Content about Financial economics

September 16, 2014

Sears Holdings Corp. said in regulatory filing that it would borrow $400 million from the hedge fund of its CEO, Edward Lampert, who is also the company’s largest shareholder.

New York -- Sears Holdings Corp. said in regulatory filing that it would borrow $400 million from the hedge fund of its CEO, Edward Lampert, who is also the company’s largest shareholder.  

Sears received the first $200 million of the loan from Lampert's ESL Investments on Monday, and expects to receive the remaining amount on Sept. 30.

The company said it would use the money for “general corporate purposes.

September 15, 2014

Ann Inc. is publicly responding to an investor presentation held by activist investors Engine Capital and Red Alder on Sept. 15, which urged the company to sell at a substantial premium above current stock price.

New York – Ann Inc. is publicly responding to an investor presentation held by activist investors Engine Capital and Red Alder on Sept. 15, which urged the company to sell at a substantial premium above current stock price. In a press release, Ann Inc. said its board is “very active and consistently has been, and remains, focused on enhancing shareholder value.”

Ann Inc. also said its board regularly reviews all options and uses a financial advisor to help evaluate them.

September 15, 2014

Office Depot Inc. will transfer the listing of its common stock from the New York Stock Exchange to the Nasdaq Global Select Market.

Boca Raton, Fla. – Office Depot Inc. will transfer the listing of its common stock from the New York Stock Exchange to the Nasdaq Global Select Market. The company expects its common stock to cease trading on the NYSE effective at the close of business on Sept. 25, and to commence trading on Nasdaq on Sept. 26, when the market opens.

The company will retain its current ticker symbol “ODP” when trading begins on Nasdaq.

September 10, 2014

Dollar General Corp. is upping the ante in its $9.1 billion bid to purchase Family Dollar Inc. by making a hostile takeover offer to Family Dollar stockholders of $80 per share.

Goodlettsville, Tenn. – Dollar General Corp. is upping the ante in its $9.1 billion bid to purchase Family Dollar Inc. by making a hostile takeover offer to Family Dollar stockholders of $80 per share. This offer beats the $74.50 per share, $8.5 billion offer Family Dollar has accepted from Dollar Tree Inc, and is a 32% premium over the closing price of $60.66 for Family Dollar stock on Sept. 9.
 

September 10, 2014

E-commerce company Elastic Path Software Inc. has secured $4.87 million in equity investments led by BDC Venture Capital IT Fund, with participation from Yaletown Venture Partners and individual investors.

Vancouver – E-commerce company Elastic Path Software Inc. has secured $4.87 million in equity investments led by BDC Venture Capital IT Fund, with participation from Yaletown Venture Partners and individual investors. The company will use the funds to support development for its patent-pending enterprise commerce products.

September 8, 2014

Chinese e-commerce giant Alibaba Group Holding Ltd. has filed for an initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC) that media reports indicate could be worth as much as $24.3 billion, making it the biggest U.S. initial public offering ever.

New York – Chinese e-commerce giant Alibaba Group Holding Ltd. has filed for an initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC) that media reports indicate could be worth as much as $24.3 billion, making it the biggest U.S. initial public offering ever.

According to Bloomberg, Alibaba is seeking a valuation as high as $162.7 million, in the upper end of the proposed price range and higher than that of any other public Internet company in the U.S. except Google and Facebook.

September 8, 2014

Walgreens has named Barry Rosenstein, founder and managing partner of New York City-based hedge fund Jana Partners LLC, to its board of directors.

Deerfield, Ill. - Walgreens has named Barry Rosenstein, founder and managing partner of New York City-based hedge fund Jana Partners LLC, to its board of directors. The company is expanding its board it continues moving forward to complete its merger with Alliance Boots GmbH.

September 3, 2014

Asurion Retail Solutions has rolled out Solution Hub, an online platform providing consumers transparency and control of the post-purchase service experience.

Nashville, Tenn. - Asurion Retail Solutions has rolled out Solution Hub, an online platform providing consumers transparency and control of the post-purchase service experience. Solution Hub, customizable to reflect retail brands, offers consumers an end-to-end solution for filing claims, scheduling in-home repairs, and choosing the best fulfillment option for certain product categories.

