GLOBALCAPITAL INTERNATIONAL LIMITED, a company

incorporated in England and Wales (company number 15236213),

having its registered office at 4 Bouverie Street, London, UK, EC4Y 8AX

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  • Global co-ordinators Goldman Sachs and ING Barings have executed the sale of Libertel shares in an IPO that illustrates the malaise gripping the primary market. Although comfortably oversubscribed, the Eu1.385bn issue was priced at Eu21 - just above the middle of the Eu18-Eu23 range - as a result of price sensitivity and fears that aftermarket trading could suffer.
  • n Lead manager Warburg Dillon Read is to launch the capital increase for Fortis, the Dutch banking and insurance group. The deal will start next week and is likely to raise between Eu1bn and Eu1.5bn through the issue of new equity or equity linked debt securities. n Merrill Lynch and Warburg Dillon Read will shortly complete the sale of stock in Old Mutual, South Africa's largest life assurance and financial services group.
  • The supply of Nordic equity issues is set to increase in the coming weeks with international fund managers eyeing some of the forthcoming opportunities to invest in the markets. Next week lead managers Deutsche Bank and Enskilda will execute the sale of stock in Perlos Corporation, the Finnish producer of plastic surrounds for mobile telephones.
  • France's privatisation of Crédit Lyonnais has been launched to an enthusiastic initial response, with the government expected to raise between Ffr41bn and Ffr48bn from the sale of shares at an indicated price range of Eu22.5-Eu26.2. The deal will close at the end of the first week in July, marking the end of a dismal episode in the bank's history. Joining lead manager Crédit Lyonnais are joint lead managers ABN Amro Rothschild and Schroders, with Salomon Salomon Smith Barney as senior co-lead manager.
  • Activity in the UK primary market should light up in the next few days with the sales of stock in Freeserve, Fortune Publishing and Kingston Communications. Cazenove and Credit Suisse First Boston will launch the marketing period for the sale of stock in Freeserve - the internet service provider owned by retailing group Dixons - in the next 10 days.
  • Goldman Sachs this week completed one of the largest secondary offerings ever in the North American market, proving that there is still investor appetite for large, liquid offerings. The combined stock offering and convertible bond issue for Canadian entertainment and drinks group Seagram Company raised a total of $2.78bn. There is an additional overallotment option for $275m which would increase proceeds to just over $3bn if exercised.
  • Shares in the newly floated German logistics group Stinnes traded well this week after difficult market conditions forced lead managers Dresdner Kleinwort Benson and Warburg Dillon Read to cut the price and the size of Veba's divestment of the company last Friday. As foreshadowed in Euroweek last week, the Düsseldorf-based energy conglomerate was forced to restructure the spin-off of its subsidiary after a lacklustre response from investors.
  • Defying difficult primary market conditions, the sale of stock in the Spanish yellow pages group TPI by Telefónica has attracted very strong investor interest. Lead managers Credit Suisse First Boston, Deutsche Bank, Argentaria, BBV and La Caixa will price the deal over the weekend, with all the signs pointing to a very successful conclusion.
  • The mood improved on Wall Street this week as fears of inflation subsided and comments by Fed chairman Alan Greenspan yesterday (Thursday) indicated that any interest rate increase later this month was unlikely to be the first in a series. However, conditions remain unfavourable for new issues and, with the pipeline already bursting with record new filings from May, the outlook remains uncertain.