Investors believe ‘this time it’s different’ — that worries billionaire investor Howard Marks

Howard Marks, Co-Chairman, Oaktree Capital. David A. Grogan | CNBCBillionaire investor and Oaktree Capital Management Co-Chairman Howard Marks is worried to hear investors say “this time it’s different” or openly wonder if the historic bull market and economic success “can only get better forever.” Here is the full list of hypotheses Marks scrutinized as written in his letter: There doesn’t have to be a recession. “The nine propositions reviewed above all represent variations on ‘things can only


Howard Marks, Co-Chairman, Oaktree Capital. David A. Grogan | CNBCBillionaire investor and Oaktree Capital Management Co-Chairman Howard Marks is worried to hear investors say “this time it’s different” or openly wonder if the historic bull market and economic success “can only get better forever.” Here is the full list of hypotheses Marks scrutinized as written in his letter: There doesn’t have to be a recession. “The nine propositions reviewed above all represent variations on ‘things can only
Investors believe ‘this time it’s different’ — that worries billionaire investor Howard Marks Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-12  Authors: thomas franck
Keywords: news, cnbc, companies, believe, howard, marks, different, investor, worries, billionaire, oaktree, longer, capital, economic, recovery, worrisome, success, investors, lead, wrote


Investors believe 'this time it's different' — that worries billionaire investor Howard Marks

Howard Marks, Co-Chairman, Oaktree Capital. David A. Grogan | CNBC

Billionaire investor and Oaktree Capital Management Co-Chairman Howard Marks is worried to hear investors say “this time it’s different” or openly wonder if the historic bull market and economic success “can only get better forever.” In a 12-page letter sent to Oaktree clients on Wednesday, Marks questioned nine financial theories he’s heard in recent meetings, including the notion that central banks policy can lead to evergreen market success and that economic recessions can be consistently delayed. Here is the full list of hypotheses Marks scrutinized as written in his letter: There doesn’t have to be a recession. Continuous quantitative easing can lead to permanent prosperity. Federal deficits can grow substantially larger without becoming problematic. National debt isn’t worrisome. We can have economic strength without inflation. Interest rates can remain “lower for longer.” The inverted yield curve needn’t have negative implications. Companies and stocks can thrive even in the absence of profits. Growth investing can continue to outperform value investing in perpetuity. “The nine propositions reviewed above all represent variations on ‘things can only get better forever,'” Marks wrote. “If they’re the ideas guiding investors today, that should be considered worrisome.” Though it’s always difficult to predict the timing of an economic downturn, Marks said that he’s always been confident that a recession is on the horizon at some point.

“We’ve always had economic cycles, and I believe we always will,” he wrote. “Eventually, favorable developments will lead people to engage in behavior premised on excessively optimistic assumptions, and eventually the over-optimism of those assumptions will be exposed and the excesses will correct in a period of negative growth.” “Very soon, the current recovery is bound to become the longest in U.S. history,” he continued. “However, I believe the odds are that it’s closer to the end than the beginning. … The recovery is likely to go on longer, but perhaps not much longer.” Marks, known for his prescient investment calls, correctly warned about the 2008 financial crisis and the dot-com bubble implosion. Oaktree Capital had $119 billion of assets under management as of March. Marks has a net worth of $2.1 billion, according to Forbes.

Do we want the Fed preventing recessions?


Company: cnbc, Activity: cnbc, Date: 2019-06-12  Authors: thomas franck
Keywords: news, cnbc, companies, believe, howard, marks, different, investor, worries, billionaire, oaktree, longer, capital, economic, recovery, worrisome, success, investors, lead, wrote


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New York, London and Paris remain the world’s most competitive cities — but perhaps not for long

New York, London and Paris continue to dominate as the world’s top three most competitive cities. That’s the conclusion of the 2019 Global Cities Report from management consulting company A.T. Kearney, which ranks the world’s major cities on their attractiveness for businesses and employees. For the tenth year in a row, New York (1st), London (2nd) and Paris (3rd) retained their titles as the world’s three most competitive cities based on a variety of factors including business activity and cult


New York, London and Paris continue to dominate as the world’s top three most competitive cities. That’s the conclusion of the 2019 Global Cities Report from management consulting company A.T. Kearney, which ranks the world’s major cities on their attractiveness for businesses and employees. For the tenth year in a row, New York (1st), London (2nd) and Paris (3rd) retained their titles as the world’s three most competitive cities based on a variety of factors including business activity and cult
New York, London and Paris remain the world’s most competitive cities — but perhaps not for long Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-11  Authors: karen gilchrist
Keywords: news, cnbc, companies, cities, york, competitive, human, long, capital, london, worlds, information, paris, global, remain


New York, London and Paris remain the world's most competitive cities — but perhaps not for long

New York, London and Paris continue to dominate as the world’s top three most competitive cities.

