RBS looks at stake in Chinese wealth fund
Royal Bank of Scotland may buy a 19.9 per cent stake in Suzhou Trust, which would strengthen the Edinburgh bank’s position in wealth management and securities underwriting in China. It is understood that RBS, which already owns 4.26 per cent of Bank of China, is one of several international companies to approach Suzhou. The trust is planning a capital increase that would bring in international as well as local investors. RBS did not return calls for comment. (Miles Costello)
Centro fears intensify
Shares in Australian-listed Centro Properties Group slumped a further 69 per cent on fears it will not be able to service its debts. The fifth-largest retail property owner and manager in America has lost nearly 90 per cent of its value since it said on Monday that it was having trouble refinancing A$1.3billion (£534million) in debt and may have to restructure. (Reuters)
Atlantis in production
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Atlantis, the oil production platform operated by BP in the Gulf of Mexico, has started to produce oil and gas after technical problems led to long delays. The $2billion (£984million) platform, part-owned by BHP Billiton, is expected to reach its maximum output of 200,000 barrels per day by the end of next year. (Carl Mortished)
Tradus in £946m sale
Naspers, Africa’s largest media group, has ramped up its online presence in Eastern Europe by agreeing to buy Tradus, the internet auction house formerly known as QXL Ricardo, for £946 million. The all-cash deal, priced at £18 a share, is set to draw a line under Tradus’s volatile eight-year history as an independent London-listed business. (Rhys Blakely )
US housing slump
Housebuilding in the United States tumbled to its lowest level in more than 16 years last month in the wake of the sub-prime mortgage crisis and global credit crunch. The US Commerce Department said that housing starts and building permits fell by 3.7 per cent in November, to an annual rate of 1.187 million. (Times Online and Agencies)
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IPhone tests Japan
Apple is in talks with DoCoMo, Japan’s biggest telephone operator, and Softbank, the No 3, about launching the iPhone. However, both have balked over the share of subscriber revenue Apple is demanding, according to sources. Apple has chosen Orange in France, Deutsche Telekom’s T-Mobile in Germany and Telef?nica-owned O2 in Britain. (Reuters)
Indian oil expansion
Essar Oil, the operator of the Gujarat refinery in western India, plans to raise $4billion (£1.9billion) to more than triple capacity. Shareholders approved a plan to sell $2billion of shares to pay for the remainder of the plant. Indian refiners rely on exports because state price-setting makes it impossible to profit from selling fuels at home. (Bloomberg)
Christmas tree clash
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The Danish Christmas Tree Growers’ Association, Europe’s biggest exporter of the trees, has been accused by national authorities of attempting to rig prices. The charges follow rises of as much as 25 per cent this year and involve a police investigation stemming from a complaint that was filed last year by the Danish Competition Authority. (Bloomberg)