Thursday's Headlines: Emerging markets M&A surges
M&A activity between developed and emerging markets is nearing record highs, according to the Wall St. Journal. Acquisitions or mergers of emerging market companies led by those in developed economies stands at $76.3 billion year-to-date, while emerging market outbound M&A activity stands at $56.1 billion-the second highest on record, and representing 21 percent of all M&A volume by emerging markets.
Oil is the strongest sector, followed by health care and chemicals. China leads the pack in the acquisition department, followed by Israel, UAE, India and Singapore. Goldman Sachs is the leading advisor to emerging market outbound deals, followed by Credit Suisse and Bank of America Merrill Lynch.
After a token pay of just $1 a year, Citigroup's chief executive, Vikram S. Pandit, will earn $23.2 million if he meets certain goals. [DealBook]
The American wealth management unit of UBS has hired 15 financial advisors in charge of $1.5 billion in assets. [Reuters]
Kremlin Private Equity, the Russian private equity unit being set up by President Dmitry Medvedev is seeking to hire 25 to 30 investment managers. [Bloomberg]
The financial regulatory system was remade under Dodd-Frank and requires strong leaders, but five major bank regulatory positions are either unfilled or staffed with acting directors. [NY Times]
The Securities and Exchange Commission proposed sweeping new rules to overhaul the credit rating business. [DealBook]
Mideast upheaval, a spate of natural disasters, volatile commodity markets and general economic uncertainty prompted revenue at major banks to fall 5 percent, to $52 billion, last quarter. [Reuters]
Goldman's shrinking advantage over its competitors has raised doubts with investors and analysts. [NY Times]
Japan's Mizuho Financial plans to merge its retail and corporate banking arms. [WSJ]
Cukurova, based in Istanbul, is in talks with the private equity funds K.K.R. and TPG Capital to sell as much as half of its entertainment and news television channel. [Bloomberg]
U.K. regulators plan to crack down on risky banks when it takes over financial regulation next year, restricting the dividends and bonuses of lenders. [BusinessWeek]
Daniel Zwirn, the New York investor forced to shut a $4 billion hedge fund because of client withdrawals three years ago, is starting over with a new publicly traded fund that will be safe from redemptions. [Bloomberg]
Citigroup is boosting profits from a hedge fund that bets the bank's money on mortgage debt -- a practice regulators plan to restrict. [BusinessWeek]
Last year, Fannie added more than 1,300 workers, making it the sixth biggest hirer in 2010. [CNN Money]