Aug 12, 2014 18:34 UTC

Aussie bid battle questions wine’s standalone case

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By Una Galani

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

Wine may age better in the cellar than on the stock market. A bid battle for Australia’s Treasury Wine Estates – the only big listed producer – has called into question the case for standalone wine companies. The maker of Penfolds could be better-managed but a fragmented market and low brand loyalty also suggests the fruit of the vine may not be suitable for public company treatment.

Aug 12, 2014 07:00 UTC

Aircraft leasing flies back into vogue in Asia

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By Peter Thal Larsen

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

Aircraft leasing is flying back into vogue in Asia. Many Western groups jettisoned the business of buying and renting out planes after the financial crisis. Now China’s sovereign wealth fund and tycoon Li Ka-shing are considering climbing on board. Strong forecast demand for aircraft explains the appeal – as long as finance is cheap and reliable.

Aug 11, 2014 18:47 UTC

Kinder Morgan’s large-number solution: get bigger

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By Christopher Swann

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

Richard Kinder’s master class in financial engineering is back in session. The Kinder Morgan boss struck $71 billion of deals to unite his sprawling U.S. pipeline empire. Various partnerships had reached a scale that was limiting returns. Kinder somehow managed to solve this size quandary by getting bigger.

Aug 8, 2014 18:14 UTC

Behold the unversion: an inversion in all but name

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By Jeffrey Goldfarb

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

Behold the unversion. U.S.-based data protection firm SafeNet may very well be able to slash its tax rate as part of a cross-border deal. Instead of doing so by acquiring an overseas company – a move known as an inversion – it is selling itself for $890 million to Dutch digital security outfit Gemalto. The deal shows the limitations of a possible U.S. government ban on inversions.

Aug 7, 2014 19:34 UTC

Private equity discord is best collusion defense

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By Jeffrey Goldfarb

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

Even when it might help them, private equity firms can’t seem to cooperate. Blackstone Group, KKR and TPG are now willing to pay a combined $325 million to resolve allegations that they colluded to limit prices on deals. Three other firms previously settled for less. Carlyle Group is still holding out. Legally speaking, there’s safety in numbers. Yet the buyout shops can’t even agree on how to resolve the case.

Aug 6, 2014 19:56 UTC

Walgreen encounters uncommon inversion boundary

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By Kevin Allison

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

Walgreen has encountered a limit to inversion logic. The drugstore chain will keep flying the American flag even after agreeing to buy the rest of Swiss-based Alliance Boots for about $15 billion. A backlash against corporate emigration may have affected Walgreen’s decision, but harder numbers probably mattered more.

Aug 6, 2014 13:32 UTC

Murdoch miscalculation points to Time Warner value

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By Jeffrey Goldfarb

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

Rupert Murdoch miscalculated. The sly old fox of global media abruptly yanked his $80 billion offer to buy rival Time Warner on Tuesday after failing to anticipate his quarry’s resolve and the price demands of investors. Twenty-First Century Fox shares rallied after the market had officially closed while Time Warner’s retreated toward their pre-bid level. That means refusenik boss Jeff Bewkes has something more to prove.

Aug 6, 2014 08:01 UTC

SoftBank’s U.S. mobile retreat is least bad option

By Peter Thal Larsen 

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

Masayoshi Son has been forced to scale back his mobile phone ambitions in the United States. The chief executive of Japan’s SoftBank has belatedly bowed to hostile regulators and abandoned plans for his Sprint unit’s $32 billion takeover of T-Mobile US. He has chosen the least bad option.

Aug 5, 2014 18:17 UTC

Gannett split puts digital on wrong side of divide

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By Jeffrey Goldfarb

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

Gannett is redefining the digital divide. The media conglomerate unveiled plans on Tuesday to spin off newspapers, including USA Today, to showcase the value of its broadcasting operations. At the same time, the company will take control of the parent of Cars.com, paying $1.8 billion for the 73 percent it doesn’t already own. Instead of using that online asset to buffer the weaker half, however, Gannett is forcing print to stand on its own.

Aug 1, 2014 13:36 UTC

Flaky Iliad bid muddies T-Mobile US sale odyssey

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By Robert Cyran

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

Iliad has delivered what could be a Trojan horse for Sprint’s plans to buy T-Mobile US. In a rival approach, the $16 billion French telcom has offered $33 a share, or $15 billion, for 57 percent of the No. 4 U.S. mobile operator. It’s a flaky offer on several levels. But the intervention may intensify antitrust objections to Sprint’s wish to merge.