Emerging Markets: Egyptian Investor Targets Telecom Italia
Good news for Indian banks, bad news for Argentine creditors.
This column highlights some of the best financial commentary on investments in emerging markets from around the Web.
“Egyptian Investor Seeks to Put Stamp on Telecom Italia”
Egyptian entrepreneur Naguib Sawiris has proposed a $3.9 billion infusion into the debt-ridden Telecom Italia (NYSE:TI), seeking to drive expansion into Brazil. Sawiris’s success while owning Italy’s third-largest mobile operator, Wind, might help turn around Telecom Italia. He hopes to stabilize the financially encumbered company, allowing it to push for growth in Latin American markets. Read more at Reuters.
“An Indian Bank’s Success Story”
Tamal Bandyopadhyay has written a book on India’s HDFC Bank (NYSE:HDB), focused on using HDFC’s growth story to represent India’s growth in the 21st century. One of the first Indian banks to come into existence after India’s Housing and Development Finance Corp. issued new licenses in 1994, HDFC has grown to become the country’s most “valued” bank. Read more at the Wall Street Journal: India.
The book comes just as HDFC announced very strong earnings in the fiscal Q2, and its stock hit a 52-week high on November 21.
"Argentina Appeals US Court Order to Pay Holdout Bond Investors"
Last week, US District Judge Thomas Griesa ordered Argentina to pay $1.3 billion to investors who filed an emergency motion with the US federal appeals court. These investors, who participated in 2005 and 2010 debt swaps, fear Argentina faces another default. 93% of bondholders agreed to swap defaulted debt for new debt at a steep discount; however, Elliot Management Corp's NML Capital Ltd and Aurelius Capital Management are demanding full repayment. Read more at Reuters.
"Russia: $970 Titanium Deal to Ease Debt at Russian Technologies"
The Russian Technologies State Corporation had announced that it is selling VSMPO-Avisma (MCX:VSMO), the world's biggest titanium company, to Cyrprus-based Nordcom. It seems that the deal is intended to help Russian Technologies restructure its debt. VSMPO-Avisma has a 30% global market share, and supplies not only Russian manufacturers, but Boeing (NYSE:BA) and Airbus, too. Read more at beyondbrics.