Jennifer Hughes
ReutersBreakingviews
Contact Jennifer
Discover and connect with journalists and influencers around the world, save time on email research, monitor the news, and more.
| Recent: |
|
| Past: |
|
Past articles by Jennifer:
Japan bank agitator set to prove a sad point – Breakingviews
UK hedge fund Silchester wants $3 bln Bank of Kyoto and three peers to pay higher dividends using income from absurdly outsized equity stakes. It would sensibly deploy cash and put a spotlight on weak lending activities. Alas, being right in Japan is less than half the battle. → Read More
India’s IPO hubris takes a deserved beating – Breakingviews
New Delhi has had to slash the price of state-owned insurer LIC by some two-thirds after pushback from potential shareholders. That leaves the company valued at a big discount to rivals and is a blow to the government’s pride plus its coffers. But it’s a welcome dose of realism. → Read More
HSBC delegates shareholder value quest to the Fed – Breakingviews
The Asia-focused lender’s first-quarter pre-tax profit slid 27%. Pandemic curbs in Hong Kong and China aren’t helping. The bank still reckons it will hit next year’s returns target, but that’s less about its actions and far more about the U.S. central bank and peers raising rates. → Read More
Hong Kong may have a buyer if it wants to dump LME – Breakingviews
The London Metal Exchange’s nickel-trading goofs have upset customers and damaged its good name. Owner HKEX’s vision to link western and eastern markets already faced challenges. At the right price, U.S. rival ICE might get another shot at the prize it missed out on in 2012. → Read More
SoftBank Alibaba problem is worth more than an Arm – Breakingviews
Weak earnings from the Japanese conglomerate were eclipsed by its failed sale of the chip designer. Floating it instead could yet work well, but it won’t ease boss Masayoshi Son’s bigger issue: his stake in the Chinese e-commerce titan, which is worth as much as his entire firm. → Read More
Nomura’s better numbers still need a new narrative – Breakingviews
The Japanese bank posted quarterly net profit of $525 mln, helped by the absence of hefty provisions for the first time since March. Boss Kentaro Okuda has been pushing into private markets and steadier earnings streams. But weak shares suggest he has work still to do. → Read More
Elliott flub hurts Hong Kong investor activism too
The pushy shareholder has thrown in the towel on its seven-year battle with Bank of East Asia. It looks like a costly defeat for Paul Singer’s firm. That an industry titan failed to break through family ties so prevalent in the city shows the hazards for similar campaigns. → Read More
Toshiba split edges it slowly down the right path – Breakingviews
The $19 bln conglomerate plans to break into three, days after fellow former titan GE did the same. For Japan Inc, it’s revolutionary. More focused units should attract better managers and valuations. But the two-year timetable seems designed to discourage more vocal investors. → Read More
Richard Li’s FWD could use an IPO insurance policy – Breakingviews
The Asian indemnifier added China risk factors to its U.S. prospectus even though it doesn’t operate there. It feels like a last-ditch attempt to secure SEC approval before any buzz dies down. The Hong Kong bourse, which probably should have been Plan A, makes a suitable Plan B. → Read More
Temasek’s mixed loyalties muddy poor $2.5 bln deal – Breakingviews
A group ultimately controlled by the state fund has floated a cash offer for Singapore Press, edging past a complex bid by conglomerate Keppel, of which Temasek also owns 21%. Topping a soft offer is fine but meddling in its holding’s M&A raises questions about the end goal. → Read More
Evergrande payment wins some restructuring credit – Breakingviews
The developer has wired an $84 mln coupon to bondholders just days before a potential default. It suggests goodwill ahead of an inevitable debt rejig. If boss Hui Ka Yan is prepared to actively work with creditors, he could set standards for other distressed situations in China. → Read More
Goldman plays with hot tar in Japanese buyout – Breakingviews
Minority investors reckon the Wall Street bank, partner Eneos and target Nippo are steamrolling them with a bid valuing the roadbuilder at $4 bln. They have a point: The offer looks cheap and the deal governance subpar. The onus is on Goldman to show it’s managing any conflicts. → Read More
Morgan Stanley’s Asia shift signals new China era – Breakingviews
Long-time regional co-CEO and China boss Wei Christianson is retiring, leaving Gokul Laroia in sole charge. Few combine her banking nous and network. The Wall Street firm will now rely on business heads for the mainland, suggesting a maturing market as well one growing in clout. → Read More
Pan-Asia insurers helpfully crowd onto bourses – Breakingviews
Just days after Prudential tapped Hong Kong for fresh funds, Richard Li’s FWD filed for a New York IPO valuing it at up to $15 bln. The upstart is smaller than its $50 bln rival or $137 bln AIA but at last the three offer a way of comparing performance in the fast-growing region. → Read More
Pru’s $3 bln Asia shift sets up new AIA battle – Breakingviews
The London-based insurer is completing its pivot to the fast-growing region by selling new shares in Hong Kong. The Fragrant Harbour is already home to the $137 bln rival that Prudential failed to buy a decade ago. Now they’re set to compete over punchy valuations. → Read More
Shinsei poison pill is acid test for Tokyo reforms – Breakingviews
The $4 bln lender wants to thwart online rival SBI’s push for effective control by diluting the unwelcome bidder’s stake. Voting it down is a no-brainer, not least for the government: Its 22% holding is under water and its campaign for better governance could do with a boost. → Read More
Three’s a good crowd in Indonesia telecoms deal – Breakingviews
Combining CK Hutchison’s local 3 unit with Ooredoo’s Indosat produces a $6 bln No. 2 player and synergies of $400 mln. If past industry tie-ups in similar markets are a guide, the Hong Kong and Qatari groups’ deal will also lift rivals’ revenue and cut their costs too. → Read More
Evergrande sprawl is complicating credit woes – Breakingviews
The desperate developer is struggling to sell stakes in auto and property management units, hurt by close ties to their parent. Like many tycoons, boss Hui Ka Yan revelled in spinning off subsidiaries without ceding control. The downside of such entanglement is becoming clear. → Read More
China’s new wealth plan slow to make connections – Breakingviews
HSBC and other banks in Hong Kong will soon be able to sell products direct to the Greater Bay Area’s 70 mln citizens and vice versa. Financiers hiring furiously in anticipation have cheered. But real benefits will emerge only gradually if past schemes are anything to go by. → Read More
Goldman smartly snaps up McKinsey cast-off – Breakingviews
The Wall Street firm hired Kevin Sneader, the consultant’s former managing partner, as co-head in Asia. Installing the person who agreed a $573 mln opioid settlement looks odd for a bank still smarting from the Malaysian 1MDB scandal. In fact, it shows an openness to fresh ideas. → Read More