Esure warned against overpricing
Top fund managers have warned Esure against overpricing its initial public offering as the motor and home insurer prepares to launch London’s latest float as early as today. Bankers were yesterday finalising the details of the planned float as analysts said that the most recent publicly available accounts indicated that Esure’s equity should have a price tag of less than half the mooted £1bn valuation. People close to the company said Esure was likely to comfortably justify the price tag by disclosing a strong rise in profits.
Co-op capital hole threatens deal
The Co-operative Bank is facing a capital hole of up to £1bn, equivalent to half its capital, which is further undermining the lender’s planned acquisition of more than 600 Lloyds Banking Group branches. The Co-op group is planning to offload its non-life insurance business as part of moves to address its deficit.
Vivendi asks for investor patience
Vivendi has urged investors to be patient about its long-awaited strategic review and said the French media conglomerate would “not be forced into a fire sale”.
Google set to challenge Spotify
Google plans to launch a music subscription system to take on Spotify.
Industry insiders confirmed the search giant had approached record labels with a proposal to create an internet music service for its Android mobile software.
Barrister jailed for VAT fraud
Rohan Pershad, QC, a barrister at 39 Essex Street vowed to clear his name yesterday after he was jailed for three-and-a-half years for cheating HMRC out of £600,000.
The Daily Telegraph
Tesco pay out for dairy price fixing
Tesco is to pay a £6.5m fine for its part in a dairy price fixing scandal, after losing a decade-long court battle. The supermarket giant’s penalty is substantially less than the initial £10m fine imposed, after it won a partial victory against the Office of Fair Trading.
AB accused of watering down beer
Beer lovers across the US have filed $5m class-action lawsuits accusing Anheuser-Busch of watering down Budweiser, Michelob and other brands.
THE WALL STREET JOURNAL
Denmark to cut corporation tax
Denmark is planning to slash its corporate taxes in phases over the next three years to better stack up against other countries in the region. The move follows similar tax cuts in the UK, Sweden and Finland.
DreamWorks takes writedown
DreamWorks Animation said yesterday it took a write-down of $165m in the fourth quarter of 2012 due to the weak box-office performance of ‘Rise of the Guardians’ and the decision to not release another as planned.