Major International Business Headlines Brief::: 20 November 2020

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Major International Business Headlines Brief::: 20 November 2020

 


 

 


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ü  Buzzfeed to take over online news site HuffPost

ü  Maybach: Strong sales in China drive double sales

ü  Port troubles leave UK bookseller with no books

ü  IMF: Economy 'losing momentum' amid virus second wave

ü  Brexit: Top-level talks suspended after positive Covid test

ü  President Xi at Apec: China pledges to open up its 'super-sized' economy

ü  Stocks wobble after Mnuchin pulls plug on Fed stimulus

ü  Tesla surge adds to dominance of S&P 500's biggest players

ü  Facebook probe in final stages as FTC, U.S. states prepare lawsuits

ü  Nigeria: Govt Signs Fuel Transportation, Storage Deal With Niger Republic

ü  Nigeria: Niger Delta Leaders Give Condition for Termination of Amnesty
Programme

ü  Rwanda: Parliament Approves Deal for Rwandair to Fly to Five New Routes

ü  Nigeria: Crude Oil Discovered in Commercial Quantity in Benue Trough -
NNPC

ü  Zambia FinMin: Default raises risk of legal action by bondholders

 

 

 

 

 

 

 

 

 

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


Buzzfeed to take over online news site HuffPost

Online news and lifestyle site Buzzfeed is taking over HuffPost in a deal
that brings together two of the most high-profile digital media firms.

 

Seller Verizon Media will become a minority shareholder in Buzzfeed as part
of the deal and invest in the combined company.

 

The two firms will also join up for advertising and sharing content, a
partnership they said would "create new revenue opportunities".

 

The price was not disclosed.

 

Buzzfeed chief executive Jonah Peretti will lead the combined business. He
co-founded HuffPost, formerly known as the Huffington Post, in 2005 with
publisher Arianna Huffington and started Buzzfeed a year later.

 

HuffPost rose to prominence during the George W Bush presidency as a site
for liberal bloggers, many of whom contributed for free.

 

Buzzfeed made its name creating content like listicles and quizzes, which
drew young audiences. It also brought on reporters for its news site.

 

But digital media firms have struggled to draw online advertising dollars
away from tech giants such as Facebook and Google. In recent years, Buzzfeed
and HuffPost have both shed staff. In May, Buzzfeed closed its newsrooms in
the UK and Australia and slashed staff pay.

 

Mr Peretti said the new deal would increase Buzzfeed's heft, by adding
HuffPost readers to its audience and allowing it to tap into Verizon's ad
network.

 

HuffPost is expected to remain a standalone brand, alongside other Buzzfeed
sites, including Tasty and Buzzfeed News.

 

A spokeswoman for Buzzfeed declined to comment on the possibility of job
losses triggered by the tie-up.

 

Verizon Media is part of a US telecom giant, which is known primarily for
its pay-TV and mobile phone service. It acquired HuffPost in 2015 when it
bought AOL for $4.4bn (£3.32bn), later combining it with Yahoo.

 

Just a few years later, it wrote down the value of the properties by nearly
$5bn.

 

"While considering opportunities to work together, naturally, Jonah and I
also discussed the property he co-founded, HuffPost," said Verizon Media
boss Guru Gowrappan.

 

"We quickly realised BuzzFeed's strategy would complement HuffPost's
roadmap, injecting it with new energy and growing the brand into the future.

 

"We are deeply invested in the continued success of HuffPost and I couldn't
think of a better partner to take HuffPost to the next level."

 

A few years ago companies like BuzzFeed and HuffPost were growing fast.

 

The business model was simple. Produce viral content aimed at younger,
online savvy audiences and cash in on online advertising revenue.

 

That hasn't been as lucrative as they would have hoped.

 

Ads on digital news stories can actually be quite a clunky way to advertise
- less focussed than many advertisers would like.

 

So Facebook and Google, which offer incredibly bespoke targeting, mop up a
massive percentage of online advertising. More than half of all the money
spent on online advertising is with these two companies.

 

Many smaller digital media companies were laying off staff even before the
pandemic. Covid-19 has inflamed these problems. People, stuck at home, are
clicking more, but advertisers have been cautious.

 

That's left companies that were seen as revolutionary only a few years ago
trying to work out how to survive.

 

This takeover should be seen in this context - the latest attempt to find a
better way of making digital media work financially.--BBC

 

 

 

Maybach: Strong sales in China drive double sales

Carmaker Daimler plans to double sales of its luxury Maybach vehicles,
buoyed by strong demand in China.

 

Daimler, which also owns Mercedes-Benz, sold a record 12,000 luxury Maybachs
last year.

 

They are used widely as limousines in China, the car's most popular market.

 

Prices start at $173,000 (£130,000) for the latest model. However, this can
rise to more than $250,000 with the addition of optional extras like silver
champagne flutes.

 

Buyers also often go for gadgets such as massaging calf rests and automated
rear doors.

 

The new Maybach model, based on a Mercedes-Benz S-Class, is designed for
chauffeured trips, and will compete with the likes of the Bentley Flying
Spur and the Rolls-Royce Ghost.

 

Daimler says it wants to have a stronger focus on large luxury vehicles like
the S-Class as part of its strategy to improve profits.

