TheChek News Flow

* Delivery Hero Raised to Buy at HSBC; PT 65 euros

* IGas Raised to Buy at Investec; PT 50 pence (+)

* RNEW LN Raised to Buy at Stifel (+)

>>> Down

* CMC Markets Cut to Hold at Numis; PT 260 pence

* Evotec SE Cut to Hold at Deutsche Bank; PT 21 euros

* FLEX LNG Cut to Hold at Pareto Securities; PT 350 kroner

* Harbour Energy Cut to Hold at Investec; PT 350 pence (+)

* Quantafuel Cut to Hold at Pareto Securities; PT 7 kroner (+)

* Scor Cut to Add at AlphaValue/Baader

>>> Initiation

* Ashtead Technology Rated New Outperform at RBC; PT 340 pence

* Charwood Energy Rated New Buy at Stifel; PT 11.50 euros

* Cicor Tech Rated New Buy at SRH AlsterResearch

* Future PLC Rated New Overweight at JPMorgan; PT 2,500 pence

* Swatch Rated New Neutral at Grupo Santander; PT 257 Swiss francs

* Technicolor Creative Studios Rated New Underperform at Oddo BHF

>>> Call

* Ambu Cut at Handelsbanken as Short-Term Momentum Disappoints

* Billerud Downgraded as Jefferies Sees Wood Cost Headwinds

* BofA Says S&P 500 Breaching Resistance Line Signals Bullish Path

* Carrefour Cut to Neutral by Bryan Garnier over Low Yields (+)

* Credit Agricole Cut at Citi on Retail Pressures, Capital Level

* Delivery Hero Raised at HSBC as Path to Profit Looks ‘Credible’

* DSM Earnings Negativity Peak Seems Close, According to Citi

* Evotec Downgraded at Deutsche Bank on Risks to 2022 Guidance

* Kainos Upgraded at Berenberg on Strong Underlying Momentum

* Premier Foods Outlook Is Confident, Reassuring: Jefferies (+)

DAX:

MDAX:

SDAX:

Crypto lender SALT paused withdrawals on Tuesday, becoming the latest casualty in the collapse of Sam Bankman-Fried’s crypto empire.

In an email to customers, SALT Chief Executive Shawn Owen said the “collapse of FTX has impacted our business” without disclosing the extent of the firm’s exposure to FTX.

Cryptocurrency exchange FTX and a bevy of affiliates filed for bankruptcy protection on Friday, revealing more than 100,000 creditors and tens of billions of dollars in assets and liabilities.

“Until we are able to determine the extent of this impact with specific details that we feel confident are factually accurate, we have paused deposits and withdrawals on the SALT platform effective immediately,” Mr. Owen said.

The company also asked customers to stop depositing more funds into their accounts. It said customer loans will remain active and the firm’s loan-monitoring systems will be fully operational.

Crypto companies are reeling from the market turmoil set off by the rapid unraveling of FTX. Crypto lender BlockFi paused withdrawals last week, acknowledging that it has “significant exposure” to FTX. The Jersey City, N.J.-based company is preparing a potential bankruptcy filing and planning to lay off workers, The Wall Street Journal has reported.

BlockFi, financially entangled with the now-bankrupt FTX, is planning to lay off workers and exploring a bankruptcy filing itself, people familiar say

Cryptocurrency lender BlockFi Inc. is preparing a potential bankruptcy filing after halting withdrawals of customer deposits and acknowledging it has “significant exposure” to bankrupt exchange FTX, people familiar with the matter said.

BlockFi paused withdrawals and limited activity on its platform last week, saying it couldn’t operate business as usual given the uncertainty about FTX. BlockFi is now planning to lay off some of its workers while the troubled firm prepares for a possible chapter 11 itself, people familiar with the matter said.

BlockFi didn’t respond to requests for comment. A bankruptcy filing would make Jersey City, N.J.-based BlockFi the latest casualty of the sudden collapse of Sam Bankman -Fried’s crypto empire, which comprises FTX, FTX US, trading firm Alameda Research and more than 100 affiliated entities.

FTX and its related companies filed for bankruptcy protection Friday without disclosing which other crypto firms may have holdings tied up on its exchange.

In a blog post on Monday, BlockFi said it has “significant exposure” to FTX and Alameda, including loans to Alameda, assets held at FTX.com and undrawn amounts from its credit line with FTX US. The company denied that a majority of its assets are custodied at FTX.

“There are a number of scenarios that may be available to us, and we are doing the work now to determine the best path forward,” the company post said. BlockFi also said Monday that law firm Haynes & Boone LLP continues to serve as the firm’s primary outside counsel, and Berkeley Research Group has been hired as financial adviser.

