Après Orange, Canal+ imagine de nouvelles offres avec Free
Canal+ est décidément convaincu qu'il lui faut multiplier les canaux de distribution pour se renforcer en France. Il avait déjà annoncé fin juillet qu'il s'associait à Orange pour lancer d'ici la fin de l'année une offre incluant des chaînes du bouquet Canalsat pour les abonnés fibre de l'opérateur télécoms. Depuis, selon nos informations, il a également poursuivi des discussions avec Free. Le secteur bruisse de rumeurs selon lesquelles un accord pourrait être annoncé par l'opérateur de Xavier Niel dans les prochains jours.
Aujourd'hui, le groupe Canal+, pour sa chaîne premium et son bouquet Canalsat, est autorisé à « s'autodistribuer », comme on dit dans le jargon, c'est-à-dire qu'il dispose d'un accès direct à ses clients, même lorsqu'il distribue ses programmes via les réseaux des opérateurs télécoms. Ces derniers se contentent de toucher au passage une commission, d'ailleurs considérée comme généreuse.
En tout cas, alors que ce privilège ne semblait gêner que SFR Numericable, qui a saisi l'Autorité de la concurrence sur le sujet (voir « Les Echos » du 8 janvier), il semble désormais qu'il ne suffise plus à Canal lui-même.
Alors que ses abonnés à l'étranger ont dépassé ceux en France pour la première fois au premier semestre, la filiale audiovisuelle de Vivendi doit absolument conquérir de nouveaux souscripteurs dans l'Hexagone, où il est en perte de vitesse. S'associer à des opérateurs de télécommunications permettrait de toucher des millions de clients potentiels sans trop dépenser en frais marketing à un moment où Canal doit réduire ses coûts.
Pour les opérateurs télécoms qui piochent dans l'offre du bouquet CanalSat, de nouveaux contenus sont aussi un moyen de se différencier par rapport à la concurrence, notamment celle de SFR, qui propose de plus en plus d'exclusivités, en particulier la Premier League anglaise, à ses abonnés.
Cette stratégie de multiplication des canaux de distribution n'est cependant pas sans risque pour Canal. D'abord, elle fera baisser ses revenus par abonné. Ensuite, en vendant ses chaînes en gros via Free ou Orange, Canal perd l'exclusivité de sa relation directe avec les clients. Enfin, le fait de vendre ses contenus de façon plus morcelée, Canal pourrait se cannibaliser en poussant les téléspectateurs vers des offres plus « low cost ».
N'empêche, le patron d'Orange avait annoncé fin juillet que son partenariat avec Canal+ n'était qu'une « première étape » car il y a une « complémentarité naturelle » entre les deux groupes.
Asia Mid-Session Market Update: Abe's advisor Hamada calls for FX intervention even as Japan economic data shine
***Economic Data***
- (JP) JAPAN JULY RETAIL SALES M/M: 1.4% V 0.8%E; RETAIL TRADE Y/Y: -0.2% V -0.9%E
- (JP) JAPAN JULY OVERALL HOUSEHOLD SPENDING Y/Y: -0.5% V -1.5%E; 4th straight decline
- (JP) JAPAN JULY JOBLESS RATE: 3.0% V 3.1%E; Lowest since 1995
- (AU) AUSTRALIA JULY BUILDING APPROVALS M/M: 11.3% (21-month high) V 1.1%E; Y/Y: +3.1% (9-month high) V -8.3%E
- (KR) SOUTH KOREA JULY DEPARTMENT STORE SALES Y/Y: 7.0% V +11.8% PRIOR; DISCOUNT STORE SALES Y/Y: 2.1% V +0.9% PRIOR
***Index Snapshot (as of 03:30 GMT)***
- Nikkei225 flat, S&P/ASX +0.5%, Kospi +0.7%, Shanghai Composite flat, Hang Seng +0.7%, Sep S&P500 flat at 2,179
***Commodities/Fixed Income***
- Dec gold flat at $1,327/oz, Oct crude oil +0.3% at $47.10/brl, Sep copper +0.2% at $2.09/lb
- SLV: iShares Silver Trust ETF daily holdings rise to 11,130 tonnes from 11,100 tonnes prior
- JGB: Japan's MoF sells ¥2.08T in 0.1% (0.1% prior) 2-yr JGBs; avg yield -0.193% v -0.361% prior; bid-to-cover 4.44x v 3.95x prior
- (CN) PBOC to inject CNY06B in 7-day reverse repos and CNY40B in 14-day reverse repos
- USD/CNY: (CN) PBOC SETS YUAN MID POINT AT 6.6812 V 6.6856 PRIOR
***Market Focal Points/FX***
- Asian equity markets are modestly higher following more pronounced gains in the US session where traders are looking past the growing expectations of impending tightening by the FOMC, sending stocks higher and long-end Treasury yields lower. Instead, the focus now turns to this week's US jobs data out of Friday and its implications for near term policy - some analysts suggest that a non-farm payrolls figure above 150K will make September Fed decision a very close call and generally give the green light for a rate hike later this year. Volatility has remained compressed in an otherwise typically thin pre-US holiday week. Among FX majors, USD/JPY received a lift from local calls for FX intervention, rising about 50pips above 102.20. AUD/USD and NZD/USD traded in 20 and 30pip ranges above 0.7560 and 0.7235 respectively.
