Latest news with #M&A
Bloomberg
35 minutes ago
- Business
- Bloomberg
UniCredit Taps Adviser for BPM Bid Branch Sales Amid Deal Doubts
UniCredit SpA has tapped an investment bank to manage the possible sale of branches it needs to carry out if it buys Banco BPM SpA, according to people familiar with the matter. The Italian lender has asked Kitra Advisory to help it offload branches across Italy in a move that would address demands from the European Union antitrust watchdog if the takeover goes ahead, the people said. The potential disposal of branches is part of a project dubbed Stardust, they said asking to not be named discussing private information.
Yahoo
6 hours ago
- Business
- Yahoo
Right Risk, High Return: Aethon Jumps on Elevated NatGas Prices
Private producers account for roughly 40% of U.S. oil and gas supply, and many are focused on continuing to grow. As M&A rumors swirl around the Haynesville Shale's Aethon Energy, the natural gas leader is among E&Ps in the play building on a strong portfolio and seeing opportunity despite widespread volatility. This interview with Gordon Huddleston, president and partner at Aethon Energy Management, is the first in a series that examine how private producers are navigating an uncertain market with cautious optimism. Deon Daugherty: How does the macro market uncertainty impact Aethon's plans for growth? Gordon Huddleston: We remain bullish on natural gas considering the broader macroeconomic factors driving demand growth, but we also see the potential for volatility and risk increasing. LNG and AI datacenters are supportive of demand and pricing, but without corresponding storage growth, price volatility is likely to increase in parallel. RELATED LNG, AI Fervor Raises M&A Interest for US Shale Gas—PwC DD: At the beginning of the year, Aethon was planning to drill new western Haynesville wells in 2025. Is that still the plan, and if so, how is it progressing? GH: We're very optimistic about the Western Haynesville wells we've brought online. We've seen significant improvements in our economics as we continue to better understand the geology and iterate our well designs. It's certainly an area we'll continue to focus on in the coming years, especially as demand and infrastructure improves in bringing that gas to market. We've drilled 500 wells in the Haynesville since 2018, so we have a lot of experience drilling hotter and deeper wells, and that experience prepared us for the challenges of the Western Haynesville. We try to be very measured in our approach from a development perspective—but higher pricing allows us to try things that we wouldn't necessarily be able to in a lower-price environment. Ideally, we're always spending some capital on areas like the Western Haynesville that are less understood but have the right risk/return profile as they will be important to meet future natural gas demand growth. DD: How do you differentiate Aethon from other private producers? GH: In addition to our scale, Aethon's vertically integrated upstream and midstream assets set us apart from other private producers and many public operators. Our owned midstream is a competitive advantage, providing additional uplift and pricing support along with our low-cost operations. Together, this vertical integration along with our extensive marketing activity and a unique approach to boxing in risk allow us to drive peer-leading margins through volatile market conditions. DD: What are your activity plans for the second half of this year and into 2026? GH: Aethon has evolved from a phase of rapid growth to another where we are focused on prioritizing investor returns while maintaining production volumes. Capital efficiency and optimization across our mature integrated upstream, midstream and marketing activities are the key factors driving our development plan today. That said, we've been consistent in saying that around $5/Mcf is where more overall growth of natural gas production could materialize. We are currently running five rigs and have the flexibility to add a rig or more if longer-term pricing signals justify it. We are also always looking for opportunities to acquire great assets that typically have the potential to be integrated into our existing midstream infrastructure. DD: What is the opportunity set presented by U.S. LNG exports? How will AI factor into Aethon's strategy? GH: LNG is the big story and is driving unprecedented demand growth for U.S. natural gas, and predominantly from the Haynesville. We're fortunate that Aethon is best positioned to meet this demand given our scale, proximity to the Gulf and peer-leading emissions profile. AI and data center demand represents an exciting tailwind, but it's dwarfed by new LNG offtake that we have greater certainty in realizing with each new train that comes online. However, there are still exciting opportunities we're discussing with datacenter developers and others—especially if you look at the regions best suited for these sites and how they align with gas producing basins. DD: What is Aethon's outlook on E&P consolidation? What are challenges, if any, with access to capital? GH: We expect to see additional consolidation, but there aren't many large pieces left on the board, especially in the Haynesville. Natural gas pricing has been trending favorably for deals and capital raising, creating the best financial environment we've seen for gas-focused businesses in quite a while. Fundamentally, there is an increasing flight to quality that prioritizes scale and risk mitigation. We believe investors will continue to value producers with higher margins, advantaged pricing exposure and high-quality inventory. RELATED ADNOC Explores $9B Acquisition of Aethon's Haynesville Assets—Report Reports: Mitsubishi Targeting Haynesville E&P Aethon in $8B Deal
Yahoo
12 hours ago
- Business
- Yahoo
Promising policy action brings hope amidst continued economic challenges: PwC's 2025 M&A mid-year update released
