CORPORATE DEALS | CORPORATE INSOLVENCY

I'm Kubi Michael Udofia, a PhD-er and an incorrigible Corporate Deal Junkie! This is my "Diary" of Corporate Deals and Bankruptcy/Insolvency Law :)

Samsung, LADOL Reach Out-of-Court Settlement on $3.8bn Egina Project | ThisDay

Indications emerged at the weekend that Samsung Heavy Industries (SHI) Nigeria Limited, the first subsidiary of Samsung Heavy Industries of Korea to be established in Africa and Lagos Deep Offshore Logistics (LADOL), a 100 per cent indigenous logistics and port facility developer, have reached an out- of- court settlement on their legal dispute over the $3.8 billion Egina Floating Production Storage Offshore (FPSO) project.

Samsung and LADOL have also established a new partnership called SHI-MCI Free Zone Enterprise to build Africa’s first FPSO integration and fabrication facility in LADOL free zone in Lagos. Located 130 kilometres offshore in Oil Mining Lease (OML) 130 in deep offshore Nigeria, the Egina field development is a project to build FPSO for Total Upstream Nigeria Limited and the Nigerian National Petroleum Corporation […]

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Alibaba Group Holding Ltd plans to launch its New York stock market debut in the week of September 8. The Chinese e-commerce company is expected to raise more than $20bn in the much-anticipated initial public offering, making it the biggest technology listing in the US.
London Stock Exchange Group Plc, Europe’s oldest independent bourse, is to raise £938m ($1.6bn) in its first rights issue of new stock. LSE is offering 74,347,813 new shares at 1,295 pence apiece, a 30.1% discount to their August 21 closing price. Shareholders will have the right to buy three new shares for every 11 already held.
Part of the proceeds from the issue would be used to fund LSE’s $2.7bn acquisition of U.S. indexes group Frank Russell. The acquisition is expected to boost LSE’s earnings in the first full year after the merger and will create an index compiler with some $9.2trn of as.
Germany’s economy ministry has approved the €1.5b sale of utility RWE’s oil and gas unit DEA to Russian tycoon Mikhail Fridman and his co-investors. The approval is being given despite tensions between Russia and the West over the Ukraine crisis.He sale is expected to aid RWE, Germany’s largest power producer, in reducing its €30bn+ debt burden. Mikhail Fridman and his associates will get stakes in about 190 oil and gas licenses or concessions in Europe, the Middle East and North Africa.
China has set up a ¥20bn ($3.25bn) Civil Aviation Investment Fund to help bolster its civil aviation industry. The Fund is 20% controlled by Capital Airports Holding Co., parent of Hainan Airlines, with fund management firms holding the remainder. It is designed to finance new airports, aviation economic zones, budget carriers, cargo and general aviation related projects.Beijing has one of he fastest growing aviation industry in he world. Official stats shows China had 754 million air passengers  in 2013 - a 86% increase from 2008. About 62 Chinese cities have set up aviation economic zones where plane manufacturers, parts suppliers and logistic companies have been setup.

Pemex CEO on Mexico’s Plan to Open Oil Fields - WallStreetJournal

(Source: jumbiz)

Zimbabwe Creates Company to Purchase Bad Debt From Banks | Bloomberg

Zimbabwe has set up an asset management company to buy part of $705m in non-performing loans from banks, in a move to restore stability to a sector that has been whiplashed by rising bad debts.

Reserve Bank of Zimbabwe Governor John Mangudya said the newly created Zimbabwe Asset Management Corporation (ZAMCO) had bought $45m worth of bad debt from three banks as of August 15.

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Twenty companies to form new Nigerian Stock Exchange’s premium board | The Nation

The Nigerian Stock Exchange (NSE) may pick 20 companies out of the 30 stocks that made up its NSE 30 Index to form its new premium board. The NSE 30 Index tracks the 30 most capitalised stocks at the stock market.

