Una's Feed
Nov 15, 2013
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Banks’ bad IPO habits spread to China bond deals

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By Una Galani

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

Asia’s investment bankers’ bad habits from initial public offerings have spread to Chinese bond deals. A scarcity of new equity offerings has forced underwriters to crowd onto a dwindling number of issues. Though bond issuance is booming, the pile-up is happening on the debt side too.

Nov 12, 2013
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Apollo and Cooper can still do a deal

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

The buyout of Cooper Tire & Rubber Co hasn’t gone flat yet. The U.S. company and Indian buyer Apollo Tyres are locked in a legal battle over an agreed $35 per share offer. But both sides insist they still see merit in a union that will create the world’s seventh biggest tyre manufacturer. Adjusting Apollo’s offer to reflect the potential cost of removing the two main roadblocks to the deal suggests a revised bid of at least $27 per share.

Nov 4, 2013
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Hong Kong’s new marketing ruse: business trusts

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By Una Galani

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

Business trusts are a new marketing ruse for Hong Kong bankers. Injecting whole companies into special-purpose vehicles sounds innovative: even tycoon Li Ka-shing has embraced the idea for the listing of his electricity assets in the territory which could raise $5 billion. But for all the hype, business trusts offer no benefits over a regular initial public offering. They’re mostly a tool for luring in yield-hungry investors.

Oct 31, 2013

Vodafone’s India bet starts to look less bad

By Una Galani

HONG KONG, Oct 31 (Reuters Breakingviews) – The British
telco is set to take full control of its Indian unit amid hopes
it is turning a corner. The indicated price, based on terms set
two years ago, implies a value of $10.6 bln. That’s less than
Vodafone paid for previous stakes, and less than implied by peer
valuations.

Full view will be published shortly.

CONTEXT NEWS

- Vodafone said on Oct. 29 that it has sought approval from
the authorities to buy the 15.5 percent of its Indian unit that
it does not already own for 101 billion rupees ($1.65 billion).

Oct 28, 2013
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One idea Samsung could safely copy from Apple

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By Una Galani

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

Here’s one idea that Samsung could safely copy from Apple. As a proportion of its $221 billion market capitalization, the South Korean giant’s near $40 billion cash pile is almost as big as that of its U.S. arch rival. With reserves accumulating fast, it can afford to mimic Apple by giving more to investors.

Oct 23, 2013
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Li Ka-shing still has what investors want

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By Una Galani

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

Li Ka-shing may be an octogenarian but he still knows when to buy and sell. An analysis of 16 listed parts of the Hong Kong tycoon’s telecoms-to-energy empire, with a combined market capitalization of more than $170 billion, shows a mixed record of delivering shareholder returns. Yet Li’s flagship holding companies have matched or beaten the market over the past two and five years. For investors, it pays to invest as close as possible to the man himself.

Oct 21, 2013
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Li Ka-shing still has options after ParknShop flop

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By Una Galani

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

Li Ka-shing’s sale of ParknShop has flopped, but he still has other options. The tycoon’s holding company, Hutchison Whampoa, shelved a potential sale of the Hong Kong supermarket chain, after targeting an ambitious valuation of over $3 billion. But there are other ways to raise funds. ParknShop might be more palatable if Li can bundle it up with more attractive assets from his group.

Oct 16, 2013
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Thai mogul emerges on top in supermarket swap

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By Una Galani

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

Thailand’s richest man has emerged on top in a Chinese supermarket swap. Dhanin Chearavanont, whose conglomerate picked up a stake in insurer Ping An and acquired cash-and-carry group Siam Makro earlier this year, is offloading the bulk of his loss-making retail operations in China in return for shares in local rival Wumart Stores. Both sides benefit from the deal worth HK2.9 billion ($373 million) but Dhanin is ahead by an aisle.

Oct 14, 2013
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Cooper-Apollo spat forces investors to pick lanes

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By Una Galani and Peter Thal Larsen

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

Investors in Cooper Tire & Rubber are being forced to pick lanes. Legal wrangles have put Apollo Tyres’ agreed $2.5 billion offer for its U.S. rival in doubt, and tensions at its China joint venture have undermined Cooper’s value. But a negotiated price reduction still looks possible. Cooper shares may be pricing in too much bad news.

Oct 10, 2013
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China’s Bakrie burns may have less sting

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By Una Galani

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

China’s Bakrie burns may have less of a sting. Like financier Nat Rothschild, China Investment Corporation has been scorched by its association with Bumi Resources. Following a $1.3 billion debt swap, the sovereign fund has gone from a major creditor to minority investor in the Indonesian miner.

    • About Una

      "Una Galani is Asia Corporate Finance Columnist of Reuters Breakingviews, based in Hong Kong. She spent three years in Dubai covering the region’s economies in the immediate aftermath of the Arab Spring. Previously, Una wrote on capital markets, mergers and acquisitions, and telecoms across Europe from London. She was commended in the category of Young Financial Journalist at the Harold Wincott Awards for 2009 after joining Breakingviews in 2006. Una read English Literature at Oxford. Follow Una on Twitter @ugalani"
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