Major International Business Headlines Brief::: 26 September 2018

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Major International Business Headlines Brief::: 26 September 2018

 


 

 


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*  Mobilising Kenya’s public transport

*  South Africa's stimulus plan unlikely to boost growth significantly: Fitch

*  Nigeria's central bank governor optimistic over $8.1 bln MTN transfer dispute

*  Nigeria's central bank holds benchmark lending rate at 14 percent

*  Embattled South African construction firm Aveng reports wider FY operating loss

*  Standard Bank says Nigeria may review penalty in MTN funds repatriation

*  South African portfolio inflows plummet in second quarter

*  South Africa rand weakens as stimulus package disappoints

*  Kenya central bank says rate setting meeting will be Tuesday

*  Bank of Ghana keeps policy rate unchanged at 17 pct

*  South Africa's maize harvest forecast to be lowered

*  Nike 'proud' of Kaepernick campaign

*  Argentina's central bank boss Luis Caputo quits after three months

*  Hotpot chain Haidilao sees shares climb 10% in Hong Kong debut

*  Michael Kors snaps up Versace for $2.1bn

*  Qualcomm claims Apple shared tech with Intel

 


 <mailto:info at bulls.co.zw> 

 


 

                                      

South Africa's stimulus plan unlikely to boost growth significantly: Fitch

JOHANNESBURG (Reuters) - South African President Cyril Ramaphosa’s multi-billion dollar plan to turnaround the economy will do little to lift the country’s sluggish economic growth rate, ratings agency Fitch said on Tuesday.

 

“South Africa’s latest economic plan is unlikely to deliver a significant boost to economic growth,” said Fitch, which rates Pretoria’s foreign and local currency debt at subinvestment, adding that rand’s recent plunge would also hinder the plan.

 

“The plan does include measures that could support growth, but many relate to long-standing policy ideas that have been slow to implement,” Fitch said of the plan announced by Ramaphosa on Friday to pull the economy out of recession.

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

Mobilising Kenya’s public transport

After 15 years in the United States, Mary Mwangi planned to return to Kenya, launch a payment product, let it run itself and head back to the States.

 

However, after launching Data Integrated, she found that SMEs were facing intricate issues that would see her stay and launch the first IoT (Internet of Things) powered public transport management system in Kenya.

 

 

Take us back to the beginning of this business

“I worked a lot in banking and in business auditing while I was in the US,” Mwangi says. From her audit experience, she understood the power behind efficient digital infrastructures. In 2011 she was attracted to the growth of mobile money in her home country Kenya, where she saw the opportunities in the system that brought her back home.

 

Mwangi started Data Integrated, a digital payments company, in 2012 to bridge a gap in the mobile payments market. “A lot of people were using mobile money, but for money transfers and not for commercial purposes,” she said. Customers would withdraw money from their mobile wallets and use hard cash in transactions. Business owners would then transfer the hard cash to their mobile wallets.

 

“I thought it would be helpful if the businesses could actually be paid using mobile money.” She said installing an accounting system through which mobile money transactions could be recorded would be to the advantage of businesses, and so she began to solve these challenges.

 

How did the she grow the company into the business it is today?

Mwangi says she owes her success to her family, as they have been supportive by financing the business to grow to where it is currently.

 

 

“Most of my family members have been in business for a long time, so they understood my venture,” she said. It is also her family who urged her to come back from the US and settle in Kenya.

 

Her dream was to stay in Kenya for two to three years to get the business to work or give it to someone else to run, and then go back to the US. “But as I got into it, I realised there are actual people in the background who we are trying to create a solution for.”

 

Today, Data Integrated has several payment products. This includes the MobiTill Epesi Smart Public Transport app, which is revolutionising how vehicle owners manage their fleets. The digital payment app also calculates earnings by using a smart camera to count the number of passengers that board a vehicle – a first in the Kenyan market.

 

Other products include a payroll system for SMEs and point of sale machines. As Data Integrated gears towards local production of these machines, it expects to see a rise in employee numbers, which currently stands at 23.

 

 

The company hopes to capture the Kenyan transport market in the coming months with their solutions and have signed up several public transport associations.

 

She says returning to Kenya to start the company will always be one of the best decisions she has made, and she is no longer contemplating going back to the US.

 

Surely it couldn’t have been that easy. She must have faced some challenges?

