IIPM Ranked No. 1 B-School In Global Exposre - Zee...
Dead Elephants for sale. Anyone?!
Yes, for once, it certainly makes sense to break up larger groups that aren’t profitable as part of the deleveraging process. And if the process through various sell-off deals come through (and that’s a big question?!), the move would surely put these cash-tight companies back on track. “By taking this action now we will have the flexibility to switch growth back on as soon as market conditions improve. In some cases, this will involve pulling off routes entirely. In other cases, we will scale back frequencies and capacity,” explains Geoff Dixon, CEO, Qantas Airways, to 4Ps B&M. The airline is negotiating on selling-off its frequent flier unit valued at $765 million to private equity players. While, Citigroup is looking to pocket $400 billion by sale of its assets, struggling auto-major GM has decided to part with its stakes of 3.02% in Suzuki for $230 million and Ford has decided to shake off its 20% stake in Mazda valued at $540 million. Then there is the no. 2 PC maker in the world – Dell, which is planning to sell off its factories and branches situated in various countries over the coming 18 months. Coming to entertainment, National Amusement has proposed to hive-off the family owned 1,500-screen theatres for an estimated $500 million. But looking at this list of desperate sellers, who are ready to amputate their trouble giving arms and fill their piggy banks, there is unlikely any buyer who would be willing bet on these dead white elephants (GM with $ 2.5 billion losses, Ford with $129 million losses, Citigroup with $2.8 billion losses et al, for Q3, 2008). And it come as no surprise that none of these offerings have found any takers so far. “Many may find that these players are still not profitable even when broken apart, and would thus refrain from buying or investing into them,” explains Michael Englund, Chief Economist and Director, Action Economics.
For more articles, Click on IIPM Article.
Source : IIPM Editorial, 2008
An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).
Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY
IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
IIPM ranked No. 1 B-school in India- Zee Business Survey ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...
Dead Elephants for sale. Anyone?!
Yes, for once, it certainly makes sense to break up larger groups that aren’t profitable as part of the deleveraging process. And if the process through various sell-off deals come through (and that’s a big question?!), the move would surely put these cash-tight companies back on track. “By taking this action now we will have the flexibility to switch growth back on as soon as market conditions improve. In some cases, this will involve pulling off routes entirely. In other cases, we will scale back frequencies and capacity,” explains Geoff Dixon, CEO, Qantas Airways, to 4Ps B&M. The airline is negotiating on selling-off its frequent flier unit valued at $765 million to private equity players. While, Citigroup is looking to pocket $400 billion by sale of its assets, struggling auto-major GM has decided to part with its stakes of 3.02% in Suzuki for $230 million and Ford has decided to shake off its 20% stake in Mazda valued at $540 million. Then there is the no. 2 PC maker in the world – Dell, which is planning to sell off its factories and branches situated in various countries over the coming 18 months. Coming to entertainment, National Amusement has proposed to hive-off the family owned 1,500-screen theatres for an estimated $500 million. But looking at this list of desperate sellers, who are ready to amputate their trouble giving arms and fill their piggy banks, there is unlikely any buyer who would be willing bet on these dead white elephants (GM with $ 2.5 billion losses, Ford with $129 million losses, Citigroup with $2.8 billion losses et al, for Q3, 2008). And it come as no surprise that none of these offerings have found any takers so far. “Many may find that these players are still not profitable even when broken apart, and would thus refrain from buying or investing into them,” explains Michael Englund, Chief Economist and Director, Action Economics.
For more articles, Click on IIPM Article.
Source : IIPM Editorial, 2008
An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).
Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY
IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
IIPM ranked No. 1 B-school in India- Zee Business Survey ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...
No comments:
Post a Comment