 

The growth rate in China for Maybach was in double figures while Russia,
South Korea and the US have shown strong sales, according to its chief
executive Ola Kaellenius.

 

Other luxury carmakers have also seen strong sales in China. Rolls-Royce's
parent company BMW said earlier this month that its third-quarter profits
grew almost 10% due to pent-up demand, primarily from Asia.

 

In September, Rolls-Royce unveiled its new Ghost model, which is expected to
retail at around £250,000.

 

The carmaker's boss Torsten Müller-Ötvös told the BBC that markets in Asia,
Europe and the US were now "more or less back to normal".

 

Electric charge

Daimler also plans to make a range of fully electric Maybach models, which
are likely to do well in China.

 

China is leading a switch to electric vehicles (EV) in emerging markets,
with ambitious plans to be carbon neutral by 2060.

 

A shift to EVs will save governments $250bn a year in oil imports and cut
expected growth in global oil demand by 70%, according to a new report from
the financial think tank Carbon Tracker.

 

China, the world's largest luxury car market, wants new energy vehicle (NEV)
sales to reach around a quarter of all car sales in 2025.

 

Other carmakers are revising their electric vehicle ambitions with General
Motors (GM) the latest to reveal new targets.

 

GM plans to launch 30 all-electric models worldwide by 2025, while
increasing its investment in those vehicles by more than a third.The US
company now plans to invest $27bn in electric vehicles by 2025, compared to
the $20bn it announced in March.

 

VW-owned Bentley is also pushing hard to convert to electric vehicles. By
2026, all of its cars will be either hybrid or battery-electric powered. By
2030, all new models will be pure electrically powered.--BBC

 

 

 

Port troubles leave UK bookseller with no books

A UK book publisher says congestion at Felixstowe Port has left it with no
books to sell in the lead up to Christmas.

 

Colin Hoad and Matt Green run a publishing company, Idesine, which has 4,000
books stuck on a ship that has been trying to dock since 31 October.

 

They are one of many businesses encountering problems importing goods.

 

Importers say congestion issues at UK ports have led to shipping firms
quadrupling their freight costs.

 

"People are contacting us saying they've paid for books on pre-order as
gifts, and we ultimately can't guarantee delivery," Mr Hoad said.

 

Delays at Felixstowe have been caused by a surge in import traffic as
companies increased orders after the initial lockdown and some looked to
stockpile goods before the end of the Brexit transition period.

 

The pandemic has made matters worse as large orders of PPE added to the
backlog of containers on the quayside.

 

The port's owner, Hutchison UK, has said it is in the process of recruiting
an additional 104 equipment drivers plus a number of engineers to help solve
the problem.

 

But congestion at England's ports is now so bad, some shipping firms have
limited the amount of cargo they will bring to the UK.

 

One of the world's biggest shipping lines, CMA CGM, told the BBC it was
allocating less space on its fleet for UK imports for the time being.

 

"UK ports are currently experiencing yard and port congestion mostly in
Felixstowe, and in London Gateway and Southampton to a lesser extent," said
a spokeswoman for CMA CGM Group.

 

"We are controlling import volumes while maximising empty container
evacuation wherever possible."

 

Empty containers waiting to be shipped back to Asia are causing traffic jams
at ports across Europe and North America. That could have knock-on effects
for companies' Christmas orders, said Peter Wilson, managing director of the
UK freight forwarder Cory Brothers.

 

"We are already seeing that goods due by Christmas
 are very unlikely to
arrive because they're in their origin ports, waiting for containers," he
said.

 

Causing even further headaches for importers, shipping companies have
sharply increased freight prices in response to the congestion at UK ports -
some by as much as 300%.

 

"What the lines are trying to do is to dissuade people sending stuff to the
UK," said Alan Joseph, operations director of The Cotswold Company, which
imports some of its wooden furniture from Asia.

 

This week, a freight company quoted a price of $8,000 to transport a 40ft
container from Asia to the UK.

 

"At the end of September, market rates were less than a quarter of that, at
$1,700 per unit," Mr Joseph said.

 

He added that while individual businesses will negotiate unique import costs
based on the volume of goods they want to move, at the moment, prices are
increasing across the board. And there are few alternatives for businesses
whose goods are manufactured overseas.

 

"Airlines are not moving as much cargo because there are fewer passenger
flights. The railway from China to Germany is now quoting rates in excess of
$10,000 per container - which is not much of an option."

 

He said two other shipping firms are now refusing bookings for importing
refrigerated containers to the UK.

 

"It's a worrying sign that big shipping lines are drastically reducing UK
volumes because so much of the imports in the UK arrive through our ports,
and if there's less coming there are less supplies of everything that gets
imported."

 

Importing stock is also becoming increasingly difficult for Joe Burgin, who
is head of supply chain at the garden furniture firm Supremo Leisure, based
in Telford. The business has been booming recently as the virus led to
people spending more on their outdoor spaces.

 

"Previously for us, shipping cost $1,400-$1,500 tops per 40ft unit, which
was manageable," he said.

 

"Now in negotiations with freight companies, prices have more than doubled
and there are fears it could move even higher. We're predicting this to last
until at least January, which makes business planning pretty challenging."