“Being a payment platform, we need to integrate with banks and telecoms for payments. Establishing those partnerships has been a real challenge. A contract that should take something like two months, takes two to three years before we close,” she says.

 

Being unknown in the market was another hurdle she had to overcome. “There is bias against local founders. You have to prove yourself more than a foreign founder to some of the telecoms and banks,” she says.

 

“It slows down [the] progress of many local companies, and most ventures have died because of that,” she observes, adding that it also takes longer for integration to happen due to banks’ and telecommunications companies’ concerns about cyber security.

 

Anything we can learn from her experiences?

Having a product that works has been more valuable to Mwangi than traditional marketing. Her company started getting calls from potential customers after they witnessed how the solutions worked for other companies.

 

 

She says customers’ testimonies about the company’s products were its initial marketing. “We didn’t even think we were doing marketing. We were just trying to finish and test the product.”

 

The company has now created a marketing department to come up with an awareness campaign for its solutions.

 

“I don’t think my employees are motivated by money, but rather by the goal we are working towards – to build a better payment system for the SMEs. We are building products to benefit others. They are also learning a lot in the process.”

 

Mwangi hopes that in 10 years’ time she would have sold her business, after having achieved what it set out to do – offering reliable payment and accounting tools to businesses. After that, she hopes to venture into fixing other challenges in the systems around her.--howwemadeitinafrica

 

 

 

Nigeria's central bank governor optimistic over $8.1 bln MTN transfer dispute

ABUJA (Reuters) - Nigeria’s Central Bank Governor Godwin Emefiele said on Tuesday he was optimistic the bank would resolve a dispute linked to allegations that South African telecom firm MTN moved funds out of the country illegally.

 

The regulator last month ordered MTN and its banks to bring $8.134 billion back into Nigeria which the central bank alleged the company had sent abroad in breach of foreign exchange regulations.

 

MTN’s latest troubles come about two years after it agreed to pay more than $1 billion to settle a dispute over SIM cards in Nigeria, whose finances have been hit by a weak economy and volatile global oil prices.

 

Emefiele said the crux of the latest alleged infraction, related to the repatriation of funds, was that MTN did not obtain final approval before moving the naira equivalent of $8.1 billion from its profits out of Nigeria.

 

MTN and its banks have written to the central bank and provided documents on the matter, Emefiele said.

 

 

“I am very optimistic we will resolve the matter and I believe that everybody will be happy. MTN will be happy, the banks will be happy. CBN and government would be happy,” Emefiele told reporters in Abuja.

 

Nigeria, which accounts for a third of MTN’s annual core profit, is MTN’s biggest market and Emefiele said MTN was “systemically important” to his country.

 

Emefiele said an investigation into the matter started two years ago. He said inadequate responses from the telecoms group compelled it to publish its finding.

 

The central bank announcement on Aug. 29 sent MTN shares in Johannesburg down by nearly a third but they have recovered after the Nigerian regulator softened its stance on the matter. The shares initially fell on Tuesday but rallied from the previous session to gain 3.24 percent by 1445 GMT.

 

MTN’s lenders; Standard Chartered, Stanbic IBTC Bank, Citibank and Diamond Bank were also fined in connection to the money transfer.

 

Earlier on Tuesday, Standard Bank, said Nigeria’s central bank would not be debiting its local unit Stanbic for $2.6 billion, which the regulator said was the bank’s portion of the MTN funds which had been sent abroad.[nL8N1WB1H7]

 

Emefiele said any liability arising from the funds transfer was that of MTN and not its banks.

 

 

 

Nigeria's central bank holds benchmark lending rate at 14 percent

ABUJA (Reuters) - Nigeria’s central bank kept its main interest rate at 14 percent on Tuesday, Governor Godwin Emefiele said, in a split decision that reflected the bank’s need to contend with both sluggish growth and accelerating inflation.

 

Emefiele said three of the 10 members of the monetary policy committee who met voted to tighten by 25 basis points. The rate has been at a record high 14 percent since July 2016, and analysts polled by Reuters predicted the bank would again leave rates unchanged.

 

Nigeria emerged from its first recession in 25 years in 2017 but continues to suffer from sluggish growth and high inflation.

 

“There is need to maintain the current monetary policy stance and await a clearer understanding of the quantum and timing of liquidity injections into the economy before deciding on possible adjustments,” Emefiele said.

