Major International Business Headlines Brief::: 07 January 2021

[Bulls n Bears]

 <https://bullszimbabwe.com/> 

 


 

 <http://www.bullszimbabwe.com> Bullszimbabwe.com
<mailto:info at bulls.co.zw?subject=View%20and%20Comments> Views & Comments
<https://bullszimbabwe.com/category/blogs/bullish-thoughts/> Bullish
Thoughts        <http://www.twitter.com/BullsBears2010> Twitter
<https://www.facebook.com/BullsBearsZimbabwe> Facebook
<http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn
<https://chat.whatsapp.com/CF6wllAfScU9Wr6dXxoQnO> WhatsApp
<mailto:info at bulls.co.zw?subject=Unsubscribe> Unsubscribe

 


 

 


Major International Business Headlines Brief::: 07 January 2021

 


 

 

	
 


 

 


ü  Trump blocked by Twitter and Facebook

ü  NYSE in a spin over Chinese telecoms delistings

ü  Amazon pledges billions for affordable homes in US

ü  Little action at Trump auction for Arctic oil rights

ü  Nvidia takeover of chip designer Arm investigated

ü  Game maker Roblox's value rockets seven-fold during pandemic

ü  McDonald's pauses walk-in takeaways in lockdown

ü  U.S. considering adding Alibaba, Tencent to China stock ban - sources

ü  U.S. to urge firms comply with China investment ban in new guidance,
sources say

ü  NYSE to delist three Chinese telecoms in dizzying about-face

ü  LafargeHolcim to buy Firestone Building Products in $3.4 billion deal

ü  Nigeria: Govt Empowers 100 Nigerians With Digital Tools, Free Internet
Subscription

ü  Nigeria: Customs Revenue Rises 16 Percent to N1.6trn, Surpasses Target By
13 Percent

ü  Rwanda: Powdered Milk Plant Suffers Setback Due to Shortage of Funds

ü  Tanzania: PM - Govt Projects Should Reflect Money Spent

 

 


 

 


Trump blocked by Twitter and Facebook

Donald Trump has been suspended from Twitter and Facebook after tweeting to
supporters who attacked the US Capitol.

 

In a social media message to protesters he said "I love you" before telling
them to go home. He also repeated false claims about election fraud.

 

Twitter said it required the removal of three tweets for "severe violations
of our Civic Integrity policy".

 

The company said the president's account would remain locked for good if the
tweets were not removed.

 

It went on to say that "Future violations of the Twitter Rules... will
result in permanent suspension of the @realDonaldTrump account".

 

It means Donald Trump's days on Twitter could be numbered. The president is
not known for paying much attention to Twitter's community guidelines.

 

Meanwhile, Facebook banned Mr Trump for 24 hours. YouTube also removed the
video.

 

Facebook said: "We removed it because on balance we believe it contributes
to rather than diminishes the risk of ongoing violence."

 

His supporters stormed the seat of US government and clashed with police,
leading to the death of one woman.

 

The violence brought to a halt congressional debate over Democrat Joe
Biden's election win.

 

In the House and Senate chambers, Republicans were challenging the
certification of November's election results.

 

 

Before the violence, President Trump had told supporters on the National
Mall in Washington that the election had been stolen.

 

Hours later, as the violence mounted inside and outside the US Capitol, he
appeared on video and repeated the false claim.

 

He told protesters "I love you" and described the people who stormed the
Capitol complex as "patriots".

 

YouTube said it removed the video because it "violated policies on spreading
election fraud".

 

Twitter initially didn't take down the video, instead removing the ability
to retweet, like and comment on it and another tweet.

 

However, it later removed them, and suspended the outgoing president.

 

Twitter said: "We have been significantly restricting engagement with Tweets
labelled under our Civic Integrity Policy due to the risk of violence".

 

Facebook told the BBC: "The violent protests in the Capitol today are a
disgrace. We prohibit incitement and calls for violence on our platform. We
are actively reviewing and removing any content that breaks these rules."

 

Facebook also said it is currently looking for and removing content that
incited or supported the storming of Capitol Hill.

 

YouTube already had a policy to remove fake news about mass election fraud,
which it applied to the president.

 

The march was partly organised online, including on Facebook groups and
pages.

 

It's likely President-elect Joe Biden will look to crack down on conspiracy
theories and extremism on social media when he takes office.--BBC

 

 

 

NYSE in a spin over Chinese telecoms delistings

The New York Stock Exchange (NYSE) said it will delist three Chinese telecom
companies after an earlier reversal of the decision.

 

The NYSE first announced it would delist China Mobile, China Telecom and
China Unicom last week, following a Trump administration executive order.

 

It then reversed that decision this week, suggesting the order didn't
require it to delist the companies.

 

Now, in a second about-face, the NYSE will delist the companies after all.

 

The second reversal comes a day after the US Treasury Secretary Steve
Mnuchin reportedly raised objections to the NYSE's earlier reversal.

 

The exchange cited "new specific guidance" from the US Treasury Department
as a reason for reverting to its original position.

 

Trading in the securities will be suspended on 11 January, the NYSE said.

 

Shares of the three companies have been on a roller coaster ride due to the
indecision, falling on the initial announcement, rising on the first
reversal and falling again on the second.

