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July 18 (Reuters) - Jadi Imaging Holdings Bhd:
* EU LAN ENG RESIGNS AS EXECUTIVE DIRECTOR Source text : (https://bit.ly/2uIp8Rf) Further company coverage:
July 18 (Reuters) - Jadi Imaging Holdings Bhd:
* EU LAN ENG RESIGNS AS EXECUTIVE DIRECTOR Source text : (https://bit.ly/2uIp8Rf) Further company coverage:
Stock futures hugged the flat line Tuesday evening after a mixed session on Wall Street, with traders looking ahead to a slew of earnings results from big banks.
Credit Suisse has not yet finished unwinding its Archegos positions, said one source familiar with the matter. The bank has taken a $4.7 billion hit from dealings with Archegos Capital, prompting it to overhaul the leadership of its investment bank and risk divisions. Shares in Discovery and IQIYI fell in U.S. afterhours trading after news the offers, which were pitched below the stocks' closing prices.
The S&P 500 hit a record high on Tuesday and the Nasdaq jumped as investors flocked to technology-related stocks after the United States' pause in the rollout of Johnson & Johnson's COVID-19 vaccine sparked fears of a delay in a broader economic rebound. The drugmaker's shares fell 2.7% to a one-month low as calls for pausing the use of its COVID-19 vaccine after six women developed rare blood clots dealt a fresh setback to efforts to tackle the pandemic. The technology and consumer discretionary sectors, which house high-flying technology names that flourished during coronavirus-induced lockdowns last year, rose 0.6% and 0.4%, respectively.
(Bloomberg) -- Bond veteran Greg Wilensky has seen hype about a surge in inflation crushed too many times to get carried away with this year’s great reflation trade.“I’ve been managing bond portfolios for 25 years, through very large monetary programs, big deficits, and the Fed trying to raise inflation expectations,” the Janus Henderson money manager said in an interview. “As much as I can see legitimate reasons why it might happen this time -- I could have said that very often over the last 12 years too.”Wilensky’s skepticism epitomizes the cooling investor enthusiasm for bets linked to a rapid economic recovery and higher prices. Trades favoring economically-sensitive value stocks, steeper yield curves and a rebound in commodities have faltered after a stellar first quarter.The MSCI AC World Value Index has lagged its growth counterpart by about 6 percentage points since March 8. Benchmark Treasury yields have retreated some 13 basis points already this quarter, even as U.S. inflation data begin to beat expectations. And Tuesday’s strong 30-year Treasury auction suggested demand for even the most interest rate-exposed bonds is returning.One of the biggest questions money managers confront now is whether the stimulus-fueled rebound in growth and inflation -- in particular in the U.S. -- can transition to a sustainable expansion that will keep pushing equities and bond yields higher. The International Monetary Fund recently upgraded its 2021 global growth forecast to the strongest in four decades, but the outlook beyond that is less clear-cut.Envisaging a trajectory for price levels beyond this year is even harder for investors given the warping effect of coronavirus shutdowns, temporary supply bottlenecks and base effects from last year’s disinflation. A surge in five-year U.S. breakevens-- a gauge of inflation expectations -- has petered out since they hit their highest since 2008 in mid-March.Simple Math Is About to Cause an Inflation Problem: QuickTake“Inflation and rates, especially as a bond investor right now, is the call that you have to make,” said Elaine Stokes, fixed income portfolio manager at Loomis Sayles. “It’s the make-or-break call of your year.”The response to the stall for many investors has been to pare back some trades geared to the sharpest stage of the economic rebound. Vishal Khanduja, fixed income fund manager at Eaton Vance Management, has halved his portfolio’s overweight in U.S. inflation-linked bonds from the start of the year.“Inflation expectations were dislocated in 2020” in a “surgical recession,” Khanduja said. “The typical post-recession positioning that you see happen over multiple years is quickly going through the market.”Franklin Templeton’s Gulf Arab bond fund has removed its hedges against the risk of accelerating U.S. inflation, as it sees another spike in Treasury yields as “possible, not probable,” according to its Dubai-based manager.As for some traditional inflation hedges in the commodities markets, the story is about to get more complicated than the year-to-date rebound in oil and copper prices would suggest. Strategists at the BlackRock Investment Institute anticipate a divergence within the asset class, as factors such as climate risks are more fully captured in pricing.“The lift for oil from the economic restart is likely to be transitory, while some metals may benefit from structural trends such as the ‘green’ transition for years to come,” a team including Wei Li wrote in a note this week.Tremendous ChallengeMeanwhile, in the bond market, traders are not reacting to signs of inflation as one might expect. On Tuesday, data showed U.S. consumer prices climbed in March by the most in nearly nine years, yet 10-year Treasury yields fell five basis points to their lowest in three weeks.