WARNING OVER US GOVERNMENT DEBT March 21, 2012 AMERICA’S debt to GDP ratio is on course to “explode in the next couple of decades”, the head of the Federal Reserve said yesterday. Ben Bernanke said that a permanent ratio of around 75 per cent could be sustainable, but that current policy will result in the ratio spiralling upwards in coming years. Picture: GETTY
Jaguar seals China venture March 21, 2012 TATA-OWNED Jaguar Land Rover (JLR) has signed a joint venture that paves the way for the firm to manufacture and sell luxury vehicles in China, the world’s largest car market. JLR and Chinese manufacturer Chery Automobile are seeking regulatory approval for the venture, worth around 17.5bn yuan (£1.8bn), they said in a statement yesterday. The [...]
Land Sec sells £76m mall March 21, 2012 LAND Securities (Land Sec) has sold the largest covered shopping centre in Liverpool to InfraRed Capital Partners for £76.5m. Britain’s biggest landlord said last month it was selling the St Johns Centre, which has an annualised net rent of £7.5m, following work to update the food court. The centre includes 413,000 square feet of retail [...]
Goldman fails to dismiss lawsuit March 21, 2012 Goldman Sachs yesterday lost its bid to dismiss a lawsuit accusing it of defrauding investors by selling risky debt linked to subprime mortgages that it planned to bet against. The decision by US district judge Victor Marrero in New York keeps alive a hedge fund’s claims over a $2bn offering of collateralised debt obligations. Marrero [...]
Cuts at Collins and Canaccord March 21, 2012 Workers at Collins Stewart and Canaccord will today find out whether they will keep their jobs, with up to 100 set to go in next week’s merger. The cuts will primarily hit the capital markets teams London and New York offices, while corporate advisory division Hawkpoint will be left largely untouched. The firms officially sealed [...]
Royal Mail pensions deal gets OK March 21, 2012 Privatisation of the Royal Mail moved a step closer yesterday after EU regulators approved government plans to take on its deficit-ridden pension scheme. The European Commission said the revamp included measures that would ensure state-owned Royal Mail would not enjoy an unfair advantage over competitors.
Morgan Stanley seals $300m deal for stake in Chinese chemicals firm March 21, 2012 THE Asian private equity arm of Morgan Stanley has invested $300m (£189.4m) in a Chinese chemical firm which is plotting an expansion into the West. The bank will take a minority stake in Tianhe Chemicals Group, which has a dominant market share in lubricant oil additives in China and is the fifth largest globally in [...]
Johnson & Johnson and GSK launch £125m fund March 21, 2012 GLAXOSMITHKLINE (GSK) and Johnson & Johnson are taking a creative new tack in the hunt for tomorrow’s drugs by linking with venture capital firm Index Ventures in an unusual tie-up. The two pharmaceutical manufacturers will together contribute half the funding for a €150m (£125m) fund being launched by Index to invest in early-stage life sciences [...]
Debt-ridden Kingfisher to cut its flights March 21, 2012 STRUGGLING airline Kingfisher will scrap all overseas flights from this Sunday, as the Indian authorities consider stripping the company of its aviation licence. The debt-laden carrier, run by liquor baron Vijay Mallya, has not paid staff since December and the tax authorities have frozen its bank accounts. It owes $1.3bn (£820m) to its banks. Indian [...]
Nissan brings back Datsun March 21, 2012 NISSAN, Japan’s second largest carmaker, is bringing back the Datsun brand – but British motorists hoping to drive the discontinued range will be disappointed. The firm said it is looking to increase sales in Indonesia, India, and Russia by reviving the brand for these emerging markets, and has no plans to roll out the vehicles in [...]
