Dec 13, 2013 10:44 UTC

HK inside-trade payout more deterrent than portent

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By Peter Thal Larsen

The author is a Reuters Breakingviews columnist.  The opinions expressed are his own.

A group of nearly 300 Hong Kong investors are about to share an early $3 million Christmas present. That’s the amount former Morgan Stanley banker Du Jun has been told to pay the unwitting victims of his insider trading in 2007. White collar criminals should beware, but investors shouldn’t expect a rush of future payments.

Dec 10, 2013 20:34 UTC

Time Warner Cable could play a little Pac-Man

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By Jeffrey Goldfarb

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Time Warner Cable could play a little Pac-Man. Being acquired by smaller rival Charter Communications, a plan that has been doing the rounds, would create a highly indebted cable giant with an enterprise value of over $100 billion.

Dec 4, 2013 08:15 UTC

Westfield shops for premium with $28 bln carve-up

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By Una Galani

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

Westfield is shopping for a premium with its A$30.3 billion ($28 billion) carve-up. Just three years after its last big reshuffle, the shopping mall giant is separating assets in Australia and New Zealand from outlets in the United States and Europe. The cleaner structure may allow Westfield to command a higher valuation.

Dec 2, 2013 19:54 UTC

Amazon’s drone promise is yet more jam tomorrow

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By Robert Cyran

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Amazon is promising yet more jam tomorrow – this time from drone deliveries. Jeff Bezos, the online retailer’s chief executive, expects to be able to use unmanned aircraft to deliver small packages within a few years. It’s a striking vision, but it seems as overly optimistic as investors’ expectations of the company overall. Amazon’s market value has ballooned to $180 billion despite big profits always hovering in the future.

Nov 28, 2013 08:08 UTC

Giant Interactive’s $2.9 bln buyout hard to resist

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By Una Galani

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

Giant Interactive’s $2.9 billion buyout is hard to resist. Chairman Shi Yuzhu is leading a consortium with Baring Private Equity Asia to take the U.S-listed Chinese computer gaming group private. At almost 13 times this year’s earnings, the group’s offer to buy the 53 percent that it doesn’t already own is a chunky premium to peers. Besides, independent investors have few alternatives.

Nov 27, 2013 15:20 UTC

Royal Mail risks are as real as ever

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By Robert Cole

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Royal Mail has cleared its first hurdle as a public company. But deep-seated challenges remain, and the UK postal firm’s current market value looks too rich.

Nov 27, 2013 03:11 UTC

How Cinda squares China’s debt triangles

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By John Foley

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

China Cinda has spotted a clever arbitrage. The Chinese “bad bank”, which is revving up for a Hong Kong initial public offering (IPO), has recently been doing brisk business by borrowing cheaply from other banks and using those funds to buy up companies’ short-term loans to each other. In doing so, it has found a way to square China’s dreaded “debt triangles”.

Nov 21, 2013 01:54 UTC

Asia’s fear of Fed is now infecting more economies

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By Andy Mukherjee

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

After a rough summer, Asian markets are calm once again. But beneath the surface, the fear of what the Federal Reserve may do next is beginning to spread beyond India and Indonesia.

COMMENT

Asian countries can reduce their Treasuries holdings to mitigate the Fed tapering exercise.

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Nov 20, 2013 11:39 UTC

Equity optimists may fast create a crowded trade

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By Swaha Pattanaik

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

Many large institutional asset managers expect developed stocks to march higher next year. They predict that companies will ramp up capital expenditure and fiscal policy will become less restrictive. That may well happen. The risk is that too much money is chasing the same idea. Crowded trades are rarely safe bets.

Nov 19, 2013 08:09 UTC

Aussie dairy battle needs cheap debt to stack up

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By Ethan Bilby

The author is a Reuters Breakingviews columnist.  The opinions expressed are his own.

Australia’s dairy battle needs cheap debt to stack up. Three bids in as many days for Australia’s Warrnambool have lifted the price tag above A$500 million ($469 million). Local cost savings and projections of China’s thirst for foreign milk help justify the frenzy. But the investment case rests on low borrowing costs.