 

Shares in all the companies fell around 8% in Hong Kong, where they are also
listed.

 

"After an intense pressure campaign from those of us who believe we should
prioritize the interests of American workers and mom and pop investors above
Beijing and Wall Street, I am pleased that the NYSE decided to reverse their
earlier announcement," said Republican Senator Marco Rubio.

 

New York Stock exchange with Wall Street street sign in foreground.

 

Republican Senator Ben Sasse, a member of the Senate Select Committee on
Intelligence, also agreed with the decision.

 

"Chinese firms that reject fundamental transparency requirements and have
ties to the Chinese military shouldn't benefit from American investment," he
said.

 

NYSE-owner Intercontinental Exchange (ICE) is run by billionaire Jeffrey
Sprecher.

 

His wife Kelly Loeffler, a Senator from Georgia, lost a run-off election for
her seat on Tuesday.

 

More US-China friction

The latest decision comes as the President Trump seeks to cement the US's
hard line on China in the final weeks of his presidency.

 

The decision on the Chinese telecoms giants is based on an executive order
he signed in November, which bars American investments in firms which are
allegedly owned or controlled by the Chinese military.

 

On Tuesday Mr Trump signed an additional order banning transactions with
eight Chinese apps, including Alipay.

 

The Wall Street Journal has reported that the White House is considering an
additional ban on Alibaba and Tencent.

 

The three Telecom companies earn all of their revenue in China and have no
significant presence in the US

 

Like many other large Chinese companies, they have a dual listing in the US
and Hong Kong.

 

There are currently more than 200 Chinese companies listed on US stock
markets with a total market capitalization of $2.2tn (£1.6tn).--BBC

 

 

Amazon pledges billions for affordable homes in US

Amazon has become the latest US tech giant to pledge billions of dollars to
support affordable housing.

 

The e-commerce giant said it was starting a fund of more than $2bn (£1.47bn)
aimed at creating or preserving 20,000 homes across three regions in the US.

 

The money will be used primarily to support low-cost loans for moderate
income families, it said.

 

The effort follows years of rising home and rental prices in the US.

 

Home prices have climbed more than 6% each year since 2012, despite muted
wage growth for most workers. Before the pandemic, rental rates had also
risen steadily, driving a shortage of affordable units.

 

In some cities, such as San Francisco, the rapid growth of the tech industry
has been blamed for exacerbating the affordability crisis, after an influx
of highly paid engineers drove up rents and priced out other residents.

 

In 2019, Microsoft, Apple, Facebook and Google, among other tech firms, made
high-profile promises of hundreds of millions of dollars to help ease the
crunch. Their efforts were welcomed by advocates, who also cautioned that
more comprehensive measures were needed.

 

Amazon, which has faced increasing scrutiny of its its work practices as its
profits boom during the pandemic, said its initiative would focus on the
areas around its hometown of Seattle, as well as Nashville and Washington
DC, two other major employment hubs.

 

The firm said it was targeting its fund at families earning up to 80% of
each area's median income - up to roughly $95,000 for a family of four in
the case of Seattle.

 

In addition to subsidising the low-cost home loans, the firm is also
planning donations to charities and other groups working on the housing
issue.

 

Amazon boss Jeff Bezos said the Housing Equity Fund would "help local
families achieve long-term stability while building strong, inclusive
communities".

 

The average annual compensation of an Amazon worker in the US was $36,640 in
2019, roughly in line with the national average.

 

Mr Bezos, who has an estimated net worth of more than $185bn and properties
scattered across the US, earned 58 times that amount that year.--BBC

 

 

 

 

Little action at Trump auction for Arctic oil rights

The Trump administration has held the first sale for rights to drill for oil
in Alaska's Arctic National Wildlife Refuge - but it drew no interest from
major companies.

 

An Alaskan state agency emerged as the primary bidder at the auction, which
has been slammed by environmental groups.

 

The sale raised less than $15m (£11m) - far less than the government had
hoped.

 

The tepid interest comes amid big changes in the energy industry.

 

Major companies, including oil giant Exxon, Shell and BP, have said they are
focusing their spending on renewable energy, amid a huge slump in oil
prices, in part triggered by the coronavirus pandemic.

 

Adam Kolton, executive director of the Alaska Wilderness League, said the
sale was an "epic failure" for the Trump administration and the Alaska
Republicans, who had backed the move as a way to create jobs and reduce
American dependence on foreign oil.

 

"After years of promising a revenue and jobs bonanza they ended up throwing
a party for themselves, with the state being one of the only bidders," he
said in a statement.

 

"We have long known that the American people don't want drilling in the
Arctic Refuge, the [Alaska native] Gwich'in people don't want it, and now we
know the oil industry doesn't want it either."

 

Mr Kolton said his organisation would continue to fight in court to reverse
the sale of the land, which is home to caribou, polar bears and millions of
migratory birds.

 

Oil drilling

The wildlife refuge is estimated to hold some 11 billion barrels of oil.

 

Opening the wilderness for drilling and development has been a long-term
priority for Alaska Republicans, but development was expected to be costly
since the area has minimal roads and infrastructure.

 

After decades of controversy, the sale was finally authorised by the US
Congress in 2017 as part of a major package of tax cuts. The auction comes
just weeks before Donald Trump is due to leave office on 20 January.