But their prime positions could be up for contention as progress across Europe, Asia and the Middle East shows signs of disrupting the status quo.

That’s the conclusion of the 2019 Global Cities Report from management consulting company A.T. Kearney, which ranks the world’s major cities on their attractiveness for businesses and employees.

For the tenth year in a row, New York (1st), London (2nd) and Paris (3rd) retained their titles as the world’s three most competitive cities based on a variety of factors including business activity and culture, human capital, political engagement and information exchange.

New York ranked especially highly for business activity and human capital, while Paris performed well for information exchange and London for culture.

The leading trio were joined in the top 10 of the “Global Cities Index” by Tokyo (4th), Hong Kong (5th), Singapore (6th), Los Angeles (7th), Chicago (8th), Beijing (9th) and Washington D.C. (10th).


Company: cnbc, Activity: cnbc, Date: 2019-06-11  Authors: karen gilchrist
Keywords: news, cnbc, companies, cities, york, competitive, human, long, capital, london, worlds, information, paris, global, remain


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Protests against Kazakhstan’s presidential election lead to violence in the capital

Though that may seem a sweeping victory for Jomart-Tokayev, the transfer of office has spurred unrest in the country’s capital Nur-Sultan and largest city Almaty. About 500 protesters were arrested by police, the BBC reported, citing local officials. The demonstration, decrying what protests called a “dictatorship” in the country, is the largest Kazakhstan has seen in recent years. As protest is not tolerated in the country, the demonstration led to violence in the streets. A BBC correspondent i


Though that may seem a sweeping victory for Jomart-Tokayev, the transfer of office has spurred unrest in the country’s capital Nur-Sultan and largest city Almaty. About 500 protesters were arrested by police, the BBC reported, citing local officials. The demonstration, decrying what protests called a “dictatorship” in the country, is the largest Kazakhstan has seen in recent years. As protest is not tolerated in the country, the demonstration led to violence in the streets. A BBC correspondent i
Protests against Kazakhstan’s presidential election lead to violence in the capital Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-11  Authors: grace shao
Keywords: news, cnbc, companies, nearly, protests, protest, violence, capital, reported, bbc, largest, election, country, kazakhstans, jomarttokayev, lead, demonstration, yearsas, presidential, nursultan


Protests against Kazakhstan's presidential election lead to violence in the capital

Kazakhstan’s first president, Nursultan Nazarbayev, has stepped down after a nearly three-decade-long tenure.

His successor, Kassym Jomart-Tokayev, confirmed his position after taking nearly 71% of the vote in Sunday’s election against six other government-approved candidates, according to Foreign Policy. His closest opposition candidate trailed behind with 16.2%.

Though that may seem a sweeping victory for Jomart-Tokayev, the transfer of office has spurred unrest in the country’s capital Nur-Sultan and largest city Almaty.

About 500 protesters were arrested by police, the BBC reported, citing local officials. The demonstration, decrying what protests called a “dictatorship” in the country, is the largest Kazakhstan has seen in recent years.

As protest is not tolerated in the country, the demonstration led to violence in the streets. A BBC correspondent in Nur-Sultan reported people being dragged onto buses by riot police. Many journalists were also detained covering the protest, while social media platforms such as Facebook and Telegram were reportedly inaccessible in the country during that time.


Company: cnbc, Activity: cnbc, Date: 2019-06-11  Authors: grace shao
Keywords: news, cnbc, companies, nearly, protests, protest, violence, capital, reported, bbc, largest, election, country, kazakhstans, jomarttokayev, lead, demonstration, yearsas, presidential, nursultan


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Executive chairman of Saks-owner Hudson’s Bay Co. puts in bid to take retailer private

A pedestrian passes in front of the Saks Fifth Avenue Inc. women’s store at Brookfield Place in New York, U.S.Richard Baker, executive chairman of Saks-owner Hudson’s Bay, is leading a bid to take the retailer private, the company announced Monday. Shares of Hudson’s Bay have fallen nearly 13% year to date, according to Factset. Hudson’s Bay Co. had agreed to sell half its European business, including Galeria Kaufhof, to the Austrian owner of its rival, Karstadt Warenhaus, last year. Though Huds


A pedestrian passes in front of the Saks Fifth Avenue Inc. women’s store at Brookfield Place in New York, U.S.Richard Baker, executive chairman of Saks-owner Hudson’s Bay, is leading a bid to take the retailer private, the company announced Monday. Shares of Hudson’s Bay have fallen nearly 13% year to date, according to Factset. Hudson’s Bay Co. had agreed to sell half its European business, including Galeria Kaufhof, to the Austrian owner of its rival, Karstadt Warenhaus, last year. Though Huds
Executive chairman of Saks-owner Hudson’s Bay Co. puts in bid to take retailer private Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-10  Authors: lauren hirsch
Keywords: news, cnbc, companies, bid, wework, private, retailer, chairman, puts, capital, company, hudsons, executive, taylor, rhone, saksowner, baker, bay


Executive chairman of Saks-owner Hudson's Bay Co. puts in bid to take retailer private

A pedestrian passes in front of the Saks Fifth Avenue Inc. women’s store at Brookfield Place in New York, U.S.

