>>> LA LETTRE — 27/05/26 - 🇫🇷 FRANÇAIS & 🇬🇧 ENGLISH

LA LETTRE — 27/05/26

🇫🇷 FRANÇAIS

L’ÉVÉNEMENT

Peugeot Invest — Débuts chahutés pour Édouard Peugeot. Première AG (20 mai, L’Apostrophe, Paris 16ᵉ) sous tension pour le nouveau président du CA, fils de Robert Peugeot (désormais président d’honneur). Holding cotée sur Euronext, contrôlée à 80 % par la famille via les Établissements Peugeot Frères, ~8 % du capital de Stellantis. Grogne des minoritaires sur le titre (–50 % depuis fin 2021) et sur l’implication familiale dans la gouvernance Stellantis. Toile de fond : éviction de Tavares fin 2024, arrivée d’Antonio Filosa (juin 2025), perte >22 Md€ l’an dernier, capi tombée <19 Md€ (vs ~64 Md€ fin 2023). Grégoire Uettwiller (Moneta) : Stellantis est devenu « un boulet » pour Peugeot Invest. Un actionnaire individuel fustige l’absence de la famille aux AG de Stellantis ; Édouard Peugeot (MD chez TowerBrook, 42 ans) plaide pour les débats au sein du board. Jean-François Delcaire (HMG Finance) s’inquiète du barycentre décisionnel glissant vers l’Italie et Detroit. Filosa a dévoilé un plan d’investissement de 60 Md€, avec réductions de capacités en Europe (Espagne, France). — M. Protard

POLITIQUE

Annecy — Un adjoint d’Antoine Armand visé par une plainte pour viol. Enquête préliminaire ouverte (signalement art. 40). Vise Anthony Granger, 1ᵉʳ adjoint du nouveau maire Antoine Armand (ex-ministre de l’Économie, Renaissance). Faits allégués en septembre 2023, au domicile de l’élu, après une soirée alcoolisée ; plainte déposée le 25 avril par un ancien collaborateur (étudiant, 18 ans à l’époque). Signalement initial par la conseillère Cécile Boly. Granger dit ignorer la plainte, n’avoir pas été entendu, et met en garde contre une diffamation. Le parquet ne commente pas « en l’état » ; Armand renvoie vers sa directrice de cabinet, qui n’a pas répondu. — D. Bernard

ENTREPRISES

Orange — La fondation revient à Christel Heydemann. La DG hérite de la présidence de la Fondation Orange, traditionnellement dévolue au président du CA — Frédéric Sanchez (nommé le 19 mai) en est donc privé, contrairement à Jacques Aschenbroich. Refonte des statuts en débat depuis le départ de Stéphane Richard. Heydemann s’appuiera sur sa dircom Caroline Guillaumin. Front juridique : la CFE-CGC veut un représentant au CA et un audit des comptes sous Aschenbroich (la fondation reçoit 7 M€/an + 2,4 M€ de personnel mis à disposition). Encadré : les multiples casquettes de Sanchez (Fives, ex-STMicro, Bureau Veritas — assiduité 58 % en 2025 pointée par OFG, Medef International, Théa Holding) interrogent. — R. Carcan

Casino — 85 M€ réclamés aux administrateurs de l’ère Naouri. Une trentaine d’actionnaires et obligataires, menés par l’avocate Sophie Vermeille (Vermeille & Co), assignent les 12 ex-administrateurs devant le tribunal de commerce de Versailles. Reproche : approbation sans réserve des comptes 2022 (9 mars 2023), <3 mois avant la conciliation, puis passivité. Parmi les visés : David de Rothschild, Josseline de Clausade, Frédéric Saint-Geours. Assignation de 260 pages, remise le 22 mai ; risque de mise en jeu des assurances RC dirigeants in solidum. S’ajoute à une action contre la société Casino (Kretinsky), où les demandes passent de ~30 à ~150 M€. — S. Lecluse

DÉFENSE & AÉRONAUTIQUE

Antidrones — Alta Ares et Destinus sur la ligne de départ (programme Elisa, DGA). Marché « tueur de Shahed » de 18,7 M€. Alta Ares (Hadrien Canter, X-Wing Interceptor) et le néerlandais Destinus ont remis leurs offres ; Harmattan AI (200 M€ levés avec Dassault, drone Gobi) pourrait s’aligner. Objectif : alternatives low-cost aux Mica de MBDA (600 000 €/pièce) face aux Shahed et Gerbera russes (~30 000 €). Sélection express en deux mois : 8 candidats, puis 4 lauréats, pour ~1 000 intercepteurs. — M. Fauroux

