Company news in brief
Company news in brief

Company news in brief

Jo-Mare Duddy Booysen
Uber's London licence in the balance

London's transport regulator said yesterday it has yet to decide on whether to renew Uber's operating licence in the city after a media report said the taxi app would lose its right to take rides in Britain's capital.

LBC radio reported yesterday, the day the Silicon Valley firm's licence expires in London, that Uber will not receive a new licence in one of its most important markets, citing several unnamed sources.

A spokesman at Transport for London (TfL) said no decision has been made. Uber declined to comment.

Uber and TfL have been engaged in a long-running battle since the authority rejected a renewal request in 2017, citing shortcomings it said it found in the firm's approach to reporting serious criminal offences and driver background checks, prompting legal action.

A judge in 2018 then granted Uber a probationary 15-month licence, after the Silicon Valley-based company had made several changes to its business model.

In September, TfL gave Uber just a two-month extension, far short of the maximum possible five years, and imposed further conditions covering ride-sharing, appropriate insurance and driver document checks. – Nampa/Reuters

Finnair cancels 276 flights

Finland's national airline Finnair said on Sunday it was forced to cancel 276 flights scheduled for Sunday and yesterday after attempts to settle a labour dispute at the Finnish postal service failed, leading several Finnish labour unions to join a solidarity strike yesterday.

Some 9 000 employees of the publicly owned postal service Posti have been on a two-week strike against pay cuts and several Finnish employee unions are taking actions to support the strike.

Finnair said around 20 000 travellers would be affected by its cancellations, caused by the Finnish airport workers' union's decision to join the solidarity strike yesterday if no resolution to the postal service dispute was found by Sunday.

Finland's chief labour conciliator, Vuokko Piekkala, said on Sunday attempts to forge an agreement in the dispute had failed, after extensive negotiations over the weekend. Piekkala said it was not immediately clear when negotiations would restart.

Juhani Haapasaari, chairman of the Finnish Aviation Union, told Reuters the strike would affect air traffic's ground services, including catering, technical services, cargo, security checks and consequently all airlines flying to and from Finland. – Nampa/Reuters

LVMH to buy Tiffany for US$16.2bn

Louis Vuitton owner LVMH has agreed to buy US jeweller Tiffany for US$16.2 billion in the luxury goods maker's biggest acquisition to date.

The US$135-per share cash deal will boost LVMH's smallest business, the jewellery and watch division that is already home to Bulgari and Tag Heuer, and help it expand in one of the fastest-growing sections of the industry.

Fashion and accessories brands including Christian Dior generate the bulk of earnings at LVMH, run by France's richest man, Bernard Arnault, though growth in jewellery has shone in recent years.

Tiffany CEO Alessandro Bogliolo said the transaction would "provide further support, resources and momentum."

The companies said they expected to close the deal in mid 2020. Tiffany said in the statement its board of directors recommended that shareholders approve the transaction with LVMH. – Nampa/Reuters

HP rejects Xerox takeover offer again

Computer and printer maker HP on Sunday reiterated its rejection of Xerox's US$33 billion takeover bid, saying the sum "significantly undervalues" the company.

A tie-up would unite two firms with storied histories: Xerox was founded in 1906 and became a household name with its copy machine. HP, which traces its history back to 1939, began making audio equipment but ended up as one of the early leaders of the Silicon Valley tech industry.

Xerox last week said it was "very surprised" by HP's first rejection of the cash-and-stock offer, which sets a value of US$22 per share for the computing firm. The offer represents a 29% premium to HP's recent average trading price, Xerox chairman and chief executive John Visentin said.

In the absence of a deal, Xerox said it would "take its compelling case to create superior value for our respective shareholders directly to your shareholders." – Nampa/AFP

Mitsubishi to buy Dutch Eneco

Eneco, the Dutch energy company owned by 44 cities, has agreed to be purchased by a consortium led by Japan's Mitsubishi Corp in a deal that values it at 4.1 billion euro (US$4.52 billion), it said yesterday.

Eneco said it had been swayed by Mitsubishi's plans to allow the company to continue its strategic plans to invest heavily in renewable energy.

Under the terms of the deal, Mitsubishi will own 80% of Eneco and partner Chubu 20%.

The deal, which is backed by Eneco's boards, must still be approved next year by Eneco's municipal shareholders. – Nampa/AFP

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