Tue, Feb 02, 2021 page10

• World Business Quick Take

  • Agencies
  • • 
    • 
    • 

  RETAIL

  Asos scoops Arcadia brands

  Asos PLC has bought the Topshop, Topman, Miss Selfridge and HIIT brands from the administrators of Philip Green’s collapsed Arcadia Group for ￡265 million (US$364 million), the British online fashion retailer said yesterday. The deal for Arcadia’s prized brands, which are to be fully funded from cash reserves, does not include its stores, putting thousands of jobs at risk. The Arcadia empire in November last year fell into administration owing creditors hundreds of millions of pounds and threatening more than 13,000 jobs. Its collapse was the biggest corporate failure of the COVID-19 pandemic so far. Asos said incremental core earnings from the deal in its 2020-2021 year would be offset by initial ramp-up costs.

  MACAU

  Gambling revenue falls

  Gambling revenue in the territory last month dropped 63.7 percent from a year earlier as the world’s biggest casino hub struggled to boost visitors from its key market of mainland China because of a rise in COVID-19 cases across the border. The figure was 8 billion patacas (US$1 billion) for last month, according to figures released by the government yesterday. Gaming revenues have slumped for the past year because of coronavirus travel restrictions.

  ENERGY

  Exxon, Chevron held talks

  The chief executives of ExxonMobil Corp and Chevron Corp early last year held preliminary talks to explore combining the two largest US oil producers in what would have been the biggest merger of all time, people familiar with the matter said. The discussions, which are no longer active, are indicative of the pressure the energy sector’s most dominant companies faced as the COVID-19 pandemic took hold and crude prices plunged. The talks between Exxon chief executive Darren Woods and Chevron chief executive officer Mike Wirth were serious enough for legal documents involving certain aspects of the merger discussions to be drafted, one of the sources said.

  ENERGY

  GCL-Poly unit defaults

  A unit of GCL-Poly Energy Holdings Ltd (保利協鑫能源) defaulted on a US$500 million bond after ending an exchange offer with existing bondholders. GCL New Energy Holdings Ltd (協鑫新能源控股) announced the default in an exchange filing yesterday. The firm, which operates solar power plants, said the default on the three-year, 7.1 percent note due Saturday would trigger a cross default after the offer was terminated. The cross default would have “a material negative impact” on the company’s business and financial position, GCL New Energy said in a statement.

  UNITED KINGDOM

  At-risk companies double

  The number of listed companies at risk of insolvency has doubled as restrictions aimed at curbing the spread of COVID-19 continue to ravage the economy. A record 35 percent of companies issued profit warnings last year, according to a report by the consulting firm EY. There was also a surge in the number of companies issuing three or more profit warnings in a 12-month period, a warning sign for insolvency. Sixty-two companies issued at least their third profit warning, double the total in 2019, according to the report. A total of 583 profit warnings were announced by listed companies last year, the highest number in 21 years of EY research and 15 percent higher than the previous record set in 2001.
• Most Popular

  • 1

    Chinese carrier group entered Japanese waters

  • 2

    Taiwan denies hacking, as China issues bounties

  • 3

    Taiwan in Time: Snapshots of early Japanese-era Taipei

  • 4

    Think tank hosts war games in Taipei

  • 5

    Students rescued from Cambodia