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Wednesday Papers: CVS jumbo bond attracts record $121bn in book orders

And Brussels and Paris to rebuff May’s Brexit hopes for City as Tusk rules out preserving single market access.

Wednesday Papers: CVS jumbo bond attracts record $121bn in book orders

Top stories

  • Financial Times: A bond offering from CVS Health attracted record investor demand, as order books rose to nearly $121 billion for the $40 billion issue, according to four sources with knowledge of the sale.
  • Financial Times: Theresa May’s plan to secure London’s place as Europe’s financial services capital after Brexit will suffer a serious setback on Wednesday when Brussels and Paris are to publicly rebuff her proposals to maintain the City’s access to the EU single market.
  • The Times: Melrose Industries is facing fierce pressure to reveal legally binding commitments to protect jobs and invest in research and development if it succeeds in its hostile takeover of GKN, the aerospace and automotive group.
  • The Daily Telegraph: Eurozone members have hit back at French plans for greater economic union in a strongly worded joint statement from finance ministers.
  • Financial Times: A secretive US national security committee has issued an unusual public warning against Broadcom’s proposed $142 billion hostile takeover of San Diego-based Qualcomm, saying that a deal might lead to China overtaking the US in critical 5G technology.
  • Financial Times: North Korea took its most significant step towards defusing its nuclear stand-off with the US on Tuesday, telling Seoul it was open to negotiations over ending its weapons programme and would suspend its contentious testing regime while talks were under way.
  • Financial Times: Investigators were trying on Tuesday to identify the mysterious substance that poisoned former Russian spy Sergei Skripal and his daughter Yulia as fears grew in government that they may have been the victims of a state-sponsored attack.

Business and economics

  • Daily Mail: British companies snapped up £76.6 billion of foreign businesses in a spending spree last year – the highest figure since the start of the millennium.
  • The Daily Telegraph: Trade deals agreed between the UK with non-EU nations are still not safeguarded ahead of Brexit, MPs warned in a report published today.
  • The Guardian: Donald Trump’s proposed tariffs on steel and aluminium imports are a “black day” for the world, according to the chief executive of BHP.
  • Financial Times: More than $420 billion could be wiped off the value of the world’s largest sovereign wealth fund in the next big market downturn, according to the first public estimate from Norway’s oil fund.
  • The Times: The seemingly unstoppable growth of Amazon has led to Jeff Bezos being named the richest man on the planet.
  • The Guardian: In the latest sign of retailers battening down the hatches Debenhams is considering renting space in its flagship London department store to a hot desking firm; the retailer is in talks to rent floor space to flexible-office provider WeWork, as it looks to scale back its high street presence.
  • Financial Times: Lego, the Danish toymaker, faces the biggest test to its business model since it neared financial collapse in 2004, posting the first fall in annual sales and profits in more than a decade.
  • The Times: An unexpected full-year loss, lower forecasts and news that it would spend an extra £50 million this year on expanding its delivery business had investors in Just Eat reaching for the indigestion pills yesterday.
  • The Times: The end of lucrative contracts in Argentina and deals there renegotiated on cheaper terms have proved a power drain on Aggreko.
  • The Times: Jaguar Land Rover, the biggest carmaker in Britain, has said it will not decide whether to build electric cars in the country until it has more information on trading conditions after Brexit.
  • Financial Times: Procter & Gamble, the consumer goods group and world’s biggest advertiser, said it would “take back control” of its marketing and move more of it in-house, saving $2 billion in spending with ad agencies.
  • Daily Mail: William Hill is putting its money on a sports betting boom in the United States after selling its Australian business at a loss.
  • Financial Times: Aston Martin is reviving the Lagonda brand as an all-electric rival to Rolls-Royce and Bentley, with an ambition of driving current owners of Tesla vehicles further upmarket.
  • The Daily Telegraph: Carlson Rezidor, the eleventh largest hotel company in the world and the major hotelier behind the Radisson brand, is set to splash €160 million (£143 million) on overhauling its hotel estate as part of a five year plan announced by the company.
  • The Daily Telegraph: Thomas Cook is set to launch a new £150 million fund to finance the expansion of its own brand hotels.
  • Financial Times: Telecom Italia shares surged on Tuesday after US activist shareholder Elliott Management pledged to shake up the board of the former state-owned company now controlled by Vivendi of France.
  • Financial Times: Roman Catholic nuns have pushed Wells Fargo to publish a report on what caused the scandals that have rocked the US bank after they raised concerns about its ethics with Tim Sloan, chief executive.
  • The Times: The administrator to Beaufort Securities, the failed City broker, has warned that it could take “many months” to return cash to investors.
  • The Times: BSG Resources Ltd, the mining company controlled by Beny Steinmetz, the Israeli diamond tycoon, was placed in administration yesterday amid an escalating legal dispute over allegations that it engaged in bribery linked with a mining project in west Africa.
  • The Guardian: Royal Bank of Scotland on Tuesday agreed to pay $500 million to settle charges of using deceptive practices while marketing and selling mortgage-backed securities before the 2008 financial crisis.
  • The Daily Telegraph: BlackBerry has filed a patent infringement lawsuit against Facebook and its WhatsApp and Instagram apps, arguing that they copied technology and features from BlackBerry Messenger.
  • The Guardian: The Advertising Standards Authority has taken action against four large secondary ticketing sites over the misleading presentation of pricing information on their websites.
  • The Daily Telegraph: Three and Vodafone are being investigated by the communications watchdog over whether they abused net neutrality rules put in place to protect the open internet.

Share tips, comment and bids

  • The Times (Tempus share tips): HOLD Regus; HOLD Intertek.
  • The Daily Telegraph (Questor share tips): TAKE PROFIT from MJ Gleeson; HOLD ITV; HOLD Sky; HOLD Provident Financial 7% 2020 bond.
  • Daily Mail: The future of the 169-year-old retailer House of Fraser looked increasingly uncertain last night as its Chinese owner Sanpower said it was likely to offload 51% of its 89% stake to a mystery Chinese leisure firm called Wuji Wenhua.
  • The Daily Telegraph: Packaging giant Smurfit Kappa has rejected an €8.6 billion (£7.7 billion) takeover approach by US rival International ­Paper as “fundamentally opportunistic”.
  • Financial Times (Comment): Donald Trump’s trade follies presage more protectionism.

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