Latest news with #ElliottInvestment
Yahoo
6 days ago
- Business
- Yahoo
Phillips 66 (PSX) Suffered From An Overreaction After Elliot Victory, Says Jim Cramer
We recently published a list of . In this article, we are going to take a look at where Phillips 66 (NYSE:PSX) stands against other stocks that Jim Cramer discusses. Phillips 66 (NYSE:PSX) is a diversified American oil and gas company. The firm operates in the chemicals, oil refining, storage, and transportation industries. It made its way to Cramer's morning appearance as activist Elliott Investment managed to secure two seats on the firm's board. Phillips 66 (NYSE:PSX)'s shares dropped by 7.5% on the news as investors weighed whether Elliott's demands of business unit spinoffs would generate uncertainty for the firm's future cash flows. For his part, Cramer attributed the fall to an overreaction: '[On share price movement after activist investor Elliott won two board seats] Yeah that's a reaction. I think there are people who felt that there could be an immediate transaction or something which was never the case. I think that's an overreaction. Not a great group right now but it's an overreaction.' A refinery manager walking through an array of pipes and pumping systems, recognizing the company's vast refining power. Cramer has discussed Phillips 66 (NYSE:PSX) several times this year. For instance, in May he remarked that the firm was being unfairly treated as an oil company while it was a refiner instead. In January, he praised Phillips 66 (NYSE:PSX)'s business acumen after the firm bought NGL assets for $2.2 billion. Here's what Cramer said: 'And listen, that's not even an exhaustive list of M&A activity this week. Well, on Monday, Phillips 66 announced a deal to acquire certain privately held natural gas infrastructure assets for over $2 billion… Looking at the transactions we've seen just this week, while some of them likely would've been challenged by Biden's ideologically driven regulators, most of them seem pretty justifiable. All of them make great business sense…' Overall, PSX ranks 10th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of PSX, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PSX and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
7 days ago
- Business
- Yahoo
Phillips 66 (PSX) Suffered From An Overreaction After Elliot Victory, Says Jim Cramer
We recently published a list of . In this article, we are going to take a look at where Phillips 66 (NYSE:PSX) stands against other stocks that Jim Cramer discusses. Phillips 66 (NYSE:PSX) is a diversified American oil and gas company. The firm operates in the chemicals, oil refining, storage, and transportation industries. It made its way to Cramer's morning appearance as activist Elliott Investment managed to secure two seats on the firm's board. Phillips 66 (NYSE:PSX)'s shares dropped by 7.5% on the news as investors weighed whether Elliott's demands of business unit spinoffs would generate uncertainty for the firm's future cash flows. For his part, Cramer attributed the fall to an overreaction: '[On share price movement after activist investor Elliott won two board seats] Yeah that's a reaction. I think there are people who felt that there could be an immediate transaction or something which was never the case. I think that's an overreaction. Not a great group right now but it's an overreaction.' A refinery manager walking through an array of pipes and pumping systems, recognizing the company's vast refining power. Cramer has discussed Phillips 66 (NYSE:PSX) several times this year. For instance, in May he remarked that the firm was being unfairly treated as an oil company while it was a refiner instead. In January, he praised Phillips 66 (NYSE:PSX)'s business acumen after the firm bought NGL assets for $2.2 billion. Here's what Cramer said: 'And listen, that's not even an exhaustive list of M&A activity this week. Well, on Monday, Phillips 66 announced a deal to acquire certain privately held natural gas infrastructure assets for over $2 billion… Looking at the transactions we've seen just this week, while some of them likely would've been challenged by Biden's ideologically driven regulators, most of them seem pretty justifiable. All of them make great business sense…' Overall, PSX ranks 10th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of PSX, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PSX and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Wall Street Journal
7 days ago
- Business
- Wall Street Journal
Elliott Eyes Bet on Pipeline Carrying Russian Gas
Elliott Investment Management is in talks to buy a stake in a package of infrastructure assets, including a pipeline that carries Russian natural gas to Europe—a deal that could form a template for reviving Moscow's once-mighty energy business by involving American investors. The U.S. hedge fund, headed by billionaire founder Paul Singer, is considering a stake in the Bulgarian extension of the TurkStream pipeline, along with access to a network of data centers, data cables and other infrastructure assets, according to people familiar with the matter.
