Strikes at Lufthansa threaten efforts to capitalise on Gulf disruption
Travel turmoil caused by industrial action a ‘significant handicap’ as carrier tries to benefit from war
Lufthansa is facing one of the most significant strike disruptions in years, hampering the German airline group’s efforts to capitalise on the disruption affecting Gulf rivals owing to the war in Iran.
The company is facing five straight days of strikes by either cabin crew or pilots, grounding hundreds of flights. Lufthansa pilots walked out on Monday and Tuesday and are set to renew their strike on Thursday and Friday. Flight attendants will begin a two-day strike on Wednesday after another 24-hour work stoppage on Friday last week.
Lufthansa said it was offering a third of its usual services during the pilot strike on Monday and Tuesday.
The war has hit Middle East hubs such as Doha, Abu Dhabi and Dubai and opened a window of opportunity for European airlines to grab market share from rivals on lucrative long-haul routes.
Along with other European airlines, Lufthansa reported strong demand for destinations in Africa and Asia at the start of the conflict, and it added new services to its flight plan to scoop up passengers who otherwise would have travelled via the Gulf.
However, concerns over the reliability of Lufthansa’s services could push customers to opt for its rivals, said aviation analyst John Strickland, who called the escalation in the labour dispute with both pilots and cabin crew a “significant handicap” to the carrier’s efforts to benefit from the war.
Lufthansa was “trying to make the best of a challenging and unpredictable conflict situation . . . but it is hampered by industrial relations issues within the company”, he added.
On Wednesday, cabin staff planned to picket an anniversary event at Frankfurt airport to celebrate 100 years since the founding of Lufthansa, which will be attended by German Chancellor Friedrich Merz.
Cabin crew are striking over a new collective bargaining agreement as well as protection for workers at Lufthansa CityLine, which is set to cease operations. Pilots, meanwhile, have demanded higher pension contributions from the airline group, which operates hubs in Frankfurt and Munich.
The flight chaos caused by the strikes comes as airlines are contending with soaring jet fuel prices in the wake of the closure of the Strait of Hormuz and disruption to air traffic.
Lufthansa said there was little room to meet worker demands as the airline looks to cut costs and lift its profitability.
The latest round of strikes showed unions’ “complete indifference to the fate of our passengers and the future of Lufthansa”, the airline group’s human resources chief Michael Niggemann said. The industrial action was “irresponsible” coming in the face of “global political tension and significant risks to our business”, he added.
Lufthansa and rival European airlines have argued against the EU’s aviation deal with Qatar and others like it, claiming they offered free access to non-EU airlines, which do not have to meet the same environmental standards or face limits on state support.
After Hours Summary: AVGO +3.2% on expanded partnership with Meta; GTLB +6.3% on expanded partnership with Google; SPWR -8.9% after disclosing material weakness in prior quarterly results
After Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: None
Companies trading higher in after hours in reaction to news: GLOO +19.2% (to acquire Enterprisemarketdesk), GTLB +6.3% (expanded collaboration with Google (GOOG/GOOGL) Cloud), AVGO +3.2% (extends partnership with Meta to support MTIA chips), NKE +1.6% (discloses insider purchases), AIR +1.2% (awarded $305 mln follow-on C-40A contract for U.S. Navy and Marine Corps), RKLB +0.5% (completes acquisition of Mynaric AG), OKLO +0.4% (changes to its Board and management team), HRZN +0.2% (closes merger with Monroe Capital Corporation), MSFT +0.1% (OpenAI rolls out cyber model to select group amid competition with Mythos, according to Bloomberg), PG +0.1% (increases dividend), META +0.1% (AVGO extends partnership with META)
After Hours Losers:
Companies trading lower in after hours in reaction to earnings/guidance: None
Companies trading lower in after hours in reaction to news: SPWR -8.9% (discloses material errors in prior quarterly results), WULF -7.4% (guidance; stock offering), NOC -0.6% (awarded a $475 mln modification to Missile Defense Agency contract), AA -0.3% (to redeem $219 mln of outstanding notes), CABA -0.3% (first patients dosed with cabaletta bio's rese-cel manufactured on cellares' automated cell shuttle platform), APA -0.1% (Q1 financial and operational update)
Research Calls I
-
Upgrades:
- Biogen (BIIB) upgraded to Overweight from Neutral at Piper Sandler, tgt $214
- Birkenstock (BIRK) upgraded to Buy from Neutral at Seaport Research, tgt $52
- Continental AG (CTTAY) upgraded to Overweight from Equal Weight at Barclays
- Crocs (CROX) upgraded to Buy from Neutral at Seaport Research, tgt $135
- Eastman Chemical (EMN) upgraded to Overweight from Neutral at JPMorgan, tgt $80
- Ford (F) upgraded to Buy from Neutral at UBS, tgt $15
- General Motors (GM) upgraded to Buy from Hold at Deutsche Bank, tgt $90
- Glencore (GLNCY) upgraded to Buy from Hold at HSBC
- Michelin (MGDDY) upgraded to Equal Weight from Underweight at Barclays
- Tesla (TSLA) upgraded to Neutral from Sell at UBS, tgt $352
- VF Corp. (VFC) upgraded to Buy from Neutral at Seaport Research, tgt $24
- Viking Holdings (VIK) upgraded to Buy from Neutral at Rothschild & Co Redburn, tgt $95
- Biogen (BIIB) upgraded to Overweight from Neutral at Piper Sandler, tgt $214
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Downgrades:
- Asana (ASAN) downgraded to Neutral from Overweight at Piper Sandler, tgt $7
- Barclays (BCS) downgraded to Neutral from Outperform at BNP Paribas
- Ero Copper (ERO) downgraded to Neutral from Buy at Goldman, tgt $31
- Fastly (FSLY) downgraded to Hold from Buy at Craig-Hallum, tgt $24
- GFL Environmental (GFL) downgraded to Underweight from Neutral at JPMorgan, tgt $42
- GrafTech (EAF) downgraded to Underweight from Neutral at JPMorgan
- HSBC (HSBC) downgraded to Neutral from Outperform at BNP Paribas
- Innoviz Technologies (INVZ) downgraded to Neutral from Buy at Goldman, tgt $0.75
- Monday.com (MNDY) downgraded to Neutral from Overweight at Piper Sandler, tgt $85
- NOV Inc. (NOV) downgraded to Sector Perform from Outperform at RBC Capital, tgt $21
- Omega Healthcare (OHI) downgraded to Underperform from Neutral at BofA Securities, tgt $46
- Qiagen (QGEN) downgraded to Equal Weight from Overweight at Barclays, tgt $44
- Revvity (RVTY) downgraded to Equal Weight from Overweight at Barclays, tgt $95
- SAP (SAP) downgraded to Neutral from Overweight at Piper Sandler
- Solstice Advanced Materials (SOLS) downgraded to Neutral from Buy at UBS, tgt $87
- Asana (ASAN) downgraded to Neutral from Overweight at Piper Sandler, tgt $7
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Others:
- Adagio Medical (ADGM) initiated with an Overweight at Piper Sandler, tgt $3
- Akamai (AKAM) assumed with an Outperform at Evercore ISI, tgt $130
- Aptiv (APTV) reinstated with a Buy at Goldman, tgt $74
- BellRing Brands (BRBR) initiated with a Neutral at BTIG Research
- Camp4 Therapeutics (CAMP) initiated with a Buy at Rodman & Renshaw, tgt $7
- Campbell's (CPB) initiated with a Neutral at BTIG Research
- Carrier Global (CARR) initiated with a Neutral at BNP Paribas, tgt $62
- Charles River (CRL) initiated with an Outperform at RBC Capital, tgt $215
- Conagra Brands (CAG) initiated with a Neutral at BTIG Research
- Equillium (EQ) initiated with a Strong Buy at Raymond James, tgt $6
- Fastly (FSLY) initiated with an Outperform at Evercore ISI, tgt $24
- General Mills (GIS) initiated with a Neutral at BTIG Research
- Guardian Metal (GMTL) initiated with an Outperform at BMO Capital
- Hershey (HSY) initiated with a Neutral at BTIG Research
- Infleqtion (INFQ) initiated with a Buy at Citigroup, tgt $20
- Janus Living (JAN) initiated with a Neutral at Goldman, tgt $27
- Janus Living (JAN) initiated with an Outperform at BNP Paribas, tgt $27
- Janus Living (JAN) initiated with a Buy at BofA Securities, tgt $29
- Janus Living (JAN) initiated with an Overweight at Wells Fargo, tgt $27
