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Yahoo
5 days ago
- Business
- Yahoo
Glencore rejects US listing in boost for UK markets
By Charlie Conchie and Pratima Desai LONDON (Reuters) -Glencore will keep its primary listing in London, rejecting a move to the United States for now in a rare win for the city's markets, which have been shrinking due to a dearth of new share issues. The London-listed miner said on Wednesday that a move across the Atlantic would not increase value for shareholders. In February, it said it might switch its main listing from London, and CEO Gary Nagle said New York was being considered. Nagle said on Wednesday that the company had extensively researched a move to the major exchanges around the world. "A move in our primary listing ... would not be value accretive for Glencore at this stage, having done that thorough analysis, and therefore we keep it on a watching brief, but will remain listed in London for the moment," he said. The decision is a boost for UK capital markets after years of few initial public offerings and depressed valuations leading to a string of takeovers of public companies. That has led London's equity markets to shrink as some companies seek higher valuations elsewhere, prompting a suite of listing reforms. High-profile companies to recently announce their departure from London include travel giant TUI and Netherlands-based food delivery company Just Eat BHP Group, the world's largest miner, also ended its dual listing in favour of Sydney in 2022. Britain's reforms to try to attract more companies include reducing shareholder votes on certain transactions, and easing the prospectus requirements for companies listing shares. Asked about Glencore's decision, Antonio Simoes, CEO at Britain's largest investor Legal & General, said he saw pent-up demand to invest in Britain from international clients, including in London-listed companies, but that the government needed to press ahead with reforms to boost economic growth. "The more we get the country growing, the stock market will be a reflection of that," he said. "We just want to see those reforms coming through, so that there's more capital investing in the UK." Some companies could still shift London listings, including publisher Pearson, which is under shareholder pressure to do so, and oil major Shell, which is considering a move to the U.S. to address a valuation gap with rivals there. Glencore's shares have fallen 26% in the last year, prompting analysts to suggest the company might get a boost by a relisting in New York. However, Nagle said on Wednesday that decline was due at least in part to lower coal prices He added that the company believed it was unlikely to have been included in U.S. benchmark S&P 500 index - a point that London and other European exchanges have stressed in their campaigns to try to convince companies to list with them. "A U.S. listing is perceived to offer access to deeper pools of capital and higher valuations in certain sectors but these are often illusory, and it also comes with significant regulatory burden, litigation risk, and increased disclosure requirements as well as big challenges in gaining index inclusion," said Michael Jacobs, corporate partner at law firm Herbert Smith Freehills Kramer. Still, some investors were disappointed with Glencore's decision, with some analysts citing it as a reason for a 4% drop in its shares on Wednesday. Sign in to access your portfolio
Reuters
5 days ago
- Business
- Reuters
Glencore rejects US listing in boost for UK markets
LONDON, Aug 6 (Reuters) - Glencore (GLEN.L), opens new tab will keep its primary listing in London, rejecting a move to the United States for now in a rare win for the city's markets, which have been shrinking due to a dearth of new share issues. The London-listed miner said on Wednesday that a move across the Atlantic would not increase value for shareholders. In February, it said it might switch its main listing from London, and CEO Gary Nagle said New York was being considered. Nagle said on Wednesday that the company had extensively researched a move to the major exchanges around the world. "A move in our primary listing ... would not be value accretive for Glencore at this stage, having done that thorough analysis, and therefore we keep it on a watching brief, but will remain listed in London for the moment," he said. The decision is a boost for UK capital markets after years of few initial public offerings and depressed valuations leading to a string of takeovers of public companies. That has led London's equity markets to shrink as some companies seek higher valuations elsewhere, prompting a suite of listing reforms. High-profile companies to recently announce their departure from London include travel giant TUI ( opens new tab and Netherlands-based food delivery company Just Eat ( opens new tab. BHP Group ( opens new tab, the world's largest miner, also ended its dual listing in favour of Sydney in 2022. Britain's reforms to try to attract more companies include reducing shareholder votes on certain transactions, and easing the prospectus requirements for companies listing shares. Asked about Glencore's decision, Antonio Simoes, CEO at Britain's largest investor Legal & General (LGEN.L), opens new tab, said he saw pent-up demand to invest in Britain from international clients, including in London-listed companies, but that the government needed to press ahead with reforms to boost economic growth. "The more we get the country growing, the stock market will be a reflection of that," he said. "We just want to see those reforms coming through, so that there's more capital investing in the UK." Some companies could still shift London listings, including publisher Pearson (PSON.L), opens new tab, which is under shareholder pressure to do so, and oil major Shell (SHEL.L), opens new tab, which is considering a move to the U.S. to address a valuation gap with rivals there. Glencore's shares have fallen 26% in the last year, prompting analysts to suggest the company might get a boost by a relisting in New York. However, Nagle said on Wednesday that decline was due at least in part to lower coal prices He added that the company believed it was unlikely to have been included in U.S. benchmark S&P 500 index - a point that London and other European exchanges have stressed in their campaigns to try to convince companies to list with them. "A U.S. listing is perceived to offer access to deeper pools of capital and higher valuations in certain sectors but these are often illusory, and it also comes with significant regulatory burden, litigation risk, and increased disclosure requirements as well as big challenges in gaining index inclusion," said Michael Jacobs, corporate partner at law firm Herbert Smith Freehills Kramer. Still, some investors were disappointed with Glencore's decision, with some analysts citing it as a reason for a 4% drop in its shares on Wednesday.