Transformative policy actions could boost Canada's role in North American supply chains and stabilize ties with the US. Trend shows decline in inbound and locally sourced deals; overall deals activity comes in at approximately 1000 deals totalling $134B announced since January 2025. Canadian family offices rebound: deal values increased by 16% from 2023 to 2024, signaling renewed momentum. TORONTO, June 18, 2025 /CNW/ - PwC Canada's 2025 mid-year Canadian M&A update highlights a pivotal moment for the Canadian economy. Amidst global uncertainty and a cooling domestic outlook, Canada is pursuing a bold policy agenda aimed at restoring national economic resilience. While these efforts are rooted in domestic priorities, they may also yield a valuable secondary benefit: a more stable and strategically aligned relationship with the United States. "Canada's current policy direction focuses on building a stronger, more self-reliant economy," said Michael Dobner, National Leader of Economics and Policy Practice, PwC Canada. "This approach also helps foster a more constructive and complementary relationship with the US, one based on shared interests rather than dependency." Economic update: Between January and May 2025, Canadian companies announced 996 deals totaling $134 billion. However, the report notes declines in inbound and locally sourced deals in Canada. This reflects a broader climate of caution, as businesses delay investments and expansion plans in response to persistent uncertainty. PwC's baseline projection for Canadian GDP growth in 2025 remains below 1%. Despite these headwinds, Canada's trade position with the United States remains comparatively strong. Canadian exporters are generally benefiting from relatively low tariffs, especially when compared to countries like China, which continue to face significant trade barriers to the United States. This advantage can help some Canadian businesses to maintain or even grow their market share in the US, offering a rare bright spot in an otherwise subdued economic landscape. In this context, "the current negotiations between Canada and the United States, which benefit from Canada's new vision, may further strengthen Canada's relative trade position with the United States," added Dobner. The report outlines a suite of policy priorities shaping Canada's new vision. Key priorities now include streamlining regulations, initiating large-scale infrastructure projects, increasing investment in defence and Arctic development, removing interprovincial trade barriers, fast-tracking the integration of artificial intelligence and changing the immigration system to focus on attracting highly skilled individuals to Canada. These initiatives are designed to address Canada's productivity and competitiveness challenges, and, if successful, will also position the country to play a more active role in North American supply chains and innovation ecosystems. If early policy actions are interpreted by market players as genuine, practical and decisive, PwC Canada suggests that meaningful improvements in Canada's economic outlook could begin as early as 2026. All levels of government have a crucial role in providing these signals over the coming months. While there is good reason for cautious optimism, the report notes that the global environment remains unpredictable. Potential global crises, financial crisis as a result of a loss of trust in the US dollar, or disruption of entire sectors by emerging technology could have significant consequences. Canadian businesses must stay vigilant, closely monitor global developments and adopt flexible, risk-aware strategies to navigate an uncertain future. Opportunities for Canadian family offices: The report also highlights the evolving role of Canadian family offices, which are emerging as increasingly influential players in the investment landscape. After a period of decline beginning in 2021, family office deal activity is rebounding. In Canada, deal values rose by more than 16% from 2023 to 2024. Key trends shaping this evolution: Club deals, where family offices co-invest with peers to access larger opportunities and share risk, are gaining traction globally. While only 23% of Canadian family office investments in 2024 were structured this way, compared to 71% globally in 2022, this gap signals untapped potential. Impact investing is on the rise. In 2024, Canadian family offices surpassed the 50% threshold for allocating capital to investments that generate measurable social or environmental impact alongside financial returns. These investments are increasingly aligned with national priorities such as productivity, innovation, and affordable housing. Direct investments, where family offices invest directly in businesses such as private equity, startups or M&A, have grown to represent 70% of global activity, up from a real estate-heavy focus a decade ago. In contrast, 69% of Canadian family office investments in 2024 remained in real estate, indicating potential opportunities to diversify investment portfolios. For more insights and to access the full report, visit About PwC Canada: At PwC Canada, we help clients build trust and reinvent so they can turn complexity into competitive advantage. We're a tech-forward, people-empowered network with more than 7,000 partners and staff in offices across the country. Across audit and assurance, tax and legal, deals and consulting, we help build, accelerate and sustain momentum. PwC refers to the Canadian member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see for further details. Find out more by visiting us at: © 2025 PricewaterhouseCoopers LLP, an Ontario limited liability partnership. All rights reserved. SOURCE PwC Management Services LP View original content to download multimedia:
Bloomberg
17 hours ago
- Business
- Bloomberg
A Decade On, Has Japan's Corporate Revolution Worked Too Well?