- Janus Living (JAN) initiated with an Outperform at RBC Capital, tgt $27
- Janus Living (JAN) initiated with an Overweight at JPMorgan, tgt $26
- Janus Living (JAN) initiated with an Overweight at Morgan Stanley, tgt $28
- Janus Living (JAN) initiated with an Overweight at Barclays, tgt $26
- Johnson Controls (JCI) initiated with an Underperform at BNP Paribas, tgt $120
- Kraft Heinz (KHC) initiated with a Neutral at BTIG Research
- Lennox (LII) initiated with a Neutral at BNP Paribas, tgt $535
- LendingTree (TREE) assumed with an Overweight at JPMorgan, tgt $50
- McCormick (MKC) initiated with a Neutral at BTIG Research
- Merlin (MRLN) initiated with a Buy at Roth Capital, tgt $15
- Mondelez (MDLZ) initiated with a Buy at BTIG Research, tgt $70
- Natera (NTRA) initiated with an Outperform at William Blair
- Netskope (NTSK) initiated with a Buy at Rosenblatt, tgt $15
- Nu Holdings (NU) initiated with an Outperform at CICC, tgt $18
- Omada Health (OMDA) initiated with an Outperform at Citizens, tgt $18
- Post Holdings (POST) initiated with a Neutral at BTIG Research
- Relay Therapeutics (RLAY) initiated with a Hold at JonesResearch, tgt $18
- SanDisk (SNDK) initiated with an Outperform at Evercore ISI, tgt $1,200
- Simply Good Foods (SMPL) initiated with a Neutral at BTIG Research
- Spyre Therapeutics (SYRE) initiated with a Strong Buy at Raymond James, tgt $80
- Tectonic Therapeutic (TECX) initiated with a Buy at Stifel, tgt $75
- Trane (TT) initiated with an Outperform at BNP Paribas, tgt $550
- Utz Brands (UTZ) initiated with a Buy at BTIG Research, tgt $10
- Versigent (VGNT) initiated with a Buy at UBS, tgt $43
- Vertiv (VRT) initiated with an Outperform at BNP Paribas, tgt $345
- Adagio Medical (ADGM) initiated with an Overweight at Piper Sandler, tgt $3
US pushing Iran to agree 20-year moratorium on nuclear activity
Washington’s demand that Tehran halt uranium enrichment has been a barrier to progress on talks
The US is pushing Iran to agree to a 20-year moratorium on its nuclear activity, including uranium enrichment, as one of its conditions to reach a comprehensive deal to end their war.
Tehran responded with a proposal for a five-year suspension at the US-Iran talks held in Islamabad over the weekend, said two people briefed on the matter.
The negotiations ended with US vice-president JD Vance, who led the American delegation, blaming the Islamic republic for what he said was its unwillingness to commit to never developing a nuclear weapon.
The difference in the positions underlines the huge gaps between the warring parties and the hurdles that must be overcome if the US and Iran are to reach a deal to end their more than five-week war.
Securing an agreement on Iran’s nuclear programme is one of the key points of contention, as well as convincing Tehran to allow the free flow of shipping through the Strait of Hormuz, which Iran has in effect closed.
After the talks, US President Donald Trump instructed the US navy to mount a blockade to the strait to prevent ships moving in and out of Iranian ports to intensify the pressure on Tehran.
The deadlock has raised concerns about the durability of the 14-day ceasefire the US and Iran agreed last week.
A Pakistani diplomat said the country’s military chief, Asim Munir, who mediated the weekend talks, was “actively working” to find a “middle ground” to bridge the two proposals.
The FT reported that the US and Iran were continuing to exchange messages through mediators. Those intermediaries are seeking to convince the parties to hold lower-level “technical talks” to resolve disagreements, including over the reopening of the strait and Iran’s nuclear programme.
Both sides had gone into the talks with maximalist positions, diplomats said.
Asked about further talks, Vance said on Monday that the “ball was really in their court”.
He reiterated that Washington wanted Tehran to transfer its stockpile of enriched uranium out of the republic.
Iran’s two main enrichment facilities, Natanz and Fordow, and a third site in Isfahan, were severely damaged after the US bombed the plants during Israel’s 12-day war last June.