“The tremendous challenge right now, especially this year is that the quality of almost any of the numbers we’re looking at, whether it’s the short-term inflation numbers, the economic growth numbers, these things are being very much distorted by the economic volatility,” Janus Henderson’s Wilensky said.(Adds Franklin Templeton move in 10th paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- New Zealand’s central bank signaled it is in no rush to remove monetary stimulus, saying the outlook remains uncertain as the economy gradually recovers from the Covid-19 pandemic.The Reserve Bank’s monetary policy committee on Wednesday maintained its current stimulatory settings, holding the official cash rate at 0.25% and the Large Scale Asset Purchase program at NZ$100 billion ($71 billion). It reiterated it is prepared to lower the cash rate further if required.“The committee agreed that, in line with its least regrets framework, it would not remove monetary stimulus until it had confidence that it is sustainably achieving the consumer price inflation and employment objectives,” the bank said. “Given that uncertainty remains elevated, gaining this confidence is expected to take considerable time and patience.”Policy makers are assessing whether an expected pick-up in inflation this year will be sustained, and whether the labor market’s gradual recovery will be hurt by the possibility of a double-dip recession. At the same time, the government now requires the RBNZ to consider the impact of its decisions on New Zealand’s housing market, where soaring prices are raising concerns about widening social inequalities.“The New Zealand economy is evolving broadly in line with RBNZ expectations, and there’s time to see how more recent developments impact things,” said Sharon Zollner, chief economist at ANZ Bank New Zealand in Auckland. “The RBNZ is under no pressure to make any bold calls about how precisely things will turn out.”The New Zealand dollar rose after the statement. It bought 70.88 U.S. cents at 3:21 p.m. in Wellington, up from 70.60 cents beforehand.The RBNZ said the outlook for growth remains similar to the scenario it presented in its last statement in February. It said inflation is likely to exceed its 2% target “for a period” but this is likely to be temporary.“This outlook remains highly uncertain, determined in large part by both health-related restrictions, and business and consumer confidence,” it said. “The committee agreed that medium-term inflation and employment would likely remain below its remit targets in the absence of prolonged monetary stimulus.”New Zealand’s economy has enjoyed a V-shaped recovery from its pandemic-induced recession and the housing market is booming, turning attention to when the RBNZ might begin to remove stimulus. The jobless rate fell to 4.9% in the fourth quarter and the central bank in February forecast that inflation will accelerate to 2.5% by June, exceeding the midpoint of its target range.Double-Dip Recession?Still, the economy unexpectedly contracted 1% in the final three months of 2020 and economists see little or no growth in the three months through March, raising the prospect of a double-dip recession.Some analysts are tipping the RBNZ will explicitly start to reduce its bond buying later this year, with a minority already projecting rate rises in 2022. But others see the central bank on hold for a prolonged period after the government in March announced a raft of measures to cool the rampant housing market, including tax adjustments to curb investor demand.The RBNZ said the extent of the dampening effect of the government’s new housing policies on house prices, and hence inflation and employment, will “take time to be observed.”New Zealand will start to allow travelers from Australia to enter the country without undergoing quarantine from April 19, which may deliver some relief for a decimated tourism industry. But the border is expected to remain closed to all other foreigners throughout 2021, and the country won’t start mass immunization until the second half.“The planned trans-Tasman travel arrangements should support incomes and employment in the tourism sector both in New Zealand and Australia,” the RBNZ said. “However, the net impact on overall domestic spending will be determined by the two-way nature of this travel.”In late February, the government instructed the RBNZ to consider the impact on housing when it makes monetary and financial policy decisions. Specifically, the monetary policy committee will to need to explain regularly how it has sought to assess the impacts of its decision on housing outcomes, Finance Minister Grant Robertson said at the time.“The committee’s initial assessment is that stimulatory monetary policy is playing a role in lifting house prices,” the bank said today. “Other factors are also influencing house prices including: the impact of low global interest rates on all asset prices, constrained housing supply and infrastructure, land use regulations, tax policies and the broader recovery in aggregate demand.”(Updates with economist in fourth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
British Airways is well placed to lead a European travel recovery from COVID-19 if relatively swift vaccine rollouts in Britain and the United States enable transatlantic routes to reopen, Chief Executive Sean Doyle said on Wednesday. Transatlantic re-opening would play to the network strengths of British Airways and parent group IAG, he added.