 

'Incredibly frustrating'

The ship carrying books belonging to publisher Idesine was originally
supposed to dock at Felixstowe at the end of October, but the port was too
busy so it was diverted to Europe.

 

Since Saturday, the ship has been moored outside Felixstowe waiting for a
berthing slot.

 

After launching the company in June, Matt Green now has 2,500 pre-paid
orders waiting to be delivered.

 

"It's incredibly frustrating that we can't get the book into our customers'
hands," he said. "We just hope that we can do it before Christmas."

 

Shipping analysts say ports across the world are battling to manage the
surging demand for imports, and Felixstowe has struggled to cope.

 

"At the moment, the port has become a bottleneck because other elements of
the supply chain have got out of balance," said Eleanor Hadland, a ports
analyst at the maritime consultancy Drewry.

 

She said getting a berthing slot at Felixstowe "is like trying to get a
Tesco delivery in the beginning of lockdown".

 

"Partly that's because of Covid, partly Brexit preparation and a lot of
external factors which have resulted in ports reporting congestion. But
Felixstowe could have dealt better with these external challenges," she
said.

 

Hutchison UK has warned congestion at Felixstowe Port could continue into
the new year.--bbc

 

 

 

IMF: Economy 'losing momentum' amid virus second wave

The global economic recovery may be losing momentum as coronavirus
infections surge again, the International Monetary Fund has warned.

 

Fund chief Kristalina Georgieva said more economic help is needed, and
warned countries against withdrawing aid too soon.

 

Recent progress towards a vaccine has raised hopes of a return to normal.

 

But despite those steps, "the economic path ahead remains difficult and
prone to setbacks," she said.

 

The IMF has predicted the world economy will shrink by 4.4% this year in the
worst annual plunge since the 1930s. It expects growth of 5.2% next year,
but said recovery is likely to be "partial and uneven"

 

Except for China, economic activity next year is likely to remain below 2019
levels in most major economies, the IMF said in a report prepared for this
weekend's upcoming summit of the G-20 nations.

 

Growth could slow further if countries must maintain social restrictions for
longer than expected, it added.

 

"The resurgence in infections in many economies shows just how difficult and
uncertain this ascent will be," Ms Georgieva said in a blog post. "That is
why we need continued strong policy action."

 

To date, the economic rebound in many counties, including the US, Eurozone
and Japan, has been stronger than many expected, despite the loss of tens of
millions of jobs.

 

But the IMF warned that future growth may be threatened as the pandemic
leaves scars, such as disrupted schooling and deeper inequality.

 

It also said that a disconnect between financial markets and real economic
activity poses risks to financial stability, while higher debt levels may
make future investments more difficult.

 

Governments around the world have already spent an estimated $12tn
responding to the crisis.

 

Ms Georgieva said more is necessary and called on countries to coordinate
stimulus plans to make their efforts more effective.

 

Her comments come as talks in the US over further stimulus efforts remain
stalled, allowing support programmes for businesses and unemployed workers
to expire. In Europe, disagreements between members have also placed at risk
a recovery fund.--BBC

 

 

 

Brexit: Top-level talks suspended after positive Covid test

The EU and UK chief negotiators have stepped back from post-Brexit trade
talks after a member of the EU team tested positive for Covid-19.

 

The EU's Michel Barnier said his UK counterpart Lord David Frost had agreed
to suspend negotiations between them for a "short period".

 

Mr Barnier added their teams would continue discussions in "full respect" of
safety guidelines.

 

They are locked in talks as the clock counts down to a December deadline.

 

Both sides are seeking an agreement to govern their trading relationship
once the UK's post-Brexit transition period ends in January 2021.

 

Fishing rights, competition rules and how any deal would be enforced remain
key areas of disagreement.

 

On Thursday, Mr Barnier tweeted that a member of his negotiating team had
tested positive for the virus, as talks over a deal continued in Brussels.

 

"With David Frost, we have decided to suspend the negotiations at our level
for a short period," he added.

 

In reply, Lord Frost said he was in "close contact with Michel Barnier about
the situation," and "the health of our teams comes first".

 

BBC Brussels correspondent Nick Beake said he had been told Mr Barnier would
now self-quarantine following the team member's test result.

 

Our correspondent added it was not clear how long the pause in top-level
talks would last.

 

But he said it was understood no members of the UK team in Brussels would be
required to self-isolate, and that most of them would return to London soon,
with talks continuing remotely.

 

Suspension of talks between the chief negotiators will come as an unhelpful
development, with just five weeks remaining before the 31 December deadline.

 

EU leaders are holding a video conference later on Thursday and could
discuss the latest developments - although it is not officially on the
agenda.

 

On Sunday, before the latest round of talks began, Lord Frost said there had
been "some progress in a positive direction in recent days".

 

But he warned the two sides "may not succeed" to strike a deal, with
"significant elements" not yet agreed.

 

He added that any deal would have to be "compatible with our sovereignty,"
and allow the UK to "take back control of our laws, our trade, and our
waters".

 

Sticking points

The two sides are seeking to reach agreement on limits on government
subsidies for industry, to prevent what the EU regards as unfair competition
with the UK.

 

They are also negotiating how closely the UK should have to follow the EU's
social, labour, and environmental standards after the transition.

 

They are yet to agree how any such commitments should be enforced - with the
EU demanding robust powers in case there are disputes.