Associated Press
16-05-2025
- Business
- Associated Press
GOL secures $1.9 billion of 5-year exit financing
SíO PAULO, May 16, 2025 /PRNewswire/ -- GOL Linhas Aéreas Inteligentes S.A. (B3: GOLL4) ('Company' or 'GOL'), one of the leading airlines in Brazil, today announced that it has successfully secured binding commitments for US$1.90 billion in exit debt financing in connection with the Chapter 11 cases initiated by the Company and its subsidiaries, pursuant to the U.S. Bankruptcy Code, in the U.S. Bankruptcy Court for the Southern District of New York (the 'Exit Financing'). During the last six months, GOL has conducted a widely marketed process. Following the Bankruptcy Court's approval of the Company's backstop agreement with Castlelake, L.P. and Elliott Investment Management, L.P. (the 'Anchor Investors'), pursuant to which the Anchor Investors made commitments to purchase up to $1.25 billion of the Company's exit financing, the Company reached a settlement agreement with an ad hoc group (the 'Ad Hoc Group') of holders of 8.00% Senior Secured Notes due 2026 issued by Gol Finance (Luxembourg), pursuant to which the members of the Ad Hoc Group made commitments to purchase $125 million of the Company's $1.9 billion of exit financing notes. GOL needed to secure US$ 495.5 million in additional commitments to complete the Exit Financing and ultimately received commitments for US$ 796.9 million. Due to this demand, GOL reduced the interest rate of the Exit Financing from 14.625% to 14.375%. Moreover, the Company requested that the Ad Hoc Group agree to reduce its previously disclosed commitment of US$125 million by US$75 million, increasing the total amount available to other investors to US$ 570.5 million. The Ad Hoc Group also agreed to reduce its US$ 10 million 'Work Fee' to US$ 4.0 million. Pursuant to the Exit Financing commitment letters, the participating investors obligated themselves to purchase US$ 1.90 billion (excluding fees and costs paid) in debt instruments to be issued on the effective date of the restructuring plan in the Chapter 11 Cases (the 'Plan'). Subject to the Court's confirmation of the Plan, the Exit Financing will comprise: The Exit Financing will be used to repay the obligations under the debtor-in-possession financing entered into by the Company and its subsidiaries in connection with entry into the Chapter 11 Cases and to pay transaction costs. The financing will also enhance the Company's liquidity position following its emergence from the Chapter 11 Cases, providing working capital and other support for business operations moving forward. Advisors In the context of its restructuring efforts, GOL is working with Milbank LLP as legal advisor, Seabury Securities, LLC as investment banker, lead placement agent for the US$ 1.9 billion exit notes, financial advisor and sole restructuring advisor, BNP Paribas Securities Corp. as bookrunner (B&D) and placement agent for the exit notes, and AlixPartners, LLP as financial advisor. In addition, Lefosse Advogados acts as GOL's Brazilian legal advisor. Special note regarding forward-looking statements This material fact contains certain forward-looking statements. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. The words 'will,' 'maintain', 'plans' and 'intends' and similar expressions, as they relate to GOL, are intended to identify forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations. Undue reliance should not be placed on such statements. Forward-looking statements speak only for the date they are made. About GOL Linhas Aéreas Inteligentes S.A GOL is one of Brazil's leading airlines and is part of the Abra Group. Since it was founded in 2001, the company has had the lowest unit cost in Latin America, democratizing air transport with the aim of 'Being the First for All'. GOL has alliances with American Airlines and Air France-KLM and offers customers more than 60 codeshare and interline agreements, making connections to any place served by these partnerships more convenient and easier. GOL also has the Smiles loyalty program and GOLLOG for cargo transportation, which serves various regions in Brazil and abroad. The company has 14,5 thousand highly qualified professionals focused on safety, GOL's number one value, and operates a standardized fleet of 139 Boeing 737 aircraft. The Company's shares are traded on B3 (GOLL4). For further information, visit GOL Investor Relations [email protected] View original content to download multimedia: SOURCE GOL Linhas Aéreas Inteligentes S.A.