(Bloomberg) -- China just slapped a record antitrust fine on Alibaba Group Holding Ltd. The company thanked the government and investors breathed a sigh of relief.Alibaba’s American depositary receipts climbed 9.3% on Monday in New York, their biggest jump in almost four years. For Jack Ma, the founder of the e-commerce giant, it meant his fortune increased by $2.3 billion to $52.1 billion, according to the Bloomberg Billionaires Index.The $2.8 billion fine is less severe than some investors feared and is based on only 4% of the company’s 2019 domestic sales, far less than the maximum 10% allowed under Chinese law. While the internet giant will have to adjust the way it does business, its vice chairman said regulators won’t impose a radical overhaul of its e-commerce strategy and its chief executive officer declared Alibaba ready to move on.“Alibaba would not have achieved our growth without sound government regulation and service, and the critical oversight, tolerance and support from all of our constituencies have been crucial to our development,” the company said in an open letter. “For this, we are full of gratitude and respect.”Ma, who up until last year was China’s richest person, has lost billions since his nation’s regulators began an anti-monopolistic campaign, halting the initial public offering of his Ant Group Co. payments company just two days before it was scheduled to go public. He is now China’s third-richest person after Zhong Shanshan of bottled-water company Nongfu Spring Co. and Tencent Holdings Ltd.’s Pony Ma.Separately, China’s central bank ordered Ant to become a financial-holding company that will be regulated more like a bank. The move, announced on Monday, will have far-reaching implications for the firm’s growth and its ability to press ahead with an initial public offering. Alibaba shares opened 3.4% higher in Hong Kong on Tuesday.(Updates to include Ant overhaul and stock move in last paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Nobuaki Kurumatani is leaving after the firm received an offer from his former employer, CVC.
(Bloomberg) -- The European Investment Bank plans to harness the power of blockchain to sell bonds, potentially boosting use of the digital-ledger technology as a tool for the region’s debt market.The European Union’s investment arm hired Goldman Sachs Group Inc., Banco Santander SA and Societe Generale AG to explore a so-called digital bond in euros, which would be registered and settled using blockchain, according to information from a person familiar with the matter, who asked not to be identified because they’re not authorized to speak about it.Investor meetings for the inaugural sale will start April 15 and continue for some weeks, the person said.The EIB has often been at the forefront of innovation in Europe’s debt capital markets, being among the first to issue green and sustainability bonds, as well as debt benchmarked against a new euro short-term rate called ESTR. The move comes after European Central Bank President Christine Lagarde said the institution she leads could launch a digital currency around the middle of this decade.A spokesperson for the EIB declined to comment further when contacted by Bloomberg News.Not MainstreamA number of issuers globally including the World Bank, China Construction Bank Corp., JPMorgan Chase & Co. and National Bank of Canada have been experimenting with blockchain-based issuance in the past few years, but its use in debt markets is still far from mainstream.The technology used for verifying and recording transactions that’s at the heart of cryptocurrencies has faced hurdles to wider adoption, and the pandemic has caused delays in some projects.Blockchain has a longer history in loans and Germany’s Schuldschein debt market. Automaker Daimler AG was the first to sell a 100 million euros ($119 million) of Schuldschein using blockchain in 2017. Telefonica SA’s German unit also used blockchain in early January to raise a 200 million-euro loan.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Bitcoin advanced Wednesday, breaching the $64,000 level for the first time after eclipsing its most recent record in March a day earlier as the mood in cryptocurrencies turned bullish ahead of Coinbase Global Inc.’s listing this week.The token climbed as much as 1.6% to as high as $64,207 in Asia trading. Cryptocurrency-exposed stocks such as Riot Blockchain Inc. and Marathon Digital Holdings Inc. advanced during U.S. trading hours.Crypto bulls are out in force as a growing list of companies embrace Bitcoin, even as skeptics doubt the durability of the boom. In one of the most potent signs of Wall Street’s growing acceptance of cryptocurrencies, Coinbase will list on the Nasdaq on April 14 at a valuation of about $100 billion.Coinbase’s debut “will mark the first official juncture between the traditional financial avenue and the alternative crypto path,” Ipek Ozkardeskaya, a senior analyst at Swissquote, wrote in a note. “As such, a successful addition to Nasdaq should act as endorsement of cryptocurrencies