Uber to file a confidential IPO – sources

According to several media sources, the ride-hailing company Uber has filed a confidential IPO during last week. Its filing would be one of the biggest technology listings ever and would also test the market apetite during very volatile times.

Uber’s valuation in its most recent deals has been 76 billion dollars, and it could be worth 120 billion dollars in a listing IPO.

Uber´s lost in the third quarter was 1.07 billion dollars and the company is struggling with slowing growth.

According to New York Times, Uber´s rival Lyft would have also filed to the SEC during last week, but it is offering. The companies do not comment the situation.

Morgan Stanley and Goldman Sachs are Uber´s advisors in the IPO.  JPMorgan Chase is the advisor for Lyft.

Business Finance

Stocks down in Wall Street – crude oil up

Stocks continued their downward trend in Wall Street on Friday. The S&P 500 -index ended down by 2,33% and Dow Jones -index 2,24 % . The tech-intensive Nasdaq ended down 3,05%. Concerns over the global trade, oil prises and slower growth in US jobs in November were the topics.

The crude oil surged nearly 6 % as the Opec agreed more than expected production cuts. The Opec members agreed to cut the production by 1,2 million barrels a day.

This week for the stocks markets have been very volatile and the uncertainty over the Brexit vote in the British Parliament on the 11th December, global trade talks between the US-China and the moneraty policies in different continents have been the major news affecting the market sentiment.

According to Bloomberg News, the investment bank JP Morgan estimates that the US stocks can surge 17 % next year. The bank says the estimate is based on the fact that hedge funds hold fewer stocks than normal and returning to average holding would mean 500 billion dollars into US equities.

In Europe, the stock markets ended mixed. In London, the FTSE 100 -index was up 1,10 % to 6778, in Frankfurt the stocks declined sligthly by 0,21 % to 10788 and in Paris the CAC 40-index ended up by 0,68 % to 4813.

In Asia the stocks were also mixed. In Tokio, Japan, the stocks ended up 0,82 % to 21 687 points, but in Hong Kong the Hang Seng index ended down 0,35 % to 26063.

During one month period only the Hong Kong and Shanghai stock exchanges have been on positive trend. The other markets are in red ranging from the New York Nasdaq – 7,95 % to Tokio Nikkei -2,45%.

The euro was up 0,04 % to 1,13 US-dollars, but the UK sterling was down by 0,43 % to 1,272 US-dollars.

 

Business Finance

LVMH: Carbon Fund achieved its targets 2018

The LVMH (LVMH, Paris) Carbon Fund has achieved its objective for 2018, raising 11.3 million euros in financing for 112 projects designed to control and reduce the Group’s greenhouse gas emissions, the company said in the statement.

This result is that LVMH doubled the price per metric ton of CO2 generated from 15 to 30 euros in 2018.  By mechanically increasing the carbon contributions of each Maison, LVMH signals its intent to accelerate initiatives to reduce CO2 emissions.

-The success of our Carbon Fund once again underlines the major and decisive commitment of LVMH management and all our teams to help protect the environment and fight climate change.  The LIFE environmental program is a top priority for all our employees. We thank them for their engagement and we continue to count on them to help us achieve all our environmental targets for 2020,” said Antonio Belloni, LVMH Group Managing Director.

The 112 projects deployed in 2018 have eliminated nearly 2,500 CO2 equivalent metric tons of emissions annually. This is equivalent to the annual emissions of 1,600 European households.

Created in 2016, the LVMH Carbon Fund is a pillar in the Group’s environmental policy, which has announced a 25% reduction in CO2emissions by 2020 as one of its main objectives.  This aligns the Group with the 2°C climate target  agreed in the COP21 climate conference in Paris.

The annual contribution of each LVMH Maison is calculated by multiplying the greenhouse gas emissions from its activities by the carbon price set by the Group. The amount must then be invested the following year in eligible projects designed to reduce these emissions.

The investments were in all the Group´s locations: 29% in France, 34% in Europe (excluding France), 15% in Asia, 6% in Japan and 16% in the United States.

The projects included for example:

  • 80% of the projects concern energy efficiency: LED relamping, building insulation, upgrading to install more efficient air-conditioning and heating systems, energy consumption monitoring systems;
  • 13% of the projects enable production of renewable energy;
  • 6% of the projects concern other areas (purchasing of electric tractors, for example);

28 Maisons are actively engaged in this program: Acqua di Parma, Belvedere, Benefit, Berluti, Bulgari, Celine, Chandon India, Christian Dior Couture, DFS, Fendi, Fred, Fresh, Givenchy, Glenmorangie, Guerlain, Hennessy, Hublot, Le Bon Marché, Loewe, Loro Piana, Louis Vuitton, LVMH Fragrance Brand, MHCS, Parfums Christian Dior, Royal Van Lent, Sephora, TAG Heuer and Zenith.

