For a steel producer better have two irons in the fire

For a steel producer, better have two irons in the fire. After having been recalled to order by its shareholders because it was too strong to Russian Severstal, the management of Arcelor found a margin of manoeuvre. On the one hand, he can explain to Mittal Steel after a first significant gesture for improving governance and its offer price, has more than a step to be done before it is considered to be friendly by the Board of Arcelor. On the other hand, relying on the irritation, or even hostility of a hand significant of its shareholders, the franco-luxembourgeois can convince Russian Mordashov to substantially revise the terms of the agreement they had concluded. But more that a formal improved governance or the modest share 1.25 billion euros, is five times less than Mittal he proposes in cash, it is a redesign of the overall physiognomy of the deal that Severstal should accept to seduce. He always wants to end up with more than 30 of the capital of Arcelor, thus de facto control, and then it must launch a comparable to that of Mittal OPE. He agrees to become one significant shareholder among others, and should make less active and neither cash which Arcelor has what to do!

The corridors of time

When it takes too much recoil, can fall backwards. In deciding to introduce the Bill on SFM in Council of Ministers late June and to submit it to Parliament in September, the Government simply to save time. See number of UMP deputies mixed reactions and knowing that the determination of the left will be even stronger in a few weeks of the designation of the Socialist presidential candidate, nothing to expect a more serene parliamentary debate after the holidays. However, at the same time, the shareholders of Suez, arbiters of marriage as a last resort, have no doubt new reasons to claim improvement of parities merger after the publication of the results of a first half with flamboyant. Today, the market value already the Franco-Belgian group 4 billion euros more than what provides them propose SFM. And this does not take account of the premium should be added if the Italian Enel decided to leave the Aventine. The Government will make concessions to parliamentarians, less the bride may therefore appear attractive to shareholders. And more management itself might be tempted to propose something else before find themselves in a corner. Even if left on the side of the road a SFM that would then figure fragile Nain energy Europe of tomorrow.

Differential spring

If the balances of summer start in nearly a week for PPR is rather the premium time ahead. The entry into exclusive negotiations for the sale of spring and investors gathered around Italian Rinascente announces the loss of a consonant for the acronym of the Group controlled by the Pinault family. But the price range that will be discussed values the chain of stores on grounds of 30-40 higher than those that are generally accepted by analysts. It is further proof that, if PPR has sometimes paid very expensive purchases in the luxury, he knows for the maximum of the situations where it is in the position of seller. It is also a new sign that business of distribution to the modest growth prospects are better valued by professional investors only by scholars. To accept to pay more than thirty times the current operational result of stores spring, need solutions that reveal their land and real estate wealth hidden. The upward cycle of real estate is likely to return, François - Henri Pinault would have been wrong to let the opportunity pass. The only risk is to raise expectations, and some concerns on the re-employment of its new margins of manoeuvre.