by traditional investors.”Goldman Sachs Group Inc. and Morgan Stanley have announced plans to offer their clients access to crypto investments. Tesla Inc. earlier this year disclosed a $1.5 billion investment in Bitcoin and more recently started accepting it as payment for electric cars.Still, skeptics argue that digital coins have been inflated by stimulus that’s also sent stocks to records. Regulators around the world are stepping up oversight and casting doubt on its usefulness as a currency.Isabel Schnabel, member of the executive board of the European Central Bank, called Bitcoin “a speculative asset without any recognizable fundamental value” in an interview with Der Spiegel this month.Coinbase’s public debut this week is also boosting the digital coins of other cryptocurrency exchanges, such as Binance Coin, which has jumped to become the third-most valuable cryptocurrency behind Bitcoin and Ether.Many analysts expect the rally to continue.“The lowest 30-day volatility since October tells us Bitcoin is ripe to exit its cage and continue in a bull-market on its way to the next $10,000 move,” according to Mike McGlone, Bloomberg Intelligence commodities strategist. “Similar to Tesla’s equity-wealth allocation to Bitcoin, the Coinbase IPO may add to the growing list of 2021 crypto-validation milestones.”(Updates with latest Bitcoin pricing in second paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Canada is in the process of choosing advisers for its debut green-bond sale as it seeks to finance initiatives intended to reduce the country’s carbon footprint, following other Group of Seven nations including Germany and France.The Department of Finance is selecting one or two structuring advisers after having solicited pitches late last month, according to two people familiar with the matter. The selected firms will help the federal government develop a green-bond framework and determine characteristics of the transaction including size and duration, the people said.A representative for Bank of Canada, which manages the government’s domestic bond program, referred questions to the Department of Finance. Press officers for the Department of Finance didn’t provide comment.Canada’s debut in the green-bond market is part of a wide range of measures Ottawa is putting in place to deliver on its commitment to reach net-zero emissions by 2050. That includes a national carbon tax as well as an increasing focus by its housing and infrastructure agencies on sustainable businesses.The advisers will also help Canada choose firms for third-party opinions, said the people. The government will also ask the structuring advisers to provide recommendations about adherence to voluntary labels such as green-bond principles.The U.K. said last month it plans its first green issue during the 2021-2022 fiscal year, after European Union countries including Germany, Italy and France saw very strong demand for their debt sales.Green-bond issuance this year is on track to reach a fresh record. About $137 billion has been sold globally year-to-date, compared to around $46 billion over the same spans in 2020 and 2019, according to data compiled by Bloomberg. Ontario, the word’s largest sub-sovereign debt issuer, is the nation’s largest seller of green debt with C$7.5 billion ($6 billion) outstanding.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Toshiba Corp. said Chief Executive Officer Nobuaki Kurumatani will be replaced by Chairman Satoshi Tsunakawa, an abrupt leadership reshuffling that casts doubt on potential buyout offers for the $20 billion Japanese icon.Toshiba said the changes are effective immediately in an announcement Wednesday. The company will soon begin considering successors for Tsunakawa, who returns to the CEO job he held previously, said Osamu Nagayama, chairperson of the board, during a press conference in Tokyo.The decision came as factions within the conglomerate mounted resistance to a potential buyout offer from CVC Capital Partners -- where Kurumatani previously worked. Some executives felt the offer undervalued a storied Japanese corporation that still holds valuable energy and semiconductor assets, according to people familiar with matter, who declined to be identified discussing internal issues. Separately, private equity firm KKR & Co. is exploring a rival offer for Toshiba, Bloomberg News reported.“The optics, combined with the facts that CVC’s bid is now supposedly lower than KKR’s, and that CVC lacks experience with deals of such scale, probably mean it is out of the running,” said Mio Kato, an analyst with LightStream Research who publishes on Smartkarma.Nagayama, the Toshiba board chairperson, said he isn’t sure whether Kurumatani’s resignation will affect talks with CVC because the offer is “very preliminary and not formal.” He noted CVC voiced support for current management while Kurumatani was in charge.The company’s shares rallied after news of KKR’s possible bid, but then pared those gains to close 5.8% higher.Kurumatani suffered a sharp drop in support among the company’s executives and other staff. Employees who have confidence in the CEO fell to less than 60% in an internal January poll, down from more than 90% last year, Bloomberg News reported this week. More than 20% expressed a lack of confidence in his leadership, up from less than 5% previously.The survey results prompted Toshiba to conduct detailed interviews with a narrower group of about 30 top executives and more than half of them expressed a lack of confidence in Kurumatani.