MÉDIAS

AMI Labs — L’avant-garde parisienne de Yann Le Cun. La licorne AMI (Advanced Machine Intelligence), portée par l’ex-patron de la recherche IA de Meta, vise les world models (« quatrième révolution » post-LLM). Structure PengyouCo immatriculée fin 2025 (d’abord au nom de Gérard Lebrun, 88 ans, père du futur PDG Alexandre Lebrun). Levée de 1,03 Md$ (valo >3 Md$), ~40 salariés (Paris, NY, Singapour, Montréal). Noyau ex-Meta : COO Laurent Solly, CRIO Pascale Fung, CSO Saining Xie (ex-Google DeepMind, à NY). Large écurie d’investisseurs français : Dassault, AFM (Mulliez), Xavier Niel, Aglaé (LVMH), Zebox (CMA CGM), Artémis, Bpifrance, Publicis, Daphni. — byline non visible sur le PDF

🇬🇧 ENGLISH

THE EVENT

Peugeot Invest — Bumpy start for Édouard Peugeot. First AGM as board chairman (20 May) saw minority shareholders attack the stock (–50% since end-2021) and the family’s role in Stellantis governance. Holding is 80%-family-controlled via Établissements Peugeot Frères, holds ~8% of Stellantis. Backdrop: Tavares ousted end-2024, Filosa in since June 2025, >€22bn loss last year, market cap down to <€19bn (vs ~€64bn end-2023). Moneta’s Uettwiller called Stellantis “a burden.” Édouard Peugeot (TowerBrook MD, 42) defended board-level engagement; HMG’s Delcaire flagged decision-making drifting to Italy/Detroit. Filosa just unveiled a €60bn investment plan with European (Spain, France) capacity cuts. — M. Protard

POLITICS

Annecy — Deputy mayor under Antoine Armand hit by rape complaint. Preliminary probe (Art. 40 referral). Targets Anthony Granger, first deputy to new mayor Antoine Armand (ex-economy minister, Renaissance). Alleged Sept. 2023 facts at the official’s home after a drinking party; complaint filed 25 April by a former collaborator (student, 18 at the time). Granger denies knowledge, says he wasn’t questioned, warns of defamation. Prosecutor won’t comment; Armand deferred to his chief of staff (no comment). — D. Bernard

CORPORATES

Orange — Foundation presidency goes to CEO Heydemann. Role traditionally held by the board chairman, so Frédéric Sanchez (named 19 May) misses out, unlike Aschenbroich. CFE-CGC opening a legal front: wants a board seat and an audit of the foundation’s accounts under Aschenbroich (€7m/yr + €2.4m seconded staff). Sidebar questions Sanchez’s many mandates (Fives, Bureau Veritas — 58% attendance in 2025, Medef Int’l). — R. Carcan

Casino — €85m claimed from Naouri-era directors. ~30 shareholders/bondholders, led by lawyer Sophie Vermeille, sue the 12 former directors at Versailles commercial court for rubber-stamping 2022 accounts <3 months before conciliation. Named: David de Rothschild, Josseline de Clausade, Frédéric Saint-Geours. 260-page filing served 22 May; D&O insurance exposure in solidum. Parallel claim vs Casino (Kretinsky) rising from ~€30m to ~€150m. — S. Lecluse

DEFENCE & AEROSPACE

Counter-drone — Alta Ares & Destinus enter DGA’s Elisa programme. €18.7m “Shahed-killer” contract. Alta Ares (Hadrien Canter, X-Wing Interceptor) and Dutch Destinus bid; Harmattan AI (€200m raised with Dassault, Gobi drone) may join. Goal: low-cost alternatives to MBDA Mica (€600k each) vs Shahed/Russian Gerbera (~€30k). Two-month selection: 8 down to 4, for ~1,000 interceptors. — M. Fauroux

MEDIA

AMI Labs — Yann Le Cun’s Paris vanguard. Unicorn AMI (Advanced Machine Intelligence), led by Meta’s former AI research head, targets world models (post-LLM “fourth revolution”). PengyouCo registered end-2025 (initially under Gérard Lebrun, 88, father of CEO-to-be Alexandre Lebrun). Raised $1.03bn (>$3bn valuation), ~40 staff (Paris/NY/Singapore/Montréal). Ex-Meta core: COO Laurent Solly, CRIO Pascale Fung, CSO Saining Xie (ex-Google DeepMind). French backers: Dassault, Mulliez (AFM), Xavier Niel, Aglaé (LVMH), Zebox (CMA CGM), Artémis, Bpifrance, Publicis, Daphni. — byline not visible on PDF

📩 Ask me for the full article on any item.

