JPMorgan eyes India
JPMorgan Chase & Co, the largest US bank, is seeking branch licenses in India to bolster its wholesale banking operations in the nation. The bank is in talks with the Reserve Bank of India over permits for centers to support corporate client services including cash management, foreign-currency payments and trade finance, said Muhammad Aurangzeb, Asia Pacific chief executive officer of JPMorgan’s global corporate bank unit. He is aiming to open the new outlets next year to add to the firm’s sole wholesale branch, which it opened in Mumbai in 1994.
Direct loans favored
Insurers are increasingly looking to make direct loans and finance commercial properties as US Federal Reserve policies limit yields on traditional holdings such as US government debt and investment-grade corporate bonds, according to BlackRock Inc, the world’s largest money manager. About 57 percent of insurers plan to increase risk exposure in their portfolios in the next 12 to 24 months, BlackRock found in a survey of insurers that manage more than US$6 trillion of assets combined. That compares with 33 percent a year earlier, the New York-based company said in a statement on Monday.
Share rise follows merger
Ctrip.com International Ltd and Qunar Cayman Islands Ltd jumped in US trading after the companies agreed to a merger, creating the dominant online travel service in China in a deal that might ease price competition, which has crimped profits. Ctrip rallied 22 percent to a record close of US$90.78 in New York on Monday. Qunar advanced 7.9 percent to US$42.65, the highest since Aug. 10 on trading volume that was nearly 17 times the three-month average. Goldman Sachs Group Inc upgraded both companies to “buy.” A Bloomberg gauge of US-traded Chinese stocks rallied 2.1 percent.
Italia snubs deal
Telecom Italia SpA is inclined to pursue a Brazil strategy on its own and has no plans to hold talks with Mikhail Fridman after the Russian billionaire made an offer valued at as much as US$4 billion to prop up a local carrier, according to people familiar with the matter. Italy’s biggest phone company continues to review its options for its Brazil unit, Tim Participacoes SA, including a potential deal with rival Oi SA, said the people, who asked not to be identified because the deliberations are confidential. Oi said on Monday that Fridman’s holding company, LetterOne, had made a proposal to contribute funds that are conditional upon the carrier agreeing to a merger with Tim.
Power link planned
The nation is to build a power-transmission line to a hydropower dam to be built in the neighboring Democratic Republic of the Congo to help alleviate electricity shortages, Minister of Energy and Mines Come Manirakiza said. The 78km link is to cost 53.6 billion francs (US$35 million), Manirakiza on Monday told reporters in Rubirizi, about 25km north of the capital, Bujumbura. The nation is to receive about 26 billion francs of funding from the African Development Bank and about 27 billion francs from Germany’s KfW Development Bank, he said. The government is to spend 600 million francs compensating land owners for the disruption caused by the construction of the 220-kilovolt line, Vice President Joseph Butore said.
Polytronics Technology Corp (聚鼎科技) yesterday announced that it is buying Henkel AG’s thermal clad dielectric material (TCLAD) business division for US$26 million as the Taiwanese firm aims to improve its technology, product portfolio and revenue performance. Polytronics, headquartered in the Hsinchu Science Park (新竹科學園區), is a supplier of protection components and heat dissipation materials. The firm entered the metallic heat-dissipation substrate market in 2007 and developed a unique solventless production process. Its board of directors approved signing an agreement with Henkel to acquire the German chemical firm’s TCLAD division in the US. The purchase includes all assets and business interests, including equipment,
‘SENSITIVE MARKETS’: The previously unannounced project would involve the company handing over control of data to a third party to sidestep privacy concerns Google has abandoned plans to offer a major new cloud service in China and other politically sensitive countries due in part to concerns over geopolitical tensions and the COVID-19 pandemic, two employees familiar with the matter said, revealing the challenges for US tech giants to secure business in those markets. In May, the search giant shut down the initiative, known as “Isolated Region” and which sought to address nations’ desires to control data within their borders, the employees said. The action was considered a “massive strategy shift,” said one of the employees, who added that Isolated Region had involved hundreds of employees
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday posted monthly revenue that suggested second-quarter sales surpassed analysts’ estimates, underscoring how its technological lead is helping the chipmaker weather the COVID-19 pandemic and US sanctions on its second-biggest customer Huawei Technologies Co (華為). Apple Inc’s main iPhone chipmaker posted sales of NT$120.88 billion (US$4.08 billion) for last month, up 40.8 percent year-on-year and bringing its revenue for the second quarter to NT$310.7 billion, beating the NT$308.8 billion analysts expected on average. TSMC, a barometer for the industry thanks to its heft in the global supply chain, had previously lowered its revenue outlook for this
‘POSITIVE EFFECT’: Phison this year began shipping SSDs to Japan’s largest pachinko maker, which uses the components in its machines featuring high-resolution graphics Phison Electronics Corp (群聯電子), a designer of NAND flash memory controllers and modules, yesterday reported that revenue last quarter grew 11 percent from a year earlier on the back of new orders from Japan’s largest pachinko maker. Revenue last quarter expanded to NT$10.86 billion (US$366.82 million) from NT$9.79 billion a year earlier, Phison said. However, on a quarterly basis, revenue slumped 15.62 percent from NT$12.87 billion, it said. The Miaoli-based company said that it is benefiting from growing demand for solid-state drives (SSDs) used in devices beyond computers, which is stimulating growth for the NAND flash memory industry. Pachinko machines are one