2005

Cover Story : Changing Times, New Techniques

Project Finance Activity Reaches Fever Pitch Changing Times, New Techniques Christophe Rousseau, BNP Paribas “Project finance structures worldwide are becoming more and more aggressive,” Thornton says. The Chicago Skyway project, for example, which involves a $1.8 billion long-term lease of ...

Corporate Finance : Foreign Exchange

Asian Central Banks May Tilt US Yield Curve The Japanese, Chinese, South Korean and other Asian central banks have made it clear that they have no intention of dumping dollar-denominated securities and undermining the value of their massive reserve holdings. ...

Newsmakers : Can Sir Howard Stringer get Sony Back on Course?

Japan Sir Howard Stringer, the Welsh-born head of Sony America, has been named chairman and CEO of the Japanese parent company. The gaijin CEO, rare in Japan and a first for Sony, may implement some drastic turnaround measures that would ...

Corporate Finance : Corporate Debt

Samurai, Kangaroo Bonds Hopping Ford Motor Credit sold more than $1.5 billion of three-year samurai bonds in Tokyo in February, its biggest-ever sale of yen-denominated bonds in a single issue. The US company paid a coupon of 1.71%, or a ...

Milestones : Central Bank Puts The Brakes On As Economy Speeds Ahead

China The People’s Bank of China introduced new tightening measures to cool the property market last month, as the economy showed no sign of slowing and investment growth continued well above the government’s target. The central bank increased the five-year ...

Newsmakers : Donaldson Tackles Costs of New Rules

United States William H. Donaldson, chairman of the Securities and Exchange Commission, says he wants to do a cost-benefit analysis of the rules and regulations the SEC writes to implement the Sarbanes-Oxley (Sarbox) reforms. Corporate executives are complaining that the ...

Corporate Finance : Corporate Debt

Satellite Operator Issues $2.55 Billion of Notes Gordon Platt In the biggest offering of high-yield debt in the US market since July 2003, Intelsat Bermuda sold $2.55 billion of notes in a three-part private placement. The global satellite operator is ...

Corporate Finance : Focus: Foreign Exchange

Corporate Financing Focus Active Currency Management Can Turn Risk Exposure Into Source of Potential Returns Multinational industrial companies trading goods in global markets or building new plants overseas routinely take on exposure to foreign currency fluctuations as part of doing ...

Corporate Finance : Mergers & Acquisitions

Wave of Big Mergers Keeps Going and Going The surge in merger activity late last year continued in early 2005, with a string of large takeovers in the US, including Procter & Gamble’s $57.5 billion purchase of Gillette, which will ...

Corporate Finance : Global Equity/DRs

Record Russian IPO Gets London Listing Sistema, a Russian conglomerate controlled by billionaire Vladimir Yevtushenkov, raised $1.35 billion last month in the form of global depositary receipts that are traded on the London Stock Exchange. The sale, which was handled ...

Features : World’s Best Treasury Providers

Global Finance selects the best treasury and cash management banks, globally and by region, and the best providers of treasury management systems and services by category. In a period of relatively low interest rates, treasury and finance officials at corporations ...

Milestones : Winds Of Change Blow Through Us Power Industry

United States AES, a leading global power company based in Arlington, Virginia, agreed in January to acquire SeaWest Holdings, a privately owned wind-generation operating and development company, for approximately $60 million in cash. San Diego, California-based SeaWest operates electricity-generating wind ...

Corporate Finance : Dollar Starts Strong,But Hurdles Remain

Foreign Exchange The dollar’s rally in early January reflected optimism about the United States economy and the prospect for higher interest rates, as well as year-end repositioning in the greenback by market participants, analysts say. "We believe that this dollar ...

Corporate Finance : Mergers & Acquisitions

Telecom Mergers Cap $1.9 Trillion Year Telecom mergers on both sides of the Atlantic contributed to the biggest deal total on record for December, with more than $300 billion of global M&A; transactions announced in the final month of 2004, ...

Newsmakers : Qaddafi Finds Virtue Has Its Cash Rewards

Libya Colonel Muammar al-Qaddafi, Libya’s flamboyant leader since a 1969 coup, did his country a big favor when he came in from the cold last year. By ingratiating himself with the West and agreeing to dismantle Libya’s weapons of mass ...

Features : World’s Best Trade Finance Banks 2005

Global Finance selects the leaders in a specialized area of finance that is benefiting from a surge in global trade. Late last year, Deutsche Bank closed a $100 million syndicated insured receivables purchase facility for Sadia, one of Brazil’s largest ...

Milestones : Qatar Gas Project Pushes Bounds Of Project Finance

Qatar/United Kingdom Qatar Petroleum and ExxonMobil secured funding in December for the $12 billion Qatargas II project, which will supply LNG from Qatar to the UK beginning in 2007. The $7.6 billion bank financing for the venture, the largest energy-project ...

Corporate Finance : Global Equity/drs

China Netcom’s IPO Raises $1.2 Billion China Netcom, China’s second-biggest fixed-line phone company, raised $1.2 billion in an initial public offering of shares in Hong Kong and American depositary receipts in New York. The company plans to spend half of ...

Corporate Finance : Mergers & Acquisitions

Private Equity Funds go Shopping in Europe New York-based private equity firm Clayton, Dubilier & Rice, in its third European acquisition of 2004, led a group that agreed on November 30 to buy electrical equipment supplier Rexel from France’s Pinault-Printemps-Redoute ...

Corporate Finance : Corporate Debt

Corporate Financing Focus Role of Insurance Grows in Global Debt Offerings as Complexity Increases Isbank of Turkey completed a $600 million securitization deal based on diversified payment rights on November 22, 2004, with Standard Chartered Bank as sole lead manager ...

