Thu, Aug 30, 2018 - Page 10 News List

World Business Quick Take

Agencies

RESTAURANTS

Yum China rejects buyout

Yum China Holdings Inc (百勝中國), which operates Pizza Hut and KFC restaurants in China, has rejected a buyout offer from an investor group led by Hillhouse Capital Group, a person familiar with the matter said. The proposal to take over the nation’s biggest fast-food operator valued the firm at US$17 billion, or US$46 per share in cash, the Wall Street Journal reported. That represents a 28 percent premium over Monday’s closing price, but it is still lower than an all-time high of US$48.18 reached in January.

GERMANY

Buyers optimistic, cautious

Strong growth has made consumers more optimistic about the economy, a regular poll showed yesterday, but the public remains cautious about their own finances. A monthly survey of about 2,000 people by GfK forecast a 0.1 point fall in its consumer confidence barometer for next month to 10.5 points. Looking at different elements of the survey, GfK said that consumers “see the economy on a solid growth path” after official data showed 0.5 percent sequential growth from April to June.

UNITED STATES

Confidence hits 18-year high

Consumer confidence rose this month to the highest level in nearly 18 years, as assessment of current conditions improved further and expectations about the future rebounded. The Conference Board on Tuesday reported that its consumer confidence index rose to 133.4 from 127.9 last month. It was the highest reading since confidence stood at 135.8 in October 2000. “These historically high confidence levels should continue to support health consumer spending in the near term,” Conference Board director of economic indicators Lynn Franco said.

THAILAND

Rate hike unnecessary

The central bank is under no immediate pressure to raise interest rates like emerging-market peers elsewhere, given the nation’s solid buffers and relatively strong currency, Bank of Thailand Governor Veerathai Santiprabhob said yesterday. The bank is monitoring economic developments closely, including risks to the growth outlook from trade protectionism, Veerathai told Bloomberg Television. While inflation returned to the 1 percent to 4 percent target range, it remains subdued, he said.

BEVERAGES

Coke to buy Moxie brand

Coca-Cola Co is to buy New England cult favorite soda brand Moxie from one of its independent bottlers as it looks to house more of its up-and-coming beverage brands under one roof. The soda giant, which has completed the refranchising of its bottling operations in North America, has inked a deal to purchase Moxie from Coca-Cola of Northern New England for an undisclosed amount. The independent bottler will continue to produce and bottle the favorite, and the distribution footprint will not change under the new ownership.

TURKEY

Credit ratings downgraded

Ratings agency Moody’s on Tuesday downgraded its credit ratings on 20 financial institutions due to the increased risk of a “downside funding scenario” after the collapse of the Turkish lira. Moody’s said the downgrade affected 18 banks and two finance firms. It comes amid persistent concerns over the health of the economy, after the lira lost one-third of its value this month alone. Moody’s had earlier this month cut the debt rating of the government deeper into junk on the same concerns.

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