 

President-elect Joe Biden had vowed to protect the refuge and environmental
groups have also challenged the sale, which they say threatens land that
provides a vital home to wildlife.

 

A federal court rejected arguments by environmental groups seeking to block
the auction on Tuesday.

 

At Wednesday's auction, the Bureau of Land Management said it had received
bids for 12 of the 22 tracts of land offered, covering more than 600,000
acres.

 

The Alaska Industrial Development and Industrial Authority, a state agency,
was the sole bidder on at least eight of the 12 tracts.

 

Some bids submitted were "incomplete", the bureau said.

 

The state agency has said it plans to work with private companies on
development of the refuge, which encompasses more than 19,000 million acres
overall.

 

On social media platform Twitter, Alaska Governor Mike Dunleavy called the
sale "historic for Alaska and tremendous for America".

 

"Opening [Alaska's Arctic National Wildlife Refuge] for responsible resource
development could put more oil in our pipeline, put Alaskans to work, bring
billions of dollars of investment to our state, support American energy
independence, and provide critical revenues to our state and local
communities," he wrote.

 

"Alaskans have waited two generations for this moment; I stand with them in
support of this day."--BBC

 

 

 

Nvidia takeover of chip designer Arm investigated

The Competition and Markets Authority (CMA) has announced an investigation
into a $40bn (£29.5bn) takeover of UK computer chip designer Arm Holdings.

 

US graphics chip specialist Nvidia agreed the deal to buy the company from
Japan's Softbank Group in September last year.

 

Britain's competition watchdog has been scrutinising the sale, with the two
companies expecting some action.

 

Arm technology is at the heart of most smartphones and other devices.

 

Its designs underpin processors made by Apple, Samsung, Sony and Huawei.

 

The CMA has invited "interested third parties" to comment on the impact the
merger could have on competition in the UK.

 

Its formal investigation will begin later this year.

 

The CMA said it is likely to consider whether, following the takeover, Arm
has an incentive to withdraw, raise prices or reduce the quality of its
intellectual property licensing services to Nvidia's rivals.

 

"The chip technology industry is worth billions, and critical to many of the
products that we use most in our everyday lives," said CMA chief executive
Andrea Coscelli.

 

"We will work closely with other competition authorities around the world to
carefully consider the impact of the deal and ensure that it doesn't
ultimately result in consumers facing more expensive, or lower quality,
products."

 

Until now, the European Commission was responsible for most large and
complex competition cases involving the UK.

 

The CMA has taken over these responsibilities following the UK's departure
from the European Union.

 

Its remit, by law, is to assess the potential impact of a merger on
competition.

 

Last year, more than 2,000 business leaders signed an open letter calling on
the prime minister to stop the merger, saying UK jobs and influence could be
lost.

 

Nvidia has promised to keep the business based in the UK, to hire more
staff, and to retain Arm's brand.

 

It said that the deal would create "the premier computing company for the
age of artificial intelligence".

 

And the company added: "We believe the approval process will take about 18
months from when we signed the deal. The regulatory process is confidential
and we won't be providing comment on milestones along the way."

 

When news emerged of the sale of what is probably the most significant
British tech business of the last 30 years, there was widespread dismay with
calls for the government to intervene.

 

But that was in 2016 when Japan's SoftBank bought Arm.

 

The 2020 deal which saw SoftBank sell Arm to Nvidia was met in the UK with
more of a resigned shrug - apart from the fierce opposition of the
Cambridge-based business's co-founder Hermann Hauser.

 

After all, what power could British regulators have over a deal involving a
Japanese seller and an American buyer?

 

Nevertheless, the CMA has felt the need to step in, perhaps to lay down a
marker now that the UK is outside the EU and it is free to flex its
regulatory muscles.

 

This, however, is very much a first step which may not lead anywhere.

 

Nvidia will be more worried about other regulators around the world who may
listen to its rivals' complaints that, by taking over what was Arm's neutral
licensing platform, it will stifle competition in the chip market.

 

China, in particular, has already made clear that it isn't happy about a
deal which gives so much power to an American giant at a time when the US
has sought to deny Chinese firms access to chip technology.--BBC

 

 

 

Game maker Roblox's value rockets seven-fold during pandemic

The company behind children's online gaming platform Roblox has seen its
value rocket during the pandemic.

 

On Wednesday, Roblox raised $520m (£394m) in private capital which valued
the firm at $29.5bn, a seven-fold increase since February 2020.

 

Roblox said it would also push ahead with a US share listing, having delayed
the move last year.

 

The company said it will use the fresh funds to build its community and
become more of a social platform.

 

Roblox was first released in 2006, but has seen dramatic growth during the
Covid-19 pandemic as children who were forced to stay home spent more time
playing games.

 

Its revenue jumped 91% from a year earlier to $242.2m, Roblox said in its
prospectus. Roblox games , which allows users to create avatars across
different titles, are free to play but the company sells digital currency
called Robux that can buy virtual goods and enhance characters.

 

The move to debut its shares is slightly different than originally planned
as it will be a direct listing rather than the traditional initial public
offering (IPO) route.

 

With a direct listing, a company typically doesn't raise capital and
investors don't have to wait for a lockup period to expire before selling
their shares.

 

A handful of companies have opted for direct listings since US regulators
approved them, including music streaming service Spotify.