>>> What to look at today - 27th of Mayl 2026

Global equities extended their record rally as momentum in technology shares accelerated and geopolitical tensions eased. Oil slipped. The MSCI All Country World Index, the broadest measure of global equities, rose for a sixth straight day to a record. MSCI’s Asian benchmark climbed 1.1% to an all-time high, led by South Korea’s Kospi Index, whose 100% surge this year made it the world’s top-performing equity gauge. Chip shares advanced, with SK Hynix Inc. extending its 12-month gain to over 1,000% and becoming the third Asian company to hit the $1 trillion market-capitalization milestone. Equity-index futures signaled modest gains for the S&P 500 and the Nasdaq 100 after the Wall Street benchmarks closed at record highs. Chipmakers led the charge in the US, with Micron Technology Inc. surging 19% to top $1 trillion in market value. European shares were also set to gain at the open. Elsewhere, Brent crude oil dropped 1.6% to about $98 a barrel on expectations for the US and Iran to sign a peace deal. Treasuries extended their gains, sending the yield on the benchmark 10-year lower by one basis point to 4.47%. The dollar was weaker against most of its Group-of-10 peers, slipping most against the Kiwi after the Reserve Bank of New Zealand signaled it will most likely need to raise interest rates. The moves reinforced momentum behind the AI trade, with investors betting chipmakers will capture an outsized share of spending tied to the global AI buildout. Optimism that the Middle East conflict is moving toward a resolution also helped propel global equities to fresh highs, as traders speculate easing geopolitical risks could temper inflation pressures. “The war premium is fading, but the AI premium is still building,” said Hebe Chen, an analyst at Vantage Global Prime. That’s “opening a wider runway for the rally and rewarding the FOMO trade with fresh record highs.” While tech dominated, traders were also paying attention to the developments in the Middle East. President Donald Trump said talks to extend a ceasefire and reopen the Strait of Hormuz are proceeding. Secretary of State Marco Rubio cautioned that any accord would likely take a few days to finalize.  Still, security in the waterway remained unclear after the two sides exchanged strikes overnight and US Central Command pushed back on reports that suggested the military was helping escort vessels. In other corners of the market, the Japanese yen traded around the 159 level against the dollar, keeping traders on alert for the risk of intervention by authorities to prop up the currency.  However, the currency is poised to strengthen against the dollar, reversing months of underperformance and threatening to upend a popular trade that relies on a weak yen, according to Eurizon SLJ Capital’s Stephen Jen.  The focus in Asia remained squarely on chipmakers, with SK Hynix seen at the center of the global AI buildout as a gauge of regional semiconductor shares climbed to a record. Memory chips have emerged as a critical bottleneck determining how quickly data centers can expand capacity. Investors and analysts expect memory chip shortages to last through 2027, giving SK Hynix and rivals Samsung Electronics Co. and Micron unusual pricing power over the world’s largest technology companies. SK Hynix became only the third Asian company to reach a $1 trillion valuation, joining Taiwan Semiconductor Manufacturing Co. and Samsung, which crossed the milestone earlier this month. 

Nikkei Hang Seng CSI Shanghai Shenzen

Eur$ CNH CNY JPY GBP CHF RUB TRY WTI$ Gold BTC ETH

S&P +0.06% Nasdaq +0.07% EuroStoxx +0.33% FTSE -0.10% Dax +0.30% SMI +0.18%

Macro :
- BNP Expects Up to $20 Billion of US Stock Sales: Equity Insight
- EU April Car Registrations Rise 5.1% Y/y to 0.972m Units
- Trump appoints Bondi to White House AI panel
- SEC Chairman Eyes ‘Gun-Jumping’ Rule Changes to Spur More IPOs
- FTSE Russell Approves Changes for IPO Fast-Entry
- Beer Stocks Slide as Industry Data Reveals Slumping Sales

