Kevin's Feed
Mar 26, 2015
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Buffett-3G juggernaut can keep on truckin’

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

Warren Buffett and 3G Capital have created a fearsome M&A machine. Wednesday’s deal to merge consumer food giants Kraft and H.J. Heinz, worth some $80 billion, marks the boldest collaboration yet between the Sage of Omaha and the investors behind AB InBev, after earlier swoops on Heinz and Tim Hortons. The only barrier to even bigger deals may be 3G’s capacity for new projects.

Feb 12, 2015
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Expedia indicates first-class M&A tickets remain

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By Kevin Allison

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

Expedia’s plan to buy Orbitz Worldwide indicates that some first-class M&A tickets remain available. The online travel agent’s shares jumped 16 percent after it said it would pay $1.6 billion, including debt, to absorb its smaller rival. Despite evidence of fewer easy pickings, Expedia shows why the deal boom still has some runway.

Feb 6, 2015
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DuPont drives wedge between shareholders and Peltz

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By Kevin Allison

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

DuPont has driven a wedge between shareholders and Nelson Peltz. Adding two turnaround veterans to the $70 billion chemical giant’s board may make stockholders think twice about voting in a rival slate from the billionaire activist’s Trian Fund Management. DuPont says Peltz nixed an offer to add one of his picks because he wanted the spot. He may just have been outplayed.

Feb 6, 2015
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DuPont drives wedge between shareholders and Peltz

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By Kevin Allison

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

DuPont has driven a wedge between shareholders and Nelson Peltz. Adding two turnaround veterans to the $70 billion chemical giant’s board may make stockholders think twice about voting in a rival slate from the billionaire activist’s Trian Fund Management. DuPont says Peltz nixed an offer to add one of his picks because he wanted the spot. He may just have been outplayed.

Feb 4, 2015
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Smucker deal may keep activists in Kibbles ‘n Bits

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By Kevin Allison

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

J M Smucker’s $5.8 billion purchase of Big Heart Pet Brands may keep investor activists in Kibbles ’n Bits. The $11 billion owner of Folgers coffee, Jif peanut butter and eponymous fruit spreads should gain bargaining power with retailers by bundling human treats with dog food. But the odd combination may elicit a Pavlovian response from uppity shareholders.

Feb 4, 2015
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Smucker deal may keep activists in Kibbles ‘n Bits

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By Kevin Allison

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

J M Smucker’s $5.8 billion purchase of Big Heart Pet Brands may keep investor activists in Kibbles ’n Bits. The $11 billion owner of Folgers coffee, Jif peanut butter and eponymous fruit spreads should gain bargaining power with retailers by bundling human treats with dog food. But the odd combination may elicit a Pavlovian response from uppity shareholders.

Feb 2, 2015
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Shareholders give Exxon the benefit of the doubt

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By Kevin Allison

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

Exxon Mobil shareholders are giving the petroleum giant the benefit of the doubt. The oil major only beat fourth-quarter estimates thanks to tax and legal breaks. And it is keeping mum on spending plans, even as rivals cut back. Unlike rival Chevron, though, Exxon is still buying back stock, if less than before. Such relative resilience appeals to investors, but might not last.

Jan 26, 2015
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U.S. $16 bln paper deal requires precise folding

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By Kevin Allison

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

Delivering on the promise of a $16 billion U.S. paper merger may require some precision folding. Stockholders in packaging giants Rock-Tenn and MeadWestvaco will share their combined company evenly, with a roughly balanced board. Investors are already inking in $300 million of promised annual savings, pushing up the stocks of both companies. But mergers that look equal can still provoke business and cultural upheaval.

Jan 9, 2015
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Proxy fight as much about Peltz’s Trian as DuPont

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By Kevin Allison

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

Nelson Peltz’s latest proxy fight will resonate beyond its immediate target, DuPont. The billionaire activist’s Trian Partners is seeking four director seats at the venerable chemicals group, its first public battle since squeezing onto Heinz’s board nine years ago. Flexing muscle sends a message to other stubborn targets, like PepsiCo. It also gives Peltz’s potential successors experience in the trenches.

Jan 8, 2015
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Dick’s buyout has financially sporting chance

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By Kevin Allison

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

Dick’s Sporting Goods may become the next private equity plaything. The $6 billion basketball-to-fishing vendor is mulling a leveraged buyout, according to a Reuters report on Wednesday. A relatively clean balance sheet means there’s an opportunity to make money. It would, however, require healthy growth assumptions for $6.1 billion Dick’s at a time when stiff online competition is challenging many retailers.