 

Community building

The $520m of private financing was led by Altimeter Capital and Dragoneer
Investment Group. Warner Music Group is also one of several current
investors.

 

"The proceeds from the financing will advance Roblox's growth initiatives
and mission to build a human co-experience platform that enables shared
experiences among billions of users," Roblox said in a statement.

 

Roblox hosts millions of games on its platform that are built by its users,
who then get a share of any related revenue. It had 31 million daily active
users during the first nine months of 2020, up 82% from the same period in
2019.

 

"As the world moves toward a hybrid future - where online and offline
community and learning co-exist, we are proud to back a values-driven
business that takes seriously its obligation to build an inclusive,
creative, and positive community," Altimeter Capital's chief executive Brad
Gerstner said.

 

Roblox has been expanding its focus to become a social platform, where users
can play games and also attend virtual birthday parties and concerts with
friends.

 

During school lockdowns, Roblox has been promoting its creation tools and
educational content which are provided free-of-charge.--BBC

 

 

 

McDonald's pauses walk-in takeaways in lockdown

McDonald's is pausing walk-in takeaway services in the UK as new lockdown
restrictions come into force.

 

Dine-in meals and walk-in takeaways will not be available temporarily while
it reviews safety procedures, it said.

 

Its UK boss said it will be testing "additional measures that may further
enhance the safety of our takeaway service."

 

Rival food chains Burger King, Subway, KFC and Pret A Manger are still
offering takeaways in-store.

 

McDonald's UK and Ireland chief executive Paul Pomroy said that safety
measures across the firm's 1,300 restaurants will be reviewed by an
independent health and safety body.

 

He added that customers would be kept updated via the restaurant's app and
its website. Drive-through and delivery services across the fast food chain
will remain open.

 

Under new lockdown restrictions which came into force in England and
Scotland this week, hospitality firms are allowed to offer takeaways and
deliveries.

 

But rules which previously allowed takeaways or click-and-collect services
for alcoholic drinks have been scrapped.

 

Wales and Northern Ireland were already in lockdown, which meant that pubs,
restaurants and cafes were restricted to takeaway-only too.

 

Lockdown restrictions

After the first nationwide lockdown in March, many chains including
McDonald's, Burger King and Pret closed their doors to hungry customers.

 

They gradually reopened with additional safety measures in place, such as
plastic screens in front of the tills, hand sanitiser dispensers and
restrictions on the number of customers allowed in at any one point. Some
also pared back the number of dishes on offer.

 

A Burger King spokesperson said that takeaway was still available in some
branches and that it would continue to offer click-and-collect and delivery
services "in line with guidance issued".

 

Sandwich chain Pret A Manger told the BBC that it is keeping some outlets
open for both takeaways and delivery, but it would keep the number under
review in the coming months.

 

"Last year we shifted our business to focus on delivery and expanded our
delivery platform partnerships, to make Pret available to a wider customer
base", a spokesperson said.

 

"Since then, we have seen a significant increase in the use of delivery."

 

Subway and KFC also confirmed that they remain open for in-store takeaways,
deliveries and click-and-collect orders across the UK.

 

Fast food firm Leon, which has 65 outlets, said that 28 of their sites will
remain open for takeaways and deliveries.

 

"We will continue to keep as many restaurants open as possible, as we did in
the previous two lockdowns in line with government guidelines," a
spokesperson said.

 

Despite adapting their business models, many casual dining chains have been
forced to make job cuts in the last year as lockdown restrictions hit sales.
Pret, for example, announced 3,000 job cuts in August, while Greggs made 820
job cuts at the end of 2020.-BBC

 

 

U.S. considering adding Alibaba, Tencent to China stock ban - sources

WASHINGTON (Reuters) - The Trump administration is considering adding tech
giants Alibaba and Tencent to a blacklist of firms allegedly owned or
controlled by the Chinese military, two people familiar with the matter said
- a move that could inflame tensions with Beijing days before U.S.
President-elect Joe Biden takes office.

 

 

Defense Department officials, who oversee the designations, have not yet
finalized plans to add the companies and are also discussing adding other
Chinese firms, the sources said, speaking on condition of anonymity because
the deliberations are private.

 

If added, Alibaba and Tencent would be subject to an executive order signed
by U.S. President Donald Trump in November, which bans U.S. investors from
buying shares of the blacklisted firms starting in November, 2021.

 

Tencent declined to comment and Alibaba did not immediately respond to
requests for comment. The discussions were first reported by the Wall Street
Journal.

 

Shares in Alibaba Group Holding Ltd were down 5% in morning trade on the
Hong Kong Stock Exchange. Tencent Holdings Ltd shares were down 3%.
Alibaba’s U.S.-listed shares closed down just over 5% on the news on
Wednesday.

 

Trump has unleashed a raft of tough measures against Chinese firms in his
waning days in the White House as he seeks to cement his hardline legacy and
as Beijing and Washington have clashed over the coronavirus and the Chinese
crackdown on Hong Kong.

 

On Tuesday, U.S. President Donald Trump signed an executive order banning
transactions with eight Chinese software applications, including Ant Group’s
Alipay mobile payment app and Tencent Holdings Ltd’s QQ Wallet and WeChat
Pay.

