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ALEX BRUMMER: LV transaction fails olfactory test

ALEX BRUMMER: LV Trading Fails Smell Test-When Lifetime Savings Are At stake, It Should Be The Ultimate Guide For Regulators


Nikhil Rathi, CEO of the Financial Conduct Authority (FCA), finds a way for senior executives at insurance company LV to put sand on the wheels of plans to sell themselves to Bain Capital, a private equity fund costume. The expectation that it might be shattered. .. A four-page update from the FCA will implement the white flag.

City regulators say it is not authorized by Congress to consider the “ownership” of the acquirer. The FCA also lacked direct enforcement power over London Capital & Finance, where the director is outside the so-called boundaries.

It didn’t prevent former CEO Andrew Bailey and his colleagues from being criticized for failure. More intrusive enforcers may share their views on the private equity ownership of former mutuals with at least 1.16 million members.

Nikhil Rathi, CEO of the Financial Conduct Authority (FCA), finds a way for senior executives at insurance company LV to put sand on the wheels of plans to sell themselves to Bain Capital, a private equity fund costume. The expectation that it might be shattered.

The Competitive Markets Authority did not have direct authority to intervene in the acquisition of Morrisons by Clayton, Duville and Rice. I had the opportunity to explain to the MP the risks, including the potential risks of debt lending.

These became very obvious in Asda. An unfortunate aspect of the efforts of Chairman Alan Cook and CEO Mark Hartigan to keep them private from each other is the plan to pass it by rail by changing the voting rules.

LV is asking the court to change the Articles of Incorporation to facilitate the closing of the transaction. Currently, you need at least 75pc out of 50pc members to approve a transaction. This is to keep the villains away and, in mutual best tradition, to ensure that the members are heard. Under the proposed rule changes, it is possible for a small number of a small number of 75% of members to approve a transaction.

The court makes the final decision, but in the end it’s good to think that the FCA, the protector of consumer interests, was willing to stand in court to defend the original voting structure. is.

LV transactions are complex and, of course, the FCA requires LV to strengthen communication with policyholders.

LV transactions are complex and, of course, the FCA requires LV to strengthen communication with policyholders.

Trading LVs is complex and, of course, the FCA requires LVs to strengthen communication with policyholders. He also states that if the interests of policyholders are compromised, he will retain a “senior manager” to explain subsequent issues.

This effectively asks Hartigan and his management to mark their homework in a setting where they are expected to have a direct equity stake. None of this passes the odor test. This should be the ultimate guide for regulators when lifelong savings are at stake.

Ricketty hat

It cannot be blamed that Matt Molding, the founder and executive chairman of The Hut Group (THG), has ignored critics. In a series of rapid fires triggered by the turmoil in capital markets earlier this month, he has sought to wipe out governance. Molding is trying to abandon his golden share, terminate his £ 100m personal loan deal with Barclays and strengthen his independent presence on the board. Andreas Hanson is a senior executive at Softbank, a major investor in THG, so inadvertently the first new non-executive officer is not at all independent. The search for a part-time chairman has begun, but it won’t be easy.

Reliable city figures and business people will be wary of catching falling knives. The belief shared on these pages that governance cleanup is the answer to the molding problem has not been proven so far. The bigger question seems to be about the business model. On paper, at least THG’s core asset, Ingenuity, THG’s open architecture technology platform, has achieved significant results with 131% year-over-year revenue.

Due to the mystery of intercompany pricing, there is still no clear data on how this number will be achieved. Earnings may look good, but investors don’t believe they are strong, so the latest 20pc plunges into stocks. How embarrassing for the UK’s new float spotted market!

Rough landing

High-paying chief executive Jon Holland Kay claims that its value has been halved after being attacked by a British airline over a proposal to raise landing fees at Heathrow Airport, greedy sovereign wealth funds • We ask our customers and businesses to show sympathy for fund and private equity fund owners. The idea that the drop in value from £ 20bn to £ 10bn is not temporary caused by a pandemic is fictitious. A smart way to recover your income is to not fool your users for a higher price.

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ALEX BRUMMER: LV transaction fails olfactory test

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