- Japan PM Abe's advisor Hamada called on the Finance Ministry to "courageously" intervene in FX markets to stem the yen appreciation, accusing the MOF of lost credibility on exchange rate. Govt cabinet Suga replied that the cabinet is closely watching FX markets and prepared to respond appropriately. Earlier, a set of economic data from Japan was increasingly brighter - unemployment rate fell to 21-year low, household spending decline was lower than anticipated, and retail sales growth was nearly flat y/y and topped consensus sequentially. A Nikkei report out today also cited a BNP Paribas economist stating that the latest comments from BOJ Gov Kuroda suggest the central bank is leaning more in favor of deeper negative interest rates as it considers whether to add to QE basket in its next month's decisions.
- In China, local press reported that the aggregate H1 results of 40 listed China fund companies saw their net profits down 13% and Rev down 2.9%. Earnings decline trend was similarly observed in a UBS note which saw H1 earnings decline for non-financial A-share companies widening to -5.2% y/y from -0.6% in Q1.
***Equities***
US equities / ADRs:
- UAL: Scott Kirby leaves post as President of American Airlines, named President of United Airlines, a newly created role; +1.2% afterhours
- SCSC: Reports Q4 $0.51 v $0.72e, R$877.5M v $911Me; Announces $120M share repurchase (11% of market cap); -11.6% afterhours
- HSY: Mondelez International no longer pursuing combination with Hershey; -11.7% afterhours
Notable movers by sector:
- Consumer discretionary: China Southern Airlines 1055.HK -6.6% (H1 result); Peak Sports Products Co 1968.HK -1.2% (H1 result); Gome Electrical Appliances 493.HK +2.2% (H1 result)
- Consumer staples: Labixiaoxin Snacks Group 1262.HK -2.1% (H1 result); Samsonite 1910.HK +5.9% (H1 result)
- Financials: Sunac China Holdings 1918.HK -1.3% (H1 result); China Minsheng Banking Corp 1988.HK +1.2% (H1 result); FlexiGroup FXL.AU +7.1% (FY16 result)
- Industrials: China Shipping Development Co 1138.HK +1.4% (H1 result); BBMG Corp 2009.HK +3.1% (H1 result); China Aluminum International Engineering Corp 2068.HK -0.6% (H1 result); Mitsubishi Motors 7211.JP -0.2% (more models overestimate fuel efficiency);
- Materials: Angang Steel 347.HK +2.2% (H1 result); Sandfire Resources SFR.AU +0.6% (FY16 result)
- Energy: Datang International Power Generation 991.HK +0.5% (H1 result)
- Healthcare: Estia Health EHE.AU -11.1% (FY16 result); Ramsay Health Care RHC.AU +5.9% (FY16 result)
- Telecom: Chorus CNU.AU -2.5% (FY16 result)
After Hours Summary: RIGL shares jump ahead of AM data release, SCSC drops on light earnings/guidance, HSY slumps as MDLZ walks awayAfter Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: STAF +5.3%, PAHC +2.9%, PSEC +0.6%
Companies trading higher in after hours in reaction to news: RIGL +13.6% (Schedules conference call, confirms it will release results of the first of two FIT Phase 3 studies of fostamatinib for patients with immune thrombocytopenia in the morning), REGN +1.1 (Positive Barron's mention), CZR +0.7% (Reportedly wins two-week reprieve from bondholder lawsuits), CAVM +0.6% (CFO buys shares), LUV +0.4% (Reaches agreement in principle on a new contract with its pilots)
After Hours Losers:
Companies trading lower in after hours in reaction to earnings/guidance: SCSC -12.2%, CTLT -5.1%
Companies trading lower in after hours in reaction to news: HSY -11% (Mondelez International (MDLZ) says no longer pursuing a potential combination), CETX -1.9% (Proposes $15 mln rights offering), OPTT -1.1% (Names new CFO)
Closing Market Summary: Financials Bolster Averages to Begin WeekThe stock market ended the Monday affair on a higher note as investors responded to a largely in-line Personal Income and Spending Report for July by walking back fed funds rate hike expectations. The Dow Jones Industrial Average (+0.6%) finished ahead of the S&P 500 (+0.5%) and the Nasdaq Composite (+0.3%).