Iran, which has long denied seeking nuclear weapons, has not enriched uranium since. But western nations are concerned about the fate of its stockpile of 440kg of uranium enriched close to weapons-grade levels, which is believed to be buried at the bombed facilities.
The US’s demand for a 20-year moratorium was first reported by Axios.
A constant barrier to progress on the nuclear talks has been Trump’s demand that Tehran dismantle its capacity to enrich uranium, with Washington insisting on “zero enrichment”. But Iran considers that a red line, citing its right as a signatory to the non-proliferation treaty.
“You can play around with the numbers and perhaps arrive somewhere in the middle, but for Iran this is a question of pride and resistance,” said Sanam Vakil, at Chatham House. “If they commit to a prolonged moratorium, it would have to come with a lot of sweeteners including their right to enrich.”
Iran is insisting on sanctions relief and the unfreezing of its overseas assets as part of any deal.
The US and Iran held three rounds of indirect talks on the nuclear programme in the weeks before the war.
A day before the US and Israel attacked Iran, Omani foreign minister Badr Albusaidi, the main mediator of those talks, said the negotiations had made “significant progress”, with Iran agreeing to give up its stockpile of enriched uranium. “There is no accumulation, so there would be zero accumulation, zero stockpiling and full verification,” he said.
But US officials disputed his version of events, and Trump joined Israeli Prime Minister Benjamin Netanyahu in launching the war on February 28.
Under a 2015 nuclear accord signed with the Obama administration and other world powers, Iran agreed to enrich uranium to levels no higher than a purity of 3.67 per cent, and to cap its stockpile of enriched uranium at 300kg, with the rest transferred offshore, for 15 years.
In return, it received significant sanctions relief.
That deal collapsed when Trump unilaterally abandoned the accord in his first term as president and imposed waves of sanctions on the Islamic republic. Iran responded by dramatically expanding its nuclear activity, including enriching uranium close to weapons grade, despite it insisting the programme was for peaceful, civilian purposes.
Merck transforms itself through dealmaking as clock ticks on top-selling drug
Acquisitions fuel pharma group’s evolution as it prepares to lose patent protection on cancer drug Keytruda
Merck chief executive Rob Davis has turned the pharmaceutical company into the industry’s most aggressive dealmaking machine.
The group has spent nearly $26bn on acquisitions over the past year — more than any of its competitors — as Davis leads the oncology and vaccines powerhouse into medicines for infectious diseases and respiratory conditions.
“We have as rich a phase 1, phase 2 and phase 3 pipeline as we’ve ever had in this company and that . . . is not appreciated,” Davis told the FT.
Merck’s need to diversify is urgent. It owns the world’s best-selling drug, a cancer killer that generated $31.7bn of revenue last year. Called Keytruda, it comprises nearly half of Merck’s total revenues, but it is losing its patent protection in 2028, forcing Davis to hunt for bolt-on biotech deals.
Acquisitions have been crucial to Merck’s transformation. No other pharma CEO has had to navigate as dramatic a boom-and-bust cycle caused by a blockbuster medicine losing patent protection as Davis, according to analysts and shareholders.
“The main risk you have with big companies is just complacency,” said Bill Smead, founder of Phoenix-based Smead Capital Management, a Merck shareholder. At Merck, “there doesn’t seem to be a whole lot of evidence of that”.
Investors have rewarded Davis’s efforts. Merck’s share price is up roughly 45 per cent since its $10bn acquisition of respiratory drugmaker Verona Pharma last July kick-started a trio of biotech deals.
By comparison, rival Eli Lilly, a stock market darling thanks to its popular weight-loss drugs, is up about 30 per cent over the past 12 months.
Merck deserved “high marks” for its shrewd dealmaking as it had eschewed some of the more “overpriced” biotech sales in recent years, said Daniel Barasa, a portfolio manager at Gabelli Mutual Funds.
Merck was in discussions earlier this year with Revolution Medicines over an up to $32bn deal to buy the biotech developing a new pancreatic cancer treatment, the FT previously reported. The talks, which had they materialised, would have led to the biggest deal ever for a biotech without a drug for sale.
“People have given us credit for frankly not only the deals we’ve done but the deals we haven’t done,” Davis said, skirting any mention of the Revolution Medicines talks as he spoke to the FT at the company’s New Jersey headquarters.
“The earlier we bet, the more conviction my scientists have to have.”