Richard Baker, executive chairman of Saks-owner Hudson’s Bay, is leading a bid to take the retailer private, the company announced Monday.

A group of shareholders who collectively own 57% of the company — Baker, Rhone Capital, WeWork Property Advisors, Hanover Investments (Luxembourg) and Abrams Capital Management — submitted a proposal to take Hudson’s Bay private at 9.45 Canadian dollars ($7.12) per share.

The all-cash offer values the company at a 48% premium to where the stock closed Friday. It is not contingent on financing.

Shares of Hudson’s Bay have fallen nearly 13% year to date, according to Factset.

“While we continue to believe in HBC’s long-term potential, it has become clear that the significant challenges, risks and uncertainties facing HBC in the rapidly evolving retail environment are best addressed in a private market setting,” Baker said in a statement.

CNBC previously reported that Baker was trying to raise equity to fund taking the company private, even as its peers like Toys R Us were succumbing to the weight of debt leftover from leveraged buyouts.

In the past two years, Hudson’s Bay has taken a number of steps to unwind the empire put together by Baker through deals, which have left the company leveraged, limiting its ability to adapt.

Hudson’s Bay struck a deal in 2017 sell its flagship Lord & Taylor building in New York to WeWork Property Advisors and Rhone Capital, and later left the property entirely. HBC disclosed last month that it is exploring options for what is left of its Lord & Taylor stores.

The retailer announced Monday morning that it sold the remaining half of its interest in its European businesses for $1.5 billion and will use those funds to support Baker’s bid. Hudson’s Bay Co. had agreed to sell half its European business, including Galeria Kaufhof, to the Austrian owner of its rival, Karstadt Warenhaus, last year.

Though Hudson’s Bay is a public company, Baker has long held tight control over it. He ran NRDC Equity Partners, the private equity firm that bought Hudson’s Bay and took it public. He remains a principal shareholder.

Recent deals, though, have given up some control. As part of the Lord & Taylor deal with WeWork, Hudson’s Bay sold a minority stake of preferred stock to Rhone Capital for $500 million, a move activist shareholder Jonathan Litt deemed dilutive.

The proposed deal is subject to approval from the “majority of the minority” of shareholders.

“Given our familiarity with the Company, we are confident that we will be able to negotiate and complete a transaction quickly,” wrote Baker to David Leith, chairman of company’s special committee in charge of reviewing the deal.

Baker’s efforts come on the heels of the Nordstrom family’s move to lead a management buyout of the namesake retailer. A group of Nordstrom family members, which owns 31.2% of Nordstrom, called off efforts to buy the company last year after the board’s special committee rejected their bid as too low.


Company: cnbc, Activity: cnbc, Date: 2019-06-10  Authors: lauren hirsch
Keywords: news, cnbc, companies, bid, wework, private, retailer, chairman, puts, capital, company, hudsons, executive, taylor, rhone, saksowner, baker, bay


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Twilio takes advantage of 760% surge in stock price to raise more capital

Twilio’s stock has soared more than eight-fold from its 2016 debut to over $129 as of Wednesday’s close. The cloud software company is now using that rally as an opportunity to raise more cash. Twilio said it has started a share offering to bring in $750 million and has plans to let underwriters buy another $112.5 million worth of stock. Secondary share sales often cause the stock price to decline because the offering dilutes the value of existing holders’ stakes. Twilio shares are up about 760%


Twilio’s stock has soared more than eight-fold from its 2016 debut to over $129 as of Wednesday’s close. The cloud software company is now using that rally as an opportunity to raise more cash. Twilio said it has started a share offering to bring in $750 million and has plans to let underwriters buy another $112.5 million worth of stock. Secondary share sales often cause the stock price to decline because the offering dilutes the value of existing holders’ stakes. Twilio shares are up about 760%
Twilio takes advantage of 760% surge in stock price to raise more capital Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-29  Authors: jordan novet
Keywords: news, cnbc, companies, 760, share, takes, twilio, ipo, software, capital, shares, raise, price, advantage, offering, sales, million, stock, secondary, surge


Twilio takes advantage of 760% surge in stock price to raise more capital

Twilio’s stock has soared more than eight-fold from its 2016 debut to over $129 as of Wednesday’s close. The cloud software company is now using that rally as an opportunity to raise more cash.

