The Times
PRICE OF BURBERRY RISES TO FOUR BILLION POUNDS
After a successful catwalk show at London Fashion Week, the
fortunes of the fashion group Burberry rose even higher
as rumours started to circulate that a US private equity firm
was considering a bid for the clothier. The speculation drove
shares in the company up by five percent to finish at the
all-time high of ten pounds and two pence at the end of Friday's
trading; this values Burberry at 4.36 billion pounds.
HSBC'S NEW TOP BRASS TAKE A PAY CUT FOR THE PRIVILEGE.
The new chairman and chief executive of HSBC ,
Douglas Flint and Stuart Gulliver, will both have their pay
reduced when they take on their new roles in March 2011. Flint,
currently still working as the bank's finance director, was paid
3.2 million pounds in 2009 but will earn 1.5 million pounds as
chairman. Gulliver was paid 9.8 million pounds last year but
will have this reduced to a basic salary of 1.25 million pounds,
plus an allowance of 625,000 pounds to fund his personal pension
arrangements.
UNILEVER PLAYS STONE AGE MASTERCHEF AS FOOD GOES BACK.
The consumer goods groups Unilever has appointed a
team of experts from the world of science and academia to
collaborate with its R&D team in producing a study on the
dietary habits of Palaeolithic-era humans. The aim of the
research is to discover how the different characteristics of the
pre-agricultural diet could improve health. Unilever predicted
that a new range of foods and drinks could be produced as a
result of the study.
The Daily Telegraph
TAXMAN INQUIRY TARGETS HIGH-ROLLING BETFAIR CLIENTS
Online gambling firm Betfair's high-rolling clients are
being targeted by UK tax authority HM Revenue & Customs. HMRC is
examining whether licensed bookmakers are using the exchange to
"lay off" bets to balance their books. A spokesman for Betfair
said: "To avoid any potential confusion, licensed bookmakers
should ensure proper segregation between their professional and
personal use of Betfair - with separate Betfair accounts funded
by different bank accounts." Betfair is planning to float on the
stock exchange with a value exceeding one billion pounds. Rival
bookmaker William Hill's chief executive Ralph Topping
said he hopes the flotation will "force them to be more open
about who is laying bets on their website".
WEB SALES GROWTH 'SET TO DECREASE AFTER 2014'
A report by retail research group Verdict has predicted
online retail sales will grow by more than 56 percent in the UK
by 2014 before slowing radically. Annual growth averaged at 35
percent over the previous decade but the report forecasts the
figure to decline to 12 percent between 2009 and 2014 as the
channel matures and competition increases. Sarah Peters, senior
retail analyst at Verdict, said: "Retailers have had it
relatively easy with online over the past decade because of the
channel's rapid growth and lack of competition. But, just as in
overall retail, the next five years will be much more
challenging."
ARM JUMPS ON ORACLE TALK
Shares in IT group ARM Holdings were the FTSE 100's
biggest riser after takeover speculation was fuelled once again
following comments by sector peer Oracle's chief executive.
Larry Ellison told the company's annual meeting: "You're going
to see us buy chip companies" adding that ARM could be a good
fit. The remark saw shares in ARM, whose technology underpins
the Apple iPhone, rise by six percent. However, analysts poured
scorn on the speculation by pointing out that ARM is not a
chipmaker, with Jefferies International analyst Andrej Krneta
dismissing the takeover talk as "pretty much ludicrous".
EU BACKS ASTRA'S NEW BLOOD DRUG
Healthcare authority the European Medicines Agency's
Committee for Medicinal Products for Human Use has recommended
approval for AstraZeneca's blood-thinner Brilinta. The
approval of the drug, which will be sold under the name Brilique
in Europe, had been widely expected by doctors and investors,
with the regulator's recommendations usually endorsed by the
European Commission within a few months. American regulator the
US Food and Drug Administration delayed its decision on the drug
until mid-December as it needed more time to study the
application. Brilique is expected to generate revenues of up to
1.95 billion dollars by 2014 and will help to counter the
expiring patents of some of Astra's top-selling medicines.
The Independent
ROCKHOPPER DOUBLES OUTPUT FORECASTS OF FALKLANDS WELL
Further exploration of the oilfields around an oil well off
the Falkland Islands has resulted in a doubling of Rockhopper
Exploration's production forecasts. The oil and gas
exploration company estimated that the Sea Lion One well could
produce a maximum of 2,000 barrels a day when oil was first
discovered in May, but has revised its forecasts, saying that
the potential flow of oil had been limited by constraints in the
original tests.
INTEC AGREES TO 237 MILLION POUND OFFER FROM CSG.
The billing services provider Intec Telecom Systems
has agreed a 236.7 million pound takeover bid from its US
contemporary CSG Systems. However, the share price of Intec rose
30 percent above CSG's 72 pence-per-share offer, as rumours
surfaced of a counter-bid for the British company. CSG stated
that the merger would create "a leading provider of business
support systems solutions serving the worldwide communications
industry".
The Guardian
UK'S DANA PETROLEUM FALLS TO SOUTH KOREAN GROUP
Oil company Dana Petroleum has reluctantly accepted
a near-two billion pound hostile takeover bid from Korean
National Oil Corporation after the state-owned energy group
received acceptances from shareholders owning 64 percent of the
company. Dana's board initially rejected a hostile offer in the
summer, arguing the bid undervalued the company, but has had to
accept its days of independence were over despite maintaining
its strong belief that the company had a "bright future" as a
stand-alone North Sea exploration and development business.
KNOC's acquisition is believed to be the first time an Asian
state-owned energy group has engineered a hostile takeover.
