Eurozone decline less sharp than feared, new survey data reveals December 15, 2011 THE DECLINE in the Eurozone’s private sector eased a little this month, but a recession still looks inevitable with the region’s periphery struggling badly, a key business survey showed yesterday. Markit’s Eurozone Composite Purchasing Managers’ Index (PMI), which measures the activity of thousands of Eurozone companies, rose for a second month in December to 47.9 [...]
Zynga biggest tech flotation since Google December 15, 2011 ZYNGA will top off a lively week for US flotations today as it begins trading on Nasdaq, after pricing its heavily-anticipated IPO at $10 per share, raising $1bn (£645m) and valuing the social gaming company at $8.9bn. This is a large step down from the $2bn it wanted to raise and the valuation of $20bn [...]
Nokia looks to launch another handset a month after Lumia December 15, 2011 NOKIA is preparing to launch a follow-up to its make-or-break Lumia 800 handset, less than a month after its launch, City A.M. has learned. The new smartphone, which may be called the Lumia 900, will be built into the same chassis as its predecessor but will feature a bigger screen and may be loaded with [...]
Relief as Old Mutual deal cuts debt pile December 15, 2011 SHARES in insurer and pensions group Old Mutual soared more than 10 per cent yesterday after it said it would raise SEK 22.5bn (£2.08bn) by offloading its Nordic businesses. The London-listed group will sell the long-term savings and banking operations in Sweden, Denmark and Norway to Skandia Liv, its mutual unit owned by policyholders. Old Mutual, [...]
Car output up for sixth month December 15, 2011 CAR production rose in November, providing a glimmer of hope that Britain’s industrial sector might avoid a new recession. Production went up for the sixth month in a row, gaining 8.5 per cent compared to last year to reach 136,111 cars, according to the Society of Motor Manufacturers and Traders. In the year to date, [...]
UniCredit is set for capital raise December 15, 2011 SHAREHOLDERS at Italian bank UniCredit yesterday overwhelmingly backed a highly dilutive €7.5bn (£7.3bn) capital increase to shore up its ravaged balance sheet. Italy’s most internationally exposed lender faces a €7.97bn capital shortfall – the second-biggest in Europe after Spain’s Santander — to meet tougher requirements set by the European Banking Authority to buttress the region’s [...]
MPs debate over financial school lessons December 15, 2011 AS MPs finally bowed to pressure yesterday and debated financial education for young people in the Commons, a poll showed that a huge majority of the UK public is in favour of compulsory finance teaching. Ninety-four per cent of people think financial education in UK schools is necessary, according to a poll by ComRes of [...]
Morgan Stanley joins bank slashing with 1,600 jobs to go December 15, 2011 MORGAN Stanley became the latest investment bank to announce another round of job cuts yesterday, saying that it will slash 1,600 employees by the end of March next year. The bank said the losses would be across all geographies, levels of hierarchy and front- and back-office roles. But City A.M. understands that the front-office cuts [...]
UKFI executive to stand down following Rock sale December 15, 2011 ONE of the most senior executives at UK Financial Investments (UKFI), the state agency that manages taxpayers’ stakes in nationalised banks, is to step down. Keith Morgan, who manages government stakes in Northern Rock, UK Asset Resolution (or the Northern Rock “bad bank”) and Bradford & Bingley, will leave in the first half of 2012. The move [...]
Kuwaitis buy into City safe haven December 15, 2011 KUWAITI property firm St Martins Corporation has bought a £176m office development at the heart of the City from Hammerson, in the latest sign of overseas investors buying into London as a safe haven. The nine-storey office tower at 60 Threadneedle Street is on the site of the former stock exchange, having been redeveloped by [...]