PRESS DIGEST-Sunday British Business - July 6
LONDON, July 6
LONDON, July 6 (Reuters) - British newspapers reported the following business stories on Sunday. Reuters has not independently verified these media reports and does not vouch for their accuracy.
WATCHDOG MULLS PROBE INTO FLOAT ADVISERS
Britain's Financial Conduct Authority is considering launching a probe into the role of independent flotation advisers after receiving complaints from several banks. Flotation advisers such as STJ Advisors, Lazard and Rothschild act as advocates for companies looking to list, helping them to select the banks to handle the sale and policing the fees they are charged.
BURBERRY FACES INVESTOR REVOLT OVER NEW CEO PAY DEAL
Burberry is facing an investor revolt over a 20 million pound pay deal for its new chief executive Christopher Bailey, who took the helm of the British maker of luxury clothing and accessories in May. A number of large shareholders have expressed concerns over the package which includes awards in shares if he stays on as CEO until 2018, regardless of the company's performance.
NIKE FUNNELS MILLIONS IN PROFITS THROUGH DUTCH DIVISION
Sports clothing giant Nike has been moving million of pounds generated from sales of Manchester United kit to its sister company Hilversum, in Holland, helping it to sidestep the British taxman. Holland has become a popular destination for companies looking to cut their tax bills. Nike said it abides by all applicable tax laws in the countries in which it operates.
AMERICAN APPAREL IN RESCUE TALKS WITH LARGE CREDITOR
Retailer American Apparel was last night holding emergency talks on how to repay a 10 million pound debt to one of its main creditors, British buyout firm Lion Capital. If it does not repay the debt that Lion has called in, American Apparel would be deemed in default of a separate larger debt it has run up with U.S. bank Capital One.
BEIJING IN TALKS WITH EDF TO BUILD NUCLEAR PLANT IN BRITAIN
China is in talks with French power giant EDF Energy about buying one of its nuclear development sites in the UK, in what could lead to the first Chinese designed and built atomic power station in Britain.
MAJOR MOTHERCARE SHAREHOLDERS BACK REJECTION OF TAKEOVER BID
Leading investors in UK chain Mothercare backed the company's rejection of a 270 million pounds takeover bid from U.S. rival baby product retailer Destination Maternity.
Fidelity and Allianz, which together own about a fifth of Mothercare, said the U.S. company's approach was opportunistic and inadequate and signalled the offer should be raised significantly for any chance of success.
SHIRE INVESTORS EXPECT NEW APPROACH FROM ABBVIE
Shareholders in drugmaker Shire are anticipating a fresh bid approach from AbbVie after meeting AbbVie chief executive Richard Gonzalez last week. AbbVie last month went public with its interest in Shire, saying it had been rebuffed three times by the London-listed company.
BLACKROCK HALTS SHARE LOANS AFTER ATTACK ON BLINKX
BlackRock, the world's largest asset manager, has stopped its London office from lending shares after a suspected short-selling attack on online video advertising firm Blinkx, in which BlackRock is the largest shareholder.
FIRSTGROUP BOSS PAY CRITICISED BY SHAREHOLDER GROUPS
Criticism of executive pay at British bus and train operator FirstGroup has intensified after three investor advisory groups raised concerns over the 86 percent jump in the amount chief executive Tim O'Toole took home last year. O'Toole received nearly 2 million pounds in the year to March 31.
SHELL ADMITS SAUDI ARABIA GAS PROJECT HAS FAILED
Royal Dutch Shell's search for gas in Saudi Arabia has been unsuccessful, the director of upstream international business Andrew Brown said, dashing hopes of the firm gaining an upstream foothold in the country. Brown declined to specify whether the exploration failure would force the company to shut down South Rub al-Khali Company, its joint venture with state-owned producer Saudi Aramco.
Mail on Sunday:
CREDIT UNIONS TO OFFER INSTANT ONLINE APPROVALS
Credit unions are set to offer instant online approval for loans from next year, to take on payday loan firms which transfer money almost immediately but can charge very high interest rates. The financial co-operatives currently take up to a week to approve loans for just a few hundred pounds. (Reporting by Silvia Antonioli Editing by Mark Potter) ))