Twilio said it has started a share offering to bring in $750 million and has plans to let underwriters buy another $112.5 million worth of stock. In a filing on Wednesday, the company said it expects to sell shares at $132.95 each.

The shares fell as much as 3% in extended trading after the announcement. Secondary share sales often cause the stock price to decline because the offering dilutes the value of existing holders’ stakes.

Since its IPO almost three years ago, Twilio has rewarded investors by proving that it can sustain high growth even as its revenue numbers increase. Sales surged 81% in the latest quarter, accelerating from 48% a year earlier. The company’s communications software is used by companies including Airbnb, Nordstrom and Lyft to power their messaging platforms.

Twilio shares are up about 760% from the IPO and almost 45% in 2019, while the Nasdaq has gained less than 14% this year.

Goldman Sachs and JP Morgan, who co-led the IPO, are also managing the secondary sale.

WATCH: Twilio CEO Jeff Lawson on trade tensions, Uber’s IPO and more


Company: cnbc, Activity: cnbc, Date: 2019-05-29  Authors: jordan novet
Keywords: news, cnbc, companies, 760, share, takes, twilio, ipo, software, capital, shares, raise, price, advantage, offering, sales, million, stock, secondary, surge


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Bain Capital is raising a $1 billion tech fund for buyouts and late-stage investments

Bain Capital, the 35-year-old private equity firm known for takeovers of companies like Varsity Brands and the now bankrupt Toys R Us, is raising $1 billion for a new technology fund that will be used for buyouts and late-stage minority investments, according to people familiar with the matter. The new fund — Bain Capital Tech Opportunities — will target $50 million to $200 million equity investments, primarily in enterprise software and cybersecurity, said the people, who asked not to be named


Bain Capital, the 35-year-old private equity firm known for takeovers of companies like Varsity Brands and the now bankrupt Toys R Us, is raising $1 billion for a new technology fund that will be used for buyouts and late-stage minority investments, according to people familiar with the matter. The new fund — Bain Capital Tech Opportunities — will target $50 million to $200 million equity investments, primarily in enterprise software and cybersecurity, said the people, who asked not to be named
Bain Capital is raising a $1 billion tech fund for buyouts and late-stage investments Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-29  Authors: alex sherman
Keywords: news, cnbc, companies, raising, investments, software, capital, companies, latestage, fund, million, bain, tech, private, funds, equity, buyouts, billion


Bain Capital is raising a $1 billion tech fund for buyouts and late-stage investments

Bain Capital, the 35-year-old private equity firm known for takeovers of companies like Varsity Brands and the now bankrupt Toys R Us, is raising $1 billion for a new technology fund that will be used for buyouts and late-stage minority investments, according to people familiar with the matter.

The new fund — Bain Capital Tech Opportunities — will target $50 million to $200 million equity investments, primarily in enterprise software and cybersecurity, said the people, who asked not to be named because the plans are private. The fund will also look to acquire smaller companies, the people said.

Private equity firms have become a major part of the technology M&A market in recent years, with firms like Thoma Bravo and Vista Equity raising large funds to swipe up subscription software companies with stock prices that are lagging behind their peers. The strategy paid off last year for Vista, which sold marketing automation company Marketo to Adobe for $4.75 billion, two years after buying the business for $1.8 billion.

Bain sees a gap in the software market where there’s less capital available. The firm is looking for companies with annual recurring revenue of $30 million to $100 million and valuations of less than $500 million. For companies at this stage, Bain plans to tout its expertise in finding international opportunities and forging partnerships with other portfolio companies, the people said. Other firms that compete on that end of the market include HGGC and Francisco Partners.

As Bain has researched industry verticals in tech over the past year, it has discovered several investment opportunities that are too small for its private equity funds, which in recent years have acquired companies such as Blue Coat, a $2.4 billion deal in 2015 (sold about a year later for $4.65 billion) and BMC Software as part of a $6.9 billion consortium transaction. They also haven’t fit as investments for Bain Capital Ventures, which is focused on seed and earlier-stage investing.

On the venture side, there’s a record amount of cash pouring into tech start-ups from the $100 billion SoftBank Vision Fund, hedge funds, mutual fund companies and multibillion-dollar growth funds from Sequoia, Insight Venture Partners and others. But rather than pursuing high-flying start-ups, Bain is going after companies that may have hit some roadblocks and are in need of operational improvements, the people said.

The new fund will be co-managed by Darren Abrahamson, private equity managing director, and Dewey Awad, public equity managing director, and will add about 15 people internally and externally, the sources said. In addition to software and cybersecurity, it may look to invest in financial technology, health tech and digital media.

A Bain spokesperson declined to comment.

