
Qualcomm strengthens AI portfolio with $2.4 billion Alphawave deal
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US chipmaker Qualcomm on Monday agreed to acquire British semiconductor company Alphawave for about $2.4 billion as part of efforts to strengthen its artificial intelligence technology.Alphawave shareholders will receive 183 pence per share, a nearly 96% premium to the price immediately before Qualcomm disclosed its interest in the company. The shares jumped 22% in early London trade to just below the offer price.US-based firms have been snapping up British assets, taking advantage of a market that is plagued by comparatively weaker valuations and stunted growth.Alphawave, which designs and licenses semiconductor technology for data centers, networking and storage, had garnered takeover interest from Qualcomm and SoftBank-owned chip tech provider Arm in early April for its 'serdes' technology.The technology underpins the speed at which data is processed by chips - crucial for AI development - and serves as the foundation for Broadcom's and Marvell Technology's multibillion-dollar bespoke chip businesses.Arm walked away after initial discussions with Alphawave, Reuters exclusively reported in April citing sources.Qualcomm also tabled two alternative all-share offers to Alphawave's shareholders, after receiving multiple extensions from the UK's takeover panel to table a firm offer.The British company said it considers the terms of the cash offer to be fair and reasonable and intends to unanimously recommend it to its shareholders.Alphawave also completed the disposal of its stake in WiseWave, its joint venture with Chinese investment firm Wise Road Capital, to existing state shareholders on Monday.

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Time of India
an hour ago
- Time of India
Chinese beauty brands explore foreign M&A to spur growth
HighlightsProya Cosmetics aims to join the ranks of the top ten global beauty brands within the next decade, targeting annual revenue of at least 50 billion yuan ($7 billion) through acquisitions of established European brands. Chinese beauty companies such as S'Young and Ushopal are actively pursuing international acquisitions, having already expanded their portfolios with well-known foreign skincare and fragrance brands. Experts warn that while global acquisitions can diversify revenue streams for Chinese beauty firms, challenges remain in successfully managing and localizing foreign brands after acquisition. Some of China's top beauty brands such as Proya and S'Young are exploring acquisitions of smaller foreign rivals to expand their portfolios and replicate the success of global leaders like L'Oreal or Estee Lauder amid slowing growth at home. While still relatively unknown internationally, these Chinese brands have found significant domestic success, even capturing market share from global players. But a prolonged property crisis and concerns about wage growth and employment security have dampened consumer spending in China - posing new challenges to their continued growth. Proya Cosmetics ' founder, Hou Juncheng, said last month that the company's 10-year plan aims to position the firm among the top ten globally, a goal that would require an annual revenue of at least 50 billion yuan ($7 billion). To do so, the Hangzhou-based Proya plans "to acquire some European brands with history and technology", local media reports cited Hou as telling shareholders at a meeting. Proya, which specialises in science-backed skincare at mass market price points, became the first Chinese beauty player to surpass 10 billion yuan in annual revenue in 2024. In comparison, Japan's Shiseido, currently ranked tenth globally, raked in $6.9 billion and market leader L'Oreal generated over $45 billion in revenue last year. S'Young and Ushopal , two prominent Chinese beauty groups, have already made strides in international acquisitions. S'Young owns French skincare brand Evidens de Beaute and U.S.-brand ReVive, while Ushopal added French brand Payot to a portfolio that includes British skincare label ARgENTUM and French fragrance Juliette has a gun. William Lau, a partner at Ushopal, said the company plans to acquire one to two new brands annually. Analysts say buying foreign brands can help Chinese beauty firms diversify revenue streams and reduce reliance on the domestic market, but they also note that some similar efforts by Chinese fashion groups had missed expectations in the past. The beauty and personal care market is projected to generate a revenue of $677.19 billion globally in 2025, versus $41.78 billion in China, German data provider Statista estimates. Chinese brands are likely to target premium-positioned European skincare, fragrance or haircare brands with valuations under $500 million, said Gregoire Grandchamp, co-founder of Next Beauty China, who has advised Chinese groups on global deals. "In coming years, there will be a big Chinese company that will be the Chinese L'Oreal, Estee Lauder, Shiseido, or Amorepacific," Grandchamp predicted. GLOBAL M&A 'VERY DIFFICULT' Acquisitions have long been a growth strategy for beauty giants. L'Oreal's $2.5 billion purchase of Australian brand Aesop in 2023 added a premium, natural cosmetics brand to its portfolio, while Estee Lauder's $2.8 billion acquisition of Tom Ford in 2022 helped boost its array of high-end perfumes. Chinese beauty brands aim to borrow from this M&A playbook, but there are concerns about their ability to operate brands outside their home turf. In the fashion space, state-owned textile giant Ruyi once made headlines for snapping up foreign brands and touting its ambition to become "China's LVMH" only to see those international deals unwound by creditors in a few short years. But Ushopal's Lau says these challenges are not unique to Chinese groups, citing examples like Shiseido's buyout of Drunk Elephant to L'Oreal's purchase of some Chinese brands that struggled to meet expectations. "Global acquisitions are very difficult" in general and part of the problem is that companies often try to localise brands too quickly after a deal, he said. "One of the reasons you buy a brand is because it's an amazing brand, so if you then redo the entire DNA of the brand, what's the point of buying it?" he added. Mark Tanner, founder and managing director of Shanghai-based marketing and research agency China Skinny, said: "Opening doors to the Chinese market and capital injections, rather than a wholesale management takeover" are more likely to succeed.


