posted by Tom Freke on Sep 30
In zombie films, the dead walk the earth and slowly annihilate the living. Such a frightening prospect may be in store for Europe, the Reuters Restructuring Summit was told.
Banks are one of the big problems, speakers said, as they are unwilling to take the size of write-downs necessary to cut firms' debts down to a manageable size.
Firms owned by private equity, particularly the number two or three in their sector, are particularly at risk of becoming zombie companies because of their high debt levels and the lack of interest in such firms from equity investors, Simon Parry-Wingfield of Morgan Stanley said.
This may offer opportunities for distressed M&A, he said.
"The corporate world is beginning to see an opportunity ... to pick up middle-market companies or sponsored companies which are stuck in a zombie world because of their balance sheets," he said.
Those firms unable to attract new buyers or investors will be forced back into restructuring talks with lenders, he said, but their long-term future may not be bright.
"People are putting off the problem and the longer it takes to address operational issues, the harder and more expensive it is to fix them," he said.
posted by Chris Kaufman on Sep 30
It’s official. Kraft has until Nov. 9 to say whether it will make an offer for Cadbury. If it doesn’t, it had to back off for six months. In the three weeks since Cadbury turned up its nose at Kraft’s $16.3 billion cash-and-share offer. In that time, price talk has centered on how much Kraft will, or is able, to raise that bid by.
Rhys Jones reports that analysts see compelling logic to a potential deal adding Cadbury’s high-growth emerging market business to Kraft’s wide-ranging distribution system, with few overlaps that would prompt competition concerns.
Cadbury reiterated its rejection of Kraft’s approach, but with other potential suitors so far mum, chief executive Todd Stitzer may have to settle for whatever Kraft comes up with. The market has taken the stock up to 800 pence, about 7 percent above the offer price for the share component. And if Kraft CEO Irene Rosenfeld (pictured above) wants to keep her own shareholders – including Warren Buffett – happy, she will be sure to contain any impulse to aggressively sweeten the deal.
posted by Yahoo! News Search Results for dividends on Sep 30
Profit rose 86% to R70,6m due to dividends and interest declared by subsidiaries. As costs exceeded income, there was a R44m operating loss. That would change once income-generating activities reached critical mass.
posted by Yahoo! News Search Results for dividends on Sep 30
The bond market is almost saturated and so we must consider the best option that will not endanger shareholders' bonus and dividends." The company's result showed that its Gross and Net Premium income increased by 56.7% and 49.4% respectively.
posted by Yahoo! News Search Results for dividends on Sep 30
The first time Brent Smith saw Zach Price throw a football, he astutely suggested that the student would make a fine quarterback. This year, Smith is finally getting to reap the benefits of his observation.
posted by Yahoo! News Search Results for dividends on Sep 30
LONDON (SHARECAST) - Telecom Plus , the utility firm that provides gas, electricity to telephone services, said it remains comfortable with market expectations of both earnings and dividends for the year.
posted by Yahoo! News Search Results for dividends on Sep 30
Banks are starting to make money and should conserve the capital, including by not paying dividends, a senior International Monetary Fund official said on Wednesday.
posted by Daisy Ku on Sep 30
French food group Danone has agreed to sell its 51 percent stake in its joint ventures with China’s Wahaha group, putting an end to legal proceedings related to the disputes between the two. In 2007, Danone accused Wahaha of illegally setting up parallel business outside their ventures.
McGraw-Hill Cos is leaning toward selling its money-losing BusinessWeek magazine to Bloomberg LP, a person familiar with the matter tells Reuters. Bloomberg Markets, a financial news magazine that produces feature stories, and the 80-year-old BusinessWeek could be blended to make a title that would expand Bloomberg’s presence beyond its financial data clients and reach a mainstream audience.
For more on these stories and the rest of the latest deals news from Reuters, click here .
In M&A news from Wednesday’s newspapers:
Russian state bank VEB may get a stake in the troubled carmaker AvtoVAZ (AVAZ.MM) by acquiring an issue of its infrastructure bonds and converting them into equity, Kommersant business daily reports.
U.S. investment company Starwood Capital is attempting to gain control of lodging chain Extended Stay Inc, the Wall Street Journal reports, citing people familiar with the matter.
Private equity firms Carlyle Group and 3i (III.L) are among those holding preliminary discussions to take a minority stake in India’s Strides Arcolab’s (STAR.BO) injectables business, the Economic Times reported, citing banking sources.
posted by Yahoo! News Search Results for dividends on Sep 30
Professional poker player Matt Graham is only 26, but his fierce devotion to the game has already reaped some handsome dividends. Graham has won tournament championships and the coveted gold bracelet that goes with them at the last two World Series of Poker competitions in Las Vegas.
posted by Yahoo! News Search Results for dividends on Sep 30
The Government is reaping nearly $524 million in dividends from two of its state-owned power companies, after one of the coldest winters in decades saw unusually high power bills.