Cryptocurrency exchange FTX was seen as a survivor in a struggling industry, but over the course of six days the exchange collapsed due to a sudden liquidity crunch. WSJ explains the factors that drove FTX’s growth and what led to its downfall. Illustration: Alexandra Larkin

“BlockFi has the necessary liquidity to explore all options and we have engaged expert outside advisors that are helping us navigate BlockFi’s next steps,” the company said in the post.

BlockFi has recently been working with Kenric Kattner, a bankruptcy partner at Haynes & Boone, people familiar with the matter said. Mr. Kattner didn’t respond to a request for comment.

BlockFi is one of several companies that signed deals to be rescued by FTX over the summer after a sharp plunge in crypto prices upset the balance sheets of several lenders, exchanges and bitcoin mining companies. In July, BlockFi obtained a $400 million revolving credit facility from FTX in a debt deal that also gave FTX an option to purchase the company.

BlockFi drew down most if not all of the facility, people familiar with the matter said. It also extended millions of dollars in loans partly collateralized by FTX’s FTT tokens to FTX’s sister company Alameda, other people familiar with the matter said.

BlockFi’s co-founder and chief operating officer, Flori Marquez, had said last week on Twitter all of the company’s products were fully operational and that it was processing client withdrawals. Two days later, it froze customers’ withdrawals.

As of 2021, BlockFi had between $14 billion and $20 billion of customer deposits and had lent out $7.5 billion, according to people familiar with the matter. Those deposits are likely worth much less given the decline in cryptocurrency prices this year, one of the people said.

Macro :

- BofA Says S&P 500 Breaching Resistance Line Signals Bullish Path

- Sam Bankman-Fried: Goal is to Focus on Transparency

- *BlockFi Had at Least $14 Billion of Customer Deposits as of Last Year, Sources Say --WSJ

Keep an eye on :

- ADJ GY : *ADLER IN TALKS TO RAISE FUNDS FROM BONDHOLDERS IN DEBT DEAL

- AIR FP : F-35 Jet Funding Is Running $1.4 Billion Short, Pentagon Says

- ALC SW : Alcon's Raised Revenue Targets Show Eye-Care Strength: React

- AAPL US : IPhone Pro Output Estimates Cut by Morgan Stanley After Lockdown

- ASML NA : ASML COO Met Taiwan’s Tsai, Vowed to Keep Investing in Taiwan

- BALDB SS : Sweden’s Balder Is Latest Landlord to Face S&P Downgrade Risk

- BEZ LN : Beazley Offers 61m Shares via JPMorgan, Numis

- BWLPG NO : BW LPG 3Q Ebitda Beats Estimates

- CCL LN : Carnival Begins Private Offering of $1 Billion Convertible Notes

- COTN SW : Comet Sees FY Sales Low End of CHF580M to CHF610M

- ROO LN : Deliveroo to End Operations in Australia

- EDP PL : EDP Gets Power Purchase Agreement for New Indiana Wind Project

- EL US : Estée Lauder Agrees to $2.8 Billion Deal for Tom Ford (2)

- FUR NA : Fugro Gets Danish Geotech Offshore Wind Development Contract

- GTT FP : GTT Gets Order for Tank Design of 8 New LNG Carriers

- IBE SM : *IBERDROLA SPEEDS UP SALE OF SPANISH RENEWABLES PORTFOLIO: CINCO

- GYC GY : Grand City Properties 9M Adj Ebitda EU230.1M Vs. EU222.0M Y/y

- IDIA SW : Idorsia, Simcere Enter Licensing Deal for Daridorexant in China

- KER FP : Estée Lauder to Buy Tom Ford in $2.8B Deal: DJ

- KORI FP : Korian Says It Had No Contact With Rival Orpea on Clinea

- LHA GY : ITA Chairman to Be Replaced by Turicchi, Il Foglio Reports

- NEL NO : Nel, GM to Collaborate on Renewable Hydrogen Production

- ORP FP : Korian Says It Had No Contact With Rival Orpea on Clinea

- OKEA NO : Okea Says Hydrocarbons Encountered in Calypso Exploration Well

- RECSI NO : REC Silicon 3Q Ebitda Loss $13.8M Vs. Loss $1.1M Q/Q

- ROG SW : Roche Gets US Emergency Use Authorization for Monkeypox Test

- ENR GY : Siemens Energy FY Adjusted Ebita Loss EU75M, Est. Loss EU117M

- STR AV : Strabag Sees FY Output Volume at Least EU17B, Saw EU16.6B

- TSLA US : SpaceX Said in Talks to Raise Money Above $150 Billion Value (2)

