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Thursday Papers: Zuckerberg clash over Facebook India

And Yellen hinted further rate rises on hold amid plunging markets but refused to rule out return to modest increases.

Thursday Papers: Zuckerberg clash over Facebook India

Top stories

  • Financial Times: Mark Zuckerberg has clashed with Marc Andreessen, a longstanding Facebook investor and board member, over what the social network’s founder called “deeply upsetting” remarks about India’s colonial history by the venture capitalist.
  • The Guardian: The chair of the Federal Reserve has dropped the broadest of hints that it has put future US interest rate increases on hold following the plunge in global stock markets since the start of the year.
  • Financial Times: European banking shares rebounded on Wednesday after days of heavy selling, with the likes of Deutsche Bank and UniCredit posting sharp gains.
  • Financial Times: Asahi, the Japanese brewer, has made a binding €2.55 billion offer to buy beer brands including Peroni and Grolsch from Anheuser-Busch InBev, highlighting Japan’s aggressive search to find growth outside its home market.
  • The Guardian: Bank of England policies to help Britain’s economic recovery have made inequality worse and increased the wealth gap between young and old, according to a leading credit ratings agency.
  • The Daily Telegraph: Trade duties on Chinese steel flooding into the UK are unlikely to be raised to a level where they stem the flood of imports that has brought Britain’s steel industry to its knees, the UK's business secretary has said.

Business and economics

  • The Independent: Volkswagen and Daimler are recalling 1.5 million vehicles in the US due to potentially faulty air bags made by the Japanese company Takata Group.
  • Daily Mail: The oil sector may be in the doldrums – but BP can see light at the end of the tunnel and has predicted that the oil price could even return to $100 a barrel again.
  • The Independent: The fashion giant Gap is the latest US household name to face major questions over its use of complex financial engineering that minimises its tax bill in Britain.
  • Daily Mail: Britain’s biggest bank HSBC is being sued by the families of several US citizens who were murdered by Mexico’s most notorious drugs cartels.
  • Financial Times: Chinese companies and residents sent more than $110 billion out of the country in January alone, according to new estimates, as they continued to evade tightening capital controls amid another round of market turmoil.
  • Financial Times: The London insurance market, estimated to be worth £30 billion a year, will be damaged if Britain votes to leave the EU, according to Lloyd’s of London.
  • Daily Mail: French luxury handbagmaker Hermès reported solid growth last year but warned that luxury shoppers may be about to tighten their belts.
  • Financial Times: AP Møller-Maersk warned that it was facing conditions significantly worse than the financial crisis after it plunged to a large net loss as global trade growth ground to a halt last year.
  • The Guardian: Britain’s leading employers’ organisation, the Confederation of British Industry, has warned that the growth prospects for the UK economy have dimmed since George Osborne’s autumn statement three months ago.
  • The Independent: Lord Beaverbrook, the heir of his family’s famous newspaper empire, will join healthcare group Thorn Medical as chairman ahead of a planned £350 million flotation later this year.
  • Financial Times: The most powerful figure in Russia’s oil industry on Wednesday signalled his steadfast opposition to combining with Opec to reverse the crude price rout through co-ordinated cuts in production.
  • Financial Times: French wine and spirits exporters toasted a record value of overseas sales last year — thanks to a weaker euro, as well as booming demand for champagne and cognac.
  • Financial Times: French utility EDF is facing a €100 billion bill for upgrading its ageing nuclear power stations at the same time as a new law could force it to close a third of its reactors, according to the country’s state audit office.
  • Financial Times: Carlsberg made more profit last year in Asia than in eastern Europe for the first time as the Danish brewer seeks to put the misery of the past five years in Russia behind it.
  • Financial Times: Masayoshi Son, chief executive of Japanese telecoms group SoftBank, is confident that he can turn round Sprint in less than two years amid growing investor concerns that his $22 billion bet was faltering.
  • The Daily Telegraph: Growing demand for cars in Europe and the US offset weakness in emerging markets, helping Nissan report a surge in profits.
  • Daily Mail: John Lewis customers hunting for cheaper products boost Dunelm as sales rose by 10%.
  • Daily Mail: Shares in Hornby more than halved today after the model railways and Scalextrix maker warned of mounting losses after a 'disappointing' start to the new year, and said it was in talks with its lenders.
  • Daily Mail: Cambridge-based chip designer firm ARM Holdings enjoyed a 31% rise in pretax profits last year, but its shares still dropped around 5% today amid worries about the global outlook.
  • The Guardian: Exploration company Tullow Oil has promised to its cut costs further after posting a $1 billion (£690 million) pre-tax loss, blaming rock-bottom oil prices.
  • Financial Times: Investors pummeled Time Warner shares, as the owner of CNN and HBO reported it had lost subscribers at some of its cable channels, adding to concerns that media companies remain susceptible to “cord-cutting” by viewers who are trading pricey pay-television bundles for online services including Netflix.
  • Financial Times: Worldpay, the fast-growing UK payments processing company, is launching into Canada through a partnership with a local bank, as it accelerates its global expansion plans.
  • Financial Times: Heineken is forecasting volatility in emerging markets and falling prices this year but said it would still manage to increase sales and profitability as it reported a 25% increase in 2015 profits.
  • Financial Times: Serco, the British outsourcing company, has entered the race for a £1 billion contract to run offshore immigration detention centres for the Australian government.
  • The Daily Telegraph: Historic property group Grosvenor has made its first commitment to invest in sub-Saharan Africa, agreeing a deal to tie up with RMB Westport, an Africa-focused real estate firm.

Share tips, comment and bids

  • Financial Times: Germany’s biggest-ever real estate deal collapsed on Wednesday, after Vonovia admitted it had failed to secure shareholder support for its hostile bid for Deutsche Wohnen.
  • Financial Times: Hikma moved to calm investors’ nerves after its shares fell 15 per cent in response to news that a deal to buy US generic drug assets from Boehringer Ingelheim has been renegotiated because of lower than expected sales.
  • Financial Times: French investment bank Natixis has agreed to buy a majority stake in advisory boutique Peter J Solomon in a bid to find growth outside Europe and tap into the booming US mergers and acquisitions market.
  • Financial Times: China’s increasingly active private equity sector has swooped on Norway, joining hands with a pair of trade buyers to offer $1.2 billion for web browser designer Opera Software.
  • The Guardian: Investment banks Goldman Sachs and JP Morgan could be left with large stakes in Italian oil services company Saipem following the completion of a €3.5 billion (£2.7 billion) share issue.
  • The Guardian: Johnston Press is in advanced talks to buy the i, the cut-price national newspaper owned by Evgeny Lebedev, in a move which multiple sources say will spell the end of the Independent and Independent on Sunday.
  • Daily Mail: The studios have been home to the blockbuster stars of James Bond and Star Wars, but now Pinewood's owner could be sold as the group looks to 'maximise value' for investors.
  • The Daily Telegraph: Discount UK banking shares come with plenty of risk.
  • Financial Times (Lex): Hikma: an unsettling revision to an agreed deal.
  • Financial Times (Lex): Maersk: Danish shipping conglomerate’s results last year were hardly acceptable.
  • Financial Times (Lex): US media: Viacom’s problems are both commercial and governance related.
  • Financial Times (Lex): Defensive stocks: the stalwarts of the last crisis look less appealing now.
  • Financial Times (Lex): Tesla: cash burn, and a new mass-market car, are the keys.
  • Financial Times (Lex): Asahi Group: Japanese brewer’s bid for Grolsch and Peroni is an expensive route to growth.

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