Canada insisted it had made no decision yet on what to do about BHP Billiton’s $39 billion offer to buy Potash Corp, even as two newspapers reported that bureaucrats were advising that the bid should go ahead. A decision by the Canadian government is due by the end of Wednesday.
AIA Group surged 17 percent in its Hong Kong debut as investors piled into the record offering. The strong start boosted AIA’s market value above the $35.5 billion Prudential had initially offered for AIA in March, vindicating AIG’s decision not to accept the $30.4 billion bid that followed.
Shares of Sony rose nearly 3 percent at one point on Tuesday, but later retreated as analysts dismissed speculation that the electronics maker could be an acquisition target of Apple. *View article *View WSJ article looking at an Apple tie-up with Netflix
Buoyed by the busiest August in more than a decade, global mergers and acquisitions have risen 21 percent so far this year, but the outlook for the rest of the year remains cautious. Reuters takes a look at the deal flow in the third quarter, who the top advisors are and why. *Full Coverage
New capital rules set by global regulators brought relief to the world’s banks on Monday, giving weaker lenders time to raise funds and freeing the strong to lift dividends or hit the acquisition trail. *View article *View Basel III factbox *View analysis on the impact
Chip maker Intel said it would buy security technology firm McAfee for $7.68 billion. “I think people were probably (expecting) some smaller acquisitions from Intel. It’s definitely — even by Intel’s standards — a pretty big acquisition for them,” said Vijay Rakesh, an analyst at Sterne Agee. *View article *View reaction from analysts and investors
AIG has started talks with potential investors to sell stakes in its Asian life insurance business AIA ahead of AIA’s planned IPO, sources say. *View article* In a related matter, Prudential says its failed bid for AIA, which collapsed in May, will cost less than first expected. *View article
General Motors’ coming initial public offering may be a hard sell. After all, the automaker burnt investors with its Chapter 11 filing a little over a year ago. The IPO of GM and, in time, those of other cleaned up ex-bankrupts like Delphi and Chrysler, deserve cautious investor interest. *View article