$1.1bn haul as Kuwait dumps Citi December 6, 2009 Kuwait’s sovereign wealth fund made a $1.1bn (£669.5m) profit when it sold its stake in Citigroup yesterday, becoming the latest Gulf investor to offload foreign investments as markets improve. The Kuwait Investment Authority transferred the preferred shares it owned in Citigroup into common stock and sold the entire holding for $4.1bn. It had invested $3bn [...]
Cadbury mulls takeover deal December 6, 2009 CADBURY could today publish its defence documents to reject Kraft’s hostile takeover bid as next week’s bid deadline draws nearer. On Friday Kraft published its formal documents for its £10bn hostile bid, triggering a 60-day timetable operated under Takeover Panel rules – investors have been given until 5 January to accept the offer. Kraft’s relentless [...]
Why budget crisis is worst in UK history December 6, 2009 IT IS OFTEN said we shouldn’t worry too much about the UK’s national debt. Optimists argue that many Western governments have racked up greater liabilities than Britain and that the UK’s national debt was much larger in previous crises. Both facts are technically correct but miss the real point, which is that Britain is the [...]
WHAT THE OTHER PAPERS SAY THIS MORNING December 6, 2009 THE SUNDAYSThe Sunday TelegraphBRITISH GAS AIMS TO BECOME TOP INSURANCE PROVIDERBritish Gas is gearing up to become one of the UK’s top 10 insurance companies and the provider of choice to its 4.5m customers. The Centrica-owned utility has been granted approval by the FSA to underwrite its own household and warranty products and is in [...]
Wood eyeing Esure deal December 6, 2009 Insurance pioneer Peter Wood is understood to be preparing to buy out his Esure motor insurance business from Lloyds Banking Group. Esure, known for its “Calm down dear” TV ads starring celebrity Michael Winner, is thought to be worth £200m to £250m. Wood has lined up financing from buyout firm Penta Capital and hedge fund [...]
Manufacturing growth forecast December 6, 2009 Britain's manufacturing sector will return to growth next year, the recovery gaining pace after a slow first quarter, the Engineering Employers' Federation (EEF) will say today. New export orders in a stronger global economy are expected to help fuel the improvement and the weaker sterling exchange rate will also work in the favour of manufacturers, [...]
Government first-class travel up December 6, 2009 The government’s Insolvency Service has more than trebled its spending on first-class rail travel over the past two years, the Conservatives claim. The Tories said the agency spent £600,265 on first-class rail travel in 2008-09, compared with £174,618 in 2006-07. Spending on first-class tickets rose to 45 per cent of all rail travel expenditure, from [...]
1,000 bankers quit RBS after bonus bust-up December 6, 2009 MORE than 1,000 of Royal Bank of Scotland’s top bankers have defected after the increasingly bitter row over bonuses at the group, City A.M. can confirm, fuelling fears that the clampdown on remuneration will damage its chances of being able to deliver value to shareholders in the future. Although a healthy staff turnover is usual [...]
Gartmore covers its 400m IPO one week before listing December 6, 2009 ASSET management house Gartmore has covered its £400m initial public offering (IPO) after the first week of bookbuilding, indicating strong support from institutional investors. Sources close to the deal told City A.M. the offering had been covered since Friday afternoon. Gartmore is expected to price its shares at between 250p and 330p on Thursday, valuing [...]
Car makers call for VAT freeze December 6, 2009 The Society of Motor Manufacturers and Traders will today call on the government to keep VAT at 15 per cent into 2010; to encourage commercial vehicle purchases by maintaining and increasing the enhanced writing-down allowance to 60 per cent; and to reconsider lifting the expensive car cap (£80,000) in the company car tax regime.