“Kurumatani’s resignation settles some issues, gives the new CEO some breathing room and the benefit of the doubt as long as he makes the right noises,” said Travis Lundy, an independent analyst who publishes on Smartkarma. “It will improve morale slightly internally as well. But the issues that have caused problems with shareholders are also at the board level.”The loss of confidence in Kurumatani was due in part to his decision to stick with three-year targets set in 2018, one of the people said. Many executives thought those goals were no longer realistic because of the Covid-19 pandemic and feared pressure to meet them resembled the rigid attitude of his predecessors, which led to an accounting scandal, the person said.In the press conference Wednesday, Nagayama said the CEO was leaving because the company had made its return to the first section of the Tokyo Stock Exchange.“Kurumatani offered his resignation as he feels his job to rehabilitate Toshiba is done with the return to the TSE’s first section,” Nagayama said. “We appreciate his efforts.”He said Kurumatani chose not to attend the press conference. The departing CEO did leave a letter, which a Toshiba spokesman read aloud.Kurumatani faced opposition outside the company too. He held on to his position by a slim margin last year, when only 57.2% of Toshiba shareholders approved of keeping him in the job. Questioning the transparency and process of that vote, Toshiba’s largest investor Effissimo Capital Management has requested an independent investigation, which was green-lit at an extraordinary shareholder meeting in March.KKR is weighing a bid that would be likely to value Toshiba above the $21 billion buyout proposal that it’s already received from CVC, said one person familiar with the matter, who asked not to be identified as the details aren’t public. Canadian investment giant Brookfield Asset Management Inc. is also in the preliminary stages of exploring an offer for the company, including how such a bid might be structured, a separate person with knowledge of the matter said.The deliberations are at an early stage, no final decisions have been made, and the discussions may not lead to firm offers, the people said.Tsunakawa, the returning CEO, spent time during the press conference Wednesday offering reassurances that Toshiba would remain a strong Japanese company and invest in research and development. His comments appeared aimed at reassuring employees and business partners in the wake of the CVC offer.He also discussed Toshiba’s stake in Kioxia Holdings Corp., the memory chip business in which Toshiba sold off a majority stake. Tsunakawa said Toshiba would not sell its remaining holdings to a foreign semiconductor firm and that he anticipates the company will go public. The Wall Street Journal reported that Micron Technology Inc. and Western Digital Corp. are each exploring a potential deal for Kioxia.“We remain committed to provide our support to Kioxia’s IPO, and our stance on selling our holdings is unchanged,” he said.(Updates with chairperson’s comments from the fifth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Abu Dhabi sovereign wealth fund Mubadala Investment Co. said it’s “close” to an initial public offering of Emirates Global Aluminium PJSC as it studies other major deals including a role in a consortium investing in Saudi Aramco’s oil pipelines.“We’ve been thinking about this for a couple of years and waiting for the right time for that business to be IPO’d,” Chief Executive Officer Khaldoon Al Mubarak said on Monday when asked about EGA, the Middle East’s biggest producer of aluminum. “We’re very close now.”Coming off its busiest year ever, the $232 billion fund has shown little sign of slowing down in 2021, striking deals ranging from purchasing a Brazilian refinery to investing in convertible bonds of messaging app Telegram.EGA, which is equally owned by Mubadala and Investment Corp. of Dubai, has smelters in Abu Dhabi and Dubai and a bauxite mine in Guinea. Its revenue in 2020 was $5.1 billion and it made earnings before interest, tax, depreciation and amortization of $1.1 billion.The company had planned an IPO in 2018 or 2019 but it was pulled after then-U.S. President Donald Trump imposed tariffs on aluminum imports from the United Arab Emirates. His successor Joe Biden said in February that he would keep the U.S. restrictions in place, reversing Trump’s last-minute move to grant the UAE relief from the duties.