India’s online travel market MakeMyTrip said it would buy smaller competitor Ibibo for $1.5 billion, the biggest acquisition in India’s online travel space thus far. To stay up-to-date on future developments of the combined entity, stay right here on Sentifi.
MakeMyTrip Ltd.: Grasps consolidation to make profits
The company’s shares soared 44.4 percent in New York following the announcement. No operator is making money in the $10-billion India’s online travel market because of fierce competition. MakeMyTrip-Ibibo will have approximately 20 percent market share in online flight booking and single-digit market share in online hotel and bus bookings, a much-needed edge over the competition.
Burberry: Enjoys a rise in British sales since Brexit
The plunging pound is doing wonders for the luxury fashion giant as tourists have been taking advantage of it and spending more on the company’s goods. Sales are reported to raise by almost a third in the three months to Sep. 30 from a year earlier. The company now forecasts it will gain $152 million more in its annual profits for the year to March 2017 thanks to further falls in the pound.
Tabcorp Holdings: Acquires Tatts Group to fend off online rivals
Australia’s two biggest gaming groups, Tabcorp and Tatts, have agreed to a $4.87 billion merger. The combined company will have diversified national wagering, media, lotteries and gaming operations. It is also expected to deliver $99.8 million a year in annual EBITDA.
UnitedHealth: Hikes 2016 earnings forecast after profit soars
A 23 percent increase in the third-quarter profit has given the company enough confidence to hike its earnings forecast to $8 per share, which is 7 cents higher that Wall Street’s expectations. The insurer added almost a million customers through its employer-sponsored and individual coverage during the quarter. The company’s shares increased by 6.9 percent following the announcement.
Dalian Wanda Group: Provides incentives to attract Hollywood filmmakers
Chairman Wang Jialin announced a 40 percent rebate of certain costs of filming at his multi-billion dollar studio in the eastern Chinese city of Qingdao. The incentive will be paid from a five-year, $750-million fund financed by Wanda and the local government. The billionaire has previously bought Legendary Entertainment–one of the producers of “Jurassic World” and “The Dark Knight”–and U.S. cinema chain AMC Entertainment Holdings. Sequels to “Pacific Rim” and “Godzilla” will be filmed at the Qingdao studio.
Petróleos de Venezuela: May default if debt exchange fails
The oil producer is urging bondholders to participate in a $5.3 billion exchange offer, and if they don’t, they “are playing a dangerous game they can end up losing.” “We are asking the bondholders to give us a breathing space so we can have more stability,” said the company’s President Eulogio del Pino.
Ryanair Holdings: Issues a profit warning, blames Brexit
The carrier has cut its full-year guidance by 5 percent due to an 18 percent reduction in the pound’s value since Brexit. The updated profits guidance is now between €1.3 billion and €1.35 billion. The company also warned that the weak pound would reduce average fares in the second half of its financial year by 13 percent o 15 percent.
Continental: Shares tumble 3.5 percent after cutting its fiscal 2016 earnings outlook
The decision of cutting the outlook was made because warranty and antitrust-fine provisions contribute to $529 million cut in operating profit at its car-parts unit. Adjusted EBIT is expected to be at 10.5 percent of revenue instead of 11 percent. It also cited that an earthquake disruption at Japanese supplier will also hurt its profit.
Netflix: Shares soar 19.03 percent on blockbuster earnings and increasing subscribers
The streaming company registered earnings per share at 12 cents per share for the third quarter, which is twice as much as the consensus-estimated 6 cents apiece. It also gained 3.2 million subscribers around the world during the quarter. The company accredited strong original content, including popular shows such as “Stranger Things,” for stronger earnings.
NatWest Bank: Russia’s UK embassy speaks out about the controversy
Following the controversy, the embassy released this statement: “We are deeply concerned over the announcement of the British Government-owned NatWest bank that it intends to close the accounts of RT television channel. This openly political decision follows many similar acts of harassment and intimidation against Russian news outlets in UK.” Previously, Prime Minister Theresa May’s official spokeswoman had said the bank took that decision “independently.”
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