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As a top 10 analyst in recent stock performance and detailed research and strategy notes in banking, retail, logistics and IT services businesses I would be an ideal partner for most entrepreneurs and large company strategists, sales and marketing teams An accomplished presenter, I get frequent... More
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  • TopBlogs '09 Influencer
      PostRank Topblogs 2009 - Influencer Award

    Disclosure: None
    Jan 15 3:13 AM | Link | Comment!
  • after the oughties, the teens... | Advantage banks
     The Emerging Markets will be busy of course with Infrastructure Finance, with smaller tickets like ICICI Bank and Kotak sticking to stonewalling new credit for non existing capabilities to absorb NPAs. No one is asking their creditors to run away specifically, but we continue to be sure that they are in trouble. Also Commercial real estate may not be allowed under infrastructure tab in any risk profile markets either N11 or India & China or the resurgent Yuan fed Africa.

    Recently Moynihan also addressed town hall meetings as foreclosures modified exceeded 4% of the mortgages after a blank ten months. A similar town hall of bankers is now in progress in India hosted by SBI as the dollar continues for a resurgent 2010. Euro trades might not catch on to Indian FX intermediation even after a couple of bankruptcies, you may not be able to tell them apart from the Pound bashing that will ensue after British polls

    New Bank Of America CEO Brian Moynihan Gives Speech On Banking Industry

    Harder to understand and predict also will be the hopes of offshored jobs coming back whether it is Obama tricks or new centers in Morocco, Monte Carlo and mid-town America. Banking in any case is happier with the current branch marketstructure and does not envisage new branches from Chinese competitors or the phantom regulations of the pay czars.

    Brian Moynihan and Benmoshe do indicate however that there are likely more new jobs for everyone by virtue of their own selves being virtual dolls of Greenberg and Kenneth Lewis. Citi is likely to pay second fiddle to Wells Fargo in the market sweepstakes and BofA may follow both if not careful. The other continents are likely to hear from only JP Morgan and Goldman Sachs this year. I hope Kotak and ICICI do not start recruiting, nor the Asian banks from Mainland China ;lol

    South Africa and Brazil may yet write the new chapter for Banking growth, given the deeper pockets that reach those shores in Infrastructure. Random thoughts or the Perfect Storm 2e edition, we’ll decide after Hank Paulson publishes his fictional piece on the raison d’etre of the crisis, or the raison d'etat.

    Welcome to Advantage Banking and Advantage Infrastructure in the new decade. We don’t think banking ever slimmed down at all! However, Fat Cat bankers are out of the mix.

    Disclosure: None.

    Disclosure: None
    Tags: BAC, C, WFC, WFC.J, JPM, GS, BRK.B, Banking
    Jan 11 8:37 AM | Link | Comment!
  • Remember the Kraft Cadbury story?
    Well, we all wanted the smaller Creme Egg from Cadbury to get a richer valutation, but looks like someone else is frying the cocoa..

    It’s true. It is a theater of the bizarre. The Deal theater and the Lifestyle Economy has seemingly done itself in in an all economic no brand purview exercise by Nestle. Nestle has moved from unnatural extensions of the foods and dining business by selling a piece of its European Business Alcon to get GBP24.4bn from Novartis ( For more impact on Novartis’s OTC business from Novartis moves in the late aughties check our Social Causes and Consumerism trial)

    Not many people including industry analysts would know or care about Nestle’s Pharma business, which is likely to be a big deal for Novartis which used to do a silly $13 billion 2007 and losing it fast against the Swiss Franc movement and the expiring molecules.  The frozen powders business is probably still with Nestle. Nestle however had sold another 25% earlier in July for $10.8 billion and these options have netted them bigger bounty for the remaining 52%. With Nestle spending another $11 billion for the open offer Alcon will add to the OPM of the starved Novartis

    Alcon is the world leader in eye care but for a valuation of $60 billion firstly seems phenomenal for the added annual revenues of $6 billion which will barely bring back Novartis to 2007 revenues. This valuation is based on its share price in the NYSE at $165 at Year End and brought Novartis back a full dollar to 56 Swiss Francs in Zurich yesterday.

    Secondly, the deal has enhanced new fears of market failure with the deal being financed from 205 million Novartis shares ( New issue of 98 million)


    However, as I said, the pharma deals are a litle complex to handle here for the general reader and one can venture on to the Health and Pharma blog for more details on that part – in shirt Novartis is definitely going down…an one suspects there could be some more revelations that its board has been purview to for such catalysmic sudden death attempts for a ‘gamechanger’

    In as far as this is just that Gaul Asterix on the rampage, I may be wrong.

    Come back to the foods & confectionary players of Western Europe and Swiss. Nestle is thus fattening its net worth and using the cash, but then what Nestle is buying is an equally unlikely concoction like its water business, that doesn’t make sense to its central tale. It is using the large cash to buy Kraft’s frozen pizza business which can at the very least be compared to the Folgers’ sale by P&G on the flip side. The bill of $3.7 billion was easy and leaves a lot of FX speculators with fun as the US purchase of frozen pizza adds a new dimension for analysis of where Nestle could ever head in its form and manner in the next decade.

    Frozen Pizza, Powdered Milk and Chocolate. I can see significant gaps in their food foray and thus their similarity of business to their competitor Unilever takes shape. Both Nestle and Unilever are head to head in the foods business for the large hole in their food offering. They would probably be explaining to us what way the Food consumption pie is headed more publicly in the next few months. ( Funnily, in the whole of the oughties, neither Nestle nor Unilever have headed anywhere significantly esp. in the foods business.

    Also listen to Nestle when they start talking about supply economies and the Food Supply Chain ( ground Logistics, 3PL, more) in 2010 and beyond. The Swiss do try some strange stuff and this may be just about getting cozy with the other bed mates in Confectionary (Kraft) without buying any of these probably ‘risky’ transactions themselves. They are going to be funding Kraft for extra Cash to see where Cadbury goes from here. And I thought the gauls are crazy. It;s the cheese, nonetheless. La Kasse’ – Swiss Franc profits grew >100% in 5 years - act. 80% in just this one year . The seeming muddle in Nestle is turning them into a high yielding supercharged strain of winning DNA and thus I believe the story after bankrolling Kraft would still remain Nestle. They aren’t doing badly in the super markets in India and Asia either. It’s return on Equity is a whopping 37.5% and even after the sale, the same will keep Nestle supercharged. It also produces more than CHF 8 billion in Cash ( from 2009 report at BW) and with the new found attempts at dollar parity along with the roaring Aussies that means $28 billion and $8 billion in Cash, $4 billion loaned to Kraft for California Pizza Kitchen and InGiorno which may even come back after the experiment in a new business, leaving Kraft free to mull an equivalent miniscule titilation for hot growing Cadbury. Doesn’t help Kraft much does it!

    Disclosure: None. Positions may be created from ensuing recommendations to client and personal portfolio desks
    Jan 05 7:37 AM | Link | Comment!
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  • All this is selling into china though. What is china selling next decade?
    Dec 13, 2010
  • All this is selling into china hough. What is china selling next decade?
    Dec 13, 2010
  • Brazilian miner MMX (MMXMY.PK -3.3%) will invest $2.9B to increase production at existing projects
    Dec 13, 2010
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