallizes buyout-shop woes

24 Mar 2025

The business-data cruncher, whose roots go back to 1841, is being bought again, this time by private equity firm Clearlake. At $8 bln, the price is about the same as its pre-IPO sale five years ago. A lower multiple and knottier funding typify the stress in such deals nowadays.

RWE typifies corporate Europe’s investment dilemma

24 Mar 2025

The $26 bln German energy group is scaling back US green projects to help save $11 bln. Activist Elliott wants the money spent on buybacks, but Berlin’s fiscal shift may offer opportunities at home instead. The question is how quickly a brewing EU investment boom will take shape.

Sustainable fuel surge may mean fewer UK flights

24 Mar 2025

Britain wants airlines to ramp up use of sustainable aviation fuel at a faster pace than in the EU. That’s laudable, with the hard-to-decarbonise sector accounting for 2% of global emissions. But the margin hit for short-haul carriers like easyJet may risk them flying elsewhere.

Cross-border home renovation deal is full of gaps

24 Mar 2025

On paper, Chicago-based decks and railings maker Azek complements its buyer, Aussie- and NYSE-listed cladding manufacturer James Hardie. But cost cuts don't cover the 41% premium on the $9bln deal and other synergies look dubious, not least as tariffs are set to hit US consumers.

China Cosco may be shipping war’s first casualty

24 Mar 2025

The world's top shipping group doubled 2024 earnings but Washington's proposed docking fees on China-linked vessels and tariff salvo will dent demand for Cosco services. Rival CK Hutch's $23 bln ports sale also suggests trade will reroute to Western peers. It’s a perfect storm.