Barasa said a deal as large as Revolution, which on Monday reported positive clinical data for its lead drug, could signal Merck “moving a bit away from that ethos” of disciplined transactions and could invite “more scrutiny on the management team”.
Merck also dropped its pursuit of cancer drugmaker Seagen, leaving Pfizer to clinch a $43bn deal in 2023 that has so far failed to excite investors.
Among the deals it has picked over the past year, Merck agreed a $9.2bn deal for flu-prevention biotech Cidara Therapeutics in November and in March sealed a $6.7bn takeover of Terns Pharmaceuticals, a biotech developing a medicine to treat a rare blood cancer. Davis also oversaw the acquisitions of Acceleron Pharma and Prometheus Biosciences earlier in his tenure.
About $83.9bn of biopharma deals were struck globally in the first three months of this year, the fourth busiest quarter ever for deals in the sector, according to Dealogic.
Many of these sale processes were competitive, with Merck’s dealmakers outmanoeuvring other bidders, according to regulatory filings.
The result is that Merck has 22 medicines in the final stage of clinical trials, compared with 15 medicines in phase 3 trials in 2023.
The pharma industry’s appetite for dealmaking has come roaring back after the industry was jolted last year by the threat of significant US price cuts, tariffs on imported medicines and chaos at the Food and Drug Administration, the US medicines regulator. Merck is one of 16 drugmakers to strike a drug-pricing deal with the Trump administration.
“I’ve probably been more calm in this role in the past two years than I have at any other point during my career,” Davis said. “Think how many black swan events we’ve faced: Covid . . . [‘most favoured nation’] drug-pricing changes, now the conflict in Iran. There have been so many you just have to accept the pace at which the world is changing.”
Merck’s troubles have included sales in China. Last year, it halted shipments to the country of its vaccine for human papillomavirus, which is linked with cervical cancer. The vaccine was Merck’s best-selling drug after Keytruda, but sales growth disappeared after Chinese hospital systems switched to cheaper domestic copycats.
In February, Merck separated its oncology operations from its non-cancer drugs in part to pivot from cancer to other treatments.
Merck is awaiting a decision from the FDA due later this month on the approval of its latest HIV drug. The FDA is also reviewing an application for the wider usage of its heart disease drug Winrevair.
Despite its push into new medicines, these drugs do not automatically translate into revenue that will compensate for the loss of Keytruda, Barasa said. “The narrative is slowly transitioning away from ‘Merck is a one-drug company’, but we are not there yet.”
>>> Up
* ACS Raised to Overweight at Morgan Stanley; PT 150 euros
* Alm Brand Raised to Buy at Jyske Bank; PT 18.50 kroner
* Biogen Raised to Overweight at Piper Sandler; PT $214 (1)
* Continental Raised to Overweight at Barclays; PT 72 euros
* DNB Bank Raised to Buy at Pareto Securities; PT 340 kroner (+)
* Eastman Chemical Raised to Overweight at JPMorgan; PT $80
* Ford Raised to Buy at UBS; PT $15
* Genmab Raised to Buy at Jyske Bank; PT 2,300 kroner (+)
* Glencore Raised to Buy at HSBC; PT 620 pence
* Michelin Raised to Equal-Weight at Barclays; PT 30 euros
* Naturgy Raised to Overweight at JPMorgan; PT 30.50 euros
* Netcompany Price Target Raised to DKK 435 from DKK 410 by Nordea
* PhotoCure Raised to Buy at ABG; PT 80 kroner
* Spyre Therapeutics Inc PT Raised to $106 from $49 at Leerink
* Spyre Therapeutics Inc PT Raised to $106 from $49 at Leerink
* Spyre Therapeutics Inc PT Raised to $85 from $47 at Jefferies
* Standard Chartered Raised to Outperform at BNP Paribas
* Standard Chartered ADRs Raised to Outperform at BNP Paribas
* Temenos Raised to Buy at Citi; PT 90 Swiss francs