 

Annual inflation rose in August over the previous year for the first time in a year and a half, driven by food prices. And economic growth dipped to 1.50 percent in the second quarter, continuing a trend of slowing growth that began in the first quarter.

 

 

President Muhammadu Buhari, who came to power in 2015 partly on promises to restore Nigeria’s economy, plans to seek a second term in elections to be held in February 2019.

 

 

 

Embattled South African construction firm Aveng reports wider FY operating loss

JOHANNESBURG (Reuters) - South Africa’s Aveng reported on Tuesday a wider annual net operating loss due to declining revenue in two business units in its manufacturing business as well as under-performance of three key contracts in its core mining Moolmans unit.

 

After market close, the construction firm reported a net operating earnings loss of 401 million rand ($27.92 million) for the year ended June compared to an adjusted loss of 113 million rand in 2017.

 

Moolmans, which specialises in both surface and underground mining, is grappling with problematic contracts which caused the business to report a 95 percent decline in net operating earnings. Aveng said it will renegotiate or exit some contracts in order to derisk the business.

 

The manufacturing business jumped into a net operating loss of 196 million rand from a profit of 51 million rand, reflecting weak operating conditions in the infrastructure, rail, underground mining and water sectors.

 

Aveng undertook a strategic review in 2017 which included the disposal of non-core assets such as Aveng Trident Steel, Aveng Grinaker-LTA and Aveng Manufacturing.

 

The review also included reducing debt and improving the firm’s liquidity by settling all of or a portion of its 2 billion rand convertible bonds before their July, 2019 maturity date and a rights issue.

 

Aveng anticipates the disposals to be completed by June, 2019.

 

“In the short-to medium-term, the board, executive committee and management of Aveng will remain focused on accelerating the group’s turnaround. This will include the management of liquidity and the disposal of the non-core assets by the targeted deadline of June 2019,” it said in a statement.

 

The group’s rights offer, concluded in July, raised 493 million rand of new capital from shareholders, while the early bond redemption removed 1.5 billion rand of debt from its balance sheet, it said.

 

The firm’s two-year order book declined by 28 percent to 17.9 billion rand.

 

($1 = 14.3600 rand)

 

 

 

Standard Bank says Nigeria may review penalty in MTN funds repatriation

JOHANNESBURG (Reuters) - Standard Bank said Nigeria’s central bank may review its decision to penalise its West African unit for allegedly breaking the law in helping South African mobile phone group MTN send money abroad.

 

Stanbic IBTC Bank is one of four banks that the Central Bank of Nigeria (CBN) accused of helping MTN to illegally repatriate $8.1 billion.

 

“The CBN has written to advise the Bank that it will examine new submissions and documentation made by the Bank, and where justified, it will review its earlier decision on the penalty it imposed on the Bank,” Standard Bank said on Tuesday.

 

 

 

South African portfolio inflows plummet in second quarter

PRETORIA (Reuters) - Portfolio investments into the South African economy fell sharply in the second quarter, as investor risk aversion towards emerging markets was rising, central bank data showed on Tuesday.

 

Inward investment into South African bonds and equities shrank to 16.6 billion rand ($1.16 billion) from 89.4 billion rand in the first three months of the year, the Reserve Bank said.

 

Appetite for bonds was hardest-hit, with non-resident investors cutting their purchases to a net 3.8 billion rand in the second quarter from 46.9 billion rand in the first quarter. Purchases of equities fell to 12.8 billion rand from 42.5 billion rand.

 

Africa’s most industrialised economy relies partly on volatile portfolio flows to fund its budget and current account deficits.

 

The central bank did not give a reason for the slump in investment into South African assets, but during the second quarter global investors were scaling back their allocations towards emerging markets as worries about the health of the Turkish and Argentinian economies grew.

 

That was followed by a steep sell-off in emerging market assets in the third quarter, as investors fretted that economies like South Africa could suffer from contagion from turmoil on Turkish and Argentinian financial markets.

 

Separately, plans by South Africa’s African National Congress to speed up land redistribution had started to unnerve investors, despite assurances from the ruling party that land reform would follow a parliamentary process and the economy would not be negatively impacted.

 

Reserve Bank data also showed on Tuesday that South Africa’s total external debt increased to 2.165 trillion rand at the end of the first quarter, from 2.130 trillion rand at the end of last year, mainly due to an increase in rand-denominated external debt.