 

But some investors expressed skepticism that the Tencent and Alibaba would
come under long-term U.S. ownership restrictions.

 

“These are private companies that are widely owned, predominantly by U.S.
and global investors,” said Brendan Ahern, Chief Investment Officer of Krane
Funds Advisors.

 

The November executive order sought to give teeth to a 1999 law that tasked
the Defense Department with drafting a list of Chinese companies deemed to
be owned or controlled by the Chinese military.

 

The Pentagon, which only complied with the mandate last year, has so far
blacklisted 35 firms, including China’s top chipmaker SMIC and oil giant
CNOOC.

 

While release of the November directive prompted index providers like MSCI
to begin deleting blacklisted companies from their indexes, confusion about
the scope of the rules prompted some dramatic flip-flops by the New York
Stock Exchange in recent days.

 

The NYSE originally on Dec. 31 announced plans to delist China Mobile Ltd,
China Telecom Corp Ltd and China Unicom Hong Kong Ltd. On Monday, it did a
U-turn after consulting with regulators in connection with the U.S.
Treasury’s Office of Foreign Assets Control and decided to keep them listed.
On Wednesday it said it will return to the original plan.

 

S&P Dow Jones Indices have followed the NYSE and said late on Wednesday it
will remove the American Depositary Receipts (ADRs) of these three telecom
companies.

 

 

 

U.S. to urge firms comply with China investment ban in new guidance, sources
say

WASHINGTON (Reuters) - The U.S. State Department plans to release as soon as
Wednesday a fact sheet urging U.S. investors to comply with an executive
order banning investments in alleged Chinese military companies, according
to three people familiar with the matter and a copy of the document seen by
Reuters.

 

The executive order, released by the Trump administration in November, bars
Americans from buying securities of 35 Chinese companies that the U.S.
Department of Defense (DoD) has deemed to be owned or controlled by the
Chinese military, starting in November 2021.

 

Confusion over what the order requires prompted the New York Stock Exchange
last Thursday to announce plans to delist three Chinese telecom companies
that the Pentagon added to the blacklist. On Monday the NYSE scrapped the
move and then in a surprise twist the exchange reversed course a second time
on Wednesday and vowed to continue with its bid to delist the firms.

 

The State Department guidance sheds little new light on the order but
explicitly exhorts Americans to comply.

 

“Ample warning has been given to the compliance officers and risk managers
to understand and disclose to their constituents the material risk
associated with the Executive Order,” a draft of the State Department
release states.

 

“CEOs and their boards now have a legal duty to implement and be in full
compliance with the Executive Order,” it adds.

 

Three people, who declined to be named since the matter was not yet public,
confirmed plans to release the document and two of them confirmed the
contents.

 

A spokesperson for the State Department declined to confirm the fact sheet
but said, “We continue to work with Treasury, DoD, and others to implement
the President’s Executive Order to address the threat from securities
investments that finance Communist Chinese military companies.”

 

The November executive order is part of a bid by U.S. President Donald Trump
to cement his tough-on-China legacy in the waning days of his
administration. It also gives teeth to a 1999 law that required the DoD to
compile a list of Chinese firms backed by the Chinese military.

 

The catalog now includes China’s top chipmaker SMIC and oil giant CNOOC.
Index providers like MSCI have begun shedding the blacklisted Chinese firms
from their indexes in the wake of the November directive.

 

The confusion comes against a backdrop of tension among U.S. agencies about
how stringently to construe the November executive order. Reuters and other
news outlets reported that the State Department and DoD had pushed back
against draft guidance that the Treasury Department was planning to issue
that was seen as watering down the order.

 

Both U.S. Secretary of State Mike Pompeo and Treasury Secretary Steven
Mnuchin later wrote in tweets that there was no disagreement over the
executive order.

 

 

 

NYSE to delist three Chinese telecoms in dizzying about-face

(Reuters) -The New York Stock Exchange said on Wednesday it will delist
three Chinese telecom companies, confirming its latest U-turn on the matter
a day after U.S. Treasury Secretary Steve Mnuchin told the NYSE chief he
disagreed with an earlier decision to reverse the delistings.

 

The latest move, which is effective Jan. 11, marks the third time in less
than a week the Big Board has ruled on the issue.

 

The flip-flopping highlights the confusion over which firms were included in
an executive order issued by President Donald Trump in November barring U.S.
persons from investing in publicly traded companies Washington deems to be
tied to the Chinese military.

 

It also comes amid escalating tensions within Washington on China policy in
the final days of the Trump administration.

 

“There is a unique situation where there is an outgoing administration that
is disengaged and (there are) orders sitting out there, so something has to
be done, but no one wants to take on responsibility,” said Leland Miller,
the CEO of the U.S.-based consultancy China Beige Book.

 

“I think in future that anyone getting these orders will say: ‘Tell us
exactly what you want us to do,’ and force administrations to be more
focused.”

 

The NYSE originally on Thursday announced plans to delist China Mobile Ltd,
China Telecom Corp Ltd and China Unicom Hong Kong Ltd. On Monday, it did a
U-turn after consulting with regulators in connection with the U.S.
Treasury’s Office of Foreign Assets Control and decided to keep them listed.
Wednesday’s decision marks a return to the original plan.

 

The decision to keep the companies listed had prompted criticism that
Treasury was being dovish on China.