Yahoo
18-07-2025
- Business
- Yahoo
Hess Midstream LP Announces Changes to the Board of Directors and Leadership Transition
HOUSTON, July 18, 2025--(BUSINESS WIRE)--Hess Midstream LP (NYSE: HESM) ("Hess Midstream") announced today that following the completion of the merger between Hess Corporation ("Hess") and Chevron Corporation ("Chevron"), Hess Midstream's general partner has appointed new members to its Board of Directors (the "Board") and has appointed new executive officers. As a result of the merger, Chevron beneficially owns Hess' approximately 37.8% interest in Hess Midstream on a consolidated basis. Independent Directors Unchanged; Chevron Leadership Appointed to HESM Board Effective immediately, John B. Hess, Chairman and Chief Executive Officer, Gregory P. Hill, President and Chief Operating Officer of Hess Corporation, and John P. Rielly, Executive Vice President and Chief Financial Officer of Hess Corporation will leave the HESM Board. Andy Walz, President, Chevron Downstream, Midstream & Chemicals, will join the Board and serve as Chairman. Joining Walz on the Board from Chevron are Kristen Ghattas and Kristi McCarthy. Gerbert Schoonman will remain on the Board. "I would like to thank the Hess-appointed Board members for their many contributions to Hess Midstream during their tenure," said Walz. "I am pleased to join the remaining members of the Board along with my Chevron colleagues. The Board and management team are committed to continuing to drive shareholder value underpinned by Hess Midstream's performance." Hess Midstream's three independent directors, Stephen J.J. Letwin, David W. Niemiec and John P. Reddy will remain on the Board and will continue to serve on the Audit Committee of the Board. Hess Midstream expects to appoint a fourth independent Board member. Executive Officer Appointments Jonathan C. Stein, currently Chief Financial Officer of Hess Midstream, has been named Chief Executive Officer, succeeding John B. Hess. Michael J. Chadwick was appointed Chief Financial Officer, succeeding Mr. Stein. Mr. Chadwick has held increasingly senior financial roles since he joined Hess in 2000, most recently serving as Vice President and Controller since 2022. "We are excited for the future and look forward to working with Chevron to further enhance shareholder value," said Jonathan Stein, Chief Executive Officer of Hess Midstream. "Hess Midstream remains focused on strong operational and financial performance and delivering significant shareholder returns on a consistent and ongoing basis." About Hess Midstream Hess Midstream is a fee-based, growth-oriented, midstream company that owns, operates, develops and acquires a diverse set of midstream assets to provide services to Chevron, its subsidiaries, and third-party customers. Hess Midstream owns oil, gas and produced water handling assets that are primarily located in the Bakken and Three Forks Shale plays in the Williston Basin area of North Dakota. More information is available at Cautionary Note Regarding Forward-Looking Information This press release contains "forward-looking statements" within the meaning of U.S. federal securities laws. Words such as "anticipate," "estimate," "expect," "forecast," "guidance," "could," "may," "should," "would," "believe," "intend," "project," "plan," "predict," "will," "target," "drive," "focus" and similar expressions identify forward-looking statements, which are not historical in nature. Our forward-looking statements may include, without limitation: our future financial and operational results; our business strategy and profitability; and our ability to execute future accretive opportunities, including incremental return of capital to shareholders and potential incremental repurchase transactions. Forward-looking statements are based on our current understanding, assessments, estimates and projections of relevant factors and reasonable assumptions about the future. Forward-looking statements are subject to certain known and unknown risks and uncertainties that could cause actual results to differ materially from our historical experience and our current projections or expectations of future results expressed or implied by these forward-looking statements. The following important factors could cause actual results to differ materially from those in our forward-looking statements: the ability of Chevron and other parties to satisfy their obligations to us, including Chevron's ability to meet its drilling and development plans on a timely basis or at all, its ability to deliver its nominated volumes to us, and the operation of joint ventures that we may not control; our ability to generate sufficient cash flow to pay current and expected levels of distributions; reductions in the volumes of crude oil, natural gas, natural gas liquids ("NGLs") and produced water we gather, process, terminal or store; the actual volumes we gather, process, terminal and store for Chevron in excess of our minimum volume commitments and relative to Chevron nominations; fluctuations in the prices and demand for crude oil, natural gas and NGLs; changes in global economic conditions and the effects of a global economic downturn or inflation on our business and the business of our suppliers, customers, business partners and lenders; our ability to comply with government regulations or make capital expenditures required to maintain compliance, including our ability to obtain or maintain permits necessary for capital projects in a timely manner, if at all, or the revocation or modification of existing permits; our ability to successfully identify, evaluate