Reuters - Video

EDITION: U.S. | U.K. | IN

Breakingviews

Breakingviews: Nestle to buy out of a saggy sales profile?

Thursday, October 17, 2013 - 04:28

Oct. 17 - The Swiss food group is said to covet Ferrero, valued at roughly €10 bln. The Italian company says it’s not for sale. Breakingviews says it is easy to see why Nestle would want to do big deals.

▲ Hide Transcript

View Transcript

Today I'm not rises breaking news wiping deals taste different nicely. And how it's not just regulation driving BB -- Chinese -- That's talk about these stories Pip you know assault. Let's kick it off would mess recent disappointing. -- I as a disappointing numbers but emerging markets in Europe still look still look weak. For the group. Com and of course this is -- forever. Which it wasn't a -- -- disappointing. Compared to analysts' expectations. From I've been. If you compare it to all of the companies in the same space to the union never got -- yesterday and warning that it would meet its August. And it's it's been pretty pretty good organic growth dropped 4% and it's it's it's not thought about the total we -- But if the organic growth slows. Then there's a case for Clinton -- Growth to come from acquisitions. We're not talking about Ferrero which has been denied and everybody focused on and is very and very -- very firmly in. And and this is private companies which by the we would be very mean small. He's talked to two to swallow for the next ten billion you know companies they can control that probably wouldn't have been built. Out of their pocket but there may be a case for larger -- more significant acquisitions. Remember this. What was the talk that they might settle down they'll mail stake that's right let's take which is purely financial for them not to do not strategic. Which could fees and did you hunger. Tell us that they might mean I didn't need for a bake and become acquisition. I'm part of Robert Coleman and his -- NASA can afford to buy its way out of -- -- the sale price of observant people acquisition might be included in there expecting five to 6%. Next year anyway expecting a pickup next year anyway what what sort of sales targets should accompany my -- to be looking. -- to you if you're talking serious growth here -- you're looking at 7% to 8%. You know type of growth that that really makes the company. What it is which is that when the what's -- is the 200 billion. By market -- company. And a big players that -- looking around saying OK where where can we now. -- -- BBA. They've made this this with withdrawal from from. Cystic. The Chinese bank. And I guess what we have to weigh up this this this 2.3 1000000000 am Europe right down whereas 2.4. Billion. Of tool of core tier one capital. Apple that they get as a result of this as a result of prepare proposal for you out of is it worth it. Well it's. But it we -- -- III is basically. An excuse for them to get out of what was the bad investment. Citic was not -- based bank to go into China to McCain went with a tenth mountain West Bank China. The investment was pretty bad. But he -- -- with a 30. Estimated value there -- three billion euros and two young presidency is 2.3 billion write down this country to compete about. Then it's a partial. Disposal because they have to stay in -- so it doesn't appear as if Dem voting against China you know wait until they have to be very careful to. And it's not to vote to know and confidence in China and a political considerations. Involved the bottom line is one it's about investment one's thinking about that in -- very good conditions. Three the Basel III. Who. Realizes is is also most in excused because they should have gotten out of it anyway. And to get under as they get under the 10% have to market to market and some -- Google's -- kind of complicated. Kept to -- supplies so that. Didn't have anything to do there it's good that they go back home Spanish banks have. Feet deprive her hand other superlatives. Market yet many things that -- cast song I -- RUS shown product comes on every day at 1213. Easton. Seventeen said he bsc IMAX problems is --

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Breakingviews: Nestle to buy out of a saggy sales profile?

Thursday, October 17, 2013 - 04:28

Top News »

Investing 201 »

Arian Foster = BlackBerry? Arian Foster = BlackBerry?