 

The UK and EU teams are also haggling over how much access European fishing
boats should have to British waters and how much they would be allowed to
catch from next year.--BBC

 

 

 

President Xi at Apec: China pledges to open up its 'super-sized' economy

Chinese president Xi Jinping has said China will open up its "super-sized"
economy to import more high-quality goods and services.

 

China will also sign free trade pacts with more countries, he said on
Thursday.

 

Mr Xi was speaking at the Asia-Pacific Economic Cooperation (Apec) forum,
which includes the US and Russia.

 

It is as yet unclear if US President Donald Trump will be speaking at the
event, which continues on Friday.

 

Mr Trump has previously used the event to lay out his competing vision for
the future of global trade.

 

China and the US have been involved in a trade war since 2018 with a number
of flashpoint over import taxes and Chinese technology firms operating in
America.

 

Mr Xi also used Thursday's Apec speech to deny that China would be pulling
away from other economies - known as decoupling - and warn against
protectionism.

 

"We will not reverse course or run against the historical trend by
'decoupling' or forming a small circle to keep others out," Mr Xi said.

 

Mr Xi's comments come off the back of signing the world's largest regional
free-trade agreement over the weekend, encompassing almost a third of the
world's economic output.

 

The Regional Comprehensive Economic Partnership (RCEP), almost a decade in
the making, includes China, Japan, South Korea and 12 other Asian nations.

 

"In today's world where economic globalisation has become an irreversible
trend, no country can develop itself by keeping its doors closed," Mr Xi
added.

 

However, China is involved in a number of trade disputes with rival
economies, including Australia which it has imposed import tariffs of up to
80% on barley.

 

Last month, Mr Xi and other Chinese leaders laid out a blueprint for China's
five-year plan and key objectives for the next 15 years.

 

They include a goal to turn China into a "high income" nation by 2025 and
advance to a "moderately developed" nation by 2035.-BBC

 

 

 

Stocks wobble after Mnuchin pulls plug on Fed stimulus

SYDNEY (Reuters) - World financial markets stalled on Friday as news U.S.
Treasury was ending emergency loans programmes dealt a blow to economic
recovery hopes just as California announced curfews to try and fight surging
coronavirus infections.

 

S&P500 futures slipped 0.5% while Dow futures fell 0.6%, cancelling out a
firmer lead from a strong Wall Street session overnight.

 

The dollar was slightly weaker and the 10-year Treasury yield slipped to the
lowest in 10 days at 0.818%.

 

Eurostoxx futures started almost flat while London’s FTSE futures was up
0.25%

 

In Asia, Japan’s Nikkei stumbled 0.5% while Australian shares were flat.
Chinese shares were little changed while South Korea’s KOSPI index was a
shade firmer.

 

That left MSCI’s broadest index of Asia-Pacific shares excluding Japan up
0.3%. It is up 1.5% so far this week.

 

In a letter to U.S. Federal Reserve Chair Jerome Powell, U.S. Treasury
Secretary Steven Mnuchin said the $455 billion allocated to Treasury under
the CARES Act should be instead available for Congress to reallocate.

 

“This divide between the Treasury and the Fed risks undermining the
unwavering faith that investors have placed on continuous policy support to
help the economy weather the pandemic,” Singapore-based DBS wrote in a note.

 

Although the programmes were not used extensively, Fed officials felt their
presence reassured financial markets and investors that credit would remain
available to help businesses, local agencies and even nonprofits through the
pandemic downturn.

 

Mnuchin’s decision added to market anxiety about broader economic growth as
data shows the early fast recovery from a historic plunge in the U.S.
economy is fading, with more than 10 million who had jobs in January still
out of work.

 

“The Fed has been one of the only sources of stability in Washington and
removing its latitude to offer support in a shaky recovery is simply
nonsensical,” said Isaac Boltansky, director of policy research at
Washington-based Compass Point Research & Trading.

 

“This is a distressing development that injects uncertainty and instability
into markets completely unnecessarily. How many times will Washington trip
on its shoelaces in response to this crisis?”

 

Investor sentiment was also hit by data that showed COVID-19
hospitalisations across the United States jumped by nearly 50% in the last
two weeks, threatening the recovery of the world’s largest economy as cities
and states began to impose lockdowns.

 

California on Thursday imposed a curfew on social gatherings and other
non-essential activities in one of the most intrusive of the restrictions
being ordered across the country to curb an alarming surge in infections.

 

All three major U.S. stock indexes, however, got a healthy boost overnight
after Senate Democratic Minority Leader Chuck Schumer said Republican
Majority Leader Mitch McConnell had agreed to revive talks to craft a new
fiscal relief package.

 

A senior Democratic aide told Reuters there had been a mid-afternoon meeting
on Thursday among congressional aides that discussed coronavirus relief and
efforts to pass a $1.4 trillion bill to keep government agencies operating
beyond Dec. 11 when current funding expires.

 

The Dow rose 0.15%, the S&P 500 gained 0.39% and the Nasdaq added 0.87%.

 

In currencies, the dollar index was last at 92.232, edging closer to
Thursday’s low of 92.236.

 

The euro was up at $1.1881 while the yen weakened to 103.8 per dollar. The
Australian dollar gained to be up 0.2% at $0.7294 .

