According to market sources, Tecnicas Reunidas has presented the most competitive offer to construct two gas projects tendered by Saudi Aramco. Other companies involved in the bid are Saipem and Samsung E&C. The result could be announced at the beginning of November.
ACS has launched a competing bid for Abertis, via Hochtief, at €18,76 per share. It fits in with our forecast scenario that ACS would offer a higher price than Atlantia (€16,50/share, combining cash and shares which cannot be sold before February 15 2019) in its counter-bid for the Spanish concessionaire.
Yesterday, Colonial held its “Investor Day” during which it said it expects gross revenues from rentals to rise 2.9% to €279 million in 2017 from a year earlier. The real estate firm will also launch a new share buyback plan, worth €100 million,
Royal Bank of Scotland (RBS) will go ahead with the disposal of a substantial part of its SME banking business in the UK. The operation will be a complicated one and the British subsidiaries of Santander and Sabadell will participate in the bid process.
Abertis and Red Eléctrica are keeping talks open regarding an eventual corporate deal involving Hispasat. According to the press, Abertis, which holds 90.4% of the satellites firm, is asking for a control premium in addition to the valuation it made of the company in May.
When Carlos Slim agreed to take a stake in FCC in 2014, which was at that time controlled by Esther Koplowtiz, and in a lot of difficulties – sales on the decline, losses, debt…- a lot of people breathed easy thinking the Mexican businessman was going to put the builder back on the straight and narrow. But he is finding it difficult to relaunch the company.
Spain’s stock market regulator yesterday accepted Atlantia’s bid for Abertis, acknowledging that the content of the explanatory document presented by the Italian company is sufficient and in line with current regulations. The approval also gives Atlantia the possibility of improving its offer and establishes the period for ACS to consider its eventual competing bid.
While the telecoms sector (mainly represented by Telefónica) is very attractive for investors, “looming pressure on returns” is clouding investor interest in the utilities.
Spanish retailer Inditex is the largest in Europe, more than twice the size of the number 2. Kering. With over 7,000 stores and 150,000 employees globally, it continues to outpace its rivals mainly due to its flexible business model.
ACS is still looking for the financial muscle to be able to make a counter-bid for Abertis. The company has the capacity to generate cash and has a solid financial situation, but it would need the help of foreign investors to better Atlantia’s bid of 16,5 euros per share.