The Times
Markets bounce back as U.S. growth is revised up: The world’s biggest economy is growing much faster than thought, according to new figures from the U.S. that soothed fears over the downturn in China and sent share prices higher after a turbulent few days.
Dalian Wanda flexes muscles as it picks up Ironman for $650 million: A leading Chinese cinema and shopping mall conglomerate has agreed to pay $650 million for the American company that owns the Ironman triathlon brand and races.
Manchester United stars make off-field pitch to regenerate city: A Singaporean company will back two former Manchester United footballers to redevelop a former police station in the centre of Manchester.
Amazon cuts jobs after its Fire phone fails to spark: The failure of the Amazon smartphone to set the world on fire has triggered an unprecedented round of job cuts at the company’s obscure Lab126 division.
Redundancies and cost savings put Lonmin in better shape, but challenges remain: The struggling platinum miner Lonmin said that 1,400 voluntary redundancies and cost savings had put it in better shape.
Petropavlovsk shines after Chief predicts stronger future for gold: Peter Hambro has claimed that “competitive devaluations” would spur the value of gold as his Russian mining venture posted a $26 million loss in the first half.
China’s still a jewel in crown, insists Tiffany: Tiffany & Co reaffirmed its confidence in China, one of its main growth markets, despite recent market turmoil there.
Pace of house price growth falls to slowest in two years: House prices have grown at their lowest annual pace since 2013, but Britain’s chronic supply problem may soon reverse the trend despite evidence that there could be a small pick-up in new home building.
First-time buyers take plunge to beat rate rise: The threat of rising interest rates has helped the number of first-time buyers to jump to its highest level since 2007, despite the increasingly hefty deposits needed.
The Independent
Barclays ‘Flash Boys’ case is thrown out: Barclays has been cleared of conspiring with the “flash boy” traders of Wall Street after a U.S. judge dismissed a case brought against it by several American investors, who claimed they lost money through its so-called dark pool.
Jack Wills cancels plans to float on the London Stock Exchange: Jack Wills, the preppy British fashion brand, became the latest retailer to pull plans for a stock market flotation as it announced that its Founder had returned to the helm.
Bob Diamond’s African bank Atlas Mara makes its maiden profit: Bob Diamond, the former Boss of Barclays, has taken another step in repairing his damaged corporate reputation as his African-focused bank Atlas Mara made a maiden profit.
Financial Times
Amec Foster Wheeler’s operating profits fall 24%: Amec Foster Wheeler on Thursday reported a sharp fall in profits in the first half of this year, in the latest sign that the fall in crude prices is hitting businesses that service the oil exploration and production industry.
Songwriters’ body sues SoundCloud over copyright: The U.K.’s largest copyright collective has commenced legal action against SoundCloud, marking a new threat to the future of the Berlin-based streaming service.
Oil groups’ shares jump on Kurdistan payment pledge: Shares in Iraqi Kurdistan-focused oil producers jumped on Thursday after the semi-autonomous region’s government said it would start making regular payments next month to the energy companies after stepping up crude sales.
Icahn reveals 8.5% stake in Freeport-McMoRan: Carl Icahn, the activist investor, has disclosed an 8.5% stake in mining and oil group Freeport-McMoRan, and said he wants to talk to the company about its capital spending and possible cuts in production.
Japan Post asks if freebies can give its IPO a first-class stamp: Preparations for the IPO of Japan Post — an estimated Y1.5tn ($12 billion) listing set to dwarf all others in the country’s history — remain deadlocked on a question of national interest: will there be gifts for the new army of shareholders?
Hastings gears up for £1 billion autumn float: Hastings is preparing for an autumn flotation that could value it at about £1 billion after the Goldman Sachs-backed motor insurer appeared to brush aside the sector’s competitive pressures to report upbeat half-year results.
Abbott denies $25 billion bid for St Jude: Abbott Laboratories, the U.S. pharmaceutical and healthcare company, has been preparing a takeover bid for St Jude Medical that was set to value the medical device maker at $25 billion, people familiar with the matter have said.
Bouygues bolsters profit outlook for telecoms division: French conglomerate Bouygues raised profit targets for its telecommunications unit as it said that group current operating profit for the first half rose 51% to €119 million.
Apple schedules annual iPhone debut for September 9: Apple has scheduled its annual iPhone debut for Wednesday September 9, a year to the day after 2014’s launch of its latest handset alongside Apple Pay and the Watch.
