The value of the pound took a hit again thanks to none other than Mark Carney, the governor of the Bank of England, after he made a statement about a summer stimulus package. It is meant for the U.K. economy, to help it hover safely above the recession. Whether the stimulus package will be a reality or how much benefit it will generate for the U.K. is remain to be seen. Until then, read on to find other important and most-discussed stories among the crowd on Sentifi.
1/ Mark Carney: Hints at a rate cut [919 messages in the last 24h]
Governor Mark Carney of the Bank of England delivered a speech that hinted at a summer stimulus package for the U.K. economy in the wake of Brexit. And such comment caused the pound to drop one and a half cents in value against the dollar. The U.K. has been hit hard by Brexit, and the fears of a recession have prompted the central bank to devise a strategy to soften the impact.
2/ World Bank: Promotes solar energy [709 messages in the last 24h]
On his visit to India, Dr. Jim Yung Kim, the president of World Bank, has signed a declaration with the Interim Administrative Cell of the International Solar Alliance for promoting solar energy globally. Together the two organizations will develop a roadmap to mobilize financing, and create financing instruments to support solar energy development and deployment.
3/ Starz: Lions Gate agrees to a sale [538 messages in the last 24h]
It’s official. The movie studio Lions Gate has agreed to buy the premium cable channel home Starz for $4.4 billion, ending years of speculation about the fate of the cable channel. Stars shares rose as much as 13% following the announcement. The company has been rising as a formidable player in the past few years with a list of original programming that receives good ratings and reviews.
4/ SABMiller: AB InBev-SABMiller deal is on track [438 messages in the last 24h]
With South Africa giving its approval to AB InBev’s acquisition of SABMiller, the two companies are expecting to complete their merger within the next six months. Public interest and competition concerns were both taken into account during the decision-making process of South Africa, but the country was swayed by AB InBev’s commitments on local jobs and employment.
5/ Lyft: Settles a dispute with Uber [314 messages in the last 24h]
Two rivals in the ride-hailing services, Uber and Lyft, have settled a legal battle surrounding the accusations of hacking and corporate spying. Neither company requires the other to pay. They also both agreed to allow their top executives to continue their jobs without restriction.
6/ Hertz Global Holdings: Shares soar thanks to capital raised from spinoff [264 messages in the last 24h]
After spinning off its equipment rental business into a separated publicly traded company, the rental car company Hertz shares soared more than 4%. It’s all thanks to $2 billion in proceeds after the separation. The company is also expanding into the ride-sharing business with supply agreements with Uber and Lyft.
7/ FTSE 250: Continues to suffer post-Brexit [254 messages in the last 24h]
The index is having a lackluster performance after the referendum, as the impact of Brexit continues to weigh on it. Made up of mid-sized manufacturers, retailers and service sector firms, the index is unlikely to be immune to any threats that hurts the U.K. economy. With Brexit posing one of the biggest threats the U.K. economy has ever faced, the index is also feeling the shockwave.
8/ Mondelez: Makes an offer for Hershey, gets rejected [235 messages in the last 24h]
The Oreo maker offered Hershey $107 per share, half in stock and half in cash, in a deal worth $23 billion. Unfortunately, Hershey declined. Hershey’s board said they had made up their mind about the rejection, and there is no basis for further discussion. But if the deal happened, it would combine the two companies into an entity with 18% of the global candy market and mold it into the largest player in the market as well.
9/ Zenefits: Cutting value of recent funding round [228 messages in the last 24h]
The startup is cutting the value of its most recent funding round from $4.5 billion to $2 billion. After having laid off hundreds of employees, this is the company’s attempt to give some investors a larger ownership of the company. Plus, the lower valuation will potentially make future funding rounds easier for the startup.
10/ Bank of Mexico: Announces a rate hike [204 messages in the last 24h]
The central bank of Mexico surprised the markets with a 50bps rate hike, which generated a strong reaction and caused the Mexican peso to increase by 2%. The hike is twice as much as the prediction, which was 25bps increase. The hike has been a shot in the arm for the currency as it had been trailing in record lows after the EU referendum.
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