Management & Leadership

Renault’s green IPO hitch is blessing in disguise

30 Jan 2024

The $11 bln French carmaker decided not to list electric-vehicle division Ampere, citing market headwinds. CEO de Meo had hoped to value it at up to 10 bln euros, but a public float never looked like a must-have. The move will allow him to focus on the unit’s ambitious targets.

For trading bosses, it’s a good time to retire

29 Jan 2024

Goldman Sachs veteran Jim Esposito quit after realizing he was “going through the motions.” No wonder: banks’ markets divisions, like the one he oversaw, face falling income and growing red tape. Sailing into the sunset, or at least out of banking, will only get more enticing.

Dismantling Evergrande exposes Hong Kong-China gap

29 Jan 2024

A court in the financial hub has ordered the world’s most indebted developer to liquidate after talks with offshore creditors collapsed. Yet how this will be enforced on the mainland, where most of Evergrande’s assets are, is unclear. The experience of HNA may offer some clues.

JPMorgan is a rare palace that warrants intrigue

26 Jan 2024

Most whispers about CEO succession amount to idle gossip, but Jamie Dimon’s management shake-ups could lead to a world-changing decision. His swagger has helped expand the $4 trln bank’s clout in the financial system and it’s increasingly doubtful his replacement will sustain it.

LVMH could use a bit more transparency

25 Jan 2024

The $375 bln luxury group had a decent 2023, but shares are flagging after a decade-long surge. Boss Bernard Arnault hasn’t had to fret about being in investors’ good books. One way to cheer them now is to make it possible to see how well key brands like Louis Vuitton are doing.

Capital Calls: SAP, Abrdn

24 Jan 2024

Concise views on global finance: The German software giant is cutting 7% of its workforce, sending shares to an all-time high; outflows at the British fund manager accelerated in the second half of 2023, exacerbating the company’s effort to turn itself around.

ADM accounting mess highlights risky exec comp

23 Jan 2024

The grain trader’s shares fell 24% after suspending its CFO amid an accounting investigation. One segment generating only 10% of profit determined a big chunk of executive bonuses. Whatever emerges, putting so much weight on small shifts in results invites problems.

It will take more than Draghi to boost EU growth

22 Jan 2024

Europe can’t decide if it will be more competitive with open markets or heavily protected national champions, and it wants Mario Draghi to pick. Italy’s former PM is more likely to reflect than resolve tensions among members. But the bloc can’t up its game behind closed doors.

Disney’s Bob Iger falls flat by his own standards

18 Jan 2024

Activist Nelson Peltz wants the $166 bln media company’s shareholders to back his board slate. Iger’s defense as CEO is that Disney is on the right path by taking sports network ESPN direct to viewers and cutting streaming losses. Trouble is, progress looks slim on both measures.

Global risk pile-up penetrates Davos bubble

18 Jan 2024

Nearly 3,000 movers and shakers have converged on the Swiss resort amid crises in the Red Sea, Gaza and Ukraine. In this Viewsroom podcast, Breakingviews columnists discuss how Davos-goers unable to ignore these perils are nervously anticipating another Trump presidency.

Elon Musk’s losing streak is heading for Tesla

17 Jan 2024

The billionaire wants 25% control at the $690 bln carmaker, after trimming his stake in part to finance an ill-advised deal for Twitter. Musk’s social-media frolic risked making him an absentee CEO; containing that threat means following bad governance with worse.

BP’s business-as-usual vibe can only go so far

17 Jan 2024

The UK oil major has appointed Murray Auchincloss to the top job. While the ex-CFO seems to want to stick with BP’s current strategy, that might not help its valuation discount. Ways that conceivably could – like spinning off his transition assets – are worth his consideration.

The spectre of Donald Trump hangs over Davos

12 Jan 2024

The former US president is not among the 2,800 business and political leaders converging on the Swiss resort. But his possible return to power will pervade debates about Ukraine, China, and climate change. In 2016, Davos laughed off the idea of a Trump presidency. Not this time.

EU hitches anti-Orbán plot to Draghi trial balloon

9 Jan 2024

European Council chief Charles Michel’s decision to leave early means Hungary’s Viktor Orbán could take charge of leaders’ meetings and represent them in high-profile summits. Doing whatever it takes to fill the void, even tapping Italy’s former PM for a short time, makes sense.

VinFast charges up its stock market unsuitability

9 Jan 2024

The $16 bln electric-vehicle maker has replaced both its CEO and CFO within five months of going public via a SPAC. The new boss is founder Pham Nhat Vuong, who owns almost all its stock. The latest moves are a reminder that VinFast looks and acts like a private firm.

Harvard ouster is a win for activists, not activism

5 Jan 2024

Corporate cage rattler Bill Ackman won his bid to oust President Claudine Gay from the elite US university. The process was different from activism at companies, where boards rather than CEOs are the natural target. Corporate change is laborious; investors should be glad of it.

Disney’s angry mob risks doing more harm than good

3 Jan 2024

Boss Bob Iger struck a deal to secure support from Mason Morfit’s ValueAct ahead of a looming proxy fight with Nelson Peltz. Pushy fund Blackwells, meanwhile, has nominated its own directors. The mess is of Iger’s own making, but competing agendas further complicate his job.

Aussie tycoon will blaze new green activist trail

2 Jan 2024

Atlassian co-CEO Mike Cannon-Brookes has already used some of his billions to tackle climate change, like battling the country’s top carbon emitter. Quitting the software firm would make him more effective. Other wealthy moguls may then join him in the activist trenches.

The Li clan will deal their way out of value trap

20 Dec 2023

The Hong Kong-based empire founded by Li Ka-shing is unloved by investors. Despite his son Victor’s efforts to boost value, the $20 bln CK Hutchison trades at a big discount to its net assets. With 80% of revenue outside Greater China, it makes sense to explore a sale or breakup.

Saudi’s best foreign investment will be in Gaza

19 Dec 2023

The kingdom is known for flashy punts on Western sports and blue chips. But its real need is foreign cash to help diversify away from oil. If Crown Prince Mohammed bin Salman were to use Saudi money to help Palestinians rebuild post-war, US goodwill may prompt an FDI spike.