“We will decide, obviously, when the appropriate market conditions are there, but the company is certainly in a very strong position and I think is well placed for an IPO,” Al Mubarak said during a virtual conference.EIG TalksMubadala is meanwhile considering other deals. It hasn’t yet decided whether to join a group led by EIG Global Energy Partners LLC that agreed on a $12.4 billion deal with Aramco.The wealth fund has teams studying the opportunity and looking at possible returns on investing in neighboring Saudi Arabia, according to Al Mubarak. It’s previously said that it was in talks with EIG.According to an announcement last Friday, the investors will buy 49% of Aramco Oil Pipelines Co., a recently-formed entity with rights to 25 years of tariff payments for crude shipped through the Saudi Arabian firm’s network. Aramco will own the rest of the shares and retain full ownership of the pipelines themselves.Read more: Mubadala Discusses GlobalFoundries IPO at $20 Billion Value Mubadala has also made no decision about a share sale of its wholly-owned chipmaker GlobalFoundries, according to Al Mubarak. Earlier this month, Bloomberg reported that the wealth fund had started preparations for a U.S. IPO that could value the business at about $20 billion.“GlobalFoundries is a strong, well-run business,” Al Mubarak said. “We have not taken a view or a decision yet.”India PushAfter an initial pause after the pandemic first hit, the wealth fund doubled down and invested more in 2020 than in any previous year, the CEO said.India emerged as one key destination for Mubadala’s money, with its investments there in 2020 eclipsing the combined total of the preceding 19 years, Al Mubarak said.The wealth fund invested $1.2 billion in Reliance Industries Ltd.’s digital upstart Jio Platforms Ltd. in 2020, a deal that gave Mubadala a 1.85% stake in the venture.“Clearly, we were underweight in terms of India” and “over the last many years we didn’t invest as much as we should,” the CEO said. “That’s changing, and as far as we’re concerned in Mubadala, we’re certainly giving it a very particular focus.”(Updates with details on EGA in fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Online travel platform Trip.com Group Ltd. has raised about HK$8.5 billion ($1.1 billion) in its Hong Kong second listing after pricing the shares at HK$268 each.The company sold 31.6 million shares in the Hong Kong offering, according to a statement on Tuesday. The price represents a discount of about 2% to Trip.com’s closing price of $35.20 on Monday on the Nasdaq.One of Trip.com’s American depositary shares is equivalent to one ordinary share. The shares are due to start trading in Hong Kong on April 19.Trip.com’s U.S. shares have risen about 4% this year, giving the firm a market capitalization of $21 billion. It is part of a wave of U.S.-listed Chinese companies seeking a trading foothold in Hong Kong which has seen some of the country’s biggest tech giants such as Alibaba Group Holding Ltd. and JD.com Inc. raise over $36 billion since late 2019, data compiled by Bloomberg show.The second listings act as a way to hedge against the risk of being kicked off U.S. exchanges as a result of rising Sino-U.S. tensions, as well as to bring in more Asia-based investors. The U.S. Securities and Exchange Commission has said it will start implementing a law passed last year requiring overseas companies to let American regulators inspect their audits or face delisting.Recent second listings from the likes of Baidu Inc. and Bilibili Inc. fared less well than ones last year as they got caught up in a broader selloff of technology shares as investors rotated into sectors expected to benefit from a recovery of global growth. But tech names have since staged a comeback, with the Nasdaq Composite Index rising from lows hit at the beginning of March.JPMorgan Chase & Co., China International Capital Corp. and Goldman Sachs Group Inc. are joint sponsors for Trip.com’s listing.(Updates with company confirmation throughout the story.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Norwegian Air now aims to raise up to 6 billion crowns ($711 million) in fresh capital, up from a planned 4.5 billion, to bolster its resources before emerging from bankruptcy protection next month as the pandemic continues to curb travel. Financed largely by debt, Norwegian Air grew rapidly, serving routes across Europe and flying to North and South America, Southeast Asia and the Middle East before the COVID-19 pandemic plunged the airline into crisis. "We want to take a conservative approach at a time when the pandemic and travel restrictions continue to create unpredictability in the travel sector," Chief Executive Jacob Schram said in a statement on Wednesday.
As Coinbase, the cryptocurrency exchange, goes public on Wednesday, financial advisers want you to remember the difference. Enter Coinbase, a platform with 56 million verified users that enables the purchase and sale of crytpocurrencies like Bitcoin and Ethereum, which appear to just keep increasing in value. An obvious investment, considering the expert take that cryptocurrency is at a “tipping point,” right?