* TGS Raised to Neutral at SB1 Markets; PT 110 kroner
* Var Energi Price Target Raised to NOK 52 from NOK 38 by Nordea
>>> Down
>>> Down
* Aixtron Cut to Hold at Deutsche Bank; PT 38 euros
* Barclays Cut to Neutral at BNP Paribas; PT 485 pence
* Barclays ADRs Cut to Neutral at BNP Paribas; PT $26
* Barratt Redrow Cut to Equal-Weight at Morgan Stanley
* Berkeley Cut to Underweight at Morgan Stanley; PT 2,990 pence
* Elia Group Cut to Neutral at Citi; PT 141 euros
* EQT Cut to Neutral at Citi; PT 325 kronor
* EQT Cut to Neutral at Citi; PT 325 kronor
* GE Vernova Cut to Sell at Punto Casa de Bolsa; PT $839
* HSBC ADRs Cut to Neutral at BNP Paribas; PT $97
* HSBC Cut to Neutral at BNP Paribas; PT 1,450 pence
* Nexi Cut to Neutral at Goldman; PT 3.50 euros
* Nexi Cut to Neutral at Citi; PT 3.40 euros
* Orthex Cut to Reduce at Inderes; PT 5 euros
* Partners Group Cut to Neutral at Citi; PT 940 Swiss francs
* Secure Waste Cut to Sector Perform at Peters & Co; PT C$23
* Tikehau Capital Cut to Neutral at Citi; PT 18 euros
* Tikehau Capital Cut to Neutral at Citi; PT 18 euros
* Worldline Cut to Sell at Goldman; PT 23 euro cents
>>> Initiation
>>> Initiation
* Airbus Rated New Neutral at BNP Paribas; PT 190 euros
* Banca Profilo Rated New Buy at Intesa Sanpaolo; PT 35 euro cents (+)
* Campbell's Rated New Neutral at BTIG
* Conagra Rated New Neutral at BTIG
* General Mills Rated New Neutral at BTIG
* Guardian Metal Resources Rated New Outperform at BMO
* Hershey Rated New Neutral at BTIG
* Iforex Financial Trading Rated New Corporate at Shore Capital
* Kraft Heinz Rated New Neutral at BTIG
* Mondelez Rated New Buy at BTIG; PT $70
* MTU Aero Rated New Outperform at BNP Paribas; PT 410 euros
* Rising Stone SAS Rated New Buy at TP ICAP Midcap; PT 67 euros (+)
* Safran Rated New Neutral at BNP Paribas; PT 330 euros
* Safran Rated New Neutral at BNP Paribas; PT 330 euros
* Simply Good Foods Rated New Neutral at BTIG
>>> Call
>>> Call
* BNP Paribas Rates Aerospace, Defense: EMEA Industrials Premarket (+)
* Citi Upgrades US Stocks, Cuts EM on Iran War Resolution Hopes
* Citi Upgrades US Stocks, Cuts EM on Iran War Resolution Hopes
* Galp Should Rise as Beat Lifts 1Q Expectations, Says Barclays (+)
* Nestlé Resumed at BofA With Buy Rating on Volume Growth Optimism (+)
Résumé — La Lettre du 14 avril 2026
🇫🇷 Français
1. Accenture bloque l'accès à ses flux financiers intragroupes Le CSE d'Accenture France a mandaté le cabinet Sextant pour auditer la situation financière du groupe. Accenture a multiplié les obstacles : NDAs, data room numérique, et tentative de faire expurger le rapport initial. La justice a finalement permis de mettre en lumière un mécanisme de transferts de fonds vers des holdings en Irlande (Accenture Global Solutions Limited) et aux Pays-Bas (Accenture Participations BV) — deux juridictions fiscalement avantageuses. La sous-traitance facturée à Accenture SAS représente 40 % de ses charges, un niveau jugé significatif.
2. Sommet spatial : Macron veut une déclaration contre la guerre des fréquences L'Élysée prépare pour septembre un sommet spatial international avec pour objectif d'adopter une déclaration sur le partage équitable des fréquences satellites. La cible implicite est Starlink/SpaceX, soutenu par Washington, qui s'approprie des bandes de fréquences en basse orbite. Paris reste inflexible à l'UIT face aux pressions américaines.
3. La DGA constitue une cellule Europe avec 131 Md€ en jeu Jean-François Ripoche monte une équipe de 15 experts au sein de la DGA pour se positionner sur le prochain cadre financier pluriannuel européen 2028–2034, doté de 131 milliards d'euros pour la défense et le spatial.
4. Business France annule son appel d'offres com' Le nouveau DG Louis Margueritte annule le marché de communication institutionnelle (max. 900 k€/4 ans) détenu par Taddeo, dans le cadre de la politique de sobriété budgétaire du gouvernement Lecornu.
