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 :)

EBay, PayPal to split into separate public companies | CNBC

After spending much of this year explaining why its two businesses are best left together, eBay’s board of directors and CEO did a complete about-face Tuesday morning, announcing a plan under which its PayPal and eBay marketplace businesses will be split into separately traded public companies by the middle of next year. And CEO John Donahoe will step down as CEO of eBay once the split takes effect in 2015 […] 

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eBay, PayPal to Split on Carl Icahn Pressure - Bloomberg TV

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First Bank of Nigeria to fund Kaztec’s $1.3bn Addax contract | Vanguard News

First Bank Plc has expressed willingness to support the funding of a $1.3billion fabrication contract by Kaztec Engineering, a subsidiary of the Chrome Group, awarded by Addax Petroleum. The contract, scheduled to commence next month is tied to the Addax’ Ofrima/Udele development project […]

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Starbucks Corp plans to buy the remaining 60.5% share of Starbucks Coffee Japan Ltd that it does not already own in a two-step deal worth $913.5m. Since 1995 Starbucks Japan which operates roughly 1,050 cafes has been operating as a joint venture between Starbucks and its partner Sazaby League.
Starbucks will buy Sazaby’s 39.5% stake for 965 yen per share, making it a total of 55bn yen ($505m). This will give Starbucks a 79% interest in Starbucks Japan. Starbucks will thereafter buy the remaining 21% interest from public shareholders and option holders of Starbucks Japan’s common stock for 1,465 yen per share, a total of 44.5bn yen ($408.5m).

Starbucks Corp plans to buy the remaining 60.5% share of Starbucks Coffee Japan Ltd that it does not already own in a two-step deal worth $913.5m. Since 1995 Starbucks Japan which operates roughly 1,050 cafes has been operating as a joint venture between Starbucks and its partner Sazaby League.

Starbucks will buy Sazaby’s 39.5% stake for 965 yen per share, making it a total of 55bn yen ($505m). This will give Starbucks a 79% interest in Starbucks Japan. Starbucks will thereafter buy the remaining 21% interest from public shareholders and option holders of Starbucks Japan’s common stock for 1,465 yen per share, a total of 44.5bn yen ($408.5m).

Nadella Returns To India To Open Data CentersMicrosoft will build data centers in India to tap demand for cloud-based computing as it plans to offer its Azure and Office 365 services in the world’s second-most populous nation.
Azure, which lets businesses access computing resources and run programs via the Internet, and Office 365, a cloud-based subscription version of Microsoft’s productivity programs, will be available from local data centers by the end of 2015, Chief Executive Officer Satya Nadella told reporters in New Delhi today.
Cloud computing is a key part of Nadella’s plan to transform Microsoft and retain relevance as consumers shift from desktops to tablets and smartphones by keeping information stored on remote servers instead of local hard drives.
Photographer: Graham Crouch/Bloomberg
© 2014 Bloomberg Finance LP
Barclays Capital, a unit of Barclays is to pay $15m to settle charges alleging it failed to maintain an adequate internal compliance system after its acquisition of part of Lehman Brothers during the 2008 financial crisis. BC will also be required to undertake certain remedial steps, including hiring an independent compliance consultant.
According to the US SEC, Barclays failed to enhance its compliance program after it bought Lehman’s advisory business following Lehman’s collapse. This led Barclays to commit a variety of other violations of federal laws governing investment advisers.
Canadian pipeline company Veresen Inc has agreed to acquire Global Infrastructure Partners’ half interest in the Ruby pipeline system for $1.43bn. Veresen is acquiring Global Infrastructure’s convertible preferred shares, which can be converted into common shares at its option. 
The Ruby line carries as much as 1.5 billion cubic feet per day of natural gas 680 miles (1,100 km). The deal will effectively make Calgary-based Veresen Kinder Morgan Inc’s equal partner in the Ruby line. Kinder Morgan will remain as operator of the pipeline. 
British luxury shoe brand Jimmy Choo plans to float on the London Stock Exchange, with owner JAB Luxury offering existing shares in a deal which could value the firm at least £700m ($1.2bn).
Founded in the 1990s by Malaysian bespoke shoemaker Jimmy Choo, the company has gone through the hands of several private equity firms before being acquired for more than £500m in 2011 by JAB.
Jimmy Choo had 120 directly operated stores as of the end of June and plans to open 10-15 shops a year until 2016. Around five of these will be in China where it seeks to increase its number of stores to 30 from 11.
"Intel’s investment is a strategic asset for Israel’s industry. This is the biggest investment by a foreign company ever in Israel and is further proof that Israel is at the forefront of technology and innovation.”

Yair Lapid, Israeli Finance Minister. Israel’s finance and economy ministries have approved a plan by Intel Corp to invest $6bn in the upgrade of its chip manufacturing plant, in what would be the largest single investment by a foreign company in Israel. 
The U.S. chip giant plans to hire about 1,000 more workers at the plant in the southern town of Kiryat Gat by 2023, in addition to the 2,500 that already work there. Accordingly, Intel will receive a government grant of $300m over five years and will be eligible to pay a corporate tax rate of only 5% for a 10-year period.

"Intel’s investment is a strategic asset for Israel’s industry. This is the biggest investment by a foreign company ever in Israel and is further proof that Israel is at the forefront of technology and innovation.”

Yair Lapid, Israeli Finance Minister. Israel’s finance and economy ministries have approved a plan by Intel Corp to invest $6bn in the upgrade of its chip manufacturing plant, in what would be the largest single investment by a foreign company in Israel. 

The U.S. chip giant plans to hire about 1,000 more workers at the plant in the southern town of Kiryat Gat by 2023, in addition to the 2,500 that already work there. Accordingly, Intel will receive a government grant of $300m over five years and will be eligible to pay a corporate tax rate of only 5% for a 10-year period.





Industrial conglomerate Siemens AG plans to sell its 50% stake in household appliances joint venture Bosch und Siemens Hausgeräte to Robert Bosch for 3bn euros ($3.85bn). BSH would also pay them an additional distribution of 250m euros before the deal completes.

IMF declines new loans to Zimbabwe | BBC Business

The International Monetary Fund has said it will not lend more money to Zimbabwe, because the country is in arrears on repaying previous loans.

The IMF’s specialist Africa team is in Harare finalising a programme to help the government revive its stricken economy, with full details to be released next week.

IMF Assistant Director for Africa, Domenico Fanizza, told the BBC new loans were out of the question.

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How Important Was Bill Gross to Pimco? - Bloomberg TV

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Is Pimco Better or Worse Off Without Bill Gross? - Bloomberg TV

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Exxon Strikes Arctic Oil As a New Cold War Casts a Chill - Bloomberg TV

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According to new figures from the Nigerian Communications Commission of telecoms subscribers in Nigeria on various networks for the month of June 2014, 
- MTN is still Nigeria’s  leading telecoms operator with a subscriber number of 56 million (44% market share), despite a drop in subscriber base by 1 million compared to Q1.
- Globacom is now Nigeria’s second largest telecoms operator (by subscriber number) — moving from 23 million subscribers to 27 million subscribers in the first quarter of 2014 (21% market share).
- Airtel, previously the No.2 telecoms firm in the first quarter of the year, is now the third with 25 million subscribers (20% market share).
- Etisalat, the fourth entrant into the GSM market, now has an improved subscriber number of 19 million (15% market share).