WATCH: ‘Proceed with caution’ in this global macro environment


Company: cnbc, Activity: cnbc, Date: 2019-05-29  Authors: alex sherman
Keywords: news, cnbc, companies, raising, investments, software, capital, companies, latestage, fund, million, bain, tech, private, funds, equity, buyouts, billion


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China is driving growth in Asia’s real estate market despite trade war headwinds, report finds

Real estate markets in Asia-Pacific grew at a record-breaking pace in the first quarter of this year — thanks in part to China and despite a global decline, according to real estate consultancy JLL. The region recorded a new first-quarter high of $45 billion in real estate transaction volumes, according the company’s Global Capital Flows report for the first quarter of 2019. The “domestic consumption story is so strong” in China, JLL’s head of Asia Pacific capital markets Stuart Crow told CNBC’s


Real estate markets in Asia-Pacific grew at a record-breaking pace in the first quarter of this year — thanks in part to China and despite a global decline, according to real estate consultancy JLL. The region recorded a new first-quarter high of $45 billion in real estate transaction volumes, according the company’s Global Capital Flows report for the first quarter of 2019. The “domestic consumption story is so strong” in China, JLL’s head of Asia Pacific capital markets Stuart Crow told CNBC’s
China is driving growth in Asia’s real estate market despite trade war headwinds, report finds Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-24  Authors: shirley tay
Keywords: news, cnbc, companies, war, market, china, growth, capital, markets, investment, transaction, estate, report, real, driving, headwinds, finds, logistics, trade, quarter


China is driving growth in Asia's real estate market despite trade war headwinds, report finds

Real estate markets in Asia-Pacific grew at a record-breaking pace in the first quarter of this year — thanks in part to China and despite a global decline, according to real estate consultancy JLL.

The region recorded a new first-quarter high of $45 billion in real estate transaction volumes, according the company’s Global Capital Flows report for the first quarter of 2019.

That’s a 14% increase compared to a year ago — outperforming the Americas, as well as Europe, the Middle East and Africa (EMEA), the JLL report showed.

“Driving this performance was China, where quarterly investment surged to an all-time high of US$17 billion due to an increase in cross-border capital inflows and large-scale transaction activity,” said the report which was released in May.

The “domestic consumption story is so strong” in China, JLL’s head of Asia Pacific capital markets Stuart Crow told CNBC’s “Street Signs Asia” on Thursday.

“We’re seeing a huge amount of investment into the manufacturing — and most particularly in our world — the logistics real estate,” Crow added. “Even some of the big players in China themselves, being Alibaba and JD.com, (are) investing in that logistics real estate sector. “


Company: cnbc, Activity: cnbc, Date: 2019-05-24  Authors: shirley tay
Keywords: news, cnbc, companies, war, market, china, growth, capital, markets, investment, transaction, estate, report, real, driving, headwinds, finds, logistics, trade, quarter


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Hollywood’s biggest talent agency owner is finally going public

Ari Emanuel’s company Endeavor is finally going public. “Content is no longer defined solely by the traditional categories on which our businesses were founded,” the company wrote in its filing. An IPO has been rumored since Emanuel and Patrick Whitesell merged their talent agency with sports and modelling agency IMG in 2013. Endeavor plans on using a dual-class stock structure that would keep the company controlled by Emanuel, Whitesell and private equity backer Silver Lake. “As the entertainme


Ari Emanuel’s company Endeavor is finally going public. “Content is no longer defined solely by the traditional categories on which our businesses were founded,” the company wrote in its filing. An IPO has been rumored since Emanuel and Patrick Whitesell merged their talent agency with sports and modelling agency IMG in 2013. Endeavor plans on using a dual-class stock structure that would keep the company controlled by Emanuel, Whitesell and private equity backer Silver Lake. “As the entertainme
Hollywood’s biggest talent agency owner is finally going public Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-23  Authors: sarah whitten
Keywords: news, cnbc, companies, biggest, capital, talent, agency, stock, public, owner, whitesell, company, emanuel, million, hollywoods, going, endeavor, finally, wrote, billion


Hollywood's biggest talent agency owner is finally going public

Ari Emanuel speaks onstage during the 2017 LACMA Art + Film Gala Honoring Mark Bradford and George Lucas presented by Gucci at LACMA on November 4, 2017 in Los Angeles, California.

Ari Emanuel’s company Endeavor is finally going public.

The global entertainment, sports and content company will list on the New York Stock Exchange under the symbol “EDR,” according to registration documents filed publicly Thursday with the Securities and Exchange Commission.

Endeavor said it plans to raise $100 million in the offering. Companies typically use $100 million as a placeholder before disclosing the actual figure at a later date. Proceeds the company receives from this offering will go towards working capital and general corporate purposes.

