Roche negotiate for full acquisition of the Japanese Chugai

Roche acquisitionRoche negotiate for full acquisition of the Japanese Chugai Pharmaceutical according to a billions USD deal. The Basel pharmaceutical giant is willing to pay about 10 billion USD for the not owned shares of Chugai Pharmaceutical. Roche declined to comment over it but the deal could be announced early next week. The Swiss pharmaceutical company already has 60% stake of Chugai and the two companies work closely together over the development of medicines against cancer and arthritis. Based on the market capitalization of 250 billion USD and multi-billion USD cash the full acquisition will not be a problem for Roche. The reason for the deal is that the Swiss company wants to use fully the second world largest medicine market in the world – Japanese.
The world market leader in anti-cancer drugs already implemented a series of acquisitions. Earlier this month, Roche bought the Danish company Santaris. In July, announced that it would pay 725 million USD in cash to buy Seragon Pharmaceuticals, which is a small private biotechnology company with research in drugs against breast cancer. A little bit earlier Roche bought the company Genia Technologies for genetic sequencing at a price of 350 million USD. In that way the Swiss company reached technologies, which is able to decipher human genes faster.

Impala Platinum predicted annual profit decrease of 75%

Impala PlatinumImpala Platinum predicted annual profit decrease of 75%, due to the five-month strike by its employees in the mines in South Africa. The second largest producer of metals in the world was one of three victims of the strike of 70 thousand miners in South Africa. Furthermore Impala losses recorded more Anglo American Platinum and Lonmin. The protest of workers costing companies nearly 24 billion rand or 2.3 billion USD. The losses from employee wages not received nearly 11 billion rand. Impala platinum mine works in a ring located northwest of Johannesburg.
The strike led to problems for the economy of South Africa, which holds two thirds of the world production of metals in the world.
The news of the revised profit forecasts led to a decline in the shares within 3% in trading on the stock exchange in Johannesburg. The price of the shares reached just over 103 rand per share.

Unprotected creditors of Lehman Brothers will receive 4.6 billion USD

Lehman BrothersThe unprotected creditors in the Lehman Brothers will receive 4.6 billion USD, says a statement from the custodian of the assets of the bank creditors to James Giddens, sent by the insolvency court in Manhattan. The unprotected creditors of Lehman Brothers had to wait a few years, first to satisfy the claims of those with status “customers”. The customers receive 100% of the invested funds in the bank, while unprotected creditors – only part of their funds.
In the group of unsecured creditors are former employees of the bank, pension funds, banks and investment companies. Their resources were not protected in bankruptcy. Last month, the bankruptcy court allowed the creation of a special fund from which the money to be paid to unprotected creditors. Then Giddens said that the amount in the fund will be at least 3 billion USD.
Lehaman Brothers went bankrupt on 15th September 2008 and marked the beginning of a serious crisis in the financial world that still has not shaken off in full scale.

Rosneft seek 42 billion USD financial aid for the Russian Government

Rosneft CEORussian oil giant Rosneft has applied to 1.5 trillion rubles (42 billion USD) aid by the Russian government, thus signaling that the closure of long-term financing from the United States the largest Russian company is already taking its toll. The state-controlled company, which produces about 40% of Russian oil has accumulated debt of 12 billion USD that have to pay until the end of the year, including the loans used for the acquisition of competitive TNK-BP last year.
The requested aid shows that large Russian companies seek to replace the external financing after the United States imposed a ban American banks to provide loans to certain companies, maturing later than 90 days, including the Rosneft. The measure triggered a wider freezing credit and neither one Russian company has not received loans in USD, CHF or EUR last month. The Chief Executive Office (CEO) of Rosneft Igor Sechin sent a letter to the Kremlin, which describes five proposals to strengthen the financial and operational condition of the company, said the Russian edition of “Vedomosti” earlier in the day, citing officials. The most expensive option is to buy back bonds to 1.5 trillion rubles to replace the external debt, the operation will be funded by the Fund for the welfare of the nation.
Proposal to be provided so much money, however, is unrealistic because it would downloaded them too much of the public funds of Russia, the source said the agency. The company was added to the list of companies sanctioned by the United States on 16 July Previously, the United States had frozen the assets of Igor Sechin, president of Rosneft and it imposed a ban on visas. Rosneft”has not changed their investment plans because of the sanctions, said Vice President for Finance company Sviatoslav Slavinski conference last month.

Operating profit of RWE dropped in H1 2014

RWEThe operating profit of the German energy concern RWE AG dropped sharply in the first half of the year. The largest German energy producer blamed the continuing pressure on energy prices in Europe subsidized renewables and weak economic growth for low demand. Operating profit declined by more than 40% to 2.27 billion EUR compared sold in the first six months of 2013, 3.79 billion EUR. The revenues decreased by nearly 10% to 25.09 billion EUR. The analysts had forecast an operating profit of 2.28 billion EUR on revenue of 24.24 billion EUR.
Despite the disappointing data on operating profit net profit for the six months RWE increases as the cost of depreciation of its power plants in the Netherlands encumber last year’s financial results. Thus, the net profit for the period grew by 4.6% yoy to 1.02 billion EUR from 979 million EUR. The net profit after deduction of non-recurring effects declined by 62% to 749 million EUR from 1.99 billion EUR an year earlier. The experts had expected 786 million EUR.