 

On Friday, President Cyril Ramaphosa announced a multi-billion-dollar stimulus plan to pull South Africa out of recession.

 

 

 

South Africa rand weakens as stimulus package disappoints

JOHANNESBURG (Reuters) - South Africa’s rand was on the back foot on Tuesday amid weak emerging market sentiment and with investors unimpressed by an economic stimulus package announced by President Cyril Ramaphosa last week that included no new money.

 

At 0645 GMT the rand was 0.36 percent weaker at 14.3325 per dollar, having closed in New York at 14.3850.

 

The ramp-up in trade war tensions continues to rattle investor confidence as the U.S. and China showed no signs of backing down and the escalating trade row is expected to hit global economic growth.

 

Investors remain skittish on the rand following the announcement of a stimulus programme that will see a reallocation of the budget but does not involve an injection of new cash.

 

In fixed income, the yield on the benchmark government bond due in 2026 was up 3 basis points to 9.115 percent.

 

Stocks are due open lower at 0700 GMT, with the JSE securities exchange’s Top-40 futures index down 0.6 percent.

 

 

 

Kenya central bank says rate setting meeting will be Tuesday

NAIROBI (Reuters) - Kenya’s central bank said on Monday its Monetary Policy Committee would meet to set rates on Tuesday, Sept. 25.

 

The bank had earlier said the meeting would be held on Sept. 24. It did not give a reason for the change in dates.

 

 

 

Bank of Ghana keeps policy rate unchanged at 17 pct

ACCRA (Reuters) - Ghana’s central bank kept its benchmark interest rate unchanged at 17 percent on Monday as expected, mindful of possible inflationary headwinds as the dollar strengthened, governor Ernest Addison said.

 

Monday’s decision to hold rates steady, the second this year, would also help to cushion any spillover effect from fuel price increases and a potential trade war between the United States and China, Addison told reporters in Accra.

 

He said the most recent forecast showed the rate of disinflation slowing marginally on possible second-round effects of recent increases in petroleum prices, exchange rate depreciation and tax increases.

 

Ghana is a major commodity exporter but its cedi currency has been unstable since May, touching new lows this month, as investors pulled away from emerging market assets.

 

“Given these considerations and weighing the balance of risks, the committee decided to keep the policy rate unchanged, but will continue to monitor closely developments in the coming months and take the appropriate actions to address any potential threats to the inflation outlook,” Addison said.

 

Ghana’s public debt rose to $33.9 billion as at July, representing 66 percent of Gross Domestic Product while net reserves stood at $3.8 billion or two months’ import cover, down from $4.1 billion in June.

 

An outright majority of economists and analysts polled for Ghana, Kenya, Nigeria and South Africa last week said their central banks would hold rates at 17 percent, 9 percent, 14 percent and 6.50 percent respectively at their September meetings.

 

 

South Africa's maize harvest forecast to be lowered

JOHANNESBURG (Reuters) - South Africa’s latest 2018 maize crop forecast, due to be released on Wednesday, is expected to be lower than previous estimates due to a late start to the harvest, a Reuters poll of four analysts showed on Tuesday.

 

The government’s Crop Estimates Committee (CEC) is seen pegging the harvest at 13.002 million tonnes in its eighth and final estimate, down 1.5 percent from the 13.207 million tonnes it estimated in August.

 

“There was a slow delivery pace from a late harvest season, especially in the western regions of the country, and hence the expectation that deliveries will miss target,” said Warren Langridge, a grain trader at Riddermark Capital.

 

Some analysts also said that yields have been lower than in previous seasons.

 

The CEC has kept estimates unchanged at 13.207 million tonnes for three consecutive forecasts.

 

The analysts polled expect the 2017/2018 harvest of the food staple white maize crop to be 6.782 million tonnes.

 

Yellow maize, which is mainly used in animal food production, is forecast at 6.220 million tonnes.

 

The white maize contract closing in October was 1.78 percent higher on Tuesday at 2,350 rand($164), far off highs of 5,350 rand reached in 2016 after a severe El-Nino induced drought impacted yields and plantings.

 

($1 = 14.3535 rand)

 

 

Nike 'proud' of Kaepernick campaign

Nike's controversial ad campaign featuring Colin Kaepernick has sparked "record" engagement and is driving sales, chief executive Mark Parker told financial analysts.

 

He made the remarks on a conference call after the release of the firm's quarterly results on Tuesday.