 

Mnuchin has long been seen as seeking to thwart attempts by hardliners in
the administration - many led by the State department - to crack down on
Chinese companies.

 

But sources who asked to remain anonymous due to the sensitivity of the
matter said Mnuchin had called NYSE President Stacey Cunningham on Tuesday
to express his concerns over the decision to relist the companies, as the
exchange sought further confirmation on the matter.

 

“The Treasury secretary was on the phone with the NYSE (president) now and
was told that NYSE would reverse their decision,” a U.S. official told
Reuters on Tuesday.

 

INVESTOR COMPLIANCE URGED

On Wednesday the exchange operator said in a statement its latest decision,
to move forward with the delistings, was based on “new specific guidance
received on January 5, 2021, that the Department of Treasury’s Office of
Foreign Assets Control provided to the NYSE”.

 

Trading in the securities will be suspended at 4 a.m. ET (0900 GMT) on Jan.
11, the NYSE said.

 

A spokeswoman for the exchange operator declined to comment further.

 

The flip-flopping caused investors to sell positions in the securities, the
prices of which dropped on the initial announcement, then rose on the next,
and tumbled again on Wednesday.

 

Republican Senator Ben Sasse, a member of the Senate Select Committee on
Intelligence, said the decision was the “right call”.

 

“Chinese firms that reject fundamental transparency requirements and have
ties to the Chinese military shouldn’t benefit from American investment,”
Sasse said.

 

Trump’s executive order technically takes effect on Jan. 11 but does not ban
purchases by U.S. investors until November.

 

While the directive stops short of forcing a delisting, a separate bill
signed into law by Trump in November will kick Chinese companies off U.S.
bourses if they do not fully comply with the country’s auditing rules in
three years.

 

The U.S. State Department plans to release as soon as Wednesday a fact sheet
urging U.S. investors to comply with the executive order, according to three
people familiar with the matter and a copy of the document seen by Reuters.

 

The Treasury said on Wednesday that market intermediaries could help
investors divest securities of the blacklisted companies.

 

S&P Dow Jones Indices, which has also made U-turns in decisions, said late
on Wednesday it will remove the three telecom firms’ ADRs from its
benchmarks before Jan. 11.

 

Other index makers including FTSE Russell and MSCI Inc have cut a dozen
Chinese companies on the list from their benchmarks, but have not removed
the three telecom firms, all of which have major passive U.S. funds amongst
their top shareholders.

 

 

 

LafargeHolcim to buy Firestone Building Products in $3.4 billion deal

ZURICH (Reuters) -LafargeHolcim will buy Firestone Building Products from
Bridgestone Americas in a $3.4 billon deal, the world’s biggest cement maker
said on Thursday.

 

Firestone Building Products, which specialises in commercial roofing in the
United States, had sales of around $1.8 billion and earnings before
interest, depreciation and amortisation of $270 million in 2020,
LafargeHolcim said in a statement.

 

The move is a departure from LafargeHolcim’s recent strategy of focussing on
small-scale bolt-on acquisitions. It said it would finance the deal with
cash and debt.

 

The business was part of Japan’s Bridgestone Corporation and will boost
LafargeHolcim’s presence in the United States, taking its annual sales there
to $6 billion.

 

The Swiss company said it plans to expand the flat roofing business to
Europe and South America.

 

“With Firestone Building Products we are strengthening our biggest market,
the U.S., while also building a global growth and innovation platform for
the company,” said LafargeHolcim Chief Executive Jan Jenisch.

 

 

Nigeria: Govt Empowers 100 Nigerians With Digital Tools, Free Internet
Subscription

The Federal Government has empowered 100 Nigerians with digital tools
including laptops, free one-year internet subscription and cash, towards
driving Nigeria's digital economy.

 

Dr Isa Pantami, the Minister of Communications and Digital Economy presented
the items at the closing of a digital job creation training in Abuja on
Wednesday.

 

Pantami said that the gesture was in line with President Muhammadu Buhari's
digital economic drive in the country.

 

He explained that digital skills were no longer optional, as they had become
a necessity, noting that the Information and Communication Technology (ICT)
sector was a key enabler of the economy.

He said that all sectors of the economy including health, security,
agriculture and education, relied on digital technologies to strive for the
future.

 

Also read: Ingressive for Good partners Facebook to empower African youths
with digital skills

 

Stating the significance of the programme, he said that digital skill had
become a useful competence across sectors.

 

He reaffirmed that the focus of the world had changed from certificates to
skills acquisition and advised Nigerians to be patient and ambiguities on
digital skill acquisition.

 

"This is a digital training organised by the government under the
supervision of the ministry in order to create more job opportunities for
our citizens within and outside the country.

 

"This is the third. We are in the pilot phase, trying to validate the model
we have developed.

 

"We try to study the existing gaps in the digital world, come up with
training to fill the gap.

 

"This is what we have been doing, it is all about creating jobs for our
citizens in line with the priority issues of this administration,
particularly in the area of economic development," he said.

 

The minister, however, said that the ministry also plans to organise six
other training programme with a minimum of 100 participants in each of the
six geo-political zones of the country.

 

"Within this period we want to organise six pieces of training with a
minimum of 100 participants in each geo-political zones of the country.

