Germany’s largest lender Deutsche Bank is under pressure from investors to raise capital following fears the bank cannot cope with a tougher regulatory environment and a slump in global debt markets, the Financial Times reports.
The FT understands that insiders at Deutsche Bank believe European regulators will tell it to raise fresh equity following eurozone-wide bank health checks later this year.
In the last two years, Barclays and Credit Suisse have been told by local regulators to accelerate plans to raise capital.
Apple benefits from “seven for one” stock split
In the first quarter of the year, technology giant Apple grew its revenue to $45.6bn, “well above” analysts expectations of $43.5bn in revenue for the period, the Guardian reports.
Among the biggest of Apple’s moves was a “seven-for-one stock split so that every investor will get six additional shares”.
Apple has done stock splits three times before but on a much smaller scale, on a “two for one”, meaning investors received two shares for every one they owned.
On news of the stock split, Apple’s stock rapidly jumped 8 per cent.
Saga set to float
According to the Financial Times, insurance group Saga is finalising touches to a multibillion pound flotation.
People familiar with the situation told the FT that the over-50s specialist is set to file a formal intention to float on the London Stock Exchange as soon as next week after completing a debt refinancing in recent days
The listing, expected to give Saga an enterprise value of about £3bn, will mark a “long-awaited exit” for its private equity backers Permira, CVC Capital and Charterhouse.
Facebook sees profits triple
According to the Telegraph, social media website Facebook has seen its profits almost triple after it revealed nearly half the world’s internet population uses the social network.
In its first quarter results, published yesterday (23 April), Facebook also unveiled a 72 per cent surge in revenues that pushed the shares up more than 4 per cent in after-hours trading on Wall Street.
Manufacturers’ confidence at 40-yr high
The CBI has reported a combination of strong growth in orders both at home and abroad is driving a rapid increase in confidence among British manufacturers, according to the Guardian.
The business lobby group said 41 per cent of manufacturers surveyed were more optimistic about business than three months ago, with just 8 per cent less optimistic.
Activist shareholders to confront Barclays
The Guardian reports Barclays is braced for a “stormy” annual shareholder meeting today, and will face questions about its role in tax havens, funding of coal mines and the £9bn of bonuses paid out to its investment bankers since the financial crisis.
Barclays is expected to face scrutiny from shareholders over its decision to increase bonuses by 10 per cent to £2.4bn in 2013 even though its profits fell by 32 per cent.
