Breakingviews

Japan’s chat app IPO is more Twitter than WeChat

July 1, 2016

Messaging platform Line is going public with a valuation of up to $6.6 bln. Like Chinese rival WeChat, it has lured millions with games and virtual stickers. Yet its user base has stopped growing. Like Twitter, it must now try to squeeze more revenue out of those people.

Hershey makes tempting but sticky takeover target

June 30, 2016

The $25 bln confectioner belongs with Mondelez's Cadbury. CEO Irene Rosenfeld may sniff sweet opportunity as the charitable trust that blocked past Hershey bids is roiled by scandal, and rival Kraft Heinz is still digesting its mega-deal. But it won't come cheaply.

Believe bonds not stocks on Brexit damage

June 30, 2016

Stocks have rebounded after the referendum, suggesting Britain’s prospects aren’t too grim. Yet falling gilt yields point to bleaker outcomes. In the absence of hard economic data, a post-vote slump in consumer morale supports the pessimistic thesis.

Breakdown: Solving Asia’s other bad debt problem

June 30, 2016

It's not just China: soured loans are clogging up Indian lenders too. Though a cleanup is underway, the worry is that the departure of central bank chief Raghuram Rajan will delay it. But Prime Minister Narendra Modi needs to fix the banks to fulfil a pledge to create jobs.

GE’s 50 billion reasons not to be a SIFI

By Rob Cox
June 29, 2016

That's the dollar amount of market cap the U.S. conglomerate has added since it said it would wind down the finance arm that watchdogs said posed a systemic financial risk. Relative to the market and rivals, the gain is bigger still. Complacent mega-bank shareholders, take note.

Hadas: Britain picks the wrong time to play games

June 29, 2016

After the vote to leave the EU, politicians on both sides have taken pride in abdicating their responsibility. It comes not from respect for democracy, but for another British tradition: treating things as a game. Young people lost this round, but may even the score in future.

Credit Suisse beats Deutsche despite rotten year

June 29, 2016

The banks' stocks are down 50 pct since they switched leaders last July. Deutsche boss John Cryan had the harder task. But while Credit Suisse's Tidjane Thiam botched an investment bank revamp, geographic and business mix suggests he's more likely to restore shareholder value.

Local brands lead race for China’s savvy consumers

June 29, 2016

From shampoo to snacks, upstart Chinese companies are challenging foreign rivals, a new report shows. They heed digital trends, adapt to local tastes and respond to customers' increasingly sophisticated demands. Western firms that don't follow their lead risk being left behind.

Chancellor: Brexit can make a stronger, fairer UK

June 28, 2016

The British elected to pop the UK’s bubble economy, which delivers appalling productivity growth and unequally distributed gains. Turmoil unleashed by the vote could put the economy on a sounder footing. As asset prices deflate, the distribution of wealth becomes less unequal.

Lyft mulls trip out of capital destruction

June 28, 2016

The $5.5 bln ride-hailing app has hired Frank Quattrone’s Qatalyst – an adviser with a knack for selling tech firms at hefty premiums. With rivals Uber and Didi raising and burning billions in an attempt to gain control of markets, M&A discretion may prove wiser than valor.