Here are the highlights from Endeavor’s filing:

Revenue : Endeavor reported 2018 revenue of $3.6 billion

: Endeavor reported 2018 revenue of $3.6 billion Net income: The company posted net income of $231.3 million in the year ended Dec. 31, 2018.

“Content is no longer defined solely by the traditional categories on which our businesses were founded,” the company wrote in its filing. “Television, movies and live events have been joined by others including podcasts, experiences, social media, multiplayer video games and e-sports. Wherever you are in the world and whatever way you define content, Endeavor is likely playing a role.”

An IPO has been rumored since Emanuel and Patrick Whitesell merged their talent agency with sports and modelling agency IMG in 2013. Since then, Endeavor has acquired the Ultimate Fighting Championship, professional bull riders, the Frieze Art Fair and marketing agency 160over90.

Goldman Sachs will be the IPO’s lead banker, according to the registration documents. Other underwriters include KKR Capital Markets, the capital markets arm of the investment firm that helped Endeavor purchase UFC for more than $4 billion in 2016. J.P. Morgan, Morgan Stanley and Deutsche Bank are also listed.

Endeavor plans on using a dual-class stock structure that would keep the company controlled by Emanuel, Whitesell and private equity backer Silver Lake.

“As the entertainment industry moves toward a closed ecosystem model with less transparency, our clients and businesses need more insight, resources and solutions than ever before,” the company wrote in the filing. “We believe being a public company will only further accelerate our ability to look around corners and open up new categories and opportunities for those in the Endeavor network.”

Endeavor said rapidly changing consumer preferences, industry trends and the popularity of the talent they represent are all risk factors for the stock.


Company: cnbc, Activity: cnbc, Date: 2019-05-23  Authors: sarah whitten
Keywords: news, cnbc, companies, biggest, capital, talent, agency, stock, public, owner, whitesell, company, emanuel, million, hollywoods, going, endeavor, finally, wrote, billion


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Judge says Deutsche Bank, Capital One can give Trump financial records to House Democrats

Eric Trump, Donald Trump Jr., Donald Trump and Ivanka Trump attend the Trump International Hotel Washington, D.C Groundbreaking Ceremony at Old Post Office on July 23, 2014 in Washington, DC. A federal judge in New York City on Wednesday said Deutsche Bank and Capital One can turn over financial documents related to President Donald Trump and his businesses in response to subpoenas from two Democrat-led House committees. The judge also disagreed with the argument by the Trump legal team that the


Eric Trump, Donald Trump Jr., Donald Trump and Ivanka Trump attend the Trump International Hotel Washington, D.C Groundbreaking Ceremony at Old Post Office on July 23, 2014 in Washington, DC. A federal judge in New York City on Wednesday said Deutsche Bank and Capital One can turn over financial documents related to President Donald Trump and his businesses in response to subpoenas from two Democrat-led House committees. The judge also disagreed with the argument by the Trump legal team that the
Judge says Deutsche Bank, Capital One can give Trump financial records to House Democrats Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-22  Authors: dan mangan kevin breuninger, dan mangan, kevin breuninger
Keywords: news, cnbc, companies, judge, trumps, trump, capital, documents, ruling, house, deutsche, court, letter, financial, subpoenas, bank, democrats, records


Judge says Deutsche Bank, Capital One can give Trump financial records to House Democrats

Eric Trump, Donald Trump Jr., Donald Trump and Ivanka Trump attend the Trump International Hotel Washington, D.C Groundbreaking Ceremony at Old Post Office on July 23, 2014 in Washington, DC.

Ramos, an appointee of President Barack Obama, said in U.S. District Court in Manhattan that the Trump clan’s arguments “are not sufficiently serious as it relates to Supreme Court precedent” dealing with the question of turning over documents to Congress.

Judge Edgardo Ramos’ ruling came after a hearing at which lawyers for Trump, his three older children, Donald Jr . Eric and Ivanka , and the Trump Organization argued that the subpoenas to the two banks should be quashed. An appeal of the decision is all but certain.

A federal judge in New York City on Wednesday said Deutsche Bank and Capital One can turn over financial documents related to President Donald Trump and his businesses in response to subpoenas from two Democrat-led House committees.

The judge also disagreed with the argument by the Trump legal team that the demands for the documents from House Financial Services and Intelligence committees lacks a legitimate legislative purpose. Ramos said there is such a purpose in the request by the panels, which are probing alleged foreign influence in U.S. elections.

The subpoenas, Ramos said, are “undeniably broad but are clearly pertinent.”

The White House and a spokesman for the Trump Organization did not immediately respond to a request for comment. Trump has said he is “fighting all the subpoenas” issued by House Democrats, who are conducting a broad inquiry into his financial affairs.