and timely execute our capital projects, investment opportunities and growth strategies, whether through organic growth or acquisitions; costs or liabilities associated with federal, state and local laws, regulations and governmental actions applicable to our business, including legislation and regulatory initiatives relating to environmental protection and health and safety, such as spills, releases, pipeline integrity and measures to limit greenhouse gas emissions and climate change; our ability to comply with the terms of our credit facility, indebtedness and other financing arrangements, which, if accelerated, we may not be able to repay; reduced demand for our midstream services, including the impact of weather or the availability of the competing third-party midstream gathering, processing and transportation operations; potential disruption or interruption of our business due to catastrophic events, such as accidents, severe weather events, labor disputes, information technology failures, constraints or disruptions and cyber-attacks; any limitations on our ability to access debt or capital markets on terms that we deem acceptable, including as a result of weakness in the oil and gas industry or negative outcomes within commodity and financial markets; liability resulting from litigation; risks and uncertainties associated with Hess' completed merger and integration with Chevron Corporation; and other factors described in Item 1A—Risk Factors in our Annual Report on Form 10-K and any additional risks described in our other filings with the Securities and Exchange Commission. As and when made, we believe that our forward-looking statements are reasonable. However, given these risks and uncertainties, caution should be taken not to place undue reliance on any such forward-looking statements since such statements speak only as of the date when made and there can be no assurance that such forward-looking statements will occur and actual results may differ materially from those contained in any forward-looking statement we make. Except as required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events or otherwise. View source version on Contacts Investor Contact:Jennifer Gordon (212) 536-8244 Media Contact: Lorrie Hecker (212) 536-8250 Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
12-07-2025
- Business
- Yahoo
HCA Healthcare (NYSE:HCA) Appoints Former Subway CEO John Chidsey To Board
HCA Healthcare has appointed John W. Chidsey, III as an independent director, enhancing its board's expertise and corporate governance. Meanwhile, the company's inclusion in multiple Russell 1000 indexes underscores its stability and appeal to defensive investors. During the quarter, HCA also emphasized shareholder value through its share repurchase activities. Overall, the company's share price rose 13% in line with broader market gains over the past year. These strategic moves, coupled with solid financial performance in Q1, including increased sales and net income, have reinforced investor confidence, contributing to a 13% quarterly price move. Every company has risks, and we've spotted 3 warning signs for HCA Healthcare (of which 1 can't be ignored!) you should know about. We've found 17 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. The recent appointment of John W. Chidsey, III to HCA Healthcare's board is expected to enhance governance and expertise, potentially leading to more informed decisions that support the company's strategic goals. This move complements HCA's focus on shareholder value through repurchase activities and could bolster investor confidence further. Over a longer-term horizon of five years, HCA's total shareholder return, including dividends, reached an impressive 269.05%. This performance highlights the company's ability to deliver significant value to its investors over an extended period. For context, the company outperformed the broader healthcare industry, which experienced a decline of 22.1% over the last year, whereas HCA's share price increased 13%, aligning with the broader market gains. Looking forward, the new board leadership may influence revenue and earnings forecasts as HCA continues its expansion of healthcare services. Analysts forecast a 5.5% annual revenue growth over the next three years, with earnings expected to rise to US$7.1 billion by 2028. The current share price of US$356.7 remains close to the consensus analyst price target of US$371.84, indicating a modest 4.1% increase anticipated. These forecasts suggest that while HCA is projected to grow steadily, the market already factors in much of this potential. Therefore, the additions to the board and continued strategic capital allocations will be crucial in aligning future performance with investor expectations. The analysis detailed in our HCA Healthcare valuation report hints at an deflated share price compared to its estimated value. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NYSE:HCA. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ 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
Zawya
10-07-2025
- Business
- Zawya
Asia's budding dividend zeal needs more support to flourish: Raychaudhuri