Tesco eyes $844 million dividend from Homeplus to cut sale price: Tesco plans to receive a Won1tn ($844 million) dividend from its Korean business as a way to cut the asking price for Homeplus in an unusual move that reflects the U.K. company’s eagerness to agree its Won7tn sale, people close to the situation said.
Lex:
Dish Networks/Sinclair: think local: Sinclair Broadcast Group, which runs local stations in the U.S., on Wednesday resolved a financial dispute with satellite TV distributor Dish Network. Dish will resume distributing 129 Sinclair stations across the country. There had been a blackout of one day as the two tangled over the terms of renewing their distribution agreement. Fighting with content providers is nothing new for Dish. Nearly half of recent content distribution disputes have involved the satellite company. Chief Executive Charlie Ergen has been outspoken about restraining the rising cost of acquiring programming. But the disputes have usually centred on cable networks such as MTV. The fight with Sinclair is about free over-the-air television from the likes of ABC, CBS, Fox, and NBC that local networks broadcast. A 1992 law governs retransmission consent, the fees local networks can charge cable and satellite providers. But the retrans bonanza has attracted the attention the Federal Communications Commission, the U.S. telecoms regulator. Its Chairman Tom Wheeler, who has become more pro-consumer, has called for the FCC to review the system in September. The risk is that the escalating cost of pay-TV packages could lead to stricter regulation of retrans agreements.
Ironman: Wanda why?: Wang Jianlin, one of China’s richest men, has just paid $650 million (via his Wanda group) for World Triathlon Corporation, the company that runs Ironman. It is just the latest in a line of sporting trophies for Mr Wang — he also owns one-fifth of Atletico Madrid and Infront Sports & Media, a sports marketing group. Assume that it generated race fees of $100 million and perhaps twice that in sponsorships (watches, mattresses, perfume — you name it). The price Wanda paid is still more than two times those revenues. There are no listed triathlon organisers but Live Nation, a U.S.-based events company, trades at less than one times revenues. So Mr Wang must have big plans for Ironman. The aim is to expand the sport in China, from 100 amateur Chinese triathletes to 200,000 by 2025. Infront Sport and a reality TV show will promote it all. State incentives to raise China’s sport revenues from $10 billion to $780 billion by 2025 will help. Mr Wang knows how to take advantage of Chinese growth — he has also invested in shopping malls, theme parks and hotels often in line with state priorities.
Atlas Mara: Diamond in the rough: All help to explain why shares in Atlas Mara, the African banking vehicle co-founded by former Barclays Chief Executive Bob Diamond, have almost halved since its listing in 2013. The last two, company-specific, reasons look more persuasive. Shares in Ecobank, another pan-African banking play, have risen by 28% in the same period. A deal to bulk up in Rwanda through the acquisition of a stake in Banque Populaire du Rwanda is likely to be concluded soon. But Atlas Mara also needs to address its position in Nigeria, where it has only a 30% stake in Union Bank, not enough to give it control. Operationally, there is also work to do. Atlas Mara’s first-half results on Thursday showed that it is making the right moves — pushing funding costs down, growing the loan book and improving the recovery of non-performing loans. But its cost base is a problem — a cost-to-income ratio of 95% (or 80% before one-offs) is far too high. So Atlas Mara needs to increase income or cut high central costs hard.
Lombard:
Trolley lolly: Financial engineering is the dark art that dare not speak its name. Tesco must have a black belt in it, judging from a story emanating from Korea. The beleaguered supermarket chain will reportedly take a $844 million dividend from local subsidiary Homeplus, which it is selling by auction. But it seems Tesco has found a way to pocket almost $1 billion, while making Homeplus correspondingly more affordable for a purchaser. In Doctor Who this is known as “reversing the polarity of the space/time continuum”. Tesco would be flipping the process through which it made £263 million in profits disappear, triggering a probe by the Serious Fraud Office. A prosaic tax wheeze seems more likely. These explain many deal oddities, including a plan from Shire, the Irish orphan drugs business, to mount share buybacks following a proposed $30 billion takeover of U.S. rival Baxalta. That is a way of injecting cash into the deal without lumbering erstwhile parent group Baxter with a huge tax bill.
