Greece to transfer six state-run companies to new 'super privatisation fund' (translated)
The Greek government is expected to submit an omnibus draft law to parliament today, 23 September, Kathimerini reported, citing the government.
The Greek-language report said that the law contains six state-run utilities and companies whose publicly owned shares will be transferred to a new holding company (super privatisation fund).
The six above-mentioned companies are the Public Power Corporation (PPC), the Athens Water and Sewage Company(EYDAP), the Thessaloniki Water and Sewage Company (EYATH), the Hellenic Vehicle Industry, the Attiko Metro and theBuildings Infrastructure, the report added.
The Hellenic Aerospace Industry was removed from the list by the government due to state security reasons, the report said.
IPTO (ADMIE), the power grid operator, was also on the list but its privatisation process is too complex and will be done gradually, the report added.
The privatisation of the state-run companies is among the prior actions that Greece must implement to unlock the next tranche of EUR 2.8bn of the Greek bailout program, the report added.
Gapping down
In reaction to disappointing earnings/guidance:
In reaction to disappointing earnings/guidance:
- ENPH -25.1% (announces restructuring/cost reduction initiatives resulting in about $20 mln in annualized savings; reaffirms Q3 & announces Q4 guidance)
Select financial related names showing weakness: SAN -3.5%, RBS -2.5%, LYG -2%, DB -1.7%, NMR -1.7%, CS -1.6%,HSBC -1.5%, BBVA -1.3%, PUK -1.1%
Other news:
Other news:
- CATB -14% (prices 2.5 mln common stock offering at $4.00/share)
- APRI -10.3% (announces $4.6 mln registered direct offering: 13.1 mln shares at $0.35/share)
- IPCI -9% (responds to recent trading activity, says not aware of any corporate developments that would cause the recent movement in the Company's share price)
- CAFD -5% (prices 7 mln Class A shares at $14.65 per share)
- LNTH -3.2% (anounces that new data from a sub-analysis of its first Phase 3 study of flurpiridaz F 18 for myocardial perfusion imaging in patients undergoing exercise stress testing will be presented at the 21st Annual Scientific Session of the ASNC)
- TM -2.4% (still checking)
- FB -2.2% (Ad buyers upset with FB for overestimating video average viewing time, according to WSJ)
- YHOO -1.7% (continued weakness after confirmed that a copy of certain user account information was stolen from the company's network in late 2014)
- HMHC -1.4% (President and CEO Linda K. Zecher resigns; co guides billings at or near the low end ofits revised guidance of $1,525 million to $1,595 million for 2016 )
Analyst comments:
- TWTR -3.9% (downgraded to Underperform at RBC Capita)
- CPTA -3.6% (downgraded to Mkt Perform from Mkt Outperform at JMP Securities)
- WIX -2.5% (downgraded to Sector Perform at RBC Capital Mkts)
- BDX -1.5% (downgraded to Sell from Neutral at Citigroup)
Gapping up
In reaction to strong earnings/guidance: AIR +4.8%, FINL +4.2%
M&A news:
In reaction to strong earnings/guidance: AIR +4.8%, FINL +4.2%
M&A news:
- MIFI +24.6% (to sell mobile broadband business for $50 mln in cash to T.C.L. Industries Holdings, to restructure into public holding company
- IMPV +15.7% (shares spiking on reports of interest from potential acquirires)
- VNDA +2.6% (Reuters reported suggesting co is mulling a sale)
Select metals/mining stocks trading higher: GFI +1.6%, DRD +1.5%, HMY +1.1%, AU +1.1%, VALE +1.1%, MT +1%
Other news:
Other news:
- SAEX +10.5% (extending yesterday's move higher in premarket trade)
- NVAX +5.6% (President and Directors (2) disclosed purchases last night totaling 131K shares worth approx $222K)
- TWER +5.1% (prices 2.65 mln common stock offering by its Chairman, John Allison, at $22.00/share)
- GLUU +1.8% (extends agreement with Kim Kardashian West)
- SRPT +0.5% (prices 5.02 mln shares of its common stock at $59.75 per share)
Analyst comments:
- MDGN +4.5% (initiated with a Buy at Jefferies)
- ACHN +2.7% (initiated with an Outperform)
- ATVI +2.3% (initiated with a Overweight at Morgan Stanley),
- PRU +1.7% (upgraded to Buy from Neutral at Goldman; Added to Conviction Buy List)
Mediaset news on new offer from Vivendi before the 27th - have a look to our
From: LAURENT CHEKROUN (MAKOR SECURITIES LO) At: 09/21/16 11:08:26
To: LAURENT CHEKROUN (MAKOR SECURITIES LO)
Subject: Fwd:(Makor) SPECIAL SITUATION: MEDIASET (MS: IM) in light of the Vivendi deal di
Subject: Fwd:(Makor) SPECIAL SITUATION: MEDIASET (MS: IM) in light of the Vivendi deal di
SPECIAL SITUATION: MEDIASET (MS: IM) in light of the Vivendi deal dispute - risk/reward skewed to the upside
In this note we present four potential scenarios for Mediaset and their valuation implication given the uncertain situation with Vivendi regarding the sale of Mediaset Premium (“Premium”).
On April 2016 Vivendi offered to acquire 100% of Premium but in July pulled back from its original offer and asked to renegotiate. Vivendi proposed a revised offer of which Mediaset rejected and filed for damages in Italian courts. At the same time there have been rumors in the French press that the two parties are trying to reach a new deal/settlement.