 

In commodities, oil prices steadied after losses the previous day, when
concerns about coronavirus lockdowns affecting fuel demand weighed on the
market.

 

West Texas Intermediate was flat $41.74 a barrel. Brent crude was up 10
cents at $44.30.

 

Gold was flat with spot prices at 1,867.3 an ounce.

 

 

 

Tesla surge adds to dominance of S&P 500's biggest players

(Reuters) - Tesla Inc TSLA.O extended its rally on Thursday ahead of its
December debut in the S&P 500 .SPX, with its market value nearing $500
billion, highlighting the growing domination of mega-cap growth stocks
within Wall Street's main benchmark.

 

The California company’s stock rose 2.6% and is up over 20% since S&P Dow
Jones Indices announced on Monday it would add Tesla to the index as of Dec.
21, a change that will force index funds to buy around $50 billion of its
stock.

 

The coronavirus pandemic has accelerated cloud computing, online shopping
and other trends that have helped the largest U.S. companies, including
Apple Inc AAPL.O, Microsoft Corp MSFT.O, Amazon.com Inc AMZN.O and Facebook
Inc FB.O, extend their leads over smaller rivals, driving their shares
higher and increasing their already-massive influence within stock indexes.

 

“The rapid changes in the economy have accelerated concentration at the
top,” said S&P Dow Jones Indices analyst Howard Silverblatt. “These
companies prospered and grew even bigger, so we now have these haves and
have-nots.”

 

Up about 500% in 2020, Tesla has become the most valuable auto company in
the world, by far, despite production that is a fraction of rivals such as
Toyota Motor Corp 7203.T, Volkswagen AG VOWG_p.DE and General Motors Co
GM.N.

 

“Tesla is emblematic of a business that has changed dramatically because of
technology,” said Tom Martin, senior portfolio manager at Globalt
Investments in Atlanta, which owns shares of Tesla.

 

Now worth $470 billion, Tesla will increase the concentration of heavyweight
companies within the S&P 500. It will be the seventh-most valuable company
within the index, just behind Berkshire Hathaway BRKa.N and ahead of Visa
Inc V.N, according to Refinitiv data. At its current value, Tesla is about
five times more valuable than GM and Ford Motor Co F.N combined.

 

Still, today's domination of Wall Street by a handful of companies is not
unique. Apple, Microsoft, Amazon and Apple now make up about 20% of the S&P
500. In 1976, IBM IBM.N, AT&T Inc T.N, Exxon and GM accounted for the same
proportion of the index, according to data from S&P Dow Jones Indices.

 

Volume in Tesla call options has also climbed this week. The buying spree
and subsequent hedging from dealers could drive up Tesla shares further when
November options expire on Friday, said Christopher Murphy, co-head of
derivatives strategy at Susquehanna Financial Group.

 

About a fifth of Tesla's shares are closely held by Chief Executive Elon
Musk and other insiders, and since the S&P 500 is weighted by the amount of
companies' shares actually available on the stock market, Tesla's influence
within the benchmark will be slightly diminished, putting it in eighth
place, just behind Johnson & Johnson JNJ.N, and equivalent to just over 1%
of the index.

 

Traders skeptical of Tesla’s rally have made it Wall Street’s most shorted
stock, and those short sellers are down a combined $4 billion in four days,
according to financial technology and analytics firm S3 Partners.

 

Surging Big Tech stocks have played a major part in the S&P 500’s bull
markets in recent years, and investors continue favoring them even as some
worry that a potential turn away from their high valuations could hurt the
broader market.

 

“These companies are where all the growth is. But I’m sure eventually we
will see new entrants that will create value and represent a headwind to
some of these businesses,” Martin said.

 

 

 

Facebook probe in final stages as FTC, U.S. states prepare lawsuits

WASHINGTON (Reuters) - The Federal Trade Commission and a bipartisan group
of dozens of state attorneys general are in the final stages of filing one
or more major antitrust complaints against Facebook Inc FB.O in early
December, according to four sources familiar with the situation.

 

FTC staff undertaking a probe of the company has recommended to
commissioners that they sue the social media company in federal court, which
would allow the group of states, led by New York, to join the lawsuit,
according to one source.

 

As many as 41 states may sign on to the lawsuit, three sources said. The
filing of the lawsuit or lawsuits could slip into next year, the sources
said.

 

Following news reports on the Facebook investigation, New York Attorney
General Letitia James said in a statement: “We don’t comment on the details
of an ongoing investigation, but as we have said before, we will continue to
use every investigative tool at our disposal to determine whether Facebook’s
actions stifled competition, reduced choices, or put user data at risk.”

 

The FTC and states have yet to finalize how they might file any lawsuits.
The FTC may file alone to a district court while the states file their
complaint separately; the FTC can file to an administrative law judge and
states can file in district court, or they can join forces and sue together
in district court, two sources said.

 

States discussed the matter during a call on Wednesday, two sources said.

 

FTC commissioners could make a decision as early as Friday, when a meeting
is scheduled. Unlike the Justice Department, which typically gets new
leaders with a new U.S. president, the FTC commissioners’ terms are
unaffected by Inauguration Day in January.

 

The FTC declined comment while Facebook could not immediately be reached for
comment.

