WEBVTT - CVC Down, Danone Slides, Fnac Darty Surges 

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Now, let's have a look at some of the stocks

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<v Speaker 3>on the mood today here in Europe. I'm Caroline Hepgot

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<v Speaker 3>with Stephen Cowe and were joined by Bloomberg's Baking News

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<v Speaker 3>editor Louise Moon. So there's a deal happening. The private

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<v Speaker 3>equity firm CBC agreed to buy US credit manager Marathon

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<v Speaker 3>Asset Management. In terms of the market reaction to that.

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<v Speaker 1>Shares are actually interestingly down slightly CVC shares that's in Amsterdam,

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<v Speaker 1>potentially on the back of the value of the Still

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<v Speaker 1>it's a big, a big buyout. So as you say,

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<v Speaker 1>they're buying Marathon Asset Management, that's the US firm. The

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<v Speaker 1>deals valued at as much as one point two billion dollars,

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<v Speaker 1>so eight hundred million dollars of that is CBC equity,

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<v Speaker 1>and on top of that there's also an anout consideration

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<v Speaker 1>linked to future performance at Marathon as well, so it

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<v Speaker 1>kind of marks the latest consolidation in this space. A

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<v Speaker 1>lot of these these tie ups are kind of gathering

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<v Speaker 1>pace among alternative investment firms and for CVC expands them

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<v Speaker 1>into the US credit market. It is being pegged as

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<v Speaker 1>a very positive deal, which is why it's it's interesting

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<v Speaker 1>that the shares are moving slightly lower. But yeah, so

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<v Speaker 1>expanding into the US credit market, they say it will

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<v Speaker 1>be beneficial to earnings from twenty twenty eight onwards. And

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<v Speaker 1>it kind of comes after the CEO he's been pursuing

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<v Speaker 1>these trial trying to pursue these type of acquisitions for

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<v Speaker 1>a while. He's been wanting to expand their offerings and

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<v Speaker 1>compete with the likes of kk ARE, those giants. So

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<v Speaker 1>this marks a step towards that for CVC.

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<v Speaker 3>Well to France and next Luise.

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<v Speaker 1>And there's a crisis and infant formula stock that's weighing

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<v Speaker 1>on several companies. It is yeah, stocks kind of falling

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<v Speaker 1>across the board as this crisis, which has been ongoing,

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<v Speaker 1>widens to do with infant milk formula. So dan On

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<v Speaker 1>down almost four percent this morning, wreck It over three percent.

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<v Speaker 1>Nestley also down over one percent, and this is after

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<v Speaker 1>on Friday, Danon recalled more of its products, so expanded

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<v Speaker 1>the number of recalls to more European markets, and this

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<v Speaker 1>is all due to changing standards from regulators. It has

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<v Speaker 1>said that its products remain safe. It's try to reassure

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<v Speaker 1>in that sense, but that's not really helping its share price.

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<v Speaker 1>This morning there was an interesting commentary from Barclay's saying

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<v Speaker 1>that the financial so sorry just to say so. Nesley

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<v Speaker 1>has also been impacted by this. They've also pulled products

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<v Speaker 1>in more than sixty countries. But Barclays are saying that

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<v Speaker 1>the financial damage for Nesle will be ten times higher

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<v Speaker 1>than dan On, So as much as this is impacting

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<v Speaker 1>Danon's stock, the financial damage will actually impact Nessley more.

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<v Speaker 1>They say that the highest cost of Danon is likely

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<v Speaker 1>to be up to one hundred million euros, which is

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<v Speaker 1>obviously a lot, but there's that it will be a

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<v Speaker 1>lot more for Neslite. So this is a bit of

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<v Speaker 1>an ongoing crisis across these European infant formula makers.

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<v Speaker 3>Hmm yeah, okay, so on infant formula. Now to the

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<v Speaker 3>retailer fromaka Darty. What is driving the gains for this

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<v Speaker 3>multinational retailer.

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<v Speaker 1>Now, yes, they've had an offer from EP Group, which

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<v Speaker 1>is obviously led by the Czech billionaire Daniel Kotinski. He's

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<v Speaker 1>offered to take control. He is already their largest shareholder,

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<v Speaker 1>but he wants to or the company wants to become

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<v Speaker 1>the long term majority shareholder. They said that they would

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<v Speaker 1>keep existing leadership, but they would keep their dividend policy,

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<v Speaker 1>but they want to be the long term majority shareholder.

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<v Speaker 1>So they've offered the value of their offer is about

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<v Speaker 1>one point one billion euros, so that's thirty six euros

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<v Speaker 1>per share, which is a nineteen percent premium to the

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<v Speaker 1>company's previous closing price. So we've seen their stock saw

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<v Speaker 1>this morning up last time I looked about seventeen percent,

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<v Speaker 1>but at one point it did hit that nineteen percent,

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<v Speaker 1>which is that so closing that gap between the last

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<v Speaker 1>closing price and the offer price. As I say, they

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<v Speaker 1>say they want to keep the leadership as it is,

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<v Speaker 1>they want to keep the dividend policy as it is.

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<v Speaker 1>They say from their side, they think it's being welcome

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<v Speaker 1>by the boards. They're calling it a friendly offer, and

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<v Speaker 1>for EP it's them expanding further into France. So yeah,

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<v Speaker 1>another eminem m and a deal today.

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<v Speaker 2>The Stock Movers report from Bloomberg Radio. Check back with

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