Jun 10, 2014 14:28 UTC

Investors cheer for Brazil World Cup rout

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By Rob Cox

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

At the opening of the Confederations Cup in Brasilia a year ago, President Dilma Rousseff was booed by thousands of soccer fans for all of Brazil to see. It’s easy to understand then why she isn’t planning to speak at Thursday’s opening ceremony of the World Cup. An embarrassing turn as host of Earth’s biggest sporting event – or crushing repeat of the 1950 Maracanaço – may be the greatest obstacle to her clinching a second term.

COMMENT

50 billion dollar stadiums do not solve poverty. They cause it. What an arrogant waste of money. Brazil already had stadiums. Why so flashy now?

Posted by AlkalineState | Report as abusive
Jun 9, 2014 17:57 UTC

M&A shows symptoms of overheating

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By Robert Cyran and Kevin Allison

The authors are Reuters Breakingviews columnists. The opinions expressed are their own.

The merger market is showing symptoms of overheating. Global deal volume is up sharply this year – up 63 percent according to Bernstein research and 71 percent by Thomson Reuters’ tally. Monday’s announcements, meanwhile, hint at toppiness.

Jun 9, 2014 14:09 UTC

UK spoils Europe’s $29 bln IPO boom

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By Quentin Webb

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

Europe’s IPO boom is being let down by Britain. The regional bonanza of initial public offerings has delivered good returns for shareholders this year. London has been both the epicentre for new issues and a serious drag on performance. With investors’ time and money in short supply, no wonder IPOs are becoming a tougher sell.

Jun 9, 2014 07:19 UTC

China-U.S. cyber spat risks corporate casualties

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By Ethan Bilby

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

China’s security spat with the United States risks corporate casualties on both sides. The People’s Republic has responded to U.S. allegations of cyber spying by targeting American tech companies. A continuing dispute could lead to blocked deals in the United States and lost sales in China. Though companies can try to ease concerns, it’s hard for them to escape a political escalation.

COMMENT

Well if the Chinese start blocking their markets to certain companies these same companies should stop hiring in China and move to other countries instead especially America if they are in fact American companies. These companies should also put a halt on hiring Chinese nationals in other countries where they have offices.

Posted by CountryPride | Report as abusive
Jun 7, 2014 12:13 UTC

Future financiers condemned to repeat sins of past

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By Jeffrey Goldfarb

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

Future financiers are condemned to repeat the mistakes of the past. Nearly 150,000 wannabe investment advisers, bankers, risk managers and analysts around the world will sit for the CFA exam this weekend. Success hinges on their understanding of the capital asset pricing model and return on equity. Knowledge of disasters like the South Sea Bubble and the Great Crash, though, are not required. Widespread ignorance of financial history is an overlooked systemic risk.

Jun 6, 2014 16:13 UTC

Facebook is near-universal buyer in virtual world

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By Richard Beales

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

In a virtual world, Facebook could justify buying not just WhatsApp but almost every other social networking and chat app on the planet. The company’s $160 billion market cap values its 1.3 billion monthly active users at nearly $130 each. Most of its peers look much cheaper. Clamp on an Oculus Rift virtual reality headset – the product of another company just bought by Facebook – and there’s a case for Chief Executive Mark Zuckerberg gobbling them all up.

Jun 5, 2014 14:17 UTC

Gannett carve-up is just a matter of Time

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By Jeffrey Goldfarb

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

A Gannett breakup is really just a matter of Time. The $6.6 billion owner of USA Today and other newspapers isn’t getting much credit for its TV transformation. As Time Warner sets free its publishing arm this week, a Breakingviews analysis suggests Gannett should do the same.

Jun 4, 2014 18:26 UTC

Voracious buyers find the meat on Sara Lee’s bones

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By Kevin Allison

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

Voracious buyers are finding the meat on Sara Lee’s bones. The old consumer conglomerate broke itself up into meat-focused Hillshire Brands and coffee-roaster D.E Master Blenders 1753 in 2012 after spurning takeover offers worth about $12 billion, according to press reports at the time. It looked like a raw deal – until now.

Jun 3, 2014 16:31 UTC

Kellogg might make Heinz-style Buffett target

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By Kevin Allison

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

Kellogg looks like someone wants to eat it for breakfast. Takeover speculation has helped the U.S. company’s shares rise more than 8 percent since April, bestowing it with a $25 billion market value. Kellogg may be too big for a Hillshire-like takeover battle, and carries too much debt to make a traditional leveraged buyout palatable. But a deal like the one Warren Buffett and a group of Brazilian financiers struck for ketchup-maker Heinz last year might work.

Jun 2, 2014 18:47 UTC

Valeant urges $54 bln deal with carrot, two sticks

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By Robert Cyran

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

Valeant is pushing its $54 billion deal with the help of a carrot and two sticks. The pharmaceutical group raised its offer for Allergan again on Friday, on the condition that the board of its target cooperates. Meanwhile hedge fund boss Bill Ackman on Monday threatened to unseat six directors – and Valeant could yet decide to go fully hostile. But questions over Valeant’s own stock remain its biggest weakness.