Keep an eye on :
- ABI BB : Beer Stocks Slide as Industry Data Reveals Slumping Sales
- AIR FP : China Stalls Airbus Deliveries to Pressure Europe on Comac Jets
- AMZN US : NASA Taps Bezos’ Blue Origin, Firefly for Moon Base Contracts
- AMS LN : HB Fuller Says in Talks With Advanced Medical Solutions
- AT1 GY : Aroundtown 1Q Adjusted Ebitda EU250.2M Vs. EU251.1M Y/y
- ASSAB SS : Assa Abloy Offering by Latour Prices at SEK330/Share
- BNP FP : BNP Expects Up to $20 Billion of US Stock Sales: Equity Insight
- BBD/B CN : Bombardier Hits 2002 Levels on Australian Jet Supply Deal (1)
- BP/ LN : BP’s Ousted Chairman Manifold Disputes Accusations of Wrongdoing
- BP/ LN : BP Chair Who Sped Up Company’s Turnaround Is Fired Over Conduct
- CAP FP : Capgemini Sees ‘25-‘28 3Y Rev. CAGR at Constant Fx +5.5% to 7.5%
- CEC GY : EU Set to Investigate JD.com’s Takeover of Ceconomy: FT - Full Article
- APPS US : Digital Turbine 2027 Revenue Forecast Beats Estimates (+15% in After Hours)
- DD US : Dupont Plans Reverse Stock Split, Reaffirms 2026 Guidance
- EAGLES FH : Eagle Filters Group Offers Up to 28.6m Shares at EU0.07/Share
- ENI IM : ENI TO GET $15B FINANCING FOR ASIA GAS JV: MESSAGGERO
- ERA FP : Eramet Appoints Simon Henochsberg as CFO
- FLY US : Firefly Aerospace, Holders Offer 12m Shares
- FLY US : NASA Taps Bezos’ Blue Origin, Firefly for Moon Base Contracts
- GFL US : GFL, Secure Win Shareholder OK for Merger in Defeat for Abrams
- GIMB BB : GIMV Portfolio Value Increases to More Than €2.2B in 1Q
- GFS US : Mubadala Said to Offer $1.91 Billion GlobalFoundries Share Block (-4.6% in After Hours)
- HNSA SS : Hansa Biopharma Says Primary Objective of Idefirix PAES Was Met
- HEIJM NA : Heijmans Wins €83m Contract to Renovate Heerhugowaard Prison
- IDR SM : Indra Names New CEO in Latest Shakeup of Top Spain Defense Firm
- ISS DC : ISS Secures 7-Year Contract With West Sussex County
- KNDS IPO : KNDS on Track For Initial Public Offering as Sales Surge
- LAMDA GA : Lamda to Issue Common Bond Loan of as Much as €350 Million
- LATOB SS : Assa Abloy Offering by Latour Prices at SEK330/Share
- LULU US : Lululemon Nears Deal to End Proxy War With Chip Wilson: Rtrs
- MPCC NO : MPC Container Ships 1Q Revenue Beats Estimates
- NTGY US : CVC Set to Exit €3.8 Billion Stake in Spain’s Naturgy, Naturgy Offering by Holder Prices at EU28.55/Share
- NVDA US : Taiwan Said to Suspect Nvidia Chips Smuggled to China Via Japan
- OXY US : Occidental Takes Stake in Exxon’s Trinidad Deepwater Block: Rtrs
- PST IM : Poste Italiane CEO Sees Telecom Italia Deal Completion By 3Q
- REP SM : Repsol Moves Up Ranking of Europe’s Top Renewable Fuel Makers
- CRM US : Salesforce Earnings to Focus on AI Growth Potential: Preview
- 005930 KS : Samsung Union Votes in Favor of Deal, Averting Chip Plant Strike
- WAF GY : Siltronic Holder Wacker Chemie Offers 1.8m Shares: Terms
- GLE FP : SocGen’s Bini Smaghi Says More Work to Be Done on Costs: Echos
- SOP FP : Sopra Steria Starts €40 Million Share Buyback Program
- SATL US : Mnuchin’s Liberty Strategic Said to Offer 10m Satellogic Shares
- 9984 JP : SoftBank Picks Banks for SB Energy, Roze IPOs: RtrsEU Set to Investigate JD.com’s Takeover of Ceconomy: FT
- SPCX US : US Space Force Awards $2.29b Contract to SpaceX
- SPCX US : SpaceX IPO Gets Another Greenlight Toward Faster Index Inclusion, FTSE Russell Approves Changes for IPO Fast-Entry
- SPCX US : Elon Musk's Tesla-SpaceX Merger Chatter Gets Louder
- TIT IM : Poste Italiane CEO Sees Telecom Italia Deal Completion By 3Q
- TSLA US : Elon Musk's Tesla-SpaceX Merger Chatter Gets Louder (+1% in after hours)
- TTE FP : Mozambique Disputes $2 Billion Claims for Total LNG Project
- VOLCARB SS : Volvo Car Avoids US Ban on Connected Vehicles Tied to China (+3% in After Hours)
- WBD US : DOJ Appears Set to Approve Paramount’s Warner Bros Bid: Semafor
- WCH GY : Siltronic Holder Wacker Chemie Offers 1.8m Shares: Terms