 

"To be fair, the only criteria is to be able to read and write, however, the
training is many, it all depends on the specific training you want to
partake.

 

"When it is basic training you only need to be able to read and write, for
intermediary training you need the basic knowledge to be available.

 

"While on advance training, you will discover that the requirements,
conditions are many, it all depends on the training you want to partake in,
but to be fair it is free for all our citizens," he said.

 

In his goodwill message, the Managing Director, Galaxy Backbone, Prof.
Abubakar Muhammed lauded the minister for walking the talking by making sure
the job creation programme was realised.

 

Earlier in his opening remarks, Director, ICT, Ministry of Communications
and Digital Economy, Mr Samuel Okoye, urged the participants to use the
acquired digital skills to transform their businesses.

 

Okoye noted that the training has been able to develop the digital skills of
participants in line with the objective of the National Digital Economy
Policy and Strategy (NDEPS).

 

He advised the beneficiaries to use the skills learnt to better Nigerian
society, especially in the digital space.

 

One of the participants, Mr Saheed Aiyegboka thanked the government for the
opportunity, stating that the skills learnt would greatly impact on his
life.

 

Similarly, another participant, Ms Dorcas Kowa, said that she had learnt how
to operate her business digitally, saying that the training would propel her
business exponentially in the internet space.-Vanguard News Nigeria

 

 

 

 

Nigeria: Customs Revenue Rises 16 Percent to N1.6trn, Surpasses Target By 13
Percent

Against the backdrop of over one year shutdown of Nigeria's land borders,
the Nigeria Customs Service (NCS) has overshot its revenue target by 13.2
percent in 2020 while surpassing the 2019 performance by 16.4 percent.

 

Nigeria shut all its land borders since August 2019, thereby freezing
revenue that could have accrued from imports through the borders.

 

Following the criticism that greeted the closure of the borders the NCS had
argued that its revenue would be boosted with the border closures.

But many stakeholders believed the problem was more of leakages and
corruption which denied the Customs the revenue accruable from duties
payable on land border imports.

 

A statement by the Public Relations Officer, Deputy-Controller Joseph Attah,
in Abuja, yesterday, indicated that the Service generated N1.562 trillion in
revenue in 2020 against the target of N1.380 trillion. He said the revenue
was also ahead of the N1.342 trillion recorded in 2019.

 

The performance, according to him, was coming against the adverse impact of
the Coronavirus (COVID-19) pandemic on the economy during the period under
review.

 

He said that the partial border closure which has forced cargoes that could
have been smuggled through the porous borders to come through the sea and
airports also significantly contributed to raising revenue collection from
ports.

He stated: "Before the commencement of the border drill on 20th August 2019,
revenue generation was between N4 billion to N5 billion but now NCS generate
between N5 billion to N9 billion daily.

 

"Diplomatic engagements that took place during the partial land border
closure yielded many positive results, including commitment to comply with
the ECOWAS Protocol on Transit. Operationalization of joint border patrols
at both sides of the border.

 

"The teams are required to share intelligence and ensure prevention of
transit of prohibited goods into the neighbor's territory," he added.

 

Atta said that the NCS would strictly implement the outcome of the
diplomatic engagements as the land borders open for movement of cargoes.

 

He added that intelligence gathered during the period and the introduction
of the e-Customs whose components include installation of scanners at all
entry points would enhance border security and boost national trade
facilitation.

 

He disclosed that seizures of 4,304 assorted items with a duty paid value of
N28.287billion were recorded within the period under review.

 

According to him, "These seizures include arms, ammunitions, illicit drugs,
used clothing, vegetable oil, frozen poultry and foreign rice among others
that have grave consequences on economy security and well being of
Nigerians."-Vanguard.

 

 

 

Rwanda: Powdered Milk Plant Suffers Setback Due to Shortage of Funds

Dairy farmers in Gicumbi and neighbouring districts will have to wait longer
to get the much anticipated factory that would be processing fresh milk into
powdered milk after its construction has faced financing problems.

 

According to information from the Ministry of Trade and Industry, the
factory will process 252,000 litres of milk per day.

 

The Rwf37 billion plant is a joint venture investment between South Africa's
TRIOMF East Africa and Rwandan investors, its majority shareholder.

 

The planned factory will be the first of its kind in Rwanda as the country
has been only relying on milk powder imports, and it would be a ready market
for dairy farmers' produce that sometimes lacks buyers and incur losses.

Construction of the plant was expected to have started by the end of 2020 in
Byumba Sector of Gicumbi District in Northern Province, and it would take a
year for it to be completed, according to Antoine Juru Munyakazi, Executive
Chairman of TRIOMF East Africa.

 

The factory will be owned and operated by a company called East African
Dairies, a shareholding between TRIOMF East Africa and dairy farmers in
Gicumbi District.

 

TRIOMF East Africa will own 80 per cent while farmers will own 20 per cent
of the factory.

 

Powdered milk has a far longer shelf life than liquid milk and does not need
to be refrigerated, facilities that are not readily available everywhere.

 

In January 2020, Munyakazi told The New Times that the company would invest
its own money as well as bank loan, adding that the request for loan was
promising.

 

On Tuesday, January 5, 2021, Munyakazi told The New Times, that the plans to
construct the plant have not been cancelled but indicated that the problem
has been its financing.