 

In addition to New York, other lead states on the investigation include
Colorado, Nebraska, Tennessee and Utah, one of the sources said.

 

The legal action is expected to focus on Facebook’s alleged violations of
antitrust law to protect its gigantic market share in social media.

 

The FTC and states have converged on similar accusations, though what they
will allege in court has not been finalized, one of the sources briefed on
the discussions said. They contend Facebook stifled competition with its $1
billion acquisition of the image-sharing app Instagram in 2012, weakened
privacy protections in the encrypted messaging app WhatsApp after acquiring
it for $22 billion in 2014 and selectively squashed rivals by refusing to
share user data, the source said.

 

States are not expected to list specific remedies in their lawsuit, the
source added.

 

Startup investors, antitrust experts and privacy activists have criticized
the FTC for its approvals of the Instagram and WhatsApp purchases.

 

A comprehensive report by the House of Representatives Judiciary Committee
of the four Big Tech companies this year found that Facebook used its access
to superior market data to identify coming competitive threats so those
companies could be copied, purchased or choked off by restricting access to
Facebook data.

 

 

 

Nigeria: Govt Signs Fuel Transportation, Storage Deal With Niger Republic

The Federal Government, yesterday, signed a Memorandum of Understanding,
MoU, with the Republic of Niger for the transportation and storage of
petroleum products.

 

In a statement in Abuja, Group General Manager/Special Adviser on Media to
the Minister of State for Petroleum Resources, Garba Deen Muhammad, said the
MoU was reached following bilateral agreements between President Muhammadu
Buhari and President Mahamadou Issoufou of Niger.

 

According to Muhammad, talks had been on-going between the two countries for
over four months - through the Nigerian National Petroleum Corporation and
Niger Republic's National Oil Company, Societe Nigerienne De Petrole
(SONIDEP), on petroleum products transportation and storage.

 

He explained that Niger Republics Soraz Refinery in Zinder, some 260
kilometres from the Nigerian border, has an installed refining capacity of
20,000 barrels per day, the country's total domestic requirement is about
5,000 barrels per day, BPD, thus leaving a huge surplus of about 15,000 bpd,
mostly for export.

 

Muhammad stated that the MoU was signed by the GMD NNPC, Mallam Mele Kyari
and the Director-General of SONIDEP, Mr. Alio Toune under the supervision of
the two countries' Ministers of State for Petroleum, Çhief Timipre Sylva and
Mr Foumakoye Gado, respectively with the Secretary-General of the African
Petroleum Producers Organisation (APPO), Dr Omar Farouk Ibrahim in
attendance.

 

Speaking shortly after the MoU signing, Sylva expressed delight over the
development, describing it as another huge step in developing trade
relations between both countries.

 

He said: "This is a major step forward. The Niger Republic has some excess
products which need to be evacuated. Nigeria has the market for these
products. Therefore, this is going to be a win-win relationship for both
countries. My hope is that this is going to be the beginning of deepening
trade relations between Niger Republic and Nigeria."

Also commenting on the development, Secretary-General of African Petroleum
Producers Organisation (APPO), Dr Omar Farouk Ibrahim said he could not be
happier with what he witnessed in terms of co-operation and collaboration
between the two APPO member countries in the area of hydrocarbons.

 

He said: "I want to commend the Federal Republic of Nigeria and the Republic
of Niger and their leadership for this milestone."

 

In his remarks, Group Managing Director of the NNPC, Mallam Mele Kyari, said
the two countries have had long engagements in the last four to five months
with a view to restoring the importation of petroleum products (excess
production) from Niger into Nigeria.

 

He said: "With this development, we hope to have a long-lasting and
sustainable commercial framework to have a pipeline from the Soraz Refinery
in Zinder (Niger) into the most proximate Nigerian city so that we can
develop a depot.

 

"We are happy that we have reached that conclusion and our two ministers
have endorsed this framework. We are also working on detailed MoU between
our two companies so that we can continue the execution process
immediately."

 

The NNPC helmsman further noted that being the most experienced of the two
oil companies, the NNPC would support SONIDEP in terms of training and
capacity building.-Vanguard.

 

 

Nigeria: Niger Delta Leaders Give Condition for Termination of Amnesty
Programme

The Interim Administrator of the Presidential Amnesty Programme, Col Dixon
Milland Dikio, held a crucial meeting with critical stakeholders in the
Niger Delta on the future of the Programme in Yenagoa on Thursday.

 

The stakeholders agreed that the PAP could have a terminal date after the
full integration of the 30,000 beneficiaries of the Programme.

 

The stakeholders included traditional rulers, political leaders, past and
present leaders of the Ijaw National Congress, and the Ijaw Youth Council.

 

After hours of deliberations, the meeting agreed that the PAP cannot run in
perpetuity and should have a terminal date subject to the full integration
of the beneficiaries.

 

The meeting also focused on the challenges identified to have bedeviled the
Programme over the years.

 

Present at the meeting were Pioneer President of the Ijaw National Congress,
Chief Joshua Fumudoh, former Senator from Bayelsa East, Sen. Nimi
Barigha-Amange, Pioneer President of the Ijaw Youth Council, Dr Felix
Tuodolo, Prominent activist and leader, Chief T.k Ogoriba, the President of
the Ijaw Youth Council, Mr Peter Igbifa, former President of the IYC, Mr
Udengs Eradiri, the traditional rulers of Gbarain Ikpetiama Kingdom, HRH
King Bubaraye Dakolo, and others.