September 2, 2014

A Credit Suisse analyst is reportedly recommending that Staples and Office Depot, itself recently merged with Office Max, merge.

New York – A Credit Suisse analyst is reportedly recommending that Staples and Office Depot, itself recently merged with Office Max, merge. According to Investors Business Daily, Credit Suisse analyst Gary Balter made the suggestion in a note sent to clients on Tuesday, Sept. 2.

August 26, 2014

Hedge fund Standard General LP, RadioShack’s second-largest shareholder, is reportedly trying to negotiate a “rescue package” by obtaining debt and equity financing from outside investors.

Fort Worth Texas – Hedge fund Standard General LP, RadioShack’s second-largest shareholder, is reportedly trying to negotiate a “rescue package” by obtaining debt and equity financing from outside investors. According Bloomberg, Standard General is also meeting with RadioShack management to create a plan that will let the retailer avoid filing for Chapter 11 bankruptcy.

August 26, 2014

Poor data collection and linkage practices are leaving organizations unable to move forward with key business goals, according to a new study by Experian Data Quality, a part of Experian Marketing Services.

New York -- Poor data collection and linkage practices are leaving organizations unable to move forward with key business goals, according to a new study by Experian Data Quality, a part of Experian Marketing Services.

The report, “Finding insight through data collection and linkage,” finds that while most organizations are looking to leverage data better to drive consumer insight, they are hindered by a lack of reliable and consolidated data sources.

August 18, 2014

Activist hedge fund Jana Partners revealed on Monday that it received an anonymous package detailing a PetSmart presentation around improving results over the next two quarters.

New York -- Activist hedge fund Jana Partners revealed on Monday that it received an anonymous package detailing a PetSmart presentation around improving results over the next two quarters.

According to Jana in a filing with the Securities and Exchange Commission, a cover letter accompanied the presentation, saying that PetSmart had “missed internal projections.” Jana said it sent the documents back to the company, asking the board to “promptly release such materials after redacting any such competitively sensitive information.”

August 7, 2014

Bindo, a retail technology company, is launching a mobile Europay, MasterCard, Visa (EMV)-compliant credit card reader for its cloud-based iPad point-of-sale (POS) system.

New York -- Bindo, a retail technology company, is launching a mobile Europay, MasterCard, Visa (EMV)-compliant credit card reader for its cloud-based iPad point-of-sale (POS) system.

Bindo’s newly developed EMV reader has full end-to-end encryption with its iPad POS system and is both EMV Level 1 and Level 2 certified in the U.S.

August 7, 2014

Any retailer that takes payments at the point-of-sale in a brick-and-mortar store will most likely recognize the term EMV, which stands for Europay, MasterCard and Visa.

By Ralf Gladis, co-founder and CEO, Computop

Any retailer that takes payments at the point-of-sale (POS) in a brick-and-mortar store will most likely recognize the term EMV, which stands for Europay, MasterCard and Visa. It is a global standard for credit cards with chips and card capable POS terminals providing checkout devices with a secure payment scheme.

August 7, 2014

Zales has the highest annual percentage rate (APR) on its private label card out of 61 U.S. retailers surveyed by CreditCards.com.

Austin, Texas – Zales has the highest annual percentage rate (APR) on its private label card out of 61 U.S. retailers surveyed by CreditCards.com. According to the study, the retailers with the five highest maximum APRs are:

1. Zales, up to a 28.99% APR;
2. Office Depot Personal Credit, up to a 27.99% APR;
3. Staples Personal Account, up to a 27.99% APR;
4. My Best Buy, up to a 25.24% and 27.99% APR, depending on your credit score; and

July 30, 2014

Activist investor Carl Icahn, who had been pressuring Family Dollar to sell the company, has reduced his ownership stake in the company from 9.39% to 6.09%.

Matthews, N.C. – Activist investor Carl Icahn, who had been pressuring Family Dollar to sell the company, has reduced his ownership stake in the company from 9.39% to 6.09%.

July 30, 2014

Indian e-commerce platform Flipkart has received about $1 billion in funding from investors including existing backer Tiger Global Management, as well as new stakeholders Morgan Stanley and Singapore-based sovereign wealth fund GIC.