(The opinions expressed here are those of the author, the founder and CEO of Emmer Capital Partners Ltd.) HONG KONG - While U.S. and European companies have reduced their average dividend payouts over the past decade, Asian corporates have maintained consistent payout ratios, reflecting the region's improving balance sheets, shifting investor preferences and increasingly supportive regulatory environment. To maximize shareholder value, economic theory argues that excess cash should be distributed to shareholders. Companies do this through dividends or share buybacks. Asian companies pay more dividends than their U.S. peers, who typically prefer share buybacks, but less than Europeans. Asia's average dividend payout ratio was 40% in 2024, compared to 31% for S&P 500 companies and 48% for Eurostoxx 50 companies, according to Factset. Asian companies were not always in the middle of the dividend rankings. Asia recorded the lowest dividend payouts of the three regions only a decade ago, when European companies sent more than 60% of their profits back to shareholders and Americans disbursed 40%. The decline in the U.S. is largely because corporates have increasingly jumped on the buyback bandwagon, despite a modest jump in dividend payouts in 2019-2020. Meanwhile, in Europe, firms have increasingly preferred to retain more capital, largely due to uncertainties created by rising competition from Asian imports. Dividend payouts in Asia, on the other hand, have benefited from investor preference for high dividend-yielding stocks and regulatory pushes. CASH IS KING Reflecting the maxim that in uncertain times cash is king, Asian investors have shown a strong preference for dividend-paying companies in the volatile period since 2020. The MSCI Asia ex Japan High Dividend Yield Index has generated total returns that are more than double those of the MSCI Asia ex Japan index over the past five years. This gap has shrunk in the first half of 2025 due to strong performance among low-dividend yielding sectors such as China internet platforms and Korean tech, but demand for dividends will likely get a boost if interest rates continue to decline in many major Asian markets. REGULATORY PUSH If investors are indirectly pushing Asian companies to distribute more cash, regulators' approach is more direct, with officials in China, Japan and Korea at the forefront of this effort, though the results have been mixed. In January 2023, SASAC, the Chinese state-owned company regulator, announced a shift in the key performance indicator used for evaluating state-owned enterprises, replacing net earnings with Return on Equity (ROE). A company can enhance its ROE by distributing excess cash and thus reducing the size of its balance sheet, a course of action that most of the SOEs took. On top of this, the Chinese securities regulator CSRC in August 2023 restricted controlling shareholders of listed companies from selling shares in the secondary market if the company has not paid significant dividends in the previous three years. Japan's regulatory efforts commenced almost simultaneously. In March 2023, the Tokyo Stock Exchange asked firms to disclose plans to improve capital efficiency, especially if their share prices were below book value. And then in February 2024, South Korea's Financial Services Commission announced the 'Corporate Value Up Program', which urged companies to prioritise shareholder returns in exchange for tax benefits. The outcomes have varied meaningfully by country. China's and South Korea's average dividend payout ratios have increased over the past few years, though South Korea's has recently fallen and Japan's has stayed virtually flat. Exhortations by the regulators, in the absence of other reforms, particularly of tax laws, seem to be having limited impact on corporate behaviour. Indeed, tax treatment of dividends appears to be a key driver of companies' payout decisions. A wide range of dividend taxation policies apply in Asia, ranging from no or very low tax in Hong Kong, Singapore and Malaysia to 20% to 30% in China, Japan and India. Unsurprisingly, the companies in the highest tax regimes have the lowest average dividend payouts. The earliest dividend tax reform, the elimination of double taxation of dividends by Taiwan in 1999, significantly increased dividend payouts among Taiwanese firms, a trend that continues to this day. SUSTAINABLE TREND? Investors often reward companies for sustainable, increasing dividend payments, which ultimately depend on companies maintaining resilient profitability, strong cash generation and a healthy balance sheet. On these counts, many large Asian corporate markets score highly on average. Corporate leverage in India, Hong Kong, Taiwan and South Korea has been declining since 2023, while cash generation in all four has been increasing, and both trends are expected to continue, through 2027, according to Factset consensus forecasts. Asian corporates' shift toward greater dividend payments could still run into hurdles. Companies' profitability may be hurt by the ambiguity surrounding global trade policy, and this could lead them to conserve cash rather than distribute it. The persistence of this trend may largely depend on whether governments match supportive market regulations with beneficial tax treatment and whether high dividend-yielding stocks continue to generate robust performance, which management teams will have little choice but to notice. (The views expressed here are those of Manishi Raychaudhuri, the founder and CEO of Emmer Capital Partners Ltd. and the former Head of Asia-Pacific Equity Research at BNP Paribas Securities.) Enjoying this column? Check out Reuters Open Interest (ROI), your essential new source for global financial commentary. ROI delivers thought-provoking, data-driven analysis of everything from swap rates to soybeans. Markets are moving faster than ever. ROI, can help you keep up. Follow ROI on LinkedIn, and X. (Writing by Manishi Raychaudhuri; Editing by Anna Szymanski and Sonali Paul.)