The ruling in the New York court came two days after another federal judge, in Washington, D.C., said Trump’s accountants at the firm Mazars had to comply with a subpoena from the House Oversight and Government Reform Committee for his financial records.

Deutsche Bank for years has been the main lender for Trump, whom other banks have avoided loaning money to because of his repeated bankruptcies. Capital One is in possession of financial records related to the Trump Organization’s hotels. Neither bank had opposed the subpoenas.

In a statement to CNBC after the ruling, Deutsche Bank spokeswoman Kerrie McHugh said, “We remain committed to providing appropriate information to all authorized investigations and will abide by a court order regarding such investigations.”

The Trump family’s lawyers, in a lawsuit filed against Deutsche Bank and Capital One in late April, challenged the demands for financial documents from the lenders, saying subpoenas from House Democrats “were issued to harass President Donald J. Trump, to rummage through every aspect of his personal finances, his businesses, and the private information of the President and his family.”

Neither Deutsche Bank nor Capital One objected in court to the subpoenas. But House Democrats intervened in the lawsuit to argue against the Trump family’s effort to quash the document demands.

Ramos’ ruling came hours after the New York state Legislature passed two bills aimed at Trump, which would allow Trump’s state tax returns to be turned over to Congress if they are requested. Gov. Andrew Cuomo has said he supports that idea, but has yet to say whether he will sign the bills.

The Treasury Department last week defied a subpoena from the U.S. House Ways and Means Committee for six years of federal tax returns of Trump and his business. But much of the information on those returns would be replicated in state tax returns.

During the court hearing Wednesday, Trump’s lawyer, Patrick Strawbridge, argued that the subpoenas exceeded Congress’ authority by being overbroad. He noted emphasizing that the committees were “literally looking for records about minors” related to Trump, as well as his in-laws.

At another point, Strawbridge argued that courts have made it “clear” that Congress “cannot cross the line into law enforcement activity.”

Douglas Letter, an attorney for the committees seeking the documents, retorted that there is is “absolutely no merit to any of these arguments” made by Strawbridge.

“This is being totally misportrayed,” Letter said.

Letter said that the subpoenas are broad, and asked for documents going back a number of years, because the committee are investigating things such as money laundering and engagement with foreign entities — “including Russian oligarchs” — over “a long period of time.”

Ramos then asked why the committee was bothering to ask for “domestic documents” if that was the case.

“You have to look at: ‘where’s it going? ‘ ” Letter responded, referring to money. “It’s all tied together.”

Letter criticized the Trump family’s legal effort to thwart the subpoenas, saying that the lawsuit only had been filed “because of a massive and fundamental misunderstanding” of Congress’ role “by Mr. Trump.”

“He sees us as a nuisance,” Letter said, referring to the president.

Asked by the judge if the financial records could be made public, Letter said that the committees did have that power.

But they “wouldn’t do it willy-nilly,” Letter insisted.

“We would of course listen” to the people whose records were subpoenaed, but ultimately “this is for the Congress” to decide, Letter said.

Lawyers for Deutsche Bank and Capitol One declined an opportunity to speak in court.

The judge said in his ruling that the attempt to block the subpoenas was “unlikely to succeed on the merits.”

“The court concludes that a preliminary injunction” being proposed by Trump’s lawyers “is inappropriate,” Ramos said.

WATCH: The saga of Trump’s taxes


Company: cnbc, Activity: cnbc, Date: 2019-05-22  Authors: dan mangan kevin breuninger, dan mangan, kevin breuninger
Keywords: news, cnbc, companies, judge, trumps, trump, capital, documents, ruling, house, deutsche, court, letter, financial, subpoenas, bank, democrats, records


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Uber, Lyft and Pinterest prove that private investors are sucking up all the value

In 2016, Alex Mittal of FundersClub wrote that today’s top tech companies are raising gobs of private cash, “leaving the bulk of returns out of public investors’ reach.” These are the very people that benefit from companies who stay private longer while their valuations skyrocket, because they’re the early investors. Over the last two-plus years, public investors have gotten consumer brands with big names but few gains. There’s still little pressure for start-ups to change their approach because


In 2016, Alex Mittal of FundersClub wrote that today’s top tech companies are raising gobs of private cash, “leaving the bulk of returns out of public investors’ reach.” These are the very people that benefit from companies who stay private longer while their valuations skyrocket, because they’re the early investors. Over the last two-plus years, public investors have gotten consumer brands with big names but few gains. There’s still little pressure for start-ups to change their approach because
Uber, Lyft and Pinterest prove that private investors are sucking up all the value Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-18  Authors: ari levy
Keywords: news, cnbc, companies, pinterest, companies, gains, investors, uber, value, ipo, billion, sucking, prove, private, venture, capital, public, lyft


Uber, Lyft and Pinterest prove that private investors are sucking up all the value