 

"The financing that we were seeking in Rwanda was not possible owing to the
Covid-19 problem ... the factory requires a lot of money as it is a big
project. Because of the Covid-19 impact, our banks are not interested in
taking risk on big projects," he said. "So, the investors for the factory
are now mainly trying to source financing from outside the country," he
said, adding that funding negotiations are still ongoing with financiers.

 

He said that the will to set up the factory is still live, and that it is
needed by the dairy farmers.

Pierre-Célestin Hakizimana, the president of IAKIB - a dairy farmers'
cooperative in Gicumbi District, told The New Times that the cooperatives
had already mobilised Rwf360 million from their savings and allocated to
that activity.

 

IAKIB represents the 10 cooperatives that will have shares in the factory.

 

However, he said that the investor - TRIOMF - told the dairy farmers that it
would secure financing for the entire project, including the investment
required from the dairy farmers - equivalent to 20 per cent of the factory
shares.

 

He explained that the farmers would reimburse the credit later through
deductions from the profits on milk sales that they would be supplying to
it.

 

"The investor told us that we should put the money we had raised into
increasing milk production so as to ensure sustainability of milk supply
that the factory will need," he said.

 

He indicated that they dairy farmers' cooperatives still keeps such money on
a savings account in BPR Atlas Mara as they were discouraged from haltered
progress on the factory establishment.

 

The cooperatives in Gicumbi District collect about 95,000 litres of milk per
day, and were planning to increase production thanks to the availability of
the factory, he estimated.

 

The factory, he said, would not only source milk from Gicumbi dairy farmers,
but also those from the neighbouring districts in the Northern and Eastern
Province of the country.

 

Currently, he said, IAKIB alone collects 38,000 litres of milk per day, but
lacks ready market for 8,000 litres of milk a day.

 

Rwanda produces more than 2.2 million litres of milk a day, while only about
10 per cent of it gets processed into different dairy products, according to
data from the Ministry of Agriculture and Animal Resources.

 

The country spent over $10.7 million (Rwf10 billion) on importing over 4
million kilogrammes of milk powder in 2019, show statistics from the
Ministry of Trade and industry.

 

The figures imply an increase of 25 percent in milk powder import bill
compared to over $8.5 million (about Rwf8 billion) it spent on more than 3.6
million kilogrammes in 2018.-New Times.

 

 

Tanzania: PM - Govt Projects Should Reflect Money Spent

PRIME Minister Kassim Majaliwa has said projects being implemented in the
country must be managed well for the government realize the value of its
money.

 

He made the remarks during his meeting with Ruvuma Region Officers at Songea
Airport, shortly after visiting various projects in the area. The Premier
applauded the regional officials for ensuring the four projects of Tunduru
Secondary School, Mbinga District Council buildings, Mbinga-Mbamba Bay road
and Songea Airport are well managed and display value for money spent.

 

"In implementing various projects the government wants them to be well
managed, see the value of its money and as well display quality construction
standard," he added. On the Songea Airport project, he said more than 37bn/-
has been spent rehabilitating and upgrading it to improve air transport in
the region.

The facelift involved repairing the runway capable of receiving more than
150 passengers, waiting area and a parking space that can accommodate six
large planes. When completed, the airport will allow flights to land day and
night.

 

However, the Prime Minister urged the leaders to continue encouraging people
to take full advantage of various major strategic projects being implemented
by the government to increase their incomes.

 

Equally, he urged them to ensure they oversee management of the airport so
that it becomes sustainable and continue serving the people.

 

The government is implementing the National Five-Year Development Plan
2016/17 - 2020/2021, which aims at nurturing industrialisation for economic
transformation and human development and under this plan, it is funding
various projects to develop the country.

 

Some of the projects includes a new Central Railway line to Standard Gauge
(SGR) that involves constructing a new electric railway line with domestic
funds from Dar es Salaam - Morogoro - Dodoma about 700 Km.

 

Another project is the construction of a Crude Oil Pipeline from Hoima,
Uganda to Tanga Port in Tanzania in collaboration with the government of
Uganda. It is expected to transport Uganda crude oil to the international
markets.-Daily News.

 

 

 

 

 

 

 


 


 


Invest Wisely!

Bulls n Bears 

 

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.bullszimbabwe.com> www.bullszimbabwe.com 

Blog:
<https://bullszimbabwe.com/category/blogs/bullish-thoughts/>
www.bullszimbabwe.com/blog

Twitter:         @bullsbears2010

LinkedIn:       Bulls n Bears Zimbabwe

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

Skype:         Bulls.Bears 



 

 

 


 

INVESTORS DIARY 2021

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


Companies under Cautionary

 

 

 


 

 

 

 


ART

Seed co Int.

Dairibord

 


Starafrica

Medtech

Turnall

 


Seed co

 

 

 


 

 

 

 


 <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) 2021 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

 


 

 

 

 

 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210107/21943207/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.png
Type: image/png
Size: 9458 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210107/21943207/attachment-0002.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 146028 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210107/21943207/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 34029 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210107/21943207/attachment-0004.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.png
Type: image/png
Size: 34378 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210107/21943207/attachment-0003.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 22328 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210107/21943207/attachment-0005.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 65549 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210107/21943207/attachment-0001.obj>