Train to nowhere: Labour leadership hopeful Jeremy Corbyn has proposed women-only train carriages. If the idea flies, the authorities should consider segregated carriages for another group who find public transport irksome, albeit free from the very real problem of sexual harassment: older City gents. We’ve all seen them. Some of us are them. Some doggedly strap hang, their arms feeling twinges of arthritis, on the Central or Northern lines into Bank. Others fight for space to read a print newspaper (incredibly, these still exist) against manspreading sodcasters on the 7.30am into Cannon Street. These splendid old pterodactyls could travel much more comfortably in a carriage adapted to their needs. The upholstery would be deep-buttoned leather. A library of books on topics such as sport and military history would be available. The bar of a country pub would pop up on return journeys to the suburbs.
The Daily Telegraph
Global share rout takes shine off soaring confidence in August: U.K. consumer confidence climbed to its joint highest level in 15 years in August, as rising house prices, a brighter jobs market and low inflation underscored Britain’s recovery.
Central banks ride to the rescue as China intervenes to buy up stocks: Global markets have all surged as the world’s major central banks reassured nervous investors they would continue to prop up the global economy with further easing measures.
U.S. approves $3 billion deal to upgrade Britain’s Apache attack helicopter fleet: The U.S. government has approved a massive deal to modernise Britain’s fleet of Apache attack helicopters with the latest American technology, removing a major hurdle that could have otherwise seen the aircraft upgraded in the U.K.
Ukraine debt crisis: Russia refuses to accept terms as Kiev finally secures debt write-off deal with creditors: Russia has refused to accept the terms of a private sector debt write-down agreed between Ukraine and its creditors after months of international wrangling.
EMU crisis has let ‘evil genie’ of euro exit out of the bottle, says policymaker: Europe needs to put the “evil genie” of a Eurozone exit back in its bottle to retain popular support for monetary union, according to one of the euro’s top policymakers.
Aldermore profits double after float: Challenger bank Aldermore more than doubled its profits in the first half of the year as it attracted more mortgage and small business customers through its doors.
Property speculators cash in Jaguar Land Rover’s Slovakian plans: Jaguar Land Rover’s hopes of building a new car plant in Slovakia could deliver huge profits to property speculators in the country who went on a buying spree after news of the car maker’s plans was leaked.
Facebook sets user record as more than 1 billion people log on in single day: Facebook has revealed that more than 1 billion people used the site on Monday – the first time the social network has hit the milestone.
The Questor Column:
Buy BAE Systems for value and dividend yield: BAE Systems missed out on a $6.8 billion contract to build 17,000 vehicles for the U.S. Army and Marines earlier this week, contributing to a dip in the defence group’s share price. American truck maker Oshkosh won the deal to replace ageing Humvees, and while it was a disappointment for BAE, it wasn’t the end of the world – in total 55,000 vehicles will be replaced. BAE is a tier 1 partner in the F-35 Joint Strike Fighter programme, building about 15% of each aircraft in what is the world’s biggest defence project with a $1.5 trillion lifetime value. While the jet itself is troubled – overweight, underpowered and unable to dogfight, critics claim – others say the sheer size of the project has generated such interest that flaws normal in developing a new aircraft have been blown out of proportion. The company is a partner in the Eurofighter Typhoon fighter programme, and needs to secure new export orders to keep production lines running. With an order backlog of £37.2 billion at the half-year, BAE is not going to run out of work soon, and although defence budgets have been under pressure for several years, the world is not getting any safer. Although the Typhoon programme poses a risk, Questor thinks the low valuation put on the shares means they rate a buy, maintaining the previous recommendation in September. Add in the fact they are down 20% on six months ago, the current depressed price presents a buying opportunity. BAE Systems at 446.1p +9.3p. Questor says “Buy.”
The Guardian
Stock markets surge for second day running after Black Monday losses: Global stockmarkets surged for a second day , recovering most of the losses they suffered in Monday’s crash after the Chinese authorities bought shares to prop up prices and figures showed U.S. growth surging ahead.
Google attacks Brussels antitrust case in 100-page response: Google has described the European commission’s antitrust case against its search engine business as “wrong as a matter of fact, law and economics” in a lengthy counter submitted to the regulator.
Total sells $900 million of its U.K. gas assets: Total, one of the biggest energy firms operating in the North Sea, has sold off $900 million (£585 million) of U.K. gas interests to cut costs, amid the continuing collapse of oil prices.