The stakeholders were unanimous in calling on the Federal Government to
ensure that the programme is given the needed financial support to
effectively implement the reintegration of the beneficiaries before it
finally winds down.

 

The stakeholders who thanked President Muhammadu Buhari for appointing
Colonel Milland Dixon Dikio (rtd) as the interim administrator expressed
optimism that with him the objectives of the PAP would be realized.

 

The stakeholders called on Dikio to adopt drastic measures to address the
incidence of rot and corruption in the Amnesty office by identifying all
those who have used the Programme as a conduit pipe and relieve them of
their positions.

They lamented that the bad eggs in the Amnesty Office have derailed the
programme because of their greed and fraudulent activities.

 

The leaders stressed that until the corruption cabal is flushed out, the
usual crisis that rocks the PAP will still resurface.

 

While calling for support for Dikio, the stakeholders equally thanked him
for embarking on the tour to the region, which they describe as a positive
indication of his desire to succeed in his critical assignment.

 

On the issue of reintegration and empowerment, they advised him to consider
agriculture as a major component of his plans, and also to operationalize
the training centres of the PAP.

 

In his remarks, Colonel Dikio said he decided to convene the stakeholders
summit to personally interact with the custodians of the region.

 

He said the meeting afforded him insight into the plights of the people and
promised to hold similar quarterly engagements in the region.

 

Dikio said the collective agreement that the programme should have a
terminal date should be noted by all beneficiaries as it had been a
contentious issue among most of them.

 

The Amnesty Boss who solicited for sustained support said with his vision
for the PA, all those who are part of it will not be left out.

 

In their goodwill messages, the Governor of Bayelsa State, Senator Douye
Diri, represented by the Commissioner for Ijaw National Affairs, Patrick
Erasmus, promised the support of the state government for the new Amnesty
Boss.

 

Also, Ijaw National Leader, Pa Edwin Clark represented by former Permanent
Secretary Federal Ministry of Power, Ambassador Godknows Igali, said that
Dikio has started well and should be encouraged to remain focused.-Vanguard.

 

 

 

Rwanda: Parliament Approves Deal for Rwandair to Fly to Five New Routes

Rwanda's parliament on Wednesday approved the ratification of Bilateral Air
Service Agreements (BASAs) with five countries allowing national carrier
RwandAir to operate in five additional routes.

 

RwandAir's growth plans have been severely hurt by the Covid-19 pandemic.
But the agreements will help broaden business activities and permit
designated airlines of contracting countries to operate commercial flights
that cover the transport of passengers and cargo between Rwanda and those
countries, said Claver Gatete, Rwanda's Minister for Infrastructure.

 

Rwanda ratified agreements with Brazil, Democratic Republic of Congo,
Namibia, Somalia and Tunisia, bringing the total number of BASAs ratified by
parliament to 52. The country is also expected to sign agreements with South
Korea and Malta.

 

Rwanda has so far invested over $2 billion to revamp its airline operations
and recently signed a partnership with the Qatar government that will help
the country develop its aviation sector.

"As landlocked country, we have no option of getting external trade
opportunities without using air transport, and even supporting RwandAir to
fly into different destinations promoting the country's image and
diplomacy," Mr Gatete told parliament.

 

According to Ms Yvonne Manzi Makolo, the chief executive officer of
RwandAir, BASAs beneficial for the carrier will make it easier for the
company to start new routes.

 

"Unfortunately, because of the pandemic barriers we will have to rebuild the
entire network, to reopen the routes that are not yet reopened. But once
this passes, we will go back to opening new routes," Ms Makolo told The
EastAfrican.

 

With resumption of international flights in August, RwandAir now hopes to
make for lost ground after suffering financially when all flights were
suspended in mid-March to curb the spread of Covid-19.

 

"Rwanda is opening up and willing to cooperate. We will be able to take
passengers from these countries, but also, they will be able to come
easily," Mr Frank Habineza, a member of Parliament, told The EastAfrican.

 

In October, Rwanda became the 13th African country to ratify the revised
African Civil Aviation Commission (AFCAC) constitution that seeks to promote
coordination, better utilisation and orderly development of African air
transport systems.

 

The revised AFCAC constitution considers as important the Yamoussoukro
Decision for liberalisation of air transport in Africa.

 

The Yamoussoukro Decision is an agreement among the 44 African states which
allows the multilateral exchange of up to a fifth freedom air traffic rights
between African Yamoussoukro Decision Party States using a simple
notification procedure.-East African.

 

 

 

Nigeria: Crude Oil Discovered in Commercial Quantity in Benue Trough - NNPC

Crude oil has been discovered in the Benue Trough in commercial quantity,
with Nigerian geologists spearheading the efforts, the Group Managing
Director of the Nigerian National Petroleum Corporation (NNPC), Malam Mele
Kyari has said.

 

Kyari stated this while delivering a goodwill message at the opening
ceremony of the 38th Annual International Conference and Exhibition of the
Nigerian Association of Petroleum Explorationists (NAPE) where he was a
Special Guest, a statement from the corporation said on Thursday.