 

Early analysis suggested the Kaepernick campaign has been a success for Nike.

 

But the firm had yet to offer its own description of the response since the ads launched this month.

 

"It's resonated... quite strongly with consumers, obviously here in North America, but also around the world," Mr Parker told analysts.

 

"Like many campaigns, it's driving a real uptick in traffic and engagement, both socially as well as commercially."

 

Mr Kaepernick, a former quarterback for the American football team, the San Francisco 49ers, is known for his refusal to stand during the national anthem in protest of police brutality and racism.

 

His action inspired other players to follow suit, but was attacked by Donald Trump and other conservatives, leading to heated debate in the US.

 

Mr Parker said the firm feels "very good and very proud" of the ad campaign.

 

His positive tone extended into the discussion of the firm's quarterly results, which pre-dated the launch of the campaign.

 

Nike said revenues in the period increased 10% year-on-year to $9.9bn (£7.5bn).

 

Profits jumped by 15% to more than $1bn, lifted in part by the firm's focus on direct sales, which allow it to cut out middlemen and command higher prices.

 

Sales in North America rose 6% in the quarter, accounting for about 40% of overall revenue.

 

Sales climbed by 24% in Greater China and 11% in the company's Europe, Middle East and Africa region.

 

Nike shares have gained over the last year, as sales growth in its important North America division returned.

 

"We are thrilled with our momentum," said Andy Campion, the firm's chief financial officer.--BBC

 

 

 

 

Argentina's central bank boss Luis Caputo quits after three months

The head of Argentina's central bank has resigned amid reports of a row over policies to restore confidence in the country's ailing economy.

 

Luis Caputo had only held the post since June, and the surprise resignation sent the peso falling further against the US dollar.

 

A statement said he quit for personal reasons and will be replaced by deputy economics minister Guido Sandleris.

 

Argentina is finalising a $50bn bailout from the International Monetary Fund.

 

With Argentina in recession, interest rates at 60%, and the peso's value halving this year, the country needs the IMF loan to bolster confidence in the economy.

 

President Mauricio Macri is in New York this week for a United Nations meeting, but was due to meet Wall Street financiers and potential investors.

 

Argentine GDP in steepest fall since 2014

Why confidence in Argentina's economy is dwindling

When Mr Caputo, a former finance minister, was appointed three months ago, there were questions about the government's commitment to the central bank's independence.

 

A statement from the bank said: "This resignation is due to personal reasons, with the conviction that a new agreement with the International Monetary Fund will re-establish confidence in the fiscal, financial, monetary and exchange rate situation."

 

However, the news sparked a further 4% fall in the peso, while the country's main share market fell more than 5% at the open.

 

Argentina's Ambito Financiero financial newspaper reported that there may have been differences between Mr Caputo and finance minister Nicolas Dujovne. It is thought that Mr Caputo did not play a central role in the IMF negotiations.

 

Last week the government announced that Argentina's economy shrank by 4.2% in the second quarter, its sharpest quarterly contraction since 2014.

 

The decline was accompanied by a steep fall in exports, after a drought hurt the country's agricultural sector.

 

These are crucial days for the future of Argentina.

 

The country's currency is suffering from a major confidence crisis that could potentially be averted if the government secures backing from the IMF and pushes through with some of its economic reforms.

 

But questions have also been raised about lack of leadership.

 

Mr Macri has been criticised for announcing the IMF deal on television last month before it was actually negotiated in Washington.

 

There are reports of backstage disputes within his economic team, which gained traction with the resignation of Mr Caputo.

 

While the deal is not finalised, markets are operating more on rumours than on news. Some say Argentina could get extra funds from the IMF.

 

Meanwhile, the opposition is gathering support in the streets with a 24-hour strike on Tuesday that could be just a taste of what lies ahead for Argentina.--BBC

 

 

 

Hotpot chain Haidilao sees shares climb 10% in Hong Kong debut

Beijing-based international hotpot chain Haidilao saw its shares climb as much as 10% in early trade, as it made its debut in Hong Kong.

 

The firm's retail shares were oversubscribed by more than five times, highlighting the intense interest from investors.

 

The restaurant is famous for offering free manicures and snacks while you wait up to two hours for a table.

 

It is one of several high-profile debuts in Hong Kong this year.

 

Haidilao's shares, which were priced at 17.80 Hong Kong dollars ($2.27; £1.73) - the top end of the indicated range - opened at HK$18.80, and rose to as much as HK$19.56 in early trade.