Bangalore, India – Indian e-commerce platform Flipkart has received about $1 billion in funding from investors including existing backer Tiger Global Management, as well as new stakeholders Morgan Stanley and Singapore-based sovereign wealth fund GIC. Flipkart operates as an online marketplace for 3,000 individual merchants, similar to China’s Alibaba.com.

July 28, 2014

RadioShack has been notified by the New York Stock Exchange that it failed to satisfy listing standards and could be delisted after its average stock price stayed below $1 for 30 days, according to a document the company filed Friday with the Securities and Exchange Commission, the Dallas Business Journal reported.

New York -- RadioShack has been notified by the New York Stock Exchange that it failed to satisfy listing standards and could be delisted after its average stock price stayed below $1 for 30 days, according to a document the company filed Friday with the Securities and Exchange Commission, the Dallas Business Journal reported.

RadioShack shares will continue to trade as usual on the NYSE. Under the exchange rules the troubled retailer has six months from the date of notification to regain compliance, or get its shares back above $1.

July 21, 2014

General Electric is spinning off its Synchrony Financial consumer credit business in an initial public offering (IPO) and seeking a market valuation as high as $22 billion.

Stamford, Conn. -- General Electric is spinning off its Synchrony Financial consumer credit business in an initial public offering (IPO) and seeking a market valuation as high as $22 billion. Synchrony offers store credit cards for retailers such as Wal-Mart Stores Inc. and J.C. Penney Co.

July 14, 2014

Chinese e-commerce giant Alibaba increased its valuation to $130 billion less than a month before its initial public offering on the New York Stock Exchange.

New York -- Chinese e-commerce giant Alibaba increased its valuation to $130 billion less than a month before its initial public offering on the New York Stock Exchange.

The new figure is approximately $13 billion more than the company valued itself at in its original filing with the Securities and Exchange Commission in June.

Alibaba is expected to raise more than $20 billion, which would make it one of the largest offerings ever.

 

July 3, 2014

Cardtek Group, a provider of software for financial transactions and EMV migration, is launching Cardtek USA.

Chicago – Cardtek Group, a provider of software for financial transactions and EMV migration, is launching Cardtek USA. The company’s North American headquarters, based in Chicago, will facilitate the U.S. adoption of Europay-MasterCard-Visa (EMV) technology in an effort to help prevent credit card fraud and data breaches.

June 30, 2014

Charles & Colvard Ltd. has closed a new three-year $10 million asset-backed credit facility with Wells Fargo Bank.

Morrisville, N.C. - Charles & Colvard Ltd. has closed a new three-year $10 million asset-backed credit facility with Wells Fargo Bank. The company’s previous credit facility with PNC Bank was terminated.

The new credit facility provides Charles & Colvard working capital for general corporate purposes and to pursue continued growth opportunities and is secured by Charles & Colvard assets. The company currently does not have any other long-term debt and the new credit facility is undrawn.

 

June 18, 2014

Kroger Co. on Wednesday said it plans to withdraw from two multi-employer pension funds and will incur a charge of $56 million in the first quarter as it contributes that amount to restructure its pension obligations.

Cincinnati -- Kroger Co. on Wednesday said it plans to withdraw from two multi-employer pension funds and will incur a charge of $56 million in the first quarter as it contributes that amount to restructure its pension obligations. The move is in line with the retailer’s desire to exert more control over employee-retirement programs.

June 10, 2014

Chico’s FAS Inc. is reportedly considering taking itself private. According to Financial Times, the women’s apparel retailer has been holding talks with several private equity firms in recent weeks.

Fort Myers, Fla. — Chico’s FAS Inc. is reportedly considering taking itself private. According to Financial Times, the women’s apparel retailer has been holding talks with several private equity firms in recent weeks.

June 9, 2014

Family Dollar Stores has adopted a one-year shareholder rights plan to prevent investors from gaining sizable control of the company. The move follows the disclosure on Friday that activist investor Carl Icahn has amassed a 9.39% stake in the retailer over the past two months, making him its largest shareholder.

Matthews, N.C. — Family Dollar Stores has adopted a one-year shareholder rights plan to prevent investors from gaining sizable control of the company. The move follows the disclosure on Friday that activist investor Carl Icahn has amassed a 9.39% stake in the retailer over the past two months, making him its largest shareholder.

In the filing on Friday, Icahn said he plans to push Family Dollar management to explore strategic changes, and that he might also seek board seats.