>>> Europe : Brokers Upgrades & Downgrades - 27th of May 2026

>>> Up
* Autotrader Group PLC Raised to Buy at Peel Hunt; PT 630 pence
* Eiffage Raised to Buy at Citi; PT 155 euros
* FedEx Raised to Overweight at JPMorgan; PT $460
* Gjensidige Raised to Equal-Weight at Barclays; PT 265 kroner
* GXO Logistics Raised to Overweight at Barclays; PT $65
* HB Fuller Raised to Neutral at JPMorgan; PT $58
* Lem Raised to Buy at Research Partners; PT 515 Swiss francs
* Rockwool Raised to Buy at ABG; PT 225 kroner
* Sampo Raised to Overweight at Barclays; PT 11 euros
* SGS Raised to Outperform at Oddo BHF; PT 100 Swiss francs

>>> Down
* Ferrovial NV Cut to Neutral at Citi; PT 60.15 euros
* Flow Traders Cut to Sell at ING; PT 24.90 euros
* Intertek Cut to Neutral at Oddo BHF; PT 6,000 pence
* Prosegur Cut to Sell at Goldman; PT 2.60 euros
* Vinci Cut to Neutral at Citi; PT 133 euros

>>> Initiation
* ALK-Abello Rated New Buy at Berenberg; PT 305 kroner
* GE Aerospace Rated New Buy at Seaport Global Securities; PT $375
* JDC Group Rated New Buy at Berenberg; PT 36 euros
* Kazatomprom GDRs Rated New Buy at UBS; PT $90
* Meta Rated New Outperform at Safra; PT $835
* Norion Bank Rated New Buy at SB1 Markets; PT 70 kronor
* Sandisk Rated New Buy at Soochow Securities

>>> Call
* ALK-Abello New Buy at Berenberg on Growing Allergy Market
* Eiffage Seen Among Standouts in Infrastructure, Vinci Cut: Citi
* Sandisk Upgraded as Barclays Positive on Structure of Contracts
* SGS Raised, Intertek Cut as Oddo BHF Shifts Sector ‘Heirarchy’

FT : BP is deeply dysfunctional, but it could be worse

BP is deeply dysfunctional, but it could be worse
Investors should be concerned by Manifold’s ousting, but better to fire too many executives than too few

At some companies, getting rid of the boss is nigh impossible. Just look at US tech giants SpaceX and Meta Platforms, where leaders Elon Musk and Mark Zuckerberg are de facto unremovable. At other companies, defenestrations seem to happen all too often. UK oil major BP is an unhappy example of one where rapid change is becoming the norm.

The beleaguered oil major has removed chair Albert Manifold after less than a year in the job over “serious concerns” about “important governance standards, oversight and conduct”. This adds to a long list of senior departures. Since 2023, BP has parted ways with two chief executives, Murray Auchincloss and Bernard Looney, and one board chair, Helge Lund.

Companies can generally withstand high-level oustings even if they come as a nasty surprise; BP’s shares fell 4 per cent on Tuesday. In the end, single honchos have less sway than their salaries sometimes imply. At BP, there are outward indications that the underlying organisation has revved up, with resilient production and few outages on display at first-quarter results. Manifold had installed a well-respected new chief executive in Meg O’Neill, working alongside deputy Carol Howle and finance chief Kate Thomson.


Still, BP shareholders should be concerned by the merry-go-round. Manifold had been perceived as the architect of BP’s turnaround. His plan to refocus the company around its traditional oil and gas business, selling assets and cutting costs, had played well with activist investor Elliott Investment Management and investors. BP’s share price is up almost 30 per cent since Manifold took over as chair in October, outperforming rival Shell. There’s no suggestion the board objected to his strategy, but it’s now less clear how quickly it will become reality.

Manifold’s rapid-fire appointment and ejection also raise questions over BP’s selection process. The executive had never chaired a board, but he was a known quantity with a long career at cement maker CRH. Even if his management style may have been more suited to the role of chief executive than chair, it should still have been possible to get a feel for how he might interpret the role before giving him the job.

Helming BP is particularly challenging, even for the best of candidates, because the company is neither one thing nor another. It cannot be entirely straightforward to find candidates who are neither too devoted to green energy nor too enamoured with the oil patch. Add in the need for human skills — the ability to shake things up without overstepping the line of what is acceptable behaviour at work — and the list shrinks further.

Still, when a manager behaves in a way that is deemed unacceptable it is better for them to go than to stay. Shareholders can at least take up their gripes over the selection process with the board. That means that, in a sub-optimal world in which one has to choose between companies that fire their leaders too often and companies which can’t ever get shot of the people at the top, it might be safer to err on the side of BP.

FT : BP chair’s departure turns spotlight on Meg O’Neill to deliver swift turna

BP chair’s departure turns spotlight on Meg O’Neill to deliver swift turnaround
Albert Manifold’s behaviour and use of personal devices cited as factors in his removal over conduct and governance concerns

Six months ago Albert Manifold played a critical role in convincing Meg O’Neill to become the next chief executive of BP, a position that had come to be viewed as a poisoned chalice in the industry after two departures in three years.