The Nation‘s investigation indicated that the NSE may soon launch the new premium board, which will effectively make the Exchange a three-tier trading platform. The new premium board is designed as a market for the most capitalised stocks with the best corporate governance and liquidity. It is meant to showcase Nigeria’s best stocks to the global market […]

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According tothe Nigerian Government, Nigeria’s domestic cocoa market value currently stands at $80 billion. In addition, cocoa production in Nigeria is expected to hit 800 million metric tonnes in 2015.

According tothe Nigerian Government, Nigeria’s domestic cocoa market value currently stands at $80 billion. In addition, cocoa production in Nigeria is expected to hit 800 million metric tonnes in 2015.

"It will be immensely difficult for Malaysia Airline Service to recover … they have dug a hole big enough to swallow the entire company. Unless brutal, structural changes are made, there is no long-term future.”
Shukor Yusof, an analyst with Malaysia-based aviation consultancy Endau Analytics. Analysts are sceptical as to whether Malaysia Airline Service can survive as a going concern following the two tragedies involving its aircrafts namely, the disappearance of flight MH370 and the subsequent crash of flight MH17. Over the last nine years the carrier has recorded losses of more than a $1bn.

 

Bankrupt Energy Future will soon propose auction process | Reuters

Energy Future Holdings, the big Texas power company that filed for bankruptcy in April, said it will present a proposal for auctioning the company after it scrapped an earlier plan to exit Chapter 11 under control of unsecured creditors.

The company said it was evaluating potential proposals it received from financial and strategic bidders, and opting for an auction may indicate increasing interest in the company […]

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"Tim Hortons earns more money than Burger King does. I just don’t know how the Canadians would feel about Tim Hortons moving to Florida. The main thing here is to make the Canadians happy."
Warren Buffett on Burger King’s $12bn acquisition of Tim Hortons which will result to Burger King relocating to Canada and cutting its US corporate tax expenses i.e. tax inversion. Buffett’s Berkshire Hathaway is committing $3bn of preferred equity for 3G Capital, which controls Burger King, to acquire Tim Hortons.
Buffett is arguably right. This report on Bloomberg Businessweek shows that although Tim Hortons  has about 4,500 stores (20% in Canada and 5% in the US) and Burger King has 13,800 stores (2% in Canada and 39% in the US), Tim Hortons’s Canada business will contribute the majority of the revenue of the combined companies. Burger King’s U.S. and Canada business together represented only 15% of the combined company’s total 2013 revenue.

"Tim Hortons earns more money than Burger King does. I just don’t know how the Canadians would feel about Tim Hortons moving to Florida. The main thing here is to make the Canadians happy."

Warren Buffett on Burger King’s $12bn acquisition of Tim Hortons which will result to Burger King relocating to Canada and cutting its US corporate tax expenses i.e. tax inversion. Buffett’s Berkshire Hathaway is committing $3bn of preferred equity for 3G Capital, which controls Burger King, to acquire Tim Hortons.

Buffett is arguably right. This report on Bloomberg Businessweek shows that although Tim Hortons  has about 4,500 stores (20% in Canada and 5% in the US) and Burger King has 13,800 stores (2% in Canada and 39% in the US)Tim Hortons’s Canada business will contribute the majority of the revenue of the combined companies. Burger King’s U.S. and Canada business together represented only 15% of the combined company’s total 2013 revenue.

Courage is resistance to fear, mastery of fear- not absence of fear. - Mark Twain #WednesdayWisdom #wordsofwisdom 
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Dollar General in love with Family Dollar? - CNNMoney

(Source: jumbiz)

Buffett puts shareholders ahead of patriotism in Canadian deal | Reuters

Warren Buffett may be most famous for the billions of dollars he has made from investing but he is also well known as a cheerleader for the United States. The Oracle of Omaha routinely exhorts investors to put their money in America, “the mother lode of opportunity,” as he wrote in his annual letter this year.

So Buffett’s participation in fast-food chain Burger King Worldwide Inc’s purchase of coffee and doughnut chain Tim Hortons Inc – complete with relocation of Burger King’s domicile to Canada – might at first blush raise questions about his patriotism […]

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