In the report attached we draw four potential scenarios for Mediaset, in order to assess valuation implications of a range of potential alternatives and what could be the upside/downside of each. We believe the market is now pricing a low probability of a future deal and has significantly marked down the valuation of Mediaset Premium. We note that any other outcome and especially an announcement of a revised deal (or even just renewed talks between the parties) could unlock upside in Mediaset shares. We see the downside risk mainly if Premium losses are higher than market expectations and at the same time Vivendi completely abandons the idea of the acquisition.
Below we present a summary of the 4 scenarios and the implied weighted average PT:
Given the attractive risk/reward ratio we would start to build a position of Long MS: IM /Short Mediaset Espana TL5: SM (pro rata of the capital structure) + hedge the rest with short Vivendi.
Full report and analysis attached!
Weekly flows: bond fund inflows of $3.8bn, money-market fund inflows of $15.6bn, equity fund outflows of $7.4bn
Japanese momentum: Japan equity funds record largest two-week inflow in eight months; by contrast Europe continues to be the “vacant” trade (33 straight weeks of redemptions) and no interest since the Feb’16 market lows
- Equities: $7.4bn outflows (largest in 12 weeks) ($4.8bn mutual fund outflows and $2.5bn ETF outflows)
- Bonds: $3.8bn inflows (inflows in 11 of past 12 weeks)
- Commodities: $0.5bn inflows
>>> Equity Flows
- Japan: strong $2.4bn inflows (largest 2w inflows since Jan’16)
- EM: first outflows in 12 weeks (albeit small $0.1bn)
- Europe: $1.8bn outflows (record 33 straight weeks of outflows)
- US: $7.7bn outflows (largest in 12 weeks)
- By sector: first utilities inflows in 11 weeks ($0.3bn); first telcos inflows in nine weeks ($45mn); largest tech inflows since Nov’15 ($0.9bn); big $3.1bn outflows from financials (caveat: via XLF ETF…owing to GICS reclassification of REITs as standalone sector)
>>> Fixed Income Flows
- Two straight weeks of outflows from HY bond funds ($1.2bn)
- 11 straight weeks of outflows from Govt/Tsy funds ($0.3bn)
- 12 straight weeks of inflows to EM debt funds ($1.5bn)
- $2.8bn inflows to IG bond funds (inflows in 28 of past 29 weeks)
- 53 straight weeks of inflows to Munis ($0.4bn)
- 15 straight weeks of TIPS outflows ($0.3bn)
Airbnb formally filed a Form D with the Securities and Exchange Commission this afternoon announcing that it had raised $555,462,180 in an equity deal.
Last month, TechCrunch independently verified that Airbnb had filed a 28-page document with the State of Delaware indicating that it had intentions to raise additional late-stage capital. At the time, Equidate speculated that the company was attempting to close an $850 million round. The Form D filed today comes in under that value. However, according to sources close to the company, Airbnb has not yet closed the round. The company has the capacity to increase the ceiling to the original $850 million figure. It is relatively common for companies to file with the SEC preemptively with flexibility remaining for final deal terms to change in the near future.
It remains unclear at this point whether the valuation of the company remains the $30 billion speculated alongside the $850 million round. If so, it could signal a change in the price of the round. A more concrete valuation will be more realistic once the deal formally closes. If the valuation is accurate, Airbnb would move up one place on the Unicorn Leaderboard to become the fourth most valuable private startup.
A laundry list of investors have taken part in Airbnb rounds to date. This includes a$1.5 billion Series E the company closed last year. The company was valued at $25.5 billion at the time of that round. In the months after, it took a notable billion-dollar credit faculty.
Multiple strategic investors are taking part in this deal, also according to our source. Airbnb is not believed to be in need of capital, but the eight-year-old company could be beginning to feel the pressure of employees unable to cash in on common stock and early-stage investors who likely could use liquidity on their highly profitable investment in the unicorn. Regardless of a rumored $200 million stock buyback program, the additional capital will support growth and take pressure off the company to IPO.
In terms of strategic investors, the WSJ notes that Google Capital and Technology Crossover Ventures (TCV) are leading the deal. This wasn’t denied by our source close to the company. Representatives from Google Capital and TCV are not expected to join the board of directors of Airbnb. Both of these investors are new to the company and tend to focus on growth-stage rounds.
All of this comes amidst a never-ending stream of regulatory challenges for the company. Not only is Airbnb currently embroiled in a legal battle with the City of San Francisco, it is facing new European pressure this week as the city council of Barcelona is asking residents to report illegal rentals. While Airbnb may not be choked for cash, a lack of global consensus around regulating long-term rentals does not provide a smooth runway for the aging unicorn to IPO.
We will continue to update this post as we obtain additional information.
EasyJet rejects speculation of interest in acquiring TUIfly stake
EasyJet, the British low cost airline, has rejected speculation it is interested in acquiring a stake in German TUIfly, FvWreported.
The German trade publication said Easyjet stated it is not part of its strategy to invest in other airlines when asked to comment on a Manager Magazin article that said Easyjet Chief Carolyn McCall in is interested in TUIfly to minimize risk following the Brexit vote.
Easyjet has been linked to several airlines in recent months including Monarch Air and Air Berlin, the report stated.
An insider said TUI had looked into possible cooperation with Easyjet before the Brexit vote, the report noted.
Golan Telecom: Sharon and Elco's withdrawal may be tactical
Sharon and Elco Group's withdrawal from bidding for the Israeli telecommunications company Golan Telecom may be "tactical", according to a report in Ha'aretz.
The report noted, based on unindentified sources, that although Elco says the withdrawal decision is final, the withdrawal might be tactical.
Elco and Sharon Group were believed to be financially stronger than their rival, Xfone for the deal. The companies were reported to be evaluating a ILS 300m (USD 80m) offer for Golan.
Cellcom, the Israeli telecommunications company, had previously offered ILS 1.17bn to buy Golan but Israeli antitrust authorities blocked the deal.