 

He reiterated NNPC's resolve to grow the nation's hydrocarbon reserves to
40billion barrels through reinvigorated exploratory activities in the inland
frontier basins across the country.

The statement by the Group General Manager, Group Public Affairs Division of
NNPC, Dr. Kennie Obateru, quoted Mallam Kyari as said the strategy is to
aggressively explore for more oil in the frontier basins in order to grow
the nation's reserve base, in line with the Federal Government's aspiration
to hit the 40billion barrels reserve target.

 

Mallam Kyari said the theme of this year's conference: "Accelerating Growth
in Nigeria's Hydrocarbon Reserves: Emerging Concepts, Challenges and
Opportunities" fits squarely into NNPC's key aspiration, which is to grow
the nation's hydrocarbon reserves, reduce unit operating cost of crude oil
production to $10 per barrel and improve efficiency across its businesses.

 

"It is my pleasure to appreciate the good work and resilience of our
in-house professionals in the ongoing inland basins exploration activities
that culminated in the recent discovery of hydrocarbons in Benue Trough.
NNPC is indeed proud that it is NAPE members that are spearheading this
effort," Mallam Kyari stated.

According to him, the NNPC has made significant progress in improving
operational efficiency through the adoption of technology and deliberate
effort to curtail soaring cost of operations across strategic assets.

 

"It is instructive to understand that the current market reality cannot
support inefficiency and escalated costs of operations. The era of $30/bbl
oil no longer exists.

 

"In today's Covid-19 defined market, sustaining operations and making
progress means that all stakeholders must recognize the need to improve
efficiency, reduce costs, eliminate wastages, entrench accountability, act
with transparency and embrace technology and innovation to drive performance
and value realization across strategic investment portfolios," he posited.

 

The NNPC helmsman added that in the face of the energy transition, the
Corporation is focused on developing gas infrastructure and deepening
domestic gas utilization, stressing that gas is the energy of the future.

 

The GMD expressed optimism that the Petroleum Industry Bill would be passed
next year, noting that the fiscal environment proposed would attract more
investment into the Oil and Gas Industry.

 

He assured NAPE and all other industry operators of sustained collaboration
from NNPC, saying that the strategy of synergy was required in order to
drive down operating cost and survive the emerging challenges in the
industry.-Daily Trust.

 

 

Zambia FinMin: Default raises risk of legal action by bondholders

LUSAKA, (Reuters) - Zambia finance minister Bwalya Ng’andu said on Wednesday
that the country’s default on $3 billion in Eurobonds had increased the risk
of bondholders taking legal action.

 

Zambia became Africa’s first pandemic-era sovereign default after it failed
to pay a $42.5 million Eurobond coupon at the expiry of the grace period on
Friday.

 

“There are some risks associated with the decision not to pay. These include
bondholders taking legal action to enforce their rights under the financing
arrangements,” said Ng’andu, addressing parliament, adding it would work
closely with its legal advisers to respond to this possibility.

 

The minister also said the International Monetary Fund played a key role in
providing “credibility and impetus” to the country’s debt restructuring
process.

 

“The engagements with the IMF have been continuous for the last three
months. The stage we have reached is agreeing the specific instruments that
must be used,” Ng’andu said.

 

Meanwhile the decision to treat all creditors equally “seems to have already
been vindicated” by the decision of China’s Exim Bank to defer some
payments, Ng’andu said.

 

Zambia’s announced on Monday it had reached an deal with China’s Exim Bank
to suspend interest and principal payments worth $110 million due between
May 1 and Dec. 31 of 2020 within the framework of the Debt Service
Suspension Initiative (DSSI) backed by the Group of 20 wealthy nations.

 

However, the Exim Bank deal did not seem to reflect the October push by G20
officials to extend the debt freeze by six months for the first half of
2021.

 

The minister confirmed the country had retained its current financial
adviser.

 

In May, Zambia appointed French company Lazard Freres to help with the debt
overhaul while White & Case is Lusaka’s legal adviser. 

 

 

 

 


 


 


Invest Wisely!

Bulls n Bears 

 

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INVESTORS DIARY 2020

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


Simbisa Brands

AGM

SAZ, Northend Close, Borrowdale, Harare as well as virtually on:
https:/escrowagm.com/eagmZim/Login.aspx

20/11/2020 | 8:15am

 


Axia Corporation

AGM

virtual https://escrowagm.com/eagmZim/login.aspx

24/11/2020 | 8:14am

 


Zimbabwe

National Unity Day

Zimbabwe

22/12/2020

 


 

Christmas Day

 

25/12/2020

 


 

Boxing Day

 

26/12/2020

 


 

New Year’s Day

 

01/01/2021

 


Companies under Cautionary

 

 

 


 

 

 

 


Bindura Nickel Corporation

 

 

 


Padenga Holdings

 

 

 


Delta Corporation

 

 

 


Meikles Limited

 

 

 


 <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.

 


 

 


(c) 2020 Web: <http://www.bullszimbabwe.com>  www.bullszimbabwe.com Email:
<mailto:info at bulls.co.zw> info at bulls.co.zw Tel: +263 4 2927658 Cell: +263 77
344 1674

 


 

 

 

 

 

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