This week the board on which O’Neill now sits ousted the Irish businessman as chair, with the company saying there had been “serious concerns” about his behaviour. People familiar with the matter claimed there were “multiple” whistleblower complaints about alleged “bullying”.

Manifold told the FT the decision to remove him came “out of the blue” and he added via a spokesperson that he would contest the claims about his alleged behaviour, saying he had worked to “drive genuine change at BP — cutting costs, challenging excess, and holding the organisation to higher standards.

“I dispute entirely the characterisation of my conduct and I will not allow a false narrative to go unchallenged,” he added.

To critics Manifold’s ousting is a sign that BP has become almost ungovernable, having now replaced two CEOs and two chairs in the past three years after a mismanaged pivot towards renewable energy left it lagging its competitors. Its shares, which had risen faster than Shell this year on hopes of a turnaround, fell 4 per cent on Tuesday.

“This just creates another ridiculous level of uncertainty at a time when radical restructuring is called for,” said analyst Paul Sankey, founder of Sankey Research.

Others hope it is a sign that O’Neill might be getting a grip of a company that had threatened to become a takeover target, even if they accept that Manifold played an important role in fostering the turnaround that has helped BP’s shares rise more than 20 per cent since he joined in September.

When Manifold, the former chief executive of Irish building supplies group CRH, replaced outgoing chair Helge Lund, one person involved in the search process said that his low profile and lack of oil and gas experience were not an issue.

“A chair is not meant to be the high-profile person. The CEO is the leader of the business,” the person said.

Just months later people familiar with the matter described tensions between Manifold and BP’s board and O’Neill, with the chair allegedly overstepping his role and at times acting like an executive tasked with the day-to-day running of the company.

They accused him of a habit of talking down to employees at all levels and a “shouty” management style that was at odds with BP’s culture.

One of the people said many colleagues — junior and senior — found Manifold “impossible to work with” as he “wanted to control everything”, adding: “You can’t operate like that anymore.”

Two people said Manifold had also used personal accounts or devices for carrying out company business, in breach of BP’s policies.

A person close to Manifold disputed this claim, saying the company had willingly sent emails to Manifold’s personal email. Manifold was not aware of any whistleblower complaints before his dismissal and so had zero chance to respond, the person added.

O’Neill, whose no-nonsense reputation has helped her become the most senior woman in the energy industry and the first to run an oil major, is a member of the board which BP said made a “unanimous” decision to remove him rather than risk her authority being undermined.

Since starting in April she has already moved quickly by splitting BP into two main business units in a return to its traditional oil and gas structure before it attempted to transform into an energy transition leader under Bernard Looney.

The move to make BP greener was reversed by his successor Murray Auchincloss, who left last December after pressure from activist investor Elliott Management to accelerate the strategic overhaul and arrest the company’s poor financial performance.

Manifold’s departure will boost O’Neill’s power in the company, but may also leave her exposed as the sole person responsible in investors’ eyes for quickly delivering a turnaround.

She must also hold together a company that has been rocked by multiple senior departures in the past three years.

UBS analyst Joshua Stone said that while the manner of Manifold’s departure may initially weigh on BP’s share price, investors would be reassured by O’Neill’s presence, saying she had joined at a “critical turning point and can help reverse these years of weakness”.

BP has faced turmoil ever since Looney left in 2023 over his failure to disclose the full extent of his relationships with BP employees during his appointment process. His bold pivot towards renewables, which had alienated many investors, quickly unravelled.

Manifold’s departure will undoubtedly stoke renewed questions over the BP board’s decision-making, but some see O’Neill and a new chair — to be appointed later this year — as a chance for a fresh start.

“The problems at BP are rooted in the weakness of the board,” said one former BP executive.

The executive, who did not want to be named, said a new chair should be empowered to rebuild the board with professionals who know their role is to advise and oversee rather than try to run the company from the boardroom.

“Meg O’Neill and the entire team at BP deserve better,” said the executive.

Henry Tarr, co-head of energy and environment research at Berenberg, said most investors had backed Manifold’s vision for the company.

“There will be questions again as to whether that changes the strategic direction or the urgency with which the company will pursue its goals. The release seems to suggest that they’re very much sticking with Meg,” he said.

Interim chair Ian Tyler said BP’s board and executives still “have deep conviction in the strategic direction we have laid out”.

People close to BP told the FT the company is bracing for potential legal action by the ousted chair.

While BP’s board felt it had no choice but to remove Manifold, Sankey warned this was not guaranteed to deliver success in the eyes of international investors concerned about the group’s share price.

“To bring about change you need leaders to upset people and the constant leadership changes will make US investors question whether they really need to own BP stock.”

