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Jan 23, 2015
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Putin, Piketty and Draghi hit Davos in spirit only

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By Jeffrey Goldfarb 

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

It can feel like everyone who’s anyone in politics and finance is in Davos, Switzerland this week. World leaders and most of the titans of industry and finance again are swapping ideas in public sessions and over private cocktails at the World Economic Forum’s 45th annual meeting. Conversations are buzzing up and down the Promenade about rampant inequality, the European Central Bank’s plan to flood markets with money and Russia’s conflict with Ukraine. Notably missing from the Alpine retreat are the three people actually inspiring those debates.

Jan 20, 2015
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Climate feels right for certain deals in Davos

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By Jeffrey Goldfarb

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

Torrid trade winds are blowing through Switzerland’s crisp mountain air. Global business leaders and bankers convene this week for the World Economic Forum fresh off a $3.5 trillion year of mergers, the biggest tally of the post-financial crisis era. While the momentum creates an ideal climate for corporate dealmaking, it’s less clear the atmosphere is conducive to strike the more important political accords for which Davos has become renowned.

Dec 30, 2014

Breakingviews: Shake Shack IPO disappoints in taste test

By Jeffrey Goldfarb

NEW YORK (Reuters Breakingviews) – Shake Shack is turning
the basic burger into complex financial cuisine. The global
fast-food chain started by celebrity restaurateur Danny Meyer
filed to go public on Monday with some of the tortured trappings
served up with new technology stocks. Two classes of shares and
creative financial metrics are especially unappetizing. There’s
at least a sweetish bottom line to wash it all down.

Backed by private equity firm Leonard Green & Partners,
Shake Shack is a self-described “modern day ‘roadside’ burger
stand” whose vision is to “stand for something good.” While it
may achieve that with its twist on traditional American fare, it
falls short in the investment taste test.

Dec 30, 2014
via Breakingviews

Shake Shack IPO disappoints in taste test

Photo

By Jeffrey Goldfarb

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

Shake Shack is turning the basic burger into complex financial cuisine. The global fast-food chain started by celebrity restaurateur Danny Meyer filed to go public on Monday with some of the tortured trappings served up with new technology stocks. Two classes of shares and creative financial metrics are especially unappetizing. There’s at least a sweetish bottom line to wash it all down.

Dec 18, 2014
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Dry powder may explode in buyout barons’ faces

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By Jeffrey Goldfarb

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

In the private equity world, almost everything is going up. That’s just not as good as it sounds for buyout barons.

Dec 12, 2014
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Goldman updates IPOs for the Candy Crush era

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By Jeffrey Goldfarb

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

Goldman Sachs has updated IPOs for the Candy Crush era. Bosses of firms heading for public markets are hooked on the bank’s app, which lets them track book-building in real time. With Apple and IBM coding mobile software for big companies, the smartphone economy is swiftly moving from the living room to the boardroom.

Dec 12, 2014

Breakingviews: Goldman updates IPOs for the Candy Crush era

By Jeffrey Goldfarb

NEW YORK (Reuters Breakingviews) – Goldman Sachs has
updated IPOs for the Candy Crush era. Bosses of firms heading
for public markets are hooked on the bank’s app, which lets them
track book-building in real time. With Apple and IBM
coding mobile software for big companies, the smartphone
economy is swiftly moving from the living room to the boardroom.

Raising money in an initial public offering can be tedious.
Chief executives must give a mind-numbing series of back-to-back
presentations to potential investors. After each meeting,
chaperoned by banks underwriting the new shares, buyers indicate
how many they want and at what price.

Nov 3, 2014
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Music rally can shake off discordant Taylor Swift

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By Jeffrey Goldfarb

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

Back in 1989, the year Taylor Swift was born and the title of her latest hit album, Garth Brooks sold over 10 million copies of his eponymous record. It is a bygone era for the music industry. Until Swift released the collection that includes “Shake It Off” last week, no artist had sold even 1 million this year. That sort of popularity gives her the market power to make decisions like the one she did on Monday to pull her catalog from digital streaming service Spotify.

Oct 27, 2014
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Chiquita inversion slips on cash appeal

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By Jeffrey Goldfarb

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

Chiquita shareholders got yellow and chose green. They voted down a stock deal to acquire Irish produce distributor Fyffes, a decision that led the U.S. banana company on Monday to agree to sell to Brazilian buyers for about $680 million in cash instead. Ailing arbitrageurs, a revolt against tax-driven mergers and global economic ructions all led to the path of least uncertainty.

Oct 16, 2014
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Netflix stock horror follows familiar script

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By Jeffrey Goldfarb

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

Netflix is sticking to the script. The film and TV streaming service lost $7 billion of market value in after-hours trading on Wednesday following news that it had signed up fewer new subscribers last quarter than originally forecast. Even for one of the most-shorted and volatile stocks, a 25 percent decline is notable. And yet investors have seen this movie before.