Glencore increases production in 2014

Glencore miningGlencore boasts increase the yield of their most profitable metals and minerals in the first six months of 2014. Most copper and coal, which together were responsible for the lion’s share of the proceeds of the company last year, and now favored the expansion of production annually. The largest retailer in the world of raw materials and the fourth largest mining company said its copper production has expanded by 13% to 741,000 tons, due largely to increases in the Congo and the better performance of the mine Kolahuasi in Chile. The coal production expanded by 5% to 71.2 million tons after mitigating the negative effects of 32-day strike at the mine Karehon in Colombia.
However, the production of two other leading metals – nickel and zinc fell. Glencore said the closure of two Canadian mines last year partly to blame for the decline of 11% in zinc production to 650,400 tons. The Zinc accounted for 8% of the profits of Glencore in 2013, while nickel impact on profit before interest and tax was only 1%.

G4S returned to profit in H1 2014

G4S securityThe largest security company in the world G4S returned to profit in H1 2014. This happens thanks to strong demand in emerging markets, renewed growth in North America and against the attempts of the company to restructure its operations and to restore his reputation. G4S announced profit before tax amounted to 85 million GBP, compared to the loss of 94 million GBP reported in the first half of 2013. The net profit for the period amounted to 78 million GBP. An year ago G4S record loss of 206 million GBP. Sales revenue increased to 3.37 billion GBP in the first half from the year earlier report of 3.25 billion GBP.
The return to profit comes after a difficult period for the company that provides security guards kept closed and transport cash. Last year G4S and Serco Group competitors were forbidden participation in tenders for new contracts to the British government for a period of six months. Moreover, in 2012. G4S received a blow, after failing to recruit enough guards for the London Olympics. This forced the authorities to deploy the army to ensure security and safety of the sporting event.

Mega-deal in banana business

Chiquita dealTwo Brazilian companies have made a joint offer to acquire the American producer and distributor of bananas Chiquita at worth of 611 million USD. The manufacturer of juices Cutrale and the conglomerate Safra offer 13 cents per share from Chiquita, which is 29% more than the price of the company’s shares trade on the stock exchange on Friday. The share price of Chiquita jumped 31% after the announcement of the proposal.
The proposal aims to repel the offer of Irish producer of fruits Fyffes, who proposed merger of Chiquita. According to the two Brazilian companies their proposal is clearly more profitable for the shareholders of Chiquita, than the proposed merger with Fyffes.
If the deal happen it will create the largest production and distribution of bananas in the world of 1 billion USD. Currently, the world market for bananas is controlled by four companies: Chiquita, Dole Food Company, Fresh Del Monte and Fyffes, according to the UN.
Cutrale family company is a giant in the marketing of orange juice, dominating the market in Brazil, which is the largest producer of the drink. Safra is one of the eight largest Brazilian banks in terms of assets and is also a family business.

Caterpillar profit in Q2 2014 exceeded forecasts

CaterpillarThe profit for the second quarter of Caterpillar rose 4.1% amid lower operating costs and the strong performance of the business of construction machinery, reported Wall Street Journal. The mining business of the company, however, continued to report poor results the newspaper. Reported quarterly profit topped analysts’ expectations, but not revenue. The company furthermore raise its profit forecast for the year by 10 cents to 6.2 USD, but lowered its forecast for revenue in the range of 54-56 billion USD because of poor sales in China, Africa and the Middle East. The previous forecast was for revenue in the range of 53.2 to 58.8 billion USD. Caterpillar reported a profit of 999 million USD for the period April to June, or 1.57 USD per share. A year earlier, the result was 960 million USD, or 1.45 USD per share. Excluding restructuring costs, earnings per share reached 1.69 USD per share. The company’s revenues for the second quarter decreased by 3.2% yoy to 14.15 billion USD. Analysts expect earnings per share of 1.52 USD and revenue of 14.47 billion USD.

DuPont slightly increased profit in Q2 2014

DuPontThe US chemical company DuPont slight increase in profit for the last quarter due to weak business in the agricultural sector. Profit increased by four percent to 1.07 billion USD or 1.15 USD per share compared to 1.03 billion USD or 1.11 USD per share a year earlier. Between April and June of DuPont revenue amounted to 9.71 billionUSD on a decline of 1% annually. The forecast of analysts was for a revenue of about 10.02 billion USD. Especially in the business of maize seed and pesticides against weeds, which is the main business for the company, DuPont reported a sharp drop. This operating earnings per share decreased by 11%. Businesses corn was weaker than expected, explains the concern. The company had to make higher write-offs due to high stocks. Better developed business with soy, but failed to fully offset weak sales of corn. Crop protection division has suffered because of bad weather especially in North America.
The second most important chemical Performance Chemicals division recorded a decline in sales of 8%. The traditional American company whose roots date back to 1802, is undergoing restructuring. DuPont is in the process of separation of its chemical division Performance Chemicals, which produces, among other things, the white pigment titanium dioxide and refrigerants (CFCs different). Company plans to sell the division by the end of 2015.