The Tokyo Stock Exchange will take over its smaller rival in Osaka in 2013 to create the world’s third-biggest bourse, aiming to build scale to cope with a weak home market and compete with a flurry of global tie-ups.
KKR and Japanese trading house Itochu Corp have joined forces in a roughly $7 billion bid for U.S. oil and gas group Samson Investment, in a rare link-up between a major private equity firm and a Japanese company.
Gilead Sciences struck a deal to buy Pharmasset for about $11 billion in a huge bet on hepatitis C treatments to diversify its portfolio.
Property and casualty insurer Alleghany said it would buy reinsurer Transatlantic Holdings for $3.4 billion in cash and stock, possibly putting an end to the months-long buyout battle for the reinsurer.
Deutsche Boerse and NYSE Euronext will sell some businesses and give rivals access to a major derivatives clearing house in concessions aimed at winning support from antitrust regulators for their $9 billion merger.
Suzuki and estranged partner Volkswagen seemed headed for arbitration, after VW once again refused to sell its 20 percent stake back to the Japanese carmaker and end a floundering two-year alliance.
Britain has agreed to sell nationalized lender Northern Rock to Virgin Money, the banking arm of Richard Branson’s Virgin empire, in a loss-making deal that marks the start of the government’s exit from banks it bailed out in the 2008 crisis. Here’s a timeline of Northern Rock’s rise and fall.
“John Paulson, the billionaire hedge- fund manager having the worst year of his career, may have made a $439 million profit from the sale of his Delphi Automotive Plc shares in yesterday’s initial public offering,” Bloomberg reports.
“Decisions that entrepreneurs make early in terms of financing can affect how much money they will reap later. We need only to compare the I.P.O.’s of Groupon, Zynga and Angie’s List,” writes the NYT’s Deal Professor.
Nikko Asset Management plans to list its shares through a 45.5 billion yen ($590 million) initial public offering on the Tokyo Stock Exchange, in what will likely be Japan’s second-biggest IPO this year.
On paper, Groupon appears to be a juicy target for short sellers: it loses money, it has changed its accounting twice, and its unproven business model faces competition from Google and Amazon. But the shorts may have to wait as betting against the daily deals website is just too expensive right now.
Bank of America’s sale of most of its shares in China Construction Bank earned the U.S. lender a tidy profit, but also underlined that BofA, like other foreign financial groups, found scant strategic gain in the Chinese stake it built.
Warren Buffett said his Berkshire Hathaway Inc has accumulated a 5.5 percent stake in IBM, the billionaire investor’s biggest bet in the technology field he has historically shunned. Here is CNBC’s interview with Buffett.
IPOs, and the creation of suddenly wealthy employees, can be “a recipe for disaster for a company culture that’s already under stress from the new attention going public attracts,” reports San Jose Mercury News.
“Alibaba Group Holding Ltd. and Softbank Corp. are talking with private-equity funds about making a bid for all of Yahoo! Inc. without the company’s blessing,” Bloomberg reports.
“If Yahoo! had its own personal profile on Facebook, its relationship status on the social network would read ‘It’s complicated‘,” according to a blog in The Economist.
Japan’s Olympus admitted it hid losses on securities investments dating back two decades, bowing to weeks of pressure to explain a series of baffling transactions that have put the future of the firm in doubt.
The dark and sometimes dangerous triad of ties among gangsters, businesses and politicians has a long tradition in Japan, which helps explain why a scandal engulfing Olympus has stirred up media and market talk of possible yakuza links, despite company denials and a lack of evidence.
Best Buy is buying its British partner out of a fast-growing U.S. mobile phone joint venture for $1.3 billion and scrapping plans for a chain of European megastores. The moves are the latest sign Best Buy is scaling back its overseas ambitions to focus on its main U.S. business.
Reuters interviewed dozens of people involved in Groupon’s IPO — including bankers, investors, current and former employees — and they paint a picture of the excruciating path the company took to go public.