Roads & Transportation

Hong Kong’s Star Ferry deserves tycoon lifeline

18 Mar 2022

Lockdowns have put the Victoria Harbour icon into dire financial straits. Local moguls like family-controlled parent Wharf group are keen to help the city through tough times. Keeping the boats afloat would preserve a slice of history and provide some hope for the future.

A TuSimple China reversal would be hard to follow

18 Mar 2022

The $3 bln autonomous-truck upstart may sell its unit in the People's Republic. Splitting the Chinese-run firm would allay data concerns. Partners like UPS and better prospects make its U.S. business more appealing. Other Chinese entrepreneurs would struggle to take such an exit.

Canada’s trade risks go beyond bridges to America

23 Feb 2022

Trucker protests paralyzed a key border route, exposing the country’s reliance on its largest trading partner. But Canada also suffers from internal barriers between its provinces and territories. Removing those could boost the economy, if local protectionism can be overcome.

Tesla hits speed bump but with improved suspension

26 Jan 2022

Elon Musk’s electric-car maker’s revenue increased 65% in the fourth quarter. Like rivals it’s battling higher costs and parts shortages, but unlike them it has a 31% gross profit margin as a buffer. Even if the market shifts down a gear, that ought to help it remain in front.

Ferretti float may be back in same boat

24 Jan 2022

After a bold $1.2 bln valuation target sank its Milan IPO effort in 2019, the Italian yacht maker owned by China’s Weichai is now sailing for Hong Kong. Growth is buoyant, but luxury goods have charted a patchy course on Asian bourses. It’ll be hard, again, to make a splash.

Capital Calls: Dan Loeb’s gadfly circles again

18 Jan 2022

Concise views on global finance: The U.S. activist’s activists up the ante with call for independent director.

The Exchange: Xpeng boldly goes

18 Jan 2022

The Chinese electric-car maker has navigated everything from shrinking subsidies to Covid-19. Embracing new ways of working is critical, President Brian Gu tells Katrina Hamlin. Future forays into Europe, the metaverse and flying cars will test the Tesla rival’s resilience again.

Capital Calls: Spanx’s “velvet ghetto”

20 Oct 2021

Concise views on global finance: Blackstone’s investment in the undergarments company was closed by an all-woman team. That’s progress, but not the best kind.

Capital Calls: Pet retail scrap, Chubb, Czech IPO

8 Oct 2021

Concise views on global finance: Buyout firm Hellman & Friedman matches EQT’s 3.4 bln euro bid for Germany’s Zooplus, putting the onus on its rival; the U.S. insurer buys the Asian assets of Cigna for $5.8 bln; haulage-fleet manager Eurowag makes a chaotic market debut.

Rivian risks reckless run onto public markets

4 Oct 2021

The electric-vehicle maker backed by Amazon and BlackRock only just started selling its first model. It’s also burning cash fast and Jeff Bezos’s e-commerce empire has the upper hand as a big customer for delivery vans. A mooted $80 bln valuation sounds like a runaway IPO.

Viewsroom: Basket-case Britain; Gambling in Macau

30 Sep 2021

Trucker shortages, partly thanks to Brexit, have been blamed for all manner of UK economic hardships, from toilet paper scarcities to long queues at petrol stations. Ed Cropley and Peter Thal Larsen explain. And our columnists in Hong Kong discuss casinos and investment banking.

Trucker shortage turbocharges haulage payments IPO

28 Sep 2021

Eurowag has built a lucrative business planning routes and handling payments for haulage firms. A dearth of drivers makes it more important to minimise empty trucks. Even a top-gear 1.7 bln euro valuation leaves mileage for investors in the Czech company’s upcoming London float.

UK trucker shortage tows inflation in its wake

27 Sep 2021

The government is recruiting foreign drivers, suspending competition rules and may use the army to ease a fuel crunch which triggered panic buying. That should limit the hit to Britain’s road-dependent economy. But sharply higher wages will accelerate annual inflation towards 4%.

UK bus groups bet on future bumps in the road

21 Sep 2021

National Express, the 1.4 bln pound transport company, is in talks to buy rival Stagecoach for over 400 mln pounds. An 18% premium in shares isn’t particularly attractive. But given rising labour costs and a potential slow recovery of traffic, neither is the alternative.

Capital Calls: Microsoft’s buyback, Railway M&A

15 Sep 2021

Concise views on global finance: the software giant’s $60 bln stock repurchase plan is smaller than it sounds; meanwhile, a tangled takeover battle for train operator Kansas City Southern takes a messy new track.

Road to COP: Hydrogen comes faster than you think

14 Sep 2021

At this fall’s United Nations climate summit, world leaders will seek to take concrete steps to fight global warming. Green hydrogen could help, but it’s still too expensive. Snam CEO Marco Alvera tells Lisa Jucca why the hydrogen energy revolution is likely to surprise us all.

Capital Calls: New York City is on climate notice

2 Sep 2021

Concise views on global finance: Cities with a higher number of wealthier residents will be able to combat climate related events.

Atlantia’s M&A treasure chest has use-by date

30 Jun 2021

The infrastructure group is due a $10 bln cash windfall from the forced sale of its Italian motorway unit. Airports or toll roads are in high demand, while mobile payments bets are risky. Without a clear target, CEO Carlo Bertazzo should return more cash to investors or cut debt.

FirstGroup rebels may rue waiting for the next bus

25 May 2021

Two shareholders of the UK transport operator may vote against a $4.6 bln sale of its U.S. businesses to EQT. While no knockout, the price looks fair given the lack of other certain offers. A delay could destabilise the company when it needs to focus on opportunities at home.

KKR makes pricey punt on infrastructure frenzy

19 May 2021

The U.S. group is buying UK-based rail and roads investor John Laing for 2 bln pounds. A 35% premium to net asset value looks steep. But KKR can triple its target’s war chest to exploit a post-Covid spending boom, and holding on to the asset allows for more modest returns.