Japan wanted change in its corporate sector. It got it — for better or worse. A decade on from the introduction of the country's first Corporate Governance Code, there's so much M&A activity in Tokyo these days that it's tough to even keep track. From private equity to activist investors to consolidation among companies fearful they'll be targeted next, no acquisition seems beyond the pale.
Yahoo
a day ago
- Business
- Yahoo
Explainer-BBVA's battle for Sabadell faces Spanish government decision
By Jesús Aguado MADRID (Reuters) -The Spanish government is set to decide next week on whether to impose additional conditions on BBVA's 14 billion euro($16.23 billion) hostile bid for smaller rival Sabadell before giving it its approval. Madrid, which has opposed the deal since it was announced in April last year because of fears over job losses, said last month that ministers would examine the offer, a rare move which drew a rebuke from the European Union. The complex, lengthy process may act as a test whether European bank M&A deals, several of which were announced this year, can get over the line. In the latest twist, Sabadell this week said it had received expressions of interest in its British unit, TSB, which analysts say could be a defensive move to ward off BBVA. Below are some of the likely next steps in what would be Spain's second-biggest banking deal by assets. WHAT HAPPENS NEXT? The government has until June 26 to review the bid and is expected to do so at a June 24 cabinet meeting, considering broader "common interest" criteria beyond the Spanish competition watchdog's competition-focused approval. Economy Minister Carlos Cuerpo has suggested that the government's concerns revolve around financial inclusion and territorial cohesion. While the European Union has urged Madrid to honour the regulator's decision, Spain has the right to impose conditions related to national defence, public safety, or environmental protection. HOW CAN THE 'COMMON INTEREST' CRITERIA BE APPLIED? It is not entirely clear. Financial advisory firm MKP Advisors says the law is vague enough to allow the government to effectively scupper the takeover, although it cannot actually stop BBVA from buying Sabadell shares. BBVA Chairman Carlos Torres says Madrid can only uphold the conditions from the Spanish competition regulator, or even "soften" them. In a radio interview broadcast on Wednesday he also said BBVA had an option of challenging the government's decision in court or even accepting it and appealing it later. However, Sabadell's CEO Cesar Gonzalez-Bueno reckons Madrid can impose harsher conditions on grounds of common interest. SABADELL'S DEFENSE - SELLING TSB? Sabadell has taken some steps to bolster its independence, increasing payouts for 2024 and 2025 as an incentive to keep shareholders on board. Broker RBC said a potential sale of its British unit could also be seen as a defensive move since cashing in on TSB sale may have been part BBVA's calculations. By offloading the unit and distributing the proceeds to current shareholders, Sabadell could make itself less appealing as a target. BBVA's Torres has said that the bank has accounted "a fairly high value" of TSB in its calculations for Sabadell's bid. RBC analyst Pablo de la Torre Cuevas said that BBVA could still adjust its offer if the sale went through. Converting interest in TSB into a sale will not be easy. Spanish legislation requires boards of target companies to remain passive and request shareholder approval before doing anything that might prevent an acquisition from succeeding. IS A MERGER GUARANTEED? No. Harsher measures could make BBVA walk away, which it has said is an option. The stock market supervisor is waiting for the government's decision before approving the formal bid, which then BBVA would follow with a formal offer and Sabadell shareholders would have 30 to 70 days to tender their shares. While the government can later block a full merger making the banks operate independently, BBVA could still aim to secure the majority of voting rights or 49.3% of Sabadell's capital. That would allow it to appoint new board members and try to integrate the bank at a later stage. In his June 18 interview, Torres said a deal without a full merger, while not a preferred outcome, would still make sense. He has previously said that would still allow BBVA to achieve most of the targeted cost savings. Sabadell rejects that idea. DO MARKETS EXPECT A TAKEOVER? Judging by the performance of both banks' shares, investors seem to expect a deal with BBVA sweetening its offer, even though it has ruled it out. It is unlikely BBVA will improve its offer until it reaches the bid acceptance period and technically it can do it until five days before it ends. Sabadell's shares already trade above the original 30% premium BBVA offered over the closing price of Sabadell shares before the bid's announcement, and have since outperformed BBVA shares, now valuing the target bank at around 14 billion euros. "The only explanation for it trading at a premium is that the market is still expecting a higher offer," said Nicolas Lopez, Singular Bank's head of equity research. ($1 = 0.9333 euros) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