>>> Stoxx 600 Pre-Market Indications

  • Nokia (NOA3 TH) +4.3%
  • Infineon (IFX TH) +2.4%
  • Puig (B1B TH) +1.6%
  • Kerry Group (KRZ TH) +1.6%
  • STMicro (SGM TH) +1.5%
  • Aixtron (AIXA TH) +1.3%
  • ISS (QJQ TH) +1.2%
    • ISS Secures 7-Year Contract With West Sussex County
  • Wolters Kluwer (WOSB TH) +1%
  • Novo (NOV TH) -1.2%
  • Equinor (DNQ TH) -1.5%

FT : For failing water utilities, nationalisation is not a dirty word

For failing water utilities, nationalisation is not a dirty word
It is easier to fund maintenance and infrastructure upgrades when freed from the temptation to pay big dividends

Labour leader hopeful Andy Burnham wants “stronger public control” of utilities. He has yet to share much detail about what this would look like. But while the idea of nationalising companies conjures up images of disastrous capital misallocation, in rare cases, it might be the least bad option. Water is a prime example.

The battle to keep England hydrated has become a case study in the failure of for-profit control of essential services. Privatisation of the country’s water boards, beginning in the late 1980s, has resulted in debt-ridden entities and deteriorating quality — to the extent, in the case of Thames Water, of pumping effluent into rivers.



Thames Water’s miserable predicament is not an inevitable result of privatisation — there can be merits in harnessing the experience and entrepreneurship of the private sector. Southern Water also discharged sewage but its backers, led by Macquarie Asset Management, have since recapitalised the group, enabling it to carry out turnaround plans.

The problem comes when concomitant oversight is missing. Water watchdog Ofwat failed to call time on practices that prioritised dividends over investment, and was one of four regulators overseeing the sector. Hence the government is abolishing it and putting a single regulator in charge. Energy regulator Ofgem has often been a step behind too, allowing poorly financed suppliers to enter the market and failing to anticipate lengthy volatility in energy prices.

For now, Thames Water creditors remain locked in talks with the regulator and government to fend off renationalisation, forking out hefty fees to lawyers in the process. In this scenario, nationalisation looks to be the better option.

And it’s hardly a radical proposal. Most of the world keeps water work in some form of public control, be it at national, state or municipal level: England is the rarity, up there with Chile where water was privatised under dictator Augusto Pinochet. As such, England has plenty of templates to choose from — including across the border in Scotland where the average bill is about £100 cheaper.

A smart starting point, only slightly further afield, comes from the Netherlands. Responsibility lies at both national level, for major bodies of water, and at district level. Funding requirements are met by the public sector NWB Banks, or water bank.

It is easier to fund maintenance and infrastructure upgrades when freed from the temptation to pay big dividends. The water bank exudes stability: its capital ratios are twice those of commercial European counterparts and, as a government entity, it can raise funds cheaply while offering investors a pick-up over sovereign debt. There are no intermediaries, no labyrinthian corporate structures and no defaulting bonds. Water boards, and the councillors who take responsibility within their municipalities, ensure accountability.

Hybrid models can and do work — in Manchester’s transport system, for example, privately run buses and trams follow publicly set routes and fares. The Bee Network, as it is known, has been delivered on time and budget. By the same token, both purely public and entirely private utilities have racked up failures. There’s no guarantee that nationalisation would fix what ails England’s water sector — but it couldn’t be much worse.

FT : Hong Kong overtakes Switzerland as hub for global offshore wealth

Hong Kong overtakes Switzerland as hub for global offshore wealth
Chinese territory enjoys surge of investment from mainland as wealthy spread assets across different jurisdictions

Hong Kong has overtaken Switzerland as the world’s biggest cross-border wealth hub for the first time, as an influx of investment from the Chinese mainland helped it eclipse the traditional haven.

Wealth managers in the Chinese territory booked $2.9tn of international assets in 2025, according to estimates from the Boston Consulting Group.

About 60 per cent of that came from mainland China, with BCG forecasting that the rapid increase in Asian fortunes would widen the gap between Hong Kong and Switzerland to almost $600bn by the end of the decade.

China’s growth has been bolstered by a return of equity capital markets activity in Hong Kong that has allowed companies to raise funds offshore, as well as the country’s manufacturing dominance in sectors such as electric vehicles.

But the rise of the Asian city as a cross-border hub also reflects broader shifts in global wealth flows, with clients seeking to spread their assets across multiple jurisdictions to hedge against geopolitical tensions, sanctions risks and political instability.

“This is a completely new phenomenon. I haven’t seen anything like it,” said Michael Pellman Rowland at Baseline Wealth Management, a Swiss-based independent manager with global clients.