Dara Khosrowshahi, chief executive officer of Uber Technologies Inc., speaks on a webcast during the company’s initial public offering (IPO) on the floor of the New York Stock Exchange (NYSE) in New York, U.S., on Friday, May 10, 2019. Michael Nagle | Bloomberg | Getty Images

Nobody in Silicon Valley should be surprised by Uber’s disappointing IPO. Or Lyft’s. Experts have been predicting this type of performance for years. Marc Andreessen called “the effective death of the IPO” in 2014 and said that with high-flying tech companies staying private longer, “gains from the growth accrue to the private investor, not the public investor.” Fred Wilson of Union Square Ventures told CNBC the following year that these late-stage IPOs mean “all of the gains are captured among a very small cohort of people.” In 2016, Alex Mittal of FundersClub wrote that today’s top tech companies are raising gobs of private cash, “leaving the bulk of returns out of public investors’ reach.” These are the very people that benefit from companies who stay private longer while their valuations skyrocket, because they’re the early investors. They get to ride the valuation up from the millions to $10 billion, $20 billion or $50 billion and then sell their shares to the masses of public market investors who are thirsting for the next Amazon or Google. They were the ones warning us about the emerging Uber-Lyft problem. And they were right. Over the last two-plus years, public investors have gotten consumer brands with big names but few gains. Snap has lost about one-third of its value since its 2017 IPO, while Dropbox and Spotify are up just slightly from their debuts last year. Uber and Lyft have dropped. After falling 13% on Friday on a bad earnings report, Pinterest is back to where it was trading in its first few days in April. “Maybe we made a mistake in having these unicorns sucking in huge amounts of private capital and delaying their IPOs,” said Duncan Davidson, a partner at venture firm Bullpen Capital, in an interview this week. “Maybe we’d be better off having these puppies go public earlier like we used to.”

A good chunk of the capital at the later stage has come from firms like T. Rowe Price and Fidelity, who normally buy public stocks but moved into the private markets in recent years so as not miss out on all the value creation. Since they’re already shareholders it’s hard to get them to buy more when it’s time to take the company public. “A lot of the prime public investors you’d want in your stock after the IPO already own the stock,” said Iris Choi, a partner at early-stage venture firm Floodgate who previously worked in investment banking at Goldman Sachs. “What is their incentive to actually buy at the IPO?” Of course, it’s still too soon to come to any conclusions about where Uber, Lyft and others will be trading months or years down the line. Investors can point to Facebook’s miserable kickoff in May 2012, and the fact that it lost half its value over the next three months before rebounding. Now shareholders who bought in at the IPO and held have seen their investments quintuple. There was plenty of skepticism surrounding Google’s lofty valuation in 2004, but buy-and-holders are up 2,800%. However, if you’re banking on a similar result from this new class, consider two important factors: Facebook and Google are outliers.

They were profitable at the time of their IPOs.

‘Unit economics really do matter’

With the latest crop of consumer offerings, public investors are being asked to pick up where the venture community left off and continue to subsidize cash-burning growth while the companies seek to prove they can morph into sustainable long-term businesses. Investors are balking. “The big lesson everybody in Silicon Valley learned is unit economics really do matter,” Davidson said. So what happens from here? There’s still little pressure for start-ups to change their approach because private capital is so plentiful. SoftBank’s Vision Fund, which has poured billions into Uber, WeWork and other capital-heavy businesses, is only planning to get bigger. Venture fundraising hit a record $55.5 billion last year, according to the National Venture Capital Association, and those firms have to put their capital to work. In the first quarter of 2019, five “mega-funds” (over $500 million) closed, the NVCA said, and more prominent firms are in the process of raising $1 billion or more. These funds are increasingly willing to put some of their cash into secondaries, buying shares from founders who can lock in a portion of their riches while steering clear of quarterly earnings and the scrutiny of public markets. “Mega-funds are creating challenges with the oversupply of capital, and it’s reducing discipline in operating companies,” said Robert Mittendorf, who invests in health-tech companies at Norwest Venture Partners. “We forget out here that operating results are more important than the amount of capital raised. We should be applauding operating performance more.” It’s certainly not all gloom and doom. Enterprise software companies continue to reward public investors. Videoconferencing company Zoom, which is profitable, has more than doubled from its IPO price in April and has even generated substantial gains for investors who missed the initial pop. PagerDuty has also more than doubled, and Fastly, whose technology helps companies more quickly deliver online content, surged 50% in its debut on Friday.

Source: CNBC


Company: cnbc, Activity: cnbc, Date: 2019-05-18  Authors: ari levy
Keywords: news, cnbc, companies, pinterest, companies, gains, investors, uber, value, ipo, billion, sucking, prove, private, venture, capital, public, lyft


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