30,000 jobs to go at Bank of America September 12, 2011 BANK of America Merrill Lynch is looking to reduce annual expenses by $5bn (£3.16bn) by the end of 2013 through its cost-cutting plan, including slashing 30,000 jobs, chief executive Brian Moynihan said yesterday. The plan – known as New BAC after the company’s stock symbol – focuses on consumer banking and the bank’s systems architecture for [...]
AB Foods says Primark margin dented by sales September 12, 2011 AB Foods said yesterday that margins were being squeezed at its Primark stores as prices were slashed in the tough consumer climate. The company said it is having to cut prices and launch early sales to keep tills ringing, in an update before the end of its trading year on 17 September. AB Foods, which [...]
ANALYST VIEWS: IS AB FOODS PERFORMING WELL IN TOUGH MARKETS? September 12, 2011 GRAHAM JONES | PANMURE GORDON We have pencilled in 10 store openings at Primark next year, we remain bullish about the expansion opportunities across Continental Europe, where trading has remained strong, and believe the pipeline for new stores remains good. We reiterate our Buy recommendation and 1200p price target ANDREW WOOD | BERNSTEIN Despite having [...]
Colfax weighs in with £1.5bn Charter offer September 12, 2011 US industrial giant Colfax raised the stakes in the battle for Charter International yesterday, tabling a formal bid valuing the company at £1.5bn and gaining the backing of Charter’s board. Colfax, which makes industrial pumps and valves, tabled a 910p per offer with 80 per cent in cash and the rest in its shares, trumping [...]
Joe Lewis eyes a takeover of pub chain Mitchells & Butlers September 12, 2011 FOREX billionaire Joe Lewis confirmed he is considering taking control of pub landlord Mitchells & Butlers yesterday in a deal that could value the firm at more than £940m. Lewis, Mitchells & Butlers’ biggest shareholder with a 22.8 per cent stake through his investment vehicle Piedmont, said he may offer to buy the remainder of [...]
HSBC to sell off insurance arm September 12, 2011 HSBC has launched the sale of its non-life insurance business, sources said yesterday, a division worth about $1bn (£633m) and part of the bank’s plan to strip away non-core units. HSBC sent out an information memorandum to potential buyers, with first round bids due by mid-October, a source said. Its non-life insurance businesses earned profit [...]
Byrne boosts Omega with £50m stake September 12, 2011 TAKEOVER target Omega Insurance received a vote of confidence from one of its numerous potential buyers yesterday as insurance scion Mark Byrne tabled an informal offer to buy a 25 per cent stake for £50m. Shares in the Lloyd’s insurer closed up 7.6 per cent as investors saw the offer as a vote of confidence [...]
Investors pass Healthcare Locums fundraising plan September 12, 2011 HEALTHCARE Locums shareholders defied rebel investors to vote in favour of a £60m fundraising plan tabled to repay the firm’s debt pile yesterday. More than 50 per cent of shareholders supported the plan to raise the funds primarily from two large funds, Toscafund and Ares Capital, while only 16 per cent backed the rebels. The [...]
McGraw-Hill set to split into two listed companies September 12, 2011 MCGRAW-HILL, agreeing to investor demands to “unlock shareholder value”, said yesterday it will divide itself into a markets data company that includes its Standard & Poor’s ratings businesses and an education company for textbook publishing. The breakup of the mini-conglomerate follows public demands starting in July from the Ontario Teacher’s Pension Fund and hedge fund [...]
Great Portland swoops on two London offices September 12, 2011 GREAT Portland Estates unveiled plans yesterday to expand into London’s West End by buying two properties for more than £250m. The London property developer has agreed to buy a 2.3-acre site near Oxford Street from the Royal Mail Group for £120m in cash – its largest deal to-date. Royal Mail will lease back the site [...]