Slashing household solar subsides will kill off industry, government told: The government wants to slash by 87% subsidies for householders who install solar panels on their rooftops, in a move that renewable energy experts warn could kill off a promising industry.
U.K. services sector bounces back after weak start to 2015, CBI data shows: The best performance in 17 years from companies in areas such as accountancy, law and marketing have helped Britain’s dominant services sector bounce back after a weak start to the year, according to the CBI.
Daily Mail
Boss of Aldermore becomes latest senior Executive to criticise Chancellor’s decision to impose new tax on banks: The Boss of Aldermore has become the latest senior Executive to criticise the Chancellor’s decision to impose a new tax on banks.
Merger mania back on minds of investors after building materials group CRH snaps up American glazing firm for £843 million: Merger mania was back on the minds of investors after building materials group CRH snapped up an American glazing firm for £843 million.
Former Tesco Boss Philip Clarke summoned for interview by SFO as it steps up criminal probe into accounting scandal at grocer: Former Tesco Boss Philip Clarke has been summoned for an interview by the Serious Fraud Office (SFO) as it steps up its criminal probe into an accounting scandal at Britain’s biggest grocer.
Daily Express
FTSE 100 jumps into the green after Wall Street boom despite ongoing China fears: London’s premier share index has had its best day of trading since 2011, but experts warned of more wild volatility ahead amid ongoing fears over China.
The Scottish Herald
Pernod reports China pick-up: Pernod Ricard has served up an improved trading performance in China as the spirits giant lifted organic sales by two% in its latest financial year.
Aberdeen oil services business expands in U.S.A: Aberdeen-based oil services business OEG Offshore has ramped up its presence in the key Gulf of Mexico market following a multi-million dollar deal with a U.S. firm.
Kilpatrick is eleventh North British Distillery Boss: Edinburgh’s North British Distillery has appointed Alan Kilpatrick as managing Director, writes Scott Wright.
Hays sees surge in Scottish fee income: Hays, the recruitment firm, has reported a 10% rise in fee income in Scotland in its latest financial year.
First Milk to cut prices again: The board of First Milk, the farmer-owned co-operative, decided at its meeting this week to cut the A price it pays for milk from September 1 by 0.3p per litre (ppl) for the four manufacturing pools, and by 0.2ppl for the three balancing pools.
New office development for capital’s Exchange: Hermes Investment Management is to embark on Capital Square, a new office development in Edinburgh’s Exchange financial district which it believes will attract major employers.
The Scotsman
Total shrinks Scots footprint with St Fergus sale: French energy giant Total has vowed to remain “a major player” in the North Sea industry, despite selling the St Fergus gas terminal in Aberdeenshire as part of a £585 million deal.
Scotgold aims to keep the lights on via fundraising: Precious metals miner Scotgold Resources is to tap shareholders in a bid to raise almost A$1.5 million (£700,000) to provide working capital as it develops plans for its Cononish project.
Odeon profits more than double: Blockbusters including Avengers: Age of Ultron, Fast & Furious 7 and Jurassic World helped Odeon & UCI Cinemas Group more than double its underlying earnings at the half-year stage.
Scotch whisky sales drive profits at Pernod Ricard: Chivas Brothers Owner Pernod Ricard revealed a robust sales performance by The Glenlivet and other whiskies helped annual profits rise 9% despite a “challenging and volatile” trading environment.
City A.M.
GVC down but not out in duel for Bwin.party: 888’S Lead position in the battle for online gaming giant Bwin.party was thrown into doubt when the takeover target asked rival bidder GVC to finalise its best offer.
Revenue and earnings fall at STV Group: Scottish media group STV posted a slump in first-half revenues and earnings, blaming the drop on seasonal fluctuations and start-up losses at its Glaswegian TV offering.
BHF Kleinwort Benson ignores Fosun with swing back to profit: Wealth Manager BHF Kleinwort Benson failed to address a potential takeover by Chinese group Fosun, as it revealed a turnaround in profits for the half year.
John Laing ups asset value as profit slumps: John Laing made a solid start to life as a listed company, revealing a 6.6% increase in net asset value.
Allied Minds doubles research spend as spin-offs take shape: Innovation group Allied Minds said it doubled spending on research and development in the half-year period, as it unveiled “significant advancements” in its cluster of spin-out companies.
