Capital Calls: Chevron, Pickleball 29 Sep 2022 Concise views on global finance: The oil driller has sold its California headquarters building and is moving employees to Texas, while one of the fastest-growing U.S. games is beefing up its professional ambitions with an investment from basketball superstar LeBron James.
Alan Jope exit is easiest step of Unilever revival 26 Sep 2022 Shares in the $111 bln Dove maker rose after it said its CEO would leave by end-2023. A botched bid for GSK’s personal health arm hit Jope’s credibility. But even with a new broom Unilever will struggle to pull off a big deal, and selling lower-growth units looks harder to do.
Capital Calls: Novartis 22 Sep 2022 Concise views on global finance: The Swiss drugmaker hopes to fix its growth problem by listing its generic drug business and focusing on the U.S. market.
Vodafone’s new activist is mixed investor blessing 21 Sep 2022 French tycoon Xavier Niel bought 2.5% of the $34 bln telecoms company. That will cheer fellow shareholders, like Cevian Capital, who are pushing CEO Nick Read to simplify the group. Yet the risk is that Niel is more interested in getting hold of its Italian assets on the cheap.
Nissan’s Ashwani Gupta on the need for speed 20 Sep 2022 The arrest and escape of former Chairman Carlos Ghosn in 2019 put a harsh spotlight on the Japanese auto giant. Covid and inflation have added pressure since. In this episode, Nissan’s COO talks to Pete Sweeney about electrification, fast cars and turning the business corner.
Patagonia lobs ESG breakup calls back to the wild 16 Sep 2022 Founder Yvon Chouinard has ceded control of the clothing firm to use its earnings to fight climate risk. A sale would have built a bigger war chest. But he wants to defend his company’s values and workers, too. It shows how splitting environmental and social goals is wrongheaded.
Peloton pack leader has clear road to accelerate 13 Sep 2022 Founder John Foley has exited the $3 bln exercise company, leaving an overhaul in the hands of CEO Barry McCarthy. The subscription business is showing sparks and Peloton is on the path to making cash – again. McCarthy may yet fail, but at least it will be on his terms.
China congress will keep investors catastrophizing 13 Sep 2022 The twice-a-decade meeting in October is likely to secure President Xi Jinping a third term. Hopes Beijing will then relax about politics and focus on propping up growth may be misplaced. As the economy slumps, investors look set to fixate on signs of the worst, not the best.
Capital Calls: SPACs’ long shadows 12 Sep 2022 Concise views on global finance: While electric-vehicle startup Nikola is moving beyond its founder, both it and its SPAC-partner peers are mired in supply chain challenges, slipping deadlines and tumbling share price performance.
Queen was Britain’s ultimate brand ambassador 8 Sep 2022 During seven decades on the throne, Queen Elizabeth II brought stability and dignity as the United Kingdom morphed from a manufacturing economy to a seller of services to the rest of the world. Her death at 96 leaves the country struggling to project the same credibility.
Target gets one thing right on CEO shelf life 7 Sep 2022 The retailer’s decision to scrap its retirement policy and keep Brian Cornell a few years longer makes sense: Target’s shares have tripled under his watch. But even great leaders can outstay their welcome. A better defense against staleness would be to focus on tenure, not age.
Ping An’s HSBC campaign fails the financial test 7 Sep 2022 The Chinese insurer has doubled down on its call for the $123 bln bank to spin off its Asian unit. Doing so would put cross-border revenue at risk and raise funding costs. To make it worthwhile, the business would have to snag a premium to most regional peers. That’s unlikely.
Capital Calls: Porsche’s bold IPO 6 Sep 2022 Concise views on global finance: German carmaker Volkswagen is pushing ahead with its plan to list the luxury brand, despite torrid markets.
Trussonomics may freak out the markets 5 Sep 2022 If the UK’s new prime minister was only planning big energy subsidies, investors might not worry too much. But Liz Truss is also planning tax cuts – and may pick fights with both the Bank of England and European Union. If so, the pound could be clobbered, says Hugo Dixon.
Capital Calls: UBS fintech U-turn, UK housebuilder 5 Sep 2022 Concise views on global finance: CEO Ralph Hamers cancels the $1.4 bln acquisition of robo-adviser Wealthfront; Countryside Partnerships accepts a 1.3 bln pound offer from UK rival Vistry just three months after rejecting a higher bid.
Starbucks CEO brings warm skills to hot problems 2 Sep 2022 The $98 bln coffee chain named Reckitt boss Laxman Narasimhan as its next leader. He’s expected to deliver more and faster Frappuccinos with a restless workforce and rising costs. Narasimhan’s track record is promising. But with Howard Schultz still around, he is under the gun.
Capital Calls: Lululemon stretches inventory logic 2 Sep 2022 Concise views on global finance: The $41 bln company raised annual profit and revenue forecasts, but is a little too relaxed about its growing stockpiles of yoga gear.
Shell’s next boss looks a shoo-in 2 Sep 2022 The $192 bln energy group’s veteran CEO Ben van Beurden is likely to depart next year. Shell’s heads of oil drilling, refining, and finance all merit consideration. But gas and renewables boss Wael Sawan, who holds the key to Shell’s future revenue growth, is the logical choice.
CEO exit gives Reckitt suitors a narrow window 1 Sep 2022 Shares in the $55 bln Durex condom maker fell amid Laxman Narasimhan’s sudden departure. Naysayers can cite Reckitt’s half-done rejig and inflation risks. Yet with a valuation lagging the likes of Colgate Palmolive, a bidder could point to other positives to justify a swoop.
AstraZeneca’s Soriot on cures for pharma ills 30 Aug 2022 The $208 bln drugmaker’s CEO is celebrating 10 years at the helm. In this edition of the Exchange podcast, he explains why after quadrupling the company’s share price, there is more to do. He also delves into Chinese competition and the consequences of caps on U.S. drug prices.