Time of India
an hour ago
- Time of India
Boeing books 303 new orders and hits 737 MAX production target in blockbuster May
Boeing is heading into the Paris Air Show after a blockbuster May that included booking 303 new orders and rolling out 38 new 737 MAX jets, a production rate that it has been working to reach for more than a year. The company also delivered 45 aircraft last month, it said Tuesday. It was the sixth-highest monthly order tally in Boeing's history, according to company data. The orders included the largest widebody jet deal in Boeing's history: Qatar Airways' order for 130 787s and 30 777Xs, plus options for another 50 of the long-haul aircraft. However, only 120 787s were added to Boeing's order backlog, according to the company. It did not clarify the discrepancy. The Qatar deal was announced during President Donald Trump's whirlwind Middle East tour, which included a string of high-profile business deals. One day earlier, Saudi Arabian-owned lessor AviLease ordered 20 737-8 MAX jets. Another Gulf region carrier, Etihad, said it planned to order 28 widebody Boeing jets, but it did not place a firm order, so the aircraft were not included in May's total. Canadian airline WestJet also ordered seven 737 MAX jets. The company also canceled two orders for 737s. Live Events In total, three orders were canceled during the month, making for 300 net new orders in May. Its order backlog rose to 5,943 orders as of May 31. Boeing delivered 45 aircraft in the month, its fifth consecutive month of 40 or more deliveries. The total was nearly twice as many deliveries as the 24 aircraft the company handed over to customers during the same month one year earlier. Aircraft deliveries are closely watched by Wall Street because planemakers are able to collect the majority of their payment when they hand over jets to customers. The company handed over 31 737 MAX jets, including seven to United Airlines and four to Alaska Airlines, and seven 787s, including three to Qatar Airways from earlier orders. It also delivered five 777 freighters, one 767 freighter and one 737 NG to be converted into a P-8 Poseidon for the U.S. Navy. None of the deliveries were to Chinese airlines, which stopped taking new Boeing aircraft in April as the two countries clashed over tariffs. China removed the ban after the Washington and Beijing agreed to temporarily cut tariffs. A new 737 MAX landed in China on Monday, according to flight tracking data, the first to arrive since the ban was removed. So far in 2025, Boeing has delivered 220 aircraft: 164 737 MAXes, three 737 NGs for conversion into P-8s, 28 787s, 16 777s and nine 767s. European rival Airbus has delivered 243 aircraft so far this year, including 51 deliveries in May. The company did not announce any new orders last month. However, Airbus is expected to announce several deals during the Paris Air Show, which starts Monday. Boeing said on Tuesday that it rolled out 38 new 737 MAX aircraft in May, hitting a production target that it has been working to reach for more than a year. The U.S. Federal Aviation Administration capped output at 38 airplanes a month due to quality concerns exposed by a mid-air panel blowout in a nearly new 737 in January 2024. Monthly production of its best-selling 737 MAX has varied up and down in recent years as the company grappled with internal and external production problems and constraints. A strike last year at its plants in Washington and Oregon shut down production of the popular single-aisle airplane. Since production resumed in December, the company has taken a slow and deliberate approach to increasing the rate. Boeing CEO Kelly Ortberg has said the company has to stabilize production at 38 per month for several months before asking the FAA to increase output. All six production quality and safety metrics created by the company and U.S. regulators are green, according to the company.


Time of India
an hour ago
- Time of India
EV supply chain strain: Maruti Suzuki cuts e-VITARA production, rare earth magnets bottleneck worsens after China export curbs
India's largest automaker Maruti Suzuki is slashing the production forecast for its upcoming electric SUV e-VITARA, amid a critical shortage of rare earth magnets, according to industry sources. The company now aims to roll out 8,000 units by September, down sharply from the originally planned 26,000+ units. The automaker, however, plans to meet its full-year production target of 67,000 units by ramping up output in later months, sources added. Maruti Suzuki declined to officially comment on the matter. The shortfall comes as China tightens export restrictions on rare earth elements and magnets — materials critical for electric motors in EVs. Since April 4, Beijing has mandated special licences for exporting seven types of rare earths, including samarium, gadolinium, terbium, dysprosium, and lutetium, which are used in everything from EV propulsion systems to missiles. 'As of now, there is no impact on production,' Maruti Suzuki Chairman R C Bhargava said earlier this week. However, supply-side risks remain as China controls over 90% of global processing capacity for these essential materials. Carmakers urge Indian government to step in Several Indian carmakers have sought government intervention to expedite approvals from Chinese authorities via their local vendors for importing rare earth magnets. But no licences have been granted yet, creating uncertainty in the EV and hybrid vehicle manufacturing pipeline. Rare earth magnets are vital to permanent magnet synchronous motors (PMSMs), preferred in EVs for their high torque, efficiency, and compact design. While internal combustion engine vehicles use them in limited systems like electric power steering, their role is critical in electrified powertrains. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now