Wealthy clients moving money offshore had traditionally been motivated by tax planning or corporate structuring, Rowland said, but since the coronavirus pandemic they had increasingly sought “jurisdictional diversification” — spreading assets across countries to protect against geopolitical and political risks.

Diversification had helped reinforce the dominance of the world’s largest “booking centres” — the hubs where banks manage and safeguard offshore wealth for international clients — according to BCG partner Michael Kahlich.

“We see two different hubs emerging,” Kahlich said, with Hong Kong and Singapore anchoring one network in Asia, and Switzerland, the UAE and the US forming a rival axis to the west.


Although Switzerland is more heavily tied to mature western European fortunes and less exposed to the fast-growing Asian wealth flows reshaping the industry, bankers said that many wealthy Asian clients still wanted assets ultimately booked in Switzerland.

Most large international banks, including Swiss private lenders, now have major booking operations in Hong Kong and Singapore to serve Asia’s growing fortunes.

But financiers question whether the country is doing enough to stay competitive, with its biggest bank, UBS, at loggerheads with regulators over new capital rules.

“The question is whether Switzerland is doing enough to actively defend its position in wealth management, or just relying on its stability. I think it is the latter,” said one UBS banker based in Zurich.

Other centres such as Dubai have also grown rapidly since the pandemic as a bridge between rival eastern and western pools of capital.

Banks including UBS, JPMorgan and Deutsche Bank have expanded aggressively in the emirate in recent years, drawn by zero income tax, relative political stability and an influx of wealthy individuals, hedge funds and family offices from across Russia, India, China, Europe and the Gulf.

But cross-border wealth booked in the UAE remains much smaller than either Switzerland or Hong Kong at $721bn last year, BCG said, even with growth of 11 per cent.

Singapore, another major beneficiary of the eastward shift in global capital, has also seen growth moderate after high-profile money laundering cases triggered a regulatory crackdown and tougher scrutiny of wealthy foreign clients.

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FT : France signals volte-face on ‘Made in Europe’ subsidies for UK car industry

France signals volte-face on ‘Made in Europe’ subsidies for UK car industry
Paris initially lukewarm on including Britain in European Commission proposal to shield strategic industries from imports

France has given the British car industry a major boost by suggesting that the EU could allow UK-made vehicles to qualify for “Made in Europe” subsidies.

Under current EU proposals, vehicles for corporate fleets and small electric vehicles would have to be assembled within the bloc in order to be eligible for public procurement and subsidies. Nissan, one of the UK’s biggest automotive employers, said it would shut its flagship Sunderland factory were the policy to take effect. 

France’s trade minister told the FT that his country was now asking Brussels to solve the “problem” of the UK’s exclusion.

“We will have to clarify this problem. They don’t belong to the EU, but they are very close neighbours. Of course, they’re very much integrated, so how do we solve this?” Nicolas Forissier said. “It should be discussed. I think it’s an important issue.”

The stance amounts to a significant change in direction from France, which was a big supporter of restrictive rules of origin in the Industrial Accelerator Act (IAA).

The IAA, which was approved by the European Commission in March, needs to be approved by member states and the European parliament before it becomes law.

Countries including the Netherlands are also pushing for UK inclusion, while German car companies such as BMW are keen to protect their UK operations, including production of their Mini car in Oxfordshire. 

EU officials say that industry groups are pushing to have a smaller set of countries that would fully qualify as “Made in Europe” to preserve value chains, which would include the UK and others. But there would be conditions attached.

One diplomat said many member states had yet to adopt a position on the issue ahead of the first official discussion on the draft IAA, at a meeting of ministers on Thursday. 

Some states are concerned that further loosening the geographic scope of the law could weaken its goal of revitalising Europe’s industry, while members of the European parliament are also pushing for a more limited scope. 

The IAA is part of the Commission’s effort to shield strategic industries from imports, particularly from China. The proposal affects corporate fleets, which amount to 60 per cent of the European car market.

It allows countries that have free trade agreements with Brussels, including the UK, to be eligible for public procurement and subsidies in clean tech, heavy industry and parts of the car sector, provided they reciprocate.

But it excludes incentives connected to the greening of corporate fleets and a credit for small electric vehicles.   

The Commission said non-EU countries were excluded from these two policies because “they are not achievable if they do not also translate into growth and manufacturing activity in EU electric vehicle supply chains”.

UK ministers have been lobbying for changes in the Commission’s proposals since March.

One car industry figure said EU manufacturers supported the UK because of the integration of supply chains. According to the UK industry body SMMT, UK-EU automotive trade is worth €80bn a year.

The UK Department for Business and Trade declined to comment.