COMPANY NEWS IN BRIEF
Chelsea bidders shortlist to be cutRaine Group, the US bank overseeing the sale of Premier League club Chelsea, plans to narrow down the shortlist of bidders to three on Monday or Tuesday, sources told Reuters, with one consortium led by Nick Candy increasing their offer.Chelsea was initially put up for sale by owner Roman Abramovich following Russia’s invasion of Ukraine and before sanctions were imposed on the oligarch by the British government, effectively giving it control of the club.
Raine set a deadline of 2100 GMT last Friday for bids to be put forward, with several being made public, while sources close to the deal said many more had been submitted privately.
To move things forward, Reuters has been told that Raine, in consultation with the club, will narrow down the shortlist, with the process slowed by revised bids still coming in.
One of the three bidders who made their offers public on Friday, Candy’s Blue Football consortium, revised their bid on Monday, they told Reuters in a statement, after being joined by “another large Korean financial institution.”- Reuters Nike runs past manufacturing setbacksNike Inc said on Monday manufacturing issues pinching sales over the past six months were now behind it, positioning the company to take advantage of surging demand for sports shoes and apparel.
Shares of the world’s biggest sportswear maker rose 5.9% to US$137.90 in extended trading, as it also beat third-quarter revenue and profit estimates.
Pandemic-related factory closures last year in Vietnam, where about half of Nike’s footwear is made, and the slow return to normal production in the country led to a shortage of Nike, Jordan and Converse sneakers across most markets.
All Nike factories in Vietnam are now operational, with total footwear and apparel production in line with pre-closure volumes, the company’s Chief Financial Officer Matthew Friend said.
However, shipping delays were still a cause for concern for Nike, especially in North America where transit times have worsened, Friend added. - Reuters VW targets US$7.1 billionVolkswagen AG plans to invest at least US$7.1 billion over the next five years in North America and add 25 new electric vehicles there by 2030, including a recreation of VW’s classic Microbus, a top executive said on Monday.
The latter model, called ID.Buzz, is a centrepiece of the plan. It will be imported initially from VW’s Hanover plant in Germany, but ultimately could be assembled in the United States or Mexico, according to Scott Keogh, president and CEO of Volkswagen Group of America.
US demand for the ID.Buzz is “through the roof,” Keogh said at a media briefing on Monday. The upshot is that “there could be an opportunity” to build the vehicle in North America, he said.VW’s North American investment plan is part of a broader five-year global spending plan, announced in December, that earmarks $98 billion for “e-mobility, hybridization and digitalization,” including construction of battery plants and partnerships with battery material suppliers.
The North American figure does not include a provision of US$1.8 billion or more for additional local battery production to supplement battery cells that VW is buying from SK Innovation’s Georgia plants, Keogh said. - Reuters Disney CEO forms task forceDisney CEO Bob Chapek on Monday told employees the company made a mistake remaining silent on Florida legislation that would limit classroom discussion of sexual orientation and gender identity, pledging to use the moment as a catalyst for change.
The comments at a virtual town hall for employees came amid a period of internal strife at Disney, as the company shifted its public statements about the legislation, which critics call the “Don’t Say Gay” bill.
A group of employees staged a week of walk-outs to call on Disney to protect its LGBTQ staff, their families and communities. A day-long walkout is planned for Tuesday.
“We know the moment requires urgency - and words are not enough,” said Chapek, according to a recording of his remarks obtained by Reuters. “So, we are taking some actions right now.”
Paul Richardson, Disney’s chief human resources officer, said the company cancelled a leadership meeting in Orlando, and a planned diversity event scheduled for April 13, so executives could spend their time listening employees, according to three executives who listened to his presentation at the town hall. - Reuters Chevron refinery workers strikePicketers marching at the gates of a large Chevron Corp oil refinery outside of San Francisco said on Monday they could endure a lengthy walkout to press claims for a new labour contract.
But the plant was continuing to operate normally and fuel supply and prices are not expected to be impacted, gasoline analysts said.
More than 500 United Steelworkers members at the 245 000 barrel per day Richmond, California, facility went off the job early on Monday after members rejected a Chevron contract proposal over the weekend.
The walkout is the first in more than 40 years at the plant, which is a major supplier of gasoline, jet fuel and diesel fuel. The last strike, in 1980, continued for five months, said United Steelworkers union local 5 First Vice President B.K. White.
“We are waiting for Chevron to come to the table,” White said in an interview outside the gates as truck drivers blared their horns in support. The union is prepared to “stay put until we get a fair and equitable contract,” he added. - Reuters