(Bloomberg) -- Malaysian corporate dollar bonds are the worst performers in Southeast Asia this year but are clawing back some ground as economic growth looks set to outpace neighbors.The securities have returned about 0.9% this month, cutting their loss for the year to 3.5%. While that’s still worse in 2021 than Thailand, the Philippines and a broad Asian dollar debt index, there are signs that the Malaysian notes could still rebound furtherHard-currency bond issuance from Malaysian companies is limited and yields are “attractive,” according to Joevin Teo, head of Asian fixed income at Amundi Asset Management in Singapore. The average yield on the securities has risen about half a percentage point this year to 2.7% amid reflationary pressures globally, a Bloomberg Barclays index showsMalaysia’s economy will likely expand by about 18.3% this quarter from the year-earlier-period, topping growth by other nations in the region, according to the median forecast of economists surveyed by Bloomberg. For the full-year, economists expect growth of 5.5%, beating Indonesia and ThailandThe relative performance of Malaysian company dollar bonds will be heavily influenced by the direction of U.S. yields this year, given the smaller average spread cushion on the debt than some peers. That makes returns on the notes, which are some of the highest rated in Southeast Asia, more vulnerable to rising ratesFor Southeast Asian bond pipeline, click hereIslamic Finance - Malaysia’s SukukMalaysia is considering the sale of a possible dollar-denominated sustainable sukuk, which would mark the first U.S. currency sovereign Sukuk from Southeast Asia this yearInvestors in Malaysia’s government dollar Sukuks have lost 3.3% on average this year, the worst performance globally among such securities, partly because the country has some of the longest such securities in the world. Ones maturing in 2045 and 2046 have gained more than 2 cents this month as longer-dated benchmark yields have retreatedPhilippine - Bond BuybackTwo of the largest listed companies in the Philippines are capitalizing on the selloff in bonds this year to buy back their own debtSan Miguel, SM Investments to Redeem Bonds EarlySan Miguel Corp. will redeem the outstanding amount of an $800 million note due in 2023. The bond has been the worst performer among the beer maker’s dollar securities this year, returning 0.9% compared with an average of 4% for all U.S. currency bonds issued by group companies, according to the data compiled by BloombergSM Investments Corp. will exercise early redemption option on its 3.33 billion peso-denominated securities ($69 million) due 2024 at 102% of principal. The notes have returned 4.36% this year, the best among 4 local-currency callable bonds issued by the companyIndonesia - Tightening SpreadsAfter narrowing last week, spreads on Indonesian company dollar notes are now about 49 basis points tighter than a broader Asian index. For Indonesia’s credit wrap, click hereFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Roth accounts serve a special tax purpose — they’re funded with after-tax dollars and thus, are distributed tax-free (compared with a traditional account, where the money is contributed and grows tax-free but is taxed at withdrawal). Roth conversions are similar — investors move the money from their traditional accounts into Roth accounts and pay the tax upfront.
(Bloomberg) -- PT Dayamitra Telekomunikasi, the infrastructure unit of state-owned PT Telkom Indonesia, is considering an initial public offering that could raise about $1 billion, in what could be the country’s biggest first-time share sale in more than a decade, people familiar with the matter said.Dayamitra, also known as Mitratel, has asked for proposals on the potential offering in Jakarta and could pick advisers soon, said the people, who asked not to be named as the information is private. Deliberations are at an early stage and details of the offering could still change, the people said.“There is an IPO plan for Mitratel around end of the year, the preparation process is underway,” Ririek Adriansyah, president director of Telkom Indonesia, said in a text message in response to a Bloomberg News query. There are no further details to share and the company will announce more in due time, he said.At $1 billion, Mitratel’s potential IPO could be Indonesia’s largest since PT Indofood CBP Sukses Makmur’s $696 million offering in 2010, according to data compiled by Bloomberg.The telecommunications infrastructure firm would join gold miner PT Archi Indonesia, dairy firm Cimory Group and a state-owned geothermal merged entity in seeking a listing in Southeast Asia’s biggest economy. Companies have raised $137 million through first-time share sales in Indonesia this year, less than the $225 million raised over the same period in 2020, data compiled by Bloomberg show.Mitratel manages more than 16,000 telecommunication towers throughout Indonesia, according to its website. All Indonesian cellular operators are its tenants and have placed their base transceiver station devices in the Mitratel towers.(Updates with Indonesia’s IPO market data in fifth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
State mortgage programs offer thousands of dollars in student loan relief.