Telegraph
02-03-2025
- Business
- Telegraph
BP must learn from Unilever – once you go woke, it's hard to go back
A quarter of a century after it grandly proclaimed that it was going 'Beyond Petroleum', BP is going back to the stuff you drill out of the ground after all. Under pressure from its shareholders, Murray Auchincloss, the company's chief executive, has ditched many of its green targets and decided to start investing in fossil fuels again. Shareholders will be relieved about that, and may even start betting on a swift recovery in its fortunes. There is just one catch, however. As Unilever has demonstrated over the last few days, getting rid of the green, woke baggage is a lot harder than it looks, and the returns can take a very long time to materialise. It was certainly the moment that BP's long suffering shareholders had been waiting for. In an update to investors last week Auchincloss admitted that the shift towards green energy 'went too far too fast'. It would increase its oil and gas investments to $10bn (£7.9bn) a year, while cutting renewables investment to between $1.5bn and $2bn a year – $5bn less than it had previously planned. Auchincloss did not exactly spell it out explicitly, but the message was clear enough. BP is ditching all the green, woke nonsense, and getting back into the business of drilling for oil. Shareholders will certainly like the sound of that. Activists including Elliott Investment have been building up stakes in BP, and pressing for a change of strategy. BP has been seen as badly underperforming its major rivals, with its focus on renewable energy a drag on performance. True, there was not much sign of an immediate bounce in the share price as the strategy shift was announced. But over the medium-term, many will be hoping it can catch up with the likes of ExxonMobil. The trouble is, no one should take that for granted. Another major British company only this week gave a demonstration of just how hard it is turn around the woke corporation. Two years ago, Hein Schumacher was drafted in as chief executive of Unilever to strip away all the 'social goals for mayonnaise' baggage that had dragged down the consumer goods giant, and distracted it from the more important, if slightly mundane, business of selling more soap, ice cream and shampoo. The strategy was simple enough, and certainly the right one. And yet in a surprise move Schumacher was ousted last week, and the finance director Fernando Fernandez installed to replace him. It was clear that the board felt the transformation had been too slow and they needed someone to quicken the pace. It would be hard to blame them for that decision. Unilever's latest results showed a significant drop in pre-tax profits and the company admitted it has made a slow start to 2025. Schumacher was clearly not doing enough, and he was not making the kind of progress that was hoped for when he was appointed. It is possible he is not a very good manager, although he had a great track record. But perhaps the real problem is this: Once a corporation is taken over by what Elon Musk, admittedly slightly melodramatically, described as the 'woke mind-virus' it is very hard to shift its direction There are two reasons for that. First, after a decade or more, politically activist staff have become far too powerful and will push back against every change. People have been appointed because they tick the right diversity boxes, they use the right gender pronouns and they mouth all the right slogans. The HR department will have grown hugely in size and power and it won't easily loosen its grip on the organisation. A world view that 'social purpose' matters more than anything else, and that 'work-life balance' should be prioritised over profits, will have become embedded throughout the organisation. It is easy for the chief executive to state that things have to change and set some more demanding targets. But if the middle managers lower down the line decide to simply ignore him and carry on much as before, then nothing much will change. It is completely ineffective. At X, Musk fired 80pc of the staff after buying the company and that seems to have transformed the business completely. But it is hard to see the likes of BP or Unilever trying surgery as radical as that, and neither conglomerate could probably survive mass lay-offs on that scale. It can't be done. Even worse, the core skills that were once needed to drive growth and profits will have been largely forgotten. Sure, people at Unilever used to know how to start selling branded soap in an emerging market, but they have probably forgotten all about that, given that they were too busy worrying about LGBTQ rights or 'unconscious bias'. Likewise, there used to be people at BP who knew how to drill for oil under a sea bed somewhere, but they may well have retired by now, or moved on elsewhere. It takes decades to build up those skills and expertise, and they are typically passed on internally from one generation to the next. Once they are lost it is very hard to get them back and it certainly can't be done quickly. It is easy for a chief executive to announce that he or she is ditching the woke, green agenda. The board can tell everyone that it is demanding a change of direction and the shareholders may well support that. And yet the blunt truth is this: it is very hard to implement in practice. The staff will resist the changes that are being demanded of them. And the skills may well have been lost. Sure, BP has made the right decision. So did Unilever two years ago. But shareholders should not expect instant results or a rapid turnaround – because it is very hard to change the woke corporation.