5. Nucléaire : Otrera recrute chez Westinghouse La start-up SMR aixoise Otrera recrute Guillaume Tremblay (ex-Westinghouse) comme directeur commercial. Elle prévoit une usine près de Cherbourg (40 M€) et vise un premier démonstrateur d'ici 2032.
6. Philippe Aghion choisit François Samuelson comme agent littéraire Depuis son Nobel d'économie (oct. 2025), Aghion a mandaté l'agence Intertalent pour son prochain ouvrage coécrit avec Peter Howitt sur la croissance endogène et la destruction créatrice.
🇬🇧 English
1. Accenture blocks access to its intragroup financial flows Accenture France's works council (CSE) commissioned accounting firm Sextant to audit the group's finances. Accenture erected multiple barriers — NDAs, a dedicated data room, and an attempt to strip the initial report. Court proceedings ultimately shed light on a transfer pricing mechanism funnelling funds to Irish holding Accenture Global Solutions Limited and Dutch entity Accenture Participations BV. Outsourcing costs billed to Accenture SAS account for 40% of its total charges — flagged by the court as a significant figure.
2. Space Summit: Macron to push declaration against frequency warfare France is preparing an international space summit in September, seeking a multilateral declaration on equitable satellite frequency sharing. The implicit target is Starlink/SpaceX, backed by Washington, which is aggressively claiming low-orbit spectrum. Paris has held firm against US pressure at the ITU.
3. DGA builds Europe unit with €131bn at stake Jean-François Ripoche is assembling a 15-expert "plateau Europe" team within the DGA (French defence procurement agency) to position France on the EU's next multiannual financial framework (2028–2034), which earmarks €131bn for defence and space.
4. Business France cancels communications tender New DG Louis Margueritte has cancelled the institutional communications contract (max. €900k/4 years) previously held by Taddeo, in line with the Lecornu government's 20% spending reduction directive on communications budgets.
5. Nuclear: Otrera recruits from Westinghouse Aix-en-Provence SMR start-up Otrera hires Guillaume Tremblay (ex-Westinghouse) as commercial director. The company plans a factory near Cherbourg (€40m investment) and aims to deliver a first demonstrator by 2032.
6. Nobel economist Philippe Aghion signs with literary agent François Samuelson Following his Nobel Prize in Economics (October 2025), Aghion has retained the Intertalent agency to handle his next book, co-authored with Canadian economist Peter Howitt, on endogenous growth theory and creative destruction.
FT Unhedged this morning has a good piece on small caps worth 5 mins — attaching.
Key takeaways for PMs:
1/ INDEX CONSTRUCTION MATTERS MORE THAN YOU THINK. Russell 2000 value +10.4% YTD vs S&P 600 value +8.3% vs MSCI small value +6.8% — same label, very different animals. Russell carries a wider market cap dispersion (median $820mn vs $2,088mn for S&P 600) and higher energy, lower tech. Know what you own.
2/ SMALL VALUE STILL CHEAP, BUT FEAR IS THE CONSTRAINT. Rob Arnott (Research Affiliates) flags small-cap value is "deep value" — the P/E premium of S&P 500 over S&P 600 peaked at 7.5x in Nov 2025, now compressing, but mean reversion is incomplete. Sentiment, not valuation, is the binding constraint.
3/ SMALL GROWTH OUTPERFORMANCE IS AN AI PROXY TRADE. Investors rotating from crowded Mag7 into small-cap AI adjacencies (data centre infra, chips, cooling, energy mgmt). It's a de-concentration play, not a pure growth bet.
--- BIOTECH ANGLE ---
This is directly relevant to how we think about our covered names. The "fear over fundamentals" dynamic Arnott describes maps perfectly onto European small-cap biotech: DBV Technologies, Abivax, Nanobiotix, Inventiva — all sitting in deep-value/high-catalyst territory with sentiment-depressed entry points. The BLA catalyst (DBV H1 2026), ECCO anti-fibrotic data (Abivax), and J&J-sponsored NANORAY-312 Phase 3 (Nanobiotix) are all binary re-rating events that the market is discounting on macro fear rather than clinical merit. For event-driven PMs with a 6-12m horizon, the risk/reward is asymmetric.
Happy to send individual fiches on any of the above.
Laurent