The major averages marched higher at the start of the session, bolstered by positive economic data that did not raise concerns of a sooner-than-expected fed funds rate hike. Personal income in July rose 0.4% (consensus +0.4%) while personal spending increased 0.3% (consensus +0.3%). The core PCE Price Index increased 0.1% in July (consensus +0.1%), signaling a year-over-year increase of 1.6%. The report as a whole did little to change the projected growth rate of third-quarter GDP.
The Personal Income and Spending Report took on extra significance after last week's Jackson Hole Symposium. Federal Reserve Chair Yellen indicated that the case for a rate hike had strengthened in recent months while Fed Vice Chair Fischer acknowledged that this view could be consistent with more than one rate hike before the end of the year. However, the Fed Vice Chair conditioned the potential hikes on a steady improvement in economic data. The fed funds futures market reflects the implied probability of a fed funds rate hike at the September meeting at 21.0%, falling from Friday's reading of 33.0%
The benchmark index ended off its session high, but reclaimed its 20-day simple moving average (2178.21). All ten sectors ended in the green with utilities (+0.8%), telecom service (+0.8%), materials (+1.0%), and financials (+1.0%) leading the pack. Conversely, heavily-weighted technology (+0.3%) and health care (+0.3%) ended with the slimmest gains.
The financial sector (+1.0%) enjoyed a broad-based rally as money center banks, investment brokerages, and real estate investments trusts paced the advance. Wells Fargo (WFC 49.56, +1.05) ended higher by 2.2% while Dow component Travelers (TRV 118.48, +1.34) finished ahead of the price-weighted index. Elsewhere, the iShares Dow Jones Real Estate ETF (IYR 82.52, +0.77) rebounded 0.9% after losing 0.9% in the prior session. The broader sector has gained 2.7% this month, topping the monthly leaderboard.
In the influential technology sector (+0.3%), Apple (AAPL 106.82, -0.12) ended lower by 0.1% after reports indicated that the company will be subject to fines associated with back taxes from holdings in Europe. Separately, headlines also indicated that Apple sent out invites to a September 7 press event. The company is expected to reveal the next installment of its iPhone device at the event.
Biotechnology underperformed in the health care sector (+0.3%), evidenced by the 0.5% loss in the iShares Nasdaq Biotechnology ETF (IBB 283.87, -1.27). The group remains pressured following recent calls for the industry to adjust its drug-pricing practices. On that note, Mylan Labs (MYL 43.22, +0.19) ended higher by 0.4% as investors mulled over the company's decision to produce a generic version of its EpiPen device. Conversely, Gilead Sciences (GILD 78.17, -1.60) declined 2.0%, notching a new two-year low (77.63).
The U.S. Dollar Index (95.59, +0.02, +0.02%) ended flat, erasing an overnight gain. The euro lost 0.1% against the dollar (1.1185).
Treasuries ended on a higher note as yields slipped through the curve. The yield on the benchmark 10-yr note finished lower by seven basis points (1.57%) while the yield on the 2-yr note finished at 0.81% (-4 bps).
Today's participation was below the recent average as fewer than 643 million shares changed hands on the NYSE floor.
Today's economic data included July Personal Income/Personal Spending and Core PCE Prices for July:
- The Personal income and Spending Report for July had the potential to be market moving, yet it didn't create any fireworks as the key components were all right in-line with the consensus estimates.
- The report didn't alter the outlook for Q3 GDP growth to exceed 3.0% and it doesn't alter the understanding that inflation continues to undershoot the Fed's 2.0% objective.
For further details on this economic release, be sure to visit Economic Calendar page.
Tomorrow's economic data will include the Case-Shiller 20-city Index for June (consensus 5.1%) and August Consumer Confidence (consensus 97.0), which will be released at 9:00 ET and 10:00 ET, respectively.
- Russell 2000 +9.5% YTD
- S&P 500 +6.7% YTD
- Dow Jones +6.2% YTD
- Nasdaq Composite +4.5% YTD
Cabela’s final bid may come next month, sources say - Merger Market
Cabela’s (NYSE:CAB) suitors are working towards final round bids for the outdoor retailer in late September, two sources briefed on the matter said.
The Sidney, Nebraska-based company has not yet provided formal guidance to prospective bidders for its retail and credit card businesses, said one of the sources, adding that the bid timeline could change. The same source noted that potential buyers previously had expectations that final bids would be collected in late August.
A Cabela’s spokesperson declined to comment.
A September bid date may be due, in part, to the credit card sale side of the transaction, the second source said.
Cabela’s is working to match up retail and credit card bidders into groups who will bid for the entire company with plans to form an operating partnership after the deal closes, this news service has previously reported. The intertwined deals have made the process to sell Cabela’s highly complex and time consuming.
Bass Prop Shops and private equity firm Sycamore Partners have been pursuing Cabela’s retail franchise, while banks are looking to pick up the company’s lucrative credit card business, this news service has reported.
Activist investor Elliott Management launched a campaign to push Cabela’s to sell in October 2015. Cabela’s announced in December that it had hired Guggenheim Securities to review strategic alternatives.