 

However, by mid morning they had come back to HK$18.52.

 

Haidilao International Holding, the hotpot restaurant's owner, is aiming to raise $HK7.3bn ($935m; £711m) via its listing, with some 60% of the proceeds already destined to finance part of its global expansion plan.

 

The company has 363 restaurants in total - the bulk of which are on mainland China.

 

It operates 31 restaurants in Taiwan, and Hong Kong, and has international outlets in Singapore, South Korea, Japan and the US.

 

Research firm Frost and Sullivan has said it is the fastest-growing major Chinese cuisine restaurant brand on mainland China, and globally, with revenues jumping 36% between 2016 and 2017.

 

Despite the chain's infamous waiting times, Haidilao reckons it still seats more than 100 million guests a year around the world.--BBC

 

 

 

Michael Kors snaps up Versace for $2.1bn

US fashion giant Michael Kors has confirmed a $2.1bn takeover of Versace in a move that has outraged some fans of the Italian fashion house.

 

Creative director, Donatella Versace, has run Versace since the 1997 murder of her brother Gianni.

 

She called the sale a "very exciting moment" and said it would "allow Versace to reach its full potential".

 

Donatella will continue to lead Versace's "creative vision", said Michael Kors chief executive John Idol.

 

Mr Idol said Versace represented the "epitome of Italian fashion luxury" and its acquisition was an important milestone for the company, which is being renamed Capri Holdings.

 

Private equity firm Blackstone Group, which bought a 20% stake in the firm four years ago, will sell its holding.

 

The new owner plans to increase the number of Versace outlets from 200 to 300 stores.

 

It also plans to more than double turnover to $2bn, partly by boosting the percentage of footwear and accessories - a category that is often more affordable and faster-selling - from 35% to 60% of revenues.

 

Versace's vivid and distinctive brand has been worn by some of the world's highest-profile stars and graced the pages of newspapers and magazines more often than almost any other luxury fashion brand.

 

A key moment came in 1994 when the unknown Elizabeth Hurley accompanied boyfriend Hugh Grant to the premiere of Four Weddings and a Funeral. The tabloids could not believe the sight.

 

Versace, until then just another Italian fashion brand, became synonymous with "That Dress".

 

The brand has since been most valued by the glitzier ranks of the famous, with Michael Jackson and Princess Diana among its fans. She attended Gianni Versace's funeral, along with Elton John, who has also been a keen wearer of Versace.

 

The newer generation include Nicki Minaj, a clutch of Kardashians and Jenners, and the Beckham family, the latter are among the mere 161 people Donatella follows on Twitter.

 

But those fearing a despoiling of the Versace magic may be worrying unnecessarily.

 

Michael Kors is also known as a luxury brand, although a lot of its ranges carry lower price tags, which give the label a far wider customer base.

 

He designed the first women's ready-to-wear collection for high-end Paris fashion house Celine.

 

Customers have included Taylor Swift, Angelina Jolie, the leading Trump women and Michelle Obama.

 

The business expanded last year by buying luxury shoemaker Jimmy Choo another tabloid fashion favourite, for almost £900m.

 

The Versace purchase will help position Michael Kors as a competitor to French luxury conglomerates LVMH and Kering and the Swiss company Richemont, analysts said.

 

Versace reported sales of €686m for 2016 and its chief executive Jonathan Akeroyd, who will also stay on, said earlier this year that annual turnover was soon expected to exceed €1bn.

 

With Donatella remaining at the creative helm, the Versace fans who have protested at the takeover may not notice any change. After all, why buy a well-loved business and tear up what makes it appealing?

 

Studied acting but decided to become fashion designer at aged 14.

 

Enrolled at the Fashion Institute of Technology in New York City but dropped out after only nine months to work at Lothar's boutique in Manhattan.

 

In 1981, Kors launched his Michael Kors women's label at upmarket New York store, Bergdorf Goodman.

 

Filed for bankruptcy protection in 1993 but relaunched four years later with a cheaper line, while also becoming the first women's ready-to-wear designer for French luxury fashion house, Celine.

 

Left Celine in 2003 to focus on his own brand.—BBC

 

 

 

Qualcomm claims Apple shared tech with Intel

US chipmaker Qualcomm has accused Apple of sharing its technology with rival suppliers including Intel in a theft intended to improve the performance of non-Qualcomm chips.

