View the article online at http://citywire.co.uk/money/article/a531144
Monday Papers: Belgium pays €4bn to take Dexia retail arm
The country has agreed with France the terms of a break-up of the financial services group plus tips, comment and bids.
* Belgium will pay €4 billion to take over the domestic retail banking arm of Dexia after it agreed with France the terms of a break-up of the financial services group.
* Canadian oil and gas explorer Daylight Energy said on Sunday it had agreed to be acquired by China’s Sinopec International Petroleum Exploration and Production Corp for about C$2.2 billion.
* IMI, the UK engineering group, is investigating spending up to several hundred million pounds on acquisitions to bolster its position in niche fields.
* A member of British parliament and trade unionists are putting pressure on US-based Colfax, which is acquiring Charter International, to divulge its cost-cutting plans.
* Ladbrokes may pull the plug on its potential takeover of Sportingbet even if the online gambling suitor removes a perceived stumbling block to the deal by selling its Turkish business.
* Vitruvian Partners, a private equity firm investing its inaugural €925 million fund, is buying just over half of The College Group, valuing the London communications consultancy at about £45 million.
* China Guangdong Nuclear Power has reopened takeover talks with Kalahari that could lead to a deal valuing the Aim-quoted miner at more than $1 billion.
The Lex Column
* Part of the rationale for Operation Twist is to milk the downward trend further, but few people have asked what happens when rates stop or reverse, as they must.
* Budapest has set preferential exchange rates at which Swiss franc-denominated mortgage debt can be repaid – and the banks must take the losses.
* Stoxx 600 European companies have written off about €115 billion of goodwill – a mere 6% of the €1,900 billion spent on acquisitions since 2006.
* Countries such as the UK would not join a financial insurance scheme – and might block a single banking supervisor.
* Some in the industry are launching infrastructure funds to tap into market demand for long-term funding sources no longer available from banks.
* Britain's cycle of rising debt and dependence on consumption to drive growth make it unlikely to bounce back any time soon.
The Daily Telegraph
* At last, a sense of urgency has gripped the British authorities. But before we can find a way out of this epic morass, we need to be sure what got us here.
* If the UK fails to deal with budget deficit, it could end up with a sovereign downgrade, higher interest rates and even more pain.
News sponsored by:
The Citywire guide to investment trusts
In association with Aberdeen Asset Management
What can SLI bring to the table for those who want to put their money into investment trusts?
More about this:
Tools from Citywire Money
From the Forums
Weekly email from The Lolly
Get simple, easy ways to make more from your money. Just enter your email address below
An error occured while subscribing your email. Please try again later.
Thank you for registering for your weekly newsletter from The Lolly.
Keep an eye out for us in your inbox, and please add email@example.com to your safe senders list so we don't get junked.