Unilever PLC (ULVR.LN) today announced its third acquisition in the past month with the purchase of Brazilian natural and organic food business Mãe terra.
Mãe Terra has been providing organic and nutritious food products to health-conscious consumers since 1979. Mãe which is growing at over 30% per year has a portfolio which includes a diverse range of products such as cookies, snacks, organic foods, and culinary products.
The acquisition of Mãe Terra comes off the back of their recent deals to buy Carver Korea for $2.7 billion and Pukka Herbs for an undisclosed sum
President of Unilever Brazil, Fernando Fernandez said of the deal “Mãe Terra has a great following in Brazil and strengthens our food portfolio, allowing us to accelerate our expansion in the high-growth naturals and organic segment.”
Veritas has announced the creation of 250 jobs at its new R&D centre in Dublin. The data management company plans to double its workforce to 500 employees by 2019.
130 of the roles will be filled within the next year, with the remaining positions, ranging from Graduates to Senior Level Executives taking place over the next 24 months.
Speaking as Taoiseach Leo Varadkar officially opened their new Blanchardstown centre, Veritas chief executive Bill Coleman said: “Our latest research shows that 56% of organisations have a cloud first mentality but are struggling with how to protect their data, gain visibility and extract maximum value while staying compliant…The aim of the new centre is going to focus on solving these challenges.”
Veritas Technologies empowers businesses of all sizes to discover the truth in information—their most important digital asset. Eighty-six percent of Fortune 500 companies rely on Veritas today.
Bank of America has chosen Dublin as its base for EU investment banking and markets operations after Brexit.
While the bank has not specified how many employees would be needed in Ireland, Bank of America’s CEO Brian Moynihan told the Financial Times that it would definitely have more people than the 700 it has today in Ireland.
While Bank of America currently has two offices in Dublin, one located in the city centre with another located in Leopardstown, they will also look to add more office space to this.
The bank will use a combination of an existing Dublin banking licence and a newly created investment firm to run its EU business once the UK leaves the bloc.
Dublin will not be the only city in the EU to see the number of BofA employees increase post-Brexit, with Mr Moynihan telling the Financial Times that extra staff would also be needed in Madrid, Milan, Frankfurt, Paris, Amsterdam and other places where the bank has a critical mass of clients.
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STOCKHOLM (Reuters) – Sweden’s Ericsson reported a worse than expected second-quarter loss on Tuesday and lowered its forecast for the mobile infrastructure market, blaming persistent low investment by telecoms companies.
Ericsson shares fell more than 11 percent to 54.20 crowns by 1110 GMT, with the figures fuelling concerns that plans by CEO Borje Ekholm, who took charge in January, will not be enough to restore profitability.
The company is facing mounting competition from China’s Huawei [HWT.UL] and Finland’s Nokia as well as weak emerging markets and falling spending by telecoms operators with demand for next-generation 5G technology still years away.
Ericsson has responded by cutting jobs and costs but those efforts are yet to stop the rot.
“We are in a phase of turnaround but it’s going to take some time,” Ekholm said on Tuesday, repeating the firm was on course to double 2016 margins after 2018.
Operating loss in the second quarter was 1.2 billion Swedish crowns ($145.3 million), compared with a 2.8 billion profit a year earlier and a mean forecast for a 244 million crown loss seen in a Reuters poll of analysts.
Ekholm’s strategy to stabilize the business includes exploring options for its loss-making media arm and reviewing unprofitable managed services and network rollout contracts.
“We see a more challenging investment environment in Europe and Latin America, that’s clearly the market area with the biggest impact,” Ekholm added.
“We see macro economic uncertainty in Middle East and Africa that is hurting investment. We see also that operators have funneled the investments more into fiber investments for example than into radio capacity.”
The company, backed by prominent Wallenberg family-backed Investor AB and Industrivarden, said it was targeting cost cutting to achieve an annual run rate reduction of at least 10 billion crowns by mid-2018.
Ericsson stunned investors earlier this year by announcing $1.7 billion in provisions, writedowns and restructuring costs.
Moody’s cut the company’s credit rating to junk in May, partly due to worries that the cost-cutting could hamper innovation.
Adding to the sense of gloom, Ericsson said it now sees the mobile infrastructure market falling by a high single-digit percentage this year, compared to its earlier guidance of a 2-6 percent decline.
“Ericsson doesn’t deliver, they lose versus the market and the market is weak,” said Inge Heydorn, fund manager at Sentat Asset Management, which has no position in Ericsson shares.
In 2018 it expects the mobile infrastructure market to fall by a low single digit percentage and to flatten out in 2019, CFO Carl Mellander told Reuters.
Sales at Ericsson, one of the top global mobile networks equipment makers, were 49.9 billion crowns below a consensus forecast of 50.5 billion, while the gross margin came in at 27.9 percent versus the 28.4 percent seen by analysts.
Operating profit in the Networks segment almost halved to 2.6 billion crowns in the second quarter, while both IT & Cloud and the media segments posted higher losses versus a year ago.
Shares of Netflix, the online video streaming company, climbed 11% over night with the announcement of a better than expected trading update for the three months leading to the end of June.
The number of subscribers exceeded 100 million for the first time, with the addition of 5.2 million subscribers over the period. Over 4 million of these are international subscribers, with more than half of Netflix’s customer base now coming from outside the US market.
Hot on the heels of the success of shows such as House Of Cards, Narcos and Orange is the New Black, Netflix has committed €5.7 billion to create and acquire content for 2017, with more than €14 billion set aside for the next five years. Reed Hastings, Chief Executive of Netflix, put the increase in subscribers down to shows like these, saying “Our streaming membership grew more than expected, from 99m to 104m, due to our amazing content”.
While Netflix believes there is further room to grow it has issued a more cautious outlook for the third quarter, predicting 4.4 million new subscribers.
Click here to view Netflix’s full quarterly earnings.
Dublin Liberties Distillery Company is to receive an €18.3 million investment from Stock Spirits Group in return for a 25% equity interest in parent company Quintessential Brands Irish Whiskey (QBIW).
Quintessential Brands Irish Whiskey, which also owns Dubliner Irish Whiskey, has sold a 25% equity interest and in return will receive an initial €15million cash injection, as well as a further deferred cash consideration over the next five years.
In further add ons to the agreement, a €10million banking facility has been completed by Wells Fargo Bank.
The large proportion of the investment will be used by QBIQW to complete the construction of Dublin Liberties Distillery in Dublin 8, as well as allowing the company to further invest in advertising and promotion in the brands. The distillery is scheduled to be completed by the summer of 2018, where it will compete and complement other attractions in the area such as Teeling’s Whiskey Distillery and the Guinness Brewery.
The Dublin Liberties Distillery Company will continue to lead the senior executive management team as QBIW, while it will be chaired by Warren Scott, group co-founder of Quintessential Brands. Mr Scott was quoted as saying”With the completion of the Dublin Liberties Distillery we will create a home for the brands and an exciting new visitor experience in the heart of Dublin,