 

The complaint, made in a filing in a Californian court, marks the latest clash between the two firms.

 

Apple has separately accused Qualcomm of abusing its market dominance in microchips.

 

Its objections centre around the fees charged by Qualcomm for its technology.

 

For years, Qualcomm supplied Apple with items such as processors for its iPhones and other hardware, but iPhone maker has favoured Intel more recently.

 

In the new court filing, Qualcomm said Apple engineers supplied Intel staff with Qualcomm's confidential source code with the aim of improving the performance of Intel chips, despite a contract intended to restrict access to the technology.

 

Qualcomm alleged the move was part of an "intricate plan" developed by Apple over several years, with the aim of cutting costs and increasing its leverage over Qualcomm.

 

The breach has caused damages "including, but not limited to lost profits", while "unjustly" enriching Apple, the filing says.

 

Qualcomm is seeking to add the claims to a lawsuit first filed last year.

 

The initial complaint alleged that Apple violated the terms of their contract, including by resisting Qualcomm's efforts to audit its compliance.

 

Separately, Qualcomm has also accused Apple of violating its patents.

 

Apple declined to comment on the new filing and referred the BBC to a statement issued in June last year.

 

Qualcomm supplies "us with a single connectivity component, but for years have been demanding a percentage of the total cost of our products - effectively taxing Apple's innovation", Apple said then.

 

"We believe deeply in the value of intellectual property but we shouldn't have to pay them for technology breakthroughs they have nothing to do with. We've always been willing to pay a fair rate for standard technology used in our products and since they've refused to negotiate reasonable terms we're asking the courts for help," Apple added.

 

Intel declined to comment.

 

The complaint extends the long-running battle between the two technology giants, which has also attracted interest from regulators in the US, Europe and elsewhere.

 

In 2016, regulators in South Korea fined Qualcomm for violating the country's competition laws.

 

The US Federal Trade Commission, a consumer and competition watchdog, has also argued that Qualcomm's approach to licensing technology, which includes the demand for royalty payments, harms competition.--BBC

 


 

 


 

INVESTORS DIARY 2018

 


Company

Event

Venue

Date & Time

 


Hippo

AGM

Meikles

26/09/2018 12PM

 


Bindura

AGM

Chapman Golf Club, Eastlea

27/09/2018 9AM

 


CBZH

interim dividend of 0.5c per share record date

 

28/09/2018

 


Hippo

final dividend of 2c per share record date

 

28/09/2018

 


Star Africa

AGM

45 Douglas Road, Workington

28/09/2018 11AM

 


 

 

 

 

 


 

 

 

 


 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

 


DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of Faith Capital (Pvt) Ltd for general information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy or subscribe for any securities. The information contained in this report has been compiled from sources believed to be reliable, but no representation or warranty is made or guarantee given as to its accuracy or completeness. All opinions expressed and recommendations made are subject to change without notice. Securities or financial instruments mentioned herein may not be suitable for all investors. Securities of emerging and mid-size growth companies typically involve a higher degree of risk and more volatility than the securities of more established companies. Neither Faith Capital nor any other member of Bulls ‘n Bears nor any other person, accepts any liability whatsoever for any loss howsoever arising from any use of this report or its contents or otherwise arising in connection therewith. Recipients of this report shall be solely responsible for making their own independent investigation into the business, financial condition and future prospects of any companies referred to in this report. Other  Indices quoted herein are for guideline purposes only and sourced from third parties.

 


 

 


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Telephone:      <tel:%2B263%204%202927658> +263 4 2927658

Cellphone:      <tel:%2B263%2077%20344%201674> +263 77 344 1674

Alt. Email:       <mailto:info at bulls.co.zw> info at bulls.co.zw  

Website:         <http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw&sa=D&sntz=1&usg=AFQjCNH8LYgdY55h-XKseuM8Kpr-JKdfhQ> www.bulls.co.zw 

Blog:            <http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw%2Fblog&sa=D&sntz=1&usg=AFQjCNFoIy6F9IXAiYnSoPSgWDYsr8Sqtw> www.bulls.co.zw/blog

Twitter:         @bullsbears2010

LinkedIn:       Bulls n Bears Zimbabwe

Facebook:      <http://www.google.com/url?q=http%3A%2F%2Fwww.facebook.com%2FBullsBearsZimbabwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA> www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 



 

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