Corporate Finance : Foreign Exchange

Analysts Expect Dollar Déjà vu: More Losses The outlook for the dollar in 2005 depends on a host of factors, some of which nobody could possibly foresee. But the most likely scenario, analysts say, is a continued orderly decline, with ...

2004

Corporate Finance : Ford’s Euro Benchmark Bond Issue Sputters

Ford Motor’s first eurodenominated benchmark bond issue of 2004 rolled across the finish line in somewhat dented shape last month. The US automaker was forced to reduce the size of the issue from an originally planned €1 billion to €750 ...

Corporate Finance : Global IPO Issuance Heaviest in Four Years

The issuance of new stock issues has picked up sharply worldwide in the past few months, raising hope among investment bankers that the equity side of their business is warming up. For the first time since 2000, the annual global ...

Newsmakers : Ngos Boycott Ifc Policy Review

UNITED KINGDOM The IFC refutes claims that its review of environmental and social safeguard policies constitutes a watering down of current standards and that the consultation process is “deeply flawed.” In an effort to make its current safeguard policies, which ...

Corporate Finance : Dollar Continues to Sink On Good News and Bad

The dollar fell to an all-time low against the euro in November, even as the US employment picture improved and the stock market rebounded. Dealers and analysts say sentiment has turned extremely sour on the greenback amid increasing concern about ...

Features : Best Banks In 2004

Global Finance selects the winners from among the leading banks that create and implement financing plans for major projects around the world. Private finance initiatives, or PFIs, in Europe, big petrochemical plants in Asia and power-sector restructurings in the United ...

Corporate Finance : Braskem Raises $423 Million In Global Stock Offering

Global Depositary Receipts AMERICAS Brazil-based Braskem, the largest petrochemical company in Latin America, has raised $423 million in an initial global public offering of class-A preferred shares and American depositary shares. The company increased the number of shares offered to ...

Corporate Finance : European Issuers Flocking To Us Private Placements

CORPORATE FINANCE THE AMERICAS/EUROPE European issuers are making an increasing number of private placements in the US debt market to take advantage of low interest rates and to diversify their sources of funds, according to market participants. The private placement ...

Milestones : Us Consumer Remains A Beacon Of Hope In A Gloomy World

UNITED STATES High oil prices and weak job creation are creating worries about a potential slowing in US and global economic growth, but don’t count out the American consumer. Consumer spending ac-counts for two-thirds of the US economy and there ...

Corporate Finance : Dollar Getting Stuck In Economic Soft Patch

FOREIGN EXCHANGE Weaker-than-expected US payroll data triggered a sell-off in the dollar last month, and analysts say the outlook for the greenback has deteriorated. The dollar slumped to the lower end of its months-long trading range against the euro and ...

Cover Story : World’s Best Banks

THE WORLD’S BEST GLOBAL BANKS A growing global economy made it some-what easier to be a banker in the past 12 months, as credit risks generally de-clined and de-mand for bank-ing services was brisk. The skills of the world’s bankers ...

Corporate Finance :Foreign Exchange The Americas

Strong-Dollar Policy May Survive Election The official currency policy of the US administration in the years ahead will continue to be that a strong dollar is in the best interests of the country, no matter who wins next month’s presidential ...

Corporate Finance : Corporate Bonds The Americas

Rainbow National Offering Clears Way for Spin-Off Rainbow National Services, the programming subsidiary of Bethpage, New York-based Cablevision Systems, sold $800 million of notes in a two-part offering in the private-placement market. Cablevision, which began as a cable television operator ...

Newsmakers : An Adman's Dream Of World Domination Finally Comes True

United Kingdom Diminutive Sir Martin Sorrell, chairman and chief executive of London-based WPP, has thrown his weight around and emerged at the top of the advertising and media-services world. Sir Martin realized his lifelong dream of dominating the global advertising ...

Milestones : Foreign Central Banks Balk At Treasury Auction

United States Some who saw the announcement were so shocked by the number that they thought it was a misprint when the US treasury reported the results of indirect bidding at a $9 billion auction of reopened 10-year government bonds ...

Corporate Finance : Global Depositary Receipts Europe

Royal Bank of Scotland Issues Preference Shares Royal Bank of Scotland, the second-largest bank in the UK, issued $925 million of preference shares in the form of American Depositary Receipts. A portion of the proceeds may be used to help ...

Corporate Finance : Mergers & Acquisitions

ASIA Bidding War Erupts For Japanese Bank Sumitomo Mitsui Financial made a $29 billion hostile bid for UFJ Holdings, which already had plans to merge with Mitsubishi Tokyo Financial. Either suitor’s pairing with UFJ would create the world’s largest bank ...

Corporate Finance :Mergers & Acquisitions

ASIA Bidding War Erupts For Japanese Bank Sumitomo Mitsui Financial made a $29 billion hostile bid for UFJ Holdings, which already had plans to merge with Mitsubishi Tokyo Financial. Either suitor’s pairing with UFJ would create the world’s largest bank ...

Corporate Finance : Yen Tracking Nikkei’s Moves

Asia If weakness in the Japanese stock market continues, this could be troublesome for the yen’s prospects, says Bilal Hafeez, head of foreign exchange strategy at Deutsche Bank in London. The yen’s moves against the dollar have been highly correlated ...

Corporate Finance : Accounting Proposal Hits ‘coco’ Bonds

The Americas Proposed new accounting rules have put the damper on the issuance of a popular type of convertible corporate bond in the US market. The Financial Accounting Standards Board wants companies to treat so-called contingent convertible bonds, known as ...