Business Lifestyle

Stock markets down again – trade talks, oil

Stock markets were down again in Asia, Europe and Wall Street on Thursday. One of the biggest threats was the tiggering question of the US China trade talks after the Chinese telecom group Huawei news. The company confirmed that its CFO has been arrested related to the Iran sanctions.

S&P 500 -index ended down 0,15 % to 2695 points and Dow Jones was down by 0,32 % to 24947 points. The tech-lead Nasdaq was able to turn to positive at the end of the day trading and was up 0,42 % to 7188 points.

In Europe the sell side was dominant and the main indexes ended over 3 % down. In Paris the CAC 40 -index ended down 3,32 % to 4780 points, in Frankfurt the DAX-index ended down 3,48 % to 10810 points and FTSE 100 -index in London  down 3,15 % to 6704 points.

In Asia the Hang Seng index ended down  2,47 % to 26 156 points. In th commodities side, gold was up 0,10 cents to 1237 US-dollars an ounce.

Oil talks have been going on in Vienna and the next meeting in expected to be on Friday. The Brent Crude Oil was down 2,13 % to 60,25 dollars. The OPEC proposal of the cut of 1 million barrels a day was not finalised.

 

 

Business Finance

Wall Street down – trade talks and yield in focus

Wall Street fell sharply onTuesday due to the new concers over the US China trade talks and the Treasury yield curve.

According to markets, the Treasury 10-year yield curve, which indicates the coming recession, was one of the market concerns and the 10-yield hit its lowest value since September. The demand for longer-dated Treasuries rose.

Also President Donald Trump said on Tuesday that if the countries cannot solve the trade issues and differences, he is a “tariff man”.

Dow Jones fell 2,66 % and was 25 138 points. S&P 500 index fell 2,17 % to 2729 points and Nasdaq dropped 3,21 % and ended at 7202.

In Europe the decline was modest. In London the FTSE100  fell 0,56 % to 7022 points and German Dax-index 1,14 % to 11 335. In Paris the CAC40 -index ended down 0,82 % and was 5012. In Asia the stock markets were mixed and for example in Hong Kong the stocks rose 0,29 % , but in Tokyo the markets fell 2,39 %.

The UK Parliament was having Brexit discussions and the Parliament voted about the legal advice related to the topic. The outcome was that the Goverment will have to publish the full disclosure of the Brexit legal advice.

Euro and sterling ended slightly down and euro was 1,1341 dollars and sterling 1,2716 dollars.

The US stock and bond markets will be closed on Wednesday.

Business Finance

Global markets up on Monday -busy week ahead

The stock markets ended up on the Monday trading in Asia, Europe and Wall Street. According to the markets, one of the biggest reasons for the positive trend was the agreed US China tradewar situation with the new 90 days negotiations timetable.

Dow Jones -index was up 1,13 % to 25 826, S&P 500 index was up 1,09 % to 2790 points and Nasdaq 1,51 % to 7441 points.  In Paris CAC 40-index increased 1 % 5053 points and in Frankufrt the Dax-index ended up 1,85 % to 11 465 points. In London the FTSE all shares index was up 1,04 % to 3863 points.

In Asia the Shanghai index was up 2,57 % to 2654 points and HangSeng in Hong Kong + 2,55 % to 27 182 points.

There are major happenings during this week. For example in London, the Parliament is having debate about the Brexit deal before the vote on next Monday the 11th. On Wednesday there will be the US national day of late President George H. W Bush.

Federal Reserve´s  Vice Chairman Richard Clarida said in the Bloomberg interview on Monday that the US economy is in good shape and that the outlook is solid.

Business Finance

Green Principles for the China Silk Road

China has set new green principles for the China Belt and Road Initiative (BRI).  The leading organizations The Green Finance Committee of China Society for Finance and Banking together with the City of London Green Finance Initiative have jointly co-operated in the project.

The aim of the principles is clear: to foster environmental issues and sustainability in the area and to foster environmental, social and governance risk factors into decision-making processes and conduct due diligence and develop risk mitigation and management plans with the help of independent third-party service providers.

The organizations will also disclose environmental information and greenhouse gas emissions (GHG), water use and deforestration. One of the reporting models will be the Task Force on Climate-Related Financial Disclosure.

The companies are also encouraged to have more communications with different stakeholders and use modern, green finance instruments like green bonds and green asset backed securities in financing the green projects.

According to the principles, the companies will also adopt green supply chain management and integrate ESG factors into the supply chain. The principles are voluntary, but the signatories are expected to adopt and apply these in their investments and operations in the area.

The ancient Silk Road is the of the major infrastructure projects in Asia, which is promoted by the Chinese Goverment.

Business Finance