- VGP BB : VGP Offers Up to 5.46m Shares at €55/Share

- VLTSA FP : Voltalia Offers 35.8m Shares at EU13.70/Share

- VOW GY : EU Automakers Eye 2022 Margin Peak as 2023 Downgrades Beckon

- YPSN SW : Ypsomed 1H Ebit Beats Estimates

- ZEAL DC : Zealand Pharma Loses Clean Sweep of Buys, MS Sees Balanced

- ZV IM : Zignago Vetro Cut to Add at Intesa Sanpaolo; PT 16 euros

- ZURN SW : Zurich Insurance Sets New Financial Targets for 2023-2025

* Delivery Hero Raised to Buy at HSBC; PT 65 euros

>>> Down

* Evotec SE Cut to Hold at Deutsche Bank; PT 21 euros

* FLEX LNG Cut to Hold at Pareto Securities; PT 350 kroner

* Scor Cut to Add at AlphaValue/Baader

>>> Initiation

* Ashtead Technology Rated New Outperform at RBC; PT 340 pence

* Charwood Energy Rated New Buy at Stifel; PT 11.50 euros

* Cicor Tech Rated New Buy at SRH AlsterResearch

* Future PLC Rated New Overweight at JPMorgan; PT 2,500 pence

* Swatch Rated New Neutral at Grupo Santander; PT 257 Swiss francs

* Technicolor Creative Studios Rated New Underperform at Oddo BHF

>>> Call

* Ambu Cut at Handelsbanken as Short-Term Momentum Disappoints

* Billerud Downgraded as Jefferies Sees Wood Cost Headwinds

* BofA Says S&P 500 Breaching Resistance Line Signals Bullish Path

* Credit Agricole Cut at Citi on Retail Pressures, Capital Level

* Delivery Hero Raised at HSBC as Path to Profit Looks ‘Credible’

* Kainos Upgraded at Berenberg on Strong Underlying Momentum

U.S. cosmetics company, prevailing over big luxury names including Kering, will spend roughly $2.3 billion after payments

Estée Lauder Cos. will acquire Tom Ford in a deal valued at roughly $2.8 billion, building on a longstanding licensing agreement and marking the cosmetics giant’s largest-ever acquisition, executives said Tuesday.

Estée Lauder prevailed in an auction for the high-end fashion label that drew competition from big names in luxury including Kering SA . The French company was poised to win the auction earlier this month, The Wall Street Journal reported.

Estée Lauder is expected to pay roughly $2.3 billion, net of a $250 million payment from Italian eyewear manufacturer Marcolin SpA, which has its own licensing deal with Tom Ford. It plans to fund the transaction through a combination of cash, debt and $300 million in deferred payments to sellers that become due beginning in July 2025.

The acquisition, still subject to regulatory approvals, is expected to close in the first half of 2023.

The Journal reported on Monday that an agreement between the two parties was imminent. The Financial Times reported on Friday that Estée Lauder was set to clinch a deal for closely held Tom Ford.

In August, the Journal reported that Estée Lauder, which sells brands including Clinique and M.A.C., was talking to Tom Ford about a deal that could have been worth at least $3 billion. Volatility in markets and fears of a softening economy appear to have dented the price tag somewhat.

Tom Ford is best-known for its menswear, though it also sells womenswear and accessories as well as a fast-growing, high-end line of cosmetics and fragrances. Tom Ford’s beauty business is considered a so-called ultraprestige brand.

In the fiscal year ended June 30, Tom Ford’s beauty business had net sales growth of roughly 25% and is on pace to reach $1 billion annually in the coming years.

Estée Lauder has been especially interested in that business, with which it has maintained a licensing deal since 2006. It is less-versed in apparel, but the takeover will allow the company to venture into new categories and compete more closely with fashion houses such as LVMH Moët Hennessy Louis Vuitton SE.

Estée Lauder also said Tuesday it has struck fresh licensing agreements for Tom Ford’s fashion and eyewear, confirming earlier reporting from the Journal.

It will extend the licensing agreement with Marcolin and has also given a long-term license for all of Tom Ford’s men’s and women’s fashion, plus accessories and underwear, to Italian luxury fashion house Ermenegildo Zegna NV, an existing Tom Ford partner.

Estée Lauder earlier this month said its organic sales dropped 5% in the latest quarter, hurt by Covid-19 lockdowns in China and a slowdown in orders from U.S. retailers. The New York beauty company also lowered its outlook for the current fiscal year.

It has been an active acquirer over the years, however its deals have been relatively small. Estée Lauder paid around $1 billion each to buy the rest of Canadian beauty company Deciem Inc. in 2021 and the Korean skin-care company Have & Be Co. in 2019. A few years before, it paid around $1.5 billion for Too Faced Cosmetics LLC.

France’s Kering, whose brands include Gucci, Saint Laurent and Balenciaga, last month posted a higher-than-expected rise in sales, boosted in part by U.S. tourists spending freely in Paris and other European capitals.

Mr. Ford, a Texas native, founded his eponymous brand after a long stint as creative director at Gucci. A young Mr. Ford was depicted in the 2021 film “House of Gucci,” which chronicled the history of the Gucci family and brand.

Mr. Ford is expected to continue to serve as his brand’s creative visionary through the end of 2023.