Fri, Oct 25, 2013 - (3:16)

Don’t miss these red flags for IPOs Don’t miss these red flags for IPOs

Thu, Oct 10, 2013 - (2:34)

Copycat currency trading Copycat currency trading

Wed, Oct 02, 2013 - (2:28)

When to dump a winner When to dump a winner

Tue, Sep 24, 2013 - (1:55)

Where gold might again attract Jim Rogers Where gold might again attract Jim Rogers

Thu, Sep 19, 2013 - (2:05)

Why savings interest rates won't budge Why savings interest rates won't budge

Fri, Sep 13, 2013 - (2:09)

Buy local? ETFs try the trend Buy local? ETFs try the trend

Thu, Sep 05, 2013 - (2:42)

The better bond funds The better bond funds

Wed, Aug 07, 2013 - (2:40)

Best bargain in 40 years? European stocks Best bargain in 40 years? European stocks

Thu, Aug 01, 2013 - (2:24)

Invest like an activist Invest like an activist

Fri, Jul 26, 2013 - (2:49)

Money Clip »

3 things to do before disaster strikes 3 things to do before disaster strikes

Wed, Sep 18, 2013 - (1:39)

Your must-do money list Your must-do money list

Wed, Sep 11, 2013 - (1:24)

The worst "best" financial advice The worst "best" financial advice

Wed, Sep 04, 2013 - (1:42)

Forget gold: The case for REITs Forget gold: The case for REITs

Fri, Apr 26, 2013 - (1:19)

3 rules for buying a house now 3 rules for buying a house now

Thu, Apr 18, 2013 - (1:39)

“Stalking” your dream home - Money Clip “Stalking” your dream home - Money Clip

Wed, Mar 27, 2013 - (2:50)

3 hidden tax deductions - Money Clip 3 hidden tax deductions - Money Clip

Thu, Mar 21, 2013 - (1:33)

Moving Pictures »

Still missing – MH370 Still missing – MH370

Fri, Sep 05, 2014 - (2:05)

Images of August Images of August

Fri, Aug 29, 2014 - (1:00)

Burning Together Burning Together

Mon, Sep 01, 2014 - (2:23)

Mending dolls, teddies and hearts Mending dolls, teddies and hearts

Fri, Aug 22, 2014 - (3:12)

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, Aug 11, 2014 - (2:27)

Burned memories Burned memories

Fri, Aug 08, 2014 - (3:02)

Images of July Images of July

Thu, Jul 31, 2014 - (1:20)

World Cup: passion on the pitch World Cup: passion on the pitch

Fri, Jul 11, 2014 - (1:00)

A refugee in America gives back A refugee in America gives back

Wed, Jul 02, 2014 - (3:25)

A long search for refuge A long search for refuge

Fri, Jun 20, 2014 - (3:04)

Reuters Investigates »

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, Feb 19, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, Jan 10, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, Aug 29, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, Aug 29, 2013 - (13:21)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, Aug 05, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, Dec 17, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sat, Dec 08, 2012 - (10:01)

Jihad Jane: The order to kill - Reuters Investigates Jihad Jane: The order to kill - Reuters...

Sun, Dec 09, 2012 - (10:39)

Dateline Asia »

iPhone black market surges in Hong Kong iPhone black market surges in Hong Kong

Fri, Sep 19, 2014 - (1:50)

Sterling jumps, on Scottish vote Sterling jumps, on Scottish vote

Thu, Sep 18, 2014 - (2:56)

Rare rock on the block in Hong Kong Rare rock on the block in Hong Kong

Thu, Sep 18, 2014 - (1:43)

Alibaba IPO is 'overhyped': Mark Mobius Alibaba IPO is 'overhyped': Mark Mobius

Thu, Sep 18, 2014 - (4:13)

China tech players chip away at Alibaba China tech players chip away at Alibaba

Wed, Sep 17, 2014 - (4:02)

Asia corporate sentiment is slipping Asia corporate sentiment is slipping

Tue, Sep 16, 2014 - (1:36)

Alibaba's China roadshow